Chapter 1 Business Driven Technology

nostrilshumorousInternet and Web Development

Nov 18, 2013 (3 years and 10 months ago)

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Chapter 1


Business
Driven
Technology

MANGT 366
Information
Technology

for Business

Class Focus this semester


Business Driven Technology


Business initiatives should drive technology choices


Business needs first: technology supports those needs


Core business fundamentals are constant or get better: technology
changes



Business Intelligence


How do we acquire it?


How do we use it?


What do we do with it?


Defined: A broad category of applications and technologies
for gathering, storing, analyzing and providing access to data
to help users make





D



decision making


Also referred to as


Management 665 Bus Intel/Data
Mng

and DB
Mktg

Information Technology’s Role in
Business


Information technology is



Attention Students:

Add your own details to the info
found on the next 2 slides since they
contain pictures without any blanks.

Information Technology’s Impact on
Business Operations

Information Technology’s Impact on
Business Operations

Information Technology’s Impact on
Business Operations


Organizations are typically organized and operate
by






or functional silos


While you might think these are independent, they are actually




because they require information from




They do

not exist






Information Technology (IT)


In order to be successful in business, you must
understand



Using IT and/or spending lots of money on IT will not
equal business success.



IT is used to





of people


IT by itself does not get the job done.


IT is only useful if the right people know

and




effectively.



IT is




(and if you don’t know how to
use the tool, then you won’t be successful)

The function of the IT department is to
get


In order for this to happen, it is important to
understand


Data, information and business intelligence


IT resources


IT cultures



Information technology is

and if you want to be successful in business, you need
to understand technology.

Data


R






the characteristic of an event


Data recording sales events in an Excel Spreadsheet

Without analyzing the data, it is just a

Information


Data








is
information


Data turned into information

One person’s information

might be




(store manager
vs

CEO)


Business Intelligence


The







to gain
a





of the factors





: used in business decision
-
making.


Information turned into Business Intelligence

P

help uncover BI

IT Resources

P




use


Information
technology



I





The single most important

resource in any organization

is


. Your greatest

asset is your

(your ability to think).


Information technology (IT) is simply a


that helps
you



Important IT Skills for Functional Areas


Accounting


Accounting Information Systems


S


D





and
Management


Web Research


Network



Management


E



software


S


Database Management


Web sites and web portals




Finance


S




Modeling


S




Analysis to
identify and measure risk.


Database Management


Web sites and Search Engines



Marketing


C




Management


S



Software
(


)


Database Management, Data



Communications software and
desktop publishing


Operations Management


Advanced Statistical techniques and advanced spreadsheet modeling


Scheduling software,


software,




software

The following slides are details
related to the prior slide. I won’t
specifically talk about these details
in class, but you do need to study
them because they provide
additional information related to the
specific IT skills that are typically
needed for employees in the various
business functional areas

Accounting


Accounting Information Systems
: almost all accounting
systems are computerized.



Database Management
: Accounting information is stored in
databases and that info. is used to create accounting reports.



Database Design
: In order to audit accounting systems,
accountants must understand the design of the database and
be able to follow transactions through the system.



Web Research
: Accountants frequently consult rules and
regulations available on the Internet: must be able to rapidly
search for and apply information found.



Network Security
: Knowledge of a company’s computer
systems and networks is required to assure the security of a
company’s information.



Spreadsheet modeling
:
financial projections and analyses require
extensive use of electronic spreadsheets and accountants must be
very skilled in the use of spreadsheets.

Finance


Spreadsheet modeling
: advanced knowledge is essential as
you forecast cash flows and evaluate changes in assumptions.



Statistical Packages and Statistical Analysis
: Used to help
decision makers identify and measure project risk.



Database Management
: Must be able to create, maintain and
manipulate financial measures stored in a database.



Internet Sites and Web Portals
: Corporations use web sites
to provide investors with company information. Automated bill
paying impacts both accounts receivable and accounts
payable.



Search Engines
: Must be able to accurately and efficiently
gather required business information from external sources.



Must
understand the

technological strategy and
technological innovation being used in the industry
. For
example, what are banks doing?

Marketing


Must understand the use of

Customer Relationship Management (CRM)
software
and how it can be used to manage relationships with customers.



Must understand

Budget Analysis/Impact Software and Spreadsheet
Software:
Used to evaluate financial feasibility of new products and
services, as well as advertising and promotion strategies. Must be able to
run “What If” scenarios.



Database Management
: Marketers work with vast amount of information
that is stored in databases, and you must know how that information is
organized and how it can be accessed.



Data Warehouses and Data
-
Mining Tools
provide

a way to summarize
large amounts of information and understand it from a different perspective.
Must be able to extract information from a data warehouse and be able to
analyze it.



Must be able to work with

communications support software,
including
email and contact management software.



Must be familiar with
desktop publishing software

which is often used to
create marketing materials.

Management


Must understand the role of
Enterprise Resource Planning
Systems (ERP)

and how ERP systems promote the corporate
-
wide sharing and communication of information.



Managers use

spreadsheets
to calculate value, display
financial information and work with numbers.



The information used by managers and the people that they
supervise can be found in

databases
.



Internet Sites and Web Portals
: Corporations use web sites
to display and access information, as well as link employees,
recruiters and other institutions.



One of the new areas of business is

Electronic Commerce
,
and managers must understand the potential of information
technology and the skills needed to be successful in business
-
to
-
business and business
-
to
-
consumer electronic commerce.


Production and Operations Management


For most careers in POM, a detailed knowledge of
statistical tools and
techniques

is essential.



Advanced decision support spreadsheet functions,
such as goal
seeking, optimization, and statistical tools, provides support for many POM
careers.



A knowledge of

Supply Chain Management Systems
allows a person to
work with each department of a company, integrating solutions to maximize
customer value.



Must have an understanding of

Material Requirements Planning Software
(part of ERP) and how the business operates from beginning to end and how
to optimally model those operations.



Must be able to use
scheduling software

to optimally schedule business
resources (people, plant equipment, transportation modes, manufacturing
operations).



Must be proficient in the use of
Data
-
Mining Tools

and other statistical
techniques in order to be able to find relationships in the information
contained within data warehouses.