Managing the Value Chain, Information, Technology, and E-Business

Managing the Value Chain, Information, Technology, and E-Business

1. Technical Core: The heart of the organization’s production of its product or service.

   • Inputs: Materials and equipment, human resources, land and buildings, and information.
   • Outputs: Are the goods and services produced by the organization and sold or provided to customers and clients.
   • Operations Management: Defined as the field of management that specializes in the production of goods and services and uses special tools and techniques for solving manufacturing problems.
     • Manufacturing Organizations: An organization that produces physical goods.
     • Service Organizations: An organization that produces nonphysical outputs.
       • The service must be created and provided for the customer exactly when he or she wants it.
     • Similar Operational Problems
       • Must obtain materials and supplies.
       • Are concerned with quality and productivity.
       • Concerned with scheduling.
       • Many operational problems are similar, operations management tools and techniques can and should be applied to service organizations as readily as they are to manufacturing operations.
     • Supply Chain Management: Managing the sequence of suppliers and purchasers covering all stages of processing from obtaining raw materials to distributing finished goods to final consumers.
       • Supply Chain: A quicker response to end consumers by reducing the time it takes to more critical data through the information pipeline.
       • E-Supply Chain: Created a seamless, integrated link that stretches from customers to suppliers by establishing electronic linkages between the organization and these external partners for the sharing and exchange data.
       • Partnership Approach: Involves cultivating intimate relationships with a few carefully selected suppliers and collaborating closely to coordinate tasks that benefit both parties.
       • Arm’s-Length: Approach in which an organization spreads purchases among many suppliers and encourages them to compete with one another.
     • Facilities Layout
       • Process Layout: A facilities layout in which machines that perform the same function are grouped together in one location.
       • Product Layout: A facilities layout in which machines and tasks are arranged according to the sequence of steps in the production of a single product.
         • The product layout is efficient when the organization produces or provides huge volumes of identical products or services.
       • Cellular Layout: Innovative layout, based on group-technology principles. Dedicated to sequences of production that are grouped into cells.
       • Fixed-Position Layout: A facilities layout in which the product remains in one location and the required tasks and equipment are brought to it.
         • Used to create a product or service that is either large or one of a kind.

2. Inventory: The goods the organization keeps on hand for use in the production process.

   • Finished-Goods Inventory: Inventory consisting of items that have passed through the complete production process but have yet to be sold. Is highly visible.
     • Finished-Goods Inventory is expensive, because the organization has invested labor and other costs to make the finished product.
   • Work-in-Process Inventory: Inventory composed of the materials that still are moving through the stages of the production process.
   • Raw Materials Inventory: Inventory consisting of the basic inputs to the organization’s production process.
     • This inventory is cheapest, because the organization has not yet invested labor in it.
   • Inventory management is vitally important to organizations, because inventory sitting idly on the shop floor or in the warehouse costs money.
   • Just-in-Time Inventory Systems (JIT): Are designed to reduce the level of an organization’s inventory and its associated costs, aiming to push to zero the amount of time that raw materials and finished products are sitting in the factory, being inspected, or in transit.
     • Stockless Systems.
     • Zero Inventory Systems.
     • Kanban Systems.
     • Demands that information be shared among everyone in the supply chain.

3. Information Technology (IT): Consist of the hardware, software, telecommunications, database management, and other technologies it uses to store data and make them available in the form of information for organizational decision making.

   • Collaboration Reigns: Information technology can connect people around the world for the sharing and exchange of information and ideas.
   • Knowledge Management: Refers to the efforts to systematically gather knowledge, organize it, make it widely available throughout the organization, and faster a culture of continuous learning and knowledge sharing.
     • Data: Raw, unsummarized, and unanalyzed facts and figures.
     • Information: Data that have been linked with other data and converted into a useful context for specific use.
     • Knowledge: A conclusion drawn from the information after it is linked to other information and compared to what is already known.
     • Knowledge Management Portal: A single, personalized point of access for employees to multiple sources of information on the corporate intranet.
   • Wiki: Uses software to create a web site that allows anyone with access to create, share, and edit content through a simple Brower-based user interface.
   • Business Intelligence Software: Analyzes data and extracts useful insights, patterns, and relationships that might be significant.
   • Management Information Systems (MIS): A computer-based system that provides information and support for effective managerial decision making.
   • Decision Support Systems (DSSs): Interactive computer-based information systems that rely on decision models and specialized databases to support decision makers.
   • Executive Information Systems (EISs): Management information systems to facilitate strategic decision making at the highest level of management.
   • Business Performance Dashboard: A system that pulls data from a variety of organizational systems and databases; gauges the data against key performance metrics; pulls out the right nuggets of information; and delivers information to managers in a graphical, easy-to-interpret format.
   • Groupware (Collaborative Work Systems): Software that works on a computer network or via the internet to link people or workgroups across a room or around the globe.
   • Enterprise Resource Planning Systems (ERP): A networked information system that collects, processes, and provides information about an organization’s entire enterprise.
   • Blog: A running web log that allows an individual to past opinions and ideas about anything from the weather and dating relationship to a company’s products, management, or business practices.
   • Social Networking (Social Media): Online interaction in a community format where people share personal information and photos, produce and share all sorts of information and opinions, or unify activists and raise funds.
   • Peer-to-Peer Sharing: File sharing that allows PCs to communicate directly with one another over the internet, bypassing central databases, servers, control points, and web pages.

4. Technology Automation

   • Radio-Frequency Identification (RFID): Uses electronic tags that can identify and tags individual items.
   • Flexible Manufacturing System: A small or medium sized automated production line that can be adapted to produce more than one product line.
   • Lean Manufacturing (Lean Production): Combines advanced technology with innovative management methods, using highly trained employees who take a painstaking approach to problem solving at every stage of the production process to cut waste and improve quality and productivity.
   • Technology plays a key role in learn manufacturing.
   • E-Business: Defined as any business that takes place by digital processes over a computer network rather than in physical space.
     • Components of E-Business
       • Intranet: An internal communications system that uses the technology and standards of the internet but is accessible only to people within the company.
       • Extranet: An external communications system that uses the internet and is shared by two or more organizations.
       • Internet: Accessible to the general public.
     • Strategies
       • Market Expansion
         • Benefits
           • Add new markets.
           • Integrate bricks and clicks.
           • Increase market size.
       • Increasing Efficiency
         • Benefits
           • Immediate short-term effects.
           • Measurable productivity impact.
           • Driven by internal processes.
   • E-Commerce: Refers specifically to business exchanges or transactions that occur electronically.

5. Referencia: Daft, R. (2010). Management. Mason, OH, South-Western Cengage Learining. (novena edición).

6. Código de Honor: Doy mi palabra que he realizado este trabajo con integridad académica.

7. Ana Lorena Ruiz Zorrilla Sánchez 000594460

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