Envato's Information System and E-commerce: A Comprehensive Report

This report examines the management information system (MIS) of Envato, an Australian startup specializing in creative assets for website designers. The assignment identifies challenges Envato faces, particularly in data organization and customer adaptation, and proposes solutions centered on improved information systems. It explores the benefits of e-commerce and m-commerce for business expansion, including increased accessibility, customer behavior analysis, and reduced operational costs. The report details the integration of e-commerce with an organization, highlighting the role of Enterprise Resource Planning (ERP) in managing data. Furthermore, it discusses e-commerce supply chain management, outlining key processes and addressing associated challenges, risks, and security concerns. The conclusion emphasizes the potential for Envato to leverage e-commerce for business growth and the importance of a robust information system to manage its digital assets effectively.

Running head: MANAGEMENT INFORMATON SYSTEM
MANAGEMENT INFORMATON SYSTEM
Name of Student
Name of University
Author’s Note

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Table of Contents
Introduction......................................................................................................................................2
Details of problem description.........................................................................................................2
Proposed Solution............................................................................................................................3
Introduction to e-commerce and m-commerce................................................................................3
Organization business benefits in using e-commerce and m-commerce.........................................4
Integration of e-commerce and m-commerce to the organization...................................................5
E-commerce supply chain management..........................................................................................5
Introduction..................................................................................................................................5
Sub-processes functions of the e-commerce supply chain management.....................................6
Challenges and protection................................................................................................................7
Security, risks and threats............................................................................................................7
Conclusion.......................................................................................................................................7

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Introduction
The following assignment discusses about the information system management and the
chosen organization for this assignment is envato. Envato is an austrlaian startup company which
designs creative assets for the website designers which include photos, video and 3d models. The
company occupies fifth position in the top 25 emerging business in Australia. It has over 250
employees and its CEO is Collis Taaed. The assignment discusses the problems the company
facing in the information system. The assignment further discusses about the consequences if the
company adopts the e-commerce and m-commerce and finally discusses about the advantages
and risks related to the e-commerce.
Details of problem description
An information system can be defined as collecting, storing and organizing the data of
the company so that at the time of requirement it can be searches and utilized effectively.
Nowadays the companies are storing entire database of their company online instead of offline
storage as the result there are huge amount of data is stored online each day and it is crucial to
organize these data in such a way so that it can be accessed easily at the time of requirement.
This is where information system application is required to simplify their task (Andam, 2014).
The chosen company for the assignment is the Envato which is an Australian company, which
works in the digital market place which makes products like images, videos, 3D models and
photography which is utilized by the web designers for designing the websites. Envato is the
startup with few employees so it is possible that they are going to face some issue in connecting

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to the customers. The main challenge for the company is to adapt to the customer requirement.
The company is designing thousands of websites, videos, and images for the clients and it is
crucial that they need to store these designs so that if the two clients demands same type of
designs they have to design a single project and to deliver to both of them. Without the
information system the company will not to be able to find its project thus they have to design
again the same product for other client.
Proposed Solution
The possible solution for the above problem can be the better information system for the
organization. A proper data system will help Envato to store the designs in an organized manner
with proper description, so that if the client demands for the same project which has been
designed by the company earlier, then they just has look into their information system and
provide the project without redesigning it second time.
Introduction to e-commerce and m-commerce
Every organization dreams to expand their business and to spread worldwide so that
everyone in the world should know its name. E-commerce is the best solution that any
organization looks up to expand their business. There are various companies like flipkart,
amazon, shopclues which are the e-commerce site. E-commerce basically is a platform where the
company can buy and sell its product and performs all accounting transaction through the
internet. The advantage of the e-commerce website is that the company can performs its business
from any part of the world. They don’t have to open stores and show rooms in every city to
expand its business they just need a small store to store their product and deliver the products to
customer. Moreover the customers can shop anytime and anywhere and can browse variety of

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the products. The m-commerce is a platform through which the various transactions of the
company like accounting and marketing takes place through the Smartphone. Smartphone usage
in the year has exceeded over 2.4 billion and is expected to rise over 3 billion in the year 2020
(Tayur, Ganeshan & Magazine, 2012). Thus over half of population will be using the
Smartphone in the coming years so it would be a great idea for the company to adopt m-
commerce to expand the customer base.
Organization business benefits in using e-commerce and m-commerce.
As discussed above the e-commerce and m-commerce will revolutionize the way of
doing business. Out of the seven billion people in the year 2016 over 3.5 billion of the population
has access to the internet and over 2.5 billion people are using the Smartphone thus carrying out
the business on the internet and mobile phones is bound to give them edge over the offline
business. Some of the advantages are:
 Firstly the startup and the small companies which do not have enough investment to
operate in every country (Peppard & Ward, 2016). Then can use the internet help to
expand their business in other countries. They need to have a store where they can store
their product and deliver to the customers according to their needs.
 Secondly since all the data is stored in the computer with the help of big data application
the e-commerce and m-commerce can help in studying the customer behavior and to
adapt according to their needs.
 Thirdly using an e-commerce platform means the business can operate 24* 7 and 365
days. Therefore the customer can browse the product anytime during the day or night
according to his convenience

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 Fourthly using an ecommerce will cut down various operational costs for the company
like opening a store and the tax payment for the particular country and various legal
costs. The company has only to maintain its website for the customers.
 Lastly the e-commerce has also has the facility of customer rating and reviewing
(Mohapatra, 2013). If a customer gives a good review to the company products then there
will be mouth advertisement to other people which can increase the sales of the company.
Integration of e-commerce and m-commerce to the organization
As discussed there are various reasons why a company should adopt the e-commerce path
for its business operation. Therefore to adopt the e-commerce platform the company has to
integrate the e-commerce in its organization. To initiate the process of the integration the
company has to prepare the customer data, product data and finance database. After the database
is created these data is entered into the back end data to operate the website. To manage the data
an enterprise resource planning is required (Laudon & Traver, 2013). The enterprise resource
planning is business management software which helps an organization to collect, analyze and
maintain and interpret the data used during the business activities. The ERP software divide the
business operations into inventory management, finance, marketing and customer relationship
where a constant exchange of data takes place between these departments which help in efficient
operation of the business.

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E-commerce supply chain management
Introduction
The supply chain management is basically the management of the network from the
product which is dispatched from the inventory to the product which is delivered to the client.
The supply chain management includes the manufacturing, assembling, procurement of the
products and other logistics work comes under the supply chain management (Laudon, &
Laudon, 2016).
Sub-processes functions of the e-commerce supply chain management
The above figure shows the supply chain management of the e-commerce. The steps described
are that firstly step of the supply chain management include that the customer books a product on
the website. At the second step the product is included in the cart at the third step the customer

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makes payment for the item (Barnes & Hunt, 2013). After the payment is made the product is
transferred from the warehouse to the delivery truck and at the final stage the customer receives
the product. Thus this is the whole supply chain management for the product.
Challenges and protection
Security, risks and threats
Although the e-commerce has revolutionized the way of doing business. There are various risks
associated with the e-commerce platform:
 Firstly all the data of the company and the customer are stored in the cloud therefore
there is risk of data breach if there is not a proper firewall
 Secondly if the customer gives the bad review about the product intentionally then there
will be bad advertising for the product of the company which can hamper its growth.
 Lastly many a times during festival seasons due to huge traffic the website dog the
company get crashed thus a better website design is needed for its better function.
Thus for the better function of the e-commerce a strong firewall is required a better ERP
software will efficiently manage the operation of the business (Chiu et al. 2014). Lastly the
website design should be better so that it cannot get crashed during the huge traffic online
system.

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Conclusion
From the report it can be conclude that the company centavo can be expand its business if
they use the e-commerce system as they deal in the online designs and websites they can sell
their designs online in different countries. If the costumer like the design and want to use that
design he can buy it online. Thus the companies do not require a store or inventory to store their
products but they need to maintain better information system to store their designs so at the time
of requirement they can easily find the required design.

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References
Andam, Z. R. (2014). e-Commerce and e-Business.
Barnes, S., & Hunt, B. (Eds.). (2013). E-commerce and v-business. Routledge.
Chiu, C. M., Wang, E. T., Fang, Y. H., & Huang, H. Y. (2014). Understanding customers' repeat
purchase intentions in B2C e‐commerce: the roles of utilitarian value, hedonic value and
perceived risk. Information Systems Journal, 24(1), 85-114.
Laudon, K. C., & Laudon, J. P. (2016). Management information system. Pearson Education
India.
Laudon, K. C., & Traver, C. G. (2013). E-commerce. Pearson.
Mohapatra, S. (2013). E-commerce Strategy. In E-Commerce Strategy (pp. 155-171). Springer
US.
Peppard, J., & Ward, J. (2016). The strategic management of information systems: Building a
digital strategy. John Wiley & Sons.
Tayur, S., Ganeshan, R., & Magazine, M. (Eds.). (2012). Quantitative models for supply chain
management (Vol. 17). Springer Science & Business Media.