The document discusses key concepts related to information systems in business including data, information, business intelligence, and information technology. It describes how information technology can reduce costs, improve productivity, increase customer satisfaction and loyalty, generate competitive advantages and growth, streamline supply chains, and enable global expansion. The roles of the chief information officer, chief technology officer, chief security officer, chief privacy officer, and chief knowledge officer are outlined. The document also discusses measuring success using information technology and identifying competitive advantages. Finally, it introduces Porter's five forces model of competitive strategy.

1.  INFORMATION SYSTEMS IN BUSINESS
 Information
 Data that has been organized
 Data that has been interpreted
 Data
 Raw facts that describe the characteristics of an event
 Limitless and present everywhere
 Business Intelligence
 Gathers Information
 Accesses Information
 Helps Analyze Information
 Information Technology
 What an Information Technology do?
Reduces costs
Improves productivity
Increases customer satisfaction
Increases Customer loyalty
Generates a Competitive Advantage
Generates Growth
Streamlines the Supply Chain
Drives Global Expansion
 Who does it?
Chief Information Officer (CIO)
o Strategic application of Information Technology
Chief Technology Officer (CTO)

2. o Hardware
o Infrastructure
Chief Security Officer (CSO)
o Ensures information safety and security
Chief Privacy Officer (CPO)
o Ethical and legal use of information
Chief Knowledge Officer (CKO)
o Collects, maintains, and distributes knowledge
Tactical Personnel
o Makes sure it gets done
 BUSINESS STRATEGY
 Identifying Competitive Advantages
 Measuring Success - Using Information Technology
Effectiveness: Impact
Efficiency: Performance
Impact: Usability
o Satisfaction – how satisfied are people with these
applications
o Conversion – changing interest to actually buying
o Financial – managing finances
Efficiency: Throughput
o Transaction speed
o Uptime – how often are things up and running properly
o Accuracy
o Traffic – typically web traffic
o Response time

3. Benchmarking
o Comparing against best practices to find ways to make
improvements
Competitive Advantages
o Competitive Advantage – product or service that consumers
place a greater advantage than similar item from
competitor
o First- Mover Advantage – being first to the market with a
competitive advantage
 The Five Forces Model
 Buyer Power
High when many choices of whom to buy from
Low when there are few choices
Power of channels
Power of end users
 Supplier Power
High when many choices of whom to buy from
Low when there are few choices
Power of Suppliers
 Threat of Substitute Products or Services
High when there are many alternatives to a product or service to
choose from
Low when there are few alternatives to a product or service to
choose from
 Threat of New Entrants
High when it is easy for new competitors to enter
Low when there are significant entry barriers
 Rivalry Among Existing Competitors

4. High when competition is fierce
Low when competition is complacent