Summary of Carr

Summary of Carr (2003) Companies pass on more money on IT, that does this spending generate strategic advantages and if not, what should companies do? Nicholas G. CARR argued in the stick around IT doesnt matter (Harvard Business Review, May 2003) that IT spending is, to adept about extent, a waste of money and does not supply companies to seize any strategic advantages over their competitors due to: * Its replicability: the generic IT applications put up in generic business process, which makes metier impossible; * Its wide buildout: opportunities dwindled with the disappearance of proprietary ownership; and * Its decrease investment consequence: simpler and cheaper alternatives can be found (such as outsourcing and partnership) to replace the expensive but less innovative IT investment. Therefore, instruction should, as Carr argued, spend wisely their bud earn and precipitate IT investment; being a follower can be a good select (contrary to being a leader); moreover, stress should be put on risks of IT instead of advantages search. However, this article increase several questions to be answered: FIRST, IS selective information TECHNOLOGY desire INFRASTRUCTURE TECHNOLOGY, SUCH AS rail line AND electric automobile POWER, TO A FIRM? The answer is no.

Though IT and infrastructures argon both means of transport mechanism, as plump in the article, their functions / utilities to a company are quite different. For example, ponder a shoe maker who uses highway to carry frantic materials (such as leather, rubber, etc.), electricity to index the machines, and an IT system to collect client data. I! n this case, highway (in connection with raw materials) and electric indicant are connectered to the cost side of the shoe shaper; that is to say, with these infrastructures, company saves time, money and energy that are directly link up to the production of shoes (ie. improves the top lines of its income statements). However, the customer data experience nothing to do with its production of shoes: they...If you insufficiency to get a full essay, order it on our website: OrderCustomPaper.com

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