Bayer HealthCare Delivers a Dose of Reality for Cloud Payoff Mantras in Multinationals – Winkler, Piper, Benlian & Hirsch Flashcards

1
Q

(Article: Bayer HealthCare Delivers a Dose of Reality for Cloud Payoff Mantras in Multinationals )

What are theACCEPTED BELIEFS ABOUT CLOUD PAYOFFS ?

A
  • computing can provide benefits to all orgas regardless of size and geographical scope  not true as reality is muss more complex = one-size-fits-all approach not possible
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2
Q

(Article: Bayer HealthCare Delivers a Dose of Reality for Cloud Payoff Mantras in Multinationals )

What are BHC’S organisation?

A

BHC’S organisation: local and global business processes are of high complexity & heterogeneity

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3
Q

(Article: Bayer HealthCare Delivers a Dose of Reality for Cloud Payoff Mantras in Multinationals )

What are IT organisation?

A

IT organisation: both global and local IT units  local units: strong ownership over IT systems; global units: divided into a) demand IT functions – provides IT expertise to major business functions b) supply IT functions provided at group level

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4
Q

(Article: Bayer HealthCare Delivers a Dose of Reality for Cloud Payoff Mantras in Multinationals )

What is the motivation for cloud initiative?

A

motivation for cloud initiative: reduce complexity and costs for numerous heterogeneous CRM systems and thus harmonise global marketing and sales processes globally

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5
Q

(Article: Bayer HealthCare Delivers a Dose of Reality for Cloud Payoff Mantras in Multinationals )

What is mantra 1?

A

MANTRA 1: HIGH COST ADVANTAGES
* reason for cost advantages: 1) no upfront investment 2) ongoing cots variable to needs of firm
* relevant factor: cost reduction only true for larger countries operating several legacy systems, smaller countries have much simpler needs which make cloud solutions costly

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6
Q

(Article: Bayer HealthCare Delivers a Dose of Reality for Cloud Payoff Mantras in Multinationals )

What is mantra 2?

A

IMPLEMENTATION TIME FOR CLOUD SOLUTIONS IS SHORT
* relevant factor: implementation of country-specific regulatory requirements can take long while + time to mitigate from heterogeneous legacy systems

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7
Q

(Article: Bayer HealthCare Delivers a Dose of Reality for Cloud Payoff Mantras in Multinationals )

What is mantra 3?

A

MANTRA 3: CUSTOMISATION OF CLOUD SOLUTION IS LIMITED BUT ENOUGH
* relevant factor for customisation need: whether cloud solution is equipped with industry-specific template, whether subunits have complex/unique business processes etc

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8
Q

(Article: Bayer HealthCare Delivers a Dose of Reality for Cloud Payoff Mantras in Multinationals )

What is mantra 4?

A

3.4 MANTRA 4: COMPLIANCE AND SECURITY RISKS HAVE TO BE ACCEPTED
* relevant factor for security assessment: type of cloud application & how specific to company’s business it is  different types of applications (ERP, CRM) are subject to different compliance and data security requirements depending on data that is stored

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9
Q

(Article: Bayer HealthCare Delivers a Dose of Reality for Cloud Payoff Mantras in Multinationals )

What is mantra 5?

A

3.5 MANTRA 5: CLOUD SOLUTIONS HELP FOCUS ON CORE COMPETENCIES
* assumption: cloud solutions free business units from IT worries
* factor determining degree of involvement needed from business units: locus of IT ownership and the legacy systems that are in place

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10
Q

(Article: Bayer HealthCare Delivers a Dose of Reality for Cloud Payoff Mantras in Multinationals )

What is mantra 6?

A

3.6 MANTRA 6: CLOUD COMPUTING REDUCES DEPENDENCY ON INTERNAL IT
* assumption: cloud vendors provide much better technical skill set than internal IT staff
* relevant factor: complexity of business process & specificity of cloud solution to firm  determine capabilities required from IT units = the more complex and globally integrated the processes, the more the internal IT units are needed

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11
Q

SEE TABLES IN SUMMARY FOR OTHER INFORMATION!

A

important

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