Inter Organizational Global IS

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INTERORGANIZATIONAL ANDGLOBALINFORMATIONSYSTEM.

By PG08042 to PG08046


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OVERVIEW

Inter-organizational information system (IOS)

Introduction.

IOS development affecting partnership relations.

Significant Barriers for Advanced IOS Model Development.

Global Information System (GIS) Introduction.

Internet as Global information System.

Implementation of GIS.

Challenges to Global Information Systems.


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INTER-ORGANIZATIONALINFORMATION

SYSTEM

(IOS)


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An IOS is a collection of IT resources, including

communications networks, hardware, IT applications,standards for data transmission, and human skills and

experiences.

It provides a framework for electronic cooperation between

businesses by allowing the processing, sharing andcommunication of information.

IOS are also known as extranets.

They allow electronic processing of business transactions

and documents, as well as the transfer of information withminimal effort and makes it quickly available.

INTRODUCTION


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IOS can be categorized into four phases, in terms of

historical IS development: Phase One - Manual systems

Phase Two - EDI systems

Phase Three - ERP systems

Phase Four - Internet-enabled systems

Phase One: Manual Systems

This phase includes paper copies of documents such as

purchase orders, bills and invoices. The information is processedmanually and therefore information technology and

telecommunications do not contribute to this system.

INTRODUCTION


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Phase Two: Electronic Data Interchange Systems

The next phase involved the development of EDI technology in the1980s and this had a dramatic effect on the automation of heavy data

flows and the elimination of many labor intensive key business

processes. Paper documents such as purchase orders, invoices, bills of

lading and shipping slips were replaced by electronic transmission of

the information between computers

What is EDI?

Exchange of electronic data using Interorganizational information systems

Set of hardware, software, and standards that accommodate the EDIprocess

INTRODUCTION


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Phase Three: Enterprise Resource Planning Systems

This phase describes a more integrated information systemsapproach. This approach is being taken by companies who view

the integration of systems and information flows as being

essential in providing improved customer satisfaction and cut

operational costs in an increasingly competitive market-place

Phase Four: Internet-enabled Systems

The Internet is a worldwide web of computer networks. The

development of the protocol, Transmission Control

Protocol/Internet Protocol (TCP/IP), allows separate networks ofdifferent architectures to work together through open network

architecture.

INTRODUCTION


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Contd.,

Interorganizational Information Systems

Systems shared by two or more organizations

Built and owned by one organization

Increases efficiency and effectiveness

Organizations use similar systems to serveinternational sites


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Sharing of information systems

Vertical market

A market in which the goods of one business are

used as raw materials or components in the

production or sale process of another business

Horizontal market

All players in the market buy or sell the sameproducts; they are in competition


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Vertical information exchange market

Vertically related

Output of one organization used in processes of

another

Integrating ISs between vertically related

organizations highly beneficial

Saves time and money

Better serves customers


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Vertical information interchange


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Horizontal information exchange market

Horizontal Information Interchange

Organizations performing similar activities share

information

Real estate agencies maintain multiple listing service

Financial institutions share financial information

Airlines share reservation systems

Legal implications and risks similar to those of EDI


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Horizontal information interchange


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EDI Benefits and its process

Cost savings

Speed & accuracy

Security

System integration

Just in time support

How does it work?1. Suppliers proposal sent electronically to purchasing organization

2. Electronic contract approved over network

3. Supplier manufactures and packages goods, attaching shipping datarecorded on a bar code

4. Quantities shipped and prices entered in system and flowed to invoicingprogram; invoices transmitted to purchasing organization

5. Manufacturer ships order

6. Purchasing organization receives packages, scans bar code, and comparesdata to invoices actual items received

7. Payment approval transferred electronically

8. Bank transfers funds from purchaser to suppliers account using electronicfund transfer (EFT)


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The Internet can be used to provide a platform for

partnerships in all areas of the supply chain, whether it is

procurement, purchasing, negotiation, coordination or just

information exchange. The Internet allows two-way

communications, unlike EDI technology, and therefore hasmuch more impact on partner relations and partnerships..

Internet Inter-organizational InformationSystems and Partner Relations


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Lack of System Standards

Resistance from other business partner

Resistance from customer

Financial Costs Technical maturity of company

Technical maturity of trading partner

Significant Barriers for Advanced IOS Model

Development


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GLOBALINFORMATIONSYSTEM

(GIS)


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Introduction

AN ORGANIZED COLLECTION OF

COMPUTER HARDWARE, COMMUNICATION

EQUIPMENT, SOFTWARE, DATA, ANDPERSONNEL DESIGNED TO CAPTURE,

STORE, UPDATE, MANIPULATE, ANALYZE,

AND IMMEDIATELY DISPLAY INFORMATION

ABOUT WORLDWIDE BUSINESS ACTIVITIES.


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Internet as Global information System

Today, the Internetis rapidly becoming a global informationsystemin which all kinds ofinformationcan be accessed fromvirtually anywhere.

The increase in Internet use has been influenced by the

commercialization of the Internet, the level of media coverage,

the low cost of access, and easier interfaces.

The Internet is considered to be at the leading-edge

technology. There is a growing acceptance that if a business

does not join the Internet very soon, it may be out of business

.


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GIS

The Internet usage is growing at 20% a month. It

provides a new service that has not previously been

available.

Almost instantaneous communication is made

anywhere in the world and access to a world-wide

information base and a world-wide market.

Businesses are seeking access to and involvement

with the Internet as mandatory.


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Business uses

Internet Support Services-Building Complete InternetSolutions.From basic Web Sites to integral database managment, ISSprovidescomprehensive Internetsolutions for business

Sales of Goods and Services most organization like amazon,ebay are preferring online sales to reduce the cost

Marketing -Internet marketing, also referred to as online marketing,

Internet advertising, or e-marketing, is the marketing of products orservices over the Internet. When applied to the subset of website-based advertisement placements, Internet marketing is commonlyreferred to as Web advertising (also Webadvertising) and Webmarketing .

Internet marketing is relatively inexpensive when compared to theratio of cost against the reach of the target audience. Companies can

reach a wide audience for a small fraction of traditional advertisingbudgets. The nature of the medium allows consumers to researchand purchase products and services at their own convenience.Therefore, businesses have the advantage of appealing toconsumers in a medium that can bring results quickly.


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International Web Commerce Benefits

Increased revenues

Increased international Web participation

Potential Web participation

Cost savings

Printing and shipping costs

Customer service costs


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Using the Web for

International Commerce

The Web is important for both B2B and B2C

commerce

Opportunities for businesses all over the world

Organizations must be sensitive to local audiences

(globalization)


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Implementation of GIS

The Global Information System (GIS) is a global-coverage, core current strategic intelligence servicefor use only by governments. It is not available tonon-governmental subscribers. GIS represents a

base of more than 150,000 pages of data andimages on 246 countries and territories, updateddaily, along with a constantly-growing database ofspecial reports on a wide range of specialist topicsand regional studies.

GIS includes the Defense & Foreign Affairs Dailyintelligence briefing, which is issued five days aweek, and covers current strategic intelligenceissues


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Contd.,

GIS is accessible only through password entry or computer IP

recognition, to ensure maximum privacy. The system is fully

on-line through the Internet, and keyword searchable.

.The System is designed to provide a comprehensive global

data system both for governments without extensive global

collection and analysis systems as well as for analysts in

industrialized states seeking independent, finished intelligence

on literally every country and territory in the world.

The Global Information System is timely, current updateddaily throughout the year strategic intelligence on literally

everycountry and territory in the world. The country orterritory aspect of the GIS system is divided into country-

specific chapters, each of which include the following sub-

sections


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Challenges to Global Information Systems

Technological Challenges

Non-uniform information infrastructures

Regulations and Tariffs

Executives concerned about hassle-factor

Software can reduce confusion

Differences in Payment Mechanisms

Non-uniform preferred payment method

Language Differences

Translation delays

Laws forbid foreign language accounting and other

systems


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Contd.,

Cultural Differences

Cultural imperialism

Different Standards

Varying standards for date format, measurements, etc.

Legal Barriers

Incompatible data privacy laws in U.S. and Europe


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Contd.,

Conflicting Economic, Scientific, and Security Interests

Government restriction on sharing sensitive information

Varying treatment of trade secrets, patents, and copyrights

Political Challenges Fear that access to information threatens sovereignty

Government pressure to buy only national software


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Documents

Inter Organizational Global IS