The information system is crucial for any organizational business, be it for keeping up with the competition or for survival. One can find small family-owned restaurants to fitness gyms, all using information systems in some ways for their businesses. More prominent organizations use such technologies to get ahead of the competition as well as bringing innovation. Nonetheless, everyone has possibly felt the frustration that comes with using outdated technology at one point or another. It is one of the most significant challenge experiences for CEOs when they come across such shortcomings. Using obsolete technology in business, unfortunately, comes with much more significant risks than just frustration and pain. System downtime and crashes, increased costs, decreased productivity, security holes, as well as legal and regulatory compliances, are some of the risks managers are bound to counter when using outdated information system technologies. As one of the employees at Walmart Corporation, given that the company had been using obsolete information system in its operation, which later ended up failing terribly. And when the opportunity came to propose a new enterprise information system to replace the old one, I couldn’t let it pass me.
The information system I happened to propose plays a variety of roles, but the leading fundamental roles it plays include operations, decision making, and support strategies. These three functions cover any other purpose played by information systems in a business. This new technological device supports the operations and processes of firms in organizations in a variety of ways. For instance, customers can now order products and services with just a press of a button all thanks to computers and software making work easy, unlike the old method of having to visit the retail store to get something physically. Furthermore, with the new system, both managers and employees can make well-informed decisions. The new system can analyze the collected data both from within the company and from the external sources and convert it into meaningful information that can be used by managers and employees in their decision making processes.
Also, the new systems can support organizational strategies for competitive advantage. The competition for market places in today’s businesses is enormous and what is vital is how quickly firms can convert the information reams they collect into knowledge so that they can offer products and services that are better than their rivals. The strategic information systems can provide hospitality operations with the innovative mediums they need to deliver services and products that give them a comparative advantage over their competitors. The types of data these new systems can record range from work file, master file, audit file, transaction file, history file, as well as back up or security file. The new system ensures data quality is provided as it addresses the risks linked to legal and regulatory compliances as well as system downtime and crashes.
The old system can easily expose the company operations and processes to cyber-attacks and possible data breaches, which can have malicious consequences for the company. More so, the decision making process of employees and managers is bound to be compromised with the old system as more information is likely to get lost as a result of system downtime and crashes. The old system can also undermine the strategy support function as the company can quickly lose its grip for market advantage as a result of system failures. According to a feasibility study, this project is worthwhile because the company stands to benefit from it as there can be an expansion of production volume as well as cost savings. Also, the safety of employees can be guaranteed and the company as well as stands to meet the regulations from the government like the provision of modern facilities for employees and pollution control.
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