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␈↓ ↓H␈↓¬␈↓ α≡OFFICE MEMORANDUM  *  STANFORD UNIVERSITY  *  OFFICE MEMORANDUM

␈↓ ↓H␈↓ε␈↓ β=STANFORD LOW OVERHEAD TIME-SHARING SYSTEM

␈↓ ↓H␈↓α␈↓ ¬ONovember 19, 1979




␈↓ ↓H␈↓αTo:␈↓ αH␈↓Internal Audit

␈↓ ↓H␈↓␈↓αFrom:␈↓ αH␈↓John McCarthy and Ralph Gorin

␈↓ ↓H␈↓αSubject:␈↓ αH␈↓Reply to Auditor's Recommendations of August 14.

␈↓ ↓H␈↓We␈α
are␈α
grateful␈αfor␈α
the␈α
e≥ort␈αput␈α
into␈α
the␈αaudit␈α
and␈α
have␈αcarefully␈α
considered␈α
the␈α
≡ndings␈αand
␈↓ ↓H␈↓recommendations.

␈↓ ↓H␈↓We␈α∞are␈α∂somewhat␈α∞disappointed␈α∞by␈α∂the␈α∞imprecision␈α∞of␈α∂the␈α∞≡ndings,␈α∞but␈α∂we␈α∞must␈α∞admit␈α∂that␈α∞we
␈↓ ↓H␈↓knew␈α∂no␈α∂way␈α∞of␈α∂getting␈α∂the␈α∞information␈α∂we␈α∂wanted␈α∞and␈α∂only␈α∂hoped␈α∞that␈α∂the␈α∂internal␈α∞auditors
␈↓ ↓H␈↓would be able to get it.

␈↓ ↓H␈↓Our␈α
hope␈α∞was␈α
to␈α∞≡nd␈α
out␈α∞whether␈α
a␈α∞large␈α
enough␈α∞part␈α
of␈α∞LOTS␈α
resources␈α∞was␈α
being␈α∞used␈α
for
␈↓ ↓H␈↓ineligible␈α
purposes␈α
to␈α
justify␈α
additional␈α
measures␈α∞to␈α
reduce␈α
it.␈α
 For␈α
example,␈α
would␈α∞employing␈α
a
␈↓ ↓H␈↓bureaucrat␈α∂to␈α∞look␈α∂more␈α∞carefully␈α∂into␈α∞eligibility␈α∂recover␈α∞enough␈α∂resources␈α∞to␈α∂justify␈α∂his␈α∞salary.
␈↓ ↓H␈↓Unfortunately,␈αwe␈αstill␈αdon't␈αknow␈αhow␈αmuch␈αLOTS␈αis␈αlosing␈αin␈αthis␈αway,␈αalthough␈αthe␈α
fact␈αthat
␈↓ ↓H␈↓the␈αaudit␈αturned␈αup␈αno␈αsubstantial␈αimproper␈αuse␈αleaves␈αintact␈αour␈αintuitive␈αfeeling␈αthat␈αnot␈αmuch
␈↓ ↓H␈↓is␈α∂to␈α⊂be␈α∂gained␈α⊂by␈α∂more␈α⊂elaborate␈α∂procedures.␈α∂ Of␈α⊂course,␈α∂customs␈α⊂of␈α∂improper␈α⊂use␈α∂sometimes
␈↓ ↓H␈↓develop with time, so perhaps the matter should be investigated again in a couple years.

␈↓ ↓H␈↓Here␈αis␈αour␈αresponse␈αto␈αthe␈αspeci≡c␈αrecommendations.␈α Since␈αneither␈αtheir␈αexpected␈αcosts␈αnor␈αtheir
␈↓ ↓H␈↓expected␈α∀bene≡ts␈α∀were␈α∀expressed␈α∀in␈α∀dollars,␈α∀our␈α∀responses␈α∀are␈α∀based␈α∀on␈α∀our␈α∃best␈α∀intuitive
␈↓ ↓H␈↓judgment.

␈↓ ↓H␈↓1 has been done.

␈↓ ↓H␈↓While␈α∪recommendations␈α∪2␈α∪thru␈α∪5␈α∪are␈α∪somewhat␈α∩vague,␈α∪we␈α∪are␈α∪trying␈α∪to␈α∪do␈α∪more␈α∪in␈α∩these
␈↓ ↓H␈↓directions.

␈↓ ↓H␈↓Locking␈α∂the␈α∂computer␈α∂room,␈α∂recommendation␈α∂6,␈α∂is␈α∂not␈α∂currently␈α∂feasible,␈α∂because␈α∂users␈α∞require
␈↓ ↓H␈↓access␈α
to␈α
the␈α
one␈α
tape␈α
drive␈α
at␈αall␈α
hours.␈α
 Moreover,␈α
the␈α
consequences␈α
of␈α
computer␈αmalfunction␈α
are
␈↓ ↓H␈↓often␈αmitigated␈αby␈αfree␈αand␈αinformal␈αaccess␈αto␈αthe␈αcomputer␈αroom␈αby␈αusers␈αwho␈αsometimes␈αdo␈αthe
␈↓ ↓H␈↓right thing.

␈↓ ↓H␈↓In␈αthe␈αalmost␈αthree␈αyears␈αof␈αfree␈αaccess␈αto␈αthe␈αcomputer␈αroom,␈αnothing␈αhas␈αhappened␈αto␈α
make␈αus
␈↓ ↓H␈↓regret␈αit.␈α
 There␈αis␈α
essentially␈αnothing␈α
attractive␈αto␈α
thieves␈αin␈α
the␈αroom,␈α
and␈αsabotage␈αof␈α
computers
␈↓ ↓H␈↓is not a currently occurring crime.