Role of Information system and its need for business org

In the modern era computer and information technology the importance of information system (IS) can be judged from the following points.

a.Support of business process and operations.

b.support of business decision making

c.support of strategies for competitive advantages.

1. SUPPORT OF BUSINESS PROCESS AND OPERATIONS:

The lower level of organization consists of department head, supervisors, workers and other technical staff. Their actual performance is communicated to the top management using various performance report for the purpose organization use IS to communicate such reports to the top management.

2. SUPPORT OF BUSINESS DECISION MAKING:

The goal of any part of information system is to provide information for decision making.

Information system thus helps for business decision making management of this level consists of heads of sales regions administration and engineering. These head need timely, quick, and accurate information to control the provide such information which enable the regional heads to function efficiently ad make analysis of sale, expense, investory level and turn over.

3. SUPPORT OF STRATEGIES FOR COMPETITIVE ADVANTAGES:

Information system at this level provides information to managers and those who involves in making strategies for organization. This system provides further oriented information about market products demand and environment changes.

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Why business need information technology

Information technology is the combination of computer and network resources to share information within and outside the organization.

Why information technology is importance for business:

To answer this question one must be familiar with the expending role of information technology in present era. Information technology has become a vital component of successful business and organization. They thus constitute an essential field of study in business administration and management to be a manager, entrepreneur of business professional it is important to have basic understanding of information technology like other business function such as finance, accounting and HRM (human resource management). Information technology can help all kind of business to improve the efficiency and effectiveness of their business process, managerial decision making and work group collaboration. And thus enable an organization to gain competitive advantage in a rapidly changing market environment. The use of information technology support product development team, customer support process, electronic commerce transaction or any business activity.

Internet based technology and systems are fast becoming a necessary ingredient for business success in today’s dynamic Global environment.