business models and it impacts

8/10/2019 Business Models and IT Impacts

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Strategy Audit

A Strategy Audit of the business model:

Assesses business context

Analyzes customers

Analyzes competitors and substitutes

Assesses the business network

PP. 44-45


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Capabilities enable a company to execute

current strategy while providing a platform for

future growth.

P. 45


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Porter's Value Chain

Primary Activities (e.g., Create Demand, Fulfill Demand, Serve theCustomer)

Support Activities (i.e., activities that make the primary activities possible)

The value chain suggest that the methods of achieving competitiveadvantage are

Lowering Cost Adding Value

SCM is driven by understanding the value chain

ERP integrates all the information together in a single application SCM applications leverage the ERP as a single major source for up-to-date

information

Most CIOs who have tried to install SCM applications say they are glad theydid ERP first

http://www.cio.com/article/40940/Supply_Chain_Management_Definition_and_Solutions
http://www.cio.com/article/40940/Supply_Chain_Management_Definition_and_Solutionshttp://www.cio.com/article/40940/Supply_Chain_Management_Definition_and_Solutions


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Value Chain


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Value Network

Refer to Appendix 1 B in the Textbook for more about Value Networks


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Capability Audit

A Capability Audit of the business model

Analyzes processes and infrastructure

P. 46


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Streamlined, synchronized processes are one of

the most powerful sources of IT-enabled

proprietary advantage.

P. 46


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Capability Audit



Evaluates people and partners

P. 46


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Have leaders developed clear performance

targets, measurement systems, rewards, and

punishments that ensure transparency and

fairness?

P. 47


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Capability Audit




Assesses organization and culture

P. 46


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Does the informal culture support or hinder

individuals and groups as they attempt to fulfill

their roles and responsibilities

P. 47


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Capability Audit




Assesses organization and culture

Evaluates leadership and governance

P. 46


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Governance systems include strategic controls (scanning theenvironment, defining strategic position, setting goals, andprioritizing projects and investments); operating controls(defining short-term objectives and controlling currentbusiness operations and projects); effective risk management

(identification and management of key risks); and effectivedevelopment and management of the shared values andculture that guide decisions and actions.

http://finance.yahoo.com/news/risk-management-gains-stature-c-120000255.html

P. 47
http://finance.yahoo.com/news/risk-management-gains-stature-c-120000255.htmlhttp://finance.yahoo.com/news/risk-management-gains-stature-c-120000255.htmlhttp://finance.yahoo.com/news/risk-management-gains-stature-c-120000255.html


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Value Audit

A Value Audit of the business model

Identifies internal and external stakeholders

Identifies business model drivers and alignment

Develops the financial model and determines

financing needs

PP. 48-49


15/21

Using the DuPont Formula to

Deconstruct ROE

http://www.nickols.us/se_intervention_logic.htm
http://www.nickols.us/se_intervention_logic.htmhttp://www.nickols.us/se_intervention_logic.htmhttp://www.nickols.us/se_intervention_logic.htm


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Evolving the Amazon.com Business

Model (1995-2000)


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Assessing the Impact of IT on Business

Model Alignment


18/21

Impact of IT on Industry Structure and

Relationships


19/21

IT Impact Map: IBM Path to Business Transformation


20/21

IT Impact Map: Medtronic (MDT) Path to Business

Transformation


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Assignments Due

Case Study II

Reading I

News item A: Globalization News item B: Geert Hofstede Cultural Factors

News item C: Business Agility

Group project: One page description of theproject

business models and it impacts

Documents