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Book Contents

Ch. 2
Gaining Competitive Advantage with DSS

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Audit Questions

    1. Does the firm have any Strategic Information Systems?
    2. Is IS/IT planning and strategy focused on strategic questions?
    3. Is IS/IT used appropriately given the company's situation?
    4. Are business processes designed for effective use of IS/IT?
    5. Has the corporate culture had a positive or negative impact on the IS/IT strategy the firm is implementing?
    6. Has the firm examined its business processes from a customer service and information technology perspective?

Questions for Review

    1. What criteria must a Decision Support System meet if we are to conclude it provides an organization with a competitive advantage?
    2. What is an example of a DSS that provides a company with a competitive advantage? Define competitive advantage.
    3. What are the potential benefits of a Decision Support System?

Questions for Further Thought

    1. Why do managers want to create a competitive advantage for their organization?
    2. Why do managers investigate information systems and information technologies as potential sources of competitive advantage?
    3. DSS can often be very costly to design, build, implement and maintain. The failure rate can be 50% or more for some systems. How much risk should managers accept as they search for a competitive advantage?
    4. How can a DSS change the competitive dynamics in an industry? Provide new services? Provide new products?
    5. What is the impact of Information Systems and Information Technology on organizations?

An Internet Exercise

Use a search engine and visit the web sites of Frito-Lay, L. L. Bean, and Mrs. Field’s Cookies and try to update the information provided in the chapter. Do their DSS and Strategic Information Systems continue to provide a competitive advantage?

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