2 -web technologies, business strategy and culture
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7/30/2019 2 -Web Technologies, Business Strategy and Culture
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© Dr. Larry Stapleton 1
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2© Dr. Larry Stapleton
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Business Strategy Analysis
Enterprise 2.0 as a Strategic Systems
Technology
Case Study
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Informs business strategy
Competitive forces include Bargaining power of suppliers and customers
Competitors adapt their strategies to maintain market position
New market entrants: new companies or substitute product and service offerings
Internet age: fiercer competition intensifying the above (e.g. price bargaining)
Porter sees it somewhat negatively–
the reality is that the internet also produces newopportunities
IS can support partnerships with other firms to develop industry wide standards forinformation exchange & transactions
Improves efficiencies
Reduces risks from new entrants: increased entry costs, reduced product substitutions Establish value webs
Links/helps response to government agency, institutions etc.
We will see this in Online Business Ecosystems...
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Web 2.0 represents an important shift in the way digital information
is created, shared, stored, distributed, and manipulated.
In the years ahead, it will have a significant impact in the way
businesses use both the Internet and enterprise-level IT applications.
Web 2.0 describes a set of next-generation Internet technologies.
These protocols and tools make it easier to create online
applications that behave dynamically, much like traditional PC-basedsoftware.
They're also highly social, encouraging users to manipulate and
interact with content in new ways.
Web 2.0 pushes computing power off the desktop and onto the
Internet
As a general rule, Web 2.0 tools are also less expensive than
traditional software — and many are even free.
Because they're Web-based, all you need to get started is an up-to-
date browser.
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Web (1990s)>>
Web 2.0 (2000s) >>
Web 3.0 (2010s)
>>.....
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1. Community-driven Content in which participants
share information, even inside firewalls (e.g. intranetcollaborative group decision systems)
2. Involves complex, hard-to-create data sources that getricher the more people use them
3. Services (not software) with cost-effective scalability4. Lightweight user interfaces, development and business
models e.g. Facebook
5. Trusting users as co-developers
6. Harnessing collective intelligence7. Leveraging the Long-tail through customer self-service
8. Software above the level of single device
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Customers e.g. Amazon.com
Suppliers e.g. Ariba.com
Alliance partners e.g. ANX.com
As well as...
Regulators (eGovernment solutions), ProfessionalNetworks (e.g. Linked In) etc.
And...
Employees....
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Enterprise 2.0 uses Web 2.0 in the Enterprise
Sometimes called ―Enterprise Social Software‖
Use of freeform social networking platforms inorganisations: wikis, social nets, web feeds, blogs..
Managers care about use: ―Enterprise 2.0 is really
about how the technologies are used (not aboutwhat the technologies are)‖
Andrew MacAfee: principal research scientist at the Center for DigitalBusiness in the MIT Sloan School of Management
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Classic WIKI Knowledge Base -Wikipedia
WIKIs and collaborative work
WIKIs Application Software
ExampleMindquarry
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Long Tail: information technology in general andInternet markets in particular could substantially
increase the collective share of hard to findproducts by greatly lowering search costs/. Thiscreates a longer tail in the distribution of sales
Leveraging the long tail - blogging
1. a small number of weblogs have many links going into them
2. "the long tail" of millions of weblogs may have only a handfulof links going into them
3. businesses with distribution power can sell a greater volume
of otherwise hard to find items at small volumes than of popular items at large volumes
e.g. Amazon described their Long Tail as follows: "We sold morebooks today that didn't sell at all yesterday than we sold todayof all the books that did sell yesterday‖
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lightweight integration and composite applicationdevelopment, often by end-users, directly to lines
of business.
Enterprise Mashup services are now offering highly
capable solutions. Examples: Mashup Solutions and How They Work
Corizon‘s Enterprise Mashup Platform
Introduction to how it works
Example of Creating A Mashup Using IBM tools
Presto from Jackbe.com (check out ―creating an app‖)
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Web 2.0 capabilities clearly have strategic
organisational importance
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1. Visit Stoneyfield Farm website. How are they using social networking
technologies in the business? – 10 minutes2. Read through the Case Study – 10 minutes
3. Organise into groups: Appoint a recorder – to record the discussion and
to present the findings. Appoint a chairperson to keep the discussion on
track and watch time
Spend 40 minutes answering the following questions:1. Using Porters CFA, analyse Stoneyfield Farms strategic position. What
challenges and problems does Stoneyfield Farm face?
2. What are the advantages of using blogs for Stonyfield Farm‘s business?
3. What are the disadvantages of using blogs for Stonyfield Farm‘s
business?4. What are the core values of Stoneyfield? How are these values
expressed in their use of IS in their business?
5. Prepare and summarise discussion notes. Bring your findings back to
class.
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We can conclude that the composition of an
organisation and the attitudes, norms and behavioursof organisations, their ‗culture‘, are vitally important
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The prevailing culture in the organisation is important
for the role of new technology
We saw this at Stoneyfield Farm
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Homework / activity
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1. Sign your name and place the same number youused for the first questionnaire on the first page of the sheet. Only you and I will ever know the nameand number
2. Work your way carefully through the SAVI2 values-
at-work questionnaire3. Fold up your questionnaire
Be careful! The questionnaire is tricky to complete
Don‘t forget to place your number and name on eachcompleted questionnaire
Hand the questionnaire back to the lecturertomorrow first thing
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