IT 360T – Old Dominion University – Exam 1 (Chapters 1–3) Study
Guide – Professor Ardalan
Business Drivers of Information Systems (Study in Detail) - ANS✔✔ Businesses invest in IT to
achieve 6 important business objectives and describe six reasons information systems are so
important for business today.
1. Operational Excellence
2. New products, services, and business models
3. Customer and supplier intimacy
4. Improved decision making
5. Competitive advantage
6. Survival
1. Operational Excellence - ANS✔✔ Information systems are important tools for managers to
achieve higher profitability and improve business operations. An example of this is when a
customer buys a product, the supplier monitors the items, and then they know to get a
replacement item for the one purchased.
2. New Products, Services, and Business Models - ANS✔✔ Information systems are major tools
for companies to innovate their products, services, and business models. An example of this is
how Apple changed their old business model based on their iPod technology into their iPhones.
3. Customer and Supplier Intimacy - ANS✔✔ Information systems help businesses with their
engagement between customers and suppliers. An example of this is when a company uses
computers to track their customers' satisfaction and preferences. This will help suppliers provide
a better experience for their customers.
Guide – Professor Ardalan
Business Drivers of Information Systems (Study in Detail) - ANS✔✔ Businesses invest in IT to
achieve 6 important business objectives and describe six reasons information systems are so
important for business today.
1. Operational Excellence
2. New products, services, and business models
3. Customer and supplier intimacy
4. Improved decision making
5. Competitive advantage
6. Survival
1. Operational Excellence - ANS✔✔ Information systems are important tools for managers to
achieve higher profitability and improve business operations. An example of this is when a
customer buys a product, the supplier monitors the items, and then they know to get a
replacement item for the one purchased.
2. New Products, Services, and Business Models - ANS✔✔ Information systems are major tools
for companies to innovate their products, services, and business models. An example of this is
how Apple changed their old business model based on their iPod technology into their iPhones.
3. Customer and Supplier Intimacy - ANS✔✔ Information systems help businesses with their
engagement between customers and suppliers. An example of this is when a company uses
computers to track their customers' satisfaction and preferences. This will help suppliers provide
a better experience for their customers.
