CHAPTER 9 : E-COMMERCE

SOCIAL COMMERCE CREATES NEW CUSTOMER RELATIONSHIP

Question 1

Assess the people, organization, and technology issues for using social media to engage with customers.

Nowadays, most people will use the social media to keep in touch with friend and let them know what they recently doing. However, these social media such as Facebook, Twitter, Instagram, and Line can become powerful tools for engaging customers in business for all companies of all shapes and sizes. In addition, location based businesses like gourmet food trucks can tweet their current location to loyal followers and fans. Appointment-based businesses can easily tweet or post cancellations and unexpected openings. Larger companies run sweepstakes and promotions and cn have an opportunity to shape the perception of their brands and to solidify relationships with their customers.

Companies are rolling out ads that capitalize on the social media features of Facebook to achieve greater visibility. For example, Facebook ads feature the ability to ‘Like’ a brand, send a virtual gift, answer a poll question, or instantly stream information to your news feed. Facebook also allow you to following the fan page of the brand and can get the new feed about the brand or the updates news, promotion, and competition.

Question 2

What are the advantages and disadvantages of using social media for advertising, brand building, market research, and customer service?

Advantages

a)      Companies of all sizes have an opportunity to shape the perception of their brands and to solidify relationships with their customers.

b)      To achieve greater visibility- Facebook ads feature the ability to “like” a brand, give comment, answer poll question, send a virtual gift

c)       To allow customers to socialize and share their purchases with friends through social media

d)      Answer user question and respond to complaints. Companies can easily manage the complaints of products from user and get improvement overall through these application.

e)      Companies uses text mining to gather data and convert then to useful information and uses the information to gauge the success of promotions, which products are hot and which are duds, and the impact of advertising campaigns.

f)       Use social media- Facebook’s targeting capabilities to determine which types of people respond to the various ads it has created.

Disadvantages

a)      The result can be unpredictable, and not always beneficial, as Starbucks learned. Starbucks launched a social media contest, which was essentially a scavenger hunt for advertising posters in Twitter. The campaign backfired. At the urging of anti- Starbucks protesters, users flooded Starbucks’ Twitter feed with pictures of employees and protesters holding signs criticizing Starbucks’ labor practices.

Question 3

Should all    companies use Facebook and Twitter for customer service and advertising? Why or why not? What kinds of companies are best suited to use these platforms?

Yes, companies should use these social media-Facebook and Twitter for customer service and advertising. This is because Facebook and Twitter more effective compare to others. Facebook and Twitter is a social web and have a large amount of people or companies link their business, company products to social media. Companies with selling digital goods like camera, smartphone and so on are suitable to use the platform because social media need be efficiently and good performance with digital products.

CHAPTER 3 : INFORMATION SYSTEM, ORGANIZATION, AND STRATEGY.

INTERACTIVE SESSION TECHNOLOGIES: STARBUCK’S

1.      Analyze Starbucks using the completive force  and value chain models 

Align it with business objectiveStarbuck has revamped its in-store technology and sought to integrate its business processes with wireless technology and the mobile digital platform.

Strenghten customer and supplier intinacyRoyal customer can spend time using the free Wi-Fi wireless networks offered in each store.

Product differentiationStarbucks pursued a more aggressive product differentiation strategy, intended to emphasize the high quality of its beverages and efficient and helpful customer service. Starbucks also focused on becoming “lean” like many of its competitors eliminating inefficacy wherever possible.

Value chain model
Primary Activities
Starbuck is the world largest specialty coffee retailer.
Support activities
Starbucks launch Starbucks digital networks, a portal design specifically for mobile devices.

2.      What is Starbucks business strategy?
Starbuck’s improved their business using several different strategies. For example, the company implemented a technology that allows customer to pay by using smartphone app.

3.   How much has technology helped Starbucks compete?
 Technology is the main platform for Starbucks’s to compete with others. This is because Starbucks digital networks to intimate with customer and at the same time to market their brands and products.

CHAPTER 7 : SECURITY INFORMATION SYSTEMS

CASE STUDY 7 : INFORMATION SECURITY THREATS AND POLICIES IN EUROPE   

1.What is the bonet?

Bonet is a network of autonomous malicious software agents that are under the control of a bot commander.

2.Describe some of the main points of the Digital Agenda for Europe.

The goal of  Digital Agenda for Europe to define the key role that information and communication technologies wiill play in 2020. Another goal is that broadband speed of 30Mps be available to all European citizens by 2020. In term of security, the initiative is considering the implementation of measures to protect privacy and the establishment of a well-functioning network of CERT to prevent cybercrime and respond effectively to cyber attacks.

3.Explain how a cyber attack can be carried out.

The attack was performed using a variety of technique, ranging from simple individual ping commands and massage flooding to more sophisticated distributed denial of service (DDoS) attacks. Hackers coordinated the attack by using a large number of compromised servers organized in a botnet distributed around the world. Once a computer is infected it becomes part of a network of thousands of “zombies,” machines that are commanded to carry out the attack.

4.Describe some of the weaknesses exploited by malware.

The weaknesses exploited by malware hackers had stolen codes that were then used to insert links to external servers containing malicious codes, infected computers could be under full control of the hackers and distrupt computer operation, gather sensitive information or gain access to private computer system.

CHAPTER 10: IMPROVING DECISION MAKING AND MANAGING KNOWLEDGE.

INTERACTIVE SESSION: TECHNOLOGY – Albassami’s Job Is Not Feasible Without IT. 

1.      What systems are described here? What valuable information do they provide?

The system needed the facility to serve specific sectors in the organization, in addition to providing information throughout the group. The system is based on clustered Dell servers running Windows 2003 and connected to over 270 Window XP clients. The database management system, used as the backbone of the system, is Sybase Adaptive server, whereas clients use SQL Anywhere. There is replication between the server at headquarters and the client’s branches. Throughout the replication, branches’ data is sent to the server and aggregated to create the most updated database version, and the sent back to the branches. This means every branch has the most recent version of the client list, trucks’ availability and new shipping contracts so that any customer is able to deal with any branch at any time.

 Entreprise-wide knowledge management systems are firm wide efforts to collect, store, distribute, and apply digital content and knowledge. Enterprise content management system provide databases and tools for organizing and storing structured documents and tools for organizing and storing semi structured knowledge, such as e-mail or rich media. Knowledge network systems provide directories and tools for locating firm employees with special expertise who are important sources of tacit knowledge. Often these systems include group collaboration tools, portals to simplify information access, search tools, and tools for classifying information based on a taxonomy that is appropriate for the organization. Enterprise-wide knowledge management systems can provide considerable value if they are well designed and enable employees to locate, share, and use knowledge more efficiently. From the study, digital form is the company had to establish several infrastructural components such as the computer network, backup system and security policy this enabled the implementation of various systems including time and attendance systems this has saved a lot of lost working hours and has been linked to the ERP. Next, website having an attractive and informative website has become a major need .the website helps many functional departments including marketing HR, sales, and customers services.

Lastly, Enterprise Resource Planning (ERP) is the company has picked Oracle E-business Suite after meeting planning what would really fit their needs. The modules chosen to help automate the business processes were: Oracle financials, inventory management, manufacturing sales and marketing, order management and procurement. CEO and it consultant involvement   in the project steering committee and adequate training and change management.

2.      What value did the IT/IS investments add to Albassami?

Since the system is based on clustered Dell servers running Windows 2003 and connected to over 270 Window XP clients. The database management system, used as the backbone of the system, is Sybase Adaptive server, whereas clients use SQL Anywhere. There is replication between the server at headquarters and the client’s branches. Throughout the replication, branches’s data is sent to the server and aggregated to create the most updated database version, and the sent back to the branches. The IT/IS investments add to Albassami achieving some strategic business objectives which are operational excellence, new products, customer and supplier intimacy, improved decision making and competitive advantage.

3.      How did implementing the Shipping Information System address the business needs and information requirements of Albassami?

The shipping information system used at Albassami maintains all the sender information such as the sent car, the truck number, the sender and receiving branches, and it also send an SMS to the client acknowledging the arrival of the car. The system also records the client’s data, and holds maintenance information. Linking the data of vehicle maintenance centers with the transportation service helps to enhance company performance and achieve better customer service. The system also enables standard reports to be provided to top management and head sectors about the productivity of each branch, resulting in accurate identification of needs for different regions and thus proper budget allocation. In addition, the system allowed a better audit on all drivers’ tracking information.

CHAPTER 12 : Ethical And Social Issues In Information Systems

CASE STUDY 12 : LIFE ON THE GRID – iPhone BECOME iTRACK

1.      Why do cell phone manufacturers (Apple, Google, and BlackBerry) want to track where their customers go?
        Generally, cell phone manufacturers have their own agenda in business perspective. And maybe the main reason is for money. As we all know, Apple and Google are company which has advertising platforms. They also firms that are building massive databases that can pinpoint customer location. So, advertising firms will pay them for that information and for distributing their mobile ads.        Apple transmits customer location data back to central servers once every 12 hours, and also stores a copy of the locations on the iPhone. Android phones transmit the location data continuously. Apple’s technology reads the signal strength of nearby Wi-Fi transmitters, identifies and maps the location, and then calculates the location of the iPhone device.        But Apple and Google say they do not share this information with third party, deny the information can identify individuals. In facts, Apple and Google claim that the information is being used only to identify the location of cell phones for Wi-Fi-connected phones, and improve the customer experience of location-based services. Moreover, both companies say the location information is needed for them to improve their services.

2.      Do you think cell phone customers should be able to turn tracking off? Should customers be informed when they are being tracked? Why or why not?
         Yes, I absolutely agree that cell phone customers should be able to turn tracking off. This is because sometime people want to be alone especially when having a conflict and need some fresh air and making the decision. So, by having the cell phone tracking may disturb people’s privacy.           Due to those factors, customer should be informed first when they are being tracked. It is more proper and efficient, if user can have a choice - on and off button – on using this cell phone tracking.

3.      Do you think cell phone tracking is a violation of a person’s privacy?
        Based on my understanding throughout my reading, I think that phone tracking is a violation of a person’s privacy is absolutely correct. Privacy is the claim of individuals to be alone, free from surveillance or interference from other individuals or organizations or organizations, including the state. Information technology and systems threaten individual claims to privacy by making the invasion of privacy cheap, profitable, and effective.          Clearly, we can see that by existing of cell phone tracking can give a golden opportunity to criminal or enemy. Yes, there are lots of advantages that we can get from cell phone tracking which it can give you a wonderful experience. But also you need to see from a negative view that which it might turn you to an anxiety moment. SAFETY FIRST! That is more important. As we know, mobile technologies based on the smartphone make it possible to locate people throughout the day, to report this information to corporate data bases, retain and analyze the information.           Meaning that, we have no place to hide ourselves from people. In other word, we have no right to be in privacy. This is not fair! 

CHAPTER 11: Building Information System And Managing Projects

CASE STUDY 11: DST SYSTEMS SCORES WITH SCRUM AND APPLICATION LIFECYCLE MANAGEMENT

1.      What were some of the problems with DST System’s old software development environment

Some of the problems with DST System’s old software development environment are this development group had used a mixture of tools, processes, and source code control systems, without any unified repository for code or single developer tool set. Different groups within the organization used very different tools for software development, like Serena PVCS, Eclipse, or other sources code software packages. Processes were often manual and time consuming.  Managers were unable to easily determine how resources were being located, which of their employees were working on certain projects, and the status of specific assets. Its typical development schedule was to release a new version once every two years, but competitors were releasing version faster. DST knew that it needed a better method than the traditional “waterfall” method for designing, coding, testing, and integrating its products. In the waterfall model of software development, progression flows sequentially from one step to the next like a waterfall, with each step unable to start until the previous step has been completed. While DST had used this method with great success previously, DST began searching for viable alternatives.

2.      How did Scrum development help solve some of those problems?
DST tried Scrum with its existing software development tools and experienced strong results. The company accelerated its software development cycle from 24 to 6 months and developer productivity increased 20 percent, but Scrum didn’t work as well as DST had hoped with its existing tools. Processes broke down and the lack of standardization among the tools and processes used by DST prevented Scrum from providing its maximum benefit to the company. DST needed an application lifecycle management (ALM) product that would unify its software development environment. DST set up a project evaluation team to identify the right development environment for them. Key factors included cost-effectiveness, ease of adoption, and feature-effectiveness. DST wanted the ability to use the new software without significant training and software they could quickly adopt without jeopardizing AWD’s development cycle. After considering several ALM products and running test projects with each one, DST settled on CollabNet’s offering, Team Forge, for its ALM platform.

3.      What other adjustments did DST make to use Scrum more effectively in its software projects? What people, organization, and technology issues had to be addressed?
The CollabNet specializes in software designed to work well with agile software development methods such as Scrum. So from the article is DST adapted Collabnet’s subversion product to help with the management control of changes to project documents, programs, and other information stored as computer files. DST adaption of Collabnet because their products is so fast in only 10 weeks. The management organization and the technology Jerry Tubbs, The system development at DST system, says DST was successful in attempts to revamp the software group because some factors.1) looked for simplicity rather than complicated 2) Involved developers in the decision making process to ensure that change to be greeted enthusiastically 3) Allow for the developers to adopt ALM software on their own. Also the company was successful because they selected the right development framework as well as the right software to make that change a reality and skillfully managed the change process.

CHAPTER 8 : Achieving Operational Excellence And Customer Iintimacy - Enterprise Application

CASE STUDY 8 : CUSTOMER RELATIONSHIP MANAGEMENT HEADS TO THE CLOUD

1. What types of companies are most likely to adopt cloud-based CRM software services? Why? What companies might not be well- suited for this type of software?

The traditional enterprise software vendors like Oracle are using their well established position to grad a share of the cloud-based application market; newcomers like Right Now, Compiere, and Sugar CRM have found success using some different tactics. Because most companies that are interested in cloud computing are small or midsize and lack the know-how or financial resources to successfully build and maintain CRM applications in-house. However, the large companies have made the switch to cloud. Company officials were hoping to eliminate maintenance and administrative costs, but not at the expense of a storage system that meets their requirements, were never out of service, and worked perfectly.

2. What are the advantages and disadvantages of using cloud-based enterprise applications?

The cloud-based advantages as it attempted to merge information from different sources, and many smaller companies have taken advantage of a new type of cloud computing. For example, cloud-based applications can merge customer data 25 disparate sources and applications into a single system. The systems automates customer service functions including order conformations, follow-up customer satisfaction surveys, and shipping notifications. Besides that, the system tracks field activities for more than 10,000 accounts, with automated reports and dashboards monitoring key performance indicators, sales calls, and sales volume.

Disadvantage is that company officials were hoping to eliminate maintenance and administrative costs, but not at the expense of a storage system that met their requirements, was never out of service, and worked perfectly and they will cost a lot of money from enterprise. Besides that, companies that manage their CRM apps with a cloud infrastructure have no guarantee that thei data will be available at all times, or even that the provider will still exist in the future.

3. What management, organization, and technology issues should be addressed in deciding whether to use a conventional CRM system versus a cloud-based version?

Nikon found that not only Right Now had the capability to implement that system, but also it had an array of other useful services. When Nikon discovered that it could combine outbound e-mail, contact management, and customer records into a single system in Right Now’s cloud, it made the move, expecting to receive a solid return on the investment. However, more customers found the information they needed on the Web, call response times dropped by 50 percent, and incoming e-mail dropped by 70 percent. While Nikon still hosts its SAP ERP system internally due to its complexity, Nikon switched its entire CRM system to Right Now. Companies that manage their CRM apps with a cloud infrastructure have no guarantees that their data will be available at all times, or even that the provider will still exist in the future.

CHAPTER 6 : Telecommunications, the internet, and wireless technology

CASE 6 : MONITORING EMPLOYEES ON NETWORK

                - UNETHICAL OR GOOD BUSINESS

 

1.      Should mangers monitor employee email and Internet usage? Why or why not?  

 From our opinion, managers should monitor their employee’s email and Internet usage. According to a Nucleus Research Study, 77% of workers with Facebook accounts use them during work hours.  This behavior creates serious business problems. Checking e-mail responding to instant messages, or sneaking in a brief Youtube video create a series of nonstop interruptions that divert employee attention from the job task they are supposed to be performing. Many companies have begun monitoring employee use of email and the Internet, sometimes without their knowledge.

      Based on the American Management Association (AMA) and the ePolicy Institute found that two out of three of the small, medium and large companies surveyed monitoring Web use. Message and text message monitoring are also increased. Managers worries about the loss of time and employee productivity when employees are focusing on personal rather than companies business. too much time on personal business translates into lost revenue. Some employees, may even be billing time they spend pursuing personal interests online to clients thus overcharging them.

      If personal traffic on company network so that legitimate business work cannot be performed. Schemer Associates, an architecture firm in Omaka, Nebraska and Pptomas Hospital in Woodrige, Virginia, found that computing resources were limited by a lack of bandwidth cause by employees using corporate Internet connections to watch and download video files. Employees use e-mail/ Web (include social network) at employer facilities or with employeer equipment, anything they do, including anything illegal, carries the company’s name. the employee can be traced and held liable.

2.      Describe an effective email and Web use policy for a company.
Survey from the American Management Association (AMA) and the ePolicy Institute found that two out of three of the small, medium and large companies surveyed monitored Web use. Instant Messages and text message monitoring are also increase. When employees uses email or the Web (including social network) at employer facilities or with employer equipment, anything they do, including anything illegal, carries company’s name. the employer can be traced and held liable. Another survey conducted by AMA and the ePolicy Institute found that 14% of the employees poled admitted they had sent confidential or potentially embarrassing company email to outsiders. U.S companies have the legal right to monitor what employees are doing with company equipment during business hours. Others block employee access to specific Web sites, or social sites, closely monitor email messages or limit personal time on the Web.
3.      Should managers inform employee that their web behavior is being monitored? Or should mangers monitor secretly? Why or why not?
We think that the manager should inform the employee that their Web behavior is monitored. If the manager let the employees know about their computers are monitored, the employees will avoid from using their personal business. Then, they will concentrate during their work hours. System failure is not the only potential problem. However, unscrupulous or apathetic employee who choose to forget what the Internet and email are there for , can be just as damagin.Manager should inform employee because they are spend lots of time when using Internet. So, time and productivity losses by employees using company time to visit non-business site. After that, bandwidth limitation when personal internet use clogs up network access. The main problem that company would be faced is the security threat which is the hacker or harmful applets enter the corporate network from unsecured websites.Employees who are aware they are being watched are likely to spend more time working and considerably less time on personal matters. This translate to an increase in productivity and considerable cost savings by increasing a company’s return on investment.Without monitoring system in place, some employees may feel loke they can do whatever they want. On the other hand, I f employees feel lke they being monitored, they may not go to certain sites in the first place.  

CHAPTER 5 : Foundations of Business Intelligence: Databases and Information Management

CASE STUDY 5: MONITORING EMPLOYEES ON NETWORKS UNETHICAL OR GOOD BUSINESSS?

1.  Should managers monitor employee email and internet usage? Why or why not?
     
   I think managers should monitor employees’ email and internet usage during work time. Employees are paid to work. They have a common goal to maximize company’s wealth. Anything beyond this goal should not be done during work hours. As the article said, if employee is caught doing illegal activities online while they are working, the company will be sued. It is wasting company’s resources on unnecessary dispute. Monitoring employee email and internet usage may temporarily reduce employee’s morale. They will not feel free when they use computer. As the time goes by, they may get used to it. The rule will guide they act properly online when they are working. In the long run, it helps company to conduct business efficiency and effectively. Hundred percent of company’s resources is working for generate revenue.
   
   
   
   
   2.      Describe an effective email and web use policy for a company.
   An effective email and web use policy should include clear guide line what action is permitted and what is not, such as racist and sexually explicit has to be banned. Any employee step inside the banned area could be fire immediately. Also, managers could make the policy flexible. They could allow employee doing non work-related legal online surfing and email during break time and lunch time with limited speed load. If they occupied too much speed load, the regular online traffic will be blocked which could damage both hardware and software on company’s server. Since the policy is adopted, everyone in the company should work base on it, even include managers because employee will not be convinced if they see their boss does personal activities online during work time. Furthermore, everyone’s online activities should be kept in privacy as long as it is legal. Managers do not have the right to ask employee what they do online during break time and lunch hour. Also company has the responsibility to maintain the hardware and software which block spam because it could because employees read non-work related information from their email inbox and hardly to find a legitimate email among hundreds spam.
   
   
     
   3.      How does RFID technology threaten individual privacy? Should retailers have a RFID privacy policy? Why or why not? What issue should the privacy policy address?
   
   
   RFID is a technology, which tags are attached by manufacturers or sellers in order to track products’ information. It could minimize the lost, stole and defection of a product. RFID could threaten individual’s privacy. Since the tags are wireless connected with central server, wherever the product goes, it will eventually monitor by the server. After you use credit card or debt card to purchase, your information such as name, date of birth, address and even income record is collected by RFID tag. As more and more products you buy, your buying habit is tracked by RFID without your consent. It violates customer’s privacy. Retailers should have a RFID privacy policy when they implement RFID technology. It is a guide line that shows what retailers must do and must not do after they collect data. Also, it shows to customers how retailer will do with those data and how long the data will be deleted. Even some credit card information is collected; retailers have to make sure they will not share the information with other party. The more transparent business is conduct, the more confidence customers have. The potential use of RFID does not conflict with Canadian privacy legislation at the federal and/or provincial level. Canadian government has privacy law deal with electronic information which is called PIPEDA. It clearly states the information collected and shared must have the person’s consent and full knowledge of how data will be used.  RFID could find a way to collect customer’s information inside boundary of PIPEDA, such as obtain consent from customer and show them the purpose of gathering information. The law provides a legal assurance to customer. If any business violates the law, they will be sued. 

CHAPTER 4 : Achieving Competitive Advantage with Information Systems

INTERACTIVE SESSION: PEOPLE.

Should You Use iPhone For Work.

1.      What are the advantages and disadvantages of allowing employees to use their personal smartphones for work?

Advantage

·         Employees using their own smartphones would allow companies to enjoy all of the same benefits of a mobile workforce without spending their own money on these devices.

·          This made it easier to keep track of each mobile device and to roll out software upgrades or fixes, because all employees were using the same devices, or at the very least, the same operating system.

·         BlackBerry mobile devices access corporate e-mail and data using a proprietary software and networking platform that is company-controlled and protected from outsiders.

·         Effective way to keep track of all the devices employees are using.

·         Companies will need to quickly and flexibly ensure that their employees are still able to remain productive.

Disadvantage

·         Using personal devices for business poses difficult problems for companies, including security, inventory management, support, integrating mobile devices into pre-existing IT functions and systems, and measuring return on investment.

·         The mobile digital landscape is much more complicated, with a variety of devices and operating systems on the market that do not have well-develop tools for administration and security.

·         With the variety of phones and operating systems available, providing adequate technical support for every employee could be difficult. When employees are not able to access critical data or encounter other problems with their mobile devices, they will need assistance from the information systems department.

2.      What people, organization and technology factors should be addressed when deciding whether to allow employees to use their personal smartphones for work?

People

·         If people are allowed to work with more than one type of mobile device and operating system, companies need an effective way to keep track of all the devices employees are using.

·         When employees make changes to their personal phone, such as switching cellular carriers, changing their phone number, or buying a new mobile device altogether, companies will need to quickly and flexibly ensure that their employees are still able to remain productive.

Organization

·         A firm’s software development teams can benefit from having one person specifically focused on ensuring that new applications will be easily usable and useful on smartphone.

·         Applications and software can be used on mobile devices to connect to the firms existing IT platform and company-wide CRM, SCM and ERP systems, a business smartphone is just a phone, and mobility experts can help a company leverage mobility more effectively.

Technology

·         There are significant concerns with securing company information accessed with mobile devices.

·         Allow them to wipe data from devices remotely, or encrypt data so that if a device is stolen, it cannot be used.

3.      Allowing employees to use their own smartphones for work will save the company money. Do you agree? Why or why not?

Agree

·         Company can outsource the cost of devices, monthly service, and even some applications to employees.

·         Companies can save their budget for employees that basically give employees access to all the information they need to do their jobs from their personal devices.

·         To reduce the number of subsidized plans and even eliminate subsidies altogether for employees who don’t meet certain classifications.

·         The concept is that companies can save money by allowing their employees to use their own devices to access the tools they need to do their jobs.