• How are information systems transforming business? • Why are they so essential for running and managing a business today? Perspective on IS •What is an information system? •How does it work? •What are its management, organization, and technology components. •Why are complementary assets essential for ensuring that information systems provide genuine value for organizations? Approaches to IS • What academic disciplines are used to study information systems? • How does each contribute to an understanding of information systems?
Growing business use of “big data” Growth in cloud computing The strength : allow organizations to rely more on telework, remote work, and distributed decision making.
reduced costs of operating on global scale Increases in foreign trade, outsourcing Presents both challenges and opportunities to develop high-level skills that cannot be outsourced. to avoid markets for goods and services that can be produced offshore much less expensively.
hardware, software, and communications equipment, grew from 14 percent to 33 percent of all invested capital between 1999 and 2013. FIGURE 1-1 Information Technology Capital Investment
in which nearly all of the organization’s significant business relationships with customers, suppliers, and employees are digitally enabled, and key corporate assets are managed through digital means.
are digitally enabled and mediated. Core business processes are accomplished through digital networks. Key corporate assets are managed digitally. Internal and external environments are quickly recognized and dealt with Offer extraordinary opportunities for more flexible global organization and management (time and space).
rather than in narrow “work day” time bands of 9 a.m. to 5 p.m. Time shifting • Work takes place in a global workshop, as well as within national boundaries. Space shifting • Ability to use information technology and • Ability to implement corporate strategies and achieve corporate goals Growing interdependence between:
• Information systems and technology a major enabling tool for new products, services, business models. • Business model: describes how company produces, delivers, and sells product or service to create wealth.
customers well leads to customers returning, which raises revenues and profits. • Intimacy with suppliers allows them to provide vital inputs, which lowers costs.
increased need for capital management, the increased productivity that arises from their use, the strategic opportunities and advantages they offer, and because they are becoming the foundation of doing business around the world.
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