Business Plan

Business Plan and Strategy Management

IT Management

Individual Project 1-5

Kimberly Davidson

November 27, 2017

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Business Plan

ContentsQualitative Evaluation of the Industry’s Strategic Position..........................................................................3

Strategic Information Systems Assessment.................................................................................................5

Information Systems Business Case.............................................................................................................6

Strategic Business Plan................................................................................................................................7

Project Management Plan...........................................................................................................................8

References:

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Business Plan

Qualitative Evaluation of the Industry’s Strategic Position

The central processing unit (CPU) is the computer component that's responsible for interpreting

and executing most of the commands from the computer's other hardware and software. All sorts

of devices use a CPU, including desktop, laptop, and tablet computers, smartphones... even your

flat-screen television set.

Intel and AMD are the two most popular CPU manufacturers for desktops, laptops, and servers,

while Apple, NVIDIA, and Qualcomm are big smartphone and tablet CPU makers.

You may see many different names used to describe the CPU, including processor, computer

processor, microprocessor, central processor, and "the brains of the computer."

Computer monitors, or hard drives are sometimes very incorrectly referred to as the CPU, but

those pieces of hardware serve entirely different purposes and are in no way the same thing as

the CPU.

Unlike other components of a notebook computer, the processor is a fixed component. This

contrasts with RAM and hard disk storage which can be upgraded in many cases. Therefore,

another consideration is the fact that the CPU you choose will be the same throughout the life of

the system. This implies that as applications and operating systems become more sophisticated,

the computer's ability to handle them will be directly affected by the purchase decision made all

that time ago. This choice may mean the difference between a system that is useful for another

year or two versus one that is not.

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Business Plan

Threat of new entrants: Low

There are plenty of companies that make CPU’s all around the world however, non-have

proven to have the capability or standards of those in the top ten most made or produced

in Silicon Valley.

Bargaining power of customers: Low to moderate

Customers must know the common metrics used for CPU comparison. These are clock

speed (GHz frequency), number of processor cores, cache memory capacity, and

overclocking capabilities. Buying the best CPU entails matching performance metrics

with the planned use of the PC. Avoid common mistakes like buying an Intel Core i7 for

gaming, thinking it that it outperforms the lesser-priced Intel Core i5 in that area. It

doesn’t—Intel Core i7 architecture is tuned for pro content creation applications and

offers negligible advantages for running games. (newegg.com)

Consider first what you want the computer to do and choose components most

appropriate for those tasks. Start like this:

1. Collect system requirements for games of applications you plan to use.

2. Set a budget for the entire system; how much do you have to spend?

3. Think about the lifecycle of your PC hardware; how long before you want to

upgrade?

Bargaining power of suppliers: low

The bargaining power of buyers is weak to moderate which is because the number of

large players with established brand image is low. The customers are mainly either

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Business Plan

individuals or organizations.  Customer loyalty is high because customers would buy

from a brand they consider reliable. Dell has focused on excellent customer service and

these factors together reduce the bargaining power of buyers

Intensity of competitive rivalry: moderate

AMD and Intel this year, are both doing drastically different things with their processors.

Intel has kept its focus on higher clock speeds and lower core counts while AMD has

doubled down on what it knows by integrating insane numbers of cores in its processors

at acceptable frequencies. AMD is building up quite the savings account with its Ryzen-

branded processors, namely the ‘high-performance’ chips gamers enjoy such as those

featured in the Threaddripper series. Meanwhile, Intel is experiencing a wealth of growth

except in the desktop processor category, indicating some sure-fire competitive progress

from AMD. That said, it isn’t far-fetched to say AMD and Intel can cater to different

audience’s side-by-side with some overlap in between. (techradar.com)

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Business Plan

Strategic Information Systems Assessment

The following chart is a SWOT analysis of the company AMD which is the 2nd largest global supplier of microprocessors.

SWOT Analysis

Strengths

1. Strong brand in Microprocessor and PC market

2. Strong focus on Research and development capabilities

3. AMD has a global presence

4. AMD operates in GPU (graphical processing unit) and Microprocessor market with only single competitor in each market, Nvidia and Intel respectively.

Weaknesses

1. Weak performance of computing segment due to advent of tablets, handhelds

2. Lack of penetration into mobile market

3. Intense competition means limited scope for capturing huge market share

Opportunities

1. Innovation for mobile platforms and tablets

2. New product and services expansions

3. Presence in virtualization space

Threats

1. Competition from Intel and Nvidia

2. Environmental regulations

3. Declining PC shipment

Competition

Competitors1. Intel 2. Nvidia

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(hbr.org)

Though not considered the behemoth in the personal computing space as Intel, AMD is a

decisive runner-up—and arguably the only true competitor Intel has in this domain. After

spending much of the early to middle 2000's as being the performance and value leader with their

Athlon 64 line of personal computing processors, AMD—unable to mimic this success in more

recent years, has shifted their focus towards both enthusiast and budget-oriented system

configurations. As a result, AMD is a viable alternative to Intel. Their current offerings are

flanked by the Phenom series processors and Fusion APU processors. The Fusion APU (AMD

A-Series) is a relatively new platform (as of 2011 and ongoing) that attempts to merge high-end

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graphical capabilities on the same chip as the processor. This means if your work or play

requires a powerful graphics card, then AMD can potentially offer a cost-effective alternative.

The tables below are processor comparison tables from wisc.edu to show that while very

different because of the computer industry, both have the same quality on some of the same

levels.

Intel Comparison Table

Recommended For

Last Generation Released

(Codename)

Number of

CoresNotable Features

Additional Product

InformationProduct

Commentary

Core i7

Enthusiasts, Superior All-

Around Performance, Multi-tasking, Multimedia Creation, Advanced

Productivity and Advanced 3D

Graphics

2012 ("Ivy Bridge") and

upcoming

2 or 4

(1) Hyper-Threading(2) Turbo

Boost(3) QuickPath InterConnect(4) Tri-Gate

(3D) Transistors(5) Intel HD

Graphics(6) 64-bit

Intel

The Intel Core i7 represents the

company's most feature robust

processor offering. They are Intel's flagship

series of processor, achieving the greatest

levels of relative performance. As an excellent all-around processor, the i7 is

ideal for enthusiasts, gamers, power users and content creators

alike. They are available for both

desktop and notebook platforms. The current

generation of i7 (as well as i3 and i5)

processors is Ivy Bridge as of Mid-2012.

Core i5

 

All-Around Performance, Multi-tasking, Advanced

Producivity, Multimedia,

Advanced 3D Graphics

2012 ("Ivy Bridge") and

upcoming

2 or 4 (1) Hyper-Threading (on

i5 Mobile Dual-Core only, not

available on Quad-Core

desktop version)(2) Turbo

Boost(3) QuickPath InterConnect(4) Tri-Gate

(3D) Transistors(5) Intel HD

Graphics(6) 64-bit

Intel The Intel Core i5 is a class of high-

performance processor just a notch beneath the i7. Though they generally possess

same features as the i7 with some exceptions (see Features), they have less cache (L3)

memory which amounts to similar, but lesser all-

around performance. Like the i7 and i3, the i5

features Intel's high performance integrated

graphics in the HD 3000/4000. Most users

will find the general

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Business Plan

level of perfomance offered by the i5 to be

an attractive option compared to a more

expensive i7-equipped system.

Core i3

 

Productivity, Multi-tasking, Basic

Graphics, Multimedia

2012 ("Ivy Bridge") and

upcoming2 or 4

(1) Hyper-Threading

(2) QuickPath InterConnect(3) Tri-Gate

(3D) Transistors(4) Intel HD

Graphics 3000

(5) 64-bit

Intel

The Intel Core i3 processor is the closest successor to the now

out-of-production Core2Duo processor. The most significant differences between the i3 and i5/i7 is the

lack of Turbo Boost and less cache (L3)

memory. The i3 offers moderate all-around performance and is

often found in budget-oriented systems.

Pentium (Post-2009)

Productivity, E-mail, and Web

Browsing, Photos and Music

2011 ("Sandy Bridge") 2

Hyper-Threading (however,

most currently do not

support this feature)

Intel

The Intel Pentium as a product line had built a strong reputation with consumers in the 90's

through the early 2000s with the Pentium

I/II/III/4 series. Formerly a flagship line of

processor, the Pentium is currently in

production as a budget-oriented option just

above the Celeron in terms of relative

performance. The most recent iteration of the Pentium takes some

architectural cues from the Core i series with

the 2011 Pentium based on the Sandy

Bridge, offering performance suitable for most basic tasks.

Celeron(Post-2010)

 

Productivity, E-mail, and Web

Browsing, Photos and Music

2011 ("Sandy Bridge") 2 64-bit Intel

Throughout its many iterations, the Intel

Celeron has occupied the lower end of the processor market in

terms of both price and performance. Updates to the Celeron based on current generation

architecture have been made to keep the

processor relevant. The improvements are

enough such that they allow for running

current productivity packages and web

applications. They are best considered for an

entry-level system.

Atom Basic Productivity, E-mail, and Web

Browsing

2012 ("Cedar Trail") and upcoming

1 or 2 (1) Hyper-Threading(2) 64-bit

Intel The Intel Atom belongs almost exclusively to a

class of personal computers known as

netbooks (nettops and

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Business Plan

tablets are the lesser common instances). The Atom is focused

not so much on performance as it is on

reducing power consumption. As a

result, many netbooks offer excellent battery life at the cost of being

unable to run more sophisticated

applications beyond web browsing and word processing. Generally

speaking, netbook processors such as the

Atom do not see substantial

performance gains with subsequent generations.

Retiring/Retired Product Lines

Core 2 Duo & Core 2 Quad

Multi-tasking, Productivity and

Multimedia2008 2 or 4 64-Bit

Intel-  Core 2 Duo

- Core 2 Quad

Though the Core 2 Duo and Core 2 Quad

processors are still in production, the platform has been succeeded by the Core i Series since late 2008. Despite this, these processors are still very servicable providing adequete

levels of performance for multitasking to varying levels of

multimedia creation and productivity

applications.

Core Solo/Core Duo/Centrino & Celeron (Pre-

2010)

Basic Productivity, E-mail, and Web

Browsing2006 1 or 2 32-bit N/A

The Core Duo/Duo Centrino processors preceeded both the

Core2 and Core i series of processor. Generally

do not recommend running current

software for optimal use; consideration of an upgrade path is

recommended soon.

Pentium III & Pentium 4

Legacy software and operating

systemLate 90s/Early

2000s 1

Pentium 4: mostly 32-bit later versions

64-bit, w/Hyper- Threading

N/A

An upgrade path is highly recommended;

Usefulness is relagated to doing basic tasks

such as running older versions of Microsoft

Office or browsing webpages absent of the latest media or

plugins such as Flash or Java.

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Business Plan

AMD Comparison Table

Recommended For

Last Generation Released

(Codename)

Number of

CoresNotable Features

Additional Product

InformationProduct

Commentary

FX 

Desktop Enthusiasts, All-

Around High Performance

2012 ("Bulldozer")

and upcoming4, 6, 8

(1) HyperTransport(2) Integrated

DRAM Controller with AMD Memory

Optimizer(2) AMD Turbo

CORE(3) AMD

Virtualization(4) AMD

PowerNow! (Cool'n'Quiet)

(1) AMD(2)

Architectural Features

Available exclusively on desktop

platforms, AMD FX targets custom

builders and enthusiasts. This is a

processor that far surpasses the needs of the average user. However, given the

amount of performance it

provides combined with the relative low cost, it becomes an attractive option for budget custom PC

builds. The FX along with the A-Series, represent AMD's current flagship

products and later releases within these

product lines are planned.

A-Series (Fusion) A4: Basic All-Around

Use/Productivity, Casual Gaming

A6, A8: All-Around Performance, Multimedia,

Advanced 3D Graphics

2012 ("Trinity") and upcoming

A4: 2

A6, A8: 4

DirectX 11 Capable Graphics

(1)  AMD (2)  Notebook

Features

The AMD A-Series (AMD Fusion) are a

type of chip that merges the CPU with a high-performance

GPU (graphics processing unit)

resulting in a versatile system that

is very power efficient. They are

available in desktops, laptops and most recently, ultrabooks. Where

the A4 APU is found in less expensive,

entry level systems, the A6 and A8 are more suited for all-

around use w/advanced graphics applications (such as

gaming or 3D modeling). In May

2012, AMD released the next generation of Fusion A-Series

processors known as "Trinity", these

processors promise much greater graphical and

general purpose performance. AMD

has aligned Trinity as

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Business Plan

an answer to Intel's Ivy Bridge. 

Phenom IIAdvanced

Productivity, HD Video, 3D

Graphics, Photos and Music

2010 2, 3, 4, 6

(1) HyperTransport™

(2) Integrated DRAM Controller

with AMD Memory Optimizer 

(3) AMD Turbo CORE

(4) AMD PowerNow!

(Cool'n'Quiet)(5) AMD

CoolCore!

(1) AMD   (2) Key

Architectural Features

The AMD Phenom II is primarily a class of

high-performance desktop processor.In 2010, AMD claimed to be the first in the industry to offer a

consumer class six-core processor though the X6.

Mobile variants of the Phenom II were

introduced as well, but not in the six-

core flavor. Though new generations of this product line are

no longer in the works, this line of

processor is still sold as a low-cost,

budget-oriented option for custom

system builds. The performance of this processor is more than enough for

everyday usage and productivity.

Athlon IIBasic Multi-

tasking, Productivity and

Multimedia Applications

2011 and upcoming 2, 3, 4

(1) AMD Virtualization

(2) AMD PowerNow!

(Cool'n'Quiet)(3) AMD

CoolCore!

(1)  AMD   (2) Key

Architectural Features

The Athlon II is a relatively recent processor taking

design cues from the Phenom II. Unlike

the Athlon Classic, is still in production and

far more suited to current productivity

applications such as Microsoft Office as well as multitasking

and multimedia applcations. It is

found in both laptops and desktops as a

reasonably-powered, cost-effective option.

Turion II

Productivity, Photos, and Music 2010 1 or 2

(1) HyperTransport

(2) 64-bitAMD

The Turion II is a processor based from the same

architecture in the Phenom II and Athlon II. It was introduced as a

competitor to Intel's Core 2 Duo. As a

result, its performance should be very suitable for

productivity software. They designed with power efficiency in mind and is found

primarily in notebook configurations.

Sempron Basic Productivity, E-mail, and Web

2010 1 or 2 (1) HyperTransport

(2) 64-bit

AMD The Sempron is the AMD analogue to the

Intel Celeron. It

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Business Plan

Browsing

offers very basic levels of

performance and is updated every so

often so as to offer an inexpensive

option capable of running recent

versions of productivity software such as Office 2010

as well as web applications.

Retiring/Retired Product Lines

Phenom Multi-tasking, HD Video, Basic

Graphics2008 2, 3, 4

(1) HyperTransport

(2) AMD PowerNow!

(Cool'n'Quiet) (3) AMD

CoolCore!

AMD

The AMD Phenom processor preceded

the Phenon II. Though the

processor is no longer in production,

it is generally considered lower-middle range in performance;

suitable for multi-tasking and more

than casual use. The Phenom was

available only for desktop platforms.

Athlon (Classic) Web Browsing, E-mail

Not In production

(1999-2005)1 or 2 32-bit or 64-bit N/A

Formerly known as just the Athlon, the Athlon Classic has

not been in production since 2005. The kind of

performance is extremely limited for today's applications

and is recommended for only the most

basic of uses. Generally, a

complete system upgrade from this processor range

would be advisable if your needs fall

beyond web browsing and e-mail

tasks.

 

Wiseman’s Framework analysis:

1. Differentiation thrust: This helps in focusing on the information that has been left unfulfilled or there is some gap in the expected and provided service.

2. Cost thrust: this kind of thrust focuses on minimizing the cost and increasing the competitor cost.

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Business Plan

3. Innovation thrust: This kind of thrust focuses on doing something different which includes making new products with differentiating features and specifications.

4. Growth thrust: This kind of thrust focuses on increasing the horizon of the business that includes increasing volume and market size.

5. Alliance thrust: This kind of thrust focuses on the mergers and acquisitions for increasing the business and making the firm more competitive. (mbaskool)

With our company trying to acquire AMD we can possibly make it more profitable than it

already is because our cost are not as high as our number one competitor Intel, the technology

changes fast because of engineers with qualified skillsets vying to be the next best thing or the

next new name in the industry. According to the United States Census Bureau 78% percent of

households had a computer in 2015, 75% percent had a handheld computer such as a smartphone

or tablet. Ninety percent of households with householders aged 15 to 34 had a handheld

computer, compared with 89 percent where the householder was aged 35 to 44, 78 percent where

the householder was aged 45 to 64, and 47 percent where the householder was 65 years and

older. Similar to desktop or laptop ownership or use, there were narrow differences in broadband

Internet subscription among the three younger age groups, with percentages ranging from 80

percent for the 45- to 64-year-old group to 84 percent for the 35- to 44-year-old group, compared

with only 62 percent of households headed by a person aged 65 and older.

Refrences:

https://hbr.org/1979/03/how-competitive-forces-shape-strategy

researched November 30, 2017

https://kb.wisc.edu/page.php?id=4927 researched November 30, 2017

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Business Plan

https://www.mbaskool.com/business-concepts/marketing-and-strategy-terms/2050-sssstrategic-thrusts-wiseman.html researched November 30, 2017

https://www.census.gov/content/dam/Census/library/publications/2017/acs/acs-37.pdfresearched November 30, 2017

Information Systems Business Case

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Strategic Business Plan

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Project Management Plan

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https://www.newegg.com/CPUs-Processors/Category/ID-34

http://www.techradar.com/news/computing-components/processors/intel-vs-amd-which-processor-is-best-936589

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