Table of ContentsPaper ObjectiveSECTION I: AN ANALYSIS OF THE NETWORK COMMUNICATION EQUIPMENT INDUSTRY(a). Industry Profile(b). Typical Industry Competitive Strategy(c). Porter Model Evaluation(d). Globalization of the Industry(e). Importance of I/T to the IndustrySECTION II: COMPANY PERSPECTIVE: AN ANALYSIS OF CISCO SYSTEMS(a). Company Profile(b). Competitive Strategy Statement(c). Market and Financial Performance(d). Significance of Information and Information Systems(e). Strengths and Weaknesses of Cisco SystemsSECTION III: Information Systems at Cisco Systems(a). Strategic Option Generator(b). Roles and Relationships:(c). Redefine/Define(d). Significance of Telecommunications(e). Success Factor ProfileSECTION IV: A Final Analysis of Cisco Systems(a). Success of Business Strategy and Information Technology Use to Date(b). Is the Company Effectively Postured for the Future?BibliographyThe Company that revolutionized the world of NetworkingRaheel JavaidISM 158Analysis Term Paper02 – 05 –04Table of ContentsPaper Objective.............................................................................................3SECTION I: AN ANALYSIS OF THE NETWORK COMMUNICATION EQUIPMENT INDUSTRY.....................3(a). Industry Profile............................................................................4(b). Typical Industry Competitive Strategy......................................6(c). Porter Model Evaluation.............................................................8(d). Globalization of the Industry....................................................11(e). Importance of I/T to the Industry.............................................12SECTION II: COMPANY PERSPECTIVE: AN ANALYSIS OF CISCO SYSTEMS.................................................................12(a). Company Profile.........................................................................13(b). Competitive Strategy Statement...............................................16(c). Market and Financial Performance..........................................16(d). Significance of Information and Information Systems...........18(e). Strengths and Weaknesses of Cisco Systems............................18SECTION III: Information Systems at Cisco Systems............20(a). Strategic Option Generator.......................................................20(b). Roles and Relationships:...........................................................22(c). Redefine/Define...........................................................................24(d). Significance of Telecommunications.........................................27(e). Success Factor Profile................................................................28SECTION IV: A Final Analysis of Cisco Systems.....................30(a). Success of Business Strategy and Information Technology Use to Date................................................................................................30(b). Is the Company Effectively Postured for the Future?............31Bibliography.................................................................................322Paper ObjectiveThe objective of this analysis paper is to identify the role and importance of information systems for Cisco Systems in gaining a competitive advantage in the Network Communication Equipment Industry. The industry, which is the focus of this paper, manufactures and sells networking products, focuses on setting up networks, providing network solutions, providing other professional services such as supporting network products and helping businesses become more efficient and competitive. In its entirety it would be identified as the Network Communication Equipment Industry. Since this is fairly long, the industry will hereafter be referred to as the Network Equipment Industry.To accomplish the analysis of the industry and specifically Cisco Systems, the paper has four sections, which are as follows:Section I: This section analyzes the structure of the Network Communication Equipment Industry, briefly discusses the competitors of the industry, the impact of globalization andthe importance of information technology within the industry.Section II: This section discusses Cisco Systems role in the Network Equipment Industry and its position in the industry along with its competitors of the industry.Section III: This section discusses the role played by Information Systems in the company internally and externally. Section IV: Lastly the paper anticipates the position of Cisco Systems in the future based on the analysis from the first three sections. SECTION I: AN ANALYSIS OF THE NETWORKCOMMUNICATION EQUIPMENT INDUSTRYThis section gives an overview of the Network Equipment Industry. It talks about the industry profile, the competitors of the industry, globalization in the industry and the significance of IT (Information Technology) to the industry. 3(a). Industry ProfileWhile the Network Equipment Industry focuses on both private and public networks, the current emphasis is on the Internet, intranets, extranets and new technologies like VoIP, data storage networking, Network Mobility and new forms of Internet security. The logic of this focus is dictated by the fact that the Internet connects the entire world and as such has become the backbone of today’s economy while giving new meaning to the word globalization. The Network Equipment Industry has gone through immense changes and has developed significantly in a relatively short period of time. The beginning of this significant industry as it is known today began with the introduction of the first router by Cisco Systems. The industry development was then a factor of fast economic growth and political stability throughout the world. Most importantly it was the huge revenues that companies in the industry experienced within a short period of time. Another strong reason, which is relatively a recent one, was the competition between the different companies and the struggle for market share. There is much competition in this industry on every level. Companies of different sizes compete on different levels. Cisco Systems, Lucent Technologies and Nortel Networks are three major companies that dominate and influence the industry. In addition to these three large companies, the industry has a significant number of smaller companies that successfully focus on product niches. A good example is a company like Juniper Networks, which is significantly smaller
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