Importance of Information Systems Management in an Organization
Mar 05, · Importance of Information Systems in an Organization. To gain the maximum benefits from your company's information system, you have to exploit all its capacities. Information systems . Aug 06, · Information Storage Keeping a log of activities is important for all the organizations, to understand the reason for the problems and so to provide solution to the same. Business Information System makes it simple to store operational data, .
They provide many advantages to their users which range from simple transaction processing at the operational level to difficult tasks such as making important and competitive decisions at the strategic level how to analyse flow cytometry data the organization. Several roles played by information systems in an organisation can be identified but O' Brien and Marakas have identified three fundamental roles played by information systems in businesses.
These are; Information systems support business processes and operations. Secondly, they support decision making of employees and managers and lastly, they support strategies for competitive advantage. These three fundamental roles encompass any other roles played by information systems in an organisation. Information systems support business processes and operations of an organization in many ways. In a hotel for instance, customer check -ins and check-outs are done by computers and software which makes work easy unlike the traditional method of using notebooks and paper to record such information.
Customers can now even make their own bookings through the hotels website instead of visiting the hotel in person to do so, which may lead to pressure on front office staff.
Systems have now been developed to gather customer information easily and quickly. Now, because of information systems, the various departments of an organization work together with ease. The housekeeping department of a hotel can now inform the front office about which rooms are ready for use and which are not, without personal interactions of staff as a result of information systems. The running of an organization has now become smoother with well integrated information systems. Information systems also help employees and nokia 515 preinstalled whatsapp new of a business to make well informed decisions.
This is because information systems have the capability of analyzing data that has been collected from both within the organization and from external sources into useful information which can be used by employees and managers in their decision making process.
Decision-making is an integral part of management and occurs in every function and at all levels. Decisions are better made when accurate information is available which aids the decision maker in making an objective decision Terry Lucey These systems generate typical reports and graphs on issues such as trend of orders, customer analysis, product profitability, finished stock positions and forecasts, accident and absentee reports, job evaluation reports and many more.
Managers and employees use these reports and graphs as a basis for their decisions. For example, decisions on which meals that need to be added or removed from a hotel menu may be taken by the food and beverage manager after a typically analysis is made by the help of a Decisions Support System. Finally, information systems also support strategies for competitive advantage.
Competition in today's business is keen and what will become important is how quickly companies can convert their reams of information they collect into knowledge so that they can provide services and products that are ahead of their competitors. Strategic information systems can help provide hospitality operations with the innovative mediums they need to provide products and services that will give them comparative advantage over their competitors.
Nhyiem et al observes that, in the hospitality industry, competitive advantages may result in increased room sales through efficient reservation systems and organisational websitesdecreased cost of goods through reduction in operating cost and less expensive distribution channelsbrand awareness through effective advertising campaigns targeted at the appropriate customer and delivered through the most appropriate cost effective mediumgood customerorganisational relationship by keeping database of customers and their needs and effective decisions making that are timely.
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Aug 04, · The importance of information systems in business starts with increased productivity and efficiency. It helps to ensure better record keeping, data safety, organization and regulatory compliance. Reaching a Global Market Information systems make it possible for companies to expand their offerings to people all over the world. In general terms, Information Systems can be defined as a set of interrelated components which accept data or information (meaningful data) as a raw material store and then process it to generates information as a product to assist and support in decision making and controlling activities of the organization. The Information System contains information about the organization and its surrounding environment . At the most basic level, an information system (IS) is a set of components that work together to manage data processing and storage. Its role is to support the key aspects of running an organization, such as communication, record-keeping, decision making, data analysis and more.
The degree of success of any information management initiative or intervention in an organization depends upon the approach of the management of the organization towards such an initiative.
If the approach is short term and the benefits or objectives envisaged is too narrow, then the information system remains only of marginal value. On the other hand if the management is fully convinced of the need for such a system and gives it wholehearted support and backing, then naturally the process of information system development is adhered to in a more comprehensive manner, with proper planning, listing of objectives, proper analysis and design and proper implementation.
This result in a superior information system that can not only fulfill the information needs of the organization in the present but can also continue to serve the organization in times to come. The objectives and deliverables planned for such a system is well structured and the user, i. There is no gap in the expectations and deliverables. This means that there is no misunderstanding between what the managers want from the system and what the developer designs the system to deliver.
This leads to greater acceptability of the system within the organization and leads to greater return on investment as far as the organization is concerned.
The training required for the managers is also much less if they are involved in the process of development. Also the role of the top management comes to a focus in the development process. The top management by giving its full support may choose to send a message to the entire organization that leads to greater acceptability of the system and a lesser resistance to change. If the top management is ambivalent, problems of acceptability and conflict arise.
Information systems are known to cause conflict, resulting from a resistance to change of mindset amongst employees. This behavior may to an extent be controlled without human resource intervention if the top management support is not only given to the project but also made well known across the organization. This means that communication is needed for the system and the support of the top management should be well communicated to the employees to gain greater acceptability and a smooth transition.
Most organizations choose to outsource the work of development of information systems to specialized IT firms. This brings to the fore the necessity to control the outsourcing process. The problem with the strategy of outsourcing the development work of information systems is that the outsourced agency may not understand the specific internal requirements of the organization.
Specialized IT consulting firms are available to control this process on behalf of the organization. Typically, the IT consulting firm studies the needs of the organization and prepares a design document in consultation with the users, i. Suitable control is exercised by the organization in which this information system will be implemented in the form of discussions, ratification of prototypes, etc.
This ensures that the product is prepared as per plan and that any deviations are noticed during the development stage and not during the implementation stage. This ensures that corrective measures can be taken to rectify the mistakes, if any, without much on cost or time. In some cases, the organization may choose to develop the information system with its own resources. This will not only be very costly for the organization but may lead to unreliable results.
In such a case, the managerial objectives will be clear and well adhered to but the technical objectives may suffer.
Justify the statement and identify different types of OAS. About Dinesh Thakur.