PWR manufactures precision nozzles for fire hoses. Ronald Paige, an engineer, started the corporation and it has experienced steady growth. Reporting to Ronald are six vice presidents representing marketing, production, research and development, information services, finance, and human resources. The information services department was established last year when PWR began developing a new information system consisting of a server connected to each employee’s personal computer. The PCs can download and upload data to the server. PWR is still designing and developing applications for its new system. Ronald received a letter from the external auditor and called a meeting with his vice presidents to review the recommendation that PWR form an information systems steering committee.
REQUIRED
a. Explain why the auditors would recommend an information systems steering committee, and discuss its specific responsibilities. What advantages can the committee offer PWR?
b. Identify the PWR managers most likely to serve on the committee. (CMA Examination, adapted)
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