Organizations, Environments, and Information Technology 1-1 The New World of Business • Business pressures • Organizational responses • Information Systems (IS) and Information Technology (IT) 1-2 Business Pressures • Market pressures • Technological pressures • Societal pressures 1-3 Market Pressures • Global economy - strong competition • Changing nature of the workforce • Powerful customers 1-4 Technological Pressures • Technological innovation and obsolescence • Information overload 1-5 Societal Pressures • Social responsibility – Government regulations – Government deregulation – Shrinking budgets and subsidies • Ethical issues 1-6 Organizational Responses • • • • • Strategic systems Continuous improvement efforts Business Process Reengineering (BPR) Business alliances Electronic commerce 1-7 Strategic Systems Strategic systems provide organizations with strategic advantages, thus enabling them to increase their market share, to better negotiate with their suppliers, or to prevent competitors from entering their territory. 1-8 Continuous Improvement Efforts • • • • • • • • Improved productivity Just-in-time Total Quality Management (TMQ) Improved decision making Managing information and knowledge Innovation and creativity Change management Customer service 1-9 Business Process Reengineering (BPR) • • • • Reducing Cycle Time (CT) Empowerment of employees Customer-focused approach Restructuring and team-based structure 1-10 Business Alliances • Enterprise Resource Planning (EPR) • Electronic commerce 1-11 Information Systems and Information Technology • What is an information system? • What is a computer-based information system? • What is the difference between computers and information systems? • What is information technology? 1-12 What Is an Information System? An information system (IS) collects, processes, stores, analyzes, and disseminates information for a specific purpose. 1-13 What Is a Computer-Based Information System? • • • • • • Hardware Software Database Network Procedures People 1-14 Examples of Information Systems at Work Worldwide • Managing accounting information across Asia • Russians live in Moscow and work in California • Tracking UPS packages with pen computers • Mercy Hospital provides patient-focused care 1-15 Examples of Information Systems at Work Worldwide • Boeing trains its employees electronically • Integrating finance, manufacturing, and sales - increases customer satisfaction • Crime fighting information technology • Maximizing the value of John Deere’s pension fund • Web-based information systems at Oregon State 1-16 Information Technology Developments and Trends • General trends • Networked computing 1-17 General Trends • • • • • • Cost-performance ratio Graphical and other user-friendly interfaces Storage and memory Data warehouse Multimedia and virtual reality Intelligent systems 1-18 General Trends • Object-oriented environment • Document management • Compactness 1-19 Networked Computing • • • • Client/Server architecture Portability Integrated home computing The Internet and information superhighways • Intranets and Extranets 1-20 Networked Computing • Electronic commerce • Intelligent agents • The Networked enterprise 1-21 Employment Opportunities 1-22 Copyright 1999 John Wiley & Sons, Incorporated. All rights reserved. Reproduction or translation of this work beyond that permitted in Section 117 of the 1976 United States Copyright Act without the express written permission of the copyright owner in unlawful. Request for further information should be addressed to the Permissions Department, John Wiley & Son, Inc. Adopters of the textbook are granted permission to make back-up copies for his/her own use only, to make copies for distribution to student of the course the textbook is used in, and to modify this material to best suit their instructional needs. Under no circumstances can copies be made for resale. The publisher assumes no responsibility for errors, omissions, or damages, caused by the use of these programs or from the use of the information contained herein. 1-23