What is competitive advantage?
Any assets that provide an organization with an edge against its competitors in some measure such as cost, quality, or speed. It also helps an organization to control a market and to accrue larger-than-average profits
What is business environment?
The combination of social, legal, economic, physical, and political factors in which businesses conduct their operations. Significant changes in any of these factors are likely to create Business Pressures on organizations
How do organizations respond to pressures?
They respond to various pressures by implementing Information Technology (IT) such as strategic systems, customer focus, make-to-order and mass customization, and e-business
What are the different types of business pressures?
Market Pressures
Technology Pressures
Societal/Political/Legal Pressures
What are market pressures?
Business pressures generated by the global economy, intense competition, the changing nature of the workforce, and powerful customers
What are technology pressures?
Business pressures caused by technological innovation and information overload
What are societal/political/legal pressures?
Business pressures related to social responsibility, government regulation/deregulation, spending for social programs, spending to protect against terrorism, and ethics
What are some market pressures?
Globalization
Changing nature of the workforce
Powerful customers
What are some technology pressures?
Technological innovation and obsolescence
Information overload
What are some societal/political/legal pressures?
Social responsibility
Compliance with government regulations
Protection against terrorist attacks
Ethical issues
What are some organizational responses?
Strategic systems
Customer focus
Make-to-order
Mass customization
E-business and E-commerce
What are some Strategic IS’s?
Porter’s Competitive Forces Model
Porter’s Value chain Model
Strategies for Competitive Advantage
Business - Information Technology Alignment
What is Porter’s Five Forces Model?
- The threat of new competitors
- The bargaining power of suppliers
- The bargaining power of customers (buyers)
- The threat of substitute products or services
- The rivalry among existing firms in the industry
What is Porter’s Value Chain Model?
Value Chain
Two Categories of Organization Activities in the Value Chain
Primary Activities
Support Activities
What are some strategies for competitive advantage?
Cost leadership strategy
Differentiation strategy
Innovation strategy
Organizational effectiveness strategy
Customer orientation strategy
What are primary activities?
Inbound logistics
Operations
Outbound logistics
Marketing and sales
Services
What are support activities?
Firm’s Infrastructure
Human resource management
Product and technology development
Procurement
What is Business-Information technology alignment?
IT function directly supports the business objectives of the organization through the tight integration of the IT function with the organization’s strategy, mission, and goals
How do organizations view IT?
They view it as an engine of innovation that continually transforms the business, often creating new revenue streams
How do organizations view their internal and external customers and their customer service function?
They view it as supremely important
What do organizations rotate?
They rotate business and IT professionals across departments and job functions
What do organizations provide?
They provide overarching goals that are completely clear to each IT and business employee
What do organizations ensure?
They ensure that IT employees understand how the company makes (or loses) money
What do organizations create?
They create a vibrant and inclusive company culture
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Module 117
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Module 2: Hardware12
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Module 2: Software12
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Module 2: Cloud Computing10
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Module 324
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Module 4: Intro to Business Processes15
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Module 4: Intro to Enterprise Systems34
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Module 4: The Procurement Process56
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Module 553
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Module 728
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Module 8: E-Business and E-Commerce34
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Module 8: Social Computing21
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Module 935
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Module 10: Ethics and Privacy15
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Module 10: Information Security and Controls54
