ELC 01 2025 - Part 2 IS in Organization, Cloud Computing & Business IS
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The document discusses the transformative impact of information systems (IS) and cloud computing on organizations, emphasizing their role in enhancing productivity, innovation, and collaboration. It covers important concepts such as supply chain management, business process reengineering, and various forms of e-commerce, highlighting the necessity for organizations to embrace technological changes to remain competitive. Additionally, it addresses challenges related to consumer trust, privacy, and the strategic establishment and maintenance of e-commerce platforms.
ELC 01 2025 - Part 2 IS in Organization, Cloud Computing & Business IS
- 1. IS in Organization, Cloud Computing & Business Information Systems Part 2
- 2. IS in Organizations • Information systems (IS) continue to have a major impact on the role of workers and on how organizations as a whole function. • IS before→ automate manual processes; • IS now → transforming nature of work, and product & services offered. • Organizational leaders have an essential role in preparing the organization to not just accept but to embrace the changes necessary for success.
- 4. IS in Organizations • The value chain is a series (chain) of activities that an organization performs to transform inputs into outputs → value of the input is increased. • Organization may have many and different value chains.
- 5. IS in Organizations • In a manufacturing organization, the supply chain is a key value chain whose primary activities include inbound logistics, operations, outbound logistics, marketing and sales, and service.
- 6. IS in Organizations • Supply Chain Management (SCM) refers to the management of all the activities required to get the right product into the right consumer’s hands in the right quantity at the right time and at the right cost
- 7. IS in Organizations • The organizations that compose the supply chain are “linked” together through both physical flows and information flows. 1. Physical flows involve the transformation, movement, and storage of supplies and raw materials. 2. Information flows allow participants in the supply chain to communicate their plans, coordinate their work, and manage the efficient flow of goods and material up and down the supply chain.
- 8. IS in Organizations • Traditionally, organizations use IS to monitor and control processes focusing on ensuring effectiveness and efficiency. (IS as external to SCM process). • Modern approaches use IS to provide input, aid in product transformation, or produce output. (IS as part of the process)
- 9. IS in Organizations • With the help of IS, organizations can work and collaborate with members (managers/employees etc.) around the globe → virtual teams. • Virtual teams help organizations bring together top talent from different locations and diverse backgrounds to solve important problems. • Cultural sensitivity should be practiced.
- 10. IS in Organizations • IS is part of the VALUE CREATION of any organization → INNOVATION. • Innovation is the application of new ideas to the products, processes, and activities of a firm, leading to increased value. (catalyst for the growth and success of any organization). • It can build and sustain profits, create new challenges for the competition, and provide added value for customers. • Without innovation and change, an organization risks losing its competitiveness and becoming obsolete.
- 11. IS in Organizations Sustaining Innovation • Results in enhancements to existing products, services, and ways of operating • e.g. Apple’s iPhone Updates Disruptive Innovation • Creates new markets and/or displaces former product or way of doing things • e.g. Netflix & Video Rental Industry Types of Innovation
- 12. IS in Organizations • To stay competitive, organizations must occasionally innovate and make fundamental changes in the way they do business. Reengineering • Business Process Reengineering (BPR) • Involves the radical redesign of business processes, organizational structure, IS, and the values of an organization to achieve a breakthrough in business results. Continuous Improvement • Kaizen • Constantly seeking ways to improve business processes and add value to products and services.
- 13. IS in Organizations Outsourcing • A long-term contract where a company hires an external organization to handle a specific task or service. Offshore outsourcing (Offshoring) • Company outsources services or moves part of its operations to another country to save costs or gain specialized skills. Downsizing • Reducing the workforce to cut costs, euphemistically termed as rightsizing.
- 14. To sum it up! • Organizations are open systems that affect and are affected by their surrounding environment. • Positive change is a key ingredient for any successful organization.
- 15. Internet of Things (IoT) • The IoT is a network of physical objects or “things” embedded with sensors, processors, software, and network connectivity capability to enable them to exchange data with the manufacturer of the device, device operators, and other connected devices.
- 16. Internet of Things (IoT)
- 17. Cloud Computing • Cloud computing refers to a computing environment in which software and storage are provided as an Internet service and accessed by users with their Web browser. • Uses applications and resources delivered via the Web. (e.g. Google Drive, iCloud, Netflix, Spotify, Google Docs, Microsoft 365)
- 18. Cloud Computing: Key Features Agility Location Independence Multi- Tenacity Reliability Scalability Ease of Maintenance
- 19. Cloud Computing: Types of Cloud Deployment Public • A service provider organization owns and manages the infrastructure (including computing, networking, and storage devices) with cloud user organizations (called tenants) accessing slices of shared hardware resources via the Internet. Private • A single tenant cloud. • Used by organizations that want more security and control over their data instead of using a public cloud. Hybrid • Composed of both private and public clouds integrated through networking. • Used to run applications with less sensitive security requirements.
- 20. To sum it up! • Cloud computing provides access to state-of-the-art technology at a fraction of the cost of ownership and without the lengthy delays that can occur when an organization tries to acquire its own resources.
- 21. Business Information Systems • Electronic commerce (e-commerce) is the conducting of business activities (e.g., distribution, buying, selling, marketing, and servicing of products or services) electronically over computer networks. B2B B2C C2C G2C
- 22. Business Information Systems • Business-to-business (B2B) e- commerce is a subset of e-commerce in which all the participants are organizations. • B2B e-commerce is a useful tool for connecting business partners in a virtual supply chain to cut resupply times and reduce costs.
- 23. Business Information Systems • Business-to-consumer (B2C) e-commerce is a form of e- commerce in which customers deal directly with an organization and avoid intermediaries.
- 24. Business Information Systems • Consumer-to-consumer (B2C) e-commerce is a form of e-commerce which allows individuals to sell products or services directly to other individuals through online platforms. (e.g. eBay, Facebook Marketplace)
- 25. Business Information Systems • E-Government is the use of ICT to simplify the sharing of information, speed formerly paper-based processes, and improve the relationship between citizens and government. • Government-to-citizen (G2C), government-to-business (G2B), and government-to-government (G2G)
- 26. Business Information Systems Reach New Customers Reduce Costs Speed the Flow of Goods and Information Increase Accuracy Improve Customer Service Advantages of Electronic and Mobile Commerce
- 27. Business Information Systems Multistage model for e- commerce (B2B and B2C) A successful e-commerce system addresses the stages that consumers experience in the sales life cycle.
- 28. Business Information Systems Dealing with Consumer Privacy Concerns • Increasing awareness of how data is collected and used. • Common cases like “identity theft” • “Privacy Policy” Overcoming Consumers’ Lack of Trust • Legitimacy of the Website/Company/Seller • Implementation of strategies to increase trustworthiness Overcoming Global Issues • Cultural, Language, Time & Distance, Infrastructure, Currency, & Legal Challenges • “One-size Fits All” vs “Adapt and React” E-Commerce Challenges
- 29. Business Information Systems 1. Defining an Effective E- Commerce Model and Strategy Strategies for Successful E-Commerce and M-Commerce 2. Defining the Functions of a Web Site attractive presence + meeting the needs of the consumer (i.e. access to organization/ product information, customer support, feedback mechanisms, payment methods)
- 30. Business Information Systems 3. Establishing a Web Site • In-house • Web site hosting companies • Store front brokers Strategies for Successful E-Commerce and M-Commerce 4. Building Traffic to Your Web Site • Implementation of measures to ensure that the customers it wants to attract can find its Web site • e.g. use of meta tags
- 31. Business Information Systems 5. Maintaining and Improving Your Web Site • Monitoring site traffic • The need for “personalization” • Implicit vs Explicit • Improving response times • New trends Strategies for Successful E-Commerce and M-Commerce
- 32. To sum it up! • Electronic and mobile commerce are evolving, providing new ways of conducting business that present both potential benefits and problems. • E-commerce and m-commerce can be used in many innovative ways to improve the operations of an organization. • E-commerce and m-commerce offer many advantages yet raise many challenges. • E-commerce and m-commerce require the careful planning and integration of a number of technology infrastructure components.