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A framework for evaluating strategic location-based applications in businesses.

Article Excerpt
Abstract

Location-based and location-oriented applications will be amongst the most powerful drivers of organizational change in the coming years. However, the strategic use of these technologies and their benefits will vary from one organization to another based on the business' needs. The alignment between the use of location-based technologies and the firms' business strategic orientation is thus of primary importance. In an attempt to support firms in this alignment process, this paper presents the GEOGRID framework for identifying and analyzing the strategic opportunities offered to firms by the use of leading edge location technologies. This framework groups the main variables that need to be considered in order to analyze the competitive positioning of the business, to reveal assumptions, to ascertain benefits, and to control costs tied to the strategic applications of location technologies in organizations.

Resumes

Les applications utilisant la localisation et comportant des composantes localisation seront parmi les plus importants leviers de changements organisationnels au cours des prochaines annees, Cependant, l'utilisation strategique de ces technologies et leurs benefices vont varier d'une entreprise a une autre selon les besoins organisationnels de chacune. L'alignement entre ces technologies de localisation et les orientations strategiques des entreprises est d'importance primordiale. Pour tenter de mieux appuyer ce processus d'alignement, cet article presente le cadre GEOGRID pour identifier et analyser les possibilites strategiques offertes aux entreprises par l'introduction de technologies de localisation de pointe. Ce cadre regroupe les variables principales qui doivent etre prises en compte pour analyser la position concurrentielle de l'entreprise, pour degager les hypotheses, pour identifier les benefices et pour controler les couts des applications strategiques des technologies de localisation dans les entreprises.

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To this day, very few information technologies have both a strategic impact on organizations and an important location dimension. After briefly reviewing these technologies, this paper focuses on the dimensions that must be taken into account by firms before implementing these information technologies and proposes a grid for analyzing their strategic impacts and their contribution to the strategic direction of organizations.

Current Trends in Location-Based IT and Their Impacts on Organizations

Three information technologies, ubiquitous or pervasive computing, mobile and wireless networks, and location-based technologies are presently making very rapid strides and bringing important and continuous changes in today's organizations (Sieworek 2002; Borriello et al 2005). The location-based applications and technologies discussed in this paper are at the intersection of the three sets of technologies presented in Figure 1.

[FIGURE 1 OMITTED]

Ubiquitous computing: Ubiquitous computing, sometimes described as pervasive computing, is the new state of technologies that are ever present and always available in today's business environment. Be it by wire or wireless, portable communications, desktop, portable computers or PDA, computer processing power and information is always available to the decision maker. Ubiquitous computing is redefining the client-business relationship: businesses can now know their customers' and suppliers' location and their preferences. In this way, they are becoming more capable of satisfying their business partners needs, which will allow them to maintain deeper and more profitable business relations.

Mobile communications and wireless networks: In recent years, there have been tremendous strides in mobile and wireless communications technologies Portable telephones, RFID (Radio Frequency Identification) and wireless local networks have penetrated the business environment and have changed the way people in organizations communicate, get their information and manage people.

Location based technologies: Technologies such as ubiquitous computing and mobile and wireless communications integrate location among their characteristics (Korkea-aho et al 2002; Ginjas et al 2004). These technologies allow managers to locate the users, locate the personnel, locate the customers and locate the goods received, in production or being delivered. This location information is created by using geomatics technologies such as GPS, RFID or by capturing the location of personnel, goods or services rendered at the source at the same time as the transaction occurs.

The Impacts of Location-Based Technologies on Organizations

Groups in Organizations

All these portable and location-based applications and technologies are having significant impacts on businesses. Ubiquitous computing supports activities in environments that are physically distributed and brought closer to the customers and operations. Intra and inter enterprise wireless networks radically change the way companies and organizations are managed (Rist 2003). Since managing an organization is a group activity, and since location-based technologies change the concept...

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