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Competing With Information Technology - Coggle Diagram
Competing With Information Technology
Fundamentals Of Strategic Advantage
Basic Strategies in the Business Use of Information Technology
Innovate
• Create new products and services that include IT components.
• Develop unique new markets or market niches with the help of IT.
Promote Growth
• Use IT to manage regional and global business expansion.
• Use IT to diversify and integrate into other products and services.
Differentiate
• Develop new IT features to differentiate products and services.
• Use IT features to reduce the differentiation advantages of competitors.
Lower Costs
• Use IT to substantially reduce the cost of business processes.
• Use IT to lower the costs of customers or suppliers.
Develope Alliances
• Use IT to create virtual organizations of business partners.
competitive strategies.
Cost Leadership Strategy.
Differentiation Strategy.
Growth Strategies.
Innovation Strategy.
Alliance Strategies.
Other Strategic Uses of Information Technology
Include IT components in products and services to make substitution of competing
products or services more difficult.
Leverage investment in IS people, hardware, software, databases, and networks from
operational uses into strategic applications.
Make major investments in advanced IT applications that build barriers to entry against
industry competitors or outsiders.
The Role Of Information Technology
Proposal
Biling
Credit checking
Delivery
Collections
Commitment
Configuration
Using Information Technology
for Strategic Advantage
Type of Agility
Partnering
Operational
Customer
Strategies of Virtual Companies
Reduce concept-to-cash time through sharing.
Increase facilities and market coverage
Link complementary core competencies.
Gain access to new markets and share market or customer loyalty.
Share infrastructure and risk with alliance partners.
Migrate from selling products to selling solutions.
Reengineering Order Management
Supplier-managed inventory systems using the Internet and extranets.
Customer-accessible e-commerce Web sites for order entry, status checking, payment,
and service.
Customer relationship management systems using corporate intranets and the Internet.
Customer, product, and order status databases accessed via intranets and extranets by
employees and suppliers.
Cross-functional ERP software for integrating manufacturing, distribution, finance, and
human resource processes.
Strategies for Delivering Knowledge in the Digital Age
Enterprise
Intelligence
Document Management
Information creator, sharing and managemnet
knowledge management systems
Knowledge-creating companies