Summary of Class Notes
Class 1 –
Importance of IT investment- A company’s investment in IT must match its overall strategic goals. Synchronization with IT is important, so HR, Finance and supply chain should include IT in discussion about strategy and create a two way sharing of information. Wise IT investments can improve a companies overall profitability. the best approach for investing in IT project is to focus on cost of the program and increasing revenue, this will provide your company with the most profitable IT investment. Refer to the list for hall of shame of IT investments. Many well run companies have made bad investments in IT projects. IT is important to any manager because IT touches every facet of a business, can be a major capital investment, and it can improve how your business operates or completely revolutionize an industry. IT can increase resources for a company as in the CEMEX case study IT became a competitive advantage and also a revenue source. IT captures value by raising the willingness to pay, lower suppliers opportunity costs and creates new markets. IT can capture value by increasing market share leveraging resources or relationships and capture fleeting opportunity. IT should be use when you are able to separate the bits from the atoms.
Class 2 –
When you, as a manager are focused on the here and now, it is difficult to picture the future. There are three changes that can impact industry transformation, change in technology, change in needs and government mandated change. There are two types of “technology,” sustaining and disruptive. Sustaining technologies typically improve efficiency in an existing good or service. These typically improve established companies. Disruptive technologies create an entirely new market and might take time to get established. The advantage for disruptive technologies goes to the smaller newer players that create these technologies. How can companies avoid traps and react in...