IT-Enabled%20Business%20Transformation

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IT-Enabled Business Transformation

• N. Venkatraman

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Five Levels of IT-Enabled Business Transformation
High
Revolutionary Levels
Degree of
Business Transformation
Evolutionary Levels
Low
Low
Range of Potential Benefits
High
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Localized Exploitation

• Customer order-entry
• Inventory control
• Internal email(Minimal changes to business
  processes)
• The issue of changing performance measures
  (behavioral issues too)

4
Internal Integration

• Merrill Lynch Cash Management Account
• Baxter Health Care ASAP
• Otisline
• SAP (???)
• (Technical Interconnectivity)(Business Process
  Interdependence)

5
Business Process Redesign

• Mazda/Ford Accounts Payable
• The Foreign Desk
• Usually internal to the organization

6
Business Network Redesign

• Not just EDI
• IOS-Does not, by itself, provide competitive
  advantage
• Bose Corp. (In-plant supplier reps)

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Business Scope Redefinition

• Sabre as a business
• Otis(Remote Elevator Monitoring)
• Get in the information business

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Five Levels of IT-Enabled Business Transformation
High
Business Scope Redefinition
Business Network Redesign
Enhance Capabilities
Business Process Redesign
Degree of
Business Transformation
Internal Integration
Seek Efficiency
Localized Exploitation
Low
Low
Range of Potential Benefits
High