lecture module 2 - types of companies

8/13/2019 Lecture Module 2 - Types of Companies

1/19

Types of Companies

1. Product Based Companies

2. Service Based Companies


2/19

Types of CompaniesProduct Based Companies

Companies that produce tangible

products. Tangible ProductsUsable products

that you can touch, taste, hear, smell,

and see Examples:

Dell Computers, Nokia, Coke, Microsoft


3/19

Types of CompaniesGraphical ModelProduct Based Company

Supplier 1

Product BasedCompany

Raw Materials

Supplier 2

Supplier 3

Product


4/19

Types of CompaniesService Based Companies

Companies that give services.

ServicesActions towards customersthat make them happy and improvecustomers welfare.

Examples:Shangri-La Hotel, SMS Janitorial Services,

Security Services


5/19

Types of CompaniesGraphical ModelService Based Company

Supplier 1

Service BasedCompany

Raw Materials

Supplier 2

Supplier 3

Welding

Services


6/19

Types of CompaniesInformation SystemProduct Based Company

Supplier 1

Product BasedCompany

Raw Materials

Supplier 2

Supplier 3

Product

Business Problem:LACK OF ORDERS

1Business Solution:TRACK THE ORDERS

2

Information System:Sales & Inventory System

3

Kulang Pa Ito!


7/19

Types of CompaniesInformation SystemService Based Company

Supplier 1


Raw Materials

Supplier 2

Supplier 3

WeldingService

Business Problem:WRONGMANPOWER

DEPLOYMENT

1Business Solution:CORRECT HIRINGPROCEDURE

2

Information System:HRIS

3


8/19

Types of CompaniesThe Wrong Way.

Wal-Mart(IS)

K-Mart(IS)

BUSINESS EFFECTAffordable Products

Number 1 in US!!

HiredI2 Technologies

IT Consulting Services

Supply Chain MgtSystem

ManufacturingInfo System!

BUSINESS EFFECTBankruptcy!!!


9/19

Types of CompaniesWhy did this happen?

Wal-Mart(IS)

K-Mart(IS)

BUSINESS EFFECTAffordable Products

Number 1 in US!!

HiredI2 Technologies

IT Consulting Services

Supply Chain MgtSystem

ManufacturingInfo System!

BUSINESS EFFECTBankruptcy!!!

THEY PROPOSED THEWRONG INFORMATION

SYSTEM

FOR THE WR0NGTYPE OF COMPANY!!!

DO NOT DO THIS!!


10/19

Types of Companies

How Can You Tell the Difference?Product Based

Company

1. Product is Tangible2. It is Manufactured

3. Problems are

discovered beforereceiving it

4. Can be stored


1. Service is Intangible2. It is Rendered

3. Problems are

discovered afterrendering it.

4. Cannot be stored

Source: http://www.bestbusinessinfo.com/1_4/tutorials/11405.htm#8
http://www.bestbusinessinfo.com/1_4/tutorials/11405.htmhttp://www.bestbusinessinfo.com/1_4/tutorials/11405.htm


11/19

Types of Companies

How Can You Tell the Difference?Product Based

Company

4. Delivered in aPackage

5. Can be delivered inany location

6. Does not requirecustomer contact


4. Rendered during aProcess

5. May require speciallocation

6. Requires customercontact



12/19

Combo Product & Service

Based Companies

S P

P

P

P

P

P

P

P

P

P

EXAMPLE: STARBUCKS

To Figure Out the AnswerThe Right Question Must Be Asked

S

S

S

S

S

S

S

S

S

EXAMPLE: GASOLINE STATION

WHAT IS THE CORE BUSINESS?


13/19

Types of Companies

Tell MeProduct or ServiceCompany

Coca Cola Bottlers

Sheraton Hotel Microsoft

Accenture

Ayala Life Proctor & Gamble

Product or Service?

Product Based Company

Service Based Company Product Based Company

Service Based Company

Service Based Company Product Based Company



14/19

Company Vision StatementIt is a statement declaring.

. where the company wants to goand

.what it wants to be

. In the futureExample: Defeat Yamaha!

Example: Destroy Lotus 123

Example: To be the first nation to land on themoon within 10 Years


15/19

Company Mission StatementIt is a statement declaring.

. The reason why the company

.exists and

. Its role to its customers

Example: Give Excellence inTeaching because each

student is a Child of God


16/19

Types of Companies

Why do you need to know this?

So you can propose

The Right Information System

For the Right Type of Company.


17/19

Role of InformationSystems (IS) Consultant:

Come up with Information Systems

To supportthe Vision Statement

To supportthe Mission Statement


18/19


Come up with Information Systems

To solveproduct and service problems.

To improveproducts and services.


19/19


INFORMATIONSYSTEM

SOLVEA BUSINESS

PROBLEM

IMPROVEPRODUCTS &

SERVICES

COMPANYMISSION

COMPANYVISION

YOUR BUSINESSADMINISTRATION SIDE

YOURCOMPUTER

APPLICATIONSIDE

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