Directions: Read the questions and answer the following questions.

1. Which features of organizations do managers need to know about to build and use
information systems successfully? What is the impact of information systems on
organizations?
To properly develop and use information systems, managers must first consider
the basic aspects of organizations. Modern organizations are bureaucratic, specialized,
and unbiased in design. Organizations and knowledge structures have an effect on one
another. Managers create information infrastructure to satisfy the needs of their
companies.
Around the same time, in order to profit from emerging technology, the
organization must be mindful of and accessible to the influences of information systems.
Many mediating influences, such as the organization’s structure, organizational practices,
politics, history, surrounding atmosphere, and management decisions, affect the
relationship between information technology and organizations. Simultaneously,
information infrastructure must be designed to meet the demands of important
organizational entities, and this will be shaped by the organization’s culture, business
practices, goals, culture, policy, and management. Communication systems minimize
transaction and agency costs, and these benefits are amplified by organizations that use
the internet. New innovations still face intense resistance when they are introduced
because they contradict current work and power relationships.

2. How does Porter’s competitive forces model help companies develop competitive
strategies using information systems?
The firm’s geographical role is calculated using Porter’s five templates. It also
defines what they can do to be more efficient against competition by using information
technology. This increases the productivity of the enterprise. Companies may compete by
reducing costs, differentiating products or services, specializing in a market niche,
improving customer and supplier relationships, and raising entry barriers by high
operational excellence levels.
3. How do the value chain and value web models help businesses identify opportunities for
strategic information system applications?
Specific business processes on which strategic policies and information innovations
may have the greatest influence are defined by the value chain model. According to the
model, the business is seen as a set of key and supporting activities that add value to a
company’s products or services. In outsourcing choices, the supply chain is also useful. By
leveraging their value web relationships, businesses may be able to make fast choices about
who will produce the appropriate goods or services at the correct price and venue, reducing
time to market and increasing customer satisfaction.

4. How do information systems help businesses use synergies, core competences, and
network-based strategies to achieve competitive advantage?
It improves the firm’s competency by fostering synergies, network-based tactics, and
key competencies. Information technology helps businesses leverage their core competencies
by enabling knowledge exchange through business divisions. Knowledge technology
simplifies market models that depend on large networks of users or clients to benefit from
network economics. A virtual enterprise strategy links organizations through networks so that
they can produce, market, and distribute products and services using other companies’
technology. In business settings, several businesses partner to deliver value to customers.
Information systems enable a dense network of links between the companies concerned.