CHAPTER 12
REGULATING AND MANAGING
INFORMATION TECHNOLOGY
INTRODUCTION
The rapid advances in information technology in just the past few decades mean that
more information than ever before—about individuals, organizations, and governments—
is located in on servers or in “the cloud.” This extraordinary development raises difficult
challenges for governments and businesses related to information privacy, security, and
ownership. What are the challenges facing governments and businesses in the
management of information? What roles have governments and businesses played, and
what are the ethical implications of their actions?
PREVIEW CASES
Apple’s iCloud service attacked
AT&T data privacy scandal
Are individuals’ right to security and privacy at the mercy of those with the technological
ability to gain access to facts about individuals without their permission? How can
customers, around the world and in the United States, guard against the unauthorized
access to personal information? Have those asking the technological question “Can it be
done?” overwhelmed and silenced those asking the ethical question “Should it be done?”
Issues of privacy, security, health, and safety abound in our age of innovation.
CHAPTER OUTLINE
I. INFORMATION TECHNOLOGY CHALLENGES FOR GOVERNMENTS
AND BUSINESSES
Teaching Tip: Preview Case
The introductory case examples touch on only a few of the many social,
ethical and legal issues that arise from regulating and managing
technology. Issues of who should be entrusted to provide oversight of
technology are a rich area for in-class debate or research.
An ABC News report about Google in China can be found at:
http://www.bing.com/videos/search?q=government+censorship+of+techno
logy+videos&go=Submit+Query&qs=bs&form=QBVR#view=detail&mid
=02FD1616A8265810B4CE02FD1616A8265810B4CE
II. GOVERNMENT INTERVENTIONS OF INFORMATION AND IDEAS
A. Government Internet Censorship and Control
B. Government Acquisition of Information to Protect the Public Good
C. Government Protecting Individuals’ Rights and Property
III. BUSINESS ACCESS TO AND USE OF CONFIDENTIAL INFORMATION
A. Access to Stakeholders’ Personal Information
Teaching Tip: Government Interventions
This section of the chapter discusses a range of government options
focusing on whether to intervene or not intervene in their citizens’ lives
when it comes to controlling access to information. The national
political system may be a critical influence on the role government will
take, but also students should consider various ethical and legal issues,
such a respect for an individuals’ privacy, that are embedded in the
governments’ decision to act or not. To watch a CNN report with a
good historical view of this issue see:
http://www.bing.com/videos/search?q=government+censorship+of+tec
hnology+videos&go=Submit+Query&qs=bs&form=QBVR#view=detai
l&mid=02FD1616A8265810B4CE02FD1616A8265810B4CE
Teaching Tip: Personal Information
Technological advances occur at a rapid pace so students may be
challenged to anticipate the next advancement and the implications this
change may have on the protection of their personal information.
Also, students are become more and more comfortable with public
access to information through social media, so is the protection of
personal information still a major concern for students or is the lack of
privacy just taken for granted in today’s technology-laden world?
B. Exploring Why Hackers Hack
V. BUSINESS RESPONSES TO INVASIONS OF INFORMATION
SECURITY
A. The Chief Information, Security, Technology Officer
VI. GOVERNMENT EFFORTS TO COMBAT CYBERCRIME
GETTING STARTED
KEY LEARNING OBJECTIVES
LO 12-1: Understanding why the management and regulation of information
technology is a challenge for governments and businesses.
LO 12-2: Identifying the various information technology interventions undertaken
by governments.
Teaching Tip: Chief Information Officer
It might be helpful for students to invite a local company’s chief
information, security or information officer to class to talk on the issues
she or he faces each day on the job. What new challenges have
emerged for this company executive? What solutions to knotty
problems have been achieved?
Teaching Tip: Computer Hackers
This is another controversial issue ripe for debate or discussion. Should
computer hackers be punished as intellectual robbers or trespassers, or
should all information be freely available to the public? What
information should be protected, if any, and who should be responsible
for information security? What role do white hatters or grey hatters
play in today’s technology world and are they critical allies for
businesses or potential criminals that should face prosecution?
LO 12-3: Examining challenges businesses face in managing information about
key stakeholders, including employees and customers.
LO 12-4: Knowing the causes and partial remedies to the problem of cybercrime.
LO 12-5: Assessing the emerging role and responsibilities of the organization’s
chief information officer and other organizational functions that are responsible
to ensure information security and privacy.
LO 12-6: Identifying international and national governments’ efforts to combat
cybercrime.
with businesses’ anti-cybercrime efforts
KEY TERMS
cybercrime
grey hatters
hackers
hacktivists
INTERNET RESOURCES
DISCUSSION CASE
SONY PICTURES AND NORTH KOREAN HACKERS
Discussion Questions
1. Did Sony Pictures’ executives, eventually, make the right decision by releasing
the film? What were the risks and benefits to Sony and to its customers (both
movie theater operators and movie viewers) of doing so?
Guardians of Peace, who already showed a willingness to release sensitive company
data.
generate even greater profits.
2. What actions, if any, could Sony employees take to protect themselves from the
theft and release of their data on their employer’s servers?
hackers who could use the information to embarrass the company or potentially
compromise the employees’ identities. Medical information also may be needed to
3. What role should the U.S. government play in protecting the privacy and
security of individual citizens, such as Sony employees in this case? What
specific actions could the government take?
contain private citizens’ information?
Yet, government’s role in society is to protect the citizenry and government efforts
4. What actions should the U.S. government taken against North Korea? Should
the U.S. government have reacted sooner than it did?
government may need to be increasingly aggressive in its sanctions against hackers if
the frequency and impact of these hacking incidents increase.
5. Using tools presented in this chapter, what additional measures could Sony take
to better protect its company’s information from attack by hackers?
Many companies have adopted the attitude “if you can’t beat them, join them” and
put hackers on their company payroll but use their technological expertise to benefit
Companies have become very aggressive in their development of an “incident
response plan,” a technology-based crisis management plan, in anticipation of a
Internal changes have occurred at many businesses, such as the creation of or