1' ORGANIZATIONAL FOUNDATIONS OF INFORMATION SYSTEMS

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1. ORGANIZATIONAL FOUNDATIONS OF INFORMATION
SYSTEMS
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INFORMATION SYSTEM
MANAGEMENT INFORMATION TECHNOLOGY ORGANIZATION
MANAGEMENT, ORGANIZATION TECHNOLOGY
DIMENSIONS INFORMATION SYSTEMS INTERNET
TRANSFORM ORGANIZATIONS PROCESS OF MANAGEMENT
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BUSINESS ENVIRONMENT

• GLOBALIZATION
• ECONOMY TRANSFORMATION
• BUSINESS ORGANIZATION

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GLOBALIZATION

• MANAGEMENT CONTROL
• COMPETITION IN WORLD MARKETS
• GLOBAL WORK GROUPS
• GLOBAL DELIVERY SYSTEMS
• Recent Stock Market Effect

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ECONOMY TRANSFORMATION

• KNOWLEDGE-BASED ECONOMIES
• PRODUCTIVITY
• NEW PRODUCTS SERVICES
• KNOWLEDGE AS AN ASSET
• TIME-BASED COMPETITION
• SHORTER PRODUCT LIFE
• Web year
• TURBULENT ENVIRONMENT
• LIMITED EMPLOYEE KNOWLEDGE BASE

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BUSINESS ORGANIZATION

• FLATTENING
• DECENTRALIZATION
• FLEXIBILITY
• LOCATION INDEPENDENCE
• LOW TRANSACTION COSTS
• EMPOWERMENT
• COLLABORATIVE WORK

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KNOWLEDGE- AND INFORMATION-INTENSE PRODUCTS

• PRODUCTS THAT REQUIRE A GREAT DEAL OF LEARNING
  KNOWLEDGE TO PRODUCE
• Examples
• Gartner Group
• Information Resources Associates (IRI)
• America Online
• Dow Jones

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LABOR FORCE COMPOSITION 1900-1992
60
50
40
Blue Collar 44.9
30
Farm 37.5
OF THE LABOR FORCE
White Collar 17.6
20
10
0
1910
1920
1930
1940
1950
1960
1970
1980
1992
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Source Laudon Loudon 1997
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INFORMATION SYSTEM
Technical View
To support decision making and control
INPUT
OUTPUT
PROCESS
FEEDBACK
To evaluate and correct
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INFORMATION SYSTEM
Business View
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Information System Organizational and
management solutions, based on IT, to a challenge
posed by the environment.
ORGANIZATIONS
TECHNOLOGY
INFORMATION SYSTEMS
MANAGEMENT
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APPROACHES TO INFO SYSTEMS
TECHNICAL APPROACHES
COMPUTER SCIENCE
OPERATIONS RESEARCH
MANAGEMENT SCIENCE
MIS
SOCIOLOGY
POLITICAL SCIENCE
PSYCHOLOGY
BEHAVIORAL APPROACHES
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SOCIOTECHNICAL APPROACH
INTERDEPENDENCE
HARDWARE
BUSINESS Strategy Rules Procedures
SOFTWARE
DATABASE
TELE-COMMUNICATIONS
ORGANIZATION
INFORMATION SYSTEM
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SCOPE OF INFO SYSTEMS

• 1950s TECHNICAL CHANGES
• 60s-70s MANAGERIAL CONTROL
• 80s-90s INSTITUTIONAL CORE ACTIVITIES
• GROWING IMPORTANCE

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NEW OPTIONS FOR ORGANIZATIONAL DESIGN

• FLATTENING ORGANIZATIONS
• SEPARATING WORK FROM LOCATION
• INCREASING FLEXIBILITY
• REFINING ORGANIZATIONAL BOUNDARIES (eg,
  Supermarkets)
• ELECTRONIC COMMERCE
• (Amazon.com, Shopping Malls)
• REORGANIZING WORK FLOWS

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VIRTUAL ORGANIZATION
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WHAT YOU CAN DO ON THE INTERNET

• COMMUNICATE COLLABORATE
• ACCESS INFORMATION
• DISCUSSIONS
• OBTAIN INFORMATION
• ENTERTAINMENT
• BUSINESS TRANSACTIONS

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INTERNET SERVICES

• World Wide Web
• Other Services
• E-mail
• FTP (File Transfer Protocol)
• Telnet
• Listservs
• Discussion Groups
• Gopher, Archie, Veronica

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IT MANAGEMENT ISSUES

• Strategic
• 1/2 of capital expenditures are IT
• 70 in service industry
• Low productivity increase (2)
• Cannot apply technology fast enough
• Globalization
• Must understand system requirements
• Architecture
• 300Mhz minimum (9/98)

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IT MANAGEMENT ISSUES

• Investment
• Business value of IT
• Responsibility Control
• Ethics
• Security - 1 issue on the web
• Privacy - Junk e-mail (Degrees)

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1. ORGANIZATIONAL FOUNDATIONS OF INFORMATION
SYSTEMS
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