Chapter 3

Strategic Information Systems and Information Technology for Business Reengineering

Chapter 3 deals with strategic information systems. Based on Porter's models of value chain and competitive advantage, the chapter introduces several frameworks which illustrate the role of information technology (IT) in supporting strategic initiatives. The welfare and survival of many organizations depend on their ability to reengineer their business processes. Chapter 3 provides an introduction to and overview of the concept of business processes reengineering and the role that IT plays in it.

[ Update | Exercises | IT@Work ]


Update

Caught on the bleeding edge...

Information technology is often seen as a panacea to a whole range of organizational ills—a silver bullet that promises that it can transform a sluggish, bloated, paper-laden bureaucracy into a sleek, flexible, competitive force for the new millenium.

But a few people are beginning to question the previously unquestionable assumption that technology in general, and information technology in particular, is a universal organizational good. No, these are not weirdoes or technophobes—they include widely respected journalists, historians, and scientists:

 

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Exercises

  1. Fruit of the Loom Inc. helps their wholesalers create Web sites. Compare this approach to what American Hospital Supply did with hospitals. Comment on the similarities in strategies. Use the Internet to collect information on both cases.
  2. Reducing cycle time is a major BPR objective. Surf the Internet to find information about methods, products, and vendors related to cycle time reduction.
  3. Enter Caterpillar’s Web site. Identify the services and activities that are intended for the dealers and those that are aimed at the users of the company’s products.
  4. The strategic use of interorganizational information systems is on the rise. Surf the Internet (you may also try ABI Inform) to find recent articles on the topic. Identify the major issues involved.
  5. Review Minicase 1. Visit the Web site of the Internet Music store (www.cdnow.com). Compare the two methods of sale (advantages, disadvantages, etc.).

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IT@Work

Caterpillar Inc.

McKesson

Benetton (SPA)

J. B. Hunt

GTE

McKesson Water Products

 

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