Chap 5: INFORMATION SYSTEM AND BUSINESS STRATEGY [LAUDON] chap 3
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![Chap 5: INFORMATION SYSTEM AND BUSINESS STRATEGY [LAUDON] chap 3 Dr.](/docs-images/74/70336988/images/1-0.jpg "Yeffry Handoko Putra, S.T, M.")
1 Chap 5: INFORMATION SYSTEM AND BUSINESS STRATEGY [LAUDON] chap 3 Dr. Yeffry Handoko Putra, S.T, M.T Magister Sistem Informasi UNIVERSITAS KOMPUTER INDONESIA
2 Business strategy is a set of activities and decisions firms make that determine the following: Products and services the firm produces Industries in which the firm competes Competitors, suppliers, and customers of the firm Long-term goals of the firm
3 Strategy usually takes place at three different levels Business. A single firm producing a set of related products and services Firm. A collection of businesses that make up a single, multidivisional firm Industry. A collection of firms that make up an industrial environment or ecosystem
4 Strategy and IS Industry Structure (5 Competing Forces) Competitive Strategy Value Chain Analysis Business Process Design / Reengineering Information Systems
5 Michael Porter Strategic Theorema Entry threat/ Entry barriers Emerging technologies
6 Porter Generic Strategies Cost Leadership: High volume and low profit margin Differentiation strategy: High margin/price, low volume Focus Source: read the comments
7 Generic Strategies and Industry Forces
8 Business-Level Strategy: The Value Chain Model
9 organisational value chain
10 Electronic business and electronic commerce in the emerging digital firm
11 The value web
12 BUSINESS STRATEGY LEVERAGING TECHNOLOGY IN THE VALUE CHAIN INFORMATION SYSTEMS PRODUCTS AND SERVICES SYSTEMS TO FOCUS ON MARKET NICHE SUPPLY CHAIN MANAGEMENT AND EFFICIENT CUSTOMER RESPONSE SYSTEMS
13 Stockless inventory compared to traditional and just-in-time supply methods
14 The industry value chain
15
16 Organization Principle One plan is better than no plan at all If no goal, business only waste time or waste resources Plan, do, check and act (PDCA) cycle
17 Level of Organisation CEO, Director R&D, Procurement Division Manager Establish Objectives, policies and strategies Head department, district or division manager Unit manager Translate Objectives into specific objective, preparing report and meeting Responsible on specific objectives Not manager
18 Who are managers? Manager set and monitor organisational objectives by allocating human and material resources and directing operations. They bring together the individuals in an organisation with its goals and needs, establishing individual and collective responsibilities to achieve what is necessary for the business Managers have a variety of organisational roles and perform a number of functions, but essentially they are all decision makers.
19 What do managers do Planning! Strategic, tactical, operational Control! Centralized/delegation, formalisation/informalisation, degree of personal supervision Check Act and Evaluation! Decision making
20 Management Role Interpersonal role Figurehead roles Leadership roles: hiring, promoting, training, motivating, diciplining staff Liaison roles Informational role: monitor, disseminator, spokes person Decisional role Entrepreneurial manager Disturbance handler Resouce-allocator Negotiator
21
22 Managerial function and IS roles (Mintzberg, 1994)
23 THE COMPETITIVE FORCES MODEL
24 Impact of the Internet on Competitive Forces and Industry Structure
25 BUSINESS ECOSYSTEMS: KEYSTONE AND NICHE FIRMS FIGURE 3-16 An ecosystem strategic model The digital firm era requires a more dynamic view of the boundaries among industries, firms, customers, and suppliers, with competition occurring among industry sets in a business ecosystem. In the ecosystem model, multiple industries work together to deliver value to the customer. IT plays an important role in enabling a dense network of interactions among the participating firms.
26 NETWORK ECONOMICS
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