1- 1 Irwin/McGraw-Hill © The McGraw-Hill Companies, Inc., 1998 James A. O'Brien Fourth Edition Management Information Systems Managing Information Technology.

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1- 1 Irwin/McGraw-Hill © The McGraw-Hill Companies, Inc., 1998 James A. O'Brien Fourth Edition Management Information Systems Managing Information Technology in the Internetworked Enterprise Chapter 1: Introduction to Information Systems in Business

1- 2 Chapter Objectives 1. Explain why knowledge of information systems is important for business end users and identify five areas of information systems knowledge they need. 2. Give examples to illustrate how information systems can help support a firm’s business operations, managerial decision making, and strategic advantage. 3. Identify how businesses can use IT for strategic competitive advantage through enterprise internetworking, globalization, and business process reengineering.

1- 3 A Framework for Business End Users Management of IS Resources and Strategies Development of IS Solutions to Business Problems Applications of IS To Operations, Management, and Strategic Advantage Technology IS Hardware, Software, Networks, and Data Management Foundation Concepts of IS Fundamental Behavioral and Technical Concepts

1- 4 Information System Resources People Data Software Hardware Networks

1- 5 Roles of Information Systems Support of Strategic Advantage Support of Managerial Decision Making Support of Business Operations

1- 6 Internetworked Enterprise Manufacturing and Production Engineering & Research Accounting, Finance, and Management Suppliers and Other Business Partners Extranets Procurement, Distribution, and Logistics Advertising Sales Customer Service Customer and Business Customers Extranets Company Boundary

1- 7 Information Technology and Globalization Drivers of Change Competitive Environment Business/IT Strategy Business Implementation Internetworking The Global Enterprise Internetworking The Global Enterprise Emerging Global Markets Emerging Global Markets Global Business Operations & Alliances Global Business Operations & Alliances Information Technology Information Technology Globalization

1- 8 Business Process Reengineering Automates Transforms Informates

1- 9 Competitive Strategies Cost Strategies Cost Strategies Innovation Strategies Innovation Strategies Differentiation Strategies Differentiation Strategies

1- 10 Key Terms in Chapter 1 Business Process Reengineering Client/Server Computing Competitive Advantage Computer-Based Information Systems Downsizing Electronic Commerce End User Enterprise Collaboration Ethical Dimensions of IT Global Internetworked Information Society Globalization Information Systems Information Technology Internetworked Enterprise Internetworking of Computing Knowledge Needed About IS Knowledge Workers Legacy Systems Network Computing Roles of Information Systems Success and Failure of IT