HI5019: Strategic Information System
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Holmes Institute Sydney
HI5019 Strategic Information System assignment (HI5019)
Added on 2020-04-15
HI5019: Strategic Information System
Holmes Institute Sydney
HI5019 Strategic Information System assignment (HI5019)
Added on 2020-04-15
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Running Header: Strategic Management and Information SystemStrategic Management and Information SystemAuthors ID:Authors Name:
Strategic Management and Information SystemContentsIntroduction......................................................................................................................................3Part 1................................................................................................................................................3Current organizational structure.............................................................................................3Operational problems that organization faces due to this structure.......................................3Most likely system acquisition model....................................................................................4Preparing a system flowchart of procedures involved in sales for BHP Billiton...................4Control problem related to the system and possible frauds....................................................6Part 2................................................................................................................................................6Development and adoption of accounting software packages...............................................6The current market size of BHP Billiton................................................................................7Identifying leaders in market and things that make competitive advantage..........................7Current gaps or challenges encountered by consumers of accounting software....................8Conclusion.......................................................................................................................................9References......................................................................................................................................102
Strategic Management and Information SystemIntroductionIn the modern world of business, it is important for the firms to manage their business process ina smarter way. For doing so it is essential for the firms to make use of Information andtechnology systems. There are many software packages that are available for the company whichthey can utilize for their different business processes (Swayne, Duncan and Ginter, 2012). BHPBilliton Limited is the mining, metal and petroleum public limited problem. This reporthighlights the ways operational errors are removed by the use of IT software. It also describesthe system that is designed for solving many kinds of problems. The current position of thecompany is also described in this report.Part 1Current organizational structureAccording to the views, Hitt, Ireland and Hoskisson, (2012) Organisational structure isdescribed as the hierarchy that is followed by the organization. It represents the levels ofthe different workers of the company. This company operates under a dual listed firmstructure with two parent firms (BHP limited and BHP Billiton Plc). It is operated as asingle economic entity, which they refer to as BHP. They are running a unifiedmanagement and Board. The Board committee members consist of the chairman ofnomination and governance committee. They have the board of members at the top, andthen they have executives below them like Managing Directors and Chief ExecutiveOfficer. Below them, there are Advisory members. Below them line managers at theworkplace and then staff members at the lower place.Operational problems that organization faces due to this structureAs per the views Heras‐Saizarbitoria and Boiral, (2013), there are several kinds ofoperational problems that are faced by the BHP Billiton due to its organizational structure.Due to its dual-listed structure, the decision-making process gets complicated. Since thereis a large amount of members that are involved in the process of decision making andproviding feedback hence the process gets weaker. Some of the operational processes likehuman resource management is being maintained by the executives and hence they areunable to understand the organizational needs in various sections of the firm. Theleadership has not involved lower-level staffs members in important processes within an3
Strategic Management and Information Systemorganization. This is a matter of problem in terms of employee confidence. They must haveto involve people from different levels of the company. It will increase the chances oftaking decisions that are not favorable to the government. Since both companies in thecollaborations have a different kind of business statements and culture of working andhence the collaboration makes it difficult to work with same productivity. This poses aquestion mark on the efficiency of the firm working process. Strategic decision-makingprocess is the highly complex process.Most likely system acquisition model There are many kinds of system acquisition model that has been used various companies.Customised software is highly helpful in making the processes of the firm easier since they aredesigned as per the need of BHP Billiton but they do not satisfy the needs of people that can bevery effective when concerned with the organization of such scale. The most difficulty with suchtype of model is that various software is made for different works which may not be capable towork with each other. Since this company is in many fields then the system acquisition modelthat is used is ERP. The acquisition process based on a rational or normative decision-makingprocess. It is an approach embedded within the ERP system life cycle. An ERP system suppliersare today striving to penetrate the segment of the market. Enterprise Resource planning typicallydrives all the options right through the use of a system. The Priem, Li and Carr, (2012) state thatERP acquisition model is used for managing the technological needs of the company. This modelunderstands the needs of the company and changes can be made easily. This kind of changes ismade according to the evaluation that is made after monitoring. Since it is an integratedmanagement of major business processes more likely in real time and medicated by technologywith the help of software (Hill, Jones & Schilling, 2014). This system model helps in the widerange of business processes starting from product planning to the time when it is sold in themarket. It helps in financial management as well as the accounting of different functional units. Preparing a system flowchart of procedures involved in sales for BHP Billiton Ordered flowchart of the processes involved in sales is as follows:4
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