Ch 1: Info Systems in Global Business Today

Question 1

How is IS transforming business?

Answer 1

• Emerging Mobile digital platform

-Growing business use of “big data”

-Growth in cloud computing

Question 2

Globalization Opportunities

Answer 2

Internet has drastically reduced the costs of operating on global scale

• Increases in foreign trade and outsourcing

-Challenges to students and business; also resistance to change

Question 3

Digital Firm

Answer 3

Significant business relationships (like customer, suppliers and employees) are digitally enabled and mediated.

Core business processes are accomplished through digital networks.

Key corporate assets are managed digitally.

Question 4

Benefit of digital firm

Answer 4

Digital firms offer greater flexibility in organization and management

Question 5

Time shifting and Space shifting

Answer 5

Time Shifting- going 24/7

Space shifting- going beyond national boundaries

Question 6

As business continues to evolve, there is a growing interdependence between:

Answer 6

Ability to use information technology: do you have a department/outsource, do you need a enterprise software or can you even tailor it to suit your needs

Ability to implement corporate strategies and achieve corporate goals

So you need to look at both

Question 7

Firms Invest heavily in IS to achieve 6 strategic business objectives.

Answer 7

1. Operational Excellence
2. New products, services and business models
3. Customer and supplier intimacy
4. Improved Decision making
5. Competitive Advantage
6. Survival

Question 8

Operational Excellence

Answer 8

• The aim of achieving higher profitability through higher efficiency
• IS technology an important tool to increase efficiency and productivity

-Efficiency, producing more, reducing cost and waste

• Walmart’s relail link system links suppliers to store for superior replenishment system in stock

Question 9

New products, services, and business models

Answer 9

Business Model: how a company produces, delivers, and sells a product or service to create wealth.
Eg. Retail, manufacturers, brokers.

-IS and tech is a major enabling tool for new products and services and business models:

• New products like: Ipad

-New services and business models like
Netflix (online entertainment services and a new model of a online entertainment service provider)

Is allows you to collect, analyse and utilize data tp make decisions. So from there you can develop new products, services and business models

Question 9

Customer and Supplier intimacy

Answer 9

• Use of IS to keep track of customer preferences so that tailored service can be offered to them.
• Use of IS to keep track of sale of items to always ensure speedy replacement. This reduces holding costs for inventory

Question 10

Improved Decision making

Answer 10

-IS ensures data accuracy, which results in having accurate and timely information to use for decision-making.

Question 11

Competitive advantage

Answer 11

• Is ensures better performance
  -Charging less for superior products ( due to economies of scale)
  -Respond to customer and suppliers in real time (via enterprise systems- online chat and assistant)

Question 12

Survival

Answer 12

Can use IS because of necessity. A need for a business revolution to ensure the company stays in business.

Eg Citibank and their introduction of the ATMs in 1977.

-Being able to navigate government regulations and ensure compliance:

Toxic substances act: Record employee exposure to toxic substances for 30 years

Dood-Frank Act: strengthen regulation of banking industry and requires firms to keep records for 10 years (for evaluation- can pick up on irregularities over the years)

OSHA

Question 13

What is IT?

Answer 13

all the hardware and software a firm needs to use in order to achieve its business objectives.

Question 14

What is IS

Answer 14

A set of interrelated components that collect (or retrieve), process, store, and distribute information to support decision-making

Question 15

Data

Answer 15

streams of raw facts representing internal/external events

Question 16

IS transforms raw data into useful info through:

Answer 16

Input: Capturing of raw data from within/out the org

Processing: Converts raw input into meaningful form.

Output: transfers processed info to the people who will use it/ to the activities for which it will be used.

Question 17

IS from the business perspective

Answer 17

IS provides a solution to a problem or challenge and represents a combination of management, organization, and technology

Question 18

The management dimension of IS

Answer 18

Involves issues such as leadership, strategy (formulation, implementation, and evaluation), and management behaviour.

Question 19

Organization dimension of IS

Answer 19

This involves issues such as Org hierarchy, functional specialities at each level, business processes, culture, and political interest groups. It also involves following industry standards and govt regulations

Question 20

Technology dimension of IS

Answer 20

This looks at software, datea, management technology, and networking/telecommunications tech (including the internet)

Question 21

Terms from management dimension of IT

Answer 21

Senior management: Makes long-range decisions about products and services as well as ensures financial performance of the firm

Middle management: carries out programs and plans of senior management. This includes the scientists and knowledge workers: scientists engineers, architechs etc.

Operational management: responsible for monitoring the daily activities of the business. Production workers, service and data workers.

Question 22

IS from Technical Perspective

Answer 22

A tool that collects, stores, and disseminates info from an org’s internal and external environment to support decision-making, communication etc.

Question 23

Is from a business perspective

Answer 23

Provides solutions to a problem, and is a combination of management, organization, and technology.

Question 24

Computer Hardware

Answer 24

Physical equiptment used for input, processing, output

Question 25

Computer software

Answer 25

Detailed preprogrammed instructions that control and coordinate the computer hardware components

Question 26

Data management technology

Answer 26

consists of software governing the organization of data on physical storage media

Question 27

Networking and telecommunications technology

Answer 27

consists of both physical devices and software , links various pieces of hardware and transfers data from one physical location to another.

Question 28

Network

Answer 28

links 3 or more computers to share data or resources, such as a printer

Question 29

What is Big Data?

Answer 29

.

Question 30

Knowledge Workers

Answer 30

design products or services and create new knowledge for the firm

Question 31

Data Workers

Answer 31

such as secretaries or clerks, assist with scheduling and communications at all levels of the firm

Question 32

Production/Service Workers

Answer 32

actually
produce the product and deliver the service

Question 33

Intranet

Answer 33

Internal corporate networks based on
Internet technology are called intranets

Question 34

Extranet

Answer 34

Private intranets extended to authorized users outside the organization are called extranets