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IT Supports Organizational Performance in Turbulent Business Environments Information Technology for Management Improving Performance in the Digital Economy 7th edition John Wiley & Sons, Inc.
Slides contributed by Dr. Sandra Reid Chair, Graduate School of Business & Professor, Technology Dallas Baptist University
Copyright 2010 John Wiley & Sons, Inc. 1
Chapter Outline
1.1 Doing Business in the Digital Economy 1.2 Information Systems and Information Technology (IT) 1.3 Business Performance Management, Business Pressures, Organization Responses, and IT Support 1.4 Strategy for Competitive Advantage and IT Support 1.5 Social Computing and Networking
Copyright 2010 John Wiley & Sons, Inc. 2
Chapter Outline contd 1.6 Why Should You Learn About Information Technology? 1.7 Plan of the Book 1.8 Managerial Issues
Learning Objectives
1.Describe characteristics of the digital economy and digital enterprises. 2.Define information systems, computer-based information systems and information technology. 3.Explain the relationships between performance, environmental pressures, organizational responses, and information technology. 4.Identify major pressures in the business environment and describe major organizational responses to them. 5.Describe adaptive enterprises Inc. and why they Copyright 2010 John Wiley & Sons, are IT-dependent.
Toyota Scions Innovative Advertising Strategies The Problem:Increasingly competitive global marketplace for the automotive industry. Toyota with introduction of Scion goes directly up against General Motors and the Malibu for the position of Gen Y target market Wide #1 car manufacturer. target
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Toyota
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Toyota known for its manufacturing innovations. Aggressive web-presence strategy. Generation Y population, those born 1980-1994, expected to be a bigger consumer base than the Baby Boomers and the target market of the Scion. PBS Documentary Looks at 'Generat
Copyright 2010 John Wiley & Sons, Inc. 8
Toyota uses Scion Campaign Has Personality-Driv to reach future customers at a very young age according to
Copyright 2010 John Wiley & Sons, Inc. 9
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Toyota Scions Innovative Advertising Strategies (continued) Toyota Uses Chat to Promote Scion smart strategy to tap into the social networks of 18 to 24 year old audience. Various providers of live chat software exist such as:
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For the 2008 xB SUV , Scion created a special Web site , want2bsquare . com
Copyright 2010 John Wiley & Sons, Inc. 12
Toyota Scions Innovative Advertising Strategies (continued) Toyota targets children as a means to influence their parents. Scion is creating its own broadband channel as a way to move from push to pull marketing where the customer decides what materials to view and when. Toyota created its own social network called Scion Speak where Scions enthusiasts can socialize, communicate and play.
Copyright 2010 John Wiley & Sons, Inc.
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Toyota Scions Innovative Advertising Strategies (continued) The Results: Scion has 80% brand recognition according to Marketing Vox News (2007). - Amazing jump to #1 ranking due to interactive and communityoriented nature of the Scion online experiences. - Scion website is highly personalized with sophisticated
Copyright 2010 John Wiley & Sons, Inc. 14
1 . 1 D o in g B u sin e ss in th e D ig ita l E co n o m y
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Click on the Wikipedia image for an expanded description & definition of the Digital Economy .
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Table 1.1
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Electronic Commerce Siemens AG established existing old company into transformed digital enterprise and is excellent example of electronic commerce.
Click image for homepage & more about changes at Siemens AG.
Copyright 2010 John Wiley & Sons, Inc. 18
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Screenshot 1U . 1 Netflix
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W h ich is b e tte r?
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Figure 1.2
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Figure 1.3
Figure 1.4
Table 1.2
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Figure 1.5
Figure 1.6
Green IT
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60 Minutes (cbs news magazine) correspondent Scott Pelley and crew got roughed up at a Chinese dump while working on a story on toxic electronic waste. Click the following link & read / watch the story , Following The Trail Of Toxic E - Waste : http://www.cbsnews.com/stories/2008/11/06/60minutes/main4579229.shtml
Table 1.3
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Ethics & IT
Governance Gauge: Hail To The Compliance Chiefs Intelligent Enterprise , March 01, 2005 SOX SUIT: Holding Feet To The Fire Intelligent Enterprise , January 01, 2005 Lawsuit Spotlights Loyalty As Well As Ethics Intelligent Enterprise , March 27, 2007 A Brief History Of Viral Time Intelligent Enterprise , July 05, 2006 Web-based Service Aims to Bridge Gap Between Knowledge Sharing and Cop Intelligent Enterprise , June 08, 2006 Dating Service Beats Poor Metrics Trend With Privacy Tools Intelligent Enterprise , February 13, 2006 The Shift to Holistic Compliance Intelligent Enterprise , June 28, 2005 Managing Incentives and Rewards for Financial Compliance Intelligent Enterprise , May 23, 2005 Review: An Affordable Escape From Spreadsheet Hell Intelligent Enterprise , May 01, 2005
Copyright 2010 John Wiley & Sons, Inc. 34
1 . 4 S tra te g y fo r C o m p e titiv e A d v a n ta g e a n d IT S u p p o rt
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Table 1.4
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Figure 1.8
The firm s value chain . The arrows illustrate the flow of goods & services ( the internal part of the supply chain ). ( Source : Drawn by E . Turban )
Copyright 2010 John Wiley & Sons, Inc. 39
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Nike_Rebounds_How_and_Why_Nike_Recovered_from
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Social Computing
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Social Networks
Click to PCWorld Business Center article for more . Go to Work Social Networks
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1 . 8 M a n a g e ria l Issu e s
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Managerial Issues
Recognizing opportunities for using IT and Web-based systems for strategic advantage. Who will build, operate, and maintain information systems? How much IT? What social networking activities should be pursued? How important is IT? Globalization. Ethics and social issues. 50 Transforming Copyright 2010 John Wiley & Sons, Inc. organization to digital
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