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Three Worlds of IT Essay (Critical Writing)

This article dwells upon the use or rather effective exploitation of IT. First, the author states that three categories of IT exist (McAfee 3). These are function IT, network IT and enterprise IT. The researcher provides a precise description of the three categories.

It is necessary to note that this classification can be very effective when choosing the right IT. Managers are able to evaluate cost-effectiveness of each category of IT and decide which one is needed in their organisation. The author also reveals the links between the three categories and managers can easily assess the way effectiveness of each category through analysis of the department’s (and the entire company) performance.

In my opinion, one of the most important advantages of the article is that the author provides a particular strategy to manage the three categories of IT. The researcher points out that effective management includes three stages: selection, adoption and exploitation. It is not surprising that companies often face numerous challenges during each stage and it is clear (though it is not mentioned explicitly) there are quite specific ways to address these issues.

Some of the most valuable hints I am taking on board is that each manager has to pay special attention to each stage. I also find questions to be asked during each stage very helpful. For me, one of the most difficult and key stages is selection. This is when managers have to be most attentive and deliberate.

Choosing the right IT is crucial for further performance of the company and it is not enough to hear a story of successful use of some IT to start utilising it. I agree that it is essential to consult with employees (IT professionals and other employees that will be involved in the process). It is also important to make sure that employees understand the benefits of using the new IT, otherwise, it will be misused and it can lead to losses.

Global Entrepreneurship

The article provides helpful insights into the way companies transform and become global. Thus, Li & Fung started as a conventional Chinese family business located in China but turned into a multinational company operating globally (Magretta 104). The company is doing global supply-chain management, which enables companies from different parts of the world to cooperate.

Thus, retailers address the company that finds the necessary suppliers from around the world to come up with high-quality and quite inexpensive products. As for me, one of the most remarkable peculiarities of the company is its attitude to entrepreneurship. Thus, managers of the company are, basically, entrepreneurs who are almost running their businesses when working with retailers.

It is clear that managers have to find the best options for the retailer and their approach is very effective. The head of the company also mentions that they invest into numerous entrepreneurial projects. I believe that the fact that they provide entrepreneurs with their resources is a great advantage for start-ups.

The company also receives numerous benefits since it receives profit and obtains another supplier. I think it is a very effective approach. To my mind, the company’s attention to information technology is also correct. The company needs to optimise its processes through investment into this sphere.

Otherwise, the organisation may lose its leading position. I also deem that the company is likely to face numerous challenges in the 2010s, as many retailers tend to address suppliers directly to minimise their costs. Therefore, Li & Fung has to offer really relevant value to retailers which is possible if the organisation uses most effective information technology to be able to remain the link between large retailers and small producers located in distant territories of the planet.

Commentaries A

1st Comment

I agree with you that selection of the right IT is of paramount importance for the company. I also think that the company’s top management should understand goals and aims of the organisation to make the right choice. I agree that the second and third stages (adoption and implementation) will be easy to go through if the right IT is selected, as employees will understand advantages of the new IT.

2nd Comment

Your response is full and it contains a real-life example, which is beneficial for understanding the way IT actually works in the business world. Reading an article about information technology is very useful, but it is even more effective to have an example of a particular company.

Emirati oil companies are now facing certain constraints and it is essential for them to optimise their processes. IT is crucial in this respect. You also mention that the stage of implementation is important. I agree with that as sometimes people feel more relaxed after the IT has been chosen and employees have adopted it.

It is really a crucial moment to make sure that the technology is utilised properly and meets the needs of the company as well as helps to reach its goals.

3rd Comment

You have a deep understanding of the matter. In your comment, you focus on the categories of IT. Hence, you find this the most important part of the article in question. Of course, it is important to understand what goals each type of IT can address.

However, I think it is also essential to understand how these types of information technology can be utilised in a company. I would be glad to see your opinion that as well. I believe sharing ideas on such matters help us grasp the necessary information better.

Commentaries B

1st Comment

I agree with you that dispersed manufacturing of the 21st century requires the use of sophisticated information technology. It is of paramount importance for companies operating globally as there are many important processes that has to be properly managed. I also believe you find the dispersed manufacturing effective.

However, I have not found exact reasons why you think so. This type of production involves quite significant logistics costs and it is rather unclear why the business is still highly profitable and how it is possible to increase its profitability.

2nd Comment

I liked your statement concerning the effectiveness of being narrowly focused. I agree that small entrepreneurial companies can be employed as the company’s units. I believe that the company benefits from collaborating with small enterprises that cannot compete in the global market but produce high-quality products at affordable prices.

These small enterprises are very flexible and can adjust to any requirements and needs, which is very important. Thus, the profits of Li & Fung are still high irrespective of significant logistics costs associated with producing global products.

3rd Comment

You focus on the use of IT in such global companies as Li & Fung. I also think that management of such companies should choose the right information technology to be able to respond to challenges that occur. I believe that the article concerning the three world of IT can be very helpful in this case.

It can help managers to make the right choice and prioritise correctly. Clearly, Li & Fung needs to improve all the three categories of IT (function, network and enterprise) to be able to expand further.

Works Cited

Magretta, Joan. “Fast, Global, and Entrepreneurial: Supply Chain Management, Hong Kong Style: An Interview with Victor Fung.” Harvard Business Review (1998): 102-114. Print.

McAfee, Andrew. “Mastering the Three Worlds of Information Technology.” Harvard Business Review (2006): 1-9. Print.

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IvyPanda. (2019) 'Three Worlds of IT'. 9 July.

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