People in Society and Business in Information Age Yong Choi BPA CSUB

Email Policy Every CSUB student has a CSUB issued email address. ONLY official email for our course is CSUB Email. If you email me using your private email, I will not reply. 2

No Distraction Policy Without instructor’s permission, you are not allowed to do followings: surfing the Internet, typing using the key board, computer mouth clicking, using your cellular phone, and talking to your classmate during lecture. If you violate this policy, up to 30% penalty will applied each time.

Late Policy If you are late more than 20 minutes, that will be counted as ABSENT. If you must late, you must notify me by email at least one day or 24 hours before. If you do not notify me but late for the class, minimum 10% penalty will be applied each time.

Attendance policy More than two absences Severe penalty: 30% penalty based on the total score Notification email 24 hours before Fail to notify 24 hours before Must provide an official document such as a doctor’s note Otherwise, “Absence”

Announcement Week 9-12 classes are optional online. Most important topics: Ch 1 – 10 Based on the progress… Week 13: Spring Break! Presentation, Week 14-16 May ask your evaluation as well

Why taking BA 3108? Required by Association to Advance Collegiate Schools of Business (AACSB) Business school accreditation institution Only about 35% B schools are accredited – we are one of them! Due to corporate fraud Five the biggest Enron Waste Management Tyco International HealthSouth WorldCom

Enron The Houston based energy and services corporation pulled in more than $100 billion in annual revenue Considered to be one of America’s most innovative companies Kept huge amounts of debt hidden from investors and falsified its financial statements. Arthur Andersen (biggest accounting firm) also collapsed Led to the passage of the Sarbanes-Oxley Act of 2002 by Congress Designed to improve the accuracy and reliability of corporate disclosures

People in Society Five Different Generations The Silent Generation Baby Boomers Generation X Generation Y (or millennials) Generation Z (many of you!)

Five Different Generations con’t The Silent Generation (50 millions) Born before 1945 (experienced WW II) “Well being” – save & food. Baby Boomers (71 millions) Born between 1945 and 1964 Primary “Industrial Age” people Strong buying power Able to have good economic opportunities So, largely optimistic!

Five Different Generations con’t Generation X (41 millions) Born between 1965 and 1979 Sometimes referred to as the “lost” generation The first generation exposed to lots of social matters such as daycare and divorce The best educated generation (26%) Voting participation rate - the lowest Highly family oriented

Five Different Generations con’t Generation Y (or millennials) Born between1980 and 1995, 71 millions Much more racially and ethnically diverse  Sophisticated and technology wise Less brand royal, that is, immune to most traditional marketing and sales pitches One in nine has a credit card co-signed by a parent.

Five Different Generations con’t Generation Z: after 1995 23 millions, smaller than other Gens… The most diverse generation ever… Growing up with a highly sophisticated media and computer environment Highly technology savvy Generations X, Y, and Z: Which One Are You? (8:00)

Living in Information Age Bill Gates and Jeff Bezos how much rich now? & compare with List of GDP Information age phenomena Major intangible product of Microsoft Amazon – largest online retail store Cash Cow: “Amazon Web Services (AWS)” AWS: cloud computing services (Amazon customers and AWS clients generating big data!) Industrial age: John Rockefeller (oil) & Andrew Carnegie (steel) Facebook (over 2 B) vs, China (1.357 B)

Upside of Information Age Not so difficult to get relevant and timely data & information for facilitating effective business planning using various information systems Improve coordination between business units, functions, organizations, etc. Enhance communication for internal and external stakeholders Contribute for improving productivity and saving cost 1-15

Downside of Information Age Constant update of HW & SW and training employees (because of cost) Difficult to hire well trained professional Social Media Specialist Privacy and Security Tracking Employee (1:59) A Cyber Privacy Parable (3:27) Online Scams (3:39) Cyber security (2:50)

Job Security in Information Age Based on Nature of Job Design Structured job Unstructured job Semi-structured job

Job Security in Information Age Structured Small independent travel agencies Routine & Repetitive Problems are predictable Problems can be solved by applying standard solutions Jobs That Will Disappear In The Next 20 Years Due To AI (17:07)

Job Security in Information Age Semi-structured Combination of non-routine and predictable problems (production Scheduling) Production manager Require a combination of standard solution procedure and individual judgment

Job Security in Information Age Unstructured Non-routine, Unpredictable, and Fuzzy Business consultant (case by case) Social Media consultant (new type of job) Standard solutions are not applicable Solve problems by individual judgment using various technologies.

Effect of Information Age Acceleration of Globalization (example: Nike Corporation) Global management thru IS Organizational Change Almost no traditional middle management : collect, process, store and distribute information to support decision makings Cross functional Traditional – silo based (vertical) project based – virtual team or organization

What’s ahead? Post information age IBM Watson (3:45) IBM Watson as Cancer Specialist (2:50) Artificial Intelligence (AI) Not a new concept, started in 50s Why booming now? Data availability, computing power (HW & SW) Future stakeholder Example: self-driving car, Watson, etc.

What’s ahead? Con’t Happening now! Amazon Go (1:49) What about higher education industry? CSU system unification MOOCs: massive open online courses Change the way to educate people Change society Change business Massive Open Online Courses (MOOCs) and the next generation (8:43)