BUSINESS DRIVEN INFORMATION SYSTEMS
Introduction
Business driven information systems entail a system where information systems technology is incorporated in business (Baltzan, 2012, p. 2). Information technology is vital for any business to thrive. Failure of a business to take advantage of the technological breakthroughs will make the business lag behind. The information systems that are used by any business need to be thought about carefully so that implementing it will serve the intended purpose, using a business plan because of its availability will result in wastage of resources. The business strategy and the goals of the business are the key components that should determine the information system adopted by the business and not the vice versa (Baltzan, 2012, p. 4).
Information systems have fundamental roles in the conducting of day-to-day business. First, information systems assist in the storage and analysis of vital information in the business. The use of databases and other storage facilities in information system assist the business to store information that could be used to pinpoint and solve current and future problems that afflict the business. The information systems help the business analyze the opportunities that the business has and how to best undertake a new venture. Information systems also assist in analyzing the performance of the company.
Second, information systems assist in the decision making process. The management of any business should make use of information systems to analyze internal and external factors that would affect the strategy adopted by the business. The capability of information systems to analyze data should be used to investigate market trends so that the management is better informed when making decisions that will affect the business as a whole.
Finally, information systems assist in the conduction of business processes. Information systems can analyze information with the purpose of knowing the amount of products the company needs to put in the market and be profitable. The company will be able to undertake better projects since information systems can be used to monitor the progress of the project.
The internet and e- business
The internet has changed the way business is conducted. This is because it has transformed the business into a business village. Trade barriers formerly experienced due to geographical boundaries have been cut down by the internet. The means of communication between businesses has been revolutionized and made easier and less costly than it was before. This has promoted the conduction of business the world over. The internet has improved information systems in various ways. Some of them include; changing the storing and analysis and protection of information, which has made vital information more accessible to the relevant individuals2.
Second, the way that business exchange information has been made easier by the internet by the use of emails and other social media websites. This has promoted the way business is conducted by increasing the number of people that a business can conduct business with. Finally, the internet has improved the way in which the business hires its employees and how it distributes its manpower. This is done by online application, which is so much better and more effective than manual application. Outsourcing is now done over the internet, where a company gives its project to other companies where they can be handled more effectively if the company’s manpower cannot handle the project at any time. This saves the company valuable time that can be used to tackle other pending projects.
There are four types of e-business models. They include- business-to- business. This e-business involves two businesses trading over the internet. The second kind is business-to-consumer. This involves the trade where the business sells products to the consumer over the internet. Third, there is consumer-to-consumer; this e-business entails the trade between two consumers. Finally, there is consumer-to-business; this is where the business buys products from a consumer in the e market places.
Enterprise Information Systems
Enterprise information systems are the information systems that assist integration in business processes, therefore, improving its functions. These enterprise systems are faced with new challenges every day making business harder to conduct. Some of these challenges include; innovations. Technological advancements are now a daily occurrence. A business that is using enterprise information systems has to keep up with the technological changes to adapt to the changes. Changing with the changing technology sometimes proves to be an expensive affair for the business.
The second challenge that is facing enterprise information systems is the concept of social entrepreneurship. This is the responsibly that the business has to give back to the community. The challenge here is for a business to have its information systems that keep the environment safe. Investing in systems that are eco-friendly could be an expensive endeavor especially when it comes to areas of energy saving technology and recycling of it equipment.
The third challenge is the social networking aspect. This aspect involves the company investing into information systems that give vital information about the people that the business needs to interact with. With more and more social networking sites emerging every day, businesses have the challenge of investigating the systems that give the most comprehensive and reliable information about the individuals that the company needs to interact with.
Finally, the other challenge that the faces the enterprise information system is a virtual world. The challenge is in the way the business handles the virtual workforce in the virtual world that is provided by the linking of multiple workplaces over the internet.
Operation and Supply Chain Management
Operations management is the management of resources that turn the assets of the business into goods and services for the consumer. The activities that are included in operations management include, predicting the trends that the business is likely to undergo. The second operation is the planning of the product capacity that the business should be putting into the market. Operations management is also tasked with the responsibility of assuring the quality of goods and services that the company is pushing out to the market.
Information system has several roles on the operations management of the business. First, information systems are responsible in determining the amount of the resources that the business needs. Second, it is responsible for the scheduling of the distribution of the goods and services. Third, the information system is responsible for the determination of where and how the business will be conducted. Finally, the information system of the business is responsible for determining who will carry out the project.
The supply chain involves all the entities that are involved in the obtaining of materials that are used in the products that are required by the business. The management of the supply chain involves all the processes that are involved in the supply of a material to make the most out of the supply process. It involves four basic components, which include; the strategy that is assumed by the business, the parties that are involved, the operations that are necessary, and the logistics that involved.
The information system of businesses influences the supply chain of the businesses. The areas that are affected include; the supply chain visibility. Information systems help to view all the steps involved in the supply process. The second area of supply that is affected by information systems is the consumer behavior. Information systems of a business contain data about vital information pertaining to consumer mannerisms, which help the business in the effecting conduction of supply. Third, the business can monitor the competition that comes in the supply chain process. In the Supply Chain Process, the business will be able to come with ways to hedge of this competition. Finally, information system quickens the supply process. This is because there is much needed accuracy in the information needed in the supply process. In addition, the easy of communication between all the parties involved make the process easier and faster.
Information Matters
Information and data are vital components for the conduction of any business. The information of a business is responsible for the day-to-day conduction of the business. The
Business can analyze whether or not it is running on a loss or making a profit. There is importance of converting raw data into useful information. Information systems are equipped with tools that are suited for this function. Components such as databases and data warehouses are fewer data redundant in terms of data storage, are flexible and, therefore, are able to handle changes efficiently and quickly and are effective in handling copious amounts of information. This makes information systems a vital component of any business.
Developing Information Systems
Several steps are involved in the development of the information systems. First, there is the analysis. This is the analysis that is conducted to figure out the functions that the information system will be fulfilling. Second, the business needs to carry out a feasibility process to know the chances of making a system at a reasonable and reasonable cost. The third stage is the design stage. This process is conducted to know the structure of the information system. The fourth step is the testing of the system. This is carried out to know if the system can handle the processes that it is made for. The final stage of the design of the information system is the implementation stage. At this stage, the system is put to work and starts to handle the processes it is designed for.
References
Baltzan, P. (2012). Business driven information systems (3rd ed.). New York: McGraw-Hill Irwin.
Bronzite, M. (1991). Developing information systems. Oxford: Oxford University Press.
Filip, J., Cardeiro, J., & Cardoso, J. (2008). Enterprise information systems. Berlin: Springer.
Laudon, K. C., & Laudon, J. P. (2000). Management information systems: organization and technology in the networked enterprise (6th ed.). Upper Saddle River, NJ: Prentice Hall.
Paredaens, J. (1987). Databases. London: Academic Press.