TOPIC 2
INFORMATION AND
COMPETITIVE ADVANTAGE
Today,
I want to write the review toward my reflective. Our topic today is information and
competitive advantage. As Howard et al,
(1999) believed if ISs design and strategy development are addressed
simultaneously, Strategic competitive advantage can be gained (Howard et al,
1999). Porter’s model identifies the forces that influence competitive
advantage in the marketplace.
Let’s
I explain about the model. for
substitute product and services means when our prices too high, substitute
customers can purchase for example Internet music service. Next is customers, how to attract and retain the customers to stay our product.
Thirdly is suppliers. If the
organization have more supplier, so the great control can exercise over the
suppliers. Lastly is new entrants. It
shows new competitors entering the market.
The increase the new entrant, the increase consumer demand.
Now
let’s see the role of information technology.
It the class, Dr said there have three role that is can substantially
increase process efficiencies, improve communication and facilitates
collaboration.
From
my view, the role of technology very helping in our nowadays. Rather than it very fast and effective, we
can communicate fast although far or near.
Other than that, it also reflect the efficiencies of our business
operation.
There
have five competitive strategy:-
1) Cost
leadership: it
help the supplier or customers to reduce cost, so that we can increase cost to
the competitors. But, the competitors
will be more challenges.
2) Differentiation strategy.:
when we make the differentiation in firm’s product, so we already make a
creativity in business.
3) Innovation strategy:
the company must always the product to make sure the product up to date with
nowadays changes.
4) Growth strategy:
it means, we always expend our market in
term to increase market more big.
5) Alliance
strategy: it
means we establish linkage and alliance with customers, supply, competitors,
consultant and so on. so, the strategy
also include the mergers, acquisitions, joint ventures, virtual companies and
so on.
From
my view, every day, we will faced new challenge, new competitors. So, we must think forward and try to estimate
the future chance to improve our self by
others competitors. It give our experience n to plan the
strategic ways.
In
addition from the class with Dr Roya, I more understand that Information And
Competitive Advantage are related each other.
Other than that, the goals organization must achievable n it will
reflect the efficiency, effectiveness and productivity. And, how to know it efficiencies?? So, we can
measure based output divided by input.
And, the feedback very important to see the changes to input, so next
result will produce the best output.
Reference:
Davenport,
T. H. (1999). Process Innovation: Reengineering Work through Information
Technology. Boston: Harvard Business School Press, 1993. Dell,
M., Keynote Address
at the Direct Connect Conference,
Austin, Tx, August 25, 1999.
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