IS in the Organization
Business Processes, Organizational Strategy
and Competitive Advantage
(Rainer & Prince Ch.2)
Agenda
• Business processes
• IS role in business processes
• The business environment
• Porter
• Porter
• Porter
Business Processes
An ongoing collection of related activities that produce a
product or a service of value to the organization, its business
partners, and/or its customers.
FIVE Functions (areas of
business)
1. Accounting & Finance
2. Sales & Marketing
3. Production or Operations
4. Human Resources (HR)
5. Information Systems (IS)
4
2.1
Business Processes
Functional
Unit
Input
People
2 Activities
Output
Accounting
Marketing
Finance
Production/Op
erations
Human
Resources
MIS
Personnel ad
HR employees
Interviewing
Recruiters
Hiring new
employee
Signed
contract
IS in the Business Process
Executing the process
• inform people when it is time to
complete a task
• provide the necessary data to
complete the task
• provide the means to complete
the task
?
IS in the Business Process
• Monitoring Process Performance
• How well a process is executing
• instance level: a specific task or
activity
• process level: the process as a whole
The Business Environment
pg. 49
Porter
Competitive Forces Model
Video clip: https://hbr.org/video/3590615226001/the-explainer-porters-five-forces
Porter
Value Chain Model
Porter
Strategies for Competitive Advantage
Can we identify them?
Cost
Leader
Differentiation Innovation
Operational
Effectiveness
Customer
Oriented