Quiz #1 Communications 487, Tuesday, 13 February 1996 (each question worth 2 points) 1. Describe two of the ways in which "the information economy" has changed the way businesses operate. * Organizational changes (flatter organizations) Reduce cycle time Improve quality Improve community with customer Cut Costs Increase competition Encourage new products 2. What is the Internet and how is it different from an on-line service such as America OnLine? Internet is a network of networks of computer resources, internationally located. It was created a department of defense initiative to continue communications despite nuclear or other warfare. The Internet is free (although access may cost some users some money). On-line services such as America On-Line are proprietary (private) and available only for a fee to subscribers. Some of the content on AOL (and Prodigy, Genie, CompuServe, etc.) is unique to those services. 3. Why did Time-Warner (a publishing/cable company) and Disney (a movie studio/theme park company) each buy a television network ? They wanted a broadcast outlet for their films and other video products; they recognize that, despite great competition for viewers, that broadcast networks remain the most cost effective ways to reach broad (i.e. very large audiences); Sheer size is important for media companies in these turbulent times--small companies can't compete as effectively. These mergers create very big media empires. FYI: These mergers are NOT an example of convergence (which is more the technical process of delivering video/data/voice through various media). These media mergers are examples of vertical integration. 4. What is a "killer ap"? Provide at least one example. Killer application. A product or service that can create enough demand to drive the use of another product. Examples: movies are killer aps for VCRs Education for the internet Shopping for cable channels (Home shopping) pornography for cable and videocassettes 5. What are the four traditional roles or activities of management? Planning Organizing Directing Controlling 6. Why are many companies dispensing with or significantly changing their structure? What do these new organizations look like? WHY: To reduce costs Increase efficiency Achieve breakthroughs They are interlocking puzzles, team oriented, flattened, look like an orchestra rather than a pyramid. 7. List at least two ingredients for the successful working of groups or teams. understand and share objectives trust each other appreciate differening communications skills and personalities use talents of all have a leader distribute work fairly 8. Describe the process of organization change (sometimes described as "acts in the change play") 1. Recognize that change is needed 2. Make the case for change 3. Communicate, communicate 4. Gather data and measure progress 5. Delegate and empower others to take charge of change 6. Expect mid-course corrections will be needed. 9. Why do organizations find it difficult to achieve a "customer focus?" Customers are difficult Customer can't describe their needs There is no honor in service in our culture; service = servitude Customer needs change Companies organize for their own convenience, not their customers' needs 10. Steve Case from America OnLine says that media companies should be moving into on-line applications now, or they will lose some important opportunities. What are the examples he cites of lost opportunities in the recent past? MTV could have been the Rolling Stone Channel CNN could have been the Newsweek Channel ESPN could have been the Sports Illustrated Channel