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Moore's Law
the number of transistors per square inch on an integrated chip doubles every 18 months.
Reich nonroutine cognitive skills (4)
Abstract reasoning
Systems thinking
Collaboration
Ability to experiment
Abstract reasoning
The ability to make and manipulate models
Systems thinking
The mental process of making one or more models of components of a system and connecting the inputs and outputs among those components into a sensible whole, one that explains the phenomenon observed
Collaboration
Most important skill for effective collaboration is to give and receive critical feedback
Ability to experiment/experimentation
careful and reasoned analysis of an opportunity, envisioning potential products or solutions or applications of technology, an then developing those ideas that seem to have the most promis, consistent with the resources you have
Management information systems (MIS)
An information system that helps businesses achieve their goals and objectives
Key elements of MIS
Processes, information systems, and information
Management and use
Achieve strategies
Process/business process
A sequence of activities for accomplishing a function
Information system
A group of components that interact to produce information
Information
Knowledge derived from data, where data is defined as recorded facts or figures
Data presented in a meaningful context
Data processed by summing, ordering, averaging, grouping, comparing, or other similar operations
A difference that makes a difference
Management (of MIS)
The creation, monitoring, and adapting of processes, information systems, and information
How does MIS relate to organizational strategy?
MIS exist to help organizations achieve their strategies
Porter’s Five forces model
bargaining power of suppliers, threat of substitution, bargaining power of customers, rivalry among firms, and threat of new entrants
Threat of substitutions/ substitute
A competing product that performs the same or similar function as an industry's product by another means.
What makes threat of substitution stronger
Price is lower
Benefits are similar
Easy for buyer to switch products
Threat of new entrants
Based on industry barriers to entry and the reaction new entrants can expect from established companies in the industry
Barriers to entry
High customer switching costs
Large financial investments to get started
Sales and distribution channels that are not accessible to new entrants
Government policies
What makes existing rivals stronger
Rivals compete with each other using price discounting, new products, and service improvements
Rivals are numerous
Industry growth is slow
Exit barriers are high
Bargaining power of suppliers/Bargaining power of customers is affected by
Number of available suppliers/customers
Switching costs
Differentiation of the product
Relative size of the firm
Competitive strategy
The strategy an organization chooses a the way it will succeed in its industry.
Four fundamental competitive strategy
Cost leadership across an industry
Cost leadership within a particular industry segment
Product differentiation across an industry
Product differentiation across a particular industry segment
Value
The amount of money that a customer is willing to pay for a resource, product, or service
Value chain
A network of value-creating activities
Margin
The difference between the value that an activity generates and the cost of the activity
Primary activities in a value chain
The fundamental activities that create value
Inbound logistics
Operations
Outbound logistics
Marketing and sales
Customer service
Support activities in a value chain
The activities that contribute indirectly to value creation
Procurement
Technology
Human resources
Firm infrastructure
Inbound logistics
Receiving, storing, and disseminating inputs to products
Operations/manufacturing
Transforming inputs into final products
Outbound logistics
Collecting, storing, and physically distribution products to buyers
Sales and marketing
Inducing buyers to purchase products and providing a means for them to do so
Customer service
Assisting customer's use of products and thus maintaining and enhancing the product's value
Procurement
Obtaining goods and services
The process of finding vendors, setting up contractual arrangement, and negotiating prices
Technology
Research and development, developing new techniques, methods, and procedures
Human resources
Recruiting, compensation, evaluation, and training of employees
Firm infrastructure
General management, finance, accounting, legal, and government affairs
Linkages
Process interactions across value chains.
Impact of competitive strategy
Organizations analyze their industry and choose a competitive strategy. Given that strategy, they examine their value chain and design business precess that span value-generating activities. Those processes determine the scope and requirements of each organization's information systems.
Business process/process
Sequence of activities for accomplishing a function
Activity
A task within a business process
Business Process Model and Notation (BPMN) standard
A standard set of terms and graphical notations for documenting business processes
Role
A subset of activities in a business process that is performed by a particular actor; resources are assigned to roles
Actor
A person or computer who performs a subset of activities in a business process
Swimlane
A long column in a BPMN diagram; each column contains all the activities for a particular role
Repository
A collection of records, usually implement as a database
Benefits of standardizing processes
Policies can be enforced
Results are more consistent
Processes can be copied and reused; they are scalable
Risks from errors and mistakes are deduced
How many information systems can support a process?
Process can be supported by any number of information systems--from zero to many
Procedure
Set of instructions for a person to follow when operating an IS. Procedures anchor an IS to a process.
Relationship between IS and processes
An IS will have different procedure for every process, and a process will have a different procedure for every IS that supports it.
Structured process
Formally defined, standardized processes that support day-to-day operations
Dynamic process
A process whose structure is fluid and dynamic
Characteristic of structured process
Formally defined process, activity flow fixed
Process change slow and difficult
Control is critical
Innovation not expected
Efficiency and effectiveness are important
Procedures are prescriptive
Characteristic of dynamic process
Informal process
Process change rapid and expected
Adaptation is critical
Innovation required
Effectiveness typically more important
Procedures are supportive
Hardware
Electronic components and related gadgetry that input, process, output, store, and communicate data according to the instructions encoded in computer programs or software.
CPU
Central processing unit, selects instructions, processes them, performs arithmetic and logical comparisons, and stores results of operations in memory (speed in hertz)
Main memeory
Set of cells in which each cell holds a byte of data or instruction; each cell has an address, and the CPU uses the addresses to identify particular data items. Can be call RAM (random access memory)
Storage hardware
Computer components used to save data and programs
Types of hardware
Personal computer
Tablet/slates
Smartphones
Server
Server farm
Server
A computer that provides some type of service. Server computers are faster, larger, and more powerful than client computer. Designed to support processing from many remote computers and users.
Server farm
A large collection of server computers that coordinates activities of the servers, usually for commercial purpose.
How do computer represent data?
Using binary digits called bits
Bytes
A character of data. An 8-bit chunk
Size of data
Byte
Kilobyte
Megabyte
Gigabyte
Terabyte
Petabyte
Exabyte
Operating system
A computer program that controls the computer's resources.
Categories of computer software
Client operating system
Client application program
Server operating system
Server application program
Client operating system
Programs that control the client computer's resources
Client application program
Applications that are processed on client computers
Server operating system
Programs that control the server computer's resources
Server application program
Applications that are processed on server computers
Types of operating system
Nonmobile client operating system (Windows, MacOS, Unix, Linux)
Mobile client operating system (Symbian, Blackberry OS, iOS, Android, Windows RT)
Server operating system (Windows server, Unix, Linux)
Virtualization
Process by which one computer hosts the appearance of many computers
Host operating system
An operating system that runs one or more operating system as applications
Virtual machines (vm)
A hosted operating system
Types of virtualizaiton
PC virtualization
Server virtualization
Desktop virtualization
PC virtualization
Using a personal computer to host several different operating system
Server virtualization
A system in which a server computer hosts one or more other server computers
Desktop virtualization
A desktop operating system hosted by a server that can be accessed from any computer to which the user has access
License
Agreement that stipulates how a program can be used.
Site license
A flat fee that authorizes the company to install a product, such as an operating system or application, on all of that company's computers or on all of the computers at a specific site.
Types of application
Horizontal-market application
Vertical-market application
One-of-a-kind application
Ways to obtain a software
Off-the-shelf
Off-the-shelf then customized/with alterations
Custom-developed
Application software
Programs that perform a business function
Horizontal-market application
Software that provides capabilities common across all organizations and industries ex. Office
Vertical-market application
Software that serves the needs of a specific industry.
One-of-a-kind application
Software that is developed for a specific, unique need
Off-the-shelf software
Generic application software that is used without customization
Off-the-shelf with alterations software
Generic application software that is customized before use
Custom-developed software
Tailor-made software
Firmware
Software that is installed into devices such as printers, print servers, and various types of communication devices.
Open source
Source code of the program is available to the public
Source code
Computer code that is written and understood by humans
Machine code
Code that has been compiled from source code and is ready to be processed by a computer
Closed source
Source code that is highly protected and only available to trusted employees and carefully vetted contractors
Native application
Applications that can run on just one operating system
Thin-client application
A software application that requires nothing more than a browser and can be run on many different operating systems
Characteristics of native application
Object-oriented languages
Developed by professional programmer only
High skill level required
High difficulty
User experience can be superb
High cost
Distributed via application stores
Characteristics of thin-client application
Scripting languages
Developed by professional programmers and technically oriented web developers and business professionals
Low to high skill level required
Easy to hard difficulty
User experience simple to sophisticated
Low to medium cost
Distributed via web sites
Roaming
When users move their activities, especially long-running transactions, across devices
Push data
Data that the server sends to or pushes onto a device
Pull data
Data that the device requests from the server