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Organization Structure of Virgin Company

Question:

Discuss About The Strategic Information System Of Virgin Mobile?

Virgin Mobile is a remote correspondences mark utilized by eight autonomous brand-licensees around the world. Virgin Mobile marked remote interchanges administrations are accessible in Australia, Colombia, the United Kingdom, Canada, Chile, France, Saudi Arabia, United Arab Emirates, Poland, South Africa, México, and the United States. Virgin Mobile marked administrations tends to offer in Singapore, India and Qatar (Malley 2017). Segments of the company include home improvement, department stores the objective of the paper is to analyse the strategic information system of Virgin Mobile Company through evaluating the current organizational structure of the company. The paper also intends to analyse operational problems faced by the company. Moreover, system flowchart for sales procedures will be selected for the company along with realising any control problems and fraud within the system.

                                                 Figure 1: Organization Structure of Virgin Company

                                                           (Source: Ling 2014)

Rather than the high multi levelled organization structure, an effective authoritative framework is described by generally some layers or just a single administration level. Accordingly, the levels of leadership from best to the employees are short. The importance of such kind of authoritative structures is certain adequacy and development and strengthening. Approaches are less demanding and faster to actualize and increased coordination is present. This clarifies the reason for which Virgin inc. is popular for specific skill in accounting software implementation and development.

It should be considered that if there are adjustment in authority or culture, they can be dealt with harming repercussion as certain aspect of the key structures might not be suitable. In such situation when Jobs expelled and all the descendants battled with the company until the point when he was restored later. The authoritative structure in Virgin is additionally a useful structure for the organization is present within useful line (Mihret 2014).

In practical structure, people are employed based on their basic skill, experience along with assets. Representatives within useful divisions of the company play out a particular arrangement of undertakings. It can represent that; it could result in absence of correspondence among organizational gatherings like the case in Virgin.

Virgin main role behind receiving an ERP framework was a need to build achieves gainfulness and data accessibility (Kogan et al. 2014). Virgin was concentrating on fast worldwide development with offices, industrial facilities, fabricating plants and deals workplaces in various geographic areas. Their operations were composed in a way that item outlines, conveyances and manufacturing plant contracts were overseen through their central station in Beaverton, Oregon. Attributable to this reality Virgin had created 27 distinctive request administration frameworks that were exceedingly modified and scarcely conveyed to each other or to home office. Therefore an incorporated framework was critically required to expand Virgin reach to various parts of the world. ERP frameworks are exceptionally incorporated consequently can be utilized as a brought together framework in different topographical areas.

Effective Authoritative Structures

Failure to get to ongoing data from various request administration framework so that breaking down of the company’s total inventory network. Requests were missed and shipments deferred bringing about enormous misfortunes. Virgin in this manner required a framework that could convey continuous data with high exactness; this prerequisite could be effortlessly met by usage of an ERP framework (Knechel and Salterio 2016).

Virgin offers in-store pickup for large portions of the things accessible on Virgin.com and the Virgin Store App. Certain items and instalment strategies, in any case, may not meet all requirements for in-store pickup. Just you or the individual assigned by you may get the item(s) acquired. An officially sanctioned personal ID and request number will be required for pickup. Virgin will advise you when your request is prepared and the date by which you have to get your things (Lu 2015). Virgin claims all authority to change costs for items showed at the Virgin Store whenever, and to revise valuing blunders that may unintentionally happen. Extra data about evaluating and deals impose is accessible on the Payment and Pricing page. In the occasion you have been charged more than the posted cost for an item in a Virgin Retail Store, please observe a Manager for a discount of the cheat.

                                                                Figure 2: Sales Procedure

                                                          (Source: Chiu, Liu and Vasarhelyi 2014)

Numerous ERPs give a few alternatives to computerize controls. These, thus, help deal with a portion of the extortion chances in business and IT forms. These computerized control choices are not generally naturally incorporated with the ERP framework so they require design and customization. Numerous ERP integrators don't address this, leaving organizations with a misguided feeling that all is well and good which makes their procedures and frameworks defenceless against mistakes and extortion (DeVellis 2016).

The execution of an ERP is likewise to a great degree confounded, frequently making another arrangement of dangers in business and IT procedures, for example, and spontaneous setup. This licenses work around functionalities and complex security structures which give free access to frameworks. In the event that such disgraceful get to isn't satisfactorily controlled, the open door for extortion by means of ERP secondary passages will altogether increment. However all in all, there are three distinctive hazard situations identified with misrepresentation chance that might be tended to amid an ERP Implementation (Abdullatif 2016).

ERP Framework of Virgin

A Conference Room Pilot (CRP), regularly just alluded to as a 'Pilot', serves as a deliberate way to deal with understanding the foreseen process of the accounting programming framework or venture asset arranging (ERP) application keeping in mind the end goal to see how the data framework functions or must work along with deciding how to design the application for arranged targets preceding the go-live cut-over (Kogan et al. 2014).

Pilots frequently start with an organized bookkeeping programming or ERP programming instructional class which shows the centre abilities of the application programming. The Pilot stage would then be able to be utilized to design, control, test and approve the organization's business forms inside the new ERP programming framework. The Pilot ought to finish up with measured outcomes outlining utilitarian fit or distinguishing the crevices and zones requiring a more definite plan exertion preceding full execution. A few Pilot objectives are featured underneath (DeVellis 2016).

  • To investigate business process and system choices and assess business process changes
  • To prepare extend colleagues in the new ERP framework (negligible preparing ought to incorporate programming arrangement, setup parameters, exchange stream techniques, interior controls, adjustment capacities and standard reports)
  • To pick up a reasonable comprehension of qualities and shortcomings of business programming application
  • To assess ERP or accounting programming for fitting and connecting the framework where conceivable
  • To analyse and affirm business process outline options for fit and effect
  • To help build up arrangement for information transformation and framework joining

Various essential choices can be made while actualizing ERP programming modules. For every business programming application, there ought to be dependable topic master (SME) or business support that will accept responsibility for arranged application and certain operational usage (Abdullatif 2016). Ordinarily, the product maker or outsider specialist will give programming execution counselling to encourage the venture group in settling on major choices while gathering the Pilot condition. The Pilot setup might need a harmony between organization's operational wants and product's capacities. Moreover, the accounting system fused into most Pilots incorporate the accompanying:

  • ID, assessment and affirmation of the material along with business process exchange streams
  • Selection of new improved or streamlined techniques and TFR's (exchange stream audits); this errand is frequently encouraged with application programming's work process plan tool(s)
  • Investigation and affirmation of essential key plans, (for example, outline of record design or astute constructions for Customer ID, Item SKU, Vendor ID, Territory Keys, and so on.)
  • It must be considered that incorporating insight with essential key blueprints where it bodes well - you might need to section these keys or drive certain sorts of characters or qualities to disentangle information passage and diminish transposition blunders
  • Likewise perceive the lastingness of most essential key esteems - as a rule these information esteems are not effortlessly changed as the history should likewise be refreshed for investigation and similar detailing (in this manner requiring an information transformation of the verifiable information)
  • Mapping the electronic information change process is necessary. It's essential to test and check the cleanliness of the verifiable information; scour the information as important and after that play out another examining before starting the real change and compromise. Try not to wrongly convert grimy information with the expectation of tidying it up after it is in the new data framework
  • Investigation of setup and document support programming parameters; design choices can likewise by and large be controlled to accomplish business process (that is another option to programming customization)
  • Realization of numerous venture group and client testing situations; business process arrangements ought to be tried first by extend colleagues and after that by irregular real clients.

Virgin lost ground to Virgin in total cell phone advertises for second quarter of 2015, for general advancement rate for the gadgets impeded. Considered by purchase of huge size phones, Virgin's offer worldwide cell phone deals increased to 14.6 percent within the quarter contrasted in 12.2 percent a year sooner. Offers of phones totalled 48 million within second quarter along with 35 million in within quarter (Kogan et al. 2014).

The level of rivalry within organizations that contend specifically with Virgin in the innovation part is high. Virgin is in coordinate rivalry with companies, for example, Google, Inc., the Hewlett-Packard Company, Virgin Electronics Co., Ltd. Along with Amazon, Inc (Abdullatif 2016). These companies use critical capital on innovative work (R&D) and showcasing, along with Virgin. In addition, the focused drive inside business is effective. One thing which ensures that business so profoundly focused is generally decreased exchanging cost. It does not needs a significant venture for a purchaser to jettison Virgin's phone for tablet PC. The commercial risks centre rivalry that is key thought for Virgin, it has managed necessarily through constantly increasing new and remarkable items to increasing and maintain its piece of total industry position.

Sales Procedure of Virgin

Numerous ERPs give a few alternatives to computerize controls. These, thus, help deal with a portion of the extortion chances in business and IT forms. These computerized control choices are not generally naturally incorporated with the ERP framework so they require design and customization. Numerous ERP integrators do not address this, leaving organizations with a misguided feeling that all is well and good which makes their procedures and frameworks defenceless against frauds and extortion (Abdullatif 2016).

There are three approaches to attain further into business esteem ERP can attain:

  1. Comprehending the ERP programming is focussed on the reason to utilizing it
  2. Considering the opportunity to develop ERP by process reengineering
  3. Developing and maintaining a constant change procedure

Conclusion

The paper intended to analyse operational problems faced by the company. Moreover, system flowchart for sales procedures will be selected for the company along with realising any control problems and fraud within the system. It was gathered from the paper that Virgin's corporate culture is a one of a kind corporal style that is appropriate for Virgin. Measuring against the customary established hierarchical culture, one might say that Virgin's impromptu approach is outdated. This licenses work around functionalities and complex security structures which give free access to frameworks. The paper also revealed that Numerous ERPs give a few alternatives to computerize controls. These, thus, help deal with a portion of the extortion chances in business and IT forms. These computerized control choices are not generally naturally incorporated with the ERP framework so they require design and customization.

Reference List

Abdullatif, M., 2016. Auditing Fair Value Estimates in Developing Countries: The Case of Jordan. Asian Journal of Business and Accounting, 9(2).

Alles, M.G., Kogan, A. and Vasarhelyi, M.A., 2013. Collaborative design research: Lessons from continuous auditing. International Journal of Accounting Information Systems, 14(2), pp.104-112.

Anderson, U.L., Gaynor, L.M., Hackenbrack, K.E., Lisic, L.L. and Wu, Y.J., 2014. Comments by the Auditing Standards Committee of the Auditing Section of the American Accounting Association on PCAOB Release No. 2013-009, Proposed Rule on Improving the Transparency of Audit: Proposed Amendments to PCAOB Auditing Standards to Provide Disclosure in the Auditor's Report of Certain Participants in the Audit: Participating Committee Members. Current Issues in Auditing, 8(2), pp.C1-C7.

Broberg, P., Umans, T. and Gerlofstig, C., 2013. Balance between auditing and marketing: An explorative study. Journal of International Accounting, Auditing and Taxation, 22(1), pp.57-70.

Chiu, V., Liu, Q. and Vasarhelyi, M.A., 2014. The development and intellectual structure of continuous auditing research. Journal of accounting literature, 33(1), pp.37-57.

Dai, Y. and Handley-Schachler, M., 2015. A Fundamental Weakness in Auditing: The Need for a Conspiracy Theory. Procedia Economics and Finance, 28, pp.1-6.

Davidson, B.I., Desai, N.K. and Gerard, G.J., 2013. The effect of continuous auditing on the relationship between internal audit sourcing and the external auditor's reliance on the internal audit function. Journal of Information Systems, 27(1), pp.41-59.

DeFond, M. and Zhang, J., 2014. A review of archival auditing research. Journal of Accounting and Economics, 58(2), pp.275-326.

DeVellis, R.F., 2016. Scale development: Theory and applications (Vol. 26). Sage publications.

Knechel, W.R. and Salterio, S.E., 2016. Auditing: Assurance and risk. Taylor & Francis.

Kogan, A., Alles, M.G., Vasarhelyi, M.A. and Wu, J., 2014. Design and evaluation of a continuous data level auditing system. Auditing: A Journal of Practice & Theory, 33(4), pp.221-245.

Ling, J.I.N., 2014. Study on the Logic Starting Point of Auditing Theory Structure. Value Engineering, 30, p.117.

Lu, Q., 2015. A Review of Auditing Quality Research in the West: Based on IAASB Framework of Auditing Quality. In Accounting Forum (Vol. 1, p. 008).

Malley, A. 2017. Dick Smith collapse raises more questions for accounting profession. [online] The Sydney Morning Herald. Available at: https://www.smh.com.au/business/retail/dick-smith-collapse-raises-more-questions-for-accounting-profession-20160721-gqagz5.html [Accessed 1 Jul. 2017].

Mihret, D.G., 2014. How can we explain internal auditing? The inadequacy of agency theory and a labor process alternative. Critical Perspectives on Accounting, 25(8), pp.771-782.

Mohammadi, S., 2015. Full development of the theory of accounting and auditing. International Journal of Accounting and Economics Studies, 3(1), pp.7-9.

Nagar, V., Rajan, M.V. and Ray, K., 2016. The Role of Auditing in Mediating Firm Conflict.

NewsComAu. 2017. ‘I wanted to support an Australian company’. [online] Available at: https://www.news.com.au/finance/business/retail/dick-smith-shareholders-launch-class-action/news-story/2e5df4b5d580e9d205c5cad77e3b04ec [Accessed 1 Jul. 2017].

Ridley-Duff, R. and Bull, M., 2015. Understanding social enterprise: Theory and practice. Sage.

Stewart, D.W. and Shamdasani, P.N., 2014. Focus groups: Theory and practice (Vol. 20). Sage publications.

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