Information Systems for Business - IST101 PDF

Course Title: Information Systems for Business Course Code: IST101 Book Name: "Management Information Systems - Managing the Digital Firm" 17/e Authors: "Kenneth C. Laudon & Jane P. Laudon". Session No. Topic Readings & Cases 1-2 Role of Informati...

Course Title: Information Systems for Business Course Code: IST101 Book Name: "Management Information Systems - Managing the Digital Firm" 17/e Authors: "Kenneth C. Laudon & Jane P. Laudon". Session No. Topic Readings & Cases 1-2 Role of Information Technology and Reference: Chapter – 1 and Chapter – 2 Systems in Organizations Caselet: Digital Transformation of [Perspectives on Information Healthcare at Singapore’s Jurong Health Technology & Systems, Uses in Services Organizations] Information Technology:  The use of technology to organize, store, share, and process the Information.  Refers to use of hardware, software, services, and supporting Infrastructure to manage and deliver Information using voice, data, and video, etc. The Role of Information Technology in the organization Now used in day-to-day operations of all businesses.. Let’s take a look at how Information Technology drives business management today. 1. Streamlining Operations  IT has enabled an ease of doing business by managing overheads, regulating recruitment, dealing with market uncertainty, managing inventory, monitoring employee performance, design marketing strategies, dealing with employee grievances and so much more..  IT has also automated various manual and time consuming tasks to speed up regular operations. For example, Record the daily attendance of employees by Bio-metric attendance system, process leaves, and compute monthly salaries of employees with minimal human interference. Another example is to calculate Over-time amount payable or even Bonus amount based on the CSFs maintained by the superiors. 2. Implementing Cloud-based Solutions  A useful tool to store business data on third party servers through the internet.  It is a revolutionary technology to cut down costs and opt for subscription packages to suit their business needs, against costs of hiring an IT team to maintain and manage large servers within their workspace.  Also servers crashing, downtime and data being lost are now a thing of the past with cloud technologies coming into the picture. 3. Conducting Data Analysis  Many Business Organisations now depend on IT professionals to gather, assimilate, segregate and study relevant data to understand current market trends and customer behaviour.  They then use this data to make various organisational-level decisions to develop their business strategy, analyse market forecasts and develop product development strategies accordingly. It can also help businesses stay ahead of the competition in a cut-throat market. 4. Enabling Efficient Communication  Easy and efficient communication is one of the main advantages of Information Technology.  It Communication does not only refer to communication done on an organisational level, it also means communication done with clients and customers.  IT software like emails, Whatsapp, personalised chatbots, feedback forms etc. can be categorised as a form of communication.  Businesses now need to receive instantaneous communication. This may include sales figures, consumer feedback, customer enquiries, market trends and so much more. 5. Enhancing Customer Experience  To enhance customer’s experience and maintain a great relationship with customers. Businesses use tools like CRM (Customer Relationship Management) to keep a track of customer behaviour, any issues faced by the customer, and ensure quick resolution of issues.  Suppose a customer has an issue with a product purchased or a service used, they can call up the company which will be captured by the CRM. A customer relationship executive will then review the customer’s shopping history through the CRM program and efficiently solve the issue without a glitch or a delay. 6. Reducing Operational Cost  Overall, implementing the above mentioned IT software and programs can help businesses reduce their operational costs by a large margin.  They do not need to recruit more staff members to do tasks that can be done by software and programs. Instead, they can recruit top notch professionals from the industry to drive their business ahead.  This helps businesses invest more money on other avenues such as marketing, enhanced cyber security, employee rejuvenation programs and better financial investments for a sound financial portfolio. Better returns and finances means the company is more stable and reliable for customers and employees. Information Systems:  According to O’Brien, & Marakas, Information system (IS) can be any organized combination of people, hardware, software, communications networks, data resources, and policies and procedures that stores, retrieves, transforms, and disseminates information in an organization.  According to Patterson, an information system is a group of interrelated components that work to carry out input, processing, storage, output and control actions in order to convert data into information that can be used to support forecasting, planning, control, co-ordination, decision making and operational activities in an organization. Every business organization in this era needs an information system (IS) to keep track of all business activities, right from business planning, till the product delivery via manufacturing and quality cycles  An information system can be defined technically as a set of interrelated components that collect (or retrieve), process, store, and distribute information to support decision making, coordination and control in an organization. In addition to supporting decision making, coordination, and control, information systems may also help managers and workers analyze problems, visualize complex subjects, and create new products.  Every business organization in this era needs an Information system (IS) to keep track of all business activities, right from business planning, till the product delivery via manufacturing and quality control.  Nowadays, Information systems and technologies are transforming the Global Business Environment. Specifically, business firms invest heavily in IS to achieve six strategic business objectives: 1. operational excellence; 2. new products, services, and business models; 3. customer and supplier intimacy; 4. improved decision making; 5. competitive advantage; and 6. survival. By Information we mean data that have been shaped into a form that is meaningful and useful to human beings. Data, in contrast, are streams of raw facts representing events occurring in organizations or the physical environment before they have been organized and arranged into a form that people can understand and use. https://www.awm.tech/ Assignments to the students: Referring to the above diagram, just try to explore definitions, concepts and usages of various types of Information Systems depicted therein.  What’s New in MIS? 1. IT Innovations A continuing stream of information technology innovations is transforming the traditional business world. Examples include the emergence of cloud computing, the growth of a mobile digital business platform based on smartphones and tablet computers, big data and the Internet of Things (IoT), business analytics, machine learning systems, and the use of social networks by managers to achieve business objectives. Most of these changes have occurred in the past few years. These innovations are enabling entrepreneurs and innovative traditional firms to create new products and services, develop new business models, and transform the day-to-day conduct of business. In the process, some old businesses, even industries, are being destroyed while new businesses are springing up. 2. New Business Models For instance, the emergence of online video services for streaming or downloading, such as Netflix, Apple TV Channels, and Amazon, has forever changed how premium video is distributed and even created. A growing trickle of viewers are unplugging from cable and using only the Internet for entertainment. 3. E-commerce Expansion E-commerce sales wordwide. 4. Management Changes The management of business firms has changed: With new mobile smartphones, high-speed wireless Wi-Fi networks, and tablets, remote salespeople on the road are only seconds away from their managers’ questions and oversight. Management is going mobile. Managers on the move are in direct, continuous contact with their employees. The growth of enterprise-wide information systems with extraordinarily rich data means that managers no longer operate in a fog of confusion but instead have online, nearly instant access to the really important information they need for accurate and timely decisions. In addition to their public uses on the web, social networking tools, wikis, and blogs are becoming important corporate tools for communication, collaboration, and information sharing. 5. Changes in Firms and Organizations Compared to industrial organizations of the previous century, new fast-growing twenty-first-century business firms put less emphasis on hierarchy and structure and more emphasis on employees taking on multiple roles and tasks and collaborating with others on a team. They put greater emphasis on competency and skills rather than position in the hierarchy. They emphasize higher-speed and more- accurate decision making based on data and analysis. They are more aware of changes in technology, consumer attitudes, and culture. They use social media to enter into conversations with consumers and demonstrate a greater willingness to listen to consumers, in part because they have no choice. They show better understanding of the importance of information technology in creating and managing business firms and other organizations. To the extent organizations and business firms demonstrate these characteristics, they are twenty-first century digital firms. Payroll Data on master file Caselet-1: Digital Transformation of Healthcare at Singapore’s Jurong Health Services