Term Paper on "Organization Value Chain"
Term Paper 4 pages (1073 words) Sources: 1+
[EXCERPT] . . . .
Corporate it and the Value ChainAn organization Value Chain
Corporate information technology (it) is a term that encompasses all forms of technology used to create, store, exchange, and use information in its various forms (business data, voice conversations, still images, motion pictures, multimedia presentations, etc.) within an corporation. It includes both telephony and computer technology, and it is the technology that is driving what has often been called the information revolution. The contribution of the it sector is credited with holding down inflation and improving overall productivity. The Internet is the latest kinds of communication channels used by it hardware that has enabled new industries and created significant new value (Weill, 1992). The Internet has also helped spawn a substantial migration of value away from old economy businesses and into new economy businesses.
The concept of a value chain was first developed to identify the sources of cost and value along a manufacturing continuum. The value chain started with raw materials and ended with the end user, or consumer. The value chain is a useful tool to understand business processes, and to clearly identify the activities that must be performed to convert inputs into outputs that customers will value. Although there seems to be widespread agreement within the electronic business community that the traditional manufacturing value chain has been de-constructed, a new model has not yet emerged to take its place.
Discussions
According to Porter (1985) a value chain, both material and information flow. The primary, value-adding activities i
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Information technology is a major factor that exerts a powerful force on business value chain. The growing and ubiquitous use of information technology across the value chain enables collaborative and cooperative opportunities between people in time and space. The collaborative links between value chain and people have enabled the concept of partnerships, allowing people to work together for achieving a common goal. When time is a major competitive factor, it becomes a major force to leverage the potential of the value chain.
The ubiquitous use of the it has spawned business transformation of the value chain that provides an organization the capability to increase the efficiency and effectiveness of the value chain activities. It helps not only in efficient processing of information but also aids in handling large volume of transactions seamlessly, tracking customers' preferences in products and services, accepting payments, and updating customer accounts correctly. In understanding the role of corporate it in the value-chain becomes a priority for the management to increase the business productivity.
By coordinating these activities effectively, an organization can reduce transaction costs, gather better information for control purposes, and substitute less costly operations in one activity for more costly ones elsewhere. Coordinating linked activities is also an important way to reduce the combined time required to perform them. So coordination between the value chain activities is increasingly important to competitive advantage.
Corporate it can change the dynamics of competition by increasing the flow of information between customers, suppliers, and manufacturers. For example, a customer order that is entered through… READ MORE
Quoted Instructions for "Organization Value Chain" Assignment:
Analyze and deconstruct the existing Value Chain (Porter, 1985) of an organization by defining the role of corporate IT within it and discuss areas of unrealized potential.
Use the following outline:
Introduction:
Introduce the topic and set the tone for your discussion/analysis
Discussion:
Discuss the topic and present your thesis
Conclusion
Extract and present in concise form the major outcomes of your discussion/analysis.
How to Reference "Organization Value Chain" Term Paper in a Bibliography
“Organization Value Chain.” A1-TermPaper.com, 2005, https://www.a1-termpaper.com/topics/essay/corporate-value/4237087. Accessed 5 Oct 2024.
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