商学精要第⼗版英⽂教师⼿册ebert_be10e_im14Chapter 14: Information Technology (IT) for Business Chapter OverviewInformation technology (IT) has had a tremendous impact on the business world in the last few years. Think of how much the Internet alone affects your life. Some people feel complete ly “out of touch” going just one day without it. We are connected to the remotest corners of the world. Businesses have a variety of IT resources at their disposal, and information systems and how these systems are used play an integral role in businesses.This chapter provides the latest details on business IT. It discusses the impacts IT has had on the business world and identifies the IT resources businesses have at their disposal. It also describes the role of information systems, the different types of information systems, and how businesses use such systems. Finally, it looks at the various threats and risks IT poses for businesses, as well as the ways in which businesses protect themselves from these threats and risks. Even if you are apprehensive about IT and its uses, this chapter will help you become more familiar with and comfortable with IT. Learning Objectives1.Discuss the impacts information technology has had on the business world.2.Identify the IT resources businesses have at their disposal and how these resources areused.3.Describe the role of information systems, the different types of information systems, andhow businesses use such systems.4.Identify the threats and risks information technology poses on businesses.5.Describe the ways in which businesses protect themselves from the threats and risksinformation technology poses.CHAPTER OUTLINELearning Objective 1:Discuss the impacts information technology has had on the business world.IT ImpactsInformation technology (IT) includes the various appliances and devices for creating, storing, exchanging, and using information in diverse modes, including visual images, voice, multimedia, and business data. E-commerce is the use of the Internet and other electronic means for retailing and business-to-business transactions. Businesses are using IT to bolster productivity, improve operations and processes, create new opportunities, and communicate and work in ways not possible before.A. Creating Portable OfficesTechnology built into various devices offers businesses powerful tools that save time and travel expenses.B. Enabling Better Service by Coordinating Remote DeliveriesCompany activities may be geographically scattered, but remain coordinated through a networked system that also provides better service for customers.C. Creating Leaner, More Efficient OrganizationsNetworks and technology allow organizations to operate with fewer employees and simpler structures.D. Enabling Increased CollaborationCollaboration software and other IT communication devices enable greater collaboration among internal units and with outside firms.E. Enabling Global ExchangeThe global reach of IT is enabling business collaboration on a huge scale.F. Improving Management ProcessesWith databases, specialized software, and networks, instantaneous information is now accessible and useful to all levels of management.G. Providing Flexibility for CustomizationIT networks and other IT advances create new manufacturing capabilities that enable businesses to offer customers greater variety and faster delivery cycles. Mass-customization allows manufacturers to produce in large volumes, with each unit featuring the unique options the customer prefers.H. Providing New Business OpportunitiesIT is creating entirely new businesses where none existed before.I. Improving the World and Our LivesNumerous businesses across various industries use IT to create improvements that enhance the standard of living.KEY TEACHING TIPSRemind students that information technology (IT) includes the various devices for creating, storing, exchanging, and using information in diverse modes, including visual images, voice, multimedia, and business data.Students need to keep the meaning of standardization separate from mass-customization, which allows companies to produce in large volumes and provide unique features and options for customers.QUICK QUESTIONSHow are portable offices bolstering productivityHow has IT allowed marketers to provide better serviceHow does IT allow firms to create leaner, more efficient organizationsHow has IT changed the nature of the management process within organizationsUse In-Class Activity 1: Ice-Breaker: IT DevicesTime Limit: 20 minutesHOMEWORKThe Impact of ITNow might be a good time to assign Application Exercise 9 from the end-of-chapter materials as homework. This assignment asks students to think about how IT systems affect their daily lives, and whether their encounters with IT leave them at risk for identity theft.At-Home Completion Time: 30 MinutesLearning Objective 2:Identify the IT resources businesses have at their disposal and how these resources are used. IT Building Blocks: Business ResourcesBusinesses have numerous IT resources at their disposal.A. The Internet and Other Communication ResourcesThe Internet is a gigantic system of interconnected computers; the World Wide Web is a standardized code for accessing information and transmitting data over the Internet.1. Intranets.Intranets are private networks of internal Web sites linked throughout anorganization that are accessible only to employees.2.Extranets. Extranets al low outsiders limited access to a firm’s internal informationnetwork.1.Electronic Conferencing.Electronic conferencing allows groups of people tocommunicate simultaneously from various locations via e-mail, phone, or video.4. VSAT Satellite Communications.VSAT satellite communications have a transmitter-receiver that sits outdoors with a direct line-of-sight to a satellite; the hub sends signals to and receives signals from the satellite, exchanging voice, video, and data transmission. B. Networks: System ArchitectureA computer network is a group of two or more computers linked together by some form ofcabling or by wireless technology to share data or resources, such as a printer; a client-server network is a common type of network used in businesses in which the clients are usually the laptop or desktop computers being used, and the servers are any number of computers that provide services shared by users.1.Wide Area Networks (WAN s). Wide area networks (WANs) are computers linked overlong distances (statewide or even nationwide) through telephone lines, microwave signals, or satellite communications.2.Local Area Networks (LANs). In local area networks (LANs), computers are linked in asmaller area, such as all of a firm’s computers within a single building. The arrangement requires only one computer system with one database and one software system.3. Wireless Networks. Wireless networks use airborne electronic signals to link networkcomputers and devices. For example, the BlackBerry system consists of devices that send and receive transmissions on wireless wide area networks (WWANS) of more than 100 service providers.4. Wi-Fi. A Wi-Fi is a hotspot, or access point, for the Internet. Each hotspot is actually itsown small network, called a wireless local area network (Wireless LAN or WLAN).C. Hardware and SoftwareHardware includes the physical components, such as keyboards, monitors, system units, and printers; software includes the programs that tell the computer how to function.KEY TEACHING TIPMake sure students understand the distinction between intranets (private networks accessible only to employees) and extranets (networks that allow out siders limited access to a firm’s internal information).QUICK QUESTIONSFor what purposes might data conferencing be used What about videoconferencingWhat are the clients and what are the servers in a client-server networkWhat is the difference between a wide area network (WAN) and a local area network (LAN)What are some benefits of Wi-FiWhen does data become informationUse In-Class Activity 2: Small-Group Discussion: LaidOffCampTime Limit: 30 minutesLearning Objective 3:Describe the role of information systems, the different types of information systems, and how businesses use such systems.Information Systems: Harnessing the Competitive Power of ITAn information system is a system that uses IT resources and enables managers to take data—raw facts and figures—and transform that data into information—the meaningful, useful interpretation of data. Information systems managers operate the systems used for gathering, organizing, and distributing information.A. Leveraging Information Resources: Data Warehousing and Data MiningData warehousing involves the collection, storage, and retrieval of data in electronic files.1.Data Mining.Data mining is the application of electronic technologies for searching,sifting, and reorganizing pools of data to uncover useful information.2. Information Linkages with Suppliers.Coordinated planning avoids excessiveinventories, speeds up deliveries, and holds down costs throughout the supply chain.B. Types of Information SystemsEach user group and department in an organization may need a special information system./doc/07b0ee29504de518964bcf84b9d528ea80c72f67.html rmation Systems for Knowledge Workers.Knowledge information systemssupport knowledge workers by providing resources to create, store, use, and transmit new knowledge for useful applications. Computer-aided design (CAD) helps knowledge workers design products by simulating them and displaying them in three-dimensional graphics./doc/07b0ee29504de518964bcf84b9d528ea80c72f67.html rmation Systems for Managers.Each manager’s information activities andinformation system needs vary according to his or her functional area.a.Management Information Systems (MIS). Management information systems (MIS)support managers by providing reports, schedules, plans, and budgets that can then beused for making decisions.b. Decision Support Systems (DSS). Decision support systems (DSS) are interactivesystems that create virtual business models and test them with different data to seehow they respond.KEY TEACHING TIPSStudents often confuse this point: Data warehousing is the collection, storage, and retrieval of data in electronic files; data mining is the application of electronic technologies for searching, sifting, and reorganizing data to uncover useful information.Reinforce that an information system enables managers to collect, process, and transmit that information for use in decision making.Make sure students understand that a management information system provides reports, schedules, plans, and budgets that managers use to make decisions.QUICK QUESTIONSHow do knowledge workers benefit from knowledge information systemsWhat is the role of a decision support system (DSS)What are some advantages that radio frequency identification can provide to individual stores and to the supply chain as a whole?Use In-Class Activity 3: Supplemental Case Study Discussion: The Tweet Smell of Success! Time Limit: 30 minutes HOMEWORKSystem ArchitectureNow might be a good time to assign Application Exercise 10 from the end-of-chapter materials as homework. This assignment asks students to assess the impact of changes in IT on the higher education.At-Home Completion Time:1 hourIdentify the threats and risks information technology poses on businesses.IT Risks and ThreatsIT has attracted abusers that are set on doing mischief, with severity ranging from mere nuisance to outright destruction. A. HackersHackers are cybercriminals who gain unauthorized access to a computer or network, either to steal information, money, or property or to tamper with data.B. Identity TheftIdentity theft is the unauthorized stealing of personal information to get loans, credit cards, or other monetary benefits by impersonating the victim.C. Intellectual Property TheftIntellectual property includes products of the minds—something produced by the intellect, with great expenditure of human effort, that has commercial value. Nearly every company faces the dilemma of protecting product plans, new inventions, industrial processes, and other intellectual property.D. Computer Viruses, Worms, and Trojan HorsesA computer virus exists in a file that attaches itself to a program and migrates fromcomputer-to-computer as a shared program or as an e-mail attachment. Worms are a particular kind of virus that travels from computer to computer within networked computer systems, without needing you to open any software to spread the contaminated file. Unlike viruses, a Trojan horse does not replicate itself.E.Spyware is unintentionally downloaded on a computer and crawls around to monitor thehost’s computer activities. For example, Internet users open files that promise “freegiveaways,” not suspecting that they are downloading spyware onto their systems.F. Spam is junk e-mail sent to a mailing list or a newsgroup.QUICK QUESTIONSCan hackers ever do goodHow can identity theft be avoidedWhat types of damage might a worm and a Trojan horse doDescribe the ways in which businesses protect themselves from the threats and risks information technology poses.IT Protection MeasuresBusinesses guard themselves against intrusion, identity theft, and viruses by using firewalls, special software, and encryption.A. Preventing Unauthorized Access: FirewallsFirewalls are security systems with special software or hardware devices designed to keep computers safe from hackers. A firewall contains two components for filtering each incoming message: (1) the company’s security policy, which contains access rules; and (b) a router, which involves a “traffic switch” that determines on which network routes or paths to send each message after it is tested against the security policy.B. Preventing Identity TheftThe Fair and Accurate Credit Transactions Act (FACTA) strengthens identity-theft protections by specifying how organizations must destroy information, rather than simply dropping it in a dumpster.C. Preventing Infectious Viruses: Anti-Virus SoftwareAnti-virus software protects systems by searching incoming e-mail and data files for “signatures” of known viruses and virus-like characteristics.D. Protecting Electronic Communications: Encryption SoftwareAn encryption system works by locking an e-mail message to a unique code number for each computer, so only that computer can open and read the message.E. Avoiding Spam and SpywareAnti-spyware and spam filtering software on business systems helps employees avoid privacy invasion and improves worker productivity.F. Ethical Concerns in ITIt is app arent that IT developments and usage are progressing faster than society’sappreciation for the potential consequences, including new ethical concerns.KEY TEACHING TIPReinforce that an encryption system works by locking an e-mail message to a unique code number for each computer, so only that computer can open and read the message.QUICK QUESTIONWhat are a firewall’s two components for filtering incoming messages?Use In-Class Activity 5: Up for Debate: Is That Ethical?Time Limit: 30 minutesIN-CLASS ACTIVITIESIn-Class Activity 1: Ice-BreakerIT DevicesActivity Overview:This activity asks students to come up with a list of technological devices that reflect the many ways in which the class as a whole creates, stores, exchanges, and uses information.Time Limit: 20 minutesWhat to Do:1. Ask the class as a whole to brainstorm, coming up with a list of technological devices thatthey use in their personal lives, at work, or at school to create, store, exchange, and use information.2. Ask the class to comment on these questions:a.Do students in the class as a whole use more or fewer devices than what you expectedprior to brainstorming?b.In what way(s) do you see your individual use of these devices changing in the comingyears?c.In what way(s) have these devices impacted your personal lives, such as at school, at thebank, while shopping, and so on?Don’t Forget:Some people are more technologically savvy than others. Many students will say they take advantage of every gadget available, while others do not have Internet access at home.Wrap-Up:Bring the activity to a close by reminding students that new technologies are always looming on the horizon and that no one can accurately predict how much IT will change and affect our lives in the future.In-Class Activity 2: Small-Group Discussion LaidOffCampActivity Overview:This activity encourages students to think about how information technology can be used to develop new products and services even in difficult economic times.Time Limit: 30 minutesWhat to Do:1. Divide the class into small groups and ask them to read the Entrepreneurship and NewVentures feature on page 342 of the textbook. (10 minutes)2. Ask students to discuss the following questions within their small groups (10 minutes):a.What do you think about the idea of LaidOffCamp? If you were given the opportunity,would you invest in LaidOffCamp?b.Think of another product of service that information technology might make viable in asown economy. What would you call the product or service? What would be its unique selling points?3. Regroup the class as a whole and discuss each group’s conclusions. (10 minutes)Don’t Forget:Information technology is rapidly changing. As new technologies become available so do new possibilities. Encourage your students to keep their eyes on technology blogs to keep abreast of new developments.Wrap-Up:Bring the activity to a close by reminding students of the vast differences in communication between and among various cultures.In-Class Activity 3: Up for DebateIs That Ethical?Activity Overview:This activity asks students to discuss the ethical issues that may arise from an employer having the ability to access and track employees’ computer usage.Time Limit: 30 minutesWhat to Do:1. Divide the class into small groups and ask them to consider this tidbit that a coworkero verheard at the water cooler: “I guess it was as simple as that! Once Jeremy looked into everything Jason had been doing on the Internet, he asked Jason to hit the road. He was playing card games, placing personal stock market transactions, and sending e-mails to his friends and wife. I guess we all need to be m ore careful.” Ask each group to discuss whether firing an employee based on their Internet activities is ethical; groups should take notes on the pros and cons of such a company policy. (15 minutes)2. Reassemble the class as a whole and discuss each group’s conclusion. (15 minutes)Don’t Forget:Many companies have such policies stated clearly in the employee handbook; on the other hand, some employers may use such tactics as an excuse to get rid of an employee.Wrap-Up:Bring the debate to a close by reminding students that company policies stated in the employee handboo k must be adhered to. However, one side of the argument is: “If you don’t want me to use the Internet, then don’t give it to me.” The other side of the argument is: “While working on company time, I should do what the employer wants.” Most group comments w ill fall somewhere between those two extremes.ANSWERS FOR END OF CHAPTER ACTIVITIES QUESTIONS FOR REVIEW/doc/07b0ee29504de518964bcf84b9d528ea80c72f67.html rmation is an asset. Like any other asset, information must be planned for, developed,and protected. (Learning Objective 1 – AACSB – application of knowledge)2. It is easy, quick, and relatively low-cost, eliminating the need for expensive travel for face-to-face meetings. (Learning Objective 1 – AACSB – application of knowledge)3. The cloud enhances user flexibility, especially for employees working remotely becauseusers can access e-mails and data files from any online location, rather than from oneparticular location The cloud computing has become a cost saver for companies byeliminating the need for buying, installing, and maintaining in-house server computers, many of which have excessive unused storage capacity. The risks of cloud computing include: hacking and privacy issues. (Learning Objective 2 – AACSB – application of knowledge) 4. Hackers can cause serious damage: stealing company and customer informationcompromising company files and records. This can cause a company serious financial problems. (Learning Objective 4 –AACSB – application of knowledge)5. Intellectual property is a product of the mind, something produced by the intellect, with greatexpenditure of human effort. Examples include new inventions, product plans, and manufacturing processes. (Learning Objective 4 – AACSB – application of knowledge) QUESTIONS FOR ANALYSIS6. Data warehousing involves the collection, storage, and retrieval of data in electronic files;data mining is the application of electronic technologies for searching, sifting, and reorganizing pools of data to uncover useful information. (Learning Objective 3 – AACSB – application of knowledge)7. IT presents opportunities such as online banking and online investing, among other options.(Learning Objective 1 – AACSB – application of knowledge)8. Answers will vary, but students should recognize that information networks streamline andautomate communications operations and allow firms to accomplish more with fewer resources. (Learning Objective 1 –AACSB – application of knowledge) APPLICATION EXERCISES9. Answers will vary, but most students will mention their access to ATMs and their use ofcredit cards, often daily, in making consumer purchases. Identity theft can happen at any time, either during or after the sharing of personal information. (Learning Objective 2 – AACSB – application of knowledge, reflective thinking)10. Answers will vary, but many students will mention online classes and testing, applying andregistering for college/classes online, and accessing their academic records online.(Learning Objective 1, 2 – AACSB – application of knowledge)BUILDING A BUSINESS: CONTINUING TEAM EXERCISE ASSIGNMENT 14-11-15 (Learning objectives 2, 3, 4, 5 -AACSB interpersonal relations and teamwork, analytical and reflective thinking, application of knowledge)Students should develop a comprehensive IT plan that focuses on meeti ng customers’ needs, improves efficiencies, operations, and processes bolsters productivity, create new opportunities, and communicate and work. They should also address the various threats and risks it poses for their businesses, as well as the ways to protect themselves from threats and risks information technology might pose for their business.BUILDING YOUR BUSINESS SKILLS: THE ART AND SCIENCE OF POINT-AND-CLICK RESEARCH(Learning objectives 1, 2- AACSB interpersonal relations and teamwork, analytical and, application of knowledge)16. The “Help” function can help students save time by using the site’s specific features andcapabilities to narrow the search.17. Students should relate various ways in which advanced search pages allow them to improve,refine, and expand their searches.18. The Web has made information more accessible, less expensive, and easier to find, but it hasalso increased the volume of information that managers must sift through to find what they need and to ensure that their information is reliable, accurate, objective, and timely. EXERCISING YOUR ETHICS: TO READ OR NOT TO READ 14 - 19– 21(AACSB – Ethical understanding and reasoning, reflective thinking)19. The ethical issues focus on the trust issues between employees and employer.20. Answers will vary, but many students will recognize that companies do monitor employees’activities to try to increase employee productivity but there is also the perspective of the trust issue from the employees’perspective.21. Answers will vary, but many students will suggest that their advice would depend on thesituation and the employee needs to understand that work obviously comes first.TEAM EXERCISE:THIS GAME IS GETTING SERIOUS 14 -22 – 26(AACSB – Ethical understanding and reasoning, interpersonal relations and teamwork, reflective thinking)This exercise should get students to think about some issues that they probably have not considered. Students often think that they can “modify” and disseminate products that the y purchase. Since so many products, videos, games, etc. are “shared” online, they often forget that companies spent money developing these products and have intellectual property rights to said products. T he students’ responses to the Action Steps will var y widely due to differences in perception.CASES:ONLINE PIRATES FEAST ON ECONOMIC DOWNTURN 10- 27– 31(Learning objectives 1, 2, 3, 4 - AACSB analytical and reflective thinking, application of knowledge)27. The intruders were seeking passwords, personal financial data, credit card numbers, etc.28. Most students are technically savvy and immediately identified the “s ca ms”.29. An open message may carry a virus, spyware, or worm that can capture personal informationand permit identity theft.30. Answers will vary but most students will probably mention firewalls and other anti-theftsoftware.31. Again, answers will vary depending on the IT devices used by students.INFORMATION TECHNOLOGY FOR BETTER HEALTH CARE(Learning objectives 1, 2, 3, 4 - AACSB analytical and reflective thinking, application of knowledge)32. IT developments that have impacted health care include devices that enhance patient care andoperations, permitting more complicated surgeries, remote/virtual surgeries, and lower health care costs.33. Healthcare customers are being affected by a myriad of IT developments includingpreventive care, surgery, recovery, and length of hospital care. Most of the developments are positive but there might be some negatives such as security issues.34. The MIS system for the robotic system would need a decision support system designedspecifically to serve the intricate nature of the surgery. The MIS system would need aninternet and extranet, electronic conferencing, anti-virus software, encryption software, a firewall.35. Risks could include release of patient information, hackers disabling the surgical systems,viruses, and worms, spyware, and destruction of equipment. Most students will hire security experts to review the network security operations.36. The IT system would need at the minimum anti-virus software, encryption software, afirewall to reduce the threat. Most students will way the costs versus the benefits of each protection measure.。
