Competing with Information Technology
McGraw-Hill/Irwin
Copyright © 2008,The McGraw-Hill Companies, Inc. All rights reserved.
2008 The McGraw-Hill Companies, Inc. All rights reserved.
Chapter
2
Competing with
Information Technology
McGraw-Hill/Irwin
Copyright © 2008,The McGraw-Hill Companies, Inc. All rights reserved.
2008 The McGraw-Hill Companies, Inc. All rights reserved.
Learning Objectives
• Identify basic competitive strategies and explain how a business can use IT to confront the competitive forces it faces
• Identify several strategic uses of IT and give examples of how they give competitive advantages to a business
• Give examples of how business process reengineering frequently involves the strategic use of IT
2-3
Learning Objectives
• Identify the business value of using Internet technologies to become an agile competitor or to form a virtual company
• Explain how knowledge management systems can help a business gain strategic advantages
2-4
Strategic IT
• Technology is no longer an afterthought in business strategy, but the cause and driver
• IT can change the way businesses compete
• A strategic information system is any information system that uses IT to help an organization… • Gain a competitive advantage
• Reduce a competitive disadvantage
• Or meet other strategic enterprise objectives
2-5
Case 1: GE, Dell, Intel, GM and Others
• Does IT matter?
• No
• Nicholas Carr argues that IT is infrastructure, much like electricity
• Too commonplace to offer a competitive advantage
• Yes
• It is not just networks and computers
• The important part is the software and information and how IT is used
2-6
Case Study Questions
• Do you agree with the argument made by
Nicholas Carr to support his position that IT no longer gives companies a competitive advantage? • Do you agree with the argument made in support of the competitive advantage that IT can provide to a business?
• What are several ways that
Copyright © 2008,The McGraw-Hill Companies, Inc. All rights reserved.
2008 The McGraw-Hill Companies, Inc. All rights reserved.
Chapter
2
Competing with
Information Technology
McGraw-Hill/Irwin
Copyright © 2008,The McGraw-Hill Companies, Inc. All rights reserved.
2008 The McGraw-Hill Companies, Inc. All rights reserved.
Learning Objectives
• Identify basic competitive strategies and explain how a business can use IT to confront the competitive forces it faces
• Identify several strategic uses of IT and give examples of how they give competitive advantages to a business
• Give examples of how business process reengineering frequently involves the strategic use of IT
2-3
Learning Objectives
• Identify the business value of using Internet technologies to become an agile competitor or to form a virtual company
• Explain how knowledge management systems can help a business gain strategic advantages
2-4
Strategic IT
• Technology is no longer an afterthought in business strategy, but the cause and driver
• IT can change the way businesses compete
• A strategic information system is any information system that uses IT to help an organization… • Gain a competitive advantage
• Reduce a competitive disadvantage
• Or meet other strategic enterprise objectives
2-5
Case 1: GE, Dell, Intel, GM and Others
• Does IT matter?
• No
• Nicholas Carr argues that IT is infrastructure, much like electricity
• Too commonplace to offer a competitive advantage
• Yes
• It is not just networks and computers
• The important part is the software and information and how IT is used
2-6
Case Study Questions
• Do you agree with the argument made by
Nicholas Carr to support his position that IT no longer gives companies a competitive advantage? • Do you agree with the argument made in support of the competitive advantage that IT can provide to a business?
• What are several ways that