Having tech knowledge is crucial in just about every sector of business, no matter what kind of job you have. It’s really just an intro chapter telling us that technology and technology based jobs are increasing and highly attractive, as they grow rapidly
Strategic Information Systems * Defined by the purpose and objective by which they are created * Purpose is to fulfill organizational processing needs * Improve efficiency and success
4 Components of an Information System * These are interdependent (changes in 1 component may affect all 4). This is referred to as SYSTEMIC EFFECTS
First order change * Only effects TECHNICAL subsystem * This makes it the easiest to evision, justify and manage
Second Order Change * Effects the People Component * Increased Informational intensity, new skills and responsibilities, as well as different groups of people involved.
Third Order Change * Third order change effects organizational structure * Reporting relationships, changing the organizational structure, incentives / disincentives * Seeks to transform how the organization operates * Requires significant managerial and executive involvement
Chapter 2: Strategy & Technology
Firms strive for a sustainable competitive advantage. How do we achieve this?: * 5 forces (buying power, supplier power, threat of entry, threat of substitutes, barriers) * *****Operational Effectiveness: performing the same tasks better than your rivals perform them************ * Try to prevent Fast Follower Problem – the problem that occurs when tech savvy rivals see what the first mover did, learn from their success and missteps, and produce a similar product at a cheaper cost, or a superior product * However, Operational effectiveness isn’t enough! We also need: * ****Strategic Positioning – Performing different activities than your rivals, or the same