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Unit 1 Achieving Business Success Through Information Technology McGraw-Hill/Irwin © 2008 The McGraw-Hill Companies, All Rights Reserved Unit One • Chapter One – Business Driven Technology • Chapter Two – Identifying Competitive Advantages • Chapter Three – Strategic Initiatives for Implementing Competitive Advantages • Chapter Four – Measuring the Success of Strategic Initiatives • Chapter Five – Organizational Structures that Support Strategic Initiatives 1-2 Chapter 1 Business Driven Technology McGraw-Hill/Irwin © 2008 The McGraw-Hill Companies, All Rights Reserved Learning Outcomes 1.1 Compare management information systems (MIS) and information technology (IT) 1.2 Describe the relationships among people, information technology, and information 1-4 Learning Outcomes 1.3 Identify four different departments in a typical business and explain how technology helps them to work together 1.4 Compare the four different types of organizational information cultures and decide which culture applies to your school 1-5 Information Technology’s Role in Business • Information technology is everywhere in business 1-6 Information Technology’s Impact on Business Operations 1-7 Information Technology’s Impact on Business Operations 1-8 Information Technology’s Impact on Business Operations 1-9 Information Technology’s Impact on Business Operations • Organizations typically operate by functional areas or functional silos • Functional areas are interdependent 1-10 Information Technology Basics • Information technology (IT) – any computer-based tool that people use to work with information and support the information and information-processing needs of an organization • Information technology is an important enabler of business success and innovation 1-11 Information Technology Basics • Management information systems (MIS) – the function that plans for, develops, implements, and maintains IT hardware, software, and applications that people use to support the goals of an organization • MIS is a business function, similar to Accounting, Finance, Operations, and Human Resources 1-12 Information Technology Basics • When beginning to learn about information technology it is important to understand – Information – IT resources – IT cultures 1-13 Information • Data - raw facts that describe the characteristic of an event • Information - data converted into a meaningful and useful context 1-14 IT Resources • People use • Information technology to work with • Information 1-15 IT Cultures • Organizational information cultures include: – Information-functional culture – Information-sharing culture – Information-inquiring culture – Information-discovery culture 1-16 OPENING CASE STUDY QUESTIONS Apple-Merging Technology, Business, and Entertainment 1. Explain how Apple achieved business success through the use of information, information technology, and people 2. Describe the types of information employees at an Apple store require and compare it to the types of information the executives at Apple’s corporate headquarters require. Are there any links between these two types of information? 3. Identify the type of information culture that would have the greatest negative impact on Apple’s operations 1-17 CHAPTER ONE CASE The World is Flat – Thomas Friedman • Thomas Friedman describes the unplanned cascade of technological and social shifts that effectively leveled the economic world, and “accidentally made Beijing, Bangalore, and Bethesda nextdoor neighbors” 1-18 CHAPTER ONE CASE The World is Flat – Thomas Friedman • Thomas Friedman’s 10 Forces That Flattened the World 1. Fall of the Berlin Wall 2. Netscape IPO 3. Work flow software 4. Open-sourcing 5. Outsourcing 6. Offshoring 7. Supply-chaining 8. Insourcing 9. Informing 10.Wireless 1-19 Chapter One Case Questions 1. Do you agree or disagree with Friedman’s assessment that the world is flat? Be sure to justify your answer 2. What are the potential impacts of a flat world for a student performing a job search? 3. What can students do to prepare themselves for competing in a flat world? 4. Identify a current flattener not mentioned on Friedman’s list 1-20