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I.T. Innovations in Business. Teaching handbook

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Ministry of Science and Higher Education
of the Russian Federation
Ural Federal University
named after the First President of Russia B.N.Yeltsin
E.Agbozo, D. M. Balungu
I.T. INNOVATIONS IN BUSINESS
Teaching Handbook
Recommended by the methodological council
for university students studying in areas of training
09.03.01 —Informatics and Computer Technology;
09.03.03, 09.04.03 — Applied Computer Science;
09.03.04 —Software Engineering
Ekaterinburg
Ural University Press
2024
UDC 004:334.722(075.8) BBC 16.2я73+65.29я73
А23
Reviewers: Department of Information Technologies and Statistics of the Ural State University of Economics (V. M.Kormyshev, Head of the De­partment, Ph. D. of Engineering Sciences, Associate Professor); D.G. Ermakov, Ph. D. of Physics and Mathematics Sciences, Associ­ate Professor, Art. Scientific co-workers Laboratory of Scientific In­formation Resources, Department of Differential Equations, Insti­tute of Mathematics and Mechanics named after N.N. Krasovsky, Ural Branch of the Russian Academy of Sciences
Scientific Editor —Doctor of Physics and Mathematics, Profes­sor D. B. Berg
The cover image was generated using Fusion Brain AI.
Agbozo, Ebenezer.
А23
I.T. Innovations in Business : teaching handbook / E.Agbozo, D.M. Balungu ; Ministry of Science and Higher Education of the Russian Federation. — Ekaterinburg : Ural Univ. Press, 2024. — 72 p. — ISBN 978-5-7996-3863-4. — Text : direct.
ISBN 978-5-7996-3863-4
The tutorial covers the basic concepts, models and methods of the information systems development life cycle.
The main objective of the manual is to develop students’ information systems life cycle management skills and prepare them to solve practical development and management problems, to design information systems and improve the business processes of organizations.
Bibliography: 5 Sections. Figures 25. Table 1.
UDC 004:334.722(075.8) BBС 16.2я73+65.29я73
ISBN 978-5-7996-3863-4
© Ural Federal University, 2024
Министерство науки и высшего образования
Российской Федерации
Уральский федеральный университет
имени первого Президента РоссииБ. Н.Ельцина
Э. Агбозо, Д. М. Балунгу
IT-ИННОВАЦИИ В БИЗНЕСЕ
Учебное пособие
Рекомендовано методическим советом
Уральского федерального университета
для студентов вуза, обучающихся по направлениям подготовки
09.03.01 —Информатика и вычислительная техника;
09.03.03, 09.04.03 —Прикладная информатика;
09.03.04 —Программная инженерия
Екатеринбург
Издательство Уральского университета
2024
УДК 004:334.722(075.8) ББК 16.2я73+65.29я73
А23
Рецензенты: кафедра информационных технологий и статистики Ураль­ского государственного экономического университета (завкафедрой канд. техн. наук, доц. В. М. Кормышев); канд. физ.-мат. наук, доц. Д. Г.Ермаков, ст. науч. сотр. ла­боратории научно-информационных ресурсов отдела диф­ференциальных уравнений Института математики и меха­ники им. Н.Н. Красовского УрО РАН
Научный редактор —д-р физ.-мат. наук, проф. Д. Б. Берг
Изображение на обложке сгенерировано с помощью нейросети Fusion Brain.
Агбозо, Эбенезер.
А23
IT-инновации в бизнесе : учебное пособие / Э. Агбо­зо, Д. М.Балунгу ; М-во науки и высшего образования РФ. — Екатеринбург : Изд-во Урал. ун-та, 2024. — 72 с. — ISBN 978-5-7996-3863-4. —Текст : непосредственный.
ISBN 978-5-7996-3863-4
В учебном пособии рассмотрены основные понятия, моде ли и методологии жизненного цикла разработки информацион­ных систем.
Основная задача пособия— развитие навыков управления жиз­ненным циклом информационных систем у иностранных студен­тов и подготовка их к решению практических задач разработки и управления, к проектированию информационных систем и улуч­шению бизнес-процессов организаций.
Библиогр.: 5 назв. Рис. 25. Табл. 1.
УДК 004:334.722(075.8) ББК 16.2я73+65.29я73
-
ISBN 978-5-7996-3863-4
© Уральский федеральный университет, 2024
Table of contents
1. The 4th indurial revolution ................................................7
1.1. The Digital Economy......................................................7
1.2. Digital Transformation ...................................................9
1.3. Defining Innovation..................................................... 11
1.4. Disruptive Innovation................................................... 12
1.5. Diffusion of Innovation ................................................14
1.6. Gartner Hype Cycle ..................................................... 16
1.7. Innovation and ESG..................................................... 18
Questions for Chapter 1 .......................................................20
2. Innovation management .................................................22
2.1. Value Creation..............................................................24
2.2. Innovation models........................................................ 26
2.3. Innovation Management Case Studies.......................... 27
Questions for Chapter 2 .......................................................30
3. Modern technological innovations ................................ 31
3.1. Big Data and Artificial Intelligence................................ 31
3.2. Blockchain Technology and Web 3.0 ............................ 35
3.3. Digital Twins................................................................ 41
3.4. Virtual Reality and Augmented Reality......................... 45
3.5. FinTech........................................................................ 47
Questions for Chapter 3 ....................................................... 51
5
Table of contents
4. Assessing innovative digital products ...........................53
4.1. SWOT Analysis............................................................. 53
4.2. PESTEL Analysis......................................................... 55
4.3. HIIT Matrix................................................................. 58
4.4. Urgency vs. Business Value Matrix ............................... 60
4.5. Value vs. Complexity Quadrant..................................... 61
4.6. MoSCoW Prioritization Model..................................... 62
4.7. Decision Trees— Expected Commerce Value ...............64
4.8. Multi-Criteria Decision Making ................................... 65
4.9. Data Envelopment Analysis.......................................... 67
Questions for Chapter 4 .......................................................70
References.............................................................................. 71
6
1. The 4th indurial revolution
1.1. The Digital Economy
With the advent of modern technological innovation, digital trans­formation of business processes has influenced the socio-economic fabric. The term “Digital Economy” dates back to 1995 in a book with the same title by Don Tapscott. Experts have defined the digital economy as ‘that part of economic output derived solely or primar­ily from digital technologies with a business model based on digital goods or services’. The digital economy is characterized by dynamic efficiency. Digital economy is the use of information technology to create or adapt, market or consume goods and services. According to US economist and statistician Thomas Mesenbourg in his 2001 pa­per, three components distinguish the digital economy from the reg­ular economy:
Infrastructure: Businesses have software, hardware and oth-
er technological resources, as well as specialist human talent.
E-business: Сomputer applications, online tools and digital
platforms help carry out business processes.
E-commerce: A familiar concept, e-commerce means the
sale of goods and services online.
The digital economy (see Fig. 1) has created a platform for reg­ular individuals to participate in the national economy through the Gig and Sharing economies, where opportunities are made available in industries such as transportation (commercial and private), health­care and caregiving, handyman jobs, food delivery, hospitality, trav­el, as well as freelance services.
7
1. The 4th industrial revolution
Fig. 1. A Scope of The Digital Economy
1
Fig. 2. Companies Pioneering the Digital Economy in Russia
1
Bukht R., Heeks R. Defi ning, conceptualising and measuring the digital econ-
omy // Development Informatics working paper. 2017. Vol. 68.
8
1.2. Digital Transformation
Figure 2 highlights a collection of tech-based firms and compa­nies that are paving the way for the digital economy of Russia across ride-sharing, e-commerce, micro-mobility, and e-learning spheres respectively. A number of them include Yandex Go, DeliMobil, and URAMobil for ride-sharing. For e-commerce, Самокат (transliter-
ation — “Samokat”), WildBerries, Avito, Ozon, Яндекс.Еда (trans­literation — “Yandex.Eda”), Delivery Club, and Sber Market. For
micro-mobility, Whoosh, Велобайк (transliteration — “Velobike”), and Велопрокат (transliteration — “Veloprokat”; Bicycle-Sharing). Finally, for e-learning, SkyEng, SkillBox, Uchi.ru, and Skill Factory.
With its growing importance, here are a few advantages of the digital economy:
Information: Сonsumers are more informed— not just from
manufacturers and firms, but also from other consumers in forums and reviews — to support their decision-making re­garding purchase of goods and services.
Proximity: Direct customer service channels enable custom-
ers to resolve queries and issues with a manufacturer or ser­vice provider more quickly.
Global presence: With goods and services available to con-
sumers anytime and anywhere, companies can enter more markets.
Security: Digital technology, like strong authentication of on-
line payments, makes transactions more secure.
1.2. Digital Transformation
As per Gartner, digital transformation may be defined as anything from the modernization of IT (such as, cloud computing), to opti­mization (digitally influenced), to the creation of new digital busi­ness models. For example, within public-sector institutions/firms, digital transformation mostly refers to initiatives which may include placing services on the web or the modernization of legacy systems as a move toward digital government. (This is more like “digitization” or “digital optimization” than “digital business transformation”).
9
1. The 4th industrial revolution
Digitalisation in many areas accelerates the processes of providing services, also improving their quality and security.
In the process of digitalisation, executives must outline the nec­essary digital strategy for optimizing business processes (Fig. 3). The process must also be collaborative and involve all necessary stake holders such as end users and employees. Digitalisation occurs in all industries for the purpose of increasing productivity, and reducing the customer barriers with regards to obtaining products and services.
-
Fig. 3. Digital Transformation in Business
2
For example, within the healthcare industry, digitalisation helps
doctors in spending most of their time on treatment rather
than filling out paperwork
patients find the right specialists quicker and sign up for them
online, а good example today is with respect to telemedicine
2
Where and How to Target Your Digital Business Transformation // Gartner :
site. URL: https://clck.ru/3AGXLC (date of access: 12.07.2023).
10