2. How does the use of the Internet, intranets, and extranets by companies today support their business processes and activities?Internet: organization can connect directly with the general public. Opportunities range from giving away basic product information to automatically updating or patching retail software. Many businesses also conduct retail operations online. Intranets: organizations often use internet technologies to facilitate operations within the organization. Such systems might include product support knowledge bases, training systems, and access to the organisation's benefits system.Extranet: organizations may use these same internet technologies to connect with their business partners to facilitate supply chain management, help manage projects, manage accounts, or provide advanced technical support. Organizations use internet technologies to connect with both customers and suppliers. These technologies allow customers to generate and track their own orders as well as manager their accounts. They also enable significant supply chain automation 3. Refer to the Real Word Case on eCourier, Cablecom, and Bryan Cave in the chapter. Jay Bregman, CTO and cofounder of eCourier, notes that the company hopes their innovative use of technology will become a differentiator in their competitive market. More generally, to what extent do specific technologies help companies gain an edge over their competitors? How easy or difficult would it be to imitate such advantages?Advantage: at best, most technology innovations provide only a temporary edge over competitors. Even in the unusual case of patented technologies, the patent runs out after 17 years. If the advantage comes from how a technology is used, then competitors need only copy these successful implementations. Often, competitors have the opportunity to learn from hard won efforts and improve on them to their advantage. Imitation limitations: economies of scale, proprietary technology, brand image, and high switching costs can all work to make imitations less successful. Xerox brand photocopiers benefited from the first three, and it took competitors decades to catch up. In eCourier's case, competitors need only make the capital investment in off- the-shelf technology in order catch up. eCourier should now focus on increasing switching costs by web- enabling their account management system.

1. Understanding the Information System A library makes an excellent information systems model. It serves as a very large information storage facility with text, audio, and video data archives. Look up the definitions for each term listed below and briefly explain a library's equivalents. Students will more easily grasp advanced concepts once they learn to think in terms of the basic information systems structures. This exercise takes a familiar system and breaks it down into an information system's components. This exercise makes an excellent in-class discussion topic where students can expand each other's ideas. Consider substituting any common information system in place of a library. Alternative examples might include video rental stores, class registrations systems, and voting systems. a) Input A library's inputs consist of the items it receives for its collection. These items may consist of books, periodicals, maps, microfiche, DVDs, CDs, and many others. Inputs also consist of creating and maintaining patron's accounts. b) Processing A library's main processes revolve around checking out and checking in items from its collection. Additional processes include adding new items into the collection, purging dated, duplicate, or damaged items from the collection, photocopying or reproducing materials, facilitating inter-library loans, sending overdue notices, assisting patron's accounts, and repairing damaged items. c) Output A library's outputs consist of any information that leaves the library. This may take the form of item loans, photocopies, and even hand-written notes. d) Storage A library's storage systems include shelves for books, stacks for periodicals, file drawers for microfiche, hard drives for databases, and racks for CD's and DVD's. e) Control A library's control systems include periodic inventories, anti-theft devices, and security cameras. f) Feedback A library's feedback systems include circulation, patronage, and loss statistics. Librarians use this information to help identify popular items, plan staffing levels, and develop strategies to reduce loss. In short, librarians use this information to help the library run more effectively and efficiently.

2) How does the use of internet, Intranets and extranets by companies today support their business processes and activities?

Directly or indirectly organizations have been using intranets and extranets in order to support their business activities since so long. Intranet is the communication network inside the organization, which provides information about what is happening inside the organization. Its about knowing yourself.Extarnet is about communication network among various stakeholders who are not exactly in the organization but are related to organization in some ways. Extranet provides information about suppliers, customers and competitors which facilitates the process of planning and decision making. Organizations used to decide and perform as per the information collected through these two different networks. And now, past 10 years internet has been one of the most important sources of information for the organization to operate in this global environment. Internet has made it possible to know about everything going around the globe, sitting in the couch. Internet has made the business easier. Websites, blogs, email and many more, collecting information was never so easy before. Today to know about Microsoft Inc. you shouldnt visit America. Besides, because of use of internet we are able to know about what are the recent business trends, what are our competitors doing ,wheres our business heading and lot more so that we can manage and plan our activities as per all these things. Organizations are using internet in their every aspect, from production to promotion.3) Refer to the real world case on sew what? In the chapter. In the companys early years, Megan Duckett lost a major contract because a prospective client said that without a web site, her business lacked credibility.Does this hold true today for all business? Why or why not?

Business is not just about buying and selling of a product. Moreover its about trust. Costumer should be able to trust you if you are to sell your product. Costumer trusts you as per the information you provide about yourself and the way you show responsibility towards them. If your company has a website, it shows that you are up-to-date with changing time and you are responsible towards your costumer so that you are considering the convenience of your costumer .This sense of responsibility can be the basis of trust among you and your costumer resulting the business relation among the parties.Today people have many choices. They have many options to go for. The only reason they will choose you from the many is the trust they have in you. The more they know about you, more it becomes easy for them to trust you. So, definitely in todays complex business environment it matters a lot to have credibility in order to be successful. If people dont know about you they wont be able to trust you. Also Internet is very convenient that a costumer can use it from anywhere to get the detail information. So in order to explain yourself and be familiar to people along with moving with peoples perception and changing technological advances, it is important to have website today in all business.2. How does the use of the Internet, intranets, and extranets by companies today, support heir business processes and activities? In order to succeed today, organizations are increasingly competing in global markets. The increased use of technologies such as the Internet, intranets, and extranets will definitely revolutionize how businesses will operate and how they will use computers to compete.3. Refer to the Real World Case on Amazon.com in the chapter. What advice could you five Jeff Bezos about the business use of information technology at Amazon that might help them continue to prosper during the next five years? Explain your recommendations. Recommendations could include: Continue the investment in newer technologies to enable Amazons ability to be very competitive. Develop new strategies with companies in additional industries that will enable Amazon to enter new markets for additional products and services. Develop better applications using an open system environment that will enable Amazon to further reduce costs and/or increase revenues. 3.How could a business leverage its investment in information technology to build strategic IT capabilities that serve as a barrier to entry by new entrants into its markets?The cost of building and maintaining a strategic IT platform can be very expensive. Businesses may look to leverage some of these costs to their customers, thereby building IT platforms that can be utilized by their customers and suppliers. Initially, both the company and the customer are experiencing mutual benefits from the new system; however, as time goes by the customers become dependent on using the platform. In the long run, the companys investment in IT results in locking in their customers and suppliers, creates switching costs, and creates barriers to entry from competitors.7.How could a business use the Internet technologies to form a virtual company, or become an agile competitor?Companies can use the Internet to publish information about themselves and their products. Through their presence on the Internet, organizations can seek quick access to new markets, and allows them to create virtual companies and to be agile competitors. The Internet promises to be a cost-efficient way for companies to develop strategic collaboration, operations, marketing, and alliances in global markets. Through the Internet, organizations can break time, geographic, cost, and structural barriers.9.Information Technology cant really give a company a strategic advantage, because most competitive advantages dont last more than a few years and soon become strategic necessities, which just raise the stakes of the game. Discuss.Students responses will vary. However, information technology for early innovators certainly can give a company a competitive advantage. Although technology is changing at a rapid pace, the first company to gain acceptance stand to capture a substantial market share before the competitors can catch up. By the time that other organizations catch up, the originator has potentially realized a large market share, and captured substantial customer loyalty.3) How could a business leverage its investments in information technology to build strategic IT capabilities that serve as a barrier to new entrants into its markets? (AJ)Businesses can leverage its investments in information technology (IT) to build strategic IT capabilities that serve as a barrier to new entrants into its markets by developing new products and services that would not be possible without strong IT capability. Companies without strong established IT capabilities cannot afford the investment it would take to compete with the established company. Without strong IT capabilities smaller companies wont be able to produce and sell products and services at a competitive price. The risk of going bankrupt is not worth the reward of the opportunity to compete with an established well known company.For example Cabelas is the most successful outdoor recreation retailer in the market. Cabelas not only offers great products, but a great experience when going to one of their stores. They display fish and game mounts along with a live fish tank in most stores. Cabelas recently diversified into the video game market and are now developing hunting and fishing video games. Cabelas customers can shop in the store, online, and through their outdoors magazine. I do my outdoors shopping at Franks Great Outdoors located in Linwood MI. Because Cabelas has already established so many mediums for their customer to do their shopping in order for Franks to compete with Cabelas on a global scale they would have to make massive investments into their website along with other investments to their stores, publications, inventory network, suppliers, and marketing.Another barrier a strong IT network brings is the complexity of the product itself. If Company A creates a very complex product or system that does amazing things and Company B is looking into getting into the market and competing with Company A. Company A has a Strong IT department and can start creating and selling these products right away with minimal investments. Company B is also an established company but it just doesnt have the capability or the technology to produce or sell this product. Because the product is too complex for Company B they decide to pass on the opportunity.

9) Information technology can't really give a company a strategic advantage, because most competitive advantages don't last more than a few years and soon become strategic necessities that just raise the stakes of the game. Discuss. (Anna)

While Information technology can give a company a strategic advantage for a few years, updates need to be made in order to keep up with the changing economy. Just by staying up to speed with what the consumer wants and looks for both financially and service wise you can remain competitive in the business world. For example, say you have a website that assists customers looking for your services/products. After three years you are going to want to refresh the page with different pictures, ideas, prices (discounts may apply), promotions or new products/services that you are offering to keep up with the competition of other businesses.There are other aspects that also need to be considered when looking to keep a strategic advantage. For example, O'Brien and Marakas mention that it is important to "gain competitive advantages, reduce a competitive disadvantage, or meet other strategic enterprise objectives." In addition they talk about five competitive forces:The rivalry of competitors within its industry, the threat of new entrants into an industry and its markets, the threat posed by substitute products that might capture market share, the bargaining power of customers and the bargaining power of suppliers.There are several ways in which a company can avoid a competitive disadvantage and in turn keep up to date with their technology. By simply becoming and remaining aware of what other businesses they have to compete with, prices can be adjusted and new products/services can be introduced to counteract competition while keeping current employees satisfied and possibly bringing new customers in.Some may argue that doing the above just raise the stakes of the game by making radical changes in the business itself. But in fact these changes are considered innovative and help to build a better foundation to compete while dealing with new entrants. Improving in ways such as cutting costs and becoming more efficient when it comes to better quality, customer service and getting the products to market in a much quicker matter. By focusing on improving the current business this helps to "raise barriers to entry," which decreases the excessive amount of competition. By keeping additional competitors out you can continue to focus on other businesses that pose a threat.Another factor that is crucial when it comes to strategic advantages is provided in "Real World Case 2," and discusses the business GE (General Electric) and how their services have changed over the years to better accompany its customers (both individuals and businesses alike). One of their main points in this case can be summarized by an analogy that describes their services. It simply states,"...imagine not buying or leasing the car of your choice but instead paying for its use by the mile." In a nutshell this is what GE provides to its customers when it comes to electricity. But by altering the way the provide their service, customers may go one of two ways, they may think that this new pricing will be much more expensive (in which case an example bill should be set up for that customer, or for an example to show how much better it truly is), or they will be intrigued and anxious to try this new system. Either way there are always trade offs when trying to make your business more marketable. So by keep up with information technology and keeping your customers informed you should overall decrease the competition and hopefully increase your clientele. 4. Are Textbooks History? Many students are familiar with both Google and Wikipedia. This exercise will help bring the remaining students up to speed and enable thoughtful classroom discussion. It will also increase student's exposure to this chapter's vocabulary. a) Go to http://www.google.com and use the search box to look up "End-user." Were any of Google's first five search results useful with respect to this course? At the time of this writing, Google returns Wikipedia links, dictionary definitions, a MySpace page, information about end-user licensing agreements, and so on. Note: seven years ago the results were generally useless with respect to this course. b) Go to http://www.wikipedia.com/ and use the search box to look up "Knowledge worker." Compare Wikipedia's article to the information provided within this textbook. Which source did you find easiest to use? What advantages did Wikipedia provide? What advantages did this textbook provide? Ease of use: The article was neatly laid out and easy to navigate. Links to related terms at the bottom of the article made exploring the topic in further detail simple. Wikipedia's advantages: Free Detailed Easy to print out, not heavy to carry Textbook's advantages: Fact checked by professionals Concise Contains up to date real-world examples and illustrations Includes useful case studies and exercises Available off-line and without batteriesc) Did Google, Wikipedia, or this textbook provide the most useful information about "Intranets"? Why? Google: Google provided Wikipedia's link first, so it was useful in that way. It's simpler to type in a one word query than to navigate to Wikipedia and repeat the query. Other links included intranet building resources, intranet evaluations, and links to subject-matter journals. Wikipedia: Wikipedia's article addressed the subject in detail. It contained hyperlinks to online sources and internal links to related articles. Textbook: The textbook contains the term in its index along with numerous page references spread across many chapters. The book is far more cumbersome to use, but the information is concise, vetted for accuracy, and available offline.1. As stated in the case, the New York Times chose to deploy their innovation support group as a shared service across business units. What do you think this means? What are the advantages of choosing this approach? Are there any disadvantages? Shared service A shared service means that it's a resource available to all the organization's business units. Typically, shared services operate as a "profit center". This means they generate internal charges (bills) for their work. The charge-back system helps IT to quantitatively justify its existence to the organization. Advantages Pooled expertise Shared overhead costs Easier to enforce software, hardware, technology, process, and policy standards across an organization Easier to share best practices across an organization Disadvantages Creates an extra layer of management between IT and end-users which may result in some loss of responsiveness or accountability to individual business units Reduced flexibility2. Boston Scientific faced the challenge of balancing openness and sharing with security and the need for restricting access to information. How did the use of technology allow the company to achieve both objectives at the same time? What kind of cultural changes were required for this to be possible? Are these more important than the technology-related issues? Develop a few examples to justify your answer. Technology Boston Scientific accomplished its objective by implementing an automated workflow application to help them manage information access. Cultural changes Boston Scientific's managers had to eliminate their "information silo" mentality and perceive the value in sharing their information in a controlled and accountable fashion. Its managers also had to learn the new technology and incorporate it into their daily processes. Importance Since a project will fail without both cultural and technology changes, neither one is more important. Sample examples Some cultures operate under a strict social hierarchy. Enabling workers to participate in quality improvement initiatives by providing them with production data and analysis tools would run counter to this culture. Unless the implementation team manages to overcome this cultural barrier, managers would resist sharing information or simply deny their employees access to the system. 3. The video rental map developed by the New York Times and Netflix graphically displays movie popularity across neighborhoods from major US cities. How would Netflix use this information to improve their business? Could other companies also take advantage of these data? How? Provide some examples. Possible business improvements Netflix could use this data to identify affinities between movies and ensure that its regional distribution centers are appropriately stocked to meet anticipated demand. External use Netflix might consider selling its data to consumer trend-tracking organizations. Netflix need not divulge individual customer data but instead group movie rental data by postal code. Postal codes would give marketers the ability to tie Netflix' data in with data from other marketing systems to help create more useful regional, demographic profiles.3. How could a business leverage its investment in information technology to build strategic IT capabilities that serve as a barrier to new entrants into its markets? Businesses may leverage its IT platforms by connecting them with their customers and suppliers to provide better communications. Initially, both the company and the customer benefit from the new system. However, as time goes by the customers will tend to integrate these systems into their own core processes thereby becoming dependent on the platform. In the long run, the companys investment in IT results in locking in their customers and suppliers and creating switching costs. The high costs associated with developing these systems serve as barriers to entry for competitors.

7. How could a business use Internet technologies to form a virtual company or become an agile competitor? Virtual company: Example: a person or company could use the Internet to acquire customers and then farm out the work to suppliers. A simple example of this can be found managing contractors. A company solicits customers for contract work (customers) and then solicits reliable contractors who can do this work (suppliers). In exchange for a share in the contractor's earnings, the virtual company handles the billing and customer relations. It manages its reputation by monitoring the quality of the contractor's work. High performing contractors retain a larger percentage of their earnings, and low performing contractors are not invited to work on future contracts. Some software vendors now lease (or provide for free) web enabled business software to manage accounting, customer relations management, and office automation tasks (word processing, spreadsheets, calendaring, and e-mail). As a result, a truly virtual company need only a computer connected to the Internet and a web browser. Visit rentacoder.com for a reverse auction site version of this enterprise.

9. Information technology cant really give a company a strategic advantage because most competitive advantages dont last more than a few years and soon become strategic necessities that just raise the stakes of the game. Discuss. Information technology for early innovators can give a company a temporary competitive advantage. Although technology changes at a rapid pace, the first company to gain acceptance stands to capture a substantial market share before its competitors can catch up. Apple's iPod serves as a good example. By the time that other organizations caught up, the Apple had realized a large market share and captured substantial customer loyalty. On the other hand, competitors can learn from the leader's mistakes at very little cost other than running the risk that their competitor will succeed brilliantly. With these cheaply acquired insights, competitors can introduce their own products into an already primed marketplace and take it over with a superior product and/or a lower price.

1. End-User Computing: Skill Assessment Note that students tend to overestimate their computing skills when self-reporting. a. Word processing: About how many words per minute can you type? Do you use styles to manage document formatting? Have you ever set up your own mail merge template and data source? Have you created your own macros to handle repetitive tasks? Have you ever added branching or looping logic in your macro programs?Most students feel they are competent at word processing if they can type, save, and print their papers. Today's knowledge workers also use document styles, mail merge, and macros to create shortcuts to repetitive tasks. b. Spreadsheets: Do you know the order of operations your spreadsheet program uses (what does _5*2^2- 10 equal)? Do you know how to automatically sort data in a spreadsheet? Do you know how to create graphs and charts from spreadsheet data? Can you build pivot tables from spreadsheet data? Do you know the difference between a relative and a fixed cell reference? Do you know how to use functions in your spreadsheet equations? Do you know how to use the IF function? Have you created your own macros to handle repetitive tasks? Have you ever added branching or looping logic in your macro programs?Students should be able to calculate the answer to the equation provided without programming it into a spreadsheet. The correct order of operations for this equation is power, multiplication, addition, and the answer is 10. Basic users must understand order of operations, fixed and relative cell references, how to apply functions, and how to create graphs. Intermediate users can use pivot tables to rapidly cross-tabulate data, the IF function to create conditional answers, and create basic macros. c. Presentations: Have you ever used presentation software to create presentation outlines? Have you added your own multimedia content to a presentation? Do you know how to add charts and graphs from spreadsheet software into your presentations so that they automatically update when the spreadsheet data change?Students should be able to prepare presentation outlines that include graphics imported from or linked to spreadsheet applications. Advanced users will be able to include audio and video elements into their presentations as well as set slide timing to automate stand-alone or kiosk presentations. d. Database: Have you ever imported data into a database from a text file? Have you ever written queries to sort or filter data stored in a database table? Have you built reports to format your data for output? Have you built forms to aid in manual data entry? Have you built functions or programs to manipulate data stored in database tables?Most students will have very little database experience. Yet, managers can take great advantage of a database system's built-in report generating features. To do this, users need basic table design, data import, and query writing skills. Intermediate desktop database users will have basic form design skills.

1. In which ways do smartphones help these companies be more profitable? To what extent are improvements in performance coming from revenue increases or cost reductions? Provide several examples from the case. Profitability: Reduced time it takes to close a purchasing deal Reduced inventory levels Increased customer satisfaction Increased employee satisfaction Reduced service call time and costs Improvement source: Performance improvements primarily stem primarily from cost savings. However, we might also infer revenue increases from satisfied customers and fewer lost opportunities.Examples: Better communications enable improved field support with fewer personnel required to fix a problem and the reduced time it takes to close a service call Better communications reduced the time it takes to close procurement deals. This has resolved in lower inventory levels and reduced inventory holding costs. We could also infer that this results in fewer lost sales opportunities and better purchasing terms, too. Improved employee satisfaction employees have access to the resources they need to do good work. Improved customer satisfaction service calls are resolved more quickly thus reducing the impact on their business.2. The companies described in the case encountered a fair amount of resistance from employees when introducing smartphone technologies. Why do you think this happened? What could companies do to improve the reception of these initiatives? Develop two alternative propositions. Employee resistance - CPS: management could not visualize the value these devices would provide. Employee resistance Lloyd's Construction: employees were not technically savvy and required significant training. Though not directly mentioned, the case also implied that employees may have resisted these devices because they performed like workplace monitoring tools. Resistance causes CPS: without first-hand experience or a clear vision, it's easy for management to discount the benefits and magnify the risks. Resistance causes Lloyds Construction: the case does not explicitly state that Lloyd's employees likely have very low levels of formal education. However, students can reasonably infer this from their job titles. It's also against human nature to welcome new restrictions on one's freedom. Potential solutions: given the successes experienced by both CPS and Lloyd's Constructions, students should learn from their example: Implement small, low cost, low risk pilot projects to demonstrate the technology's value Provide a full range of employee training programs Employ a parallel implementation strategy to give employees time to learn the new systems while minimizing the impact of any failures Other feasible recommendations: Adjust the employee evaluation system to include a section on technology use Adjust the compensation system so employees benefit from cost savings Provide "coaches" or "mentors" in addition to a help-desk during implementation Advertise/recognize early successes 3. CPS Energy and Lloyds Construction used smartphones to make existing processes more efficient. How could they have used the technology to create new products and services for their customers? Include at least one recommendation for each organization. The main point of this question is "how", but students may well focus on "what" instead. On the "how" side, both organizations may create new products by providing their customers with access to these systems. This access may take the form of "read" access. FedEx installed a "read" access system for its customers. This system allowed customers to track a package's delivery status. These organizations may also provide read/write access. Example applications might include order entry, account management, or even collaborative interaction. CPS Energy might consider making its experts (or just their expertise) available online. This would enable their customers to attempt to solve their own problems or escalate a request to CPS' own experts. These experts could then access and assess the request's entire history. This may allow them to help solve the problem online or at least better prepare for the onsite service call.

Lloyd's work is done on a project by project basis. Lloyd's could use their systems to provide their general contractor (the contractor responsible for managing all the individual contractors) with project status information (site surveys, various permits, etc), schedule coordination, and expense reporting. These systems might also be used to demonstrate compliance with local and federal regulations such as hazmat handling or equal opportunity employment directives. Real World Activities 1. In addition to the companies featured in the case, others like FedEx and UPS, which have large mobile workforces, heavily use mobile communication technologies. What other companies could benefit from these innovations? Search Terms: "mobile workforce automation" + "case studies" A few examples: Full service car rental agencies such as Alamo, Avis, Hertz, and National. Utility companies (meter readers) The trucking industry (any shipping and delivery company) The U.S. Census bureau Onsite market researchers Hospitals2. Go online and research uses of smartphones in industries different from the ones reviewed here. Prepare a report to share your findings. Search Terms: "mobile workforce automation" + "case studies"3. Use the Internet to research the latest technological developments in smartphones, and discuss how those could be used by companies to deliver value to customers and shareholders. Search Terms: "smartphone" + "case studies". Searching a news aggregator like Google News would provide the most current developments.7 Current developments include: Security and mobile banking Mobile journalism's impact Android O/S Competitor/product analysis