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IT in Public Administration. Value Chain. Be Low Cost Producer - IT strategic if it can:. Help reduce production costs & clerical work Reduce inventory, accounts receivable, etc. Use facilities and materials better Offer interorganizational efficiencies.
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Be Low Cost Producer - IT strategic if it can: • Help reduce production costs & clerical work • Reduce inventory, accounts receivable, etc. • Use facilities and materials better • Offer interorganizational efficiencies
Produce Unique Product - IT strategic if it can: • Offer significant component of product • Offer key aspect of value chain • Permit product customization to meet customer’s unique needs • Provide higher/unique level of customer service/satisfaction
Fill Market Niche - IT strategic if it can: • Permit identification of special needs of unique target market • Spot and respond to unusual trends
Public Administration Issues • Proprietary vs Shared • Information technology is treated as a public good to be shared rather than a resource for competitive advantage.
Public Administration Issues • Proprietary vs Shared • Multiple Goals • Multiple and intangible goals, which may conflict, rather than profit. Goals may be desirable (reduce crime) even though there may be no known solution. Business systems are often driven by feasibility limitations.
Public Administration Issues • Proprietary vs Shared • Multiple Goals • Bureaucracy and paperwork • Governments by impression and law are charged to reduce paperwork and simplify interfaces.
Public Administration Issues • Proprietary vs Shared • Multiple Goals • Bureaucracy and paperwork • Political influences • Political cycles force a cyclical prioritization and annual budget horizons. Goals are often short term and oriented toward increased appropriations and electoral appeal.
Public Administration Issues • Proprietary vs Shared • Multiple Goals • Bureaucracy and paperwork • Political influences • Changes in elected leadership cause changes in basic program assumptions (tax categories).