Chapter 1 Managing In The Digital World

Five megatrends that shape organizations

1.) Mobile-mobility 2.) Social Media 3.) Internet of things 4.) Cloud Computing 5.) Big Data

Describe the characteristics of the digital world and the advent of the information age

3 distinct phases or waves of change: 1.)Civilization based on agriculture and handwork 2.) Industrial Revolution 3.)Information Ag information age: gained speed, information could be saved absorbed debated, and written about in publications.

Model Types with Examples

Amazon - virtual merchant model o Barnes & Noble - "click and mortar" model o Dell - manufacturer-direct model o eBay - auction brokerage model o Groupon - volume-buying model

Cloud Computing

Applications and data stored in the cloud can be accessed from different devices. Mobile devices can access data where ever they are instead of having to be at home/work using a desk top computer. Example: KU is not renewing their software contract for next year and instead will be going to a cloud computing system.

BYOD

Bring your own device

Intellectual Property

Copying digital media code of ethical conduct computer ethics institute guidelines

Evolution of Globalization: How did it evolve over time?

Economic Changes Cultural Changes Technological Changes

Consumerization of IT

Employees increasingly using their own devices for work-related purposes, or are using software they are used to such as social networks for communicating in the workplace.

Intelligent System

Emulate or enhance human capabilities. Example: Automated system for analyzing bank loan applications, evaluate complex medical data.

What is driving globalization?

Evolution of technology, led to increase in processing power and decrease in prices for computing devices. Which in turn gives more people around the world access to the internet

Social Media

Facebook, Google +, Companies can harness power using social media to encourage employee collaboration. Companies would start using more social media because their competitors where also.

Example of todays usage

FedEx, UPS -- routing and tracking o Ford -- smart apps. o Walmart - supply chain management o Freightquote.com - delivery systems o Cerner - medical information system o Blackboard - course management o Facebook - social media Google Earth

Dual Nature of IS

Good and bad American Airlines example Fed ex example. The use of IS can help a business keep a competitive advantage over other companies.

Economic Changes

Increases in international trade, in the development of global financial systems and currency, and in the outsourcing of labor.

Cultural Changes

Increases in the availability of multiculturalism through television and movies; the frequency of international travel, tourism, and immigration.

Organizations: The Context of Information Systems

Information Systems can help organizations Be more productive and profitable Gain competitive advantage Reach more customers Improve service to their customers

Classical Information Systems

Input process out put IPO

Brian Mclendon

Jayhawk: From Lawrence and played a key role in developing Google Earth.

Alan Mulally

Jayhawk: Former ceo of Ford

Cliff Illig

Jayhawk: co founder of Cerner, medical information systems.

Tim Burton

Jayhawk:Founder of freightquote.com

Outsourcing:

Moving of business processes or tasks (such as accounting, manufacturing, or security) to another company, either onshore (domestically) and offshore.

Accenture

Multinational management consulting, technology services and outsourcing employees

Significense of Berlin wall for ist

Opened up globalization market economy.

PAPA

Privacy accuracy property- who owns the data, how can that data be used. Accessibility:

management information systems

Produce detailed information to help manage a firm or part of a firm example: inventory management and planning system, student enrollment by major and by course

Accuracy

Providing customers with means to access data collected about them, check for accuracy, and request correction of inaccuracies.

Technological Changes

The development of low-cost computing platforms and communication technologies; the availability of low cost communication systems such as email, Skype, and instant messaging.

Big Data

The rise of social media has further increased the amount of unstructured data available to organizations. Internet increased huge amounts of data to access. Posting online reviews of companies and or products. Companies like FanThreeSixty Dillons Walmart

Key reason for outsourcing

To reduce or control costs ** o To free up internal resources o To be able to focus on core activities o To gain access to world-class capabilities o To increase revenue potential of the organization o To reduce time to market o To increase process efficiencies

Computer Ethics

Used to describe moral issues and standards of conduct as they pertain to the use of information systems. Computer ethics, moral issues in relation to IS and the increase of business with other countries around the world. Learning and respecting their culture. Social Decay- face to face communication is phasing out slowly.

Are we in post-pc era?

Yes, Business lack being totally dependent on pc

The Internet of Things

a broad range of physical objects (such as computer, sensors, or motors) that are interconnected and automatically share data over the internet. Internet allows to control home and things at home while away from the home. Example: his friend who owned the boat. Smart watches reading the distance on the golf course. Measuring heart rate/calories GPS Weather

Information

a representation of reality, and can help to answer questions about who, what, and when.

digitial divide

computer literacy mark zuckerburg story bringing the internet to everyone around the world. internet.org access to the internet for low income families all around the world.

Information Privacy in PAPA

concerned with what information an individual should have to reveal to others in the workplace or through other transactions, such as online shopping.

Mobile

mobile devices are frequently seen leapfrogging traditional PCs, often owning to the lack of stable, reliable power or lacking landline telephone infrastructures. Making mobile devices the primary means of accessing the Internet increased collaboration to the ability to manage a business in real time at any time. changes in the way new or existing customers can be reached. Seeing more moible apps built by companies to market their products. Not just using websites anymore.

Knowledge worker

professionals who are relatively well educated and who create, modify, and/or synthesize knowledge as a fundamental part of their jobs.

Decision support system

provide analysis tools and access to databases in order to support quantitative decision making. example: Product demand forecasting system, loan and investment analysis.

Network Effect

refers to the notion that the value of a network or tool or application based on a network, increases with the number of other users.

Computer Fluency

the abilit to independently learn new technologies as they emerge and assess their impact on one's work and life.

knowledge

the ability to understand information, form opinions, and make decisions or predictions based on the information. Knowledge is a body of governing procedures, such as guidelines or rules, that are used to organize or manipulate data to make it suitable for a given task.

Globalization

the integration of economies throughout the world, fundamentally changing how not only people but also organizations and countries interact.

e-business

the use of nearly any information technologies or systems to support every part of the business.

e-commerce

the use of the internet and related technologies to support commerce

Information Haves

those computer literate individuals who have unlimited access to information

information have-nots

those with limited or no computer access or skills.

Reasons companies outsource business activities:

to reduce or control costs to free up internal resources to gain access to world-class capabilities to increase the revenue potential of the organization to reduce time to market to increase process efficiency To be able to focus on core activities To compensate for a lack of specific capabilities or skills.

Data

unformatted data, raw symbols, such as words and numbers Data have no meaning in and of themselves, and are of little value until processed.

Information Systems:

use information technology to collect, create, and distribute useful data. Includes software, hardware, and telecommunications networks.

transaction processing systems:

used by a broad range of organizations to not only more efficiently process customer transactions, but also generate a tremendous amount of data that can be used by the organizations to learn about customers or ever changing product trends Example: grocery store checkout cash register with connection to network, student registration system

Five components of information systems:

• People • Telecommunication NWs • Hardware • Data • Software