(02) Creating Competitive Advantage with Inter organizational Information Systems Flashcards
What is the main purpose of this study?
To generate classifications and a framework to guide the search for opportunities. The ideas do not constitute a procedure leading inexorably to competitive advantage. However, they have been of value when combined with an appreciation of the competitive dynamics of specific industries and a grasp of the power of information.
What implications result form the fact that IOS spread across organizational boundaries?
(1) First, IOS must provide incentives for use to all intended participants.
(2) Second, since the participants typically have different goals and interests, an IOS must include provisions for reliability, data security, user privacy, and system integrity that exceed what might be built into an internal system
(3) Third, it is not sufficient for an IOS to improve the overall efficiency of an industry; it must provide some positive return to its sponsor. On the other hand, because IOS can improve the situation of several companies simultaneously, they may provide more strategic leverage than traditional systems.
What implications result form the fact that IOS spread across organizational boundaries?
(1) First, IOS must provide incentives for use to all intended participants.
(2) Second, since the participants typically have different goals and interests, an IOS must include provisions for reliability, data security, user privacy, and system integrity that exceed what might be built into an internal system
(3) Third, it is not sufficient for an IOS to improve the overall efficiency of an industry; it must provide some positive return to its sponsor. On the other hand, because IOS can improve the situation of several companies simultaneously, they may provide more strategic leverage than traditional systems.
In order to understand strategic opportunities for the use of IOS, it is helpful to categorize lOS in a number of ways. This article proposes classifications based on:
(1) Business purpose of the system (Why utilize an IOS?)
(2) The relationship between the sponsoring organization and the other participants (Who will participate in the IOS?)
(3) and on the information function in the system (What functions will the IOS perform?)
The three functions discussed form a continuum in the extent to which they are integral to the operations of participants. This continuum is important for several reasons. State these reasons.
The attempt to improve comparative efficiency through an IOS consists of several actions. Name these actions and explain them.
(1) Begin by examining existing flows of information across organizational boundaries.
Orders, invoices, specifications, bids, inquiries, confirmations, notices, claims, and soon. The goal is not so much to automate what exists as to uncover the source, content, and destination of each flow. Could the flow be captured closer to its origin or delivered closer to its destination, perhaps by cutting out an intermediary?
(2) After you have discovered what information “does” flow you should look at what information “could” flow.
What other information - instructions, assistance, parts and supplies ordering, etc. could be supplied to customers via an IOS?
