Transcript Document 7613857

MBA 669
Special Topics:
IT-enabled organizational Forms
Dave Salisbury
[email protected] (email)
http://www.davesalisbury.com/ (web site)
Stuff to ease my letdown from Banff
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Information and commerce everywhere,
anytime - ubiquitous
Things to consider in mixing the old & new
New media and some implications
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Business
Not necessarily business
Perspective from another time
I’ll stop the world and melt with you – not
(actually this week’s Friedman chapter)
U-commerce
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Ubiquity
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Access to information unconstrained by
time and space
Today constrained by plug-ins and legal
barriers
Uniqueness
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Know precisely the characteristics and
location of an entity
Often machine-dependent, but not always
U-commerce
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Universality
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Frictionless communication and computing
Today limited by technical, economic and
political barriers
Unison
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Consistent information across all platforms
My Palm doesn’t talk to my cell and neither
easily talks to my computer (ok, “easy”
being somewhat tightly defined here)
Mixing those bricks and clicks
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Again, back to information intensity
Find the informational component of
what your company does and leverage
it using IT
Trying to see “bricks/mortar” and
“clicks” as two different things can be a
recipe for disaster
The continuum of B/C integration
Direct, ubiquitous links
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Anyone, anywhere
Interactive relationships with customers
and suppliers
Deliver products and services at very
low cost
Direct connections to customers
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Giving customers the same (or better)
service through the Internet as from a
salesperson
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Interactivity
Time of day
Personalizing interactions
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Build customer loyalty
Tailor information and options to what
the customer wants
Valuable services inexpensively
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Frequently asked questions
Zeros and ones are cheap to move
Digital value creation
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Recipes with the beef
Information with your car
Direct links to customers lock them in to
your product, and not the retailer
Mining data to serve new segments
Turbo-Tax for the Web
This is all based in information intensity
The rules get pushed to extremes
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Search Costs
Information Asymmetry
Infrastructure as a barrier to exit, not
entry
Direct model
Navigation unbundled
Telephones – everybody has them
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Companies may be forced to move to
this model by customers and suppliers
Need to examine distributor networks
Need to reexamine value chains
Products as information
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Some products are obviously
informational in nature
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Books
Financial Services
Information is actually deeply
embedded in physical products
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Airline flights
Automobiles
Information as power
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Search costs
Information asymmetry
What happens when these approach
zero?
Information and business
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Value chain includes information flows
between companies in the chain
Value of customer relationships is really
value of proprietary information about
them
Brands as information
Richness
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Amount of information content
delivered within a given time frame
(bandwidth)
Degree to which information content is
tailored for the receiver (customization)
Amount of dialog between information
provider & receiver (interactivity)
Reach and affiliation
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Reach
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Number of people receiving or exchanging
information (connectivity)
Affiliation
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Customer to product
Service provider to customer
Trade-offs between richness & reach
Richness
(Bandwidth,
Customization,
Interactivity)
Traditional Trade-off
Curve
Reach
(connectivity)
Deconstructing the value chain
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Existing chains may fragment into
multiple businesses, with different
sources of advantage
New opportunities for physical
businesses will arise, too
Value proposition underlying brand
identity will change
Deconstructing the value chain
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New branding opportunities will emerge
for third parties without a product or
primary service
Bargaining power will shift
Switch costs will drop, forcing new ways
to maintain customer loyalty
Physical infrastructures may be a
liability
Getting the mix right
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Internet as complement
Range of options
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Spin off
Strategic partnership
Joint venture
In-House division
Me media
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Facebook
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Networking site
Social networking
Social networking – ubiquity and
uniqueness (see Watson et al.)
Potential to use to market (see
Amazon.com reviewers)
Social networking and its curiosities
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Valdis Krebs’ 9/11 site
The Music Map
Wiki’s entry
Some curiosities
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The six degrees of Kevin Bacon
Danica McKellar (yes, Winnie from “The Wonder
Years”) and her Erdös-Bacon number
The curious case of Jennifer Sterger
Blogs and organizations
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If you’re a news organization this could be a
not good thing
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What about people’s speech within your firm?
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The “new” media (e.g. Drudge)
Apple Computer and the leakers
Delta Airlines and the case of Ellen Simonetti
How might an organization manage this?
Do you even want to try?
Do you have the option?
The original WWW
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The original WWW
Radio as analogy for Internet
Crystal radio sets versus Web pages
Euphoria and collapse
What can we learn from this example?
This week’s Friedman
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Fast world, slow people
Backlash
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Venezuela
Bolivia
Reward structures all messed up
Incompatible paradigms
Wrong is right, peace kills