Antoine HARFOUCHE, PHD. Dr Antoine Harfouche Ass. Professor at Paris-Nanterre La Defense University. PhD in Information Systems from Paris-Dauphine with

Antoine Antoine HARFOUCHE, PHDHARFOUCHE, PHD

Dr Antoine Harfouche

• Ass. Professor at Paris-Nanterre La Defense University.• PhD in Information Systems from Paris-Dauphine with

collaboration with Georgia State University.• Invited Professor at Indiana University and GSU. • Antoine favors quantitative research approach to study the

contextual and cultural issues in IS adoption and ICT for development.

• He has served as :• Chair of IBIMA 2010 in Turkey, Track co-Chair of Culture

and Tourism at MCIS 2011 Cyprus, Track Co-Chair Digital Divide and E-Government at MCIS 2010, Track Co-Chair of ICT for greater development impact MCIS 2014, Program Chair for ICTO2015

• Reviewer for the Journal IT and People and RAM

Management Information SystemsManagement Information Systems

INFORMATION SYSTEMS IN BUSINESS TODAY

Context and scope


Business and social problems

http://hbr.org/2011/01/the-big-idea-creating-shared-value4

Complex Social Problems

Wicked problem“ describes a problem that is difficult or impossible to solve because of incomplete, contradictory, and changing requirements that are often difficult to recognize. The term "wicked" is used to denote resistance to resolution, rather than evil. Moreover, because of complex interdependencies, the effort to solve one aspect of a wicked problem may reveal or create other problems


Wicked Problems

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Management Information SystemsManagement Information SystemsShared value = Social Value + Economical value

• The solution lies in the principle of shared value, which involves creating economic value in a way that also creates value for society by addressing its needs and challenges. Businesses must reconnect company success with social progress.

• Shared value is not social responsibility, philanthropy, or even sustainability, but a new way to achieve economic success. It is not on the margin of what companies do but at the center.

Solving CS problems through Shared Value offered by ICT

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Management Information SystemsManagement Information SystemsUsing IS to create a SV

Using ICT to create Shared Value

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• The Management Information Systems course aims to understand the evolution of information systems, to explain the strategic role of information systems as a business enabler.

• It identifies and explains the impact of information systems applications and emerging technologies on business models and managerial decision making in an exciting and interactive manner.

• The course also evaluates the fit between the organization’s strategy and structure, and the information systems architecture and applications.

• It interprets the interaction between technologies, employees, managers, customers, processes, data, infrastructure, suppliers, business partners, and environment in a specific organization.

• Finally, this course seeks to understand the ethical, security, and privacy challenges of information systems.

The aims of this course

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Technology

A technology is a process by which inputs are converted to an output.

Exp: A computer, a projector, electricity, and software are being combined to produce this lecture.

Information Technology

Information Technology allows us to send signals around the world.

ExamplesInternet, television, satellite, GPS, cell phones

IS and IT

• IT/ICT refers specifically to technology, essentially hardware, software and telecommunications networks.– Tangible (e.g. servers, PCs, routers, cables), and– Intangible (e.g. software)

• IT/ICT facilitates the acquisition, processing, storing, delivery and sharing of information & other digital content.

• IS – the means by which people & organizations, utilizing technology, gather, process, store, use & disseminate information (UK Academy of ISs)

• Some IS are totally automated by IT.

IS ≠ IT


COURSE CONTENT

6th and 7th sessions (1h30 hours each) (10% FG)

9th and 10th sessions (1h30 hours each) (10% FG)

3d and 4th sessions (1h30 hours each) (5% FG x 2)

Case study CIT and Geo-Mapping

help a Small Business Succeed -

Tea

Case study DFreshDirect uses BI to

manage its Online grocery

Case study E Data Mining for Terrorist and Innocents

Case study FNBA competing on

global delivery

Case study A: How FedEx competes globally with IT

Case study B : Sinosteel Strengthens Business Management with ERP Applications


COURSE CONTENT

Teamwork

10% of the final grade

11th and 12th sessions (3 hours each )

Projects presentations (10% of the FG)

3-4 people per team

5 – 10 pages report

15’ team presentation

5’ questions

Individual final exam (60% FG)


1. Introduction to Information System: Information System Does Matter1. The information age2. IS and management

2. Foundations of Business Intelligence and Enhancing Decision-Making1. IS architecture2. IS and Operational excellence 3. Key System Applications for the Digital Age

3. E-Commerce: the revolution is just beginning1. Internet and New business models2. Web strategies

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4. Mobile commerce and mobile applications: Past, present, and future1. New devices, new OS, marketplaces2. How to design an app

5. Social networks and e-communities revolution1. Sharing personal data2. How to cerate an e-community3. Social network optimization

6. Working with open data and Big data1. Theoretical of open data2. Implementation in modern world3. The explosion of unstructured data4. Data manipulation, storage and analyses

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7. ICT4D: Technology and complex social problems (ex poverty)1. Technology answer to alleviate poverty2. Case studies

8. Human identify influenced by mass communications: the future of storytelling1. The collapse of distance2. Instant information3. Privacy4. Information retrieval

9. Effective project management1. Essentials of project management2. Case study

10. IS Challenges and Cyberlaw: Ethical, Social, security & globalization Issues1. New legal issues in cyberspace2. The politics of piracy

© Pearson Education 201217


11. Gaming industry: processes combined with creativity1. Engineering and arts2. Serious versus casual games3. Tools to systematize creativity and innovation thoughts4. Development models

12. Digital activism1. Civic engagement and political activism in the information age2. Internet mobilization3. Case studies

13. Start-up strategies1. Intersection between business and information2. Develop new ventures centred on emerging IT3. Case studies



INFORMATION SYSTEMS IN BUSINESS TODAY

Introduction

Chapters 1 and 3 in the course Text Book

Management Information SystemsManagement Information SystemsCHAPTER 1: INFORMATION IN BUSINESS SYSTEMS TODAY

• Define an information system and describe its managerial, organizational, and technological components.

• Explain why information systems are so essential in business today.

• Understand the effects of information systems on business and their relationship to globalization.

Learning Objectives

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Technology is everywhere

Putting out

Factory

Steam engine

From Putting-Out to factory

Technology is changing companies, society and humains

IS

From factory to virtual company


• What is an information system (IS)?

• What is its impact on organizations?

Let us define IS

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Perspectives on Information Systems

Information Systems Are More Than Computers

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• Technological dimension of information systems– Computer hardware and software– Data management technology– Networking and telecommunications technology

• Networks, the Internet, intranets and extranets, World Wide Web

– IT infrastructure: provides platform that system is built on


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Data and Information

Raw data from a supermarket checkout counter can be processed and organized to produce meaningful information, such as the total unit sales of dish detergent or the total sales revenue from dish detergent for a specific store or sales territory.

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Technological dimension


Technological dimension


• Competitive advantage can not be created just by having the best technology.

• People must accept it and used it in a clever and strategic way.

Organizational dimension of the Information Systems

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CHAPTER 3: INFORMATION SYSTEMS, ORGANIZATIONS, AND STRATEGY


• Features of organizations• Use of hierarchical structure• Accountability, authority in system of

impartial decision making• Adherence to principle of efficiency• Routines and business processes • Organizational politics, culture,

environments and structures

Organizations and Information Systems

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How Information Systems Impact Organizations and Business Firms

FLATTENING ORGANIZATIONS

Information systems can reduce the number of levels in an organization by providing managers with information to supervise larger numbers of workers and by giving lower-level employees more decision-making authority.


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Social business





Using Information Systems to Achieve Competitive Advantage

THE VALUE CHAIN MODEL

This figure provides examples of systems for both primary and support activities of a firm and of its value partners that can add a margin of value to a firm’s products or services.


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The Business Information Value Chain

From a business perspective, information systems are part of a series of value-adding activities for acquiring, transforming, and distributing information that managers can use to improve decision making, enhance organizational performance, and, ultimately, increase firm profitability.

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• Value web: – Collection of independent firms using

highly synchronized IT to coordinate value chains to produce product or service collectively

– More customer driven, less linear operation than traditional value chain



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THE VALUE WEBThe value web is a networked system that can synchronize the value chains of business partners within an industry to respond rapidly to changes in supply and demand.


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• Network-based strategies– Take advantage of firm’s abilities to network

with each other– Include use of:

• Network economics• Virtual company model• Business ecosystems



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• Traditional economics: Law of diminishing returns– The more any given resource is applied to production, the

lower the marginal gain in output, until a point is reached where the additional inputs produce no additional outputs

• Network economics:– Marginal cost of adding new participant almost zero, with

much greater marginal gain– Value of community grows with size– Value of software grows as installed customer base grows



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• In the emerging, fully digital firm– Significant business relationships are digitally

enabled and mediated– Core business processes are accomplished

through digital networks– Key corporate assets are managed digitally

• Digital firms offer greater flexibility

in organization and management– Time shifting, space shifting

The Role of Information Systems in Business Today

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Virtual company


– Virtual company uses networks to ally with other companies to create and distribute products without being limited by traditional organizational boundaries or physical locations

– E.g. Li & Fung manages production, shipment of garments for major fashion companies, outsourcing all work to over 7,500 suppliers



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Virtual company

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• Business ecosystems– Industry sets of firms providing related services and

products• Microsoft platform used by thousands of firms• Wal-Mart’s order entry and inventory management

– Keystone firms: Dominate ecosystem and create platform used by other firms

– Niche firms: Rely on platform developed by keystone firm

– Individual firms can consider how IT will help them become profitable niche players in larger ecosystems



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– Managers set organizational strategy for responding to business challenges

– In addition, managers must act creatively:• Creation of new Business

models• Occasionally re-creating

the organization


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Management dimension of information systems


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• Four generic strategies for dealing with competitive forces, enabled by using IT– Low-cost leadership – Product differentiation– Focus on market niche– Strengthen customer and supplier intimacy



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• Low-cost leadership– Produce products and services at a lower price than

competitors while enhancing quality and level of service

– Examples: Wal-Mart

• Product differentiation– Enable new products or services, greatly change

customer convenience and experience– Examples: Google, Nike, Apple



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• Focus on market niche– Use information systems to enable a focused

strategy on a single market niche; specialize– Example: Hilton Hotels

• Strengthen customer and supplier intimacy– Use information systems to develop strong ties and

loyalty with customers and suppliers; increase switching costs

– Example: Netflix, Amazon



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• The Internet’s impact on competitive advantage– Transformation, destruction, threat to some

industries• E.g. travel agency, printed encyclopedia, newspaper

– Competitive forces still at work, but rivalry more intense

– Universal standards allow new rivals, entrants to market

– New opportunities for building brands and loyal customer bases



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Conclusion


• Investing in information technology does not guarantee good returns

• Considerable variation in the returns firms receive from systems investments

• Factors: – Adopting the right business model– Investing in complementary assets

(organizational and management capital)

Conclusion




Variation in Returns On Information Technology Investment

Although, on average, investments in information technology produce returns far above those returned by other investments, there is considerable variation across firms.




The Interdependence Between Organizations and Information Technology

In contemporary systems there is a growing interdependence between a firm’s information systems and its business capabilities. Changes in strategy, rules, and business processes increasingly require changes in hardware, software, databases, and telecommunications. Often, what the organization would like to do depends on what its systems will permit it to do.

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• How information systems are transforming business– Increased business use of Web 2.0 technologies– Cloud computing, mobile digital platform allow more

distributed work, decision-making, and collaboration

• Globalization opportunities– Internet has drastically reduced costs of operating on

global scale– Presents both challenges and opportunities





Information Technology Capital Investment

Information technology capital investment, defined as hardware, software, and communications equipment, grew from 32 percent to 52 percent of all invested capital between 1980 and 2009.

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• Growing interdependence between ability to use information technology and ability to implement corporate strategies and achieve corporate goals

• Business firms invest heavily in information systems to achieve six strategic business objectives:1. Operational excellence2. New products, services, and business models3. Customer and supplier intimacy4. Improved decision making5. Competitive advantage6. Survival


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- Websites: www.technologyreview.com

-Articles:

Carr, N.G. (2003). “ IT Doesn’t Matter”. Harvard Business, Review. 3566, pp. 41–49. http://www.roughtype.com/?p=644

Letters to the Editor (2003). “Does IT Matter? An HBR debate”. Harvard Business Review. Web exclusive: www.johnseelybrown.com/Web_Letters.pdf

Documents

Antoine HARFOUCHE, PHD. Dr Antoine Harfouche Ass. Professor at Paris-Nanterre La Defense University. PhD in Information Systems from Paris-Dauphine with