Task 6

• Operational Excellence

Ø  Improved efficiency results in higher profits and productivity

Ø  Information systems and technologies help improve efficiency and

Ø  productivity

Ø eg: Johor Port use 
     > Container Management System

     > Gate Control And Monitoring System ( GCAMS )         

     > Port Radar System

     > Vessel Clearance System ( VCS )

     > Safety And Security

• New products, services, and business models

Ø  Information systems and technologies enable firms to create new products,

Ø  services, and business models

Ø  Business model: How a company produces, delivers, and sells its products

Ø  and services

Ø  How a company generates benefits (wealth)-

Ø  E.g. Johor Port have

               > Container Terminal

        > Free Zone

        > Marine Services

• Customer and supplier intimacy

Ø  Customers who are served well become repeat customers who

Ø  purchase more

Ø  It costs six times more to sell to a new customer than to an

Ø  existing customer”

Ø  Close relationships with suppliers result in lower costs
E.g. Johor Port have

     > Advance technology used

    > Good management system

    > Large area for the business purpose

• Improved decision making

Ø  Data that is not timely or helpful, may lead to drastic consequences (e.g. stock market share)

Ø  Real-time data improves ability of managers to make decisions

• Competitive advantage

Ø How a company surpasses another one in an arena of service, product, marketing, sales, etc.

– Advantages over competitors:

 Ø Charging less for superior products, better performance, and   better response to suppliers and customers.

•  Port of Pasir Gudang handles various type of cargo (liquid bulk, container, break bulk)

· Survival

Ø Businesses may need to invest in information systems in order to survive

Ø It is a must of doing business in order to Keeping up with competitors