HI5019 Strategic Information System: JETGO Airlines Case Study

HI5019 Strategic Information System
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Contents
Introduction:....................................................................................................................................3
Part 1:...............................................................................................................................................4
1. The current organizational structure:....................................................................................4
2. What operational problems (e.g., inefficiency, errors) do you think the organisation could
experience because of this structure?..........................................................................................4
3. What is the most likely system acquisition method— commercial software, custom
software, or ERP?........................................................................................................................6
4. Describes and prepare a system flowchart of the sales procedures for the chosen
organisation (company)?..............................................................................................................7
5. Identify any control problems in the system and what sorts of fraud are possible in this
system?........................................................................................................................................8
Part 2:...............................................................................................................................................9
1. Development and adoption of the accounting software packages:.......................................9
2. The current market size:.......................................................................................................9
3. Identify the leaders in the market and what gives them the competitive advantage:.........10
4. Identify the current gaps or challenges encountered by users or customers of accounting
software/packages:.....................................................................................................................10
5. Relevant suggestions or recommendations.........................................................................11
Conclusion:....................................................................................................................................11
References:....................................................................................................................................12
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Introduction:
JETGO is the famous regional airlines and prosperous air Charter Company as per Australia
Eagle Farm, Queensland behind Brisbane Airport. This literature review will explain proper
schedule of JETGO Australia as per requirement of domestic passenger services in the Eastern
States in Australia. This report will also describe accounting information techniques and systems
and the significance in the JETGO airlines. A proper justification will be made related to ERP
systems and other accounting software for proper an effective decision making as per business
requirement. This reading will explain proper vendor selection and will determine at least three
terms which would be used to manage efficiency and business growth with the help of
accounting systems. A proper efficiency level will be defined a technological implementation,
security risks potential and proper recommendation will be given related to mitigation of risks.
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Part 1:
1. The current organizational structure:
According to Davenport, (2018), in order to understand the organisational structure of JETGO
airlines in Australia, it is essential to know about business operation and subsidiaries which
would execute their business activities in association with JETGO airways. JETGO Airways
provides proper domestic and regional passenger services to their customer across the globe.
Thye would also give services of cargo and couriers from one destination to another. This
passenger services flight is also provided with a service to operate ground handling services for
them as well as other providing small and regional airline services which sometimes cannot be
managed by on their own (Davenport, 2018)
The organisational structure of the company is very complex to understand and decentralised.
The company assigns decision making authority in their respective managers and to their top
management executive in respect of transact subsidiaries and to ensure quick decision-making
ability in the company as per proper execution. The top management and managers are basically
responsible for crucial and strategic business planning related to passenger bookings, internal
and external development for airlines. The company use a functional organisational structure in
order to execute and delegate decision-making process as per the situation. Functional
organisational structure helps the company to make separate subsidiary and sub-holding records
of all separate activities. It allows the company to manage clear and transparent delegation of
responsibilities & authorities. Sometimes it makes in the company to manage accountability in
the decision-making process and reducing effectiveness (Peng, 2013),
2. What operational problems (e.g., inefficiency, errors) do you think the organisation
could experience because of this structure?
The JETGO Airlines is the executing brand which provides regional passenger’s services focuses
on operational activities to ensure the actual functional activities with minimum error. But
sometimes functional structure creates difficulties in the organisation with many operational
problems. In which airlines need to encounter because of the structure and occurrence delays in
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the decision-making process. As we all know that airlines market is very vibrant and dynamic
and top management is responsible for decisions and strategic management. The company needs
to make heavily decision such as forecasting, sale volume increment, inventory analysis and cash
flow behaviour and so on by grasping the appropriate business opportunity. The market of
airlines also provides them with an opportunity to reduce services failure if the company is ready
to decentralise their duty and responsibilities but due to functional organisational structure
company is not able to maximise its production and decentralise it duties which increase
possibilities of services failure. I company fails to identify such threats and lacks such as
overbooked seats, problems in getting customers’ feedbacks then there would be a higher chance
that customers would get irritated and possibilities of wrong interpretation and misrepresentation.
Sometimes it indirectly reduces the sales volume and revenue of the company (Peng, 2013),
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3. What is the most likely system acquisition method— commercial software, custom
software, or ERP?
According to Federici, (2011), There are so many activities in the airline's companies to do with
the business operations and providing effective corporate facilities associated with sales revenue
and annual profit of the company. To manage all business activities and interpret market changes,
ERP systems are likely useful in reducing and managing all risk related to operational
and financial activities in the business, ERP systems are used to make proper coordination
between customers and airways to provide them better and quality services as per their choices
and demands. These are Enterprise Resource Planning software which helps in defining all
business obstacles and identifying threats by providing all information related passengers
bookings, reservation their demands and many more associated with departments and relevant
services of JETGO airlines. ERP systems help to manage business activities by avoiding delays
in decisions making processes and any kinds of disruption and inefficiency in order to support
company’s market performance. The company are allowed to measure their performance by
managing better database ability enhance storage capacity (Federici, 2011).
ERP systems have an efficiency to support and integrate all supportive functions of airlines based
on analysis of customers behaviour and preferences facts and pattern in order to develop
organisational requirement and increase financial expectation. These systems have an efficiency
to support the airline as per analysis requirement and reduce the probability of profits and
number of errors related booking and passenger’s information (ASEAN Secretariat, 2012)
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4. Describes and prepare a system flowchart of the sales procedures for the chosen
organisation (company)?
Description:
The systems ales flowchart of the JETGO airlines can be started from the development of the
product and services to target audience. In the terms of passengers’ airlines, the target audience
of JETGO Airlines would be passengers of economic class, who are willing to reduce managerial
risk, reduce mitigation and increase service quality in the company. In the case of sale volume
increment, sales chart will be applicable in the Airlines Company with the inquiry of customers’
demands and feedbacks related to the preferred destination including complementary services
and cost of the services (Chung, 2017).
Then the customer would have to purchase all those services for company’s services related to
specific flight. These provide an option for the company to book a reservation through online
services and business promotion activities through internet and vendor parties.
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5. Identify any control problems in the system and what sorts of fraud are possible in this
system?
In the word of Prokopiev, (2016), there are various kinds of issues and problems to control all
problems which help them to encounter as per passengers demands and choices of the
passenger’s airline jetways. The sales executive of the JETGO Airways could make fake
promises easily in order to estimate company’s revenue and ability to provide complementary
services which can be damage the belief and image of the company. JETGO has made online
services systems through ERP to provide automated facility and services for payment which
increase the possibility of frauds and false treatment of cash and funds. There is also a possibility
of false commitment and lack of security related to cash and accounting details. All accounting
details can be leaked easily through professional hackers Prokopiev, 2016).
Lack of accuracy and flexibility increase the false representation of data and in case of protecting
all information from getting caught. The airlines’ data and all passengers’ information would be
leaked with crucial hacking possibilities. Sometimes the mode of payment becomes wrong and
misrepresentative which increase the possibilities of hackings.
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Part 2:
1. Development and adoption of the accounting software packages:
In the words of ASEAN Secretariat, (2012), the accounting systems and software packages can
be able to record and transact all appropriate information related to airlines and passengers’
booking information. It should eco-friendly and well informed for the employees and for
customers also to avoid and reduce the misrepresentation of accuracy. ERP systems are used to
reduce time consuming and service failure related to orders and facilities provided by the
airways. These accounting systems should be minimising all unnecessary process which
minimises all steps to records and manages data. It increases the productivity and efficiency of
employees by delivering all technological needs and happens in the department without wastage
of time and in the production process of extracting facts and information by quick and fast
delivery services.
There are various kinds of software which can be used by JETGO airways to minimize its false
and misrepresent able behaviour. This would help the company to require an effective ERP
system which helps their company to support in completing all financial and operational needs of
the company.
2. The current market size:
For proper development, if Airlines company, JETGO airlines needs to implement all those
technological features with the help of Adopting ERP, SAP, XERO system for accounting and
financial needs and fulfilment. ERP system should be developed in the company to records all
information accurately including all details in a systematic manner. In the advancement of
technology, ERP systems are used and adopted by the company to make a proper and relevant
decision related to all small and large medium organisations. JETGO Airways is the company
which can easily implement various kinds of accounting systems in order to analyse and
recognise future financial threats to reduce risks inherent factors related to booking, passengers’
reservations and feedbacks etc. MYOB and Quick Books are those accounting systems which
hold around 65% of market share and XERO and Reckon One which can be competed against
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each other to increase market share. Recently MYOB holds highest market share around 45%
and Quick Books is second largest market holding system which is used to increase productivity
by resolving customer’s solution (Brazel, 2015).
3. Identify the leaders in the market and what gives them the competitive advantage:
According to Shehab, (2014), the Current leaders are in the market of accounting systems are
ERP systems as per clients’ and customers’ requirements. In the competitive advantage era,
Oracle and ERP systems are the accounting systems which are generally as lead scale
organisation. The small and large economic scale of organisation is liable to utilise and adopt
accounting software such as NetSuite Software, SAP and ERP systems which are currently used
in the Airlines Company to manage lack of accountability and reduce delays of decision-making
process Shehab, 2014),
Net Suite is popular software package which is more flexible and effective in nature where any
employee can effectively utilise such software to minimise such as delays, failure of services
provided to the customers. JETGO airlines can be utilised ERP systems to trace customers’
satisfaction level. Such technologies are more scalable and effective to grasp the opportunity to
make a relevant decision, in addition, to delete and reduce the risk. These systems provide
relevant and effective solution related to business operation and incorporation through single
window application Shehab, 2014),
4. Identify the current gaps or challenges encountered by users or customers of
accounting software/packages:
According to Allahyari, (2012), JETGO airlines need to face many troubles and issues related to
customers’ booking, reservation and service quality. Sometimes such facilities provide by the
airways company would create difficulties in case of assessment of right and authority. Such
systems do not stick to the traditional method. Using traditional method of accounting systems
may create difficulties in evaluating and analysing challenges faced by customers and company.
This lead towards miss-coordination between customers and company might be created due to
lack of accountability and delays in the decision-making process. The booking can be done
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through internet and vendor party. Customers feel difficulties in booking and reservation due to
lack of technology. Sometimes customers don’t have any ideas about their seat and other facility
provided by the airways. There can be complaints of booking and underbooking reservation
which creates a lots f trouble for the customers (Allahyari, 2012).
5. Relevant suggestions or recommendations.
The new accounting software can be able to provide effective services through modern
techniques in place of traditional techniques. The JETGO airlines are the biggest airlines
company which requires huge commitment and techniques with huge investment. The company
requires flexible software solution like ERP, SAP, NetSuite etc. in order to trace and manage all
financial requirements within the organisation. The requirement of Airways and JETGO
creates a complex and crucial situation for the customers. So the company should utilize such
flexible and understandable software which would be able to provide all information related to
operational and financial activities of the company. It will increase the opportunity for the
company it enhances productivity (Al-Mashari, 2013).
Conclusion:
The JETGO airways are the airway which wants to increase its number of visitors and customers
and identifying requirements related to investments and time-consuming results. This report was
made to describe crucial decision and implementation of new software systems due to the
provision of time yielding results. The ERP systems are used as solution making software in
order to increase benefits by enhancing productivity and reduction occurrence of errors and
function associated with the JETGO company.
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References:
1. Al-Mashari, M., 2013, “Enterprise resource planning: a taxonomy of critical factors”,
European Journal of Operational Research, Vol. 146, pp. 352-364.
2. Allahyari, A., 2012, “Assessment of Effective Factors in ERP Acceptance: Case Study of
Manufacturing and Service Companies (LME) of Iran,” Asian Journal on Quality, Vol.
13, No. 2, pp. 177-184.
3. ASEAN Secretariat, 2012, “ASEAN Political-Security Community Blueprint,” Jakarta.
retrieved from http://www.asean.org/archive/5187-18.pdf.
4. Brazel, J., 2015, “A Measure of Perceived Auditor ERP Systems Expertise: Development,
Assessment, and Uses,” Managerial Auditing Journal, Vol. 20, No. 6, pp. 619-631.
5. Chung, B., 2017, “An Analysis of Success and Failure Factors for ERP Systems in
Engineering and Construction Firms,(Doctoral Dissertation) University of Maryland,
College Park. Maryland, USA.
6. Davenport, T., 2018, “Putting the Enterprise into the Enterprise System,” Harvard
Business Review, pp. 121-131.
7. Federici, T. 2011, “Factors influencing ERP outcomes in SMEs: a Post-introduction
assessment,” Journal of Enterprise Information Management, Vol. 22, No. 1, pp. 81-98.
8. Laudon, K., 2012, Management Information Systems: Managing the Digital Firm, 12th
Ed. New Jersey: Pearson.
9. Peng, G.,2013, “Identification and Assessment of Risks Associated with ERP post-
implementation in China,” Journal of Enterprise Information Management, Vol. 22, No.
5, pp. 587-614.
10. Prokopiev, S., 2016, “An Empirical Investigation of Factors Affecting ERP Impact,”
Managing Information in the Digital Economy: Issues & Solutions, pp. 415-423.
11. Shehab, E., 2014, “Enterprise Resource Planning, An Integrative Review,” Business
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