1、Chapter 1The Information Age in Which You Live:Changing the Face of BusinessINTRODUCTIONManagement information systems(MIS)helping people perform all tasks related to information processing and management.3 key resources:1.People2.Information3.Technology MIS RESOURCE#1:INFORMATIONMIS RESOURCE#1:INFO
2、RMATIONMIS RESOURCE#2:PEOPLEPeople are the most important resource in any organization,with a focus onTechnology literacy knowing how/when to apply technologyInformation literacy knowing how to use informationEthical responsibilitiesMIS RESOURCE#3:INFORMATION TECHNOLOGYFINANCIAL IMPACT OF INFORMATIO
3、N TECHNOLOGYIT can definitely impact break-even analysisFixed costs costs you incur even if you dont sell anythingVariable costs costs you incur when you sell something(COGS)Revenue how much you sell one unit forFINANCIAL IMPACT OF INFORMATION TECHNOLOGYINDUSTRY IMPACT OF INFORMATION TECHNOLOGYBuyer
4、&Supplier PowerBuyer power high when buyers have many choices and low when their choices are fewSupplier power high when buyers have few choices and low when choices are manyThe inverse of each otherThreat of Substitute Products and Services and New EntrantsThreat of substitute products and services
5、 high when there are many alternatives for buyersThreat of new entrants high when it is easy for competitors to enter the marketRivalry among existing competitors high when competition is fierceSTRATEGY IMPACT OF INFORMATION TECHNOLOGYPorter identified 3 generic business strategies for beating the competition1.Overall cost leadership2.Differentiation3.FocusSTRATEGY IMPACT OF INFORMATION TECHNOLOGYRun-Grow-Transform(RGT)FrameworkRun-grow-transform(RGT)framework the allocation in terms of percentages of IT dollars on various types of business strategies
