Strategic Use Of IS/IT To Achieve IS/IT-Enabled Innovation

Discussion

The information system or IS could be stated as the formalized, organized as well as socio technological system, which is properly designed to subsequently collect, process, store and then distribute the important and confidential information (Nevo, Nevo and Pinsonneault 2016). The four distinctive elements of this information system are people, process, organizational structure and technology. The digitalized and the computerized information system is one of the specified system that is responsible for helping the organizations to process and interpret every confidential data for all the significant and important information for a specific company. This type of information system is limited to any software with the major purpose to run computerized databases as well as computer systems (Lee, Thomas and Baskerville 2015). The proper organization and analysis of data and information are easily done with the help of this type of information system. Hardware, software and connections of computer system are properly integrated here.

There are some of the major and the most important advantages of information system like better decision making and providing support to the management and operations. The subsequent report will be outlining a brief discussion on managing of information systems for any specific company. The proper strategic use and application of the information technology or information system to achieve IS/IT enabled innovation will be explained in the report. Proper examples and success factors will also be provided here with subsequent recommendations.  

Four Examples of the Utilization of IS/IT for Innovations

This information system and the information technologies are quite important as well as significant for each and every business as these are responsible for bringing the subsequent changes or alterations and innovations in the company (Abbasi, Sarker and Chiang 2016). The basic activation and utilization of this information system can be stated as the most significant measure for enhancing the company growth or progress. Thus, each and every organization has accelerated the issue to find, develop and even obtain advantages for the purpose of achieving the organizational objectives and goals. The innovation is the changed procedure or operation that is done for the purpose of bringing better efficiency and effectiveness in products, services and ideas. Several organizations implement newer ideas and ideologies for creating the dynamic products as well as improvements within the existing products or services (Orlikowski et al. 2016). The innovation in business refers to achievement of goals and objectives for gaining business feasibility or visibility. The major examples for using the IS/IT to bring out subsequent innovation in the business are given below:

1. Executive Support System: This is one of the most basic examples of using IS/IT to bring out the innovation within the business. The particular software enables every user to transform confidential data of business to quickly accessed reports for billing and accounting departments (Laudon and Laudon 2016). The successive technical developments have made the access to information extremely fast and fast for the reason of lower costs to use and obtain the systems. The decision support system is also enhanced with ESS.
2. Decision Support System: The next example is decision support system or DSS. The requirements of the organizations could be met and supported for performing the respective administrative functionalities (Holtshouse 2013). Each and every important and significant decisions are easily undertaken by the help of this type of information system and hence the major issues regarding business decisions are avoided properly and innovations are possible.
3. Management Information System: This particular information system is responsible for managing important and significant information. A computerized database is present here that could easily store all types of financial data and also produce regular operational reports, hence enhancing innovations majorly.
4. Transaction Processing System: Any type of transaction of business is completed with the help of transaction processing system (Eason 2014). It is one of the most important and significant for the business and hence better transactions are possible in the business. Due to these better transactions, the business will be in profit and would be able to bring subsequent changes or innovations.

The four distinctive examples of the information technology or information system are executive support system or ESS, decision support system or DSS, management information system or MIS and finally transaction processing system or TPS (Lohrke, Frownfelter-Lohrke and Ketchen Jr 2016). Each of these examples eventually comprises of few important and significant success factors, which help the companies in bringing out major innovations in the business, their respective products and services. All of these success factors of the four specified examples are provided below:

1. Executive Support System: The most important and significant success factors of ESS for the IS/IT enabled innovation are given below:
2. Higher Flexibility: This is the major success factor of the ESS for bringing out significant innovations (Avgerou and Walsham 2017). Flexibility as well as scalability are responsible for making the entire system of ESS extremely easy to bring the innovations.
3. Easier Business Operations: The business processes or operations are quite easy with the executive support system and thus innovation could be easily brought.
4. Better Access to Information: The organizational personnel gets a better access to the confidential and globalized information easily with ESS and thus the issues with information management could be easily removed without much complexity (Paré et al. 2015).
5. Provides Accurate Information: ESS could even bring accurate information and hence superficial or fake data is almost absent in this type of system.
6. Decision Support System: The most important and significant success factors of DSS for the IS/IT enabled innovation are given below:
7. Efficiency as well as Effectiveness: The decision support system has the major success factor of providing both efficiency and effectiveness to the organization and hence innovation could be easily brought to the business (Pearlson, Saunders and Galletta 2016). Moreover, the quality as well as timeliness are also improved for every organizational decision.
8. High Interactivity Level: The interactivity level of the decision support system is extremely high and hence the company using this particular information system obtains some of the basic and important advantages.
9. Provides Complete Control: This decision support system provides complete and proper control to business operations and hence it is easier to undertake relevant decisions (Trantopoulos et al. 2017).
10. Easier Development: DSS could be easily developed within any organization and hence it is much easier to undertake relevant and important decisions for the betterment of the business.

Impact of Internal and External Factors on the Success of IS/IT Enabled Innovations

Management Information System: The most important and significant success factors of management information system for the IS/IT enabled innovation are given below:

1. Systematic Approach: The first and the foremost success factor of management information system is its systematic approach (Dwivedi et al. 2015). This particular approach is responsible for the maintenance of a sequential approach within the business operations.
2. Properly Integrated: The management information system is absolutely integrated and hence has the ability of producing relevant and important decision about innovation.
3. Central Database: This MIS also consists of the centralized database for storing all types of data (Valacich and Schneider 2015). This type of database contains the data in a specific tabular form and thus data management is extremely easier for the users.
4. Management Oriented: The fourth important success factor of MIS is that it is completely management oriented and hence there is a specific top down approach, which is important for bringing innovations in the business.
5. Transaction Processing System: The most important and significant success factors of transaction processing system for the IS/IT enabled innovation are given below:
6. Better Flexibility: The most important success factor of the transaction processing system is its better flexibility (Cassidy 2016). Due to the high scalability and flexibility, it becomes quite easy for the business to introduce innovations.
7. Controlled Processing: The processing system is absolutely controlled and thus the organizational operations are supported well.
8. Higher Reliability: Another effective success factor of transaction processing system is the higher flexibility. This particular system is responsible for providing major advantages after giving higher flexibility and scalability and thus is extremely effective and efficient for the business innovations.
9. Rapid Response: For the rapid response of TPS, the organization can undertake the major decisions and actions and such issues would be resolved without much issue.

There are some of the most important internal factors as well as the external factors that have main impact on the success rate of information technology and information system to enjoy success in the innovation. The internal and external are solely responsible for the success and failure of business or company (Schnoll 2015). All of the business owners cannot manage their external factors; although they must have the core capability to anticipate and adjust to such factors to keep the company on track and hence bring out innovations. The most important and significant impacts of the internal factors as well as external factors to bring success with IS/IT enabled innovation are provided below:

1. Internal Factor: This internal factor majorly refers to the factor that is responsible for affecting the company internally and could even bring few important advantages. The three internal factors are given below:
2. Organizational Factor: The first and the foremost internal factor is organizational. It brings out major changes within the business (Shaikh and Karjaluoto 2015). All the organizational personnel are eventually considered as the main asset of company and if they are provided with perfect training about IS and IT, these employees could easily bring major innovations within the system of the company.
3. Individual Factor: The second internal factor is individual factor, which refers to the significant training that is being provided to all the organizational members with the core purpose to bring out subsequent innovations within the products and services.
4. Management Factor: The third internal factor is management factor, which refers to the management of the company (Bloom et al. 2014). If any type of change is decided to be done in the organizational system, the management should be accustomed with these changes as well as alterations and innovations would be enhanced eventually.
5. ii) External Factor: This is the second type of factor that bring major innovations to the business with IS/IT. There is no direct association of this factor with the organization; however this has major impacts on the company. The six external factors are given below:
6. Market: This particular factor of market has one of the major impacts on every organization (Dahlstrom and Bichsel 2014). The innovation is absolutely responsible for the fact that how well the company is competing with rest of its competitors.
7. Industry: This industry external factor solely refers to the factor that the respective industry must accept the various changes and innovations, brought by them due to IS and IT.
8. Social: The third external factor is social factor, which eventually refers to every business customer and also to the fact that if the clients are happy or not with these innovations.
9. Economic: Another important and noteworthy external factor is economic factor. The several business owns cannot properly control the economy and thus to adjust all of their business operations, some of the major issues are being faced by them.
10. Technological: This technological external factor is that particular factor, which is responsible for providing technology to bring innovations in IS/IT (Majchrzak, Markus and Wareham 2016). As this technology could easily transform their operations and hence build loyalty base.
11. Political: This political factor is responsible for referring to the several regulations and laws and even political backgrounds of country, in which the company is present.

The most important and relevant recommendations for the organizations to help them for succeeding in the information system or information technology enabled innovations are provided below:

1. The basic recommendation for organizations is implementing the comprehensive technology oriented plan, with the purpose that every innovation is easily deployed as well as accepted by each and every organizational personnel.
2. The second important recommendation for organizations for getting the IS/IT enabled innovations is maintaining the proper balance within organizational changes and organizational personnel without any type of complexity.
3. Another effective and important recommendation for the organizations to get subsequent advantages from IS/IT enabled innovations by investigating the bandwidth. The increment of bandwidth often makes the multitasking extremely easy and hence the application hang-ups of slow up gradation are reduced to a higher extent.
4. The management of the major functionalities like customer relationship management and email processing is yet another important and significant recommendation to bring out major innovations.
5. A periodical maintenance of the updates of information technologies and examination of error logs during the scheduled downtime is the fifth effective recommendation for preventing any type of data loss and system outages and also bring IS/IT enabled innovations.
6. Another important and the most significant recommendation is to use free software for reducing the technology budget for the proper up gradation of machines easily and efficiently. Some of the most popular and important organizations have used this recommendation for their freeing up of services and also retaining their customers.

Conclusion

Therefore, from the above provided discussion, conclusion could be drawn that information systems are the proper subset of ICT or information and communication technology that is being used in such a methodology that each and every organizational member can complete the work effectively as well as easily to support every business process. Information system even emphasizes on the end uses of IT and hence these are extremely different from organizational procedures or helping to control the major business related functionalities. There are several types of information systems that majorly depend on the business requirements. The relevant data could be represented as well as processed to form social memory, thus communication system could be completed eventually. Fewer companies complete their work with the large data amount and the data are basic facts and values, which are properly organized in the organizational database. The proper deployment of the information system, management and data analysis eventually turns out for being quite efficient and effective for the control systems. The most common types of information systems are decision support system, management information system, transaction processing system and executive support system. The major contribution of information system is innovation for the companies. The above provided report has properly outlined a basic strategic information technology application to bring out innovation for the business. This report has described proper examples and recommendations. Four examples are being provided to understand use of IS/IT enabled innovation.

References

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Avgerou, C. and Walsham, G. eds., 2017. Information Technology in Context: Studies from the Perspective of Developing Countries: Studies from the Perspective of Developing Countries. Routledge.

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Valacich, J. and Schneider, C., 2015. Information Systems Today: Managing in a Digital World Plus MyMISLab with Pearson eText–Access Card Package. Prentice Hall Press.

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