A business perspective of information system

A Business Perspective of Information System

Information technology-based organizational management solutions for addressing environmental concerns and hazards are known as business perspective information systems.

There are three different types of networks, as follows:

• Intranet
  • Network configuration for a single use.
• Internet
  • The entire globe is connected via a network.
• Extranet
  • Systems for managing the customer and supplier chains
• The term "intranet" refers to a network created by a company for its own commercial purposes.
• Information technology and systems are investments made by managers and commercial organizations because they have a tangible economic benefit to the company.
• An information system is a crucial investment for businesses looking to grow.
• By providing managers with information that helps them make better decisions or that improves the execution of business processes, information systems enable the company to enhance revenue or minimize costs.
• Information systems, seen from a business viewpoint, are a component of a number of value-added processes for gathering, transforming, and disseminating data that managers may utilize to enhance decision-making, boost organizational performance, and eventually increase own profitability.
• Business-oriented viewpoint highlights the information system's organizational and administrative features.
• An information system is a management and organizational tool that uses information technology to address a difficulty or issue brought about by the environment.
• Every organization has an information value chain where raw data is methodically collected, processed, and converted at various stages to add value to the data..
• Business strategy, rules, laws, standards, and procedures are becoming more interdependent with information systems software, hardware, data, and telecommunication.
• Building systems takes up a lot more space in the organization now than it did before.
• Businesses today and in the future place a high priority on the requirement for an efficient information system.
• The requirement for an information system that describes the firm's economic environment and integrates the external environment with the internal variables to give useful management information system is indicated by growing purchasing material prices, increasing labor costs, and foreign competition.

Complementary Assets

• In contrast to assets that are primarily linked to the innovation, complementary assets are those that are required to enable the effective commercialization and marketing of a technological upheaval.
• Business IT investment research shows that companies that invest in complementary assets, such as new business models, processes, management styles, organizational cultures, or training, in addition to their technology investment see superior returns. Conversely, companies that don't make these complementary investments see less or no return on their IT investment.
• Organizational and management capital is another name for these investments in organization and management.
• Stronger senior management support for change, incentive systems that track and reward individual creativity and place an emphasis on teamwork and collaboration, training programs, and a management culture that encourages flexibility and knowledge are important managerial complementary assets.
• To maximize return on IT investment, complementary management, organizational, and social resources are needed. Organizational, managerial, and social assets are taken into account.

Organizational Asset

A cooperative corporate culture that values effectiveness, efficiency, a sound information system development team, a decentralized authority structure, and efficient business processes.

Managerial Assets

• Strong senior management backing for changes and investments in technology.
• Incentives for innovative management.
• Workplace collaboration and teamwork.
• Programs to improve managerial decision-making abilities.
• A management style that values adaptability and judgment.

Social Skills

• Laws and infrastructure related to the internet and telecommunications are fostering a fair and stable market environment.
• Harmful educational initiatives

Systematic Approach for Development of Information System

There won't be a MIS professional in a tiny company. They can nevertheless create management information systems, despite this. They use the following procedures to create systems:

• Determine the demands
• Find, assess, and protect software development
• Find, assess, and secure hardware
• Put the systems in place

Contemporary Approach to IS

The following examples show how the study of information systems is a multi-disciplinary area that draws on theories from several disciplines: The study of IS focuses on problems that have internal contributions from the technical and behavioral sciences.

• Technical Approach
  • The mathematically based model is prioritized in the technical approach to information systems.
  • The actions are carried out in order.
  • Only after the prior activity is finished is the subsequent activity started.
  • Computer science, management science, robotic science, and operational research science are the disciplines that support the technical approach.
  • The goals of computer science are to establish computability and develop effective data storage techniques.
  • The development of models for decision-making and management practices is emphasized in management science.
  • Operation research focuses on mathematical methods for enhancing specific organizational parameters like transportation, inventory management, and transaction costs.
• Behavioral Approach
  • Various behavioral challenges, including strategic business integration, design, execution, and utilization, are included in the information system sector.
  • Although the behavioral approach does not completely disregard technology, it often places more of an emphasis on technical solutions.
  • Sociology, psychology, and economics are the three disciplines that make up a behavioral approach.
  • Sociologists focus their research on information systems on how groups and organizations create systems and how systems affect particular groups and organizations.
  • When evaluating information systems, psychologists consider how formal information is viewed and used by human decision-makers.
  • Economists are interested in understanding how digital goods are produced, the dynamics of the digital market, and how new information systems alter and regulate the cost structure within a corporation.

Reference

Laudon, Laudon, "Management Information Systems Managing the Digital Firm", twelfth edition