IS 300 sozer – Flashcards
Unlock all answers in this set
Unlock answersquestion
IT
answer
subject studying technology and the management and process if information--deals with computers, software to convert, store, protect, process info
question
IS
answer
system that collects and processes data and provides it to managers at all levels for decision making and planning
question
Technology Dimension of IS
answer
Hardware: physical equipment Software: detailed programmed instructions Data management: storing data and software
question
Capital Investment in IT
answer
since 1980 investment is increasing, went from 32%-52% investment of capital
question
Strategic Business Objectives of IT
answer
operational excellence: UPS new products, services, business models: Spotify customer and supplier intimacy: JC Penny Improved decision making: Verizon Competitive Advantage: WalMart Survival: City Bank and ATMs
question
Complementary Assets
answer
investing lots of money in IT does not guarantee success; need social, operational, and managerial complementary assets
question
organizational assets
answer
culture, business model, processes
question
managerial assets
answer
management support, innovation, training
question
social assets
answer
society's investment, laws and regulations, education
question
Types of Business Information Systems
answer
Sales/Marketing, Accounting/Finance, Manufacturing/ Production, Human Resources
question
Organization Structure
answer
Pyramid has three levels: strategic level systems, management level systems, operational level systems which correspond to different information systems Strategic: Executive Support System (ESS) Management: Management Info Systems (MIS), Decision Support System (DSS) Operational: Transaction Processing Systems (TPS)
question
Manufacturing/Production systems
answer
assemble product, check quality, producing bills of materials
question
Sales/Marketing systems
answer
identify customers, make aware of product, sell product
question
Finance/Accounting systems
answer
pay creditors, create financial statements, manage cash accounts
question
Human Resource system
answer
hire employees, evaluate job performance, employee benefit plans
question
Order fulfillment process
answer
Sales--Generate Order--Submit Order Accounting--Check Credit--Approve Credit--Generate Invoice Manu/Production--Assemble Product--Ship Product
question
Business Global Dimension
answer
Flattened World--Doing business of a global scale; overcoming regional differences and similarities
question
Global Outsourcing
answer
US based multinational companies added jobs overseas in the 2000s and cut them at home 61% of global companies using outsourcing experienced cost saving 57% found easier to focus on core business 50% improved process speed
question
Leavitt Diamond
answer
IT use ^ ^ Business Process--------------Organizational Form ^ ^ Requisite People Skills
question
Enterprise Applications
answer
Automate processes that span multiple business functions and organizational levels and may extend outside the organization
question
Connection View (1970-1995)
answer
IT as a tool
question
Immersion View (1991-2015)
answer
IT as an environemt
question
Fusion View (2015- )
answer
IT as a fabric
question
Enterprise Resource Planning (ERP) System
answer
cross functional enterprise system driven by an integrated suite of software models that supports the basic integrated business processes of a company
question
ERP Benefits
answer
Quality and Efficiency: customer service, production/distribution, improve business processes Cost Saving: lower transaction processing costs Decision support: better info to managers; make decisions faster Enterprise agility: breaks down walls of business processes
question
Challenges of Enterprise Systems
answer
Difficult to build: fundamental changes, business reengineering Technology: complex pieces of software Not the best way for firms to operate
question
Supply Chain Management (SCM) System
answer
enterprise applications that help businesses manage relationships with suppliers
question
Key SCM Processes
answer
Plan, Source (identify suppliers, schedule deliveries), Make (production), Deliver (shipments, carriers, warehouses), Retain
question
Functions of SCM systens
answer
Decide what to produce, store, move Track status of orders/shipments Check inventory availability and monitor inventory levels Rapidly communicate orders Plan production based on actual demand
question
Push vs. Pull Based SCM
answer
Push supplierDistributor--->Retailor--->Customer Pull supplier<---Manufacturer<---Distributor<---Retailor<---Customer "make what we sell, not sell what we make"
question
Supply Chain Management
answer
automate flow of information from company to suppler
question
Supply Chain Planning
answer
demand forecasts, sourcing and manufacturing plans
question
Supply Chain Execution
answer
manage flow of products efficiently
question
Customer Relationship Management (CRM) Systems
answer
help firms manage firms relationship with customers
question
Functions of CRM
answer
manages ways used by firms to deal with existing and potential new customers capture customer data from various sources distribute customer info to various systems
question
Operational CRM
answer
Customer facing applications; collect data
question
Analytical CRM
answer
Analyzes data from operational CRM to increase Business performance; segmentation strategies, Customer and product profitability
question
Business value of CRM strategies
answer
Increase customer satisfaction More effective marketing and lower costs Reduce churn rate (customers who stop using products) Realizing customer lifetime value
question
Why E-Commerce is Different
answer
Ubiquity: shopping can take place anywhere Global reach: national customers Universal Standards: communication between different systems is seamless Interactivity: more interaction with customers Individualized commerce, user generated content
question
Digital Market
answer
Lower search and transaction costs, lower menu costs, dynamic pricing, lower switching costs, delays gratification, stronger network effects, more disintermediation
question
Types of E-commerce
answer
Business to consumer (B2C) retailing of products and services to individual customers--WalMart Business to business (B2B) sales of goods and services to other businesses--Alibaba.com Consumer to consumer (C2C) web private sales--Ebay
question
Internet Business Models
answer
E-tailor: online store for goods (Amazon) Content Provider: provider of digital content (ESPN.com) Transaction Broker: facilitates online transactions (Expedia.com) Market Creator: trading platform for individual firms (Ebay) Community Provider: online community to focus groups (Facebook) Portal: initial point of entry to the web (Yahoo) Service Provider: provider of online services (Paypal)
question
Pricing in Digital Market
answer
Prices onlineConventional Store Price dispersion;Conventional Store
question
Advantages of Regular Shopping
answer
Customer reaction/attitude: affective from touch, smell, sounds Transaction costs: invisible (implicit) vs visible (explicit) Delayed Gratification lower with regular shopping
question
Price War: Cost Transparency
answer
Made possible by the abundance of free, easily attainable information--people able to see through costs and determine whether they are in line with the prices charged 1) impairs sellers ability to obtain high margins 2) turns products and services into commodities 3) weakens customer loyalty to brands 4) reputation can be damaged by price unfairness
question
Reasons for Cost Transparency
answer
Information: more info about features, prices, quality on the internet Brand Premium: internet lowered risk that buyers paid for inferior brands Price floor: buyer led pricing and reverse auction allow buyers to infer price floor--lowest price company is willing to sell product or service Rational shopping: less impulse to buy Emphasis on building a customer base as opposed to making profits
question
Information (Digital) Goods
answer
Information based (Ex. movies, record, books, research papers) Big fixed costs Small or negligible variable cotst Varied marketing/inventory/delivery costs Easy versioning and pricing
question
Product Versioning
answer
many variations of essentially the same goods; charge as many people as possible the price as high as possible
question
Extreme Aversion
answer
2 versions of an item or three versions, who buys which--Refrigerator example
question
Value Subtracted
answer
IBM printers--same product, one has extra chip, costs extra money but not all people can buy more expensive version
question
B2B E-Commerce
answer
largest e-commerce category in terms of size
question
Electric Data Interchange (EDI)
answer
used to automate transactions for B2B e-commerce and continuous inventory replenishment. Suppliers can automatically send data about shipments to purchasers. Purchasers use EDI to provide production and inventory requirements to suppliers
question
M-commerce service--location based services
answer
Geosocial services: where my friends are Geoadvertising: what shops are near by Geoinformation: how much did the house I just passed cost Banking and financial services: account management
question
M-commerce technical challenges
answer
Broadband connection speed: limited reach Device and battery recharge Website design: desktop vs mobile versions Keyboard and screen size
