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Managing Technology P. 4

Page 8 of 15

  • The Impact of IT Investments on Profits

    New research finds that investments companies make in information technology increase profitability and sales more than investments in advertising or R&;D do.

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  • The Manager's Guide to IT Innovation Waves

    Executives must decide which IT innovation "waves" to catch & #8212; and which ones to let roll by.

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  • The Secrets to Managing Business Analytics Projects

    It takes a special breed of project manager to execute business analytics projects.

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  • Unlocking the Business Potential of Virtual Worlds

    Virtual worlds have been slow to catch on in businesses — but employees familiar with the technology may help.

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  • The Surprising Impact of Fashions in Information Technology

    Large companies that invest in trendy IT innovations may see their reputations — and CEO compensation — increase the next year.

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  • Where the Money Isn't

    In theory, IT innovation is important — except it's often not a priority in company budgets.

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  • The 4 Ways IT Is Revolutionizing Innovation

    The rising data flood and emerging tools for analyzing it are changing the ways innovation gets done.

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  • What the GDP Gets Wrong (Why Managers Should Care)

    The irony: We know less about the sources of value in the economy than we did 25 years ago.

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  • Finding New Uses For Information

    On the Web, innovative data reuse yields opportunities — and legal questions.

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  • How to Profit From a Better Virtual Customer Environment

    Many companies have established technology-based platforms or virtual customer environments to partner with their customers in innovation and value creation. In pursuing such initiatives, most companies seem to focus primarily on customers' innovative contributions, paying limited attention to customers' interaction experiences in the VCE. But the VCE experience has broader and more profound implications -- particularly for customer relationship management. In this article, the authors offer a framework to help companies understand and evaluate customers' VCE experience profile. The authors describe five customer roles in innovation and value cocreation: product conceptualizer, product designer, product tester, product support specialist and product marketer. Each role has something to offer. However, depending on the customer innovation role, the nature of the customer interactions and the technologies used in the VCE will vary. The VCE customer experience is made up of four components: the pragmatic experience (its ability to provide information), the sociability experience (how it promotes group discussion), the usability experience (defined by the quality of the human-computer interactions) and the hedonic experience (relating to mental stimulation and entertainment). Drawing on examples from companies including Microsoft, SAP, Samsung, BMW, Volvo and Ducati, the authors suggest strategies and practices to enhance customer experiences in VCEs and ensure favorable outcomes in terms of both innovation management and customer relationship management. Designing and implementing the right system can help companies improve innovation and customer relationship management. Therefore, managers should view their VCE initiatives as an integral part of their overall innovation and customer strategies. What's more, the costs of implementation can vary widely. Therefore, companies need to be careful about selecting and implementing a portfolio of strategies and practices that meets the needs of the types of customers they want to engage in value cocreation.

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