Collier International Property Consultants, Inc': Managing a Virtual Organization

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IS404Business Information Systems

• Olayele Adelakun (Ph.D)
• Assistant Professor CTI
•  
• Office Room 735 CTI 7th Floor
• Phone [phone]
• Fax [phone]
• Email yele_at_cs.depaul.edu
• Web http//facweb.cs.depaul.edu/yele/is404.asp.

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Agenda

• Expectation?
• Course Overview
• Areas of Interest
• Lecture Notes

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Expectations?

• Reasons to study Business IS
• What would you like to get out of this course.

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Agenda

• Expectations?
• Course Overview
• Areas of Interest
• Lecture Notes

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Course Overview

• Objective
• Topics
• Course Materials
• Assignments

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Objectives

• After completing this course students and
  managers should have a better
• understanding of the variety of information
  management issues facing managers, groups and
  individuals in organizations.
• understanding of the variety of ways in which IS
  and IT can be used to support and facilitate
  various organizational objectives or undermine
  them.
• understanding of the various technologies that
  could be used to simplify organizations' business
  processes

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Topics

• Information Technology in Digital Economy
• Information Technology Concepts and management
• Strategic Information Systems for Competitive
  Advantage
• E-Commerce
• Supply Chain Management and ERP systems
• Organization Applications
• Knowledge Management and DSS
• Case studies

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Course Materials

• Information Technology for Management, 3rd
  Edition, by Turban, McLean, and Wetherbe.
  Published by John Wiley and Sons, 2002.
• Case studies will be distributed in class
• Other supporting documents

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Course Materials

• Other supporting documents Useful Publications
• BUSINESS
• Businessweek www.businessweek.com
• Crains www.crainschicagobusiness.com
• Wall Street Journal www.wsj.com
• World Business Review wbrtv.com
• USEFUL SITE with Subscription Newsletters
• IT World www.itworld.com
• Infoworld www.iwsubscribe.com 
• TECHNOLOGY
• Communications of the ACM (CACM) www.acm.org
• MIT Technology Review www.technologyreview.com
• i-street www.i-street.com
• e-commerce times www.ecommercetimes.com
• Enterprise Systems Journal www.esj.com

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Grading
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Group Assignment

• 3-5 Students per group
• Each group will study one of the following type
  of systems and how an organization is using it
• Enterprise Resources Planning Systems (ERP)
• E-commerce or M-commerce systems
• Customer Relationship management systems (CRM)
• Supply chain management systems
• Knowledge management systems
• Strategic Systems
• See details at http//facweb.cs.depaul.edu/yele/Co
  urse/IS404/project/IS404-Spring-2003-Group-project
  .doc

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Question
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Agenda

• Expectations?
• Course Overview
• Areas of Interest
• Lecture Notes

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Areas of Interest

• What will be of high interest to you?
• What would you like to be added to meet your
  learning goals

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Agenda

• Expectations?
• Course Overview
• Areas of Interest
• Lecture Notes

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Lecture Note

• Information Technology
• in the Digital Age

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EC Networked Computing

• Electronic commerce (EC) is the use of Web-based
  systems to support buying, selling, and customer
  service.
• Click-and-mortar companies add some EC activities
  to their regular business.
• Networked computing connects several computers
  and other electronic devices via
  telecommunication networks.
• Information technology (IT) refers to the
  collection of computer systems used by an
  organization.

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IT in Business Organizations

• Why
• Improve productivity
• Reduce cost
• Improve decision making
• Enhance customer relationships
• Developing new strategic applications
• Wreden 1997

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The Digital Economy

• The digital economy refers to an economy that is
  based on digital technologies, including digital
  communication networks, computers, and software.
• The digital economy is also sometimes called the
  Internet economy, the New economy, or the Web
  economy.

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Old vs. New Economy Photography

• Old Economy
• You buy film at the store, insert it into your
  camera take pictures.
• Once you complete the film, sometimes weeks or
  months after you began the roll, you take it to
  the store for processing.
• Go back to the store and pay for enlargements and
  duplications.
• Send photos to family and friends.

• New Economy
• Use a digital camera that can also take videos.
  No film is needed, and no processing required.
  You can see the results immediately enlarge
  print photos quickly.
• If your digital camera is connected to a wireless
  device (such as a palmtop computer or a cell
  phone) take pictures and see them within a few
  seconds.

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Business Model

• A business model is a method of doing business by
  which a company can generate revenue to sustain
  itself.
• For further reading see http//digitalenterprise.o
  rg/models/models.html.

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Digital Economy Business Models

• Name-Your-Own-Price. Pioneered by Priceline.com,
  this model allows customers to state a price they
  are willing to pay for a product or service.
• Dynamic Brokering. In the digital age customers
  can specify requirements for a service or a
  product. These specifications are broadcast over
  the Internet (Webcasted) to service providers
  in an automatic invitation to submit bids.
• www.GetThere.com.

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Digital Economy Business Models (cont.)

• Affiliate marketing is an arrangement in which
  marketing partners place a banner of a company,
  such as Amazon.com, on their Web site.
• Group Purchasing. Anyone can pay less per unit
  when buying more units. Discounts are usually
  available for quantity purchases.
• www.etrrane.com.
• E-marketplaces and Exchanges. Since 1999,
  thousands of electronic marketplaces, of
  different varieties, have sprung up.

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Major Business Pressures
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Market Pressures

• Global Economy Strong Competition. 
• Global competition is intensified as governments
  become involved through the use of subsidies, tax
  policies, import/export regulations
  incentives.

• Rapid and inexpensive communication and
  transportation modes increase the magnitude of
  international trade even further.

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Market Pressures (cont.)

• Changing Nature of the Workforce. 
• The workforce is becoming more diversified, with
  more females, single parents, minorities, and
  handicapped persons working in all types of
  positions.

• Powerful Customers. 
• Consumer sophistication expectations increase
  as customers become more knowledgeable about the
  availability and quality of products and
  services.

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Technology Pressures

• Technological Innovation Obsolescence. 
• Some of todays state-of-the-art products may be
  obsolete tomorrow.
• Thus, technology accelerates the competitive
  forces.

• Information Overload. 
• The amount of information available on the
  Internet more than doubles every year.
• The management of information is critical.

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Societal Pressures (cont.)

• Social Responsibility. 
• Issues range from the environment to education.
• Government Regulations.
• Regulation issues involve health, safety,
  environmental control, and equal opportunity.

• Government Deregulation. Deregulation can be a
  blessing to one company but a curse to another
  company.
• Ethical Issues. 
• Business ethics relates to standards of right
  and wrong in business practices.

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Organizational Framework
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Organizations Major Responses

• Strategic systems for competitive advantage
• Continuous improvement efforts
• Business process reengineering (BPR)
• Business alliances
• Electronic commerce

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Organizations Major Responses

• Strategic Systems provide organizations with
  strategies to increase their market share, better
  negotiate with suppliers, or stop competitors.
• Continuous Improvement Efforts aim to improve a
  companys productivity and quality. Examples
  include
• Improved productivity ? Managing enterprise
  data
• Just-in-time (JIT) ? Innovation and creativity
• Total quality management ? Change management
• Knowledge management ? Customer service

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Organizations Major Responses

• Business Process Reengineering refers to the
  introduction of a major innovation in an
  organizations structure the way it conducts
  business.
• The major areas in which IT supports BPR are the
  following
• Reducing cycle time and time to market.
• Empowerment of employees and collaborative work. 
• Customer-focused approach and CRM.
• Restructuring and team-based structure.

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Organizations Major Responses

• Business Alliances.  Many companies realize that
  alliances with other companies, even competitors,
  can be very beneficial.
• Temporary joint venture companies form a
  special company for a specific, limited-time
  mission.
• Electronic Commerce. Doing business
  electronically is the newest and perhaps most
  promising strategy that many companies can
  pursue.

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Computer-Based Information System

• A computer-based information system (CBIS) is an
  information system that uses computer technology
  to perform some or all of its intended tasks.

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Components of Information Systems

• Hardware is a set of devices such as processor,
  monitor, keyboard, and printer.
• Software is a set of programs that enable the
  hardware to process data.
• Database is a collection of related files,
  tables, relations, and so on, that stores data.

• Network is a connecting system that permits the
  sharing of resources between computers.
• Procedures are the set of instructions about how
  to combine the above components.
• People are those individuals who work with the
  system or use its output.

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Information Systems
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Information System Categories
Which product was delivered last
week? Purchasing, reserving airline ticket,
ordering, etc.
CAD CAM
Which customers do not Pay their bills on time?
DSS Groupware GDSS EIS
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Managerial Issues

• How can we recognize the opportunities for using
  IT and Web-based systems?
• How important is IT? In some cases, IT is the
  only approach that can help organizations.
• Who is going to build, operate, and maintain the
  information systems?

• How much IT? IT does not come free, but not
  having it may be much costlier.

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Managerial Issues (cont.)

• What about Globalization? Globalization opens
  many opportunities, ranging from selling products
  and services online, to conducting joint ventures
  or investing in them.
• How can an organization transform itself to the
  digital economy?

• Is the situation going to change? Yes, the
  pressures will be stronger as time passes the
  IT role will be even more important.
• What about ethics and social issues? The
  implementation of IT involves many ethical and
  social issues.

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Agenda

• Expectations?
• Course Overview
• Areas of Interest
• Lecture Notes