1. Issues Facing Suppliers and Users of IT Products and Services 4 Short term 4 Long term

2. Short-Term Issues for Suppliers 4 Consolidation of the industry through mergers, acquisitions, and failures, combined with expansion of the industry through new start-up businesses

3. Short-Term Issues for Suppliers 4 Globalization of competition as suppliers strive to keep pace with their customers’ businesses 4 Vertical consolidation as suppliers try to more comprehensively meet the needs of customers for overall solutions to problems

4. Short-Term Issues for Suppliers 4 Sustaining the pace of product innovation 4 Understanding customer needs 4 A slower market, especially in mainframe computers, compounded by the need to invest in R&D for new products

5. Short-Term Issues for Suppliers 4 Erosion of the proprietary operating system marketplace and the need to develop open systems offerings 4 Managing a large, vertically integrated business over diverse geographic regions

6. Long-Term Issues for Suppliers 4 Maintaining the customer base through a transition from proprietary operating systems, which locked the customer in, to open operating systems, which permit the customers to integrate hardware from any supplier or move applications among hardware sets

7. Long-Term Issues for Suppliers 4 Introducing new technology for new applications or enhancements of old applications while preserving the customer’s investments in existing applications

8. Long-Term Issues for Suppliers 4 Transforming the skills of marketing and technical support staffs from selling and supporting hardware to selling and supporting integrated systems (mostly software)

9. Long-Term Issues for Suppliers 4 Expansion into new business areas to address added markets –consulting services –systems integration –facilities management –public databases –value added networks

10. Short-Term Issues for Users 4 Controlling IS costs while reshaping business processes through the use of IT 4 Meeting the need of executives for “real- time” management information from both internal and external sources

11. Short-Term Issues for Users 4 Creating information systems that provide the corporation with a strategic advantage 4 Aligning IT strategy with corporate goals

12. Short-Term Issues for Users 4 Rationalizing information systems as a result of mergers, acquisitions, or divestitures, and instituting cross- functional systems in the corporation

13. Short-Term Issues for Users 4 Improving the effectiveness of systems development activities 4 Maintaining the security and integrity of corporate information

14. Long-Term Issues for Users 4 Creating “transparent” communications and information processing “utilities” for end users 4 Creating applications that will enhance the competitive stance of organizations

15. Long-Term Issues for Users 4 Creating information bases and integrating tools that permit end users to meet their own needs for information access and manipulation 4 Introducing tools that enhance international communication and reduce the need to travel

16. Long-Term Issues for Users 4 Obtaining skilled software application developers and system integrators 4 Managing software contractors that supply software and systems integration services

17. Assimilating New Technologies 4 Which technologies are worth adopting? 4 How do we promote learning about the technology?

18. Assimilating New Technologies 4 How do we use and manage the technology? 4 How do we maintain value at different phases of technological evolution?

19. Technology Life Cycle Relative performance capabilities Tech. A Tech. B Man-hours invested Limit of technology Onset of effort