Information System for Business Effectiveness

Introduction

In this digital age with fierce competition, it is essential that managers within organization are completely aware and receptive to evolving changes. One the quickest evolving change is within information systems. This change in information systems is contributed to advances in computing and information technology.

Applying a concept that information system is strictly under the purview of IT department can lead to adverse situation for the company. Therefore, it is essential for organization to recognize information systems contribution in business effectiveness.

Systems and Innovation Opportunities

Development in information systems has brought opportunities but also threats. The onus is on the organization to identify opportunity and implement it. Organization needs to develop strategies, which can best utilize information systems to increase overall productivity.

The most common practice with regards to information systems is automation. Though automation is helpful, innovation using information systems give the organization a competitive edge.

Systems and Customer Delight

Organizations are fully aware that proliferation of information systems has reduced product life cycle, reduced margin and brought in new products. In such scenario customer satisfaction alone will not suffice, organization needs to strive for customer delight.

Information systems with data warehousing and analytics capability can help organization collect customer feedback and develop products, which exceed customer expectation. This customer delight will lead to a loyal customer base and brand ambassador.

Systems and Organizational Productivity

Organizations require different types of information systems to mitigate distinctive process and requirements. Efficient business transaction systems make organization productive. Business transaction systems ensure that routine process are captured and acted upon effectively, for example, sales transaction, cash transaction, payroll, etc.

Further, information systems are required for executive decision. Top leadership requires precise internal as well as external information to devise a strategy for organization. Decision support systems are designed to execute this exact function.

Business transaction systems and executive decision support systems contribute to overall organizational productivity.

System and Workers Productivity

Information systems have facilitated the increase in workers’ productivity. With introduction of email, video conferencing and shared white board collaboration across organization and departments have increased. This increased collaboration ensures smooth execution and implementation of various projects across geographies and locations.

Information systems as a Value Add for Organization

Organization use information systems to achieve its various strategy as well as short-term and long-term goals. Development of information systems was to improve productivity and business effectiveness of organization. Success of information systems is highly dependent on the prevalent organization structure, management style and overall organization environment.

With correct development, deployment and usage of information systems, organization can achieve lower costs, improved productivity, growth in top-line as well as the bottom-line and competitive advantage in the market.

The readiness of workers into accepting the information systems is the key in realizing the full potential of them.

Development and deployment of information systems have revolutionized the way business is conducted. It has contributed to business effectiveness and increased in productivity.

Authorship/Referencing - About the Author(s)

The article is Written By “Prachi Juneja” and Reviewed By Management Study Guide Content Team. MSG Content Team comprises experienced Faculty Member, Professionals and Subject Matter Experts. We are a ISO 2001:2015 Certified Education Provider. To Know more, click on About Us. The use of this material is free for learning and education purpose. Please reference authorship of content used, including link(s) to ManagementStudyGuide.com and the content page url.