CHAPTER 2 Organizational Strategy, Competitive Advantage, and Information Systems.

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CHAPTER 2 Organizational Strategy, Competitive Advantage, and Information Systems.
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CHAPTER 2 Organizational Strategy, Competitive Advantage, and Information Systems

Chapter Opening Case First problem Dana Deasy Solution: Reduce number of vendors

Chapter Opening Case (continued) BP’s second problem: Deepwater Horizon well exploded BP’s attempted solution

Before the Stores (IT’s About Business 2.1)

2.1 Business Processes Business Process Cross-Functional Business Processes

Notify Traveler Receive Ticket Order Reserve Seats Charge Credit Card Confirm Flight(s) Issue e-Ticket Plan Trip Check Flights Submit Ticket Order Receive e-Ticket Seats Available Use Credit Card? Charge OK? Seats Available ? Notify Traveler Frequent Flyer Mileage Sufficient? Subtract Mileage NO YES NO YES NO YES NO YES Traveler Airline Web Site YES NO

2.2 Business Process Reengineering and Business Process Management Business Process Reengineering Business Process Management

Business Pressures, Organizational Responses, and IT Support

Friedman’s Ten Flatteners Uploading Outsourcing Offshoring Call center in India

Friedman’s Ten Flatteners Supply chaining Insourcing Informing

Technology Pressures Technological Innovation and Obsolescence Information Overload

Technological Innovation and Obsolescence (continued) Innovation: Telegraph Obsolescence: Pony Express

Technological Innovation and Obsolescence (continued) Innovation: digital camera Obsolescence: film camera

2.4 Competitive Advantage and Strategic Information Systems Competitive Advantage Strategic Information Systems

Porter’s Competitive Forces Model

Porter’s Value Chain Model

Strategies for Competitive Advantage Cost Leadership Differentiation Innovation Operational Effectiveness Customer-orientation

Chapter Closing Case