midterm Flashcards
1
Q
Business Challenges
A
– Mounting competition from online retailers
– Take advantage of opportunities provided by new technology
2
Q
Solution business challenge
A
– system helps stores manage pickup
– AWM Smart Shelf enables retailers to view and track products in real-time; locate products using mobile devices; personalizes shopper experiences
– AWM Frictionless enables low-contact cashierless checkout
3
Q
New Business Models
A
Online streaming and downloadable video
4
Q
What’s New in Management
Information Systems
A
- IT Innovations
- New Business Models
- E-commerce Expansion
- Management Changes
- Firms and Organizations Change
5
Q
Management Changes
A
– Managers becoming more mobile
– Managers use social networks, collaboration tools
– Business intelligence applications accelerate
6
Q
Firms and Organizations Change
A
– More collaborative, less emphasis on hierarchy and structure
– Greater emphasis on competencies and skills
– More accurate decision making based on data
and analysis
– More willingness to interact with consumers (social media)
– Better understanding of the importance of IT
7
Q
Opportunities: A flattened World
A
– Drastic reduction of costs of operating and transacting
– Competition for jobs, markets, resources, ideas
– Growing interdependence of global economies
– New skills, markets, opportunities
8
Q
Emerging Digital Firm
A
- Fully digital firm:
– Significant business relationships are digitally enabled and mediated
– Core business processes are accomplished through digital networks
– Key corporate assets are managed digitally - Greater flexibility in organization andmanagement
9
Q
Strategic Business Objectives of
Information Systems
A
- Growing interdependence:
– Ability to use information technology
– Ability to implement corporate strategies and achieve corporate goals - Invest heavily in information systems to achieve six strategic business objectives:
1. Operational excellence
2. New products, services, and business models
3. Customer and supplier intimacy
4. Improved decision making
5. Competitive advantage
6. Survival
10
Q
Operational Excellence
A
- Improved efficiency results in higher profits
- Improve efficiency and productivity
11
Q
New Products, Services, and
Business Models
A
- Enable firms to create new products, services, and business models
- Business model: how a company produces, delivers, and sells its products and services
12
Q
Customer and Supplier Intimacy
A
- Customers who are served well become repeat customers who purchase more
- Close relationships with suppliers result in lower costs
13
Q
Improved Decision Making
A
- Real-time data improves ability of managers to make decisions
14
Q
Competitive Advantage
A
- Often results from achieving previous business objectives
- Advantages over competitors
15
Q
What Is an Information System
A
- the hardware and software a
- Information system: interrelated components that manage information to:
– Support decision making and control
– Help with analysis, visualization, and product creation - Data: streams of raw facts
- Information: data shaped into meaningful, useful form
16
Q
Activities in an information system that produce information:
A
– Input
– Processing
– Output
– Feedback
17
Q
Feedback
A
– Output is returned to appropriate members of organization to help evaluate or correct input stage
18
Q
Computer/computer program vs. information system
A
– Technical foundation and tools (similar to the material and tools used to build a house)
19
Q
Dimensions of Information Systems
A
- Organizations
- Management
- Technology
20
Q
Dimensions of Information Systems:
Organizations
A
- Hierarchy of authority, responsibility
– Senior management
– Middle management
– Operational management
– Knowledge workers
– Data workers
– Production or service workers - Separation of business functions
– Sales and marketing
– Human resources
– Finance and accounting
– Manufacturing and production - Unique business processes
- Unique business culture
- Organizational politics
21
Q
Dimensions of Information Systems:
Management
A
- Managers set organizational strategy for responding to
business challenges - In addition, managers must act creatively
– Creation of new products and services
– Occasionally re-creating the organization
22
Q
Dimensions of Information Systems:
Information Technology
A
- Computer hardware and software
- Data management technology
- Networking and telecommunications technology
– Networks, the Internet, intranets and extranets, World Wide Web - IT infrastructure: provides platform that system is built on
23
Q
Business Perspective on Information Systems
A
- Information system is instrument for creating value
- Investments in information technology should result in
– Productivity increases
– Revenue increases
– Superior long-term strategic positioning
24
Q
Business information value chain
A
– Raw data acquired and transformed through stages that add value to that information
– Value of information system leads to better decisions, greater efficiency, and higher profits
25
Complementary Assets
– Examples of organizational assets
Appropriate business model
Efficient business processes
– Examples of managerial assets
Incentives for management innovation
Teamwork and collaborative work environments
– Examples of social assets
The Internet and telecommunications infrastructure
Technology standards
26
Technical Approach
- Emphasizes mathematically based models
- Computer science, management science, operations
research
27
Behavioral Approach
* Behavioral issues
* Psychology, economics, sociology
28
Management information systems of Sociotechnical Systems
Combine computer science, management science,
operations research, and practical orientation with
behavioral issues
29
Four main factors of Sociotechnical Systems
– Suppliers of hardware and software
– Business firms
– Managers and employees
– Firm’s environmen
30
Sociotechnical view
– Optimal organizational performance achieved by jointly optimizing both social and technical systems used in production
– Avoid purely technological approach
31
Problem Transforms Sharp
Corporation
– Hierarchical top-down processes
– New competitors
– Lack of collaboration and idea sharing
32
Solution Transforms Sharp
Corporation
– Develop knowledge-sharing strategy and goals
– Redesign knowledge-sharing and collaboration processes
– Change organizational culture
– Implement Microsoft Yammer collaboration software
33
* Business processes
– Flows of material, information, knowledge
– Logically related set of tasks that define how specific
business tasks are performed
– May be tied to functional area or be cross-functional
34
Examples of functional business processes
– Manufacturing and production
Assembling the product
– Sales and marketing
Identifying customers
– Finance and accounting
Creating financial statements
– Human resources
Hiring employees
35
How Information Technology Improves
Business Processes
* Increasing efficiency of existing processes
* Enabling entirely new processes
36
Systems for Different Management
Groups
* Transaction processing systems
– Serve operational managers and staff
– Perform and record daily routine transactions
– Monitor status of operations and relations
– Serve predefined, structured goals and decision making
* Systems for business intelligence
– Data and software tools for organizing and analyzing
– Make improveddecisions
* Management information systems
* Decision support systems
* Executive support systems
37
Management Information Systems (MIS)
* Serve middle management
* Provide reports on firm’s current performance, based on data from TPS (Transaction Processing System)
* Provide answers to routine questions with predefined procedure for answering them
* Typically have little analytic capability
38
Decision Support Systems (DSS)
* Serve middle management
* Support nonroutine decision making
* May use external information as well as TP S / M I S data
* Model driven DS S (Decision Support System)
– Voyage-estimating systems
* Data driven DS S
– Intrawest’s marketing analysis systems
39
Executive Support Systems (ESS)
* Support senior management
* Address nonroutine decisions
– Requiring judgment, evaluation, and insight
* Incorporate data about external events, summarized information from internal M I S and DS S
40
Enterprise Applications
* Systems for linking the enterprise
* Span functional areas
* Execute business processes across the firm
* Include all levels of management
* Four major applications
– Enterprise systems
– Supply chain management systems
– Customer relationship management systems
– Knowledge management systems
41
Enterprise Systems (ERP)
Also called Enterprise Resource Planning (ER P) systems
* Integrate data from key business processes into single system
* Speed communication of information throughout firm
* Enable greater flexibility in responding to customer requests, greater accuracy in order fulfillment
* Enable managers to assemble overall view of operations
42
Supply Chain Management (SC M)
Systems
* Manage relationships with suppliers, purchasing firms, distributors, and logistics companies
* Manage shared information about orders, production, inventory
levels
* Move correct amount of product from source to destination as quickly as possible, lowest cost
* Type of interorganizational system: Automating flow of information across organizational boundaries
43
Customer Relationship Management
(CR M) Systems
* Help manage relationship with customers
* Coordinate business processes that deal with customers in sales,
marketing, and customer service
* Goals:
– Optimize revenue
– Improve customer satisfaction
– Increase customer retention
– Identify and retain most profitable customers
– Increase sales
44
* Transaction processing systems
– Serve operational managers and staff
– Perform and record daily routine transactions
– Monitor status of operations and relations
– Serve predefined, structured goals and decision making
45
Knowledge Management Systems
(KMS)
* Manage processes for capturing and applying knowledge
and expertise
* Collect relevant knowledge and make it available wherever
needed in the enterprise to improve business processes
and management decisions
* Link firm to external sources of knowledge
46
Intranets and Extranets
* Technology platforms that increase integration and expedite the flow of information
* Intranets:
– Internal networks based on Internet standards
– Often are private access area in company’s website
* Extranets:
– Company websites accessible only to authorized vendors and suppliers
– Facilitate collaboration
47
E-business, E-commerce, and
E-government
* E-business
– Use of digital technology and Internet to drive major business processes
* E-commerce
– Subset of e-business
– Buying and selling goods and services through Internet
* E-government
– Using Internet technology to deliver information and services to citizens, employees, and businesses
48
What is Social Business?
– Use of social networking platforms to engage employees, customers, and
suppliers
* Aims to deepen interactions and expedite information
sharing
* “Conversations” to strengthen bonds with customers
* Requires information transparency
* Seen as way to drive operational efficiency, spur innovation, accelerate decision making
49
Business Benefits of Collaboration
and Teamwork
* Investment can return large
rewards
* Productivity: Sharing knowledge and resolving problems
* Quality: Faster resolution of quality issues
* Innovation: More ideas for products and services
* Customer service: Complaints handled more rapidly
* Financial performance: Generated by improvements in factors above
50
Collaborative Culture and
Business Processes
* “Command and control” organizations
– No value placed on teamwork or lower level participation in decisions
* Collaborative business culture
– Senior managers rely on teams of employees
– Policies, products, designs, processes, and systems rely on teams
– The managers purpose is to build teams
51
Tools and Technologies for
Collaboration and Social Business
* E-mail and instant messaging (I M)
* Wikis
* Virtual worlds
* Collaboration and social business platforms
52
Evaluating and Selecting Collaboration and Social Software Tools
Time/space matrix
* Six steps in evaluating software tools
– Identify your firm’s collaboration challenges
– Identify what kinds of solutions are available
– Analyze available products’ cost and benefits
– Evaluate security risks
– Consult users for implementation and training issues
– Evaluate product vendors
53
The Information Systems Department
* Often headed by chief information officer (CI O)
– Other senior positions include chief security officer (CS O), chief knowledge officer (CK O), chief privacy officer (CP O), chief data officer (CD O)
* Programmers
* Systems analysts
* Information systems managers
* End users
54
Information Systems
Function
* I T governance
– Strategies and policies for using I T in the organization
– Decision rights
– Accountability
– Organization of information systems function
Centralized, decentralized, and so on
