Business Information Systems
Business Information Systems ISM 50
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This 3 page Class Notes was uploaded by June Dickinson on Monday September 7, 2015. The Class Notes belongs to ISM 50 at University of California - Santa Cruz taught by John Musacchio in Fall. Since its upload, it has received 122 views. For similar materials see /class/182167/ism-50-university-of-california-santa-cruz in Information Systems Management at University of California - Santa Cruz.
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Date Created: 09/07/15
ISM 50 Business Information Systems Lecture 6 Instructor John Musacchio UC Santa Cruz October 14 2008 l ClOSS Announcements I Reading for next time a Cisco Case I Assignment 2 due Thursday I Folio 1 due Thursday next week 1023 I Business Paper Proposal Due in 1 week l ClOSS Announcements I Project proposals due in 7 daysll a 12 pages a Give a plan what you will do a Cite some references and show that you have started your research a See website for more details I Speakers next class I Jason Liang Cisco Case I Aaron Harlan News l ClOSS Announcements 0 Office Hours a Ning Bao 24 pm Monday and Friday I nbuoucsc edu a John Musacchio 215315pm Wednesday I E2 557 l Student Talks l Frito Lay Review I Market Salty Snacks a Who owns Frito Lay I Competitors a we Pringles a Anheuser Busch Eagle Snacks a Borden Wise Chips a Small Regionuls I Sales Force a 10000 people D Drive around in trucks sell and deliver snacks l Frito Lay Review Growth a In the 70s double digitquot u Mid 80s slowed to single digit a Foreign Expansion Not for FritoLuy division because PepsiCo has a separate international snacks div Good n Several top brands Bad u Monolithic national approach l FritoLay Segmentation u Supermarkets u updown streetquot Regionalized Micro Marketing a Targeted smaller brands to regional customers Hand Held Computer a Small computer for each salesperson to cary around a Log sale transaction data l FritoLay l H 3 stated objectives a Replace optical scanner system used now IBM will stop supporting it soon a 7 hour I er da I er driver I a erwork reduction a Marketing effectiveness I Detailed sales u will help make regional marketing decisions u Negotiate witl stores for more shelf space HC Project Good Idea Yes N01 9 lzeplaced optical scanner 5 tom a a Expensive tli t IBMwould stop supporting soon o more than 50 million Saves sales force time 25 0 Risk iio slerweeklerdrver o Might not work technically Detailed sales data supports o Sales force might not like it lzegionalized mar t ng Already upset about otia 39ons forshelfspace segmentation with supermarkets Equipment vendor might not be reliable o keduce errors l Frito Lay HHC was a 50 million project How did they mitigate risks Risk Mgmt a Pilot test of technology a 3 layer 1 essential systems a 2 sales compensation 3 strategic uses of new data fuzzy Action plan a Region by region a All at once u Weakest or Strongest region first l Frito Lay Porter Competitive Model Identify the Industry and the Speci c Market HHC deployed to LA area first a region that won a sales award Being Evaluated By the end of the 3039s u HHC deployment completed a Development of Information Systems to process HHC data to support operations Early 9039s reor39g to decentralize decision making to different regions 935 n Revenue 2347 a Prom 401 2004 n Revenue 9091 a Prom 2366 Intrarlndustry Rivalry so otegie Business Unit D Revenue growth 6 per year on average l Porter Primary Strategies l Porter Supporting Strategies to Differentiation I IHHOVaTion a Can reduce costs and or differentiate Growth a Help offset fixed costs a Establish reputable brand differentiate Alliances a Make products or services that are different a in a way that some customers actually value to Cost Leadership u Be the lowest cost provider in a market a Achieve more complete solution differentiate u Integration of each others technology may reduce costs I Rules Regarding Strategies 2 Inc s39h al39egies I Must pick of leasfone of the two Pr39mary strategy primary strategies Differentiation Least Cost I Can pick any combination 0 supporting STFUTegieS39 Supporting Strategies Innovation Let39s test the logic of this using Dell Growth and WalMart Stores Alliances
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