1. Fifth Edition 1 M a n a g e m e n t I n f o r m a t i o n S y s t e m s M a n a g I n g I n f o r m a t i o n T e c h n o l o g y i n t h e E – B u s i n e s s E n t e r p r i s e Irwin/McGraw-Hill Copyright © 2002, The McGraw-Hill Companies, Inc. All rights reserved. C h a p t e r James A. O’Brien 7 Developing E-Business Strategies

2. Fifth Edition James A. O’Brien 2 M a n a g e m e n t I n f o r m a t i o n S y s t e m s Irwin/McGraw-Hill Copyright © 2002, The McGraw-Hill Companies, Inc. All rights reserved. Chapter Objectives Discuss the role of planning in an E-business enterprise using the scenario approach and planning for competitive advantage as examples. Discuss the role of E-business planning in the development of E-business strategies, architectures, and applications. Identify several change management solutions for end user resistance to the implementation of new E-business strategies.

3. Fifth Edition James A. O’Brien 3 M a n a g e m e n t I n f o r m a t i o n S y s t e m s Irwin/McGraw-Hill Copyright © 2002, The McGraw-Hill Companies, Inc. All rights reserved. Organizational Planning Process Analyze the Organization’s Environment Forecast Internal & External Developments Evaluate Accomplishments & Resources Develop Implementation Methods & Controls Develop - Strategies - Policies - Tactics Articulate the Organization’s Plan Establish - Vision - Mission - Goals - Objectives Team Building, Modeling, & Consensus Feedback

4. Fifth Edition James A. O’Brien 4 M a n a g e m e n t I n f o r m a t i o n S y s t e m s Irwin/McGraw-Hill Copyright © 2002, The McGraw-Hill Companies, Inc. All rights reserved. Business, Political, and Technological Trends Technology -Electronic Commerce -Customer Information Technology -“Death of Distance” -Digital Everything -Information Content of Products & Services Increasing Deregulation -Regulated Markets Opening Up -Fewer Regulatory Impediments in Business -Single Currency Zones -Regulators Outflanked by Changing Boundaries Competitive Imperatives -Imperatives - Real Growth - Globalization - Customer Orientation - Knowledge & Capability as Key Assets - New Entrants -Enablers - Alliances - Outsourcing Customer Sophistication/ Expectations -Demand for Better & More Convenient Solutions Increased Emphasis on Service Demand for Added Value Less Tolerance for Poor Standards -Just-in-Time Delivery -Global Influences -Brand “Savvy”

5. Fifth Edition James A. O’Brien 5 M a n a g e m e n t I n f o r m a t i o n S y s t e m s Irwin/McGraw-Hill Copyright © 2002, The McGraw-Hill Companies, Inc. All rights reserved. Strategic Positioning of Internet Technologies High Risk High Payoff Opportunities High Success High Payoff Opportunities High Risk Low Payoff Opportunities Safe, but Low Payoff Opportunities Low High Strategic Business Potential

6. Fifth Edition James A. O’Brien 6 M a n a g e m e n t I n f o r m a t i o n S y s t e m s Irwin/McGraw-Hill Copyright © 2002, The McGraw-Hill Companies, Inc. All rights reserved. E-Business Planning Process E-Business Application Development & Deployment E-Business Application Development & Deployment E-Business IT Strategies and Architecture E-Business IT Strategies and Architecture E-Business Strategies and Models E-Business Strategies and Models Customer and Business Value Visioning Customer and Business Value Visioning Key Insights Key Objectives Priorities More Questions Feedback

7. Fifth Edition James A. O’Brien 7 M a n a g e m e n t I n f o r m a t i o n S y s t e m s Irwin/McGraw-Hill Copyright © 2002, The McGraw-Hill Companies, Inc. All rights reserved. Ten Greatest Challenges Intranet Enterprise Portal Challenges Security Define scope & Purpose Find Time & Money Consistent Quality Employees Organizing Data Technical Expertise Integrating Pieces Easy to use Provide Users Access Enterprise Resource Planning Challenges End-User Buy-In Scheduling/Planning Legacy Systems/Data Management Buy-In Multiple/International sites & Partners Culture/Mind-Sets IT Training Getting, Keeping IT Staff New Platform Performance/System Upgrades

8. Fifth Edition James A. O’Brien 8 M a n a g e m e n t I n f o r m a t i o n S y s t e m s Irwin/McGraw-Hill Copyright © 2002, The McGraw-Hill Companies, Inc. All rights reserved. Change Management -Change Leaders -Loose/Tight Controls -Executive Sponsorship & Support - Aligning on Conditions of Satisfaction -Ownership -Design -Enterprisewide Processes -Interenterprise Processes -Enterprise Architecture -Supplier Partnership -Systems Integrators -Outsourcing -Recruitment -Retention -Training -Knowledge Transfer -Change Control -Implementation Management -Support Processes -Technology Selection -Technology Support -Installation Requirements People Process Technology

9. Fifth Edition James A. O’Brien 9 M a n a g e m e n t I n f o r m a t i o n S y s t e m s Irwin/McGraw-Hill Copyright © 2002, The McGraw-Hill Companies, Inc. All rights reserved. Managing Organizational Change Change Management Measurement and Rewards Organizational Design Core Competencies Development Educate and Train User Involvement

10. Fifth Edition James A. O’Brien 10 M a n a g e m e n t I n f o r m a t i o n S y s t e m s Irwin/McGraw-Hill Copyright © 2002, The McGraw-Hill Companies, Inc. All rights reserved. Managing information technology requires planning for changes in business goals, processes, structures, and technologies. Planning uses methods like: –Scenario approach & planning for competitive advantage –Forecast new development –Establish an organization’s vision, mission, goals, and Objectives –Develop strategies, tactics, and policies to implement its goals –Articulate plans for the organization to act upon Chapter Summary

11. Fifth Edition James A. O’Brien 11 M a n a g e m e n t I n f o r m a t i o n S y s t e m s Irwin/McGraw-Hill Copyright © 2002, The McGraw-Hill Companies, Inc. All rights reserved. Chapter Summary E-Business planning involves aligning investment in information technology with a company’s E-business vision and strategic goals such as reengineering business processes or gaining competitive advantage. Implementing E-Business Change Include: –Managing the introduction and implementation of changes in business processes. –Organizational structures –Job assignments –Work relationships –Change management tactics to reduce end user resistance & maximize acceptance