Competitive Strategies Instructions The following website has information on the SIMATIC IT Preactor software: http://w3.siemens.com/mcms/mes/en/mescompo

Competitive Strategies Instructions

The following website has information on the SIMATIC IT Preactor software:

http://w3.siemens.com/mcms/mes/en/mescomponents/pr…

Questions

1) Explain in your own words the capabilities of the software. Have there been any success stories of companies using it? Are there similar products from competitors and how do these compare as far as capabilities are concerned?

(700 words)

2) Give an overview of E-commerce, M-commerce and E-business. Discuss how companies that work using the E-business model can obtain a competitive advantage in relation to traditional businesses. Explain how traditional companies can implement the E-businessmodel while keeping their traditional status. Also discuss how a traditional business can fully convert to an E-Business (dropping its traditional status). Analyse the benefits of E-commerce for the customers of such business.

(1000 words)

3) Read the case study for Assignment 2 and answer the following:

a) What were the concerns of the New York City cabbies over the new use of the new system? Were their concerns justified and why or why not?

b) If you were the manager of the New York City’s Taxi & Limousine Commission, what would you have done to create a smoother transition to the new system?

c) Many cabbies expressed the opinion that the technology being installed in their cabs was inevitable, no matter what their opinion. Do you agree with this assessment? Why or why not?

d) As a customer of a cab service, would you appreciate the benefits provided by the new system in New York City? Would it help provide you with a favourable view of the city in general? List the benefits and provide your view of each.

(800 words) MBALN-736A CASE STUDY for Final Examination
New York City Cabbies Strike Over New Information System
New York City’s Taxi & Limousine Commission has mandated that alt licensed city cab owners
install new information systems in their cabs. The new state-of-the-art system connects the cabs
to a wireless data network. The new system will not be used for dispatching cabs (most New York
City cabs are hailed from the curb) but will provide text messages informing cabbies of nearby
opportunities. It includes global positioning system technology that provides an interactive map
that passengers can use to see their current location, destination, and routes. The new system will
allow customers to pay via credit card, and will provide music and other forms of entertainment.
The system also automates the process of keeping business records of fares and trips and spits out
receipts for customers; cabbies will no longer need to maintain records with pencil and paper.
Sounds like a win-win situation, right? Many of the cabbies don’t agree. They are concerned that the
GPS system will track their movements after hours. About 85 percent of New York City cabbies are
independent contractors who own their cab and use it for their personal transportation while off duty.
They are also upset about the $1,300 that they need to pay for the system and a five percent required fee
for every credit card transaction made by their customers. Mostly, they are upset that they were not a part
of the decision and design process that led to the citywide mandate. In a headline-making move, the New
York Taxi Workers Alliance, which represents 10,000 of the city’s 13,000 cabbies, called a two-day
strike to pressure the city to rethink its new system.
Unfortunately, the strike had little effect as many cabbies stayed on duty, unable to afford the time off
of work.
The city is moving forward with the deployment of the new cab information system. It has justified
the expense to the cab drivers by pointing out the increase of cab fares over the past two years that
doubled driver wages to $28 an hour on average; an increase that was imposed with promises to
customers for better service and in-cab technologies.
New York City’s Taxi & Limousine Commission versus the New York Taxi Workers Alliance
provides several lessons about business interactions and information systems. Today’s businesses
have an incredible amount of pressure on them to implement the latest and smartest technologies
and information systems. Often it is a business’s information system that gives a business an
important advantage over its competition. The City of New York no doubt feels pressure to
provide visitors and locals with high-quality service and smooth running transportation systems.
If it fails in this regard, visitors and locals may begin to find other cities more attractive to visit
and reside in. Information systems also allow businesses to operate more efficiently and
effectively. The new system for New York City cabs ultimately saves drivers and passengers time
and energy.
Finally, this story illustrates a resistance to change that is often experienced when
implementing sweeping new information systems in large businesses and organizations. Many
businesses today are revamping entire corporate systems and investing in retraining employees
and winning them over to the new system. This is an integral and challenging part of new system
implementation. So should you visit New York City anytime soon, and experience the cool
technology built into the cabs, remember the struggle that went into bringing this new system to
life, and give your driver a generous tip.
SOURCES: H ambLen, Matt, “N.Y. taxi agency says cabs will get GPS technology, despite strike threat,”
Computerworld, August 7, 2007, www computerworld. com/action/article.do ?
command=viewArticleBasic&articleld=9032482&source=rss_news10. Hamblen, Matt, “N.Y. taxi
drivers set strike date to protest GPS systems,” Computerworld, August 23, 2007,
www.computerworld.com/ a ction/articl e. do ?command= vie wA rticl eBasic& articl
e/d=9032482&source= rss_news!0. Lopez, Elias, “City Cabdrivers Strike Again, but Protest Gets Little
Notice,” New York Times, October 23, 2007, www.nytimes.com/2007/10/23/ nyregion/23taxi.html?_r=1
&ref=nyregion&oref=slogin.

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