INFORMATION SYSTEM ROLE IN BUSSINES
Information system is set of computer-based tools to help collect, process, store, and distribute information. Why we must study information system? because information systems play as important role in the organization. They use information system to adapt, expand, and interconnect them to achieve their strategic objectives. By learning about information system we can be knowledgeable about information systems and information technology.
There are six major of information system in business :
- Operation management
Every organization need a operation management to help a company to manage their operation like to deliver goods and services, tracking employee payroll, taxes, benefit and timesheets. And organization also need information system to manage industry specific operations.
- Customer interactions
Company use CRM (Customer Relationship Management) to Improve the relationship between the company and existing customers to increase company revenue.
- Decision making
Companies must be able to analyze the company’s data appropriately and carefully in order to survive in business competition. Many company using business intelligence technology to help gather information and predict business to help the company make right decisions.
- Collaborating on teams
Collaboration and teamwork have considerable support from innovative information systems that allow people to work together at any time and from any place. People can hold online meetings, sharing documents and applications, and interacting using microphones, and video cameras.
- Gaining competitive advantage
Information systems designed to help achieve the company’s strategic goals can create competitive advantage in the market by development and application of innovative information systems.
- Individual productivity
Developing information systems to support collaborative human activities by using computer software make life more productive and easier.
The components of Information System:
- People
Human element play a big role in the success or failure of most information systems. Because they are the ones who design, development, launch, and maintenance of any information system.
- Technology
Hardware : all physical part of a computer.
Software : formatted data and digitally stored, including various information that can be read, and written by a computer. In other words, computer system parts that do not materialize.
- Processes
Set of Steps that you undertake to accomplish a goal.
- Data
Collection of information that is converted into a digital format for use in information system.
Information systems are the main foundation and underlie most of the business activities. Information system help company to make information system strategy for competitive advantage, streamline processes, reduce cost and increase revenue.
Business and other organizations rely on information systems to carry out and manage their operations, interact with their customers and suppliers and compete in the marketplace. For instances, corporations use information systems to reach their potential customers with targeted massages over the web, to process financial accounts, and to manage their work force. So, whatever your chosen career is, information systems will be fundamental to your success because information system is very important in business.