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 GLOBAL
EDITION

Management
Information Systems
Managing the Digital Firm
THIRTEENTH EDITION

/IRRIXL'0EYHSRˆ.ERI40EYHSR
 Management
Information
Systems
MANAGING THE DIGITAL FIRM

THIRTEENTH EDITION

GLOBAL EDITION

Kenneth C. Laudon
New York University

Jane P. Laudon
Azimuth Information Systems

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Editor in Chief: Stephanie Wall Senior Production Project Manager: Karalyn Holland
Executive Editor: Bob Horan Senior Manufacturing Controller, Production, International: Trudy Kimber
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© Pearson Education Limited 2014

The rights of Kenneth C. Laudon and Jane P. Laudon to be identified as authors of this work have been asserted by them in accordance with the
Copyright, Designs and Patents Act 1988.

Authorised adaptation from the United States edition, entitled Management Information Systems: Managing the Digital Firm, 13th Edition,
ISBN: 978-0-13-305069-1 by Kenneth C. Laudon and Jane. P. Laudon, published by Pearson Education © 2014.

All rights reserved. No part of this publication may be reproduced, stored in a retrieval system, or transmitted in any form or by any means, electronic,
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the text.

ISBN 13: 978-0-273-78997-0

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About the Authors

Kenneth C. Laudon is a Professor of Information Systems at New York University’s Stern

School of Business. He holds a B.A. in Economics from Stanford and a Ph.D. from Columbia
University. He has authored twelve books dealing with electronic commerce, information
systems, organizations, and society. Professor Laudon has also written over forty articles
concerned with the social, organizational, and management impacts of information systems,
privacy, ethics, and multimedia technology.
Professor Laudon’s current research is on the planning and management of large-scale
information systems and multimedia information technology. He has received grants from
the National Science Foundation to study the evolution of national information systems at
the Social Security Administration, the IRS, and the FBI. Ken’s research focuses on enter-
prise system implementation, computer-related organizational and occupational changes in
large organizations, changes in management ideology, changes in public policy, and under-
standing productivity change in the knowledge sector.
Ken Laudon has testified as an expert before the United States Congress. He has been a
researcher and consultant to the Office of Technology Assessment (United States Congress),
Department of Homeland Security, and to the Office of the President, several executive
branch agencies, and Congressional Committees. Professor Laudon also acts as an in-house
educator for several consulting firms and as a consultant on systems planning and strategy
to several Fortune 500 firms.
At NYU’s Stern School of Business, Ken Laudon teaches courses on Managing the Digital
Firm, Information Technology and Corporate Strategy, Professional Responsibility (Ethics),
and Electronic Commerce and Digital Markets. Ken Laudon’s hobby is sailing.

Jane Price Laudon is a management consultant in the information systems area and the
author of seven books. Her special interests include systems analysis, data management,
MIS auditing, software evaluation, and teaching business professionals how to design and
use information systems.
Jane received her Ph.D. from Columbia University, her M.A. from Harvard University,
and her B.A. from Barnard College. She has taught at Columbia University and the New
York University Graduate School of Business. She maintains a lifelong interest in Oriental
languages and civilizations.
The Laudons have two daughters, Erica and Elisabeth, to whom this book is dedicated.

3
Brief Contents

Part One Organizations, Management, and the Networked

Enterprise 31
Chapter 1 Information Systems in Global Business Today 32
Chapter 2 Global E-Business and Collaboration 70
Chapter 3 Information Systems, Organizations, and Strategy 108
Chapter 4 Ethical and Social Issues in Information Systems 150

Part Two Information Technology Infrastructure 191

Chapter 5 IT Infrastructure and Emerging Technologies 192
Chapter 6 Foundations of Business Intelligence: Databases and Information
Management 238
Chapter 7 Telecommunications, the Internet, and Wireless Technology 276
Chapter 8 Securing Information Systems 322

Part Three Key System Applications for the Digital Age 365
Chapter 9 Achieving Operational Excellence and Customer Intimacy: Enterprise
Applications 366
Chapter 10 E-Commerce: Digital Markets, Digital Goods 400
Chapter 11 Managing Knowledge 446
Chapter 12 Enhancing Decision Making 482

Part Four Building and Managing Systems 515

Chapter 13 Building Information Systems 516
Chapter 14 Managing Projects 556
Chapter 15 Managing Global Systems 590
(available on the Web at www.pearsonglobaleditions.com/laudon)

References 591
Glossary 607
Indexes 621

4
Complete Contents

Part One Organizations, Management, and the Networked

Enterprise 31
Chapter 1 Information Systems in Global Business Today 32
◆Opening Case: Efficiency in Wood Harvesting with Information Systems 33
1.1 The Role of Information Systems in Business Today 35
How Information Systems are Transforming Business 35 • What’s New
in Management Information Systems? 36 • Globalization Challenges and
Opportunities: A Flattened World 38
◆Interactive Session: Management Running the Business from the Palm of Your
Hand 39
The Emerging Digital Firm 41 • Strategic Business Objectives of
Information Systems 42
1.2 Perspectives on Information Systems 45
What Is an Information System? 45 • Dimensions of Information
Systems 48 • It Isn’t Just Technology: A Business Perspective on
Information Systems 52
◆Interactive Session: Technology UPS Competes Globally with Information
Technology 53
Complementary Assets: Organizational Capital and the Right Business
Model 56
1.3 Contemporary Approaches to Information Systems 58
Technical Approach 58 • Behavioral Approach 58 • Approach of This Text:
Sociotechnical Systems 59
Learning Track Modules: How Much Does IT Matter?, Information Systems and
Your Career, The Mobile Digital Platform 61
Review Summary 62 • Key Terms 63 • Review Questions 63 • Discussion
Questions 64 • Hands-On MIS Projects 64 • Video Cases 65 • Collaboration and
Teamwork Project 65
◆Case Study: Mashaweer 66

Chapter 2 Global E-business and Collaboration 70

◆Opening Case: Telus Embraces Social Learning 71
2.1 Business Processes and Information Systems 73
Business Processes 73 • How Information Technology Improves Business
Processes 75
2.2 Types of Information Systems 75
Systems for Different Management Groups 76
◆Interactive Session: Technology Schiphol International Hub 78

5
6 Contents

Systems for Linking the Enterprise 83

◆Interactive Session: Management Piloting Procter & Gamble from Decision
Cockpits 84
E-Business, E-Commerce, and E-Government 87
2.3 Systems for Collaboration and Social Business 88
What is Collaboration? 88 • What Is Social Business? 89 • Business
Benefits of Collaboration and Social Business 90 • Building a Collaborative
Culture and Business Processes 91 • Tools and Technologies for
Collaboration and Social Business 92
2.4 The Information Systems Function in Business 98
The Information Systems Department 99 • Organizing the Information
Systems Function 100
Learning Track Modules: Systems from a Functional Perspective, IT Enables
Collaboration and Teamwork, Challenges of Using Business Information Systems,
Organizing the Information Systems Function, Occupational and Career Outlook
for Information Systems Majors 2012–2018 100
Review Summary 101 • Key Terms 102 • Review Questions 102 • Discussion
Questions 103 • Hands-On MIS Projects 103 • Video Cases 104 • Collaboration
and Teamwork Project 104
◆Case Study: Modernization of NTUC Income 105

Chapter 3 Information Systems, Organizations, and Strategy 108

◆Opening Case: Will Sears’s Technology Strategy Work This Time? 109
3.1 Organizations and Information Systems 111
What Is an Organization? 112 • Features of Organizations 114
3.2 How Information Systems Impact Organizations and Business Firms 119
Economic Impacts 119 • Organizational and Behavioral Impacts 120 •
The Internet and Organizations 123 • Implications for the Design and
Understanding of Information Systems 123
3.3 Using Information Systems to Achieve Competitive Advantage 123
Porter’s Competitive Forces Model 124 • Information System Strategies
for Dealing with Competitive Forces 125 • The Internet’s Impact on
Competitive Advantage 128
◆Interactive Session: Organizations Technology Helps Starbucks Find New Ways
to Compete 129
The Business Value Chain Model 131
◆Interactive Session: Technology Automakers Become Software Companies 134
Synergies, Core Competencies, and Network-Based Strategies 136
3.4 Using Systems for Competitive Advantage: Management Issues 140
Sustaining Competitive Advantage 140 • Aligning IT with Business
Objectives 141 • Managing Strategic Transitions 142
Learning Track Module: The Changing Business Environment for Information
Technology 142
Review Summary 142 •Key Terms 143 • Review Questions 143 • Discussion
Questions 144 • Hands-On MIS Projects 144 • Video Cases 146 • Collaboration
and Teamwork Project 146
 Contents 7

◆Case Study: Can This Bookstore Be Saved? 147

Chapter 4 Ethical and Social Issues in Information Systems 150

◆Opening Case: Ethical Issues Facing the Use of Technologies for the Aged
Community 151
4.1 Understanding Ethical and Social Issues Related to Systems 153
A Model for Thinking About Ethical, Social, and Political Issues 155 • Five
Moral Dimensions of the Information Age 155 • Key Technology Trends
That Raise Ethical Issues 156
4.2 Ethics in an Information Society 159
Basic Concepts: Responsibility, Accountability, and Liability 159 • Ethical
Analysis 160 • Candidate Ethical Principles 161 • Professional Codes of
Conduct 161 • Some Real-World Ethical Dilemmas 162
4.3 The Moral Dimensions of Information Systems 162
Information Rights: Privacy and Freedom in the Internet Age 162 •
Property Rights: Intellectual Property 169
◆Interactive Session: Technology Life on the Grid: iPhone Becomes iTrack 170
Accountability, Liability, and Control 174 • System Quality: Data
Quality and System Errors 176 • Quality of Life: Equity, Access, and
Boundaries 176
◆Interactive Session: Organizations Monitoring in the Workplace 179
Learning Track Module: Developing a Corporate Code of Ethics for Information
Systems 183
Review Summary 184 • Key Terms 184 • Review Questions 185 • Discussion
Questions 185 • Hands-On MIS Projects 185 • Video Cases 187 • Collaboration
and Teamwork Project 187
◆Case Study: Facebook: It’s About the Money 188

Part Two Information Technology Infrastructure 191

Chapter 5 IT Infrastructure and Emerging Technologies 192
◆Opening Case: Reforming the Regulatory System for Construction Permits 193
5.1 IT Infrastructure 195
Defining IT Infrastructure 195 • Evolution of IT Infrastructure 197 •
Technology Drivers of Infrastructure Evolution 201
5.2 Infrastructure Components 206
Computer Hardware Platforms 207 • Operating System Platforms 207 •
Enterprise Software Applications 208 • Data Management and Storage 208
• Networking/Telecommunications Platforms 208 • Internet Platforms 209
• Consulting and System Integration Services 209
5.3 Contemporary Hardware Platform Trends 210
8 Contents

The Mobile Digital Platform 210 • Consumerization of IT and BYOD 210 •

Grid Computing 211 • Virtualization 211
◆Interactive Session: Management Should You Use Your iPhone for Work? 212
Cloud Computing 213 • Green Computing 216 • High-Performance and
Power-Saving Processors 216
◆Interactive Session: Organizations Nordea Goes Green with IT 217
Autonomic Computing 218
5.4 Contemporary Software Platform Trends 219
Linux and Open Source Software 219 • Software for the Web: Java, HTML,
and HTML5 219 • Web Services and Service-Oriented Architecture 221 •
Software Outsourcing and Cloud Services 223
5.5 Management Issues 225
Dealing with Platform and Infrastructure Change 225 • Management and
Governance 226 • Making Wise Infrastructure Investments 226
Learning Track Modules: How Computer Hardware and Software Work, Service
Level Agreements, The Open Source Software Initiative, Comparing Stages in IT
Infrastructure Evolution, Cloud Computing 229
Review Summary 230 • Key Terms 231 • Review Questions 231 • Discussion
Questions 232 • Hands-On MIS Projects 232 • Video Cases 233 • Collaboration
and Teamwork Project 233
◆Case Study: Should Businesses Move to the Cloud? 234

Chapter 6 Foundations of Business Intelligence: Databases and

Information Management 238
◆Opening Case: BAE Systems 239
6.1 Organizing Data in a Traditional File Environment 241
File Organization Terms and Concepts 241 • Problems with the Traditional
File Environment 242
6.2 The Database Approach to Data Management 244
Database Management Systems 244 • Capabilities of Database Management
Systems 249 • Designing Databases 251
6.3 Using Databases to Improve Business Performance and Decision
Making 254
The Challenge of Big Data 254 • Business Intelligence Infrastructure 254 •
Analytical Tools: Relationships, Patterns, Trends 257
◆Interactive Session: Technology Big Data, Big Rewards 261
Databases and the Web 262
◆ Interactive Session: Organizations Controversy Whirls Around the Consumer
Product Safety Database 264
6.4 Managing Data Resources 265
Establishing an Information Policy 265 • Ensuring Data Quality 266
Learning Track Modules: Database Design, Normalization, and Entity-
Relationship Diagramming, Introduction to SQL, Hierarchical and Network Data
Models 267
 Contents 9

Review Summary 268 • Key Terms 269 • Review Questions 269 • Discussion
Questions 270 • Hands-On MIS Projects 270 • Video Cases 272 • Collaboration
and Teamwork Project 272
◆Case Study: Lego: Embracing Change by Combining BI with a Flexible
Information System 273

Chapter 7 Telecommunications, the Internet, and Wireless

Technology 276
◆Opening Case: RFID and Wireless Technology Speed Up Production at
Continental Tires 277
7.1 Telecommunications and Networking in Today’s Business World 279
Networking and Communication Trends 279 • What Is a Computer
Network? 280 • Key Digital Networking Technologies 282
7.2 Communications Networks 285
Signals: Digital vs. Analog 285 • Types of Networks 286 • Transmission
Media and Transmission Speed 287
7.3 The Global Internet 288
What Is the Internet? 288 • Internet Addressing and Architecture 288
◆Interactive Session: Organizations The Battle over Net Neutrality 292
Internet Services and Communication Tools 293
◆Interactive Session: Management Monitoring Employees on Networks:
Unethical or Good Business? 296
The Web 298
7.4 The Wireless Revolution 307
Cellular Systems 307 • Wireless Computer Networks and Internet
Access 308 • RFID and Wireless Sensor Networks 310
Learning Track Modules: LAN Topologies, Broadband Network Services and
Technologies, Cellular System Generations, Wireless Applications for Customer
Relationship Management, Supply Chain Management, and Healthcare, Web
2.0 313
Review Summary 314 • Key Terms 315 • Review Questions 315 • Discussion
Questions 316 • Hands-On MIS Projects 316 • Video Cases 317 • Collaboration
and Teamwork Project 317
◆Case Study: Apple, Google, and Microsoft Battle for Your Internet
Experience 318

Chapter 8 Securing Information Systems 322

◆Opening Case: You’re on LinkedIn? Watch Out! 323
8.1 System Vulnerability and Abuse 325
Why Systems Are Vulnerable 325 • Malicious Software: Viruses, Worms,
Trojan Horses, and Spyware 328 • Hackers and Computer Crime 330 •
Internal Threats: Employees 335 • Software Vulnerability 335
◆Interactive Session: Organizations Stuxnet and the Changing Face of
Cyberwarfare 336
8.2 Business Value of Security and Control 338
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10 Contents

Legal and Regulatory Requirements for Electronic Records

Management 338 • Electronic Evidence and Computer Forensics 339
8.3 Establishing a Framework for Security and Control 340
Information Systems Controls 340 • Risk Assessment 341 • Security
Policy 342 • Disaster Recovery Planning and Business Continuity
Planning 343 • The Role of Auditing 344
8.4 Technologies and Tools for Protecting Information Resources 345
Identity Management and Authentication 345 • Firewalls, Intrusion
Detection Systems, and Antivirus Software 347 • Securing Wireless
Networks 349 • Encryption and Public Key Infrastructure 349 • Ensuring
System Availability 350 • Security Issues for Cloud Computing and the
Mobile Digital Platform 352 • Ensuring Software Quality 353
◆Interactive Session: Technology MWEB Business: Hacked 354
Learning Track Modules: The Booming Job Market in IT Security, The Sarbanes-
Oxley Act, Computer Forensics, General and Application Controls for Information
Systems, Management Challenges of Security and Control, Software Vulnerability
and Reliability 356
Review Summary 357 • Key Terms 358 • Review Questions 358 • Discussion
Questions 359 • Hands-On MIS Projects 360 • Video Cases 361 • Collaboration
and Teamwork Project 361
◆Case Study: Information Security Threats and Policies in Europe 362

Part Three Key System Applications for the Digital Age 365
Chapter 9 Achieving Operational Excellence and Customer Intimacy:
Enterprise Applications 366
◆Opening Case: Technology Helps Nvidia Anticipate the Future 367
9.1 Enterprise Systems 369
What Are Enterprise Systems? 369 • Enterprise Software 370 • Business
Value of Enterprise Systems 371
9.2 Supply Chain Management Systems 372
The Supply Chain 372 • Information Systems and Supply Chain
Management 374 • Supply Chain Management Software 376 • Global
Supply Chains and the Internet 376
◆ Interactive Session: Organizations DP World Takes Port Management to the
Next Level with RFID 377
Business Value of Supply Chain Management Systems 379
9.3 Customer Relationship Management Systems 381
What Is Customer Relationship Management? 381 • Customer Relationship
Management Software 382 • Operational and Analytical CRM 386 •
Business Value of Customer Relationship Management Systems 386
9.4 Enterprise Applications: New Opportunities and Challenges 387
Enterprise Application Challenges 387 • Next-Generation Enterprise
Applications 388
 Contents 11

◆Interactive Session: Technology Customer Relationship Management Heads to

the Cloud 390
Learning Track Modules: SAP Business Process Map, Business Processes in
Supply Chain Management and Supply Chain Metrics Best-Practice Business
Processes in CRM Software, 391
Review Summary 392 • Key Terms 393 • Review Questions 393 • Discussion
Questions 393 • Hands-On MIS Projects 394 • Video Cases 395 • Collaboration
and Teamwork Project 395
◆Case Study: Summit Electric Lights Up with a New ERP System 396

Chapter 10 E-commerce: Digital Markets, Digital Goods 400

◆Opening Case: Groupon’s Business Model: Social and Local 401
10.1 E-commerce and the Internet 403
E-Commerce Today 403 • Why E-commerce Is Different 405 • Key
Concepts in E-commerce: Digital Markets and Digital Goods in a Global
Marketplace 409
10.2 E-commerce: Business and Technology 412
Types of E-Commerce 413 • E-Commerce Business Models 413 •
E-Commerce Revenue Models 416
◆Interactive Session: Organizations Location-Based Marketing and
Advertising 417
Social Networking and The Wisdom of Crowds 420 • E-Commerce
Marketing 421 • B2B E-commerce: New Efficiencies and Relationships 426
◆Interactive Session: Management Social Commerce Creates New Customer
Relationships 427
10.3 The Mobile Digital Platform and Mobile E-commerce 431
Location-based Services and Applications 432 • Other Mobile Commerce
Services 433
10.4 Building an E-commerce Presence 434
Pieces of the Site-Building Puzzle 435 • Business Objectives, System
Functionality, and Information Requirements 435 • Building the Web Site:
In-house Versus Outsourcing 436
Learning Track Modules: E-commerce Challenges: The Story of Online Groceries,
Build an E-commerce Business Plan, Hot New Careers in E-commerce, E-commerce
Payment Systems 439
Review Summary 439 • Key Terms 440 • Review Questions 440 • Discussion
Questions 441 • Hands-On MIS Projects 441 • Video Cases 442 • Collaboration
and Teamwork Project 442
◆Case Study: To Pay or Not to Pay: Zagat’s Dilemma 443

Chapter 11 Managing Knowledge 446

◆Opening Case: Designing Drugs Virtually 447
11.1 The Knowledge Management Landscape 449
Important Dimensions of Knowledge 449 • The Knowledge Management
Value Chain 451 • Types of Knowledge Management Systems 453
12 Contents

11.2 Enterprise-Wide Knowledge Management Systems 454

Enterprise Content Management Systems 455 • Knowledge Network
Systems 456 • Collaboration And Social Tools and Learning Management
Systems 456
11.3 Knowledge Work Systems 457
Knowledge Workers and Knowledge Work 457 • Requirements of
Knowledge Work Systems 458 • Examples of Knowledge Work Systems 459
◆Interactive Session: Technology Firewire Surfboards Lights Up with CAD 460
11.4 Intelligent Techniques 463
Capturing Knowledge: Expert Systems 463 • Organizational Intelligence:
Case-Based Reasoning 466 • Fuzzy Logic Systems 467 • Machine
Learning 468
◆Interactive Session: Organizations Albassami's Job is not Feasible without
IT 469
Intelligent Agents 473 • Hybrid AI Systems 474
Learning Track Module: Challenges of Knowledge Management Systems 474
Review Summary 475 • Key Terms 476 • Review Questions 476 • Discussion
Questions 477 • Hands-On MIS Projects 477 • Video Cases 478 • Collaboration
and Teamwork Project 478
◆Case Study: Knowledge Management and Collaboration at Tata Consulting
Services 479

Chapter 12 Enhancing Decision Making 482

◆Opening Case: Moneyball: Data-Driven Baseball 483
12.1 Decision Making and Information Systems 485
Business Value of Improved Decision Making 485 • Types of Decisions 485
• The Decision-Making Process 487 • Managers and Decision Making in
the Real World 488 • High-Velocity Automated Decision Making 491
12.2 Business Intelligence in the Enterprise 492
What Is Business Intelligence? 492 • The Business Intelligence
Environment 493
◆Interactive Session: Organizations Analytics Help the Cincinnati Zoo Know Its
Customers 494
Business Intelligence and Analytics Capabilities 496 • Management
Strategies for Developing BI and BA Capabilities 500
12.3 Business Intelligence Constituencies 501
Decision Support for Operational and Middle Management 501 • Decision
Support for Senior Management: Balanced Scorecard and Enterprise
Performance Management Methods 504 • Group Decision-Support Systems
(GDSS) 505
◆Interactive Session: Management Colgate-Palmolive Keeps Managers Smiling
with Executive Dashboards 506
Learning Track Module: Building and Using Pivot Tables 508
Review Summary 508 • Key Terms 509 • Review Questions 509 • Discussion
Questions 510 • Hands-On MIS Projects 510 • Video Cases 511 • Collaboration
and Teamwork Project 511
 Contents 13

◆Case Study: Zynga Wins with Business Intelligence 512

Part Four Building and Managing Systems 515

Chapter 13 Building Information Systems 516
◆Opening Case: New Systems and Business Processes Put MoneyGram “On the
Money” 517
13.1 Systems as Planned Organizational Change 520
Systems Development and Organizational Change 520 • Business Process
Redesign 522
13.2 Overview of Systems Development 525
◆Interactive Session: Organizations Burton Snowboards Speeds Ahead with
Nimble Business Processes 526
Systems Analysis 528 • Systems Design 528 • Completing the Systems
Development Process 529 • Modeling and Designing Systems: Structured
and Object-Oriented Methodologies 532
13.3 Alternative Systems-Building Approaches 537
Traditional Systems Life Cycle 537 • Prototyping 538 • End-User
Development 539 • Application Software Packages and Outsourcing 541
13.4 Application Development for the Digital Firm 544
Rapid Application Development (RAD) 544 • Component-
Based Development and Web Services 544 • Mobile Application
Development 545
Learning Track Modules: Unified Modeling Language (UML), A Primer on
Business Process Design and Documentation, A Primer on Business Process
Management 546
◆Interactive Session: Technology What Does It Take to Go Mobile? 547
Review Summary 548 • Key Terms 550 • Review Questions 550 • Discussion
Questions 551 • Hands-On MIS Projects 551 • Video Cases 553 • Collaboration
and Teamwork Project 553
◆Case Study: Honam Petrochemical’s Quest for Better Management Reports 554

Chapter 14 Managing Projects 556

◆Opening Case: Nu Skin’s New Human Resources System Project Puts People
First 557
14.1 The Importance of Project Management 559
Runaway Projects and System Failure 559 • Project Management
Objectives 560
◆Interactive Session: Management Austin Energy’s Billing System Can’t Light
Up 561
14.2 Selecting Projects 563
Management Structure for Information Systems Projects 563 • Linking
Systems Projects to the Business Plan 564 • Information Requirements
14 Contents

and Key Performance Indicators 566 • Portfolio Analysis 566 • Scoring

Models 567
14.3 Establishing the Business Value of Information Systems 567
Information System Costs and Benefits 568 • Real Options Pricing
Models 570 • Limitations of Financial Models 571
14.4 Managing Project Risk 571
Dimensions of Project Risk 571 • Change Management and the Concept of
Implementation 572 • Controlling Risk Factors 574
◆Interactive Session: Organizations Westinghouse Electric Takes on the Risks of
a “Big Bang” Project 578
Designing for the Organization 579 • Project Management Software
Tools 580
Learning Track Modules: Capital Budgeting Methods for Information System
Investments, Information Technology Investments and Productivity, Enterprise
Analysis (Business Systems Planning) and Critical Success Factors 581
Review Summary 582 • Key Terms 582 • Review Questions 583 • Discussion
Questions 583 • Hands-On MIS Projects 583 • Video Cases 585 • Collaboration
and Teamwork Project 585
◆Case Study: NYCAPS and CityTime: A Tale of Two New York City IS
Projects 586

Chapter 15 Managing Global Systems 590

(available on the Web at www.pearsonglobaleditions.com/laudon,
"Instructor Resources")
◆Opening Case: L’Oréal’s Global Makeover 15-1
15.1 The Growth of International Information Systems 15-3
Developing an International Information Systems Architecture 15-4 • The
Global Environment: Business Drivers and Challenges 15-5 • State of the
Art 15-8
15.2 Organizing International Information Systems 15-9
Global Strategies and Business Organization 15-9 • Global Systems to Fit
the Strategy 15-10 • Reorganizing the Business 15-11
15.3 Managing Global Systems 15-12
A Typical Scenario: Disorganization on a Global Scale 15-12 •
Global Systems Strategy 15-13 • The Management Solution:
Implementation 15-15
◆Interactive Session: Organizations Hasbro Develops a Global Systems
Strategy 15-17
15.4 Technology Issues and Opportunities for Global Value Chains 15-19
Computing Platforms and Systems Integration 15-19 • Connectivity 15-20
• Software Localization 15-21
◆Interactive Session: Management CombineNet ASAP Helps Primark Manage Its
Global Supply Chain 15-23
 Contents 15

Review Summary 15-25 • Key Terms 15-25 • Review Questions 15-26 •

Discussion Questions 15-26 • Hands-On MIS Projects 15-26 • Video Cases 15-28 •
Collaboration and Teamwork Project 15-28
◆Case Study: Sherwin-Williams Paints the World 15-29

References 591
Glossary 607
Indexes 621
BUSINESS CASES AND INTERACTIVE SESSIONS
Here are some of the business firms you will find described in the cases and Interactive Sessions of this
book:

Chapter 1: Information Systems in Global Business Today

Efficiency in Wood Harvesting with Information Systems
Running the Business from the Palm of Your Hand
UPS Competes Globally with Information Technology
Mashaweer

Chapter 2: Global E-Business and Collaboration

Telus Embraces Social Learning
Schiphol International Hub
Piloting Procter & Gamble from Decision Cockpits
Modernization of NTUC Income

Chapter 3: Information Systems, Organizations, and Strategy

Will Sears’s Technology Strategy Work This Time?
Technology Helps Starbucks Find New Ways to Compete
Automakers Become Software Companies
Can This Bookstore Be Saved?

Chapter 4: Ethical and Social Issues in Information Systems

Ethical Issues Facing the use of Technologies for the Aged Community
Life on the Grid: iPhone Becomes iTrack
Monitoring in the Workplace
Facebook: It’s About the Money

Chapter 5: IT Infrastructure and Emerging Technologies

Reforming the Regulatory System for Construction Permits
Should You Use Your iPhone for Work?
Nordea Goes Green with IT
Should Businesses Move to the Cloud?

Chapter 6: Foundations of Business Intelligence: Databases and Information Management

BAE Systems
Big Data, Big Rewards
Controversy Whirls Around the Consumer Product Safety Database
Lego: Embracing Change by Combining BI with a Flexible Information System

Chapter 7: Telecommunications, the Internet and Wireless Technology

RFID and Wireless Technology Speed Up Production at Continental Tires
The Battle Over Net Neutrality
Monitoring Employees on Networks: Unethical or Good Business?
Apple, Google, and Microsoft Battle for your Internet Experience
Chapter 8: Securing Information Systems
You’re on LinkedIn? Watch Out!
Stuxnet and the Changing Face of Cyberwarfare
MWEB Business: Hacked
Information Security Threats and Policies in Europe

Chapter 9: Achieving Operational Excellence and Customer Intimacy: Enterprise Applications

Technology Helps Nvidia Anticipate the Future
DP World Takes Port Management to the Next Level with RFID
Customer Relationship Management Heads to the Cloud
Summit Electric Lights Up with a New ERP System

Chapter 10: E-Commerce: Digital Markets, Digital Goods

Groupon’s Business Model: Social and Local
Location-Based Marketing and Advertising
Social Commerce Creates New Customer Relationships
To Pay or Not to Pay: Zagat’s Dilemma

Chapter 11: Managing Knowledge

Designing Drugs Virtually
Albassami's Job is not Feasible without IT
Firewire Surfboards Lights Up with CAD
Knowledge Management and Collaboration at Tata Consulting Services

Chapter 12: Enhancing Decision Making

Moneyball: Data-Driven Baseball
Analytics Help the Cincinnati Zoo Know Its Customers
Colgate-Palmolive Keeps Managers Smiling with Executive Dashboards
Zynga Wins with Business Intelligence

Chapter 13: Building Information Systems

New Systems and Business Processes Put MoneyGram “On the Money”
Burton Snowboards Speeds Ahead with Nimble Business Processes
What Does It Take to Go Mobile?
Honam Petrochemical’s Quest for Better Management Reports

Chapter 14: Managing Projects

Nu Skin’s New Human Resources System Project Puts People First
Austin Energy’s Billing System Can’t Light Up
Westinghouse Electric Takes on the Risks of a “Big Bang” Project
NYCAPS and CityTime: A Tale of Two New York City IS Projects

Chapter 15: Managing Global Systems

L’Oréal’s Global Makeover
Hasbro Develops a Global Systems Strategy
CombineNet ASAP Helps Primark Manage Its Global Supply Chain
Sherwin-Williams Paints the World
Preface
We wrote this book for business school students who wanted an in-depth
look at how today's business firms use information technologies and systems to
achieve corporate objectives. Information systems are one of the major tools
available to business managers for achieving operational excellence, developing
new products and services, improving decision making, and achieving competi-
tive advantage. Students will find here the most up-to-date and comprehensive
overview of information systems used by business firms today.
When interviewing potential employees, business firms often look for new
hires who know how to use information systems and technologies for achiev-
ing bottom-line business results. Regardless of whether you are an accounting,
finance, management, operations management, marketing, or information sys-
tems major, the knowledge and information you find in this book will be valu-
able throughout your business career.

WHAT’S NEW IN THIS EDITION

CURRENCY
The 13th edition features many new opening, closing, and Interactive Session
cases. The text, figures, tables, and cases have been updated through November
2012 with the latest sources from industry and MIS research.

NEW FEATURES
• Chapter-opening cases have been expanded and new case study questions
have been added.
• More online cases: MIS Classic Cases, consisting of five outstanding cases
from previous editions on companies such as Kmart or Blockbuster/Netflix,
will be available on the book’s Web site. In addition, some of the chapter-
ending cases from the previous edition (MIS12e) will be available online.
• New Video Cases collection: 30 video cases (2 per chapter) and additional
instructional videos covering key concepts and experiences in the MIS
world.
• Learning Tracks: over 40 Learning Tracks are for additional coverage of
selected topics.

NEW TOPICS
• Social Business: Extensive coverage of social business, introduced in
Chapter 2 and discussed in throughout the text. Detailed discussions of
enterprise (internal corporate) social networking as well as social network-
ing in e-commerce.
• Big Data: Chapter 6 on Databases and Information Management rewrit-
ten to provide in-depth coverage of Big Data and new data management

19
Visit https://ebookmass.com today to explore
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Exploring the Variety of Random
Documents with Different Content
 CHAPTER III.

Captain Jonas K. Tyler’s Company, Afterwards Commanded by Captain Israel

N. Wilson. [“M” in the Third Regiment, “M” of the Massachusetts
Battalion, and “B” of the Twenty-ninth Regiment.]

As early as the first of March, 1861, Jonas K. Tyler, Esq., a member

of the Suffolk bar, and who had seen service in the war with Mexico,
offered his services to Governor Andrew in raising a body of troops
to serve either the State or National governments in the impending
war. But in a letter dated March 8, 1861, the Governor declined
these services, on the ground that no call had been made upon the
State for troops, and that he possessed no legal authority to raise
troops except upon an order issued by the President of the United
States.

A month later, when it became apparent that a call would be made

for troops, Captain Tyler readily obtained permission from His
Excellency to raise a company of militia, with the understanding that
they were not to be mustered unless such a call should issue.

On the 17th of April, a roll was opened by Tyler at his office, and by
the night of the 18th it was filled with the names of young men,
principally residents of Boston.

On the 19th of April, the company was organized by the choice of

Jonas K. Tyler of Boston, Captain; Samuel A. Bent, First Lieutenant;
Albert Blakeslee, Second Lieutenant; E. Dexter, Third Lieutenant;
and Thomas H. Adams, Fourth Lieutenant.
As no quarters were provided by the State, the men were lodged in
hotels and boarding-houses, and were drilled daily by a competent
drill-master in the school of the soldier and company evolutions. The
expense attending the organization of the company and quartering
the men was borne by the officers and men, for which they have
never been reimbursed.

On the 3d of May, the President having made an actual demand

upon the State for troops, the Governor consented to the issue of
arms to the men, and on the following day Captain Tyler obtained a
requisition for a partial supply of underclothing.

On the 9th of May, Captain Tyler received orders to leave for the
seat of war on the 10th; but at this time not a member of the
command possessed a uniform, and, what was still more
embarrassing, the State had none to furnish.

How was the outfit to be obtained in so short a time? Happily,

Boston possessed a mayor, the Hon. Joseph M. Wightman, whose
whole heart was enlisted in the cause of the country. In this
emergency, Captain Tyler turned to him for assistance, and the
promptness with which that aid was furnished reflects the greatest
credit, not alone upon the Mayor himself, but upon the city of
Boston.

It was well into the evening when the Captain called upon Mayor
Wightman and made known the wants of his men. The Mayor
comprehended the nature of the situation at once, and in company
with Tyler, immediately commenced the search for clothing. Going
upon School Street, a number of hacks were found in front of the
Parker House, and these were at once secured. The first person
called upon was Mrs. Harrison Gray Otis, who furnished them with a
large number of useful articles not included in the list of military
equipments. From thence the two gentlemen went to the various
depots of clothing belonging to the city, where were obtained a
sufficient number of coats, trousers, shoes, and stockings. These
articles were quickly loaded into the hacks and conveyed to the hall
on Washington Street, where the company had assembled upon its
brief notice to march.

At eight o’clock the next morning, May 10, the command reported at
the State House, ready for service, and were here joined by Capt.
William D. Chamberlain’s company from Lynn. The men of both
companies engaged to serve for three years without hesitation, were
inspected by the Adjutant-General, and ordered to embark at once
on the steamer “Pembroke.” The commissions of both captains bore
date of April 19, but Captain Chamberlain having at one time held
the rank of major in the militia, was given the command of the
battalion, and, at the same time, sealed orders, with instructions not
to open the same till the vessel had passed beyond Boston Light. On
the march to Rowe’s Wharf, where the “Pembroke” was lying, the
battalion halted at a place on Federal Street, and there received the
gray overcoats.

The short notice to march made it impossible for Captain Tyler to

warn all his men, some of whom lived out of the city, and
consequently about twenty were left behind; these, however,
afterward joined the company at Fortress Monroe.

The “Pembroke” was at this time in the service of the

Commonwealth, was armed with two 42-pounder Dahlgren guns,
had a guard of armed seamen, and flew both the State and National
colors. As she passed the forts in Boston Harbor, she was saluted by
them, and the men, being gathered upon deck, returned the salutes
by rounds of cheers. It was not until the vessel had passed beyond
Boston Light that either officers or soldiers learned their destination.
Then the sealed orders were opened, revealing the fact that they
were bound for Fortress Monroe, Va., and were to be assigned to the
Third Regiment.

There were few events of the trip that were of much moment,
though the voyage under such circumstances was necessarily
different from any which the soldiers (some of whom had been
sailors) had ever before taken. They were going to war,—to the
rescue of the nation’s most important fortress, which was already
being besieged by the traitorous militia of Virginia.

About midnight of the 12th of May, when, by the judgment of the

officers,—all lights on that part of the coast having been
extinguished,—it was calculated that the steamer was about forty
miles from her destination, suddenly from the south, and directly in
her course, “shone out what seemed nothing less than the light of a
heavy bombardment. Within a narrower space, as it appeared to us,
fierce flashes broke forth, and from the opposite quarter were as
fiercely answered again.”4 That Fortress Monroe was being
bombarded, was the belief of all on board, and the soldiers kept the
deck nearly all night, watching and speculating upon these novel
scenes. As the steamer sped on her way and neared the scene of
the apparent battle, hugging the shore closely, the view increased in
splendor, and occasionally there came wafted over the water the
low, hollow sound of a distant gun. When morning broke, leaden-
colored, though wasted, clouds in the south showed that the soldiers
had been watching from a distance a terrific thunder-storm. A little
after sunrise, the form of a frigate was observed approaching the
steamer from seaward, which in the course of an hour came up and
spoke the “Pembroke.” The frigate proved to be the “Minnesota,”
then engaged in cruising off the coast.

On the 13th of May, the “Pembroke” reached Fortress Monroe, the

battalion entered the fort, and both companies were attached to the
Third Regiment, Captain Tyler’s company receiving the letter “M.” On
the following day, May 14, both commands were mustered into the
service for three years by Lieut. C. C. Churchill, U. S. A.

Captain Tyler’s company served with the Third Regiment till the term
of the latter expired, and then became a part of the Massachusetts
Battalion, retaining its letter “M” till the formation of the Twenty-
ninth Regiment, when, by order of Governor Andrew, it became a
part of that regiment, and its letter was changed to “B.”

The number of officers chosen at the time of the organization of the

company was greater by two than that authorized by the laws of the
United States, and the only officers who accompanied the command
to the seat of war were Captain Tyler, First Lieutenant Samuel A.
Bent of Boston, and Second Lieutenant Thomas H. Adams of Boston.
Captain Tyler resigned on account of ill-health, July 18, 1861, and
Lieutenant Bent the same day. Israel N. Wilson of Billerica, who was
a First Lieutenant in Capt. P. A. Davis’s company, was commissioned
Captain July 24, 1861, and succeeded Tyler. On the same day, Ezra
Ripley of Cambridge, an able lawyer, was commissioned First
Lieutenant, and assigned to this company, joining it soon after, and
while it was doing duty at the “Rip-Raps.”
 CHAPTER IV.

Captain Lebbeus Leach’s Company. [“L” in the Fourth Regiment, “L” of the
Massachusetts Battalion, and “C” of the Twenty-ninth Regiment.]

This company, raised almost wholly in East Bridgewater, Plymouth

County, was the direct outgrowth of a series of war meetings, the
first of which was held April 20, 1861, the day after the Baltimore
affair. At this meeting there was a very large attendance of the
citizens of the town, who, after listening to several stirring speeches,
adopted a resolution for the formation of a company of volunteers;
an informal roll was prepared, and received the signatures of thirty-
eight young men.

A second mass meeting was held on the evening of the 24th of April,
and, like the first, was largely attended and enthusiastic, resulting in
thirty-one additional enlistments.

In the meantime, a legal meeting of the voters of the town had been
called for the afternoon of the 27th of April, to take formal action
concerning the impending war, for at that time every town and city
in the Commonwealth made the cause of the General Government
its own, imitating the practice of the colonists in the days of the
Revolution, by raising troops and providing for their equipment and
payment.

There was never a more thoughtful or solemn assemblage than this

meeting; party lines had been wiped away by the bloody events of
the 19th of April; the political differences of the late campaign
seemed by common consent to have been buried and forgotten, and
every voter felt that a part of the responsibility of saving the then
disrupted Union rested upon him. In this meeting, it was
unanimously resolved, “That this town will raise what money is
necessary to uniform a volunteer company, and to properly provide
for the family of each member.” The sum of $4,000 was
appropriated, and it was voted to pay each volunteer of the
proposed company $10 each month while in active service, it being
supposed at the time that the soldiers were to serve a term of three
months.5

There were but few citizens of the town who possessed even the
slightest knowledge of military matters, and these were mostly old
men who had served in the war of 1812, or had trained at old-
fashioned musters. At a time like this, they were naturally looked to
for advice; but they had little to give, for their experience as soldiers
had been a bloodless one. Wisely estimating, however, the
importance of their new position, they furbished up all their well-
worn yarns of camp-life at the “Gurnet” and “South Boston Flats,”
and told them over again with scarcely enough of exaggeration to
make them interesting.

The majority of these old worthies had forgotten the most of their
drill, and had they remembered it, it would have been of little value
to the volunteers of 1861, for the tactics of Steuben had been
replaced by those of the gallant old Scott.

The volunteers were compelled, therefore, to depend upon

themselves, and in order to prepare as much as possible for active
service, held nightly drill-meetings at the town-house, using muskets
that had been procured from the State Arsenal.

The company had not been accepted by the State as a part of the
militia, and the selectmen of the town for a while were compelled to
act as quartermasters-general and commanders-in-chief. As
quartermasters, they provided the uniform under the vote of the
town, and fixed upon its style, which was very odd, being a sort of
cross between the dress of an artilleryman and a common sailor, but
not having the comforts or beauty of either. This uniform consisted
of gray hip trousers trimmed with red, a blue shirt with a rolling
collar ornamented with red braid, and a gray fatigue-cap; shoes,
stockings, and underclothing were also furnished, while the patriotic
women of the town provided each soldier with a neatly-arranged
case of thread, needles, yarn, pins, towels, and other articles of use.

On the first day of May, a meeting of the company was held for the
election of commissioned officers (in the building now occupied by
the Catholics as a church), presided over by Captain William C.
Lovering of the State militia.

At this meeting, Thomas Bates was elected Captain;6 Nathan D.

Whitman, First Lieutenant; Josiah E. Richmond, Second Lieutenant;
Elisha S. Holbrook, Third Lieutenant; and Lucius D. Burbeck, Fourth
Lieutenant.

Eight days after this, Captain Bates received an order from the
Adjutant-General of Massachusetts, directing him to proceed to
Boston with his company on the following morning. The news that
the company had been ordered away spread over the town in the
course of a few hours, so that when it took up its march for the
depot on the morning of the 9th, nearly the entire population
gathered to witness this novel sight, for the like had not been seen
in the old town since the year 1814, a period of nearly fifty years.

The ardor of the volunteers was destined to encounter a severe

check. Arriving in Boston, they were met by Colonel Horace Binney
Sargent of the Governor’s staff, who ordered them to repair to the
hall in the depot-building of the Old Colony Railroad Company, where
was assembled Captain Chipman’s company from Sandwich. Here
the men of both commands were addressed by Colonel Sargent,
who told them that the Governor had received instructions from the
War Department that no more militia troops would be accepted by
the United States Government, and that unless they were prepared
to re-enlist for the term of three years, they must give up their arms
and go home.

There was no doubt about the patriotic intentions of these men; but
many of them had families, and none had made, before leaving their
homes, suitable preparations for so long a period of absence, and
accordingly both companies voted not to enlist at that time for the
long term of three years.

This action made it necessary for them to endure the humiliation of

returning home, from whence they had marched in pride only a few
hours before, where they had been wept over by the kind-hearted
women, and hundreds of their neighbors had bidden them
affectionate adieus.

But to return disarmed was to their minds a great disgrace, and not
being willing to endure it, the volunteers from East Bridgewater
appealed to their stanch friend, Hon. Benjamin W. Harris, who had
accompanied them to Boston, to interpose his influence to obtain a
reversal of the latter order.

This was accomplished, and when the time arrived to take the
returning train, each man seized his musket, and one of them took
two, as a partial offset to what he considered unfair treatment
toward him and his comrades; and, to the great amusement of those
who were present, the indignant volunteer, who was of gigantic
stature, stalked sullenly through the hall, down several flights of
stairs, along the platform to the cars, grasping the muzzle of a gun
in each hand and dragging the pieces after him, his face plainly
indicating extreme rage and a feeling of bitter disappointment.

In the course of a few days after the return of the company to East
Bridgewater, a reorganization of it was effected upon the basis of
three years’ service.

On Sunday, May 12, the company attended, in uniform, divine

service, at the Unitarian Church, where a sermon was preached by
the Rev. Timothy O. Paine, from the text: “He loveth our nation, and
he built us a synagogue.” Luke vii. 5.7

May 14, the company held a second meeting for the election of
officers, and chose Lebbeus Leach of Boston for Captain, reaffirmed
their choice of Nathan D. Whitman as First Lieutenant, and elected
Elisha S. Holbrook as Second Lieutenant. Captain Leach was born in
Bridgewater, and belonged to one of the oldest families of the
ancient township, being a lineal descendant of Giles Leach of
Weymouth, who settled in the West Precinct as early as 1665; and
one of his paternal ancestors lost his life in the French and Indian
war. Captain Leach was fifty-nine years old at the time of his
election, and had seen some service in the militia.

Lieutenant Whitman was likewise of a very old and respectable

Colonial family, from whence have sprung a long line of able and
distinguished men. His first ancestor in this country was John
Whitman of Weymouth, the first military officer of that town, and his
ancestor Thomas (son of John) came to East Bridgewater in 1662.

Lieutenant Holbrook was a native of Braintree, Mass., had resided

several years in East Bridgewater, and was very active in the
formation of the company.

A large majority of the members of the company were also natives

of Plymouth County, whose ancestors were among the early or first
settlers of the Old Colony. We speak of these things, not from a
feeling of boastfulness, but to show to the reader how purely
American was this command, and how directly allied with the history
and traditions of the ancient colony were these volunteers.

On the afternoon of the 17th of May, the company received orders

to proceed to Boston on the day following. Night messengers were
despatched to all parts of the town and adjoining towns where the
members resided, and at an early hour the next morning every man
reported for duty at the town-house.
Though it was barely six o’clock in the morning when the company
reached the flagstaff (then standing in front of J. Folsom’s house),
from which the Stars and Stripes were flying, and where they were
addressed by Mr. Harris, yet a large majority of the inhabitants of
the town had assembled there; and so intense was the war spirit
that pervaded the community, that many of the male spectators
freely offered the volunteers considerable sums of money for their
chance to serve as soldiers.

Upon reaching Boston, the company proceeded to Faneuil Hall,

where the members signed a formal enlistment-roll for a term of
three years’ service; from Faneuil Hall, they marched to the State
House, receiving here canteens, haversacks, and other equipments;
and here, also, they met Governor Andrew, who seemed to take a
deep personal interest in each one of them.

Dinner had been prepared for the company at the Hancock House,
Court Square, at the expense of the town of East Bridgewater, under
the direction of Mr. George Bryant and Hon. B. W. Harris, both of
whom were present and dined with the soldiers at two o’clock in the
afternoon. At the conclusion of the dinner, the company marched to
Federal Street, where each man received a knapsack, one of the
gray overcoats, a rubber and woollen blanket, tin cup, plate, spoon,
knife, and fork; and when these articles had been distributed,
marched to Commercial Wharf, where it went on board the
“Cambridge,” a screw steamer, then in the service of the State. This
was about four o’clock in the afternoon; and here assembled Captain
Barnes’s company of East Boston, Captain Doten’s company from
Plymouth, Captain Chipman’s company from Sandwich, and a body
of recruits for the Fourth Regiment,—all to take passage in the same
steamer for Fortress Monroe, Va.

At about five o’clock, the steamer hauled out of the dock and passed
down the harbor, receiving and returning a salute from Fort Warren.
By the time Provincetown was reached, it was quite dark, and the air
becoming cold, the soldiers sought shelter below, where they passed
the night in much discomfort; for crowded between-decks were
nearly five hundred men, and with no adequate means of
ventilation, the air soon became overheated and foul.

Sunday the 19th of May was very fine; but as the sun went down,
threatening clouds gathered in the east. Soon after dark, the storm
burst upon the vessel, then off the coast of Delaware, with great
fury. She was ill-adapted to ocean navigation, and being heavily
loaded, labored greatly with the sea. Before the storm began, the
men had been singing, telling funny stories, and bandying jokes; but
a few rolling motions of the steamer made the large majority of
them less mirthful, and gulps and groans were heard in every
quarter of the dark apartment.

The steamer was armed with two heavy guns, mounted between-
decks. At about midnight, one of these pieces broke away from its
fastening and began plunging against the side of the vessel. Every
soldier not utterly prostrated by sea-sickness sprang to his feet,
manned the gun-ropes, and by hard work brought the gun into
position and secured it;—not a moment too soon, for perhaps
another blow against the side would have made a ragged hole,
through which the merciless sea would have rushed unchecked,
engulfing boat and passengers.

The storm continued till the noon of the 21st, during which time the
steamer had passed south of the entrance to Chesapeake Bay and
reached a point in dangerous proximity to the sunken reefs off
Hatteras Inlet, on the coast of North Carolina. The “Quaker City,” a
United States steamer cruising in that vicinity, hailed the
“Cambridge,” just in season, it is confidently believed, to save her
from being stranded upon the then inhospitable coast of that region.

Fortress Monroe was reached about noon of the 21st, and with but
slight delay the volunteers were landed, those not wholly disabled by
the voyage bounding ashore with the glee of escaped prisoners.
When the men left their homes, the grass there had scarcely put off
its seared and gray coating of winter; here nature had all the vernal
appearance of mid-summer, the trees were in full leaf, and the air
laden with the rich perfume of roses that bloomed about the officers’
quarters in the fort and the many attractive residences outside the
walls. Captain Leach’s company and the East Boston men were
assigned camping-ground in the midst of a group of beautiful live-
oaks, in the southerly part of the fortress, and were furnished new
and commodious tents and a liberal supply of clean fresh straw.

On the day after the arrival, May 22, the company was examined by
the Surgeon of the Post, and Privates Francis C. Bryant, Oliver H.
Wade, Henry B. Rogers, Edmund Reed, and R. H. Quinley were
rejected; the others being sworn into the service for three years,
and the company assigned to duty with the Fourth Regiment of
Massachusetts Militia.

The arms of the men, which had been furnished by the State, were
old smooth-bores, altered from flint-lock to percussion; but no
ammunition was supplied by the State, nor was any issued to them
by the United States Government till late in the summer of 1861.

This chapter being designed to trace the history of the company

from its organization to its entrance into the service, it is only
necessary to add, that it took the letter “L” in the Fourth Regiment,
served in it till July 16, 1861, then became a part of the
Massachusetts Battalion (still retaining the letter “L”), and on the
13th of December, 1861, of the Twenty-ninth Regiment, in which it
was designated as “C” company.
 CHAPTER V.

Captain Charles Chipman’s Company, “Sandwich Guards.” [“D” in the Third

Regiment, “D” of the Massachusetts Battalion, and “D” of the Twenty-
ninth Regiment.]

With a notice of only a few hours, a very large meeting of the

inhabitants of Sandwich, Barnstable County, was held on the evening
of Saturday, April 20, 1861. The news of the assault upon the Sixth
Massachusetts Regiment, in Baltimore, had reached the town, and
produced extreme excitement. The meeting was called “to devise
ways and means for the raising a company of troops for the defence
of the country,” and was called to order by Theodore Kern, Esq. Dr.
Jonathan Leonard was chosen to preside, and E. S. Whittemore,
Secretary. After appropriate remarks upon the objects of the
meeting, Dr. Leonard introduced to the people, Major S. B. Phinney,
editor of the “Barnstable Patriot,” who made a stirring address, “...
declared his unwavering fidelity to the Union, and determination to
sustain the National Administration in its efforts to crush out treason
and rebellion.”

Addresses were also made by Dr. I. N. Swazey, E. S. Whittemore,

Nathaniel F. Fessenden, and Otis Freeman.

“On motion of Theodore Kern, Esq., it was voted, that the sum
of $20 be immediately raised by subscription, as a bounty to
each man who should enlist in the campaign, and by a
subscription-paper the sum of $626 was pledged in the course
of the evening, in sums varying from $5 to $70; Major Phinney
contributing $70, and promising a stand of colors to the
company when formed.”8
An informal enlistment-roll was opened at this meeting, receiving the
signatures of a large number of young men, among whom was
Charles Chipman, who had served in the regular army as a sergeant.
A committee of nine gentlemen was chosen “to thoroughly canvass
the town and raise the balance of the bounty money,” while another
committee of three was appointed to wait on the Governor and offer
the services of the company to be raised; also to make
arrangements for equipping it.

Nothing that we could say would so well serve to show the good
spirit and patriotism of the people of Cape Cod, excited by the then
recent acts of treason on the part of the South, as the language and
tone of the local papers of that period. A copy of the “Barnstable
Patriot” (the chief paper of the Cape) of May 23, 1861, is before us
as we write, and by its loyal utterances, calls back freshly to our
memory those days when the great free North was preparing itself
to strike a blow for liberty and the Union.

The paper of which we have spoken, as indeed were most of its

issues of that period, is principally devoted to war news, its principal
editorial column being headed by these familiar lines,—

“And this be our motto, ‘In God is our trust!’

And the Star Spangled Banner in triumph shall wave
O’er the land of the free and the home of the brave.”

Following these words was a picture of the American flag, and

beneath, this motto,—

“Our flag floats to-day, not for party, but for country.”

The work of recruitment progressed so rapidly, that on the 6th of

May the company was ready to complete its organization by the
choice of commissioned officers. The election was presided over by
the selectmen of the town; namely, Mason White, Seth B. Wing, and
Isaiah Fish. Charles Chipman was chosen Captain; Charles Brady,
First Lieutenant; Henry A. Kern, Second Lieutenant; Alfred E. Smith,
Third Lieutenant; James H. Atherton, Fourth Lieutenant; and the
company adopted the name of the “Sandwich Guards.”

Two days later, May 8, in obedience to orders from Governor

Andrew, Captain Chipman proceeded with his company to Boston,
with the assurance from headquarters that he was to be sent to
Fortress Monroe, Va., on the steamer “Pembroke,” then lying in
Boston Harbor. The departure of this body of soldiers was of course
a great event in the history of the town, as well as that of Cape Cod;
for it was the first volunteer company raised in that section of the
State, and a great multitude of people gathered at the railway
station to bid the soldiers farewell, and to strengthen by kind words
their purposes of duty. The kind feelings of the citizens prompted
several of them to follow the company to Boston, among them Major
Phinney, and provide for the men a bountiful supper at the United
States Hotel. On the night of the 8th, the soldiers were quartered in
the hall of the Old Colony Railroad Company’s depot, on Kneeland
Street, and during the evening were visited by Adjutant-General
Schouler, who addressed them upon the state of the country and the
nature of their duties as soldiers, but gave them no intimation of the
disappointment that was in store for them on the following day.

The company had enlisted for the term of five years in the State’s
service, and with the understanding that it was to be attached to the
Third Regiment of Massachusetts Militia, then at Fortress Monroe.
On the morning of the 9th, each member of the company was
provided with a full Third Regiment uniform, and, later in the day,
when they had been joined by the company from East Bridgewater
(Captain Bates), Colonel Horace Binney Sargent, aide-de-camp to
the Governor, visited them, and without making any explanation,
informed them that, in order to be accepted as a part of the
volunteer forces of the United States, they must enlist for the term
of three years. This was a great blow to the enthusiasm of the men;
for while they were willing to enlist for this term, yet they had left
their homes and their families without making adequate preparations
for so long a time, and they thereupon quite unanimously
determined to return.

On their arrival in Sandwich, on the evening of the 9th, they

proceeded at once to the Town Hall, to which they were escorted by
a large body of citizens. Here, after an eloquent speech by Hon. J.
M. Day, Judge of Probate for Barnstable County, who explained to
them the military reasons for changing the term of enlistment,
Captain Chipman called the roll, and, with a single exception, the
men engaged to serve for three years.

As an essential and deeply interesting part of the early history of this

command, we now come to the action concerning it of the town of
Sandwich, in its capacity of a corporation, such actions being always
more solemn than those of individuals, because more deliberate, and
taken after more mature consideration.

The voters were summoned to meet at the Town Hall on Saturday,

the 11th of May, 1861, “then and there to act on the following
articles:—

“1st. To choose a Moderator to preside at said meeting.

“2d. To consider the duty of the town in the present condition of

the country, and to take any action that may be thought
expedient to assist in the defence of the national honor, and to
see if the town will vote to raise the sum of four thousand
dollars, or such other sum as may be agreed upon, to be
applied to the support and maintenance of the families of such
persons as may volunteer and act in the service of the United
States, to aid in the defence of our country and the preservation
of our Union, and to act upon all matters relating to the
above.”...
The following is a transcript of the records of this meeting:

“Sandwich, May 11, 1861.

“Pursuant to the warrant, the inhabitants of the town of Sandwich

assembled in the Town Hall, and proceeded to the business named
in said warrant.

“1st. Chose Charles B. Hall, Esq., Moderator.

“2d. The second article in the warrant coming up, viz., ‘To consider
the duty of the town in the present condition of the country, and to
take action thereon,’ it was voted that a committee of five (5) be
chosen to retire and make a report, and present the report to the
meeting.

“The following persons were chosen said committee: Theodore Kern,

Dr. Jonathan Leonard, Charles Dillingham, Charles Southack, and
Benjamin F. Bourne; and the following is the report of the
committee:—

“‘First, That the treasurer of the town, with the consent and at
the discretion of the selectmen, be authorized to borrow a sum
not exceeding four thousand dollars ($4,000), in sums as shall
be needed, for the benefit of the families of those persons from
this town who may enlist in the service of the Government in
defence of our constitutional liberties. Second, That the sum so
borrowed shall be disbursed by the selectmen in the following
manner: A man that leaves a wife shall receive two dollars per
week; a wife and child, three dollars per week; and fifty cents
per week for each additional child under fourteen years of age.
Third, That the selectmen be authorized and instructed to assist
such families who are dependent upon any volunteer for their
support, to which in their judgment the above rule does not
apply. Fourth, That the town furnish the company, when called
for, a suitable uniform, with this condition: when the company is
officially accepted.
 “‘Theodore Kern.
“‘J. Leonard.
“‘Charles Southack.
“‘B. F. Bourne.
“‘Charles Dillingham, Sec’y.’

“The foregoing report was read and accepted.

“The several parts of the report were then taken up separately,

and, after discussion, were unanimously adopted.

“Voted, That all citizens of Sandwich volunteering in companies

out of Sandwich, having families,—and also all persons from
other towns volunteering in this company, having families,—be
included in the above appropriation, provided there should not
be an appropriation for them by the towns from which they
come, or in which our citizens have volunteered.

“Voted, To raise the sum of five hundred dollars ($500), to

defray the expense of purchasing uniforms for the company.

“Voted, That a committee of four be chosen to purchase the

material for uniforms. The following were chosen as that
committee: Captain Charles Chipman, Joseph B. Hersey, Charles
Southack, J. Henry Peirce.

“Voted, That the families of volunteers receive their money once

in two weeks.”

Under this action of the town, uniforms were furnished the officers
of the company; but, as already appears, the State provided clothing
for the enlisted men. As in other communities, the ladies of
Sandwich contributed with loving hands to the patriotic work of
equipping these volunteer soldiers, fitted them out with cases of
thread, needles, towels, etc., and provided each man with
comfortable underclothing and other articles of necessity.
On the 16th of May, Captain Chipman received an order from
Adjutant-General Schouler to report with his command, in Boston,
on Saturday, May 18, to leave for the seat of war. At nine o’clock on
the morning of the 18th, the company, with full ranks, assembled at
the town-house, and, in the presence of a large audience, Major
Phinney presented the company the flag he had promised them,
accompanying the presentation with a well-considered and eloquent
speech. The flag was a beautiful and costly gift, was of fine blue silk,
bearing—

“... on one side, in the centre, ... the figure of an uplifted right
arm grasping the sword of Liberty. Above this figure were the
words, in golden letters, ‘The Right Arm of Old Massachusetts,’
and below it the motto, ‘God Speed the Right,’ the whole being
enclosed in a circle of gold stars. On the reverse side was an
American eagle, grasping in one talon a sheaf of arrows, and in
the other the olive-branch of peace, and holding in its beak a
ribbon-scroll, bearing the words, ‘E Pluribus Unum,’ and below it
the motto, ‘Our Whole Country,’ all surrounded by gold stars.”9

Captain Chipman accepted the flag, and responded for himself and
his command, promising to protect both the flag and the Union to
the extent of their ability. Hon. George M. Marston of Barnstable was
the last to address the soldiers, speaking of the company as “the
representative of Cape Cod, the first and perhaps the only company
from the old right arm of the Commonwealth that will be mustered
into the service of the United States.” He fitly concluded his remarks
by “a generous offer of personal or professional service to each or all
of themselves or families who might need such service.”

Upon the conclusion of these deeply-interesting exercises, the

company formed, and, escorted by a band of music and nearly the
entire population of the town, and large numbers of people from the
surrounding towns, marched to the railway station and proceeded to
Boston, where they were generously entertained by Sewall H.
Fessenden, Esq., agent of the Boston and Sandwich Glass Company.
At about five o’clock in the afternoon of the same day (May 18), the
command, together with those of Captains Leach, Barnes, and
Doten, embarked on the steamer “Cambridge” for Fortress Monroe,
arriving at this post on the 21st. They were mustered into the
service for three years on the 22d, by Lieut. C. C. Churchill of the
Third Artillery, U. S. A., and at once assigned to duty with the Third
Regiment, M. V. M., taking the letter “D,” and retaining it throughout
their whole term. In July, 1861, when the three months’ term of the
Third Regiment expired, and that regiment returned to
Massachusetts, Company D became a part of the Massachusetts
Battalion (formed of this and the six other three years’ companies
spoken of in this work), and, in December, 1861, a part of the
Twenty-ninth Regiment of the Massachusetts Volunteers.
 CHAPTER VI.

Captain Samuel H. Doten’s Company, “Plymouth Rock Guards.” [“E” in the

Fourth Regiment, “E” of the Massachusetts Battalion, and “E” of the
Twenty-ninth Regiment.]

The honored old Pilgrim town of Plymouth was among the first in
the State to take an active part in the work of furnishing troops for
the Union army. Here was an organized body of militia known as the
“Standish Guards,” commanded by Captain Charles C. Doten. The
company was “B” of the Third Regiment of Militia, and left for the
seat of war on the 16th of April, 1861. On this occasion, the town
was stirred as it had not been since the days of the Revolution;
hundreds of the townspeople—among whom could have been found
some of the most ardent and intelligent patriots in the country—
gathered at an early hour in the morning to witness the departure of
its first soldiers of the war.

The company had received its orders to march during the night of
the 15th, by a messenger from New Bedford, who had ridden
horseback from Wareham, through the dark, pine forests that lay
between that town and Plymouth, and in the midst of a storm of
rain. The departure of the soldiers was so sudden, that the majority
of them went away without having made any preparations for the
care and maintenance of their families. But the good people of
Plymouth were not unmindful of this fact, and, on the 20th of April,
a large public meeting assembled, under a call of the selectmen of
the town, “to take such steps as may be necessary to secure ample
provision for the families of those who have enlisted for the defence
of their country.”
The meeting was presided over by Hon. William T. Davis, and the
following resolutions, offered by John J. Russell, Esq., were adopted:
—

“Resolved, That it is our pleasure, as well as our duty, to see to

it that our brave volunteers be encouraged by the knowledge
that the welfare of those near and dear to them is made the
care of their fellow-citizens who remain at home.

“Resolved, That the selectmen be requested to apply and

distribute, at their discretion, a sum not exceeding two
thousand dollars, towards the assistance of those families who,
by the sudden departure of the troops, are left in need of
pecuniary aid,—such sum to be raised by borrowing, in the
name of the town, or in such other way as the selectmen shall
deem expedient.”

On the very day of this meeting, Samuel H. Doten, a brother of

Captain Charles C., was busily engaged in forming a volunteer
company in this town, and had already secured nearly a full
complement of men. The public meeting referred to was not a
regularly-warned town meeting, and the resolutions that had been
adopted by it could not be carried out, except they received the
sanction of the voters, legally called together for that purpose. On
the 11th of May, therefore, in pursuance of a call dated May 4, the
town assembled in meeting, chose Moses Bates, Esq., as Moderator,
and, upon motion of Hon. Charles G. Davis, adopted the suggestions
of the citizens’ meeting, and made the following provision for the
three years’ volunteers of Captain Samuel H. Doten’s company:—

“Voted, That the sum not exceeding fifteen hundred dollars is

hereby appropriated for clothing and equipping such volunteers,
for three years’ or more service, as are citizens of this town.

“Voted, That six dollars per month to each citizen of this town
having a family, and four dollars per month to each citizen of
 this town who is single or unmarried, excepting commissioned
officers, who shall enlist in the service of the United States for
the war, shall be paid, and the same is hereby appropriated by
the town, as extra compensation for the term of actual service
during one year, from the first day of May current, to be paid in
money in such manner ... as the selectmen shall deem
expedient.”

At the same meeting, the treasurer of the town was authorized to

borrow “such sums of money, under the direction of the selectmen,
as shall be necessary to carry the above votes into effect.” It was
known that the company now forming would soon be ordered away,
and the work of preparing them for the field at once began. The
selectmen purchased the materials for the uniforms, and the women
met together and cut and made them, and also, with the assistance
of the people generally, provided each volunteer with shoes and
stockings.

In order to give the record of this company correctly, we must go

back a little, and name the dates of the several acts and measures
that concern its formation. April 24, the first drill-meeting was held,
followed on the 6th of May by an election of officers, under Captain
Lovering of the militia. Samuel H. Doten, a gentleman considerably
advanced in years, was chosen Captain; John B. Collingwood, First
Lieutenant; and Thomas A. Mayo, Second Lieutenant.

At a later date, and before the company was ordered away, the
people presented each of the officers with swords and other
equipments. The uniform furnished the enlisted men was similar to
that worn by the Third Regiment, and consisted of a full suit of
reddish gray clothes, the coat reaching to the hips, and the whole—
coat, trousers, and cap—trimmed with red braid. This uniform, and
other articles furnished, cost the town $1,025.49.

On the 17th of May, Captain Doten received an Order from Adjutant-

General Schouler to report, with his company, in Boston, on the
morning of the 18th. The people of the town were soon apprised of
this fact, and early in the morning of the 18th, as soon as the
soldiers began to assemble at their headquarters, the citizens—men,
women, and children—flocked by hundreds from all parts of the
town, to witness a repetition of the scenes of April 16. The spirit of
patriotism and kind feeling never ran higher, or displayed itself in a
more beautiful and touching manner, than on this historic morning.
The men were going to the field, and the fact was not only realized
by those who gathered to watch their departure, but it touched a
chord of sympathy in their hearts, that at once overcame all
selfishness, and led to deeds of generosity that moved the soldiers
to tears. As the company stood in line, waiting for the final order to
march, one after another of the citizens approached them, and,
seizing their hands, left in them sums of money varying from five
dollars to one hundred, accompanying each gift with a hearty “God-
speed” and an affectionate “farewell.”

A band of music and a company of militia, appropriately called the

“Home Guards,” performed escort duty on the march of the
volunteers from their quarters to the railway station, where there
was a repetition of hand-shaking and utterance of kind words. The
swift train that bore them toward the metropolis—not a few of them
never to return—was eagerly watched by the thronging multitude till
it was lost to sight, some of the soldiers standing upon the platforms
of the cars and exchanging greetings with their neighbors and
friends by waving their hats as they whirled away on their sad and
eventful journey.

At South Abington, they were met by Captain Leach’s company from

East Bridgewater, which took the same train to Boston, where the
two commands marched to Faneuil Hall, there signing a more formal
enlistment-roll than the one previously signed by them, and from
thence to the State House, receiving at the latter place arms and the
gray overcoats prudently provided by Governor Andrew, at a time
when the great mass of the people regarded the threats of war as
idle bluster. As stated in former chapters, this company left Boston
for Fortress Monroe on this day (May 18), with the three companies
of Leach, Barnes, and Chipman, arrived at its destination on the
21st, and was mustered into the service for three years on the 22d.
The company had been designated as a part of the Third Regiment,
by Governor Andrew, before it left Massachusetts, and immediately
upon its muster, took quarters with that regiment, then forming a
part of the garrison of Fortress Monroe, and served with it as long as
the latter remained in the service, namely, July 16, 1861, when it
became a part of the Massachusetts Battalion. The company took
the letter “E” upon joining the Third Regiment, and retained it ever
afterward, both in the battalion and in the Twenty-ninth Regiment,
of which it also became a part on the 13th of December, 1861.

The company left Plymouth with seventy-four enlisted men and

three commissioned officers, sixty-seven of whom were citizens of
that town. The commissions of the officers are dated May 6, 1861.
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