Roundtable on Systems Applications in Business and Industry, August 4, 2002

Sunday, August 4, 2002, 8:00 a.m., Session on Systems Applications in Business and Industry

This digest was created in real-time during the meeting, based on the speaker's presentation(s) and comments from the audience. These should not be viewed as official transcripts of the meeting, but only as an interpretation by a single individual. Lapses, grammatical errors, and typing mistakes may not have been corrected. Questions about content should be directed to the originator. These notes have been contributed by David Ing ( at the IBM Advanced Business Institute ( ).

Session 1

The Five Elements Theory in Business Research, Kuang-Cheng WANG

Doctoral Program, Graduate Institute of Business Administration, National Taipei University, Taipei, Taiwan, R.O.C.

Five elements theory has been applied in medicine and agriculture.

Each element can be divided into ying and yang.

Mapped the five element model to the balanced scorecard.

New ideas: For a firm to compete in a global market, they don't have to be powerful in all five elements, just competent in a few elements.

Nourishing effect is sometimes positive.

Relationship to the western ideas of positive and negative feedback?

What sort of problems do this solve in business?

Why start from wood?

Mechanistic view? Consider material, energy and information?

Two major ideas from the discussion:

Cartography of the Virtual Business, Kazimierz PERECHUDA

Wroclaw University of Economics, Institute of Organization and Management, Department of Strategy and Management Methods, Poland, 53 – 345 Wroclaw, Komandorska str. 118/120

A different view: no boundaries between the enterprises.

Modern business is dynamic, changing, uncertain.

Network structures and flatter organizations are becoming more common, with multiple roles.

Seeking new management models.

What is meant by virtual?

If there is a mix of the internal and the environment, how do you know what is internal

Relationship of Henderson paper, falling in between hierarchy and market-based structures.

Two questions:


In knowledge-based organizations, don't have anonymity. Is this more like e-business?

Not just for-profit organizations, but also not-for-profit.

Analysis of Corporate Governance Systems and Corporate Governance Information Systems, LIN Runhui and LI Weian

International Business School, Nankai University, Tianjin 300071, China

Interest in corporate governance, and the application of information technology in business.

What types of measurements are involved in corporate governance? What type of information?

In what size of enterprise would a corporate governance information system be feasible and desirable? Are there examples where this is being conducted?

In the U.S., corporate governance is closely tied to the legal system. There are insiders who have access to information. Is the purpose to provide better information to decision-makers, or to more stakeholders?

Integration of a governance information system into supply chain systems, e.g. ERP, or independent?

Enabling Collective Knowledge Work through the Design of Mediating Spaces, David ING

IBM Advanced Business Institute, Markham, Ontario, Canada

[No notes, because David was speaking!]

Technology Policy Process to Cope with the Complexity of Enterprise Technology Strategies, Koichi HARUNA

Corporate Chief Engineer, R∓D Group, Hitachi Ltd., New Marunouchi Bldg., 5-1, Marunouchi 1-chome, Chiyoda-ku Tokyo, 100-8200 Japan

First tried a cybernetic model.

Trust, collaboration.

How would the technology policy staff work?

How does the voice of the market enter into the technology process?

Session 2

Some Systemic Implications of Common Ownership: A Shift of the Business Perspective for the 21st Century?, Sylvia Brown

First involved with a common ownership, but the spectrum ranges all the way to capitalist organizations with profit-sharing.

Can be a capitalist without being predatory.

Different approach to research: start with appreciating the system, understanding relationships between entities.

Interest in companies that place ethical considerations higher up on priorities, rather than just adding them on.

Shareholders are to tap additional resources. Limitations?

Transparency of management is absolute.

Communities with low employment that want to start their own enterprises.

Given the ethical dimension, how central are ethics in common ownership companies, and will they scale?

How are using the term "ethics"?

Performance of Measurement of Chinese Textile Industry in 1998, WANG Xinyu, ZHOU Min, ZHANG Jin, FENG Wenlong

School of Management, China University of Mining and Technology, Xuzhou City, Jiangsu Province, China

The textile industry in China is a movement towards industrialization, from the primarily agrarian society.

Entry into WTO.

Input / Output model.

Lessons from the study?

Application of the findings?

Other factors? Knowledge, foreign direct investments.

Institutional Coordination Problem: An Obstruction to Promotion of Industrial Backward Linkage, Mohamad IMAN, Akiya NAGATA

School of Knowledge Science, Japan Advanced Institute of Science and Technology, Tatsunokuchi, Ishikawa 923-1292, Japan

Linkage between foreign direct investment and local suppliers.

Trend towards liberalization:

Why is BL small?

Role of institutions:

Is culpability an important aspect of development?

Dishonest practices or corruption could make the coordination seem effective, but in reality, doesn't produce the result in the long term. What could be done to mitigate?

Stability and Change in China: Movement towards a Free Market Economy, Gary METCALF and Fengquan AN

President, InterConnections, LLC and Associate Director, Business Programs – United States Open University, 1212 Bath Ave.; 6th Floor, Suite 4, Ashland, KY 41102; U.S.A.

Amount of change, over a short period of time: a 5-year window by which China must move from a market planned economy to WTO standards.

Core value and ethics.

How to proceed?

The paper suggests a "catch up model". But the models are flawed.

Evolution of the legal system?

Systems that evolve from inside are much more stable than systems imposed from the outside.

Alternative approaches:

Long way away from papers.

More guidance on questions.

Form and reform groups every year -- need seed money to do research.


Some content on this website may be subject to prior copyrights.
Please contact the author(s) prior to reproduction or further distribution of the materials.