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ORGANIZATION (COMPETITIVE ADVANTAGE (INTERNET (New substitutes products…
ORGANIZATION
DEFINITION
Technical View
Capital and Labor
Tranformation
Products and services
Behavioral View
Rights
Privileges
Obligations
Responsibilities
FEATURES
Routines and Business Process
Business process = collection of routines
Standard operating procedures
Organizational Politics
Different positions = Different viewpoints
Organizational Culture
Unifying force & agreement
Restraint on change
Organizational Environments
External changes
Organizational Structure
Reflection of organization
COMPETITIVE ADVANTAGE
Competitors
New Market Entrants
Substitute Products and Services
Customers
Suppliers
INFORMATION TECHNOLOGY
Low-cost leadership
Product differentiation
Niche market
Customer and supplier intimacy
INTERNET
New substitutes products and services
High bargaining power of customers
High barganing power of supplier
Threats of new entrants
High competition
INFORMATION TECHNOLOGY
Economic Impacts
Substitute traditional capital & labor
Icrease in IT investment
Reduce transaction cost
Reduce agnecy cost
Behavioral Impacts
Decision making in lower level of management
Accurate information on time
VALUE CHAIN MODEL
Primary Activities
Inbound logistics
Operations
Outbond logistics
Sales and marketing
Service
Support Activites
Organization infrastructure
Human resource
Technology
Procurement
INFORMATION TECHNOLOGY
Value Web
Customers
Suppliers
Trading partners
STRATEGIC BUSINESS UNIT
INFORMATION TECHNOLOGY
Synergy
Enhancing core competencies
Network-based strategies
Network Economics
Virtual company
Business ecosystem
INFORMATION SYSTEMS, ORGANIZATIONS, AND STRATEGY
Chapter 3
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