Managing Information Systems

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Innovations in information systems and technology play a vital role in the proper functioning of organizations. This report discusses the implementation of information systems and technology within organizations for better business operations. It highlights success factors and recommendations for future development.

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Running head: MANAGING INFORMATION SYSTEMS
MANAGING INFORMATION SYSTEMS
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1MANAGING INFORMATION SYSTEMS
Executive summary:
Innovations in information systems as well as information technology play a vital role in the
proper functioning of the organizations in today’s world. There are different kinds of innovations
that are being implemented by the different industries in order to cope up with the ever changing
and dynamic market needs as well as the needs of the customers. The following study will
highlight the different aspects of the implementations of information systems as well as
information technologies within the organization to ensure better business operations within the
organizations. By the end of this report, the reader will have a clear idea about the success
factors as well as the recommendations for the organizations about the implementation of the
innovative information technology solutions.
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2MANAGING INFORMATION SYSTEMS
Table of Contents
Introduction:....................................................................................................................................4
Discussion:.......................................................................................................................................4
Use of Information system/information technology for innovation:...........................................4
Example 1 - Ford motor company:..........................................................................................4
Success factors:........................................................................................................................5
Lessons learnt:.........................................................................................................................6
Recommendations for Ford motors:........................................................................................6
Example 2 - EBay:...................................................................................................................6
Success factors:........................................................................................................................7
Lessons learnt:.........................................................................................................................7
Recommendations for EBay:...................................................................................................8
Example 3 - Sony Corporation:...............................................................................................8
Success factors for Sony:.........................................................................................................9
Lessons learnt:.........................................................................................................................9
Recommendations for Sony:....................................................................................................9
Example 4 - IT innovation in Samsung: The SA950 3D monitor:..........................................9
Success factors for Samsung:................................................................................................10
Lessons learnt:.......................................................................................................................11
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3MANAGING INFORMATION SYSTEMS
Recommendations for Samsung:...........................................................................................11
Internal analysis of IS/IT enabled innovation:...........................................................................11
Organizational factors:...........................................................................................................11
Individual factors:..................................................................................................................12
Management factors:.............................................................................................................12
External analysis of IS/IT enabled innovation:.........................................................................12
Market factors:.......................................................................................................................12
Industry factors:.....................................................................................................................12
Social and economic factors:.................................................................................................13
Technological factors:...........................................................................................................13
Political/policy factors:..........................................................................................................13
Conclusion:....................................................................................................................................14
References:....................................................................................................................................15

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4MANAGING INFORMATION SYSTEMS
Introduction:
Information systems play a vital role in their efficient functioning of the organizations in
today’s world. Due to increasing competition and changing market needs, the organizations are
coming up with their own innovative ideas as well as strategies to ensure they remain updated
with the present market trends. Information systems and information technology innovations also
aim to ensure better application developments for addressing the needs of the customers in a
more efficient manner to ensure improved customer satisfaction.
The following report will discuss four major innovations in the field of information
systems for the organizations and the other aspects such as its advantages as well as
disadvantages. By the end of this report, the reader will have a clear understanding of the
different aspects of the information systems and information technology innovations and how
they are implemented within the organizations (Pal et al. 2014). Organizational success factors
as well as recommendation for future development will also be discussed.
Discussion:
Use of Information system/information technology for innovation:
Example 1 - Ford motor company:
Ford is one of the market leaders in the manufacture of automobiles in today’s markets. It
had recently come up with information system innovations in order to improve its business and
other operations across its different offices across the world. It uses information systems for the
business managers, supply chain management (SCM) as well as customer relationship
management (CRM) (Kaplan and KP Innovations 2014). It has helped Ford immensely to
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5MANAGING INFORMATION SYSTEMS
achieve elevated success in the recent past and is continuing to innovate on its business strategies
using information systems.
In the year 2000, Ford Motor Corporation came up with the “Ford Production System”,
aimed to develop better relationship with the customers (O'Brien and Maracas 2011). Its main
aim is to develop a better pull-based system to ensure a synchronized production, stability as
well as continuous flow of data and information across the system. Using this system Ford could
inform the suppliers well in advance regarding the exact time and place where components
would be required. To achieve that, Ford could tell suppliers exactly when and where certain
components would be needed days in advance, to reduce buffer stocks extensively (Jones 2014).
This would greatly improve the supply chain management of the organization.
Another important aim for the organization was to come up with an improved system of
customer relationship management. This was achieved by an information system known as Order
to Delivery. It was designed to deliver finished products to the customer 15 days before the
actual date of delivery, as promised to them for their orders (Nambisan 2013). The main aim of
this system was creating a lean, predictable as well as flexible process that that brought together
the coordinated efforts of all Ford components. This ensured Ford could provide the components
to the customers just the tie and place they need them thereby ensuring to fulfill their technique
of “just-in-time” (J and Quaddus 2013). This innovation in information systems ensured better
customer satisfaction, improved selection of customers as well as improved stability and cost
cutting for the organization.
Success factors:
- A good image: Ford has an exceptionally good brand value that helped it win the trust of
the customers for a long period of time.
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- Excellent cost planning: For has been successfully able to determine the cost factors
essential for it to expand its business strategically using the innovations in information
systems.
- Innovative innovations in products: For has successfully manufactured fuel efficient,
electric as well as solar powered cars using innovations in technologies combined with
the efforts in the innovations in information systems.
Lessons learnt:
- Information system innovations only helped the company to grow in domestic markets
within the United States.
- Lack of future technological plans or innovations in the field of fuel-efficient cars.
Recommendations for Ford motors:
- Technologies that are more advanced as well as innovative business strategies should be
incorporated in order to expand the business on a global scale to help the organization
reach countries where it has still not began its operations.
- Information systems used in the company should be more advanced especially in the
design of the fuel-efficient cars in order to come up with more attractive and cost
effective line of products for the customers.
Example 2 - EBay:
Recently EBay had come up with an innovation in information systems within the
working principles. In the year 2009, it came up with strategic information system (SIS) also
known as competitive information systems. The fundamental aim of the information system was
to refocus on the feedbacks of the other information systems that gathered feedbacks form the
market places regarding customer queries and other concerns. It was aimed to increase the

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7MANAGING INFORMATION SYSTEMS
overall efficiency of the organization as well as automating the existing patterns of information
flow as well as organizational operations. This enabled EBay to be at a better and sustainable
competitive advantage. EBay had also used information systems in order to provide premium
services as well as innovating products to address the needs of the customer in a better way there
by ensuring higher customer satisfaction. Information systems are also being used by the
company to determine cost-cutting avenues (Holtshouse 2013). One of the most important
benefits of SIS is that it has eliminated inventory as well as saving cost for EBay and has turned
EBay into the first ever online auctioning platform in the world.
Success factors:
- A great idea: The innovative idea of EBay to come up with the first ever online
auctioning platform aided by the usage of information systems and advanced
technologies is one of the key success factors for the company.
- A business model without sales force and inventory: This business model again helped in
the further success of the company, which again make use of the strategic information
systems.
- A proper management information system that ensured that the right products are
available for the right customers at the right point of time thereby ensuring better
customer feedbacks for the organization.
Lessons learnt:
- The rate in which EBay comes up with an innovation in either its products or even the
business strategies cannot cope up with the dynamic change of the market as well as the
customer needs.
- Little or no decentralization business.
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- Limited international business.
Recommendations for EBay:
- It should come up with a more flexible faster rate of innovation to meet the rapid changes
of the markets. This will ensure it eliminates the risk of imitation.
- Decentralization should be increased using innovative information system to increase
business flexibility in the ecommerce market segments.
- EBay should expand its business operations globally.
Example 3 - Sony Corporation:
Sony Corporation has been able to tap the innovations and advantages of information
system for its working operation in the recent past. It has come up with a number of innovations
that help in automating tasks within the organization as well as improving the quality of media
they broadcast (Mishra and Prasad 2015). Multiple technological advances in the field of VFX as
well as other technologies have been used by the implementation of information systems within
the organization in order to improve the employee as well as the end user experiences for the
organization (Kellermann and Jones 2013). Some of the applications of information systems in
the field of innovations are:
- Business systems planning (BSP): It combines the planning of top-down bottom-up
implementation and focuses more on the business processes and organizational objectives
as well as tasks. Data needs as well as classes are determined by the analysis of the
business processes using the advanced information system (Du Gay et al. 2013). Similar
data forms the databases. Individual systems are installed base don the timetable as stated
by the final plan of the BSP.
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- Strategic systems planning (SSP): It an analyses important areas of functionalities
within Sony and combines generic information requirements of data entities and the
subject databases. This architecture helps in deriving newer systems as well as their
schedules of implementation.
Success factors for Sony:
- Standardized information system’s within the organization to ensure there is transparency
in task and data flow (Macdonald 2017). This improves the control as well as efficiency
of the business operations.
- Crucial role of knowledge management systems in Sony’s collaboration with its BPO
partner WNS for the proper outsourcing of knowledge as well as technical support for the
customers to ensure better business ethics and operations.
Lessons learnt:
- Lack of innovations in mobile devices and marketing strategies of the existing mobile
devices.
- Sony lacks proper security infrastructure within the organizational network.
Recommendations for Sony:
- Information systems can be innovated and implemented to design better mobile devices
such as tablets, mobile phones, music players etc.
- Information technology should also be improved in order to ensure better data security
within the organization to prevent issues such as data theft or privacy breach by the
hackers.

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10MANAGING INFORMATION SYSTEMS
Example 4 - IT innovation in Samsung: The SA950 3D monitor:
SA950 series of monitors from Samsung shows the best in class innovation in
information technology in the recent past and provides the best 3D experience ever. An ultra-
clear display with photo accuracy of 100% using innovative advance information technologies
that use vibrant as well as true-to-life colors (Pearson and Saunders 2013). The active 3-D
technology from Samsung gives a full 1080P display resolution so that every details of the
picture is catchable in the picture. Its compatibility with third party video cards and availability
of display ports for connections in the highest available bandwidth makes it even more attracting
and beneficial for the end users (Laudon and Laudon 2015). It also includes the TriDef 3D
software for gaming. The monitor also supports 2D to 3D conversion in real time and an eco-
automatic motion sensor powers the monitor on when the user is sitting in front of the monitor
and powers it off when he walks away, and powers it down after you walk away. A Light Sensor
matches the brightness of the screen according to the brightness of the room thereby pleasing the
eyes of the viewers as well as saving energy at the same time (Chae, Koh and Prybutok 2014).
An extremely well designed narrow bezel and a slim panel makes the overall getup of the SA950
series of Samsung monitors unparalleled in the markets.
Success factors for Samsung:
- Market creation capability: Samsung has management information systems as well as
efficient customer relationship management solutions that help it to market its products
efficient across the global markets.
- Innovation in technologies: Information technology innovation such as SA950 3D
monitors help in increasing sales for the organization.
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- Capital Power: The information systems are effectively used within the organization to
decide the budget as well as the cost factors for the different projects within the
organization thereby ensuring cost cutting and better capital management.
Lessons learnt:
- Samsung focusses more on launching “counter-products” against the launch of a
particular product form another company but they do not really come up with their own
innovative line of products.
- Presently, Samsung supplies the display units for all the apple products. In the event of
Apple launching their own televisions in the near future, it can prove to be a major
competition for Samsung. Presently Samsung is doing quite good in the television
markets all across the world.
Recommendations for Samsung:
- Samsung should utilize its innovations in information systems to come up with more line
of products for the dynamic needs and competitive nature of the markets
(Learn.scu.edu.au, 2018).
- Samsung should be equipped with innovative television technologies and ideas for the
future incase Apple poses stiff competition in the near future for Samsung.
Internal analysis of IS/IT enabled innovation:
Organizational factors:
Attitude to Innovation should always be towards the growth of the organization as well as
ensuring incremental innovative practices. Employees should be flexible in adapting to the
communication as well as the new ideas within the organizations to ensure successful
implementation of the information systems and their innovations (Bishop et al. 2014). They
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12MANAGING INFORMATION SYSTEMS
should be motivated by the managers and receive adequate training regarding the newer
technologies.
Individual factors:
The personality, ability of cognition as well as motivation should always be high for the
employees and they should be optimistic about any innovation or change in the information
systems within the organizations (Li et al. 2013). The employee’s should have a positive attitude
and willingness to learn even at a group level when they work as a part of a team within the
organizations.
Management factors:
The management should be cooperative with the employees and address their concerns
such as employee job satisfaction as well as other concerns prior to implementing any new
strategy to ensure its successful implementation within the organizations.
External analysis of IS/IT enabled innovation:
Market factors:
- As soon as a product is launched in the market, the competitors launch a counter product
with other eye-catching features (Stair and Reynolds 2013). Therefore, the ever-changing
dynamic nature of the markets need an ever-changing dynamic rate of change of the
innovations in technology as well as systems.
- Change in the economic condition of the markets again causes issues of the newer
products such as price fluctuations etc.

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13MANAGING INFORMATION SYSTEMS
Industry factors:
- The success or effect of an innovation depends on the industry to which it belongs. For
instance, an innovative service or product in automobile the ecommerce industry is not as
flexible as an innovation in the ecommerce segment.
Social and economic factors:
The children often misuse more innovative products with increased features, which is a
negative impact on the society (e.g. misuse of social media by children below the age of 14).
Advanced information technologies also increase the risks of data breach by the hackers and
ransom amounts of money that they ask form the organizations. In addition, the elevated prices
of the new electronics offering advanced and innovative features are overpriced which affects the
overall economy based on the demand and supply of the particular product on the market (Yoo
2013). In addition, often they are underprices which causes the companies to incur substantial
losses.
Technological factors:
- Technologies are always developing and everyday a new technology is being invented
(Decker et al. 2013).
- This is a loss of useful capital for the companies since the technologies used yesterday is
obsolete today and an overall new innovation has to be designed for the organizations to
maintain their places in the market.
Political/policy factors:
- Laws of gain as well as profit appropriation, also known as the law of motion of a market
economy should be considered.
- Law governing the economy development should be clearly defined by the organizations.
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14MANAGING INFORMATION SYSTEMS
- Law related to supply and demand should be defined to understand the demand and
supply of the prevailing market conditions failing which even the most innovative
product will not be a failure in the markets.
- Government laws related to environment as well as corporate code of ethics have to be
strictly followed by the organizations.
Conclusion:
Therefore, it can be concluded from the study that even though there are multiple
advantages of innovations information systems as well as information technology for the
organizations there are still areas of improvement and considerations for the organizations prior
to implementing them. The external as well as internal factors should be properly evaluated
failing which the innovations will fail to capture the markets. The economic as well as the social
conditions of the markets should be well analyzed by the organizations before launching its
products in any country. The companies should also follow government regulations. The
organizations will reach newer heights in the future provided it considers all the important
aspects before launching innovation in the market.
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References:
Bishop, A.B., Wanish, P.J., Pecoraro, A.S. and Narkier, S.D., EMC Corp, 2014. Integrated
forensics platform for analyzing IT resources consumed to derive operational and architectural
recommendations.
Chae, H.C., Koh, C.E. and Prybutok, V.R., 2014. Information technology capability and firm
performance: Contradictory findings and their possible causes. Mis Quarterly, 38(1), pp.305-
326.
Decker, M.R., Bronson, N.W., Greenberg, C.C., Dolan, J.P., Kent, K.C. and Hunter, J.G., 2013.
The general surgery job market: analysis of current demand for general surgeons and their
specialized skills. Journal of the American College of Surgeons, 217(6), pp.1133-1139.
Du Gay, P., Hall, S., Janes, L., Madsen, A.K., Mackay, H. and Negus, K., 2013. Doing cultural
studies: The story of the Sony Walkman. Sage.
Holtshouse, D.K., 2013. Information technology for knowledge management. Springer Science &
Business Media.
J, X. and Quaddus, M. (2013). Managing information systems: Ten essential topics.. 1st ed.
Amsterdam, Holland: Springer & Atlantis Press, pp.ISBN: 978-94-91216-88-6. (J and Quaddus,
2013)
Jones, C.B., 2014. Geographical information systems and computer cartography.
Kaplan, J. and Mills, B., KP Innovations LLC, 2014. Display screen with a transitional
computer-generated icon.
Kellermann, A.L. and Jones, S.S., 2013. What it will take to achieve the as-yet-unfulfilled
promises of health information technology. Health affairs, 32(1), pp.63-68.

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16MANAGING INFORMATION SYSTEMS
Laudon, K.C. and Laudon, J.P., 2015. Management information systems (Vol. 8). Prentice Hall.
Learn.scu.edu.au. (2018). Blackboard Learn. [online] Available at: http://learn.scu.edu.au
[Accessed 21 Nov. 2018]. (Learn.scu.edu.au, 2018)
Li, Z., Wang, W., Yang, C. and Ragland, D.R., 2013. Bicycle commuting market analysis using
attitudinal market segmentation approach. Transportation Research Part A: Policy and
Practice, 47, pp.56-68.
Macdonald, D., 2017. Ford Foundation. .
Mishra, O. and Prasad, A., 2015. INNOVATIONS IN E-BUSINESS. INNOVATIONS, 4(8), p.5.
Nambisan, S., 2013. Information technology and product/service innovation: A brief assessment
and some suggestions for future research. Journal of the Association for Information
Systems, 14(4), p.215.
O'Brien, J. and Maracas, G. (2011). Management Information Systems.. 10th ed. USA.:
McGraw-Hill, pp.ISBN: 978-0-07-337681-3. (O'Brien and Maracas, 2011)
Pal, R., Golubchik, L., Psounis, K. and Hui, P., 2014, April. Will cyber-insurance improve
network security? A market analysis. In INFOCOM, 2014 Proceedings IEEE (pp. 235-243).
IEEE.
Pearson, K. and Saunders, C. (2013). Managing and using information systems: A strategic
approach.. 5th ed. Hoboken, USA: John Wiley & Sons Inc., pp.ISBN: 978-1-118-28173-4.
(Pearson and Saunders, 2013)
Stair, R. and Reynolds, G., 2013. Principles of information systems. Cengage Learning.
Yoo, Y., 2013. The tables have turned: How can the information systems field contribute to
technology and innovation management research?. Journal of the Association for Information
Systems, 14(5), p.227.
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