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 harbor IT doesnt matter (Harvard Business Review, May 2003) that IT spending is, to fair about extent, a waste of money and does not get out 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 distinguishing characteristic impossible; * Its wide buildout: opportunities dwindled with the disappearance of proprietary ownership; and * Its diminish investment consequence: simpler and cheaper alternatives can be found (such as outsourcing and partnership) to replace the expensive but less innovative IT investment. Therefore, perplexity should, as Carr argued, spend wisely their bud earn and abbreviate IT investment; being a follower can be a good select (contr ary to being a leader); moreover, heighten should be put on risks of IT instead of advantages search. However, this article raise several questions to be answered: FIRST, IS selective information TECHNOLOGY the likes of INFRASTRUCTURE TECHNOLOGY, SUCH AS rail line AND electrical POWER, TO A FIRM? The answer is no.

Though IT and infrastructures atomic number 18 both means of transport mechanism, as thrive in the article, their functions / utilities to a company are quite different. For example, conjecture a shoe maker who uses highway to carry harebrained materials (such as leather, rubber, etc.), elec tricity to index the machines, and an IT sy! stem to collect guest data. In this case, highway (in connection with raw materials) and electric great power are connectednessed to the cost side of the shoe maker; 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 take to get a full essay, order it on our website: OrderCustomPaper.com

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