Chapter 2
Case Questions:
1. How do information systems projects get started in organizations?
Information System projects start with a request which describes problems or desired changes in an information system or a business process. The request might propose enhancements for an existing system, the correction of problems, the replacement of an older system, or the development of an entirely new information system that is needed to support a company’s current and future business needs. In the Petrie Electronics a request from the executive team has decided that the number one priority is to not only survive but to thrive and prosper by developing closer relationships with their customers. They also want to attract new customers and implement a customer loyalty program.
2. How are Organizational information systems related to company strategy? How does strategy affect the information systems a company develops and uses?
Organizational information systems relate to a company strategic plan by following the organizations long term goals, strategies, and resources. The information system will set the company’s course and direction; this affects the company’s future survival and growth. In Petrie’s case they are focusing on growth and survival in a very completive industry.
3. Research customer loyalty programs in retail firms. How common are they? What are their primary features?
Customer loyalty programs are extremely popular among retail. The primary features in a customer loyalty program should be make it easy, make it meaningful, make it intelligent, and make it engaging. If the loyalty program is not easy, customers won’t use it. Customers need more than the occasional freebie to feel it’s worthwhile. Make it intelligent by gathering information to better serve the customer. Data-driven rewards allow company to determine and measure the effectiveness of loyalty programs. This allows the program to be altered or