The document outlines the management of ICT applications in business and management, emphasizing the importance of teamwork and effective communication through technology. It discusses the benefits of ICT for CEOs and CIOs, the evolution of technology, and the strategic importance of IT investments for enhancing business competitiveness. Additionally, it provides insights into various ICT applications, their levels of urgency, and resources necessary for successful implementation.

1. Managing Information Technology
& With CEO, CIO & Managers
Lecture 1
ICT applications in Business and
Management
nvthoan@ftu.edu.vn
http://web.ftu.edu.vn/thoan
MIS 8.2011 – 6.2012 – 2013 – 10.2014 – 3.2016

2. Before we start!
• We are going to study how to manage ICT
applications in business and management, please:
• Bring your laptop, and smart phone
• Get connected to Internet (Wifi, 3G, even use your
smart phone)
• Remember your E-learning account & pass
• Contribute to class is most important
• Use email for class practice and assignments
• Enjoy and Have fun!

3. CEO & CIO
What are the TWO key benefits which CEO and
other Cs (CFO, CHR, COO, CMO, CIO) consider
most important in ICT application Projects?
Benefit 1: …… ……. (2 words)
Benefit 2: …… ……. (2 words)
Others if any!
The first rule of any technology used in a business is that
automation applied to an efficient operation will magnify the
efficiency. The second is that automation applied to an
inefficient operation will magnify the inefficiency. Bill Gates

4. Managing IT in an E-World
MIS = Make It Simple
Management Information Systems
Q1. Is it easy to apply ICT in Business
and Management?
Great things in business are never done by one person.
They're done by a team of people.
Steve Jobs

5. Managing IT in an E-World
This “telephone” has too many shortcomings to be seriously considered as a means of
communication. The device is inherently of no value to us.
-Western Union internal memo, 1876
I think there is a world market for maybe five computers.
There is no reason anyone would want a computer in their home.
640K ought to be enough for anybody.
Dell has a great business model, but that dog won’t scale.
MISPREDICTIONS BY IT INDUSTRY LEADERS
-Thomas Watson, chairman of IBM, 1943
But what [is a microchip] good for?
-Engineer at the Advanced Computing Systems Division of IBM, 1968
-Ken Olson, president, chairman, and founder of Digital Equipment Corp., 1977
-Attributed to Bill Gates, chairman of Microsoft, 1981
-John Shoemaker, head of Sun’s server division, 2000
What would I do? I'd shut [Apple] down and give the money back to the shareholders.
--Michael Dell, chief executive officer and founder of Dell Computer, 1997

6. Managing IT in an E-World
Q2. How many percent of Annual
Investment is spent for ICT, MIS and
Ecommerce in businesses and
organizations?
Productivity is grounded in the PC. Where does the computing power
come from? How would you run 'USA Today' without PCs? Run a
hospital without PCs? People don't want products, they want solutions.
Michael Dell

7. Managing IT in an E-World
• IT investments are important strategic
decisions for many organizations
By the year 2000, more than half
of capital expenditures by
businesses in developed
countries were for IT purchases

8. Managing IT in an E-World
Q3. Why business leaders now can
apply MIS much more easily than 10
years before? (2016 vs. 2000)
Management is doing things right;
leadership is doing the right things.
Peter Drucker

9. RECENT INFORMATION TECHNOLOGY
TRENDS
• Computer Hardware: Faster, Cheaper, Mobile
– Computers have become smaller and faster
– Hardware prices have dropped
– Trend over time is for more mobile computers
Microcomputers
(1970’s)
IBM Personal
Computer
(1981)
Personal Digital
Assistants [PDAs]
introduced
(early 1990s)
Laptop
Computers
outsell desktops
(2005)
Touch screen cell
phones
introduced
(2007)

10. Managing IT in an E-World
Q4. How can MIS and ICT help increasing
business competitiveness and
production capabilities?
One strategy: "We've had three big ideas
at Amazon that we've stuck with for 18
years, and they're the reason we're
successful: Put the customer first. Invent.
And be patient."

11. New Ways of Competition
• ICT helps form new business models
• Support all three ways in competition (Porter, 1980)
• Compete by being a low-cost producer of a good or
serviceCost
• Compete by offering products or services customers
prefer due to superiority with innovativeness, image,
quality, or customer service
Differentiation
• Simultaneously focusing on low-cost and differentiation
often within a specific market nicheBoth

12. Managing IT in an E-World
Q5. Not all businesses have the same
demands for ICT application.
How many levels of urgencies in ICT
applications? Give examples?
Put the companies in order of ICT
application demands?
Bank, Airlines, Hospital, Super markets,
Tax, Customs, Schools, Street Shops

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Four levels of ICT applications
• Companies have different demands for ICT
applications
– The Denis et al. (2004) scheme:
Absolute Must
•A mandate due to
security, legal,
regulatory, or end-
of-life-cycle IT
issues
Highly Desired /
Business-Critical
•Includes short-term
projects with good
financial returns
and portions of
very large projects
already in progress
Wanted
•Valuable, but with
longer time periods
for returns on
investment (more
than a 12-month
period)
Nice to Have
•Projects with good
returns, but with
lower potential
business

14. Managing IT in an E-World
6. What and How to manage ICT in
business and organizations?
WHAT
HOW
WHO

15. What and How to manage ICT Apps?
• Computer and communications
infrastructure that enables information
sharing over standard IT platforms
Technology
Asset
• Established partnering relationships for
joint IT-business decision-making
Relationship
Asset
• Pool of IT people talent for needed mix
of technology and business skillsHuman Asset

16. Managing IT in an E-World
Q7. Who should be appointed as CIO?

17. Who should be appointed as CIO?
• IT Leadership Roles
• A firm’s high-level general IT manager with both technology
and business leadership experience. Together with the
organization’s executive management team the CIO ensures the
alignment of IT resources with business goals and plans for
integration of IT for strategic advantage
Chief Information Officer (CIO)

18. CEO
Business Unit
#1
Business Unit
#2
Business Unit
# 3 CIO
VP (IT)
Individual
VP (IT)
Retirement
Services
VP (IT) Group
Corporate
Applications /
Payroll / HR
Enterprise
Architecture
Planning and
Finance
Systems
Operations
Managing IT in Organizations
• CIO position in Organization!

19. CIO - VN
• Who used to be
the Top Leader of
ICT applications
in Vietnam?

20. CIO - VN
Nguồn:
http://vietnamnet.vn/vn/cong-nghe-thong-tin-vien-thong/183048/tap-trung-phat-trien-manh-cntt-theo-4-tru-cot.html
26/06/2014
• How many
percentage of
Vietnam
companies and
businesses has
CIO or PIC of ICT
application?

21. Top 100 CIOs
Nguồn:
http://www.cio.co.uk/cio100/2014/top-100/
26/06/2014

22. From PC to Super Computer
Q8. Make a proposal for a computer room
using for internal training in your
company, 100 PCs and related
equipment.
- How much?
- List key equipments
- List key configurations for PC

23. From PC to Super Computer
A8. BIDDING FOR PCS ROOM
1. 1.500.000.000 VND
2. 2.000.000.000 VND
3. 1.000.000.000 VND
4. 1.800.000.000 VND
5. 1.200.000.000 VND
6. 1.470.000.000 -----
7. 1.150.000.000 -----
8. 1.400.000.000 VND
9. XXXXXXXXXXXXX
10. 1.100.000.000

24. 24
Types of Computers

25. LAN and Internet
Q9. When you check mail on your
smart phone, how information runs
in the networks?
Or
When you withdraw money from
ATM manchine, how information
runs and how you receive the SMS
in your smart phone?

26. 26
How information is transmitted ?
• OSI Model
– Developed by the International Organization for
Standardization (ISO)to outline a standard set of
protocols for telecommunications
Figure 4.14

27. Two key MIS in businesses
10. What are the two key Information
Systems in businesses?
- You have PC, Servers
- You have Networks
- You have Software
What flows through the systems? Information? Data? How
to use that to create Value for leaders, managers and
employees?

28. 28
Intra-Organizational systems
Intraorganizational systems
• Systems that support all or most of the organization
Enterprise Systems
• Systems that support a specific manager or group of
managers
Managerial Support Systems

29. 29
APPLICATION AREAS
Intraorganizational systems (cont’d)

30. Managing IT in an E-World
11. What does this stand for?
SCM
ERP
CRM

31. 31
ERP SYSTEMS
Today’s vendors offer modules
beyond the “back-office” modules

32. ERP
12. Which companies are key vendors or
providers of ERP, SCM and CRM
solutions?

33. 33
ERP market shares
• Choosing the right software is important
– From one vendor or multiple vendors (“best of breed”)
• Implementing multiple modules at once is difficult
– Requires large investment of money and people
resources
Source: Gartner Dataquest

34. CRM
Q13. Why do we need customers
database, why do we need CRM
systems?
"If you never want to be criticized, for
goodness' sake don't do anything new."

35. 35
CUSTOMER RELATIONSHIP MANAGEMENT SYSTEMS
• A new way to compete using IT:
service-based differentiation
– Single-face-to-the-customer, no matter which channel
customer uses
CRM systems
Traditional Channels New Electronic Channels
• Call centers • E-mail
• Field reps • Web sites for consumers and
partners
• Retail dealer networks/
business partners
• Communications via wireless
devices

36. 36
CUSTOMER RELATIONSHIP MANAGEMENT SYSTEMS
Types of purchased CRM systems
CRM
Suites
e-CRM
ERP
Extensions
Ex. Siebel, Clarify Ex. NetPerceptions
(automated customer interactions)
Ex. mySAP, PeopleSoft/Vantive

37. Personal ICT Applications
Q14. List 10 applications you often use
on your PC, laptop every day
List 10 most used applications in your
smart phone?
"In the old world, you devoted 30% of your
time to building a great service and 70% of
your time to shouting about it. In the new
world, that inverts."

38. 38
Office sharing and collaboration
• A set of office-related applications that might or
might not be integrated into a single system
Most Common Office Applications
• Word processing • Desktop publishing
• Electronic mail • Electronic calendaring
• Telephony • Document imaging
• Voice mail • Document preparation,
storage, and sharing
• Copying

39. Managing IT in an E-World
Q15. List at least 5 ICT application in
business which helps leaders, managers
and staff collaborate and communicate in
business everyday?
1.
2.
3.
4.
5.

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GROUPWARE
Common Groupware Features
• Electronic mail • Meeting support systems
• Electronic bulletin boards • Workflow routing
• Computer conferencing • Electronic forms
• Electronic calendaring • Internet telephony
• Group scheduling • Sharing documents
• Desktop
videoconferencing
• Learning management
systems
• Electronic whiteboards • Instant messaging
• Shared workspace

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GROUPWARE
Groupware Products
• Microsoft Exchange • EMC Documentum eRoom
• Lotus Notes • Microsoft Office Groove
• Oracle Collaboration Suite • Microsoft SharePoint Server
• Novell GroupWise • Thruport Technologies HotOffice
• Microsoft Office Communications
Server
• IBM Workplace Collaboration
Services
• Web Crossing

42. SCM – Supply Chain Management
Q15. Find in Youtube.com a video clip
about car manufacturing processes?
Or other product production processes
List the key suppliers for this factory?
Why do we need SCM?

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SUPPLY CHAIN
MANAGEMENT (SCM) SYSTEMS
• Designed to deal with the procurement of
components needed to make a product or service
and movement and distribution of finished
products through the supply chain
• Five basic components of SCM system:
1. Plan: developing strategy for managing resources
2. Source: choosing suppliers
3. Make: manufacturing the product
4. Deliver: logistics of getting product to the customer
5. Return: procedure for handling defective products

44. Automation of production and
services
Q16. Find a video clip in Youtube.com
which show the applications of ICT in:
- Hospital
- Factories (car, PC, phone, foods…)
- Bank
- Supermarket
- Everyday life activities
Send links to Class email and also: nvthoan@ftu.edu.vn

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FACTORY AUTOMATION
• Computer-aided manufacturing (CAM) – use
of computers to control manufacturing
processes
– Series of programs to control automated
equipment on shop floor
– Includes guiding vehicles to move raw materials
and finished products
– Requires a lot of input from other systems
Factory operations

46. Managing IT in an E-World
Q17. Data mining
How can banks use customer database?
How can super-markets use customer
database?
PRACTICE: Create a Google Form to get
customer information?

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Data mining
• Data mining software:
– Oracle 10g Data Mining
(http://www.oracle.com/technology/products/bi/odm/index.html)
– SAS Enterprise Miner
(http://www.sas.com/technologies/analytics/datamining/miner/)
– XLMiner
(http://www.xlminer.com/)
– IBM Intelligent Miner Modeling
(http://www-306.ibm.com/software/data/iminer/)
– Angoss Software’s KnowledgeSEEKER,
KnowledgeSTUDIO, and StrategyBUILDER
(http://www.angoss.com/analytics_software/)

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DATA MINING
Cross Selling
Losing customer
Retention
Direct Marketing
Fraud Detection

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DATA MINING
Interactive
Analysis
Segmentation
Payment
Trends

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End of part 1
• Summary
• How fast can you type in English?
• List 10 key components of a PC?
50