1-3 What academic disciplines are used to study information systems and how does

1-1 Copyright © 2022 Pearson Education Ltd.Chapter 1 Information Systems in Global Business Today Student Learning Objectives 1-1 How are information systems transforming business and why are they so essential for running and managing a business today?1-2 What is an information system? How does it work? What are its management, organization, and technology components? Why are complementary assets essential for ensuring that information systems provide genuine value for organizations?1-3 What academic disciplines are used to study information systems and how does each contribute to an understanding of information systems?1-4 How will MIS help my career?Key Terms The following alphabetical list identifies the key terms discussed in this chapter. The page number for each key term is provided.Business functions, 49 Information technology (IT) infrastructure, 52 Business model, 44 Input, 47 Business processes, 42 Internet, 51 Complementary assets, 57 Intranets, 52 Computer hardware, 51 Knowledge workers, 49 Computer literacy, 48 Management information systems (MIS), 48 Computer software, 51 Middle management, 49 Culture, 50 Network, 51 Data, 46 Networking and telecommunications technology, 51 Data management technology, 51 Operational management, 49 Data workers, 49 Organizational and management capital, 57 Digital firm, 42 Output, 47 Extranets, 52 Processing, 47 Feedback, 47 Production or service workers, 49 Information, 46 Senior management, 59 Information system, 46 Sociotechnical view, 59 Information systems literacy, 48 World Wide Web, 52 Information technology (IT), 46 Management Information Systems, Managing the Digital Firm, 17e (Global Edition) Kenneth Laudon, Jane Laudon (Solutions Manual All Chapters) Supplement files download link is at the end of this file. 1 / 4

1-2 Copyright © 2022 Pearson Education Ltd.Teaching Suggestions You are probably meeting in the first class session to introduce yourself, the course, and to meet the students. It is good to get to the classroom early and meet the students as they come in. Learn a few names as the students enter.After going over requirements for the course, give an overview of the course stressing this is not a technical course. Typically, you cannot do enough to put non-technical types at ease.The opening case, “Smart Stores Reinvent the Retail Space,” shows students that even the most successful businesses must continually embrace technology upgrades and improvements as a way to enhance customer value and increase a business’s competitive advantage. Students will become familiar with the idea that different kinds of businesses have had to change the way they operate.Acrelec, a French digital signage company, is piloting technology to help retailers manage store curbside pickups by customers placing orders online. Customers can use a retailer’s smartphone app to indicate they are coming to pick up an order, and the Acrelec system will estimate when a customer will arrive at a particular store. Object-recognition cameras identify exactly when a customer’s car arrives and where it is parked. Acrelec is especially useful for big-box retailers, grocery stores, and home-improvement stores.Shelves have become more than just a surface for storing and displaying objects. New systems for “smart” shelves use proximity sensors, 3D cameras, microphones, RFID readers, and weight sensors to enable interactions between shoppers in physical stores and the shelves they are standing in front of. These systems can create a highly personalized shopping experience that fundamentally improves the way shoppers move inside physical stores.Brands and retailers such as Pepsi, Walmart, and Albertsons are starting to use Smart Shelf by AWM to replicate the benefits of the online experience in physical retail environments. Using super-wide-angle low-light HD cameras, retailers deploying Smart Shelf can view and track their products in real-time. The solution improves operational efficiencies by highlighting specific shelves that need product stocking and allows for real-time on-shelf marketing to consumers. When retailers connect Smart Shelf to their mobile apps, they can help shoppers locate products themselves through their smartphones and tablets.Section 1-1, “How are information systems transforming business and why are they so essential for running and managing a business today?” gives students a feel for the importance of information systems in business today and how they have transformed businesses on the world stage. A good discussion of the six important business objectives outlined in this section allows the instructor and students to discuss why businesses have become so dependent on information systems today and the importance of these systems for the survival of a firm. Stress to students that information systems are not a luxury. In most businesses they are the core of survival. This would be a good time to ask students 2 / 4

1-3 Copyright © 2022 Pearson Education Ltd.to discuss how their own schools are using information systems to enhance their product offering.Globalization is affecting virtually every country in the world. As technology becomes more pervasive and, in some cases easier to use, globalization will continue its steady march. In 2019, an estimated 30 percent of the world economy resulted from foreign trade of goods and services, both imports and exports. Half of Fortune 500 US firms obtain nearly 50 percent of their revenue from foreign operations. For instance, more than 50 percent of Intel’s revenues in 2019 came from overseas sales of its microprocessors.Ask students to provide examples of truly digital firms (Cisco Systems and GE) as opposed to those businesses (local mom-and-pop stores or a local doctor’s office) that still perform many business processes outside of integrated information systems.Review the six strategic business objectives: operational excellence; new products, services, and business models; customer and supplier intimacy; improved decision making; competitive advantage; and survival. The rest of the text will continually refer to these six objectives as reasons why firms should incorporate and integrate business processes with information systems.Interactive Session: Organizations: Will the Coronavirus Pandemic Make Working from Home the New Normal?Case Study Questions 1.Define the problem described in this case. What are the management, organization, and technology issues raised by this problem?Not all employees have access to the Internet at home, and many work in industries that require on-site work. About 80 percent of American adults have high-speed broadband Internet service at home. Although email and text messaging are very useful, they are not effective tools for communication compared to the information exchange and personal connection of face-to-face conversations. Remote work also inhibits the creativity and innovative thinking that take place when people interact with each other face-to-face, and videoconferencing is only a partial solution.

2.Identify the information technologies used to provide a solution to this problem.Was this a successful solution? Why or why not?Information technologies driving these changes include broadband high-speed Internet connections, laptop computers, tablets, smartphones, email, messaging, and videoconferencing tools. As companies shift their work from face-to-face to remote, video conferencing is becoming the new normal for meetings. There are definite

benefits to remote work: lower overhead, more flexible schedules, reductions in

employee commuting time and attrition rates, and increases in productivity. (Many companies reported that productivity did not suffer when employees worked at home 3 / 4

1-4 Copyright © 2022 Pearson Education Ltd.during the pandemic.) According to Global Workplace Analytics, a typical company saves about $11,000 per half-time telecommuter per year.

3.Will working from home become the dominant way of working in the future?Why or why not?According to a recent MIT report, 34 percent of Americans who previously commuted to work stated that they were working from home by the first week of April 2020 due to the coronavirus outbreak. Prior to the pandemic, the number of people regularly working from home remained in the single digits, with only about 4 percent of the US workforce working from home at least half the time. However, the trend of working from home had been slowly gaining momentum thanks to advances in information technology for remote work and changes in corporate work culture.The coronavirus pandemic may mark a tipping point.It is likely that many people who started working from home for the first time during the pandemic will continue to do so thereafter. New health guidelines about distancing will require some workplaces to expand to accommodate all their employees or to have a significant percentage of employees work permanently from home.Section 1-2, “What is an information system? How does it work? What are its management, organization, and technology components? Why are complementary assets essential for ensuring that information systems provide genuine value for organizations?” gives students the facts and definitions that underpin information systems and allow students to knowledgeably discuss information systems. Students do not need the knowledge of a technical person, but they do need to understand the role of information technology and how it must support the organization’s business strategy.They must also understand how information technology can be used to help transform a business. Note that the chapter’s definitions and terms help prepare students to discuss information systems as an intricate part of business systems. Encourage students to see that technology is subordinate to the organization and its purposes.This is also a good place to reinforce the differences between information systems literacy and computer literacy. When asked to describe company information systems, students often depict information systems in terms of technology. It is important to stress that information systems are more than just technology, and that they have management, organization, and technology dimensions. Figure 1-5 and the diagram at the beginning of the chapter can be used to illustrate this point.Ask students why some companies can achieve much better results using information systems while others cannot. That will help them understand the concept of complementary assets and show that there is much more to building a digital firm than simply buying the latest, greatest hardware and software. It will also help them understand the delicate relationship between technology, management, and organizations assets.

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