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  ISYS5006 - Information Systems Service Management



Whilst this unit has a focus on ITIL and incorporates the foundation material, it also seeks to ask students to understand Information Systems and Technology in the broader business context. Therefore additional content from the textbook is utilized to build this knowledge and provide a practical aspect to your understanding.
Your assignment content is therefore seeking to build your understanding by taking discussion questions from across the textbook and asking you to provide applied answers. Guides will be given to the appropriate chapter. Questions may require you to do further investigation and not rely solely on the content of a chapter. Questions appear in the chapter order as used in the unit calendar.
Whilst this is not a formal essay assignment your submission should include a cover page with your name and student number, appropriate formatting and referencing (as required).

Questions – Note that each question is worth 20 marks.

1. Chapter 5 

Tesco, the U.K. retail grocery chain, used its CRM system to generate annual incremental
sales of £100 million. Using a frequent-shopper card, a customer got discounts at the time of
purchase and the company got information about their purchases, creating a detailed database of
customer preferences. Tesco then categorized customers and customized discounts and mailings,
generating increased sales and identifying new products to expand their offerings. At the individual
stores, data showed which products must be priced below competitors, which products had fewer
price-sensitive customers, and which products must have regular low prices to be successful. In
some cases, prices are store-specific, based on the customer information. The information system
has enabled Tesco to expand beyond groceries to books, DVDs, consumer electronics,
flowers, and wine. The chain also offers services such as loans, credit cards, savings accounts, and
travel planning.
a) What can Tesco management do now that they have a CRM that they could not do
 prior to the CRM implementation? 

b) How does this system enable Tesco to increase the value provided to customers?
c) What focus is used in providing value i.e. Strategic, tactical or operational? Why is the choice of 
 focus important?

d) Is the value sustainable over time?
 In general describe the advantages provided by aligning a CRM system to an organization’s 
strategic objectives.
Part A:
own following is a diagram from ITIL that describes how IT moves from a technology to business focus. (A larger view is shown on the last page)
Compare this view to the model shown in Chapter 8, figure 8.1 and the list of IT activities that the textbook shows as being the responsibility of IT. 

 Discuss why there has been a change in the role of the management of IT and if the two models can be reconciled.

Part B
 In the following table are comparative typical IT portfolio profiles for different business strategies from Weill and Broadbent’s study. 
 Explain why infrastructure investments are higher and transactional and informational investments are lower for a firm with an agility focus than a firm with a cost focus.
 Also, how would you explain the similar values for strategic investments among the three profiles?
4. Chapter 13
The following question is based around the content of Chapter 13, but will require some research on the students’ part.
The European Union will introduce “General Data Protection Regulations (GDPR)”  on 25/05/2018. You are required to complete the following tasks:
Compare the Privacy Principles of Australia with the GDPR . What is the same/what is different?
 If you maintain an office in the EU, but are based in Australia are you required to abide by the GDPR?
The EU and the US created a “Privacy Shield” in 2016. What impact does the GDPR have on the EU-US Privacy Shield agreement?
5. Based on Chapter 10 – Further Research
Explain and compare the concepts of “integration” and “outsourcing”?

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