SESSION 1

Learning Objectives:

I. How are information systems transforming business, and why are they so essential for
running and managing a business today?

1. How can your company win in digital era?

=> Fast fish > Slow fish ; A union of small fish > A big fish
=> Áp dụng phương thức cho thuê cây trồng: Mô hình nhận nuôi cây tại TQ (ai thích loại quả
nào thì nuôi loại quả ấy)
=> Applied AI for everything in the business

2. Customer categories for digital transformation (from SAP)

- The Game Changer (Transformation): Các cty vừa và lớn, đã trải qua quá trình chuyển đổi
mạnh mẽ + Từng quản lí dãy các cty lớn, đạt sự phát triển bền vững và hiệu quả doanh nghiệp.
- The Disruptor (Innovation): Các cty tìm ra các giải pháp sáng tạo để qua thời kì khó khăn + Tạo
thị trường mới cho chính mình hoặc áp dụng cnghe vào mô hình kinh doanh.
- The Small & Mighty (Emerging): Các cty nhỏ mà mạnh, đang nổi, phát triển bền vững + Mở
rộng ra thị trường quốc tế.
- The X Factor (Customer Experience): Các cty đặt KH lên hàng đầu + Tạo trải nghiệm KH thông
qua chuyển đổi số.
- The Rising Star (Promising Start-ups): Các cty đang nổi có ý tưởng độc đáo về thương mại + Có
tiềm năng trong thgian dài.

DIGITAL TRANSFORMATION + DIGITALIZATION + DIGITIZATION

 DO RIGHT THINGS RIGHT!
 Challenges: Lack of Talent, Skills; High Cost; Insecured Data; Legacy; …

3. How information systems are transforming business and what news?

• IT Innovation
• New Business Models
• E-commerce Expansion
• Changes management in firms and organization

4. Strategic Business Objectives of Information Systems

Firms invest heavily in information systems to achieve six strategic business objectives:
- Operational excellence: higher profitability, greater efficiency and productivity
- New products, services, and business models (Eg. Examples: Netflix, Btaskee, Grab,
Lazada)
- Customer and supplier intimacy:
• Serving customers well => Customers returning and purchasing more => Revenues and profits
• Intimacy with suppliers
 - Improved decision making: Without accurate information: use forecasts, best guesses,
luck => • Overproduction, underproduction • Misallocation of resources • Poor response
times => Poor outcomes, raise costs, lose customers
- Competitive advantage: better performance, charging less for superior products, in real
time (Eg. Apple, Walmart, UPS)
- Survival: necessity of business, industry-level changes, governmental regulations

II. What is an information system? How does it work? What are its management,
organization, and technology components? Why are complementary assets essential
for ensuring that information systems provide genuine value for organizations?

1. What Is an Information System?

- Information system: • Set of interrelated components • Collect, process, store, and
distribute information • Support decision making, coordination, and control.
- Information vs. data: • Data are streams of raw facts. • Information is data shaped into
meaningful form (Data chỉ đơn giản là số và tên, nhìn vô đọc ko hiểu còn Information là
số liệu dc chia thành các mục, đọc vô hiểu số liệu đó là gì)

2. Functions of an Information System

- Information about an organization and its surrounding environment.
- 3 basic activities - input, processing, and output
- Feedback
- Environmental actors (such as customers, suppliers, competitors, stockholders, and
regulatory agencies)

3. Dimensions of Information System

- Organization: 3 principal levels: senior management, middle management (Scientists &
Knowledge Workers), and operational management (Production & Service + Data
Workers).
- Management: Managers set organizational strategy for responding to business
challenges; creating new products and services; occasionally re-creating the
organization; decision making; team management.
- Technology: Computer hardware and software; Data management technology;
Networking and telecommunications technology; IT infrastructure (provides platform
that system is built on).

4. Perspectives
• A business perspective: information systems are part of a series of value-adding activities for
acquiring, transforming, and distributing information that managers can use to improve decision
making, enhance organizational performance, and, ultimately, increase firm profitability
• A sociotechnical perspective: the performance of a system is optimized when both the
technology and the organization mutually adjust to each other until a satisfactory fit is obtained.
 SESSION 2

Learning Objectives:

1. Business Processes – Information System

- Business processes: • Flows of material, information, knowledge • Sets of activities,
steps • May be tied to functional area or be cross-functional
- Businesses: Can be seen as collection of business processes

- Functional Business Process

2. How Information Technology Improve Business Processes?

• Increasing efficiency of existing processes
• Enabling entirely new processes: • Change flow of information • Replace sequential steps with
parallel steps • Eliminate delays in decision-making • Support new business models

3. Systems for Different Management Groups

• Transaction processing systems (TPS):
- Operational
- Perform and record daily routine transactions
- Monitor status of operations
- Predefined, structured goals and decision making

• Business intelligence: organizing and analyzing data, for managers and users

4. Systems for Collaboration and Social Business

Tools for collaboration and teamwork:
• E-mail and instant messaging
• Wikis
• Virtual worlds
• Collaboration and social business platforms: Virtual meeting systems (telepresence), Cloud
collaboration services (Google Drive, Microsoft Onedrive), Microsoft SharePoint and IBM Notes,
Enterprise social networking tools
 5. Systems for Linking the Enterprise
• Enterprise Applications

- Enterprise Resource Planning (ERP): Collects data from different firm functions and
stores data in single central data repository; Resolves daily problem of fragmented data
- Supply Chain Management (SCM): relationships with suppliers, Share information
(orders, shipping, services, production, inventory), right amount of products, least
amount of time and lowest cost
- Customer relationship management (CRM): Provide information that deal with
customers (sales, mkt,etc.), attract customer
- Knowledge management systems (KMS): How to create, produce, deliver products and
services
• Intranets and Extranets
- Intranets: Internal company Web sites accessible only by employees
- Extranets: Company Web sites accessible externally only to vendors and suppliers; Often
used to coordinate supply chain

6. E-business, E-commerce, and E-government

- E-business: Use of digital technology and Internet to drive major business processes
- E-commerce: Subset of e-business; Buying and selling goods and services through
Internet
- E-government: Using Internet technology to deliver information and services to citizens,
employees, and businesses

7. The Information Systems Function in Business

Information systems department; End users; IT Governance
 SESSION 3

Learning Objectives:

I. What is the impact of information systems on organizations?

The Impact of Information Systems on Organizations

- Economic impacts:
• Changes costs of capital and information
• A factor of production (capital and labor)
• The cost and quality of information: IT: reduce transaction costs and agency costs
- Organizational and behavioral impacts:
• Decision making: lower levels.
• Fewer managers
 Flattens organizations
• Relies on knowledge and competence

II. How do Porter’s competitive forces model, the value chain model, synergies, core
competencies, and network economics help companies develop competitive
strategies using information systems?

1. Michael Porter’s competitive forces model

- Traditional competitors:
Share market space with competitors: new products, services, efficiencies, and switching costs
- New market entrants:
Some industries have high barriers to entry (costly), new companies have new equipment,
younger workers, but little brand recognition.
- Substitute products and services:
Substitutes customers might use if your prices become too high (iTunes for CDs)
- Customers:
The power of customer grows, force businesses to compete on price, little product
differentiation
- Suppliers:
Market power of suppliers: firm cannot raise prices as fast as suppliers

2. Strategy for DX

3. Value Chain Model

 4. Synergies and Core Competencies
- Synergies:
Output of some units used as inputs to others (Purchase of YouTube by Google)
- Core competencies:
World-class leader, relies on knowledge, experience, and sharing

5. Network economics
• Marginal cost of adding new participant almost zero
• Value of community
• Value of software grows as installed customer base grows

6. Business ecosystems
• Industry sets of firms: services and products
• Keystone firms: Dominate ecosystem and create platform used by other firms
• Niche firms: Rely on platform of keystone firm
• Individual firms: Consider how IT will help them become profitable niche players
 SESSION 5

Learning Objectives:

I. What is IT infrastructure, and what are the stages and drivers of IT infrastructure
evolution?

1. IT Infrastructure
A set of physical devices and software applications

2. Moore’s Law (Doubling on each square)

Technology drivers of infrastructure evolution:
• Computing power doubles every 18 months
• Nanotechnology
• The amount of data being stored each year doubles

3. IT Infrastructure has seven main components

II. What are the current trends in Information Technology?

1. AI, Generative AI
Artificial intelligence (AI) is the simulation of human intelligence processes by machines,
especially computer systems.

2. GPT
Generative Pre-trained Transformer is a machine learning model with a neural network
structure trained using internet data to generate text.

3. Wearable Computing Devices

Mobile digital platform: smartwatches, smart glasses, smart ID badges, and activity.

4. Cloud Computing
- On-demand (utility) computing services
- Advantage: Minimize IT investments
- Disadvantage: oncerns of security, reliability
- Public or Private (on premises), Hybrid cloud

5. Edge Computing
6. Quantum Computing
7. VR/AR, Metaverse
8. Autonomous vehicle

9. Big Data
• Massive sets of unstructured/ semi-structured data from Web traffic, social media, sensors
• Petabytes, Exabytes

10. Blockchain
• A chain of digital blocks that contain records of transactions
• Each block contains a timestamp and link to all the blocks before and after it
• Once a block of data, cannot be modified backwardly

11. Web Services (Traveloka)

12. Online Analytical Processing (OLAP)

• Supports multidimensional data analysis
• Viewing data using multiple dimensions
• Product, pricing, cost, region, time period…

13. Data mining, Text mining, Web mining

14. Web 3
III. Why is securing information systems important?
 SESSION 6

Learning Objectives:

I. What is ERP (Enterprise resource planning), CRM (Customer Relationship

Management) and SCM (Supply Chain Management) System?

1. Enterprise systems (ERP) - Enterprise resource planning

• Integrated software, a common central database
• Many divisions of firm
• Entered in one process is immediately available for other processes

2. Customer relationship management (CRM)

• Capture and integrate customer data
• Consolidate and analyze
• Distribute customer information across enterprise
• Single enterprise view of customers

3. SAP SCM

II. How do customer relationship management systems help firms achieve customer
intimacy?

1. Customer Data

2. Customer Journey
 3. CRM Software
• Packages range from niche tools to large-scale enterprise applications.
• Partner relationship management (PRM) or Distribution Management System (DMS)
• Multifaceted perspective
• A set of integrated applications (customer service, sales, and marketing)

4. CRM Software Capabilities

- Operational CRM: Sales force automation, call center and customer service support, and
marketing automation
- Analytical CRM: Data warehouses from operational CRM systems and customer touch
points, customer data (OLAP, data mining, etc.)

5. Business value of CRM systems

• Increased customer satisfaction and loyalty
• Reduced direct-marketing costs
• Increase Churn rate
• More effective marketing
• Lower costs for customer acquisition/retention
• Increased sales revenue

III. How do supply chain management systems coordinate planning, production, and
logistics with suppliers?

1. Supply Chain Management Systems (SCM)

• Network of organizations and processes for: Procuring materials, transforming them into
products, and distributing the products
• Upstream supply chain: Suppliers, processes for managing relationships
• Downstream supply chain: Organizations, processes for delivering products to customers
• Internal supply chain
 2. Information System and Supply chain management help
• Inefficiencies cut
• Just-in-time strategy
• Safety stock
• Bullwhip effect

3. The Bullwhip Effect

Minor fluctuations in demand be amplified as one moves

4. SCM Software
- Supply chain planning systems:
• Model existing supply chain
• Enable demand planning
• Optimize sourcing, manufacturing plans
• Establish inventory levels
• Identify transportation modes
- Supply chain execution systems:
• Manage flow of products through distribution centers and warehouses

5. Push- Versus Pull-Based Supply Chain Models

6. The Emerging Internet-Driven Supply Chain

• A digital logistics nervous system
• Firms, networks of firms, and e-marketplaces
• Immediately adjust inventories, orders, and capacities.

7. Business value of SCM systems

• Match supply to demand; reduce inventory levels
• Improve delivery service
• Speed product time to market
• Use assets more effectively
• Reduced supply chain costs lead to increased profitability
• Total supply chain costs can be 75 percent of operating budget
• Increase sales

8. Enterprise application challenges

• Expensive to purchase and implement
• Technology changes
• Business process changes
• Organizational learning, changes
• Switching costs
• Data standardization, management, cleansing