- Information system
- 1.1 Explain how businesses use information systems
- Information system plays a critical role in a business where it helps in the information storage and analysis. This in turn helps the company to manage their data and hence be able to integrate data from various sources ensuring that the management is able to make the right decisions. Information system is also applied in the human resource management where it is used to maintain employee record, historical information among other roles. Additionally, the information system plays an important role in logistic management where it is involved in the calculation of the shipping cost of various good and services (Lan, 2005, p.95). Most importantly the information system plays an important role in gathering and distributing of information allowing the managers to communicate efficiently with their employee. With regard to operation management information system help to ensure that the company operates efficiently.
- 1.2 Evaluate the role of information systems in global e-business
- The information systems play an important role in the global e-business where it is used to manage relationship between the business and the suppliers. Using the information system the business is able to share information regarding the order, production and delivery of the product where the main goal in is to ensure that the right amount of product is delivered with the least amount of time. The e-business system also allows the business to buy and sell goods through the internet. The e-business also help to link the business with the external sources of knowledge where the business is able to get the information related to its performance in the global market. It is also evident that the global e-business can help the business to realize competitive advantage over their competitors since it help to ensure that the business has adequate market information.
- 1.3 Apply information systems and technologies to business processes
- The information system plays an important role in improving the efficiency of the various business processes. In relations to this the information system helps to automate the steps that were manual and hence ensuring that the business is able to achieve that the process are now done in faster manner. The information system helps to increase the amount of information that is that the business is able to process for instance the business is able to process both the internal and external factors that affect the operation of the business. The information system helps to increase the accuracy of the data collected and ensure that the business is able to get the exact information in the market. Additionally, the information system also helps in the increasing the stability of the various execution in a business where it helps in the addressing the strategic issues and the long-term trends in the firm and at the same time in the external environment.
- 1.4 Evaluate the role of information systems in transforming businesses
- During the transformation to a new process the information system helps to change the flow of information thereby ensuring that the organization is able to adapt to new processes. Moreover the information system helps the business to transform the follow of information and at the same time replace the sequential steps with the parallel steps. According to Kraemer (2006, p.350) the information system helps to eliminate delays in decision-making hence ensuring that the new processes are properly integrated with some of the already existing system. The information system also plays an important role in helping the business to monitor the status of the internal operation and the firm relationship with the external environment.
- 1.5 Assess the challenges to developing global information systems
- The global information is faced with challenges such as the technological barrier where the business is unable to retrieve information from some countries due to the technological barriers; certain government regulation and tariff also affect the global information system. Difference in the language and culture can also affect the various global information systems since it hinders business from investing in some countries. Various economic and political considerations also affect the global information system since the business must commit effort to conform to these systems. Difference in the measuring standard used in different countries also affects the implementation of these global system since them business is forced to adopt new standard. Finally the legal barriers also affect the implementation of the global information system.
- 2.1 Identify the role of information systems in developing business strategy
- The main goal of a business strategy is to help the management to choose various ways of performing business differently from their rivals. The strategy is involved in the analysis of both the content and process itself that can help the business to achieve its goals and objectives. During the development of strategy the information system is used to tie together the business units so that they can act as whole. The information system also encourage sharing of knowledge across the various business units. Various information systems help in flattening the organizational hierarchy ensuring that the organization is able to work as a team. In relation to this use of the information system in the strategy develop helps to increase collaboration since the business is able to involve the lower level employee in decision-making.
- 2.2 Assess the contribution of information systems to achieving competitive advantage
- With regard to achieving competitive advantage the information system help the business to analyze the external environmental factors that affect the business operations and hence ensuring that the management is able to come up with effective strategies to deal with such challenges. The information system also helps the business to analyses the consumer’s trends and therefore ensures that the business develops products and services that can be able to meet the demands of the consumers. In addition the information system helps the business to improve efficiency in the business operations, which in turn lowers the cost of operations. It is also evident that the information system can helps the business to invest in the global market since it helps to provide the necessary data required to venture in such market. Investing in the global market help the business to realize its growth objectives and realize an increase in the market share.
- 2.3 Explain the unique features of e-commerce
- One of the unique features of the ecommerce is the fact that it supports global reach of the business helping it to acquire competitive advantage. The ecommerce also operates on a universal standard where all the business using the internet applies the same standard. The ecommerce also has lowers the ubiquity of various business transactions. Another important feature of the ecommerce is the fact that it has a rich information density, which helps to reduce the cost of acquiring new information in the market. The ecommerce also helps to raise the quality of information that an organization acquires in the market. Additionally, the ecommerce also helps to enhance social technology, which in turn helps the business to share information with their customers.
- 2.4 Evaluate the impact of internet technology and e-commerce on traditional business models
- The internet technology has both positive and negative effect on the traditional business models. With regard to the positive effect the technology helps to increase efficiency in the business operations, which helps in ensuring that the business is able to gain competitive advantage. The application of the technology also helps to improve decision-making since it helps to ensure that the organization is able to analyze the market information. However modern technology reduces socials interaction of the business with their customers. In relation to this adoption of the modern technology also increases insecurity issues in the business especially related to the cybercrimes. The modern technology can also inconvenience the children and the elderly in the society since they may not be able to know how to use the internet. It is also evident that the modern technology interferes with the customers shopping experience since the customers is denied an opportunity to touch and feel the product before purchasing it.
- 2.5 Demonstrate how a business can develop global information support systems
- Structure
- Global information system is data communication network that crosses national boundaries to access and process data in the international market (Bidgoli, 2011, p.159). Developing global information requires an organization to have multi-language processor. The organization also requires a software that can allow compatibility in the data formats and structure. Moreover, the organization also requires database of the local regulatory and legal system. In addition the database to be developed requires one to have database of management and decision-making. However it is important to note that the system should also have security provisions to help secure the company information.
- 3.1 Assess the need for and key components of an effective information technology infrastructure
- There is need for the management of the company to ensure that the information system implemented provide accurate information. The data system developed also need to be accessible be anyone authorized to use it. The system developed should also provide relevant data that is related to the current trends in the market. There is also need for the management to ensure that the information system developed perform various data process with a considerable high information speed. Moreover the information system developed should also duplicate information in order to ensure that the information is available in different versions. The following are some of the key component of information system
- Computer hardware
- The management should ensure that the information system is properly integrated with high performance computers. In this case the computers need to have a high processing speed
- Computer software
- The computers used should also be integrated with the right system software to ensure that it is fully functional for instance the company needs to have an effective operating system that can handle the different programs.
- Telecommunication
- The computer system also need to be connected to a network of computers to ensure that the system transmit the necessary information. Depending with the need of the company the company can adopt local area network or the wider area network. Through having an effective networking system the users are able to gain access to information from large database.
- Database and data base warehouse
- The databases are used to collect and all the interrelated data organize it so that groups of record can be retrieved. Data warehouse on the other hand contain information collected over time and stored. However it is important to note that qualified people should also be involved in the management of the information infrastructure.
- 3.2 Demonstrate and evaluate the impact of key emerging information technologies on business performance
- Information technology has emerged as one of the key component that helps the business to solve various complex issues. This can be linked to the fact that the information system play an important role decision making since it helps the business to analyze all the factors that affect their operations. The information technology also helps the business to accomplish their global growth strategies, which in turn helps to improve the organizational performance in the global market. According to Rainer and Cegielski, (2011, p.38) information technology helps business to respond to the need of their customers since it helps to provide the necessary data related to the market trends. The information technology also play an important role in helping the business to adapt to new changes through ensuring that the business process are run in a professional manner. It is also evident that it can help to reduce the cost of operation and hence improving production of an organization. In relations to this technology also helps the business to provide quality goods and services thus increasing their revenue
- 3.3 Examine the reasons for building effective information systems
- Building an effective information system in an organization is one of the primary concerns in an organization considering the fact that confidentiality and integrity of an organization must be maintained. This is because leakage of some crucial company information can adversely affect its performance leading to loss the competitive advantage that it had in the industry. Security of the data must therefore be guaranteed to ensure that the no unauthorized access to company information. An effective information system should also recognize the complexity of an organization. Additionally an effective information system should also deliver tangible and visible result to an organization. This implies that the system adopted should help to ensure that the business achieves its growth objectives. There is also need for the management to ensure that the system developed provides a strong leadership in an organization. The information system adopted should also allow the business to communicate effectively with their customers in order to ensure that it is able to meet the demand of the customer. Finally the system must also be able to mitigate various risk that can affect the operation of a business for instance it should be able to provide effective time and budget estimates as well as provide the business with the requirement it needs to deal with the changing business environment.
- 4.1 Identify the key information systems, which contribute to improving business
- Performance
- The following are some of the system that helps to improve the business performance in the market.
- Transaction processing system
- This is a type of computerized system, which helps the business to carry out various routine transactions (Rainer& Cegielski, 2011, p.38). The transaction processing system helps the business to process data resulting in transaction such as payroll. The system has five stages of transaction processing. The first stage is the data entry stage where the relevant data is entered into the system. The second stage is the data processing where the data entered is transformed to meaningful information. The third is the database maintenance followed by document and report generations. The last step is the inquiry process that involves review of the data processed.
- Customer’s relationship management system
- The customer’s relationship management systems are used to synchronize the sales and marketing efforts (Oz, 2009, p.18). The system helps to follow and tract customer purchasing trends and the different enquiries that they make to the business. The system also helps the company to interact with the company service products. Most importantly the customer’s relationships management system allows the business to develop new products based on the demands of the customers.
- Business intelligent system
- This type of system is mainly used to indentify, extract and analyze data for various operational needs (Rainer& Cegielski, 2011, p.39). The system can help to provide data that can help the business predict sales. Moreover this system can also be used to enter data according to the line of business and break it down for the management. For instance various banking institutions use the system to evaluate credit risk models associated with the issuance of loans.
- 4.2 Analyze the relationship between information systems and decision-making
- The information system play an important role in the decision making process where it is used in all the management processes starting with the planning, organizing, directing and finally monitoring. During the planning the information system helps to provide the goals of the management and at the same time help in forming the strategies that can help the business to achieve its objectives. With regard to the organizing stage the information technology helps the management to the organizing stage the information system is used in the assigning individual and groups. It is also evident that during the organizing stage the system is also used in the helps ensure that the responsibility is equally shared. During the directing stage the information system is used in the motivating and at the same time communicating the necessary information to the employee, which in turn helps to ensure that the various policies that are developed are successfully implemented. Finally during the controlling and monitoring stage the information system is used in the evaluating whether the organizational has achieved its set objectives (Mancini, Vaassen & Dameri, 2013,p.1).. According to nana during the evaluation stage the information system is also used to adjust the organizational performance.
- 4.3 Evaluate how information systems can improve business performance
- The information system can help to improve the performance of a business through ensuring that the business is able to analyze the external environmental factors that can affect the operations of the business. In this case analysis of the external factors helps the business to adopt effective strategies that can help in improving the organizational performance. The information system also helps to improve the various business process and ensure that it ensure that they are cost effective. Various businesses are also able to adopt new changes that can help to improve the business process. Information systems also help the business to apply good risk management strategies in their operation hence ensuring that the business continues to make profit. Having effective information system also helps the business to respond promptly to the needs of the customers. It is also evident that an effective information management system also helps the business to be able to venture in the global market therefore ensuring that the business increases its market share. The transaction processing system helps to ensure that the management is able to respond to the employee welfare effectively. In addition the information system help to ensure that the business delivers quality good in the market and hence ensuring that the business continue to attract more customer.
- 5.1 Demonstrate how to manage information systems projects
- The first in managing information system project involves describing the project scope various alternatives and feasibility of the project. The main purpose of this step is to identify the various opportunities and problem the system will address, the first step should also involve analysis of what needs to be done (Hallows, 2005, p.90). After determining the goals of the projects the next step involves dividing the task into manageable task. Definition of task should be detailed to ensure that everyone involved in the implementation understand his or her role. The next step involves estimating of the various resources required and at the same time creating the resource plan. After resource estimation the next step involves developing the both the preliminary schedule and communication protocol. The next step involves creations of the preliminary budget as well as the risk assessment. After preparing all the necessary resources the next step involves execution of the proposed plans. The last step in the management of the information system projects is closing down of the project that involves conduction project reviews to establish whether the project achieved its initial goals and objectives.
- 5.2 Analyse the implications of ethical and social issues for managing information
- Systems
- There are several ethical issues associated with the use of information system. For instance it has been estimated that the computing power double every 18 months which in turn leads to the increased reliance on the computers. Data storage in an organization declines due to the overreliance on the computer system. Application of the information system plays an important role in helping the business to analyze the personal information, which can in turn lead to the leakage of the personal data. There also ethical issues related to responsibility especially when some of the confidential information is lost. In such as situation it becomes hard to establish the person who is supposed to bear the responsibility. Accountability is also another ethical issue with regard to the use of the information system in an organization (Morais, 2011, p.90). The networking facilities provided by the information system enable moving and accessing of large amount of information. It is also evident that the information system can also lead to unauthorized relation awareness where the data from multiple source are combined in order to establish a hidden connection
- 5.3 Identify the security risks faced by information systems
- The following are some of the risks faced by the information system.
- Computer virus
- The computer virus can multiply and affect the quality of information stored in the system. The virus in some instances can alter or even delete the information contained in the information system. Various studies indicate that most of the employee waste deleting the spam.
- Insider abuse
- The insider abuse refers to the misuse of the information system by the employee of an organization. Some of the employee in various organizations use the information system for their personal use such online games and shopping thereby interfering with the organizational activities.
- Social engineering
- Social engineering is another factor that affects the information system in an organization. This usually happens in the situations where the employees are manipulated in order to leak certain confidential information (Jacobs, 2011, p.23).
- Hacktivism
- Hacktivims is also another major risk that the associated with the information system. With regard to hacktvism the malicious people in most cases break into computers system for politically or socially motivated reason.
- 5.4 Evaluate approaches to achieving information systems security
- One of the best approaches that can help to manage information security is the development of comprehensive security policies (Warkentin, & Vaughn, 2006, p.22). In this case the management of the organizations should develop code of practice that need to be followed to ensure system security. The policies to manage information systems should be written in a simple, standardized and structured manner. In addition the policy should also include the procedures that need to be performed in order to enhance information security in an organization.
- Moreover there is also need for the management of an organization to align the information security with the activities with the strategies of the business and technology. This is to facilitate development of security culture. Another approach that can help an organization to manage their information system is through the effective implementations of the internal control across the organization. In addition management of the information system should also entail adhering to the globally recognized international standard. This can help the organization to an effective information system.
- Reference
- Jacobs, S. 2011. Engineering information security: The application of systems engineering concepts to achieve information assurance. Hoboken, N.J: John Wiley & Sonsl.
- Warkentin, M., & Vaughn, R. 2006. Enterprise information systems assurance and system security: Managerial and technical issues. Hershey, Pa: Idea Group Pub.
- Morais, . C. G. J. 2011. Ethical issues and social dilemmas in knowledge management: Organizational innovation. Hershey, PA: Information Science
- Hallows, J. 2005. Information systems project management: How to deliver function and value in information technology projects. New York: AMACOM.
- Mancini, D., Vaassen, E. H. J., & Dameri, R. P. 2013. Accounting information systems for decision making. Berlin: Springer.
- Rainer, R. K., & Cegielski, C. G. 2011. Introduction to information systems. Hoboken, N.J: Wiley.
- Oz, E. 2009. Management information systems. Boston, Mass: Thomson/Course Technology.
- Bidgoli, H. 2011. MIS 2010. Mason, Ohio: South-Western.
- Kraemer, K. L. 2006. Global e-commerce: Impacts of national environment and policy. Cambridge [u.a.: Cambridge Univ. Press.
- Lan, Y. 2005. Global information society: Operating information systems in a dynamic global business environment. Hershey, PA: Idea Group Pub.
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