信息时代的管理信息系统Chap001.pptx

Chapter 1The Information Age in Which You Live:Changing the Face of Business Copyright 2010 by the McGraw-Hill Companies,Inc.All rights reserved.McGraw-Hill/IrwinSTUDENT LEARNING OUTCOMES1.Describe MIS and the 3 important organizational resources within it people,information,and IT.2.Describe how to use Porters Five Forces Model to evaluate the relative attractiveness of an industry.3.Compare and contrast Porters 3 generic strategies,top line versus bottom line,and the run-grow-transform framework for developing business strategy.4.Describe the role of value-chain analysis for identifying value-added and-reducing processes.1-2IS YOUR SOCIAL SECURITY NUMBER WORTH$98?Information technology has greatly accelerated both the“good”and the“bad”IT can be used to increase profit,reduce costs,increase service quality,and benefit societyIT can also be used to steal your personal information,commit fraudulent acts,etcMany sites on the Web are right now selling your personal information1-3What Your Personal Information Is Worth?$490 credit card number and PIN$147 drivers license number$147 birth certificate$6 PayPal logon and password$78-$294 billing data including account number,address,birth date,etc1-4Questions1.Have you,a friend,or a family member been a victim of identity theft?If so,tell the story to your class.2.How often do you buy your credit report?Did you know you get one for free annually?3.Is technology good or bad?1-5INTRODUCTIONYou live in a digital ageAverage American relies on more than 250 computers per dayAccording to Time magazine,14%of cell phone users stopped having sex to take a phone call45 of the 2008 Fortune 500 companies were IT companiesDell Computer is one of them it was started in 1984 and now has 65,000 employees worldwide1-6INTRODUCTIONThis book is about the use of technology(called management information systems or MIS)in businessThe modules(there are 13)teach you how to use technology to increase your personal productivityThe chapters(there are 9)illustrate how businesses use technology toIncrease market share and profitsEliminate time and location boundariesEtc1-7Business Must Drive Technology1-8Business Must Drive Technology1.Assess state of competition and industry pressures affecting your organization2.Determine business strategies to address competitive and industry pressures3.Identify business processes to support your chosen business strategies4.Align technology tools with those business processesNEVER DO THIS IN REVERSE!NEVER DO THIS IN REVERSE!1-9CHAPTER ORGANIZATION1.Management Information SystemsLearning Outcome#12.Porters Five Forces ModelLearning Outcome#23.Porters Three Generic StrategiesLearning Outcome#34.Value-Chain AnalysisLearning Outcome#41-10MANAGEMENT INFORMATION SYSTEMSMIS planning for,development,management,and use of IT tools to help people perform all tasks related to information processing and managementThree key resources in MIS1.Information2.People3.Information technology1-11Information ResourceIntellectual asset hierarchy data,information,business intelligence,knowledgeData raw facts that describe a particular phenomenon such as the current temperature,the price of movie rental,or your ageInformation data that have a particular meaning within a specific context1-12Information ResourceYour age a Your age a piece of datapiece of dataInformation is Information is often often aggregated aggregated data that has data that has meaning such meaning such as average as average age,youngest age,youngest and oldest and oldest customer,and customer,and a histogram of a histogram of customer agescustomer ages1-13Information ResourceBusiness intelligence(BI)collective information aboutCustomersCompetitorsBusiness partnersCompetitive environmentBI is information on steroidsBI can help you make important,strategic decisions1-14Information ResourceBI often combines multiple sets of information customers,BI often combines multiple sets of information customers,salespeople,and purchases in this case.salespeople,and purchases in this case.1-15Information ResourceKnowledge broad term that can describe many things1.Contextual explanation for business intelligence2.Actions to take to affect business intelligence3.Intellectual assets such as patents and trademarks4.Organizational know-how for things such as best practices1-16Information Resource Quality AttributesTimelinessWhen you need itDescribing the right time periodLocation(no matter where you are)Form(audio,text,animation,etc)Validity(credibility)Lack of any of the above can create GIGO(garbage-in,garbage-out)in a decision-making process1-17Information Resource Organizational Perspective1-18Information Resource Flows of InformationUpward describes state of the organization based on transactionsDownward strategies,goals,and directives that originate at a higher level and are passed to lower levelsHorizontal between functional business units and work teamsOutward/inward from and to customers,suppliers,distributors,and other partners1-19Information Resource What It DescribesInternal information specific operational aspects of the organizationExternal information environment surrounding the organizationObjective information quantifiably describes something that is knownSubjective information attempts to describe something that is unknown1-20People ResourcePeople are the most important resource in any organization,with a focus onTechnology literacyInformation literacyEthical responsibilities1-21People ResourceTechnology-literate knowledge worker knows how and when to apply technologyInformation-literate knowledge workerCan define information needsKnows how and where to obtain informationUnderstands informationActs appropriately based on informationEthics principles and standards that guide our behavior toward other people1-22People Resource-EthicsYou always You always want your want your actions to fall actions to fall in Quadrant I in Quadrant I both ethical both ethical and legal.and legal.1-23Information Technology ResourceInformation technology(IT)computer-based tools that people use to work with informationHardware physical devices that make up a computerSoftware set of instructions that your hardware executes to carry out a specific task for you1-24Information Technology Hardware 1-25Information Technology Hardware 1.Input device tool for entering information and commands2.Output device tool for see or hearing results3.Storage device tool for storing information4.CPU hardware that interprets and executes instructions(RAM temporarily stores information and software for the CPU)5.Telecommunications device for sending info6.Connecting devices like cables,ports,etc.1-26Information Technology SoftwareTwo types of softwareApplication software enables you to solve specific problems and perform specific tasks(Word,payroll,inventory management,etc)System software handles tasks specific to technology management(operating system,anti-virus,etc)See Extended Learning Module A for a review of IT See Extended Learning Module A for a review of IT hardware and softwarehardware and software1-27PORTERS FIVE FORCES MODELThe Five Forces Model helps business people understand the relative attractiveness of an industry and the industrys competitive pressures in terms of 1.Buyer power2.Supplier power3.Threat of substitute products or services4.Threat of new entrants5.Rivalry among existing competitors1-28PORTERS FIVE FORCES MODEL1-29Buyer PowerBuyer power high when buyers have many choices and low when their choices are fewCompetitive advantages are created to get buyers to stay with a given companyNetFlix set up and maintain your movie listUnited Airlines frequent flyer programApple iTunes buy/manage your musicDell customize a computer purchase1-30Buyer PowerCompetitive advantage providing a product or service in a way that customers value more than what the competition is able to doFirst-mover advantage significant impact on gaining market share by being the first to market with a competitive advantageAll competitive advantages are fleetingE.G.,all airlines now have frequent flyer programs1-31Supplier PowerSupplier power high when buyers have few choices and low when choices are manyThe opposite of buyer power1-32Threat of Substitute Products and ServicesThreat of substitute products and services high when there are many alternatives for buyers and low when there are few alternativesSwitching costs can reduce this threatSwitching cost a cost that makes buyers reluctant to switch to another product/serviceLong-term contract with financial penaltyGreat servicePersonalized products based on purchase history1-33Threat of New EntrantsThreat of new entrants high when it is easy for competitors to enter the market and low when entry barriers are significantEntry barrier product or service feature that customers have come to expect and that must be offered by an entering organizationBanking ATMs,online bill pay,etc1-34Rivalry Among Existing CompetitorsRivalry among existing competitors high when competition is fierce and low when competition is more complacentGeneral trend is toward more competition in almost all industriesIT has certainly intensified competition in all sectors of business1-35PORTERS THREE GENERIC STRATEGIESPorter identified 3 generic business strategies for beating the competition1.Overall cost leadership2.Differentiation3.Focus1-36Overall Cost LeadershipOverall cost leadership offering the same or better quality product or service at a price that is less than what any of the competition is able to doWal-Mart(Always Low Prices,Every Day Low Prices)Dell a computer the way you want it at an affordable priceHyundai and Kia reliable low-cost carsGrocery stores high-volume,low-margin1-37DifferentiationDifferentiation offering a product or service that is perceived as being“unique”in the marketplaceHummer Like Nothing ElseAudi and Michelin safetyLunds&Byerlys high-end grocery store 1-38FocusFocus focusing on offering products or servicesTo a particular segment or buyer groupWithin a segment of a product lineTo a specific geographic marketExamplesRestaurantsPhysician officesLegal offices1-39Alternative Business Strategy FrameworksAbove-the-line versus below-the-line should your strategy focus on reducing costs(below the line)or increasing revenues(above the line)Run-grow-transform(RGT)framework the allocation in terms of percentages of IT dollars on various types of business strategies1-40Above-the-Line vs Below-the-Line1-41Above-the-Line vs Below-the-LineAbove-the-line(increase revenue)Reach new customersOffer new productsCross-sellingOffering complimentary productsBelow-the-line(minimize expenses)Optimizing manufacturing processesDecreasing transportation costsMinimizing errors in a process1-42RGT FrameworkHow will you allocate IT dollars toRun optimizing execution of existing processesGrow increasing market share,products,and service offeringsTransform innovating business processes,products,and/or services1-43Porter,Top Line/Bottom Line,RGTRun=overall cost leadership=below the lineGrow=focus and differentiation=above the lineTransform=(new)differentiation=above the line(when the focus is innovation)1-44VALUE-CHAIN ANALYSISValue-chain analysis systematic approach to assessing and improving the value of business processesValue chain chain or series of business processes,each of which adds value to your organizations products or servicesBusiness process standardized set of activities that accomplishes a specific taskTwo types of processes:Primary and Support1-45VALUE-CHAIN ANALYSIS1-46VALUE-CHAIN ANALYSISPrimary value process takes in raw materials and makes,delivers,markets and sells,and services your products and servicesSupport value process supports the primary value processesAsk customers which processes add value and which processes reduce valueFocus IT appropriately1-47VALUE-CHAIN ANALYSISVALUE-ADDED VALUE-ADDED PROCESSESPROCESSES1-48VALUE-CHAIN ANALYSISVALUE-REDUCING VALUE-REDUCING PROCESSESPROCESSES1-49