Information systems management - IB
Lecture 1
Digital transformation affects all dimensions of international business
Industries are disrupted through digitalization
Amazon > retailing
AirBnb > tourism
Uber > taxi industry
Wikipedia > encyclopedias
Spotify / Netflix > music/media
Global tech firms belong to the biggest firms in the world (Google, Facebook, Apple,
Microsoft, Amazon)
This course aims to develop a comprehensive perspective on how digital technologies can be
used by international firms to reinvent their core business.
The article
,What is digital transformation?
Digital transformation is inherently incorporating digital technologies throughout the
business
Industry 4.0
,Digital transformation is not easy
Many digital transformation initiatives fail or don’t meet goals
Problematic sides:
• Privacy concerns, security concerns
• Failing mega-projects
• Gig jobs of employees of Uber (don’t really feel like they are employees and
treated right)
• Inner cities become ghost towns without shops
• Monopolistic power of global tech firms
• Price wars and race to the bottom
• Dependency on powerful technology vendors (Uber, Google, AirBnB)
Business model rules have changed
The spread of new digital technologies and disruptive threats are transforming business
models
The 5 domains of strategy are changing
Digital technologies are transforming how business models are designed
• Relationships are much more two-way: dynamic participation as a success driver
, • Competitive assets no longer just reside within the company, but in the network
of partners brought together
• Everyone creates data and storage is easier and cheaper than ever
• Digital technologies enable continuous testing and experimentation
• Constantly searching for the next source of customer value is imperative
Relationships with customers are more two-way
From passive targets to dynamic networks
Less like isolated individuals and more like tightly connected individuals
Many companies are harnessing customer networks to enhance their products
• Learning to engage, empower and co-create with customers
• Leverage ways that happy customers influence others
• Thinking like a media company
Examples: input from users power the map in Waze, Doritos flavor competition, Twitch
allows you to watch others play games and play games yourself
Lecture 1
Digital transformation affects all dimensions of international business
Industries are disrupted through digitalization
Amazon > retailing
AirBnb > tourism
Uber > taxi industry
Wikipedia > encyclopedias
Spotify / Netflix > music/media
Global tech firms belong to the biggest firms in the world (Google, Facebook, Apple,
Microsoft, Amazon)
This course aims to develop a comprehensive perspective on how digital technologies can be
used by international firms to reinvent their core business.
The article
,What is digital transformation?
Digital transformation is inherently incorporating digital technologies throughout the
business
Industry 4.0
,Digital transformation is not easy
Many digital transformation initiatives fail or don’t meet goals
Problematic sides:
• Privacy concerns, security concerns
• Failing mega-projects
• Gig jobs of employees of Uber (don’t really feel like they are employees and
treated right)
• Inner cities become ghost towns without shops
• Monopolistic power of global tech firms
• Price wars and race to the bottom
• Dependency on powerful technology vendors (Uber, Google, AirBnB)
Business model rules have changed
The spread of new digital technologies and disruptive threats are transforming business
models
The 5 domains of strategy are changing
Digital technologies are transforming how business models are designed
• Relationships are much more two-way: dynamic participation as a success driver
, • Competitive assets no longer just reside within the company, but in the network
of partners brought together
• Everyone creates data and storage is easier and cheaper than ever
• Digital technologies enable continuous testing and experimentation
• Constantly searching for the next source of customer value is imperative
Relationships with customers are more two-way
From passive targets to dynamic networks
Less like isolated individuals and more like tightly connected individuals
Many companies are harnessing customer networks to enhance their products
• Learning to engage, empower and co-create with customers
• Leverage ways that happy customers influence others
• Thinking like a media company
Examples: input from users power the map in Waze, Doritos flavor competition, Twitch
allows you to watch others play games and play games yourself
