Dec. 11 2010

College of Governance, Business & EconomicsDepartment of Business Administration

FINANCIAL MANAGEMENTProf. R. Gabuya

ahYan Pegason Atty. DarwinTenaja

overviewData

FundersOrder Management

Did u knowOrder Management Cycle

Strategic Information SystemSucceed Online

The OMCE.g.

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Successful OnlineIT

Competitive Intelligence E.g. using Porter’s Model

Strategic IT PlanningGlobal CompetitionCustomer Service

Customer Relation Mgt.4 steps in implementing CRM

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overview

overview3 levels of a product

4 distinct dimension of CS

Founder of Facebook

Y used FB

Issues pertaining to online profiles:

Surveys, Top sites &

aYn 5 I’s about FB

Video clips (2) & S.I.L.

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Dataa collection of facts from which conclusions may be drawn.

One possible conclusion:

your organization deserves some money!

6The best appeals for funding, whether to an individual or a foundation, are based in fact. Mostimportantly, funders must know that the community your program serves is in need. It is that community need that sets a tone of empathy and urgency to support the programs you provide.However, data to support these statements of need are often missing or not well-articulated whenspeaking with or writing to funders.Sample Needs Statement Without Data

Order management means many things to many people. Given the level of business complexity, requirement for cross-functional processes, and the need to leverage existing investments, enterprises seek a common definition which encapsulates the opportunity-to-cash process. Common definition for order management cycle (OMC) provides a framework for evaluation and discussion among vendors and enterprises. Key components in OMC include order channels, presentation framework, business process modules, core application foundation, and data and infrastructure. As enterprises make the shift from functional silos to cross-business enterprises, the challenge is to find one vendor that can deliver a complete OMC solution.

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Did you know OVER 70% of consumers start their search for information on home improvements by visiting the Internet first? Wow!!!!

9ORDER MANAGEMENT CYCLE

To help managers identify areas for effective deployment of information technology To improve efficiency and effectiveness of business processOMC is a 10-step process which delineates the full execution of a business cycle. With the OMC concept, managers can be more purposeful and directed in searching for sources of competitive advantage using information technology can leverage the business process

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• To help the firm source customers more cost-effectively

•To service customers faster and with fewer transaction, therby loering cost an cycle time while increasing consistency and quality of service

•To create a model of customer behavior to track product performance and drive incremental purchase of products and service

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Strategic Information System

• Competitive Advantage– An advantage over competitors in some measure such as cost,

quality, or speed– A difference in the Value Chain Data

• Improving Core Competency– Employee productivity– Operational efficiency

Any information system that changes the goals, processes, products, or environmental relationships to help an organization gain a competitive advantage or reduce a competitive disadvantage.

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Strategic Information System Continued

The goals, processes, products, or environmental relationships that help an organization gain a competitive advantage or reduce a competitive disadvantage.

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THE ORDER MANAGEMENT CYCLE

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Information Technology – Supports Strategic Management

Innovative applications: Create innovative applications that provide direct strategic advantage to organizations.

Competitive weapons: Information systems themselves are recognized as a competitive weapon

Changes in processes: IT supports changes in business processes that translate to strategic advantage

Links with business partners: IT links a company with its business partners effectively and efficiently.

MSIS 5623 Chapter 12

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Cost reductions: IT enables companies to reduce costs.

Relationships with suppliers and customers: IT can be used to lock in suppliers and customers, or to build in switching costs.

New products: A firm can leverage its investment in IT to create new products that are in demand in the marketplace.

Competitive intelligence: IT provides competitive (business) intelligence by collecting and analyzing information about products, markets, competitors, and environmental changes .

Information Technology – Supports Strategic Management

31Competitive Intelligence

• Such information-gathering drives business performance – by increasing market knowledge – improving knowledge management – raising the quality of strategic planning

One of the most important aspects in developing a competitive advantage is to acquire information on the activities and actions of competitors.

However once the data has been gathered it must be processed into information and subsequently business intelligence. Porters 5 Forces is a well-known framework that aids in this analysis.

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Competitive ForcesCompetitive Forces

Porter’s Competitive Forces Model

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• The business systems planning (BSP) model, developed by IBM deals with two main building blocks which become the basis of an information architecture.• Business processes • Data classes

• Stages Of It Growth Model, indicates that organizations go through six stages of IT growth• Initiation. When computers are initially introduced.

• Expansion (Contagion). Centralized growth takes place as users demand more applications.

• Control. In response to management concern about cost versus benefits, systems projects are expected to show a return.

• Integration. Expenditures on integrating (via telecommunications and databases) existing systems

• Data administration. Information requirements rather than processing drive the applications portfolio.

• Maturity. The planning and development of IT are closely coordinated with business development

Strategic Information Technology Planning Methodologies

Several methodologies exist to facilitate IT planning.

34Global CompetitionMany companies are operating in a global environment. Doing business in this environment is becoming more challenging as the political environment improves and as telecommunications and the Internet open the door to a large number of buyers, sellers, and competitors worldwide. This increased competition is forcing companies to look for better ways to compete globally.

Global dimensions along which management can globalize Product Markets & Placement Promotion Where value is added to the product Competitive strategy Use of non-home-country personnel – labor

Multidomestic Strategy: Zero standardization along the global dimensions. Global Strategy: Complete standardization along the seven global dimensions.

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42Mark Zuckerberg

Founder & CEO, Board of Directors

I'm trying to make the world a more open place by helping people connect and share.

Why use facebook?• That’s where the viewers are• Some estimate 500 million users

worldwide (as of November 2010)

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Date Users ( M) Days later Monthly growth

August 26, 2008 100 1,665 178.38%

April 8, 2009 200 225 13.33%

September 15, 2009

300 150 10%

February 5, 2010 400 143 6.99%

July 21, 2010 500 166 4.52%

— 600 138 (ongoing) —

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Issues pertaining to online profiles:

• Online harassment

• Stalking

• Identity theft

• Sexual predators

• Employers seeking information about potential employees

• First Amendment rights

45SURVEYS

46TOP SITESThe top sites on the web, ordered by Alexa Traffic Rank as of 2010

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ntegratingnnovatingnteractingnterestingnspiring

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Success leads to both personal and legal complications

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