Discuss about the Information System for Business Effectiveness.
Information system is such an organized system for the communication, storage, organization as well as collection of information (McFeeters, 2013). It is the study of the complementary networks that organizations and people utilize for distributing, creating, processing, filtering and collecting data (Maymounkov & Mazieres, 2012). The major aim of particular study is to develop research on the role of information system in the business effectiveness. In order to analyze the fact, this study undergoes a thorough research with the help of a proper discussion along with the findings established after conducting the discussion.
Results and Discussion
Information System and Business Processes (Referred to Appendix 1)
Information System is the integrated set of components in order to process, store as well as collect data and to provide digital products, knowledge and information. Business organizations generally rely on the information systems in terms of continuing and managing their business activities or operations (Weininger, 2014). The business organizations effectively communicate with their customers as well as suppliers and compete in the marketplace with the help of the information system. Information Systems are mainly utilized for running the electronic markets as well as the inter-organizational supply chains. For example, business organizations utilize information systems for processing the financial accounts, for managing their human resources as well as for reaching their potential customers with the help of the online promotions.
It is very important in this digital age with the fierce competition that the managers in companies are fully aware as well as receptive to evolving changes. One of the fastest evolving changes is inside the information systems. This particular change in the information system is actually contributed to the advancements in the information and computing technology. The application of a particular concept that the information system is operating under the IT department purview can result in the adverse scenario for the organization (Ives & Learmonth, 2014). Thus, it is important for the company for identifying the contribution of the information system in the business effectiveness. Information system as well as the information technology increases the business operations in the two major ways. These are as follows:
Enhancing the efficiency of the existing processes
Enabling completely the new operations those are able to transform the businesses.
Figure 1: Information system and Business Processes
(Source: Hartwick & Barki, 2015, pp.459)
Innovation and Systems Opportunities
The information system development has brought the scopes along with that, it has also brought threats. The onus is on the companies for recognizing the scopes as well as implementing it. Business corporations have to build the strategies that can best use the information systems for enhancing the entire productivity (Walls, Widmeyer & El Sawy, 2016). The most common practice in terms of the information systems is the automation. Innovation through the information systems provides the company a competitive edge though the automation is helpful.
Customer and System Delight
The companies are completely aware about the fact that the information system’s proliferation has minimized the product life cycle, brought in new products as well as minimized the margin. The customer satisfaction alone would not suffice, in such crucial scenario. Therefore, the organizations have to strive for the customer delight along with the customer satisfaction as well (Alter, 2014). The Information Systems with the analytics capability as well as data warehousing can help the companies for collecting customer review or feedback and developing products that exceed the customer expectation. The customer delight would result in a loyal customer base as well as brand ambassador.
Organizational Productivity and Systems
Business organizations need several kinds of information systems for mitigating the distinctive requirements as well as process. The effective business transaction systems can successfully make the company productive. On the other hand, the business transaction systems assure that the continuous routine process are acted as well as captured upon effectively, for an instance, payroll, cash transaction, sales transaction and many others. Furthermore, the information systems are needed in order to take the executive decisions (Hamilton & Chervany, 2016). The top leadership needs the precise external as well as internal information for devising a strategy for the company. The decision support system is mainly constructed for executing this particular functionality. On the other hand, the executive decision support systems as well as the business transaction system contribute for the entire organizational productivity.
Productivity of the Workers and System
The Information systems in the business organizations have featured the enhancement in the productivity of the employees. The shared white board collaboration as well as the video conferencing has been enhanced across the companies along with the introduction of email (McFeeters, 2013). This enhanced collaboration mostly assures the smooth implementation as well as execution of several projects over the various locations and geographies.
Value Add for Organization (Referred to Appendix 2)
Business organizations utilize the information system for achieving its several strategies and the long-term as well as short-term objectives. The information system development was for improving the business effectiveness as well as the productivity of a particular enterprise. Information System’s success is greatly dependent on the prevalent structure of a specific enterprise, overall organizational environment as well as the management style (Maymounkov & Mazieres, 2012). with the usage, deployment as well as development of the information systems, an enterprise can achieve the lower costs, growth in the bottom-line and top-line, competitive advantage as well as improved productivity in the market. On the other hand, the worker’s readiness into the acceptance of the information systems is very important in order to realize of their full potential. The deployment as well as development of the information systems has revolutionized the route through which a certain business is organized and operated. It has also made a contribution to the effectiveness o the business effectiveness as well as it has also enhanced the productivity.
This study has successfully provided the evidences to support the fact that the most significant effectiveness of the information system exists in managing the business operations. After the entire discussion conducted in this study, it can easily be stated that the implementation of the information system in the business activities results in the enhancement in the productivity as well as increase in the revenue along with it as a whole.
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