Presentation on theme: "The Modern Organization Functioning in a Global Environment"— Presentation transcript:
1 The Modern Organization Functioning in a Global Environment CHAPTER 1The Modern Organization Functioning in a Global Environment
2 CHAPTER OUTLINE 1.1 Business Processes and Business Process Management 1.2 Information Systems: Concepts and Definitions1.3 The Global, Web-Based Platform1.4 Business Pressures, Organizational Responses, and IT Support1.5 Why Are Information Systems Important to You?1.6 The Plan of the Book
3 LEARNING OBJECTIVESDescribe business processes and discuss business process managementDifferentiate among data, information, and knowledgeDifferentiate between information technology infrastructure and information technology architecture
4 LEARNING OBJECTIVES (continued) Describe the global business environment and the new information technology infrastructureDiscuss the relationships among business pressures, organizational responses, and information systems
6 Homo Conexus You are the most connected generation in history You practice continuous computingYou are surrounded by a personal, movable information networkYour personal information network is created by constant cooperation between:the digital devices you carry;the wired and wireless networks that you access as you move about;Web-based tools for finding information and communicating and collaborating with other people.You can pull information from the Web and push your ideas back to the Web.
7 Personal movable information network And…..laptop in briefcase!Note: ** Cell phone in ear** Multifunction watch on wrist** Heart and respiration monitor on arm** Laptop in briefcase
8 1.1 Business Processes Business Process Business Process Management A business process is a collection of related activities that produce a productor a service of value to the organization, its business partners, and/or its customers.Business process management is a management technique that includes methods andtools to support the design, analysis, implementation, management, and optimizationof business processes.
9 Example of Business Process (Figure 1.1) The next slide shows an example of a business process: Ordering an E-ticket from an airline Web site
11 1.2 Information Systems: Concepts and Definitions Data ItemInformationKnowledgeData Item. Elementary description of things, events, activities and transactions that are recorded, classified and stored but are not organized to convey any specific meaning.Information. Data organized so that they have meaning and value to the recipient.Knowledge. Data and/or information organized and processed to convey understanding, experience, accumulated learning and expertise as they apply to a current problem or activity.
13 Information Systems: Concepts and Definitions (continued) Information Technology ArchitectureInformation Technology InfrastructureInformation Technology Architecture. A high-level map or plan of the information assets in an organization, which guides current operations and is a blueprint for future directions.Information Technology Infrastructure. The physical facilities, IT components, IT services and IT management that support an entire organization.
15 IT Components, IT Platform, IT Services, and IT Infrastructure IT components consist of hardware, software, telecommunications and networks, and wireless communications.IT services consist of data management, managing security and risk, and systems development.IT personnel use IT components to produce IT services.IT components are basically synonymous with the IT platform.IT infrastructure consists of IT components, IT personnel, and IT services.
16 1.3 The Global, Web-Based Platform Best represented by the Internet and the World Wide WebEnables us to connect, compute, communicate, collaborate, and compete everywhere and anytimeOperates without regard to geography, time, distance, and language
17 The Stages of Globalization (From Thomas Friedman in The World is Flat) Globalization 1.0 (from 1492 to 1800)Globalization 2.0 (from 1800 to 2000)Globalization 3.0 (from 2000 to the present)For my notes on Friedman’s Flatteners, see:Globalization 1.0* 1492 to 1800* World went from large to medium-size* All about countries and muscles* Key agents of change: brawn and horsepowerGlobalization 2.0* 1800 to 2000* World has shrunk from medium to small-size* Key agent of change: multinational companies* First half: global integration powered by falling transportation costs(steam engine and railroad)* Second half: global integration powered by falling telecommunications costs(telephone, PC, satellites, fiber-optic cable)Globalization 3.0* 2000 – now* World is now tiny (everyone is everyone else’s close neighbor)* Competitive playing field is being leveled* Key agent of change: software, in conjunction with the global fiber-optic network* Enabling people to collaborate and compete globally
18 Globalization 1.0 Christopher Columbus Christopher Columbus “discovering” the New World in 1492.
19 Globalization 2.0 (first half) RailroadsGlobal integration during the first half of Globalization 2.0 was driven by falling transportationcosts (for example, steam engine and the railroads).Steam engine
20 Globalization 2.0 (second half) SatellitesFiber opticsGlobal integration during the second half of Globalization 2.0 was driven by falling communicationscosts (e.g., satellites, fiber optics, the personal computer, and wireless smart phones).OpenMoko open source smart phoneNetbook
21 Globalization 3.0Key agent of change: software, in conjunction with the global fiber-optic network enabling people tocollaborate and compete globally3.02.01.0
22 Globalization 3.0 (continued) Schematic Map of the Internet
23 Thomas Friedman’s Ten Flatteners Fall of the Berlin WallNetscape goes publicDevelopment of work-flow softwareUploadingOutsourcingOffshoringSupply ChainingInsourcingInformingThe SteroidsWe look at each flattener in the following slides.
27 Workflow SoftwareThis image is an interesting juxtaposition of the old assembly line (on the right) and theintegrated circuits of work-flow software (on the left).
28 UploadingClicking on the Blogger, Wikipedia, or YouTube logos on this slide will take you totheir respective home pages.
29 The Open Source Movement (essential ingredient of uploading) Apache Web serverClicking on the Linux logo takes you to the “Linux Headquarters” home page.Linux
30 The Open Source Movement (continued) FirefoxThunderbirdThe Mozilla Foundation has shifted its focus to its Firefox Web browser and Thunderbird package.Mozilla
31 The SeaMonkey Project Formerly the Mozilla Application Suite The SeaMonkey Project is a community effort to deliver production-quality releases of code derived from the application formerly known as "Mozilla Application Suite". The SeaMonkey Project has released its“all-in-one” Internet application suite, which contains a Web browser, and newsgroup client,IRC chat client, and HTML editing.
32 OutsourcingOutsourcing gained momentum and “took off” with Year 2000 (Y2K) problem
36 Informing It’s not just There are MANY other interesting search engines as we see in Chapter 5
37 The Steroids Digital Mobile Virtual Personal Digital: all analog content and processes are being digitizedMobile: thanks to wireless technologies, computing, connecting, collaborating can be done anywhereVirtual: the process of shaping, manipulating, and transmitting digitized content can be done at very high speeds, so that users do not have to think about these processesPersonal: Individuals can perform all these processes on their own computing devices
38 First Steroid: Computing (processing) TOUltramobile personal computerCharles Babbage’s Difference Engine (1822)
39 Computing (continued – storage) Sony Micro Vault Thumb DriveCapacity: 2 gigabytesFirst disk storage unit by IBM (1956)Capacity: 5 megabytesSize: Refrigerator
40 Second Steroid: Instant Messaging and File Sharing Instant messaging (example)File sharing (example)
42 Fourth Steroid: Videoconferencing This slide shows a telepresence system.A telepresence system is a sophisticated, high-bandwidth videoconferencing system with very large,high-definition screens and directional microphones. The objective is to make participants feel thatthey are in the same room.A telepresence system in a conference room
43 Videoconferencing (continued) An individual telepresence system
44 Videoconferencing and Medicine New Zealand used Polycom, a leading vendor of telepresence systems, to provide a telemedicine application for children.The telemedicine link will show a video of the New Zealand application.Clicking on the Polycom logo will take you to its homepage.
46 Sixth Steroid: Wireless Technologies Using cell phone in motionGeostationary satelliteBluetooth phone sunglasses
47 The Great ConvergenceWe are in a convergence of three powerful, technological forces: (1) Cheap and ubiquitous computing devices (2) Low-cost, high bandwidth (3) Open standards
48 The Great Convergence (continued) In essence, we have computing everywhere and anywhere, anytime and all the time, with access to limitless amounts of information, services, and entertainment.
49 The Great Convergence (continued) We have the creation of a global, Web-enabled playing field that allows for multiple forms of collaboration – the sharing of knowledge and work – in real time, without regard to geography, distance, or, in the near future, even language. The field now includes some 3 billion new people, formerly digitally disenfranchised.
50 And the result of all this? See the Power of TechnologyThis is the latest video in the “Did You Know” series.
51 1.4 Business Pressures, Organizational Responses, and IT Support Market PressuresTechnology PressuresSocietal PressuresBusiness Pressure - The business environment is the combination of social, legal, economic, physical, and political factors that affect business activities.Significant changes in any of these factor are likely to create business pressure on the organization.The three types of business pressures faced are: market, technology, and societal pressures.
52 Business Pressures, Organizational Responses, and IT Support
53 Market Pressures The Global Economy and Strong Competition The Changing Nature of the WorkforcePowerful Customers
54 Technology Pressures Technological Innovation and Obsolescence Information Overload
55 Technological Innovation and Obsolescence Obsolescence: Slide RuleInnovation: Early calculator
56 Technological Innovation and Obsolescence (continued) Innovation: TelegraphObsolescence: Pony Express
57 Technological Innovation and Obsolescence (continued) Innovation: iPod nanoObsolescence: old phonograph
58 Technological Innovation and Obsolescence (continued) Innovation: digital cameraInnovation: “Creditcard” digital cameraObsolescence: old analog camera
59 Technological Innovation and Obsolescence (continued) Horse and BuggyInnovation: Ford Model T
60 Technological Innovation and Obsolescence (continued) Obsolescence: Manual typewriterYour students can think of other technologies that have been obliterated by innovations.Innovation: Notebook computer with word processing software
62 Societal Pressures Social Responsibility Government Regulation and DeregulationProtection Against Terrorist AttacksEthical Issues
63 Green IT See CBS video on disposal of e-waste Clicking on the Ares, Osaka, and Las Vegas logos will take you to their respective Web sites.See CBS video on disposal of e-waste
64 Social Responsibility One Laptop per Child initiativeBridging the Digital Divide
65 Social Responsibility (continued) Bridging the Digital Divide with large satellite dish in rural hamletInternet over satellite in developing nations
66 Social Responsibility (continued) Bridging the Digital DivideGetting the satellite dish to the rural hamlet* Interesting juxtaposition of Agricultural Age and Information Age
67 Social Responsibility (continued) Youth Computer Club in CubaBridging the Digital Divide with a Cuban Youth Computer Club
68 Social Responsibility (continued) Cuban Youth Computer Club mobile unitThe Cuban Youth Computer Club on wheels
69 Microlenders (IT’s About Business 1.2) Clicking on the logos will take you to the respective Web pages.
70 Organizational Responses Strategic SystemsCustomer FocusMake-to-Order and mass customizationSee ReebokSee Bodymetrics videoE-business and E-commerceStrategic Systems provide advantages that enable organizations to increase market share and/or profits, to better negotiate with suppliers, or prevent competitors from entering their markets.Customer Focus is the difference between attracting and keeping customers by providing superb customer service to losing them to competitors.Make-to-Order is a strategy of producing customized products and services.Mass Customization is producing a large quantity of items, but customizing them to fit the desire of each customer.Reebok and Bodymetrics provide excellent examples of mass customization.E-business and E-commerce: Buying and selling products and services electronically.E-business is a broader concept than e-commerce.
71 1.5 Why Are Information Systems Important to You? Information systems and information technologies are integral to your livesInformation systems offer career opportunitiesInformation systems are used by all functional areas in an organization
72 Build Your Own Multinational (IT’s About Business 1.4) All these companies offer global outsourcing. Each logo is a link to thatcompany’s home page.Interestingly, students can sign up to offer their services on many of these sites.
73 Misinformation about Information Systems Career Opportunities Myth #1: There are no computing jobs.Myth #2: There will be no IT jobs when I graduate.Myth #3: All IT-related jobs are moving offshore.Myth #4: IT salaries are lower due to cheap overseas labor.
74 1.6 The Plan of This BookThe major objective of this book is to help you understand the roles of information technologies in today’s digital organizations.The book is designed to help you think strategically about information systemsThe book demonstrates how IT supports all of the functional areas of the organizationEach chapter introduces a major topic in Information Technology