class 2- digitization and business objectives

Question 1

Strategic Business Objectives:

Answer 1

Operational Excellence
New products, services, and business models
Customer and supplier intimacy
Improved Decision making
Competitive Advantage
Survival

Question 2

Operational Excellence

Answer 2

Improve the efficiency of their operations in order to achieve higher profitability. Changes in business practices and management behavior.

Question 3

New Products, Services, and Business models

Answer 3

Major enabling tool for firms to create new products and services, as well as entirely new business models (apple).
The business model describes how a company produces, delivers, and sells a product or service to create wealth.

Question 4

Customer and Supplier Intimacy

Answer 4

Walmart links its suppliers to every one of its 5289 stores worldwide. Suppliers are able to ensure the continuous flow of products to the stores in order to satisfy customer demands.
Mandarin Oriental uses computers to keep track of temperature, dialed numbers, and TV Channels. It is stored in a central database and can be used globally

Question 5

Improved Decision Making

Answer 5

The inability to make informed decisions resulted in raising costs and lost customers. Use real-time, accurate data from the marketplace.

Question 6

Competitive Advantage

Answer 6

Doing things better than your competitors, charging less for better products, and responding to customers and suppliers in real time.
Toyota Production System.

Question 7

Survival

Answer 7

Information systems are not a luxury, they are necessities of doing business. Ex: Citibank was the first banking firm to introduce ATMs.
Regulations changed - turn to information systems and technologies in order to comply with the new requirements.

Question 8

How IT/IS changed industries

Answer 8

Changed music delivery such as streaming on spotify and apple music and impact on buying CD.
Taxi industry has been disrupted by UBER, Lyft
Newsprint, textbook publishing, software sales, desktop computers

Question 9

Moore’s Law on microchips

Answer 9

The speed of a computer chip doubles every 18 months. The price/performance ratio of computers has fallen dramatically.
Computers are smaller and less expensive.

Question 10

Gaining a competitive advantage

Answer 10

Think about IT/IS when you consider the problems and opportunities.
You do not have to be a developer of technology to recognize the potential for innovation.
Think creatively about problems, challenges, and opportunities in your business and organization.
Help to apply new technology to your business needs.