McGraw-Hill/Irwin © 2002 The McGraw-Hill Companies, Inc. All rights reserved. C H A P T E R Haag Cummings McCubbrey Third Edition 1 The Information Age in Which You Live

McGraw-Hill/Irwin © 2002 The McGraw-Hill Companies, Inc. All rights reserved. Haag Cummings McCubbrey Third Edition Knowledge Workers Checklist MIS challenge factors shaping the new business role of IT information: a key resource information-literate knowledge workers

McGraw-Hill/Irwin © 2002 The McGraw-Hill Companies, Inc. All rights reserved. Haag Cummings McCubbrey Third Edition what businesses do customer moment of value role of IT Aspects of the MIS Challenge

McGraw-Hill/Irwin © 2002 The McGraw-Hill Companies, Inc. All rights reserved. Haag Cummings McCubbrey Third Edition What do businesses do? serve customers mass customization –MCI example –serving each customer’s unique needs

McGraw-Hill/Irwin © 2002 The McGraw-Hill Companies, Inc. All rights reserved. Haag Cummings McCubbrey Third Edition information technology people to serve each customer Businesses must effectively use 3 key resources

McGraw-Hill/Irwin © 2002 The McGraw-Hill Companies, Inc. All rights reserved. Haag Cummings McCubbrey Third Edition Customer Moment Of Value Providing service: when the customer wants it time where the customer wants it location how the customer wants it form in a manner guaranteed to satisfy the customer perfect delivery

McGraw-Hill/Irwin © 2002 The McGraw-Hill Companies, Inc. All rights reserved. Haag Cummings McCubbrey Third Edition time when customer’s moment of value occurs location of customer’s moment of value form of customer’s moment of value Role of IT To Know:

McGraw-Hill/Irwin © 2002 The McGraw-Hill Companies, Inc. All rights reserved. Haag Cummings McCubbrey Third Edition IT Helps Provide KNOWLEDGE right people right time right information

McGraw-Hill/Irwin © 2002 The McGraw-Hill Companies, Inc. All rights reserved. Haag Cummings McCubbrey Third Edition IT Operates in: the new business environment

McGraw-Hill/Irwin © 2002 The McGraw-Hill Companies, Inc. All rights reserved. Haag Cummings McCubbrey Third Edition Characteristics of New Business Globalization products from all over foreign competition –trade blocs GATT EU NAFTA

McGraw-Hill/Irwin © 2002 The McGraw-Hill Companies, Inc. All rights reserved. Haag Cummings McCubbrey Third Edition  today’s economy: wants driven –need more info –large databases data warehouses Information – A Key Resource

McGraw-Hill/Irwin © 2002 The McGraw-Hill Companies, Inc. All rights reserved. Haag Cummings McCubbrey Third Edition new business horizon E-Commerce hottest topic in business, today accelerated/enhanced by IT home shopping, banking, etc. EDI competitive scanning distributing info to prospective customers

McGraw-Hill/Irwin © 2002 The McGraw-Hill Companies, Inc. All rights reserved. Haag Cummings McCubbrey Third Edition provides workers with: technology technology power software information technology knowledge Knowledge Worker Computing

McGraw-Hill/Irwin © 2002 The McGraw-Hill Companies, Inc. All rights reserved. Haag Cummings McCubbrey Third Edition Characteristics of New Business globalization key resource: information e-commerce knowledge worker computing

McGraw-Hill/Irwin © 2002 The McGraw-Hill Companies, Inc. All rights reserved. Haag Cummings McCubbrey Third Edition Information Technology information processing tasks decision-making tasks shared information & decentralized computing innovation

McGraw-Hill/Irwin © 2002 The McGraw-Hill Companies, Inc. All rights reserved. Haag Cummings McCubbrey Third Edition Information-Processing Tasks capturing information conveying information creating information cradling information communicating information

McGraw-Hill/Irwin © 2002 The McGraw-Hill Companies, Inc. All rights reserved. Haag Cummings McCubbrey Third Edition Supporting Decision Making OLTP OLAP

McGraw-Hill/Irwin © 2002 The McGraw-Hill Companies, Inc. All rights reserved. Haag Cummings McCubbrey Third Edition Shared Information & Decentralized Computing access to all information by anyone through technology spread across the organization

McGraw-Hill/Irwin © 2002 The McGraw-Hill Companies, Inc. All rights reserved. Haag Cummings McCubbrey Third Edition Innovation do business in new ways create a competitive advantage

McGraw-Hill/Irwin © 2002 The McGraw-Hill Companies, Inc. All rights reserved. Haag Cummings McCubbrey Third Edition datainformation Information – A New Key Business Resource

McGraw-Hill/Irwin © 2002 The McGraw-Hill Companies, Inc. All rights reserved. Haag Cummings McCubbrey Third Edition Flows of Information up down horizontal out

McGraw-Hill/Irwin © 2002 The McGraw-Hill Companies, Inc. All rights reserved. Haag Cummings McCubbrey Third Edition internal –specific operational aspects external –outside environment objective –quantifiable description subjective –attempt at description of unknown Information Types

McGraw-Hill/Irwin © 2002 The McGraw-Hill Companies, Inc. All rights reserved. Haag Cummings McCubbrey Third Edition Information-Literate Knowledge Worker requisite skills: –define what information is needed –know how/where to get info –understand what it means –make appropriate decisions –maintain ethical and legal standards knowledge workers outnumber others 4 to 1

McGraw-Hill/Irwin © 2002 The McGraw-Hill Companies, Inc. All rights reserved. Haag Cummings McCubbrey Third Edition Ethics not laws personal interpretation how you want others to act toward you

McGraw-Hill/Irwin © 2002 The McGraw-Hill Companies, Inc. All rights reserved. Haag Cummings McCubbrey Third Edition Summary businesses use information, information technology and people to serve customers information is a key resource in this wants driven economy IT works within the new business environment to convert information into knowledge e-commerce is the hottest topic in business, today the information literate knowledge worker is a sought-after commodity in the information age in which we all live