ITM 707 Lecture Notes - Lecture 8: Network Effect, Social Media

• School: Ryerson University
• Department: Information Technology Management
• Course: ITM 707
• Professor: Sameh Al Natour

Document Summary

The shop managers have the option to order new designs twice a week using handheld computers. Before ordering, they can use these devices to check out the new designs. Once an order is received at the manufacturing plant at headquarters, a large computer controlled piece of equipment calculates how to position patterns to minimize scrap and cut up to 100 layers of fabric at a time. The cut fabric is then sent from zara factories to external workshops for sewing. The completed products are sent to distribution centers where miles of automated conveyor belts are used to sort the garments and recombine them into shipments for each store. Information systems (is) department wrote the applications controlling the conveyors, often in collaboration with vendors of the conveyor equipment. As the zara example illustrates, innovative use of a firm"s information resources can provide it substantial and sustainable advantages over competitors.