Professional Documents
Culture Documents
MANAGEMENT
INFORMATION
SYSTEMS
BUSINESS DRIVEN
MIS
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COMPETING IN THE
INFORMATION AGE
Did you know . . .
Avatar, the movie, took over 4 yrs
to make and cost $450 million
Lady Gagas real name is Joanne
Angelina Germanotta
It costs $2.6 million for a 30second advertising time slot
during the Super Bowl
COMPETING IN THE
INFORMATION AGE
COMPETING IN THE
INFORMATION AGE
Examples of the power of business
and technology
Amazon Not a technology company;
primary business focus is selling books
Netflix Not a technology company;
primary business focus is renting videos
Zappos Not a technology company;
primary business focus is selling shoes
COMPETING IN THE
INFORMATION AGE
The core drivers of the information age
Data
Information
Business intelligence
Knowledge
Data
Data - Raw facts that describe the characteristics
of an event or object
Information
Information - Data converted into a meaningful
and useful context
Business Intelligence
Business intelligence Information collected from
multiple sources such as
suppliers, customers,
competitors, partners, and
industries that analyzes
patterns, trends, and
relationships for strategic
decision making
Knowledge
Knowledge - Skills, experience, and
expertise coupled with information and
intelligence that creates a persons
intellectual resources
Knowledge worker Individual
valued for their ability to interpret and
analyze information
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THE CHALLENGE:
DEPARTMENTAL COMPANIES
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MIS Department
Roles and Responsibilities
Chief information officer (CIO) Oversees all
uses of IT and ensures the strategic alignment
of IT with business goals and objectives
Chief knowledge officer (CKO) - Responsible
for collecting, maintaining, and distributing the
organizations knowledge
Chief privacy officer (CPO) Responsible for
ensuring the ethical and legal use of
information
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MIS Department
Roles and Responsibilities
Chief security officer (CSO)
Responsible for ensuring the security of IT
systems
Chief technology officer (CTO)
Responsible for ensuring the throughput,
speed, accuracy, availability, and
reliability of IT
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IDENTIFYING COMPETITIVE
ADVANTAGES
Business strategy A leadership plan that
achieves a specific set of goals or objectives such
as
Increasing sales
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IDENTIFYING COMPETITIVE
ADVANTAGES
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IDENTIFYING COMPETITIVE
ADVANTAGES
Competitive advantage A product or service
that an organizations customers place a greater
value on than similar offerings from a competitor
First-mover advantage Occurs when an
organization can significantly impact its market
share by being first to market with a competitive
advantage
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IDENTIFYING COMPETITIVE
ADVANTAGES
Competitive intelligence The process of
gathering information about the competitive
environment to improve the companys ability
to succeed
Competitive intelligence tools
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Porters Five
Forces Model
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Buyer Power
Buyer power The ability of
buyers to affect the price of an item
Switching cost Manipulating costs
that make customers reluctant to
switch to another product
Loyalty program Rewards
customers based on the amount of
business they do with a particular
organization
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Supplier Power
Supplier power The suppliers ability to
influence the prices they charge for supplies
Supply chain Consists of all parties involved in
the procurement of a product or raw material
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Threat of Substitute
Products or Services
Threat of substitute products
or services High when there
are many alternatives to a
product or service and low when
there are few alternatives
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Rivalry Among
Existing Competitors
Rivalry among existing competitors
High when competition is fierce in a
market and low when competitors are
more complacent
Product differentiation Occurs when a
company develops unique differences in its
products or services with the intent to
influence demand
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