Analysis of Business Information Technology Systems for Tesco

This report provides an in-depth analysis of business information technology systems, using Tesco as a case study. It explores the use of IT systems in various departments, including marketing, HR, finance, production, and sales, highlighting their contributions to organizational goals such as enhanced productivity, improved sales, and brand image. The report delves into the ways IT systems store and process data, focusing on DBMS, CRM, and MIS. Furthermore, it evaluates different IT systems to support value-added changes within Tesco, considering their advantages and disadvantages, and proposes practical IT solutions for company problems. The report emphasizes the importance of IT in achieving operational efficiency and maintaining customer relationships, providing a comprehensive overview of how technology shapes modern business practices.

BUSINESS INFORMATION
TECHNOLOGY SYSTEMS

Table of Contents
INTRODUCTION...........................................................................................................................3
L01...................................................................................................................................................3
P1 Use of IT System with different function of Organisation....................................................3
P2 Contribution of IT System in achieving organisation goal....................................................4
LO2..................................................................................................................................................5
P3 Analysis the way of IT System to store and process the data for different purposes............5
LO3..................................................................................................................................................6
P4: Evaluation of different IT system to support value added change.......................................6
P5: Practical IT solution for company problems........................................................................8
..........................................................................................................................................9
REFERENCES..............................................................................................................................10

INTRODUCTION
Information system of an organisation is a formal system, used to collect, store, process
and distribute the information according to the requirements to gain maximum benefit from the
information. Information system supports main aspects like record- keeping, data analysis, data
safety, decision-making and more to run the organisation well. In this report, TESCO is taken as
organisation which is multinational retailer company in UK having headquarters in Welwyn
garden city, Herfordshire, England. In this report, role of different IT system to assist the
company objectives is discussed. Also, the analysis of IT System is done to evaluate the value
added change. Consumer risk management system is taken as S company's IT system.
L01
P1 Use of IT System with different function of Organisation
Marketing
IT Systems plays a very crucial role in doing all the marketing programs of Tesco . These
days company use variable IT techniques to make the marketing strategies more effective and
information technology plays a very major role in making such marketing strategies sucesfull.
Tesco can utilise all the effective channels over the information technology to run all the
marketing campaign of the organisation (Chae and et.al., 2018). IT Systems can provide all the
basis at which Tesco can assess the effectiveness of all its marketing programs.
HR
Information Technology has contributed a lot in running all the HR programs these days.
HR department can connect with all the young aspiring talents that can be a part of Tesco with
the help of information technology. HR department of Tesco can use multiple portal to recruit
the fresh talents and even the experienced work force also make available on such portals
company can attract to all such experienced work as well (Bessen, 2017 ). Information
Technology has made the whole recruitment process very easy , convenient and feasible.
Finance
Information Technology also influence the finance department in the organisation. Department
of Finance can make the optimim budget with the help of IT System. Tesco can use software to
make all the budgets that will be based on analytics, requirement and company's available
resources (VORONKOVA and et.al., 2017). IT System also provide all the information about the

market which can give all the essantial brief about the investment in different areas for all the
company's projects in future.
Production
IT System also contribute in the production process of the organisation. IT System made
production process more feasible with the help of advanced information technology that save a
lot of time as well in producing the final product of the company. Large company distribute the
whole production process in multiple processes to make the production process more productive
and IT System can be a part of all the processes during the production cycle of the final product
(Petrasch and Hentschke, 2016 ). IT Systems also take a part in reducing the over all cost of
production because it saves a lot of time in the production cycle that make a positive impact in
production cost and make it more cheaper than earlier.
Sales
Tesco can sale all its product with the access of IT System. IT System made the selling process
very smoother and time consuming. Company can introduce its own site and sale all its product
over that site. IT System has transformed the whole selling structure by making it more
convenient, accessible and cheaper as well, that enhance the overall profitability of the company.
P2 Contribution of IT System in achieving organisation goal
Inhance Productivity
It System make the whole production cycle more time-consuming that provide more
luxury to the management of Tesco to focus more on the productivity. Production process is a
large process because it involves multiple stages in the production cycle and if by default any
such process could not work efficiently that can spoil the whole productivity of the product but a
proper IT System can verify the production quality at all the stages and to make the product as
effective as it was expected in the beginning of the production cycle.
Improve Sales Figure
IT System also contributed in the selling of the products. Company sale all its product and
services on the internet. Information technology provides a huge customer base and Tesco used
all the IT platforms to utilise all the customer base over internet. Information technology
positively affected the selling figures of the Tesco and developed a wide customer base for the
organisation.
Brand Image

Information Technology is a big medium to promote all the products and services of the
company. IT Systems has made the whole marketing process more convenient and low cost and
the big company like Tesco could run its marketing programs at major levels that could affect the
company's brand image at global stage very positively. All the business reports has shown Tesco
as one of the emerging global leader in the world of business and the efficient use of IT System
has a big role in that.
Customer Connectivity
IT Systems has made the customer's connectivity more convenient. It has reduced the
difference between customer and the company. IT System has created a bridge between Tesco
and its customer base that really helps in improving the relations with all the existing customer's
and even create possibilities to attract new customer base (Haislip and Richardson, 2017).
Connectivity with customers always create possibilities for the growth and the development of
the organisation.
Smooth Operation Management
Information technology transforms the whole operation structure of Tesco and make it smoother
for the whole organisation. Operations of the company plays a vital role in company's growth
and development because it takes part in each and every activity related to the company and IT
made all the operation processes easy, smooth and cost saving because of the new technologies
(Al-Weshah and et.al., 2019 ).
LO2
P3 Analysis the way of IT System to store and process the data for different purposes
DBMS
Data base management system (DBMS) is a software that stores all the data of the
company at one place in the most systematic way. This system is specifically designed to define,
retrieve, manipulate and manage all the data of the organisation. This system will provide
complete flow of all the information to the management of Tesco , related to the data and present
it in front of the operator of the DBMS system. Some most fashioned DBMS systems are
MySQL, SQL Server, Oracle, dBASE and FoxPro. All the existing data in DBMS can be load,
retrieve and modify (Dziedzic and et.al., 2016 ). DBMS software will provide an independent
space to all the data of Tesco to store in the DBMS system and in case of any change occurred in
storage mechanism that change will not be able to create any impact on the entire application of

the DBMS. Tesco can run a smooth database with the help of data base management system and
work effectively with the proper utilisation of DBMS system.
CRM
Customer Relationship Management(CRM) is a software in Information Technology
System to maintain the relationship with all the existing customer of the company. Tesco can use
this system in creating the new relationship with all the potential customer base of the company
(Dutta and et.al. 2015). CRM system will take a part in sales, customer service, business
development and many other activities of the Tesco that will create a smooth space in which it
can run and grow and make a profitable business for itself. CRM gives a chance to business
organisation to interact with all the external factors that create a part in company's growth and
development.
MIS
Management Information System(MIS) is a system of information technology to provide
all the information which can be useful for the whole organisational structure and take a part in
better decision making of the company. Tesco can acquire this MIS system for a better
managerial decision making process and create a better working environment for the whole
company. Tesco work in retail sector and the information becomes very crucial in maintaining a
profitable condition for the company and this system work as an effective tool for the Tesco.
LO3
P4: Evaluation of different IT system to support value added change
At present, it is very important for TESCO to evaluate its information system because it
is used as a tool for analysing the effectiveness and efficiency of the task performed, computer
and hardware used, software, information and human resources. Data based management system,
customer's risk management system and management information system of TESCO is taken
into consideration.
DBMS: Data based management system is a system of collection of programs that enable users
to get information and maintain this information base with the various data based administrator,
online users and application programmers, etc. to increase value added change for improving the
business operation, perforation system & sustainability of the organisation. This system within
the organisation maintain the data as well as provide security to the data along with backup and
recovery operations.

Same data in the company exist in different places but TESCO using proper management
system and data quality tool ensures that the information is shared throughout the organisation
thus avoiding inconsistency (Anand and Grover, 2015). By providing privacy to the data and
through security policies, which will increase the company image among the customers
Better data management system helps to improve decision-making process within the
organisation. Also using a database management system, productivity of the users can be
increased by quick and informed decisions which will contribute for the success or failure of the
TESCO in the long term run. But, the disadvantage of using this IT system is that sophisticated
hardware, software and highly skilled persons are required and cost of maintaining all these
requirements is very important. Because it will increase the company expenditure.
CRMS: Customer's relationship management system is database or electronic marketing which
is used to develop value both for the company's customer's and stakeholders. CRMS uses IT and
focuses on designing the strategy which will maintain a long term relationship with the
customer's.
CRMS allows more effective sales and marketing because there is a huge amount of
information available for the company on customer's that enables TESCO to build up a clear
picture of its customer's (Mattimoe and Tivnan, 2017). This system allows deep insight about the
company whether it is doing well in managing the customer's or weak in doing so. CRMS system
can increase the speed of sales conversion process by integrating with the marketing campaign
because it will allow the marketing team to insight into the interest of probable customer's. It
enables dispersed teams to work in a combined way. It can improve customer's service by
addressing quickly the queries and problems o the customers (Dunne and et.al., 2016). Thus the
system can improve customer loyalty through exceptional experience and it can be said that
investment of the company in this system, will come as a return to the form of increase in the
customer's.
CRM may diminish the customer's loyalty in the case of no information for the clients
queries. There are also risk is associated because of lots of data in one place. So it becomes
essential for the TESCO that securities and privacy is put in to protect customers personal
information. As it will take time for the employees of the company to adapt CRM system easily
because mistakes will be there in starting so it is very important for the company that there is a
support in the process of transitioning. Some times CRM may not be suitable for every

organisation like for restaurant company like McDonalds, CRM would not do much but for the
insurance company, CRM is very important management system.
P5: Practical IT solution for company problems
As TESCO is facing the problems of managing its employees, skilled persons and
delivering the product and service timely it becomes very essential for the company to adapt an
information system that will solve different problems like time consuming tasks, very skilled
employee requirements, etc. In this competitive market it is very important for the company to
automates repetitive learning and discovery through data, analyses the data deeper in a way to
get most out of the information gathered (Rasmussen and Ulrich, 2015). The company can face
the problems of managing the data, lack of accuracy, not getting the right suggestions about the
product and services and not combining the smart facilities to improve the technology, privacy
and security at home as well as in the offices (Lisi, 2015). Therefore, It is recommanded to use
Artificial Intelligence (AI) as an information system for the company. Because it can offer
following benefits to the company-
Artificial Intelligence in the company information system has a ability to identify patterns,
producing fast data driven decisions and process large amount of data. As in the financial
services, managers take the fund and increases the expenditure but by means of AI, rob-advisors
will replace them. AI will be able to set objectives and key results. AI along with goal setting
software will help teams to set and get better targetted results. AI will provide time for the
managers by picking up administrative slack because AI to routine management and
administrative work will give more time to managers to focus on high value activities and this
will boost the the intelligence of managers and leaders within the company (Cappelli and Tavis,
2016).
Thus, it is highly recommanded to use Artificial Intelligence as management system for TESCO
to add intelligence, achieves incredible accuracy and achieves most out of the data or
information.
Transaction Processing system: Now a days, companies are facing the problems of so many
transactions at a time so the companies are lacking in performance and rapid response. So it is
recommanded to use such a system which will process the number of transactions in a given
period of time and this is done by employing TPS system in the organisation (Ren and et.al.,
2015). TPS gives fast performance with rapid response and also available when transactions are

entering. Thus, by dividing the work into individual and individual operations, TPS ensures
database stability, data hiding and provide recovery in case of system or server failure.
CONCLUSION
There is a great role of information systems in data handling and management of TESCO
it is found that different types of information systems can be employed by the company like
DBMS, CRMS, TPS AND AI system to increase the clients and customers satisfaction by
decreasing the time-consuming in daily activities and increasing the time for valuable activities.
These systems also provide customer's information security and also assist the employees in
accurate and quick decision-making (Donate, and de Pablo, 2015). TESCO applies this system to
boost its leaders and managers performance because the IT system provide them enough time to
focus on value added activities.

REFERENCES
Books and Journals
Al-Weshah, G. A., Al-Manasrah, E. and Al-Qatawneh, M. 2019. Customer relationship
management systems and organizational performance: Quantitative evidence from the
Jordanian telecommunication industry. Journal of Marketing Communications. 25(8).
pp.799-819.
Anand, N. and Grover, N., 2015. Measuring retail supply chain performance: Theoretical model
using key performance indicators (KPIs). Benchmarking: An International Journal.
22(1).pp.135-166.
Bessen, J. 2017. Information technology and industry concentration. Boston University School
of Law Law & Economics Paper Series. (17-41).
Cappelli, P. and Tavis, A., 2016. The performance management revolution. Harvard Business
Review. 94(10).pp.58-67.
Chae, H. C., Koh, C. E. and Park, K.O. 2018. Information technology capability and firm
performance: Role of industry. Information & Management. 55(5). pp.525-546.
Chan, A. T., Ngai, E. W. and Moon, K. K., 2017. The effects of strategic and manufacturing
flexibilities and supply chain agility on firm performance in the fashion
industry. European Journal of Operational Research. 259(2).pp.486-499.
Donate, M. J. and de Pablo, J. D. S., 2015. The role of knowledge-oriented leadership in
knowledge management practices and innovation. Journal of Business Research.
68(2).pp.360-370.
Dunne and et.al., 2016. The impact of leadership on small business innovativeness. Journal of
Business Research. 69(11). pp.4876-4881.
Dutta, S., Geiger, T. and Lanvin, B. 2015. The global information technology report 2015.
In World Economic Forum(Vol. 1, No. 1, pp. P80-85).
Dziedzic, A. and et.al., 2016. DBMS data loading: An analysis on modern hardware. In Data
Management on New Hardware. (pp. 95-117). Springer, Cham.
Guzek and et.al., 2015. Cloud brokering: Current practices and upcoming challenges. IEEE
Cloud Computing. 2(2).pp.40-47.
Haislip, J. Z. and Richardson, V. J. 2017. The effect of Customer Relationship Management
systems on firm performance. Int. J. Accounting Inf. Systems. 27. pp.16-29.
Lisi, I. E., 2015. Translating environmental motivations into performance: The role of
environmental performance measurement systems. Management Accounting Research.
29.pp.27-44.
Mattimoe, R. B. and Tivnan, J. P., 2017. In search of hospitality: Theoretical and practical issues
in performance measurement and management in hotels.
Petrasch, R. and Hentschke, R. 2016. October. Cloud storage hub: Data management for IoT and
industry 4.0 applications: Towards a consistent enterprise information management
system. In 2016 Management and Innovation Technology International Conference
(MITicon) (pp. MIT-108). IEEE.
Rasmussen, T. and Ulrich, D., 2015. Learning from practice: how HR analytics avoids being a
management fad. Organizational Dynamics. 44(3).pp.236-242.

Ren and et.al., 2015. Cloud manufacturing: from concept to practice. Enterprise Information
Systems. 9(2).pp.186-209.
VORONKOVA, O. V and et.al., 2017. Implementation of an information management system
for industrial enterprise resource planning. Revista ESPACIOS. 38(49).