Chapter 1

Question 1

Define organisation

Answer 1

An organisation is defined as a collection of actors engaged in interactions that have a common goal.

Question 2

What are some of the features of modern organisation?

Answer 2

IT-Enabled
Networked Organisation
Dispersed organisation
Knowledge organisation

Question 3

what are information systems

Answer 3

Collections of computers, networks, software and people that create, store, modify and distribute data and information in any organisation.

Question 4

What is cloud computing?

Answer 4

Availability of application services over the internet as opposed to these applications residing within the internal information systems of organisations.

Question 5

What is an IT enabled organisation?

Answer 5

An organisation that has built into its structure the elements of information technology that enable it to function in a manner appropriate to the demands of its environment.

Question 6

What do you mean by a networked organisation?

Answer 6

Organisations are on digital networks linking them to others : Internet, Telecommunication
Requires sensing and responding to information flowing on the network.
Responding to the continuous flow of information also requires the organisation to adjust to meet the challenge.
For example, when Tata Motors launched its widely popular Nano car, it anticipated a huge demand for information from its website by prospective customers. Therefore, it designed the site in such a manner that it could handle the rush adequately.

Question 7

What do you mean by dispersed organisation?

Answer 7

Organisations are highly dispersed: they have
operations and offices in many cities within the same
country and also abroad.
Firms disperse their operations to best meet customer
needs or locate where resources are available.
For example, consider Apple Inc’s Global Supply Chain.

Question 8

What do you mean by knowledge organisation?

Answer 8

Modern organisations consist of knowledge
workers –whose main job is to access and deal
with knowledge and information.
A major task of modern organisations is to
process information.
Knowledge Base :- Information stored, processed and converted in to a form that can be used by organizations.

Question 9

What are the challenges of managing information systems in the internet era?

Answer 9

Organisations have to create a presence on the Internet (social media).
Challenge for organisations –find and use most relevant and useful data.
The Internet presents many security challenges.
Organisation have to leverage cloud computing and also create apps suitable for being used on mobile phones.

Question 10

What is the difference between information technology and Information systems?

Answer 10

IT is understood as the artefacts such as computers, networks and software that constitute the material aspects of information systems. Information systems are constituted by artefacts as well as the people and organisations that use them.

Question 11

What are some of the aspects of managing information systems in the internet era?

Answer 11

1) Vast data is available and useful data may be buried under non-useful data. Organisations to have a clear set of practices to find and use the data that is relevant for them.
2) Organisations to have an online presence - web sites, apps, Facebook to learn about the world and also make themselves known.
3) Internet allows for the possibility of cloud computing
4) Internet gives rise to security threats that is to be dealt with by organisations.

Question 12

Why is managing information systems in organisations challenging?

Answer 12

Neither organisations nor the IS they use remain static over time – both change continuously, and it is the job of the management to ensure that the systems remain useful and relevant for their organisational goals at all times.

Question 13

Why do organisations change?

Answer 13

Organisations change in response to changing business needs and changes in the economic environment in which they operate.

Question 14

What is the IT interaction model?

Answer 14

Organisations implement changes to information systems expecting certain positive changes. However if the needs of the organisation are not identified properly before implementing the IS, or the implementation is faulty or if the new IS is not utilised by the employees due to resistance to change, then positive changes may not result.

Question 15

What are first order effects of IS implementation?

Answer 15

The direct effects of implementing an Information system. For example, a new payroll system is implemented which results in speedier and more accurate payroll processing. This is an example of first order effects. These can be positive or negative

Question 16

What are second order effects of IS implementation?

Answer 16

The in-direct effects of implementing a new IS. These are often unanticipated. In the payroll example, the organisation may find that as a result of the new payroll system, its hiring, transfer and promotion processes are easier to manage. This results in the organisation being able to attract and retain better talent in turn improving the organisations competitive advantage. These results often take many years to manifest and are often referred to as second order effects.

Question 17

What are third order effects of implementing IS systems?

Answer 17

Large-scale, industry-wide effects of implementing IS are called as third order effects. Example, a firm implements a new IS. This results in competitive advantage. Other firms in the industry follow suit. Since a common IS is being used across the industry, the city council is able to utilise the information from across firms to implement social welfare initiatives, like car pooling etc. This is an example of third order effect.

Question 18

What are the effects of competition and organisational traits on IS implementations?

Answer 18

Competition has an influence because IS implementations are based on 1) what competitors are doing (in late 1990s many firms adopted e-commerce to remain competitive) and 2) what the firms competitive strategy is (example, IS may be used to offer goods/services at the lowest price to win market share).

Question 19

What are the effects of work culture on IS implementations?

Answer 19

Organisational culture can be competitive or co-operative. An organisation with competitive culture where each department competes with other departments will require de-centralised, autonomous system. An organisation with co-operative culture will require a centralised system.