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CHAPTER 2 Organizational Strategy, Competitive Advantage, and Information Systems.

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Presentation on theme: "CHAPTER 2 Organizational Strategy, Competitive Advantage, and Information Systems."— Presentation transcript:

1 CHAPTER 2 Organizational Strategy, Competitive Advantage, and Information Systems

2 Chapter Opening Case First problem Dana Deasy Solution: Reduce number of vendors

3 Chapter Opening Case (continued) BP’s second problem: Deepwater Horizon well exploded BP’s attempted solution

4 Before the Stores (IT’s About Business 2.1)

5 2.1 Business Processes Business Process Cross-Functional Business Processes

6 Notify Traveler Receive Ticket Order Reserve Seats Charge Credit Card Confirm Flight(s) Issue e-Ticket Plan Trip Check Flights Submit Ticket Order Receive e-Ticket Seats Available Use Credit Card? Charge OK? Seats Available ? Notify Traveler Frequent Flyer Mileage Sufficient? Subtract Mileage NO YES NO YES NO YES NO YES Traveler Airline Web Site YES NO

7 2.2 Business Process Reengineering and Business Process Management Business Process Reengineering Business Process Management

8 Business Pressures, Organizational Responses, and IT Support

9 Friedman’s Ten Flatteners Uploading Outsourcing Offshoring Call center in India

10 Friedman’s Ten Flatteners Supply chaining Insourcing Informing

11 Technology Pressures Technological Innovation and Obsolescence Information Overload

12 Technological Innovation and Obsolescence (continued) Innovation: Telegraph Obsolescence: Pony Express

13 Technological Innovation and Obsolescence (continued) Innovation: digital camera Obsolescence: film camera

14 2.4 Competitive Advantage and Strategic Information Systems Competitive Advantage Strategic Information Systems

15 Porter’s Competitive Forces Model

16 Porter’s Value Chain Model

17 Strategies for Competitive Advantage Cost Leadership Differentiation Innovation Operational Effectiveness Customer-orientation

18 Chapter Closing Case


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