Outline: Business Data Frameworks Fall, 2005 - PowerPoint PPT Presentation

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Outline: Business Data Frameworks Fall, 2005

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  1. Summary:Business Information SystemsFall, 2005 Virginia Franke Kleist, Ph.D. Assistant Professor Division of MIS/Management

  2. Business Information Systems • How will you use information technology (IT) your firms job? • How will technology make you firm more successful? • What kinds of information technologies will you see in the business world? • What are good ways to manage information technology? • Can IT give competitive advantage for your company, anyway? • How can one identify which technologies will best give strategic advantage? MANG 420

  3. Contact Information • Virginia Franke Kleist, Ph.D. • Virginia.kleist@mail.wvu.edu • www.be.wvu.edu/divmim/mgmt/kleist • 304-293-7939 • I welcome your comments and contacts! • Several drawings are adapted from Laudon and Laudon, (2005), Management Information Systems: Managing the Digital Firm, New Jersey: Prentice Hall (8th ed.). • Some material adapted from Burgelman, Christensen and Wheelwright, (2004), Strategic Management of Technology and Innovation, Boston: McGraw-Hill Irwin (4th ed.). MANG 420

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  6. What did we learn? • Strategic advantage from information technology • Latest information technologies • How do you successfully select, implement and manage a new IT? • How can your firm benefit from IT? • How do you pick an MIS system? • How do you manage MIS well? MANG 420

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  8. Strategic Information Systems

  9. Strategic Information System • Technology used to gain an edge over an organization’s competition • Can be used at all levels of an organization or just a few • Makes a difference • Profoundly alters the way an organization does business • Sustained strategic, competitive advantage MANG 420

  10. American Airlines Fed Ex Citibank Wal-Mart Abitibi Consolidated Simonton Windows (SBR) USA Today Benetton Sheetz PNC Corporation PriceWaterhouse Coopers Baxter Healthcare Examples of Strategic Information Systems MANG 420

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  12. Four types of Information Systems • Operational • Decision Support • Managerial • Executive • Decision-making becomes more complex the more executive the level • Operational systems have been around a long time and tend to have good ROI’s MANG 420

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  14. Current Technologies for Strategic Information Systems

  15. What are the latest technologies of interest? • CPU’s and software, open source code • Client server computing • Interactive multimedia • Developments in Electronic Commerce • TCP/IP and the Internet • Databases and Datamining • Handhelds, M-commerce • Knowledge Management tools and Artificial Intelligence MANG 420

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  18. Technologies: CPU’s and Software • Hardware components of a computer system • Buses, CPUs, MHz, RAM, Gigs and cache • Bits and Bytes, storage • Moore’s Law and price points per MIPs • Mainframes, RISC computers, Parallel processing • Open source movement in operating systems • Enterprise Resource Planning software • Object oriented programming MANG 420

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  20. Technologies: Client Server Computing • Distributed processing vs. centralized processing • Network computing • Servers • Bridges and routers, gateways • Network management • Ethernet and Token Ring MANG 420

  21. Technologies: Interactive Multimedia • Groupware • Voice over IP • Streaming technology • Flash • MP3 • Seeing corporate uses in training applications MANG 420

  22. History of Technology • 1960s: Mainframe computers, MIS not superb at meeting budgets or deadlines • 1980s: First PCs emerge, beginning of schism between departments and centralized MIS • 1990s: MIS and departments work together well, networks key techno • 2000: Enterprise networks • Next: Vice Presidents of Electricity? MANG 420

  23. Technologies: Electronic Commerce • The client/server/database three tier model • HTML, JavaScript • XML vs. EDI, ASP and ActiveX, PHP, CGI • Web Services • Interdev and development tools • Security and encryption issues • Intranets and Extranets MANG 420

  24. Technologies: TCP/IP and the Internet • Codes, bits and bytes • Analog vs. Digital transmission • Packet switching and circuit switching • The IP address, TCP/IP layers • The world is becoming digital • VoIP MANG 420

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  29. Technologies: Databases, Datamining • Data is the company’s strategic asset • Data warehouses, multidimensional databases and data marts • Informix, Oracle and Red Brick • The database management system • Data mining is a type of software application that finds patterns in data that can guide decision-making • Data mining allows focused differentiation and the ability to narrow target markets MANG 420

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  32. Technologies: Handhelds and M- Commerce • Cellular technology • WAP technology • Handheld market and applications • The Win CE platform • Linux in the small devices • What is M-commerce and what does it mean to me? MANG 420

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  34. Technologies: Knowledge Management Tools and Artificial Intelligence • Examples of Knowledge Management systems • Expert systems: the earthenware dam • Neural Networks • Fuzzy logic • Intelligent agents MANG 420

  35. Technologies: Wireless • 802.11b, a and g • Weaknesses in security in wireless • Access points • Use firewalls behind access point • Netstumbler and war driving MANG 420

  36. Managing for Information Systems Strategic Advantage

  37. Management: Information Systems Planning • IS plan maps to the corporate strategic plan • Variety of IS planning styles: CSF, Enterprise Planning • Components of Information Systems Strategic Plan • Organizational change from systems: TQM, BPR, paradigm shifts or simple automation MANG 420

  38. Management: the Systems Development Life Cycle • Systems analysis • Systems design • Programming • Testing • Conversion • Production mode and ongoing maintenance MANG 420

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  40. Management: IS Strategic Plan • Purpose linked to strategy • Current situation • Systems: What do you have, what will you need to meet future • New developments in corporation • Management strategies with techno: Bleeding edge, leading edge, lagging edge, single vendor strategy, outsource MANG 420

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  42. Management: Implementation • The RFP document • Financial issues for IS planning • The payback concerns • Programming: the mythical man/month • Construction issues • Testing and maintenance • End users • Prototypes and pilots • Outsourcing MANG 420

  43. Management: Security Issues • System quality, reliability, accuracy • Threats: hackers, viruses, Trojan horses, denial of service attacks, identity theft • Controls • The firewall and internet issues Encryption, DES, SSL, SET • Biometrics MANG 420

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  45. Management: Legal Issues with Information • HIPAA. Health Insurance Portability and Accountability Act, 1996 • Gramm-Leach-Bliley Act, 1999 • Sarbanes-Oxley Act of 2002 MANG 420

  46. Strategic Advantage: IT at work • IT and changes in the organization of business: flatter, leaner, teams, JIT, global • Datamining and Walmart • E-commerce and the supply chain at Dell • M-commerce and Progressive Auto • Internet and Egghead • American Airlines, Baxter, Citibank MANG 420

  47. Strategic Advantage: How does one come up with this idea, anyway?(Laudon and Laudon, 2000) • Porter’s Value Chain: primary and support activities • The competitive forces model: Threats from new market entrants, suppliers, substitute products and customers • Core competencies • Network economics MANG 420

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  50. Some Problems from IT for Competitive Advantage • The productivity paradox • Tangible vs. intangible benefits from IT • Future cash flows analysis • Unique vs. staying even with competition • Value from simple automation projects • Value from highly risky, but strategic IT projects • Risk vs. return issues MANG 420