success or failure factors of is n.
Download
Skip this Video
Loading SlideShow in 5 Seconds..
Success or Failure Factors of IS PowerPoint Presentation
Download Presentation
Success or Failure Factors of IS

Loading in 2 Seconds...

play fullscreen
1 / 81

Success or Failure Factors of IS - PowerPoint PPT Presentation


  • 106 Views
  • Uploaded on

 flexibility culture. Success or Failure Factors of IS. Succeed. Continuous. Service speed quality innovation. or. Business. Improve. Change Management. Survive. Radical. Technology. Organization. Management. culture. (Behavior). (Human). (Strategic Advantage). Structure

loader
I am the owner, or an agent authorized to act on behalf of the owner, of the copyrighted work described.
capcha
Download Presentation

PowerPoint Slideshow about 'Success or Failure Factors of IS' - lyn


An Image/Link below is provided (as is) to download presentation

Download Policy: Content on the Website is provided to you AS IS for your information and personal use and may not be sold / licensed / shared on other websites without getting consent from its author.While downloading, if for some reason you are not able to download a presentation, the publisher may have deleted the file from their server.


- - - - - - - - - - - - - - - - - - - - - - - - - - E N D - - - - - - - - - - - - - - - - - - - - - - - - - -
Presentation Transcript
success or failure factors of is

flexibility

culture

Success or Failure Factors of IS

Succeed

Continuous

Service speed quality innovation

or

Business

Improve

Change Management

Survive

Radical

Technology

Organization

Management

culture

(Behavior)

(Human)

(Strategic Advantage)

  • Structure
  • attribute
  • decision-making
  • operation
  • Ethically Acceptable
  • Socially Responsible
  • Politically control

uncertainty

Risks

Benefit

overcome

enhance

strategy

I S

A Digital Society

Ability & flexibility to compress time and space and to expand organizational knowledge and then increase

1) choosing strategy

2) organizing the business

3) organizing the systems management area

The Driver & Servant

HUMAN ADAPTABILITY

[ organizational change]

------Radical Change

success or failure factors of is cont d

Efficiency

Effectiveness

Innovation

(Automate)

(Informate)

(Innovate)

[Doing the things right]

[Doing the right things]

- creativity

-Proper utilization of resource

-Attainment of goals

- property of culture

{Make Money}

{Save Money}

Success or Failure Factors of IS (Cont’d)

[ organizational change]

------Radical Change

Evolution of change

A FIRM/ORGANIZATION:

Restructuring

Competitive Advantage

Re-engineering

Cooperative Advantage

Electronic Market: flatten the organizational hierarchical structure

“ Revolutionary significance lies in generality” e.g., steam engineers--triggered the first Industrial Revolution Computers--Seem to be triggering a second one.

it yesterday today and tomorrow
IT Yesterday, Today and Tomorrow

Today

Information age

People proc.

Communication

Perspective

Information

Effectiveness

“doing the right

things”

Tomorrow

Knowledge age

Knowledge proc.

Connectivity

Reality

Innovation

Performance/

Innovation

“creativity”

Yesterday

Computer age

Computer proc.

Computing

Accuracy

Automation

Efficiency

“doing things

right”

three necessary perspectives
Three Necessary Perspectives
  • Business Environment
  • Enterprises Environment
  • IT Environment

Business

Success

simultaneous revolutions
Simultaneous Revolutions

New Competitors

New Rules of Competition

The

Business

New Political Agendas

Industry structure Changes

New Technology

New regulatory Environment

New Employees and New Value

Increasing Customer Expectation

business drivers
Business Drivers

Market

Technology

Regulation

Organization

Employees/

Work

Business Processes

Solution to Business Requirements

a systematic approach
A Systematic Approach

Vision

Strategy

Tactics

Business Plan

  • Competitive Options
  • Roles, Roles and Relationships
  • Redefine/ Define
  • Telecommunications as the Delivery Vehicle
  • Success Factor Profile
the information technology environment

Justification/ Purpose

Primary Target

Organizational

Productivity/

Efficiency

Individual

Effectiveness

Business

Process

Competitive

Advantage

The Information Technology Environment

Administrative Framework

ERA I Data Processing

Regulated

Monopoly

ERA II End-User Computing

Free Market

ERA III Strategic Systems

Regulated

Free Market

competitiveness a link to national goals
Competitiveness: A Link to National Goals

Human

Resources

Trade

Policy

Decreased

Budget

Deficit

Stronger

National

Security

Capital

Improved

Domestic

Performance

Increased

Competitiveness

in World Market

More and

Better Jobs

Technology

New

Competition

Reduced

Trade Deficit

Increased

Standard

of Living

the diamond of national advantage
The Diamond of National Advantage

Chance

Firm Strategic,

Structure

and Rivalry

Factor

Conditions

Demand

Conditions

Related and

Supporting

Industries

Government

figure 3 1 five competitive forces model

NEW MARKET ENTRANTS

SUBSTITUTE PRODUCTS & SERVICES

TRADITIONAL COMPETITORS

THEFIRM

SUPPLIERS

CUSTOMERS

Figure 3-1: FIVE COMPETITIVE FORCES MODEL

Threats

Bargaining power

N

port competitive model
Port Competitive Model

Figure 3-1

Potential

New Entrants

Intraindustry Rivalry Strategic Business Unit

Bargaining

Power

of Supplier

Bargaining

Power

of Buyers

Substitute

Products

and Services

wal mart and the porter competitive model
Wal-Mart and the Porter Competitive Model

Figure 3-2

Potential

New Entrants

  • Foreign General Merchandisers or Discounts
  • Established Retailer Shifting Strategy to Discounting or Megastores

Intraindustry Rivalry Strategic Business Unit

SBU: Wal-Mart Rivals:Kmart, Target, Toys R Us, Specialty Stores

Bargaining

Power

of Supplier

Bargaining

Power

of Buyers

  • U.S. Product Manufacture
  • Foreign Manufacture
  • Local Government
  • IT Product and Service Suppliers
  • Consumers in Small Town, U.S.A
  • Consumers in Metropolitan Areas in the U.S.
  • Canadian and Mexican consumers
  • Other Foreign Consumers

Substitute

Products

and Services

  • Mail Order
  • Home Shopping Network
  • Electronic
  • Telemarketing
  • Buying Clubs
  • Door-to-door Sales
five competitive forces model

NEW MARKET ENTRANTS

SUBSTITUTE PRODUCTS & SERVICES

TRADITIONAL COMPETITORS

THE FIRM

SUPPLIERS

CUSTOMERS

FIVE COMPETITIVE FORCES MODEL

Threats

Bargaining power

N

activities of value chain

Operations

Outbound

Logistics

Marketing

and

Sales

Services

Activities of Value Chain

Support Activities

Administrative and Other

Indirect Value Added

Inbound

Logistics

Primary Activities

slide16

Competitive

(Value)

Advantage

The Value Chain

manufacturing industry value chain product and service flow

Production

and Manufacturing

Sales and

Distributiion

Engineering

Marketing

Service

Manufacturing Industry Value Chain Product and Service Flow

Figure 3-5

Research and

Development

Administrative and Other

Indirect Value Added

slide18

Examples of the Value Chain

N

TM -18

Dr. Chen,The Trends of the Information Systems Technology

generic value chain

Financial Policy

Accounting

Regulatory Compliance

Legal

Claims Training

Actuary Training

Actuary Training

  • Product Development
  • Market Research

Claims Training

  • Actuarial Methods
  • Investment Practice

IT Communication

  • Claims Settlement
  • Loss Control
  • Policy Rating
  • Underwriting
  • Investment
  • Policy Sales
  • Policy Renewal
  • Agent Management
  • Advertising
  • Independent Agent Network
  • Billing and Collections

Inbound

Logistics

Operations

Outbound

Logistics

Marketing and Sales

Service

Generic Value Chain

Figure 3-7

Firm Infrastructure

Human Resource Management

Technology Development

Procurement

generic value chain1
Generic Value Chain

Figure 3-8

Firm Infrastructure

Information Systems TechnologyPlanning and Budgeting TechnologyOffice Technology

Human Resource Management

Training TechnologyMotivation Technology Information Technology

Technology Development

Product TechnologyComputer-AidedTechnologyPilot PlantTechnology

Software Development Tools Information Systems Technology

Procurement

Information System TechnologyCommunication Technology Transportation System Technology

  • Basic Technology
  • Materials Handling
  • Machine Tool Technology
  • Material Handling Technology
  • Packaging Technology
  • Information Technology
  • Transportation Technology
  • Material Handling
  • Storage and Preservation Technology
  • Communication System Technology
  • Information Technology
  • Transportation Technology
  • Material Handling Technology
  • Packaging Technology
  • Communication System Technology
  • Information Technology
  • Multimedia Technology
  • Communication System Technology
  • Information Technology
  • Diagnostic and Testing
  • Communication System Technology
  • Information Technology

Inbound

Logistics

Operations

Outbound

Logistics

Marketing and Sales

Service

porter s competitive model
Porter’s Competitive Model

Figure 4-2

Potential

New Entrants

  • Aircraft Manufactures Aircraft
  • Leasing Companies
  • Labor Unions
  • Food Service Companies
  • Airport
  • Local Transportation Service
  • FAA (Air Traffic Controllers0
  • Hotels
  • Foreign Carriers
  • Regional Carrier Start-ups
  • Cargo Carrier Business Strategy Change

Intraindustry Rivalry

SBU: American Airlines Rivals: United, Delta, USAir Northwest, Southwest

Bargaining

Power

of Supplier

Bargaining

Power

of Buyers

  • Travel Agents
  • Business Travelers
  • Pleasure Travels
  • Charter Service
  • U.S. Military
  • Cargo and Mail
  • Alternate Travel Services
    • Fast Trains
    • Boats
  • Private Transportation
  • Videoconferencing

Substitute

Products

and Services

generic value chain2
Generic Value Chain

Figure 4-3

Financial Policy

Regulatory Compliance

Community Affairs

Firm Infrastructure

Accounting

Legal

Human Resource Management

Flight, Route and Yield Analyst Training

Pilot Training

Safety Training

Baggage Handling Training

Inflight Training

Agent Training

Computer Reservation System, Inflight System Flight Scheduling System, Yield Management System

Technology Development

Product Development Market Research

Baggage Tracking System

Procurement

Information Technology Communication

  • Route Selection
  • Passenger Service System
  • Yield Management System(Pricing)
  • Fuel
  • Flight Scheduling
  • Crew Scheduling
  • Facilities Planning
  • Aircraft Acquisition
  • Ticket Counter Operation
  • Gate Operation
  • Aircraft Operations
  • Onbord Service
  • Baggage Handling
  • Ticket Offices
  • Baggage System
  • Flight Connection
  • Rental Car an d Hotel Reservation System
  • Lost Baggage Service
  • Complaint Follow-up
  • Promotion
  • Advertising
  • Advantage Program
  • Travel Agent Programs
  • Group Sales

Marketing and Sales

Operations

Service

Inbound

Logistics

Outbound

Logistics

interorganizational systems
Interorganizational Systems

Figure 5-1

Customers

Vendors

Your Company

Support Services

Business Partners

Industry Forces

Government

Association Info

Sources

Competitors

payment process industry
Payment Process Industry

Figure 5-2

Merchants

Member

Banks

Visa International

or Mastercard

  • Card Holders
  • Individuals
  • Businesses
edi applications
EDI Applications

Figure 5-3

Purchase

Orders

Advance

Shipping

Notices

Electronic

Data

Interchange

Invoices

Freight

Bills

Inventory/

Sales Data

edi system obstacles
EDI System Obstacles

Figure 5-4

Company data versus standards

Cross-industry standards

Standards administration

Data

Time zones and windows

Communication protocols

Telecommunications equipment

Service cost and balance

Communication

Integration

Features and function supported

Interface

Application

electronic data interchange edi through the use of a van
Electronic Data Interchange (EDI)Through the Use of a Van

Figure 5-5

Electronic Mailbox

Vendor Systems:

Mainframes

  • Customer order
  • Time Schedule
  • Time Zone
  • Data Format
  • Communication
    • Protocols
  • Data Transmission
    • Speed

Minicomputers

Microprocessors

No Computer

Conversion/Translation

slide28

Values

Beliefs

Principles

Figure 5 --extra

Mission

Goals

Culture

Vision

Strategies

Tactics

Authority and Responsibility

Objectives and Measurements

Business Plan

the vision to action process
The Vision -to-Action Process

Implementation

(Action)

Agreement and

Commitment

Tactics and

Business Plan

Strategy

Feedback

Vision

Sensing

Opportunity

pyramid of excellence stakeholder value
Pyramid of Excellence Stakeholder Value

Figure 6-4Reprint with permission of Whirlpool Corporate

Where

Vision

Way

Value

Value -Creating Objectives

What

People commitment

Total Quality

Customer Satisfaction

Growth & Innovation

Worldwide Excellence System

How

Strategic Planning

Leadership

Whirlpool People

Fact-Based Management

Customer Satisfaction

Quality Process & Products

Measurement & Results

vision and information systems
Vision and Information Systems

Figure 6-6

Vision

Invest

Save Money

Asset

Application

Networks

Expense

Strategic

Tools

Tactical

the three components of a new strategy
The Three Components of a New Strategy

Vision

External Assessment

Internal Assessment

A New Strategy

Figure 7-1

strategic management process

Environmental Analysis

Company Analysis

General Environment

Structure

Opportunities

Value/ Culture

Operating Environment

Threats

Competitive Positioning

Competitive Positioning

Resources

Directions for Development

Stakeholder

Analysis

Vision &

Strategy

Strategic Management Process

Company

Vision

Company

Strategic

History

Current

Strategy

Chosen

Strategy

Realized

Strategy

Strengths

Weaknesses

Figure 7-2

strategy implementation
Strategy Implementation

Senior Management

Business Uncertainties

Vision

and Macro-

Strategies

Empowered Implementors

Company Culture

Micro-

Strategies

and

Tactics

Risks to be Avoided

Critical Performance Factors

Key Enterprise

Business Processes

Figure 7-3

managing for results
Managing for Results
  • Objectives
  • Authority
  • Responsibility
  • Training
  • Motivation
  • Performance
  • Results
  • Reward

Control

Figure 7-4

management information needs
Management Information Needs

Senior Management

Emerging Opportunities and Threats

External Impact of Strategies and Tactics

Internal Impact of Strategies and Tactics

Performance Measurements

Enpowered Implementors

Figure 7-5

it based strategies
IT-Based Strategies

Marketplace

Operation

Significant

Structure

Change

Federal Express

USA Today

Charts Schwab

Whirlpool

Xerox

Traditional

Products

and Processes

USAA

L.L.Bean

McKesson

Banc One

Boeing

Frito-Lay

Wal-Mart

Figure 7-6

company infrastructure
Company Infrastructure
  • Data Management
  • User Applications
  • Voice Management
  • Network Management
  • Planning Process
  • Financial Strategy
  • Organization

Figure 7-7

strategy option generator

Target

Supplier

Customer

Competitor

Thrust

Differentiation

Cost

Innovation

Growth

Alliance

Mode

Offensive

Use

Defensive

Provide

Direction

Execution

Strategy Option Generator

Strategic Advantage

Figure 8-1

strategy option generator1

Use

Provide

Strategy Option Generator

Target

Supplier

Customer

Competitor

Thrust

Differentiation

Innovation

Growth

Alliance

Cost

Mode

Offensive

Defensive

Direction

Execution

Strategic Advantage

Figure 8-2

roles roles and relationships
Roles, Roles and Relationships

Senior Management

Users

Informational Systems Organization

Functional Management

Figure 9-1

using is to compete
Using IS to Compete

Senior

Management

IT

Leadership

Users

Business Leadership

Information

Systems

Organization

Figure 9-2

technology transfer through organizational learning
Technology Transfer Through Organizational Learning

Information

Technology

Applications

Organization

Figure 9-3

using is to compete primary responsibilities
Using IS to Compete: Primary Responsibilities

Specific

Approach

Direction

Conceptual

Approach

Senior Management

7

2

1

Functional Management

2

5

4

IS Management

1

3

5

10

10

10

Figure 9-4

making it happen
Making It Happen!

Business Leadership Technology Leadership

Competitive

Vision Tactics

Strategy

Crisis

Management

Process

Improvement

Action Initiators

Executive

Power

Figure 9-5

slide46

Board of Directors

A Business

Products/Services

Customers

Suppliers

Competitors

Figure 9-6

slide47

Board of Directors

Information

Systems

Organization

Customers

Suppliers

Competitors

Figure 9-7

slide48

Needs and Priorities

Steering Committee

Opportunities

Direction

Wants & Needs

Justification

Real Dollars?

IT Needs

Real Dollars

Information

Systems

Organization

Users

Suppliers

Products

People

Products & Services

Constraints Costs

Real Dollars

Competitors

Figure 9-8

value to customer chart
Value to Customer Chart

Product/Service

Value-Added

Process

What the

Customer Buys

Delivery Process

Product/ Service

Value to Customer

Figure 10-1

value to customer analysis charles schwab co
Value to Customer AnalysisCharles Schwab & Co.

Product/Service

  • Computer-based Trades
  • Client-broker Service
    • Street Smart
    • Telebroker
    • Equalizer
    • OneSource
  • Electronic Transfers
  • Trade Risk Analysis
  • Stock, Bond and
    • Mutual Fund Trades
  • Financial Product Options
  • Competetive Fees
  • Timely Execution of
    • Trades and Money
    • Transfer
  • Personal Service
  • Confidence in Financial
  • Custodial Responsibilty

Delivery Process

Product/ Service

Value-Added Process

What the Customer Buys

Value to Customer

Figure 10-2

value to customer analysis mervyn s
Value to Customer AnalysisMervyn’s

Product/Service

  • Point-of-Sale(POS) System:
    • Ticketed Merchandise
    • UPC Scanning
    • Price Look-up
    • Credit Card Approval
  • Wireless Portable POS
  • Warehouse Management
  • EDI System with Vendors
  • Infobot Voice Response
  • System
  • Qualify Apparel/Home
    • Fashions
  • Competitive Prices
  • High Merchandise
    • Availability
  • Personal Service
  • Fast, Accurate Check-out
  • Fast Credit Approval
  • Access to Credit
  • Information

Delivery Process

Product/ Service

Value-Added Process

What the Customer Buys

Value to Customer

Figure 10-3

value to customer analysis boeing commercial airplane group
Value to Customer AnalysisBoeing Commercial Airplane Group

Product/Service

  • CAD Design System and
    • Review Process
  • Customer Input Through
    • Network
  • Co-Design Process WITH
    • Customer
  • Quality Control System
  • Vendor EDI System
  • Aircraft Designed for
    • Passenger,Comfort,
    • Operational Efficiency
    • and Safety
  • Flexible Design
    • Configuration
  • Competitive Price
  • Logical Support

Delivery Process

Product/ Service

Value-Added Process

What the Customer Buys

Value to Customer

Figure 10-4

telecommunications models
Telecommunications Models

People

Communication

Machines

People

Figure 11-1

Machines

linking users to information within application on networks
Linking Users to Information Within Application on Networks
  • Enterprise
  • Organization
  • Department
  • Individual

Users

  • LAN
  • WAN
  • Public
  • Private

Business Enterprise

Network

Application

  • Functions
  • Organizational

Processes

  • Personal
  • Wired
  • Wireless

Information

  • Graphics
  • Voice
  • Video
  • Multimedia
  • Traditional

Data

  • Text
  • Images

Figure 11-2

information systems support of business requirements
Information Systems Support of Business Requirements

Business and Information

Technology Dynamics

Multi-Vendor/ Multi-Products

Information System Architecture

Open Systems

Standards

Vendor Hardware Software Products and Services

  • User Organization
  • Application Function
  • Ease Of Use
  • Seamless and Transparent

Figure 11-3

open systems environment
Open Systems Environment

3.Database

Other

Service

1.Operating

Systems

Software

Application

4. User Interface

2. Communication

Service

5. Software Development Tools

6. Systems

Management

Services

Figure 11-4

a telecommunications perspective

Objective

Voice

Data

Efficiency

Voice Message

Volumes

Transmission

Volumes

Competitive

Advantage

Voice Applications

Plus Linkage

PCs and Application

Packages

Integrated Voice /Data Application

A Telecommunications Perspective

Figure 11-5

success factor profile

IS Integral to the Business

IS Marketing

Business Vision

Culture

Risk Management

Plan Implement

IS Justification Mgmt. Process

Executive-IS Mgr. Partnership

IS User Relations

Operational Automation

Linkage to Suppliers

Linkage to Customers

Linkage to Customers Service

Pervasive Computing Literacy

IS Architecture

Executive IS Experience

Success Factor Profile

Management

Importance

Responsibility

Assessment

Figure 12-1

information systems organization
Information Systems Organization

IS Vice-President

Planning

Finance &

Administration

Database

Administration

Development &

Maintenance

Systems

Support

Computer

Operations

Network

Management

Project

Management

Systems

Programming

System

Analysis

Programmers

Development

Center

Information

Center

Figure 13-1

future is organization

Client Interface

General and

Administration

IS Utility

Telecommunications

Data

Center

Competitive

Systems

Administration

Data

Network

Finance

Performance

and Planning

Professional

and Technical

Support

Voice

Systems

Equipment

Development

Center

Client Systems

Groups

Future IS Organization?

IS Executive

CIO

Figure 13-2

information systems value
Information Systems Value
  • Company/Enterprise
  • Infrastructure
  • Application
  • Function/Development
  • Personal Applications
  • and Tools
  • Personal/Individual

Figure 14-1

evolution of financial strategy

Initiation

I

Expansion

II

Control

III

Maturity

IV

Financial

Justification

Budget

Business Case

Installation

Audit

Charge-Out

System

Management

Process

Evolution of Financial Strategy

Application

Single Area

Proliferation

Containment

Organization

Strategy

Motivation

People

Displacement

Cost

Avoidance

DP

Efficiency

Competitive

Advantage

DP Planning

Little

Reactive

Directed

Proactive

Organization

Finance

Dept.

Multiple

Dept.

Centralized

Centralized

Decentralized

Distributed

Figure 14-2

management process
Management Process

Management Incentive

Eliminate

Simply

Automate

Business Case Process

IS Development Discipline

Interlock Management

Benefit Measurement

Figure 14-3

slide64

Organization

  • Downsizing
  • Outsourcing
  • Business Partnering
  • Corp. Alliance

Process

Reengineering

Redefining

TQM

New Markets, Opportunities and Competitors

Organizational

Responses to

Business Drives

Time, Flexibility and Responsiveness as Competitive Factors

  • Employee
  • Empowerment
  • Quality Circles
  • Teams
  • Product Customization
  • Markets
  • Customers
  • Global Standards

Figure 15-1

traditional roles in planning
Traditional Roles in Planning

Vision

Strategic

Tactical

Traditional IS Role

Figure 15-2

strategic planning model
Strategic Planning Model

Mission

Vision

Environment (External)

Strategy Plan

Tactical Plan

Business Plan

Opportunities

Treats

Goals

Objectives

Strategies

Positioning

Detailed

Projects

Resources:

Headcount,

Capital and

Expense

Budgets

Business Unit

Functional

Programs

Major Project

Enterprise(internal)

Strengths

Weaknesses

Culture

(Explicit/Implicit)

Figure 15-3

what to plan
What to Plan

Strategic Enterprise

Planning

Enterprise Strategies

Strategic Information

Planning

Information Strategies

Architecture

Planning

Architecture

Tactical

Planning

Time Oriented Objectives

Implementation

Planning

Project Plans

Figure 15-4

barriers to aligning is with business objectives
Barriers to Aligning IS with Business Objectives

Business Plan

IS Track Record

and Credibility?

Communication of

Business Plan?

Senior Management

Perception of IS?

Executive Skills of

IS Executive

Clear IS Role?

Is keeping IS aligned with the business objectives someone’s high-priority objective?

Effective IS

Management?

IS Policies?

IS Organization?

A problem with

IS Capacity?

IS Skills and

Capabilities?

Does IS Organization

Have a

User/Business Focus?

Managing IS to

Business Objectives?

Figure 15-5

business is planning
Business-IS Planning

Business Strategy

Dictates

IS Strategy

Determines

Benefits

Information Technology

Figure 15-6

business is planning1
Business-IS Planning

Corporate Vision

Technology Environment

Opportunities

Business Strategy

Dictates

IS Strategy

1. Strategic Capability 2. Technology-driven Business Change

Information Technology

Figure 15-7

enterprise wide information systems strategic planning process
Enterprise-wide Information Systems Strategic Planning Process

Business Domain

Information Technology Domain

Impact

Strategic Plan

Information Technology Opportunities

Organization

Opportunity

Business Processes and Organization

Information Systems Architecture and Organization

Alignment

Figure 15-8

xerox history
Xerox History

Benchmarking Started

Competition Increases

Quality Circle Started Fuji Xerox Won Deming Award

Leadership Through Quality Initiated

U.S. Xerox Won Baldridge Award

914 Copier Introduced

Continuous Improvement

1959 1972 1979 1980 1983 1989 1990s

Figure 16-1

important supporting elements
Important Supporting Elements

Recognition

and Reward

Tools and

Processes

Transition

Team

Xerox is a

Total Quality

Company

Training

Communication

Senior

Management

Behavior

Figure 16-3

a win win proposition
A Win-Win Proposition

Delighted Customers

Satisfied Stockholders

Proud Employees

Enhanced Community

Successful Partners

Figure 16-5

organizational response to business drivers

New Markets, Opportunities and Competitors

  • Time, Flexibility and Responsiveness as Competitive Factors
  • Product Customization
  • Process Reengineering, Redefining and TQM
  • Employee Empowerment and Cross-Functional Teams
  • Organization Downsizing, Outsourcing, Business Partnering and Alliances
Organizational Response to Business Drivers

IS Significance

High

Medium

Low

Figure 17-1

organizational response

Business Leadership

  • Fitting Pieces into the Big Picture
  • Organizational Responsiveness and Resilience
  • Realizing that Solving Customer Problems Requires a Team Approach
  • A Strong Company
  • Ability and Willingness to Innovate, Change and Take Risks
  • Accomplishing All of These Factors While Maintaining Necessary Balance
  • Good Communication Throughout the Entire Organization
Organizational Response

Business Success Factors

IS Role

Mandatory

Necessary

Marginal

Figure 17-2

porter competitive model for the commercial aircraft industry
Porter Competitive Model for the Commercial Aircraft Industry
  • Tupolev, from Former Soviet Union
  • Mitsubishi Heavy Industries in Japan
  • Taiwan Aerospace, Other Emerging Industrial Power
  • Other Small-Aircraft Manufactures or Aerospace, Military Companies: Dassault, ATR, Lockheed

Potential

New Entrants

  • Engine Manufactures
  • Electronics, Semiconductors, etc.
  • Other Material Suppliers, Specialty Metals, Composite Materials, etc.
  • Government Institutions

Intralndustry Rivalry SBU: Boeing Airbus McDonnell Douglas

Bargaining

Power

of Supplier

Bargaining

Power

of Buyers

  • Capital Sources, banks, investors
  • FAA, IATA, EPA
  • Other Regulating Bodies
  • IT Vendors
  • Airlines
  • Leasing Companies
  • Government Institutions
  • FAA, IATA, EPA
  • Other Regulating Bodies

Substitute

Products

and Services

  • Advances in Small, Short-Haul, Turboprop Technology
  • Advances in Automotive Industry and Infrastructure
  • Fast Train for Distances Less than 400 Miles
  • Advances in Telecommunications, Videoconferencing, etc.

Figure 2

porter value chain for boeing
Porter Value Chain for Boeing

Firm Infrastructure

Information Systems TechnologyPlanning and Budgeting TechnologyOffice Technology

Human Resource Management

Procurement training Managing relationship with suppliers

Training for competitiveness company-wide

Hiring & training of engineers, test pilots, skilled workers

People familiar with national & international economics and politics

Qualification of suppliers New materials Partners

R&D, Partnerships Defense contracts

Technology Development

Product development Market research Regulation & Policies

IS inventory management JIT, production forecast

CAD/CAM systems Assembly of planes & parts tracking

Procurement

Customer relationships Tracking of issues

  • Concurrent engineering
  • Flexible & modular manufacture
  • Wide choice in capacity with “family” concept
  • Fly-by-wire technology
  • Short development cycles
  • Quick to market with short manufacturing cycles
  • Material qualification
  • Engine selection
  • Partners & joint programs
  • Electronics, etc.
  • Worldwide presence
  • Early involvement of customers in product definition
  • Promotion, advertising
  • Lobbying U.S. and foreign governments
  • Seeking powerful partners
  • Facilitation of financing
  • Trade shows
  • Repair, spare parts
  • Maintenance service
  • Inspection & test
  • Upgrades
  • Training facilities for customers

Inbound

Logistics

Operations

Outbound

Logistics

Marketing and Sales

Service

Figure 3

relationships between senior executives at boeing
Relationships Between Senior Executives at Boeing

Frank Shrontz

CEO

Create the Vision

Phil Condit President

Runs the Day-to-Day

Buisness

John Warner

Information Service

Group Implements the

Information Systems

Ron Woodard Commercial

Airplane Group

Runs the Airplane Business

Jerry King Defense&

Space Group

Runs the Defense Business

Dale Hougardy Head of

the 777 Program

Develops the 777

Figure 5

boeing value to customer chart
Boeing Value to Customer Chart

Boeing Aircraft

Product/Service

  • An aircraft designed for passenger
  • comfort, operational efficiency
  • and safe
  • Flexible design configuration
  • Competitive price
  • On-time delivery
  • Logistical support, training,
  • maintenance ----Peace of mind
  • CAD/CAM system, review,
  • process, concurrent engineering
  • Customer and partner/supplier
  • through the network
  • Co-design with customer
  • Qualify control system
  • Vender EDI system

Value-Add Process

What the Customer Buys

Value to Customer

Figure 6

organizational response1

Business Leadership

  • Fitting Pieces into the Big Picture
  • Organizational Responsiveness and Resilience
  • Realizing that Solving Customer Problems Requires a Team Approach
  • A Strong Company
  • Ability and Willingness to Innovate, Change and Take Risks
  • Accomplishing All of These Factors While Maintaining Necessary Balance
  • Good Communication Throughout the Entire Organization
Organizational Response

Business Success Factors

IS Role

Mandatory

Necessary

Marginal

Figure 17-2