Information System in Organizations: A Case Study of HSBC Banking
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AI Summary
This report provides a comprehensive analysis of information systems within HSBC banking, focusing on the marketing and IT departments. It examines the specific information requirements of each department, comparing the systems utilized and highlighting how the Management Information System (MIS) supports decision-making at middle and senior management levels. The report delves into the technical details of the MIS, including hardware and software components. Furthermore, it explores the Decision Support System (DSS) and Executive Information System (EIS) used for information dissemination. Finally, the report addresses the ethical and social issues associated with the implementation and use of information systems within the organization, providing a well-rounded perspective on the topic.

Running head: INFORMATION SYSTEM IN ORGANISATIONS
INFORMATION SYSTEM IN ORGANISATIONS
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INFORMATION SYSTEM IN ORGANISATIONS
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1INFORMATION SYSTEM IN ORGANISATIONS
Executive summary
This aim of this report is to discuss the information system in an organisation. Information
system is implemented in the company for increasing the efficiency in the management of
information. The organisation that has been chosen for this report is HSBC banking. This
company deals in the sector of banking. The department of marketing and IT are chosen for
conducting the research. Detailed discussion of the information requirements of the selected
two functional areas are provided in this report. Comparison of the information systems that
is utilised by both the areas are provided in this report. Detailed discussion of the explanation
after the identification of the methods by which the information system are utilised in one of
the functional areas for the production of information of the management at the management
levels such as senior and middle are provided in this report. The key technical details of the
utilised information system are provided in this report. The ethical and social issues
connected to the information system is provided in this report.
Executive summary
This aim of this report is to discuss the information system in an organisation. Information
system is implemented in the company for increasing the efficiency in the management of
information. The organisation that has been chosen for this report is HSBC banking. This
company deals in the sector of banking. The department of marketing and IT are chosen for
conducting the research. Detailed discussion of the information requirements of the selected
two functional areas are provided in this report. Comparison of the information systems that
is utilised by both the areas are provided in this report. Detailed discussion of the explanation
after the identification of the methods by which the information system are utilised in one of
the functional areas for the production of information of the management at the management
levels such as senior and middle are provided in this report. The key technical details of the
utilised information system are provided in this report. The ethical and social issues
connected to the information system is provided in this report.

2INFORMATION SYSTEM IN ORGANISATIONS
Table of Contents
Introduction....................................................................................................................3
Discussion......................................................................................................................4
Task 1.............................................................................................................................4
Marketing department................................................................................................4
IT department.............................................................................................................5
Information system for the marketing and IT department.........................................6
Task 2.............................................................................................................................8
Task 3...........................................................................................................................11
Ethical and social issues linked to the information system......................................11
Conclusion....................................................................................................................16
References....................................................................................................................17
Appendix......................................................................................................................20
Table of Contents
Introduction....................................................................................................................3
Discussion......................................................................................................................4
Task 1.............................................................................................................................4
Marketing department................................................................................................4
IT department.............................................................................................................5
Information system for the marketing and IT department.........................................6
Task 2.............................................................................................................................8
Task 3...........................................................................................................................11
Ethical and social issues linked to the information system......................................11
Conclusion....................................................................................................................16
References....................................................................................................................17
Appendix......................................................................................................................20
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3INFORMATION SYSTEM IN ORGANISATIONS
Introduction
This report aims to discuss the information system in an organisation. The chosen
organisation for this report is the HSBC banking, which is a company based in United
Kingdom. This company deals in the sector of banking. The two sectors of the company
chosen for conducting the research are the marketing and IT department of the company. A
detailed discussion of the identification and explanation of how the information systems are
utilised in one of the functional areas for producing the information of the management at the
senior and middle levels of management of the business is provided in this report. The social
and ethical issues are identified and explained that are connected with the information system
of the business. lastly, this report concludes with an appropriate conclusion of this report.
HSBC banking is a section of HSBC holding PLC, which is a company that is holding
company for multinational banking and financial services. It is the 7th largest bank of the
world, and it is the largest bank in Europe (Naheem 2015). The composition of the HSBC
organisation consists of four business groups: Wealth management, Commercial Banking,
Global banking and retail banking and global private banking.
Introduction
This report aims to discuss the information system in an organisation. The chosen
organisation for this report is the HSBC banking, which is a company based in United
Kingdom. This company deals in the sector of banking. The two sectors of the company
chosen for conducting the research are the marketing and IT department of the company. A
detailed discussion of the identification and explanation of how the information systems are
utilised in one of the functional areas for producing the information of the management at the
senior and middle levels of management of the business is provided in this report. The social
and ethical issues are identified and explained that are connected with the information system
of the business. lastly, this report concludes with an appropriate conclusion of this report.
HSBC banking is a section of HSBC holding PLC, which is a company that is holding
company for multinational banking and financial services. It is the 7th largest bank of the
world, and it is the largest bank in Europe (Naheem 2015). The composition of the HSBC
organisation consists of four business groups: Wealth management, Commercial Banking,
Global banking and retail banking and global private banking.
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4INFORMATION SYSTEM IN ORGANISATIONS
Discussion
Task 1
The chosen functional areas for conducting research are the sector of marketing and
IT. Both these sectors requires additional information needs for the effective business growth
and increase their profit.
Marketing department
The marketing team of the organisation requires several tools and information for
facilitating the work and successfully create market awareness for the products and the
businesses. The information of the requirements of the customers is the main information that
is required in the business and provide the customers with all the required products (Laudon
and Laudon 2016). This involves that the department of marketing of the company has
specific direction towards the goals and it has implemented appropriate strategies for
studying the market, develop appropriate products for the customers, and engage in the
promotion of brand and the product, headed for the final aim of creating the business and
enhance the values of the business. Some of the information that is required are as follows:
Research in marketing
All the research in marketing is conducted by the department of marketing. Research
is important for understanding the needs of the consumers and identify the market for
products that the company is hoping to sell (Bajdor and Grabara 2014). The strength and
weakness of the competitors of the business is easily identified by the marketing researches
that are conducted. According to Gallagher and Sixsmith (2014), the weaknesses of the
businesses are easily eliminated with the help of effective research, focus on the strengths and
exploit the weaknesses of the competitors and takeover the customers.
Discussion
Task 1
The chosen functional areas for conducting research are the sector of marketing and
IT. Both these sectors requires additional information needs for the effective business growth
and increase their profit.
Marketing department
The marketing team of the organisation requires several tools and information for
facilitating the work and successfully create market awareness for the products and the
businesses. The information of the requirements of the customers is the main information that
is required in the business and provide the customers with all the required products (Laudon
and Laudon 2016). This involves that the department of marketing of the company has
specific direction towards the goals and it has implemented appropriate strategies for
studying the market, develop appropriate products for the customers, and engage in the
promotion of brand and the product, headed for the final aim of creating the business and
enhance the values of the business. Some of the information that is required are as follows:
Research in marketing
All the research in marketing is conducted by the department of marketing. Research
is important for understanding the needs of the consumers and identify the market for
products that the company is hoping to sell (Bajdor and Grabara 2014). The strength and
weakness of the competitors of the business is easily identified by the marketing researches
that are conducted. According to Gallagher and Sixsmith (2014), the weaknesses of the
businesses are easily eliminated with the help of effective research, focus on the strengths and
exploit the weaknesses of the competitors and takeover the customers.

5INFORMATION SYSTEM IN ORGANISATIONS
Development of products
The department of marketing assists in creating products for the customers that is
required by them and this department also performs the function of improving the products
that are already prevailing for creating increased value for customers (Demir and Krajewski
2013). The job of the department of marketing is to analyse the product sales that are already
in the market and look for further opportunities for introducing modified products where
there are limitations in the products and modify the products that are found to be hard to sell
(Höhn et al. 2014). The team of marketing requires several information about the price of the
products that are currently prevailing in the market to meet the requirements of the customers
at a cheaper price with keeping the profits.
IT department
The IT department of the organisation requires several information for the proper
functioning of the department. It performs various functions for the organisations and the
information required are as follows:
Communication: An effective communication method is designed by the department
of IT. Internet calling, teleconferencing, and email allows the employees of the organisation
to maintain an effective connection among each other. The article by Klukas, Chen and Pape
(2014), states that this is established by the department of IT with the help of the information
of the employees
Data management: this is the key function of the department of IT. The advances in
technology and the increased complicated businesses has increased the data traffic of voice,
text, and the video inside the organisations. The information requirements for the effective
data management are the utilisation of the databases for storing, managing, and accessing the
huge amount of data.
Development of products
The department of marketing assists in creating products for the customers that is
required by them and this department also performs the function of improving the products
that are already prevailing for creating increased value for customers (Demir and Krajewski
2013). The job of the department of marketing is to analyse the product sales that are already
in the market and look for further opportunities for introducing modified products where
there are limitations in the products and modify the products that are found to be hard to sell
(Höhn et al. 2014). The team of marketing requires several information about the price of the
products that are currently prevailing in the market to meet the requirements of the customers
at a cheaper price with keeping the profits.
IT department
The IT department of the organisation requires several information for the proper
functioning of the department. It performs various functions for the organisations and the
information required are as follows:
Communication: An effective communication method is designed by the department
of IT. Internet calling, teleconferencing, and email allows the employees of the organisation
to maintain an effective connection among each other. The article by Klukas, Chen and Pape
(2014), states that this is established by the department of IT with the help of the information
of the employees
Data management: this is the key function of the department of IT. The advances in
technology and the increased complicated businesses has increased the data traffic of voice,
text, and the video inside the organisations. The information requirements for the effective
data management are the utilisation of the databases for storing, managing, and accessing the
huge amount of data.
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6INFORMATION SYSTEM IN ORGANISATIONS
Enterprise resource planning: According to Bharamagoudar, Geeta and Totad (2013),
this refers to the utilisation of the systems of software for linking together the functions of
business that includes the sales, human resources, marketing and accounting. The IT
department of the organisation provides real time access to the aggregated information to the
employees and for performing this function the department of IT requires data of the various
departments of the organisation
Information system for the marketing and IT department
The MIS is the information system that is utilised for the proper storing, analysing
and distributing of the data of marketing for the managers of the organisation. This system is
also utilised for the analysis and assessment of the marketing information, that is gathered
continuously for the inside sources and the sources outside the organisation (Shelestov et al
(2013).
The components of the MIS are:
Internal records system: This is an important and easily accessible information source. The
raw data is supplied by this system. This system consists of all the records of the operations
in marketing that are available within the organisation.
Marketing intelligence: the constant information on the developments in the market
environment that is external is commonly provided to the management of marketing
(Castronova, Goodall and Ercan 2013). This subsystem consists of several methodologies for
the valuation of the information of the organisations.
Marketing research: This management system allows the initiation and coordination of
activities of research that are specific to the concerns and purposes of marketing.
Enterprise resource planning: According to Bharamagoudar, Geeta and Totad (2013),
this refers to the utilisation of the systems of software for linking together the functions of
business that includes the sales, human resources, marketing and accounting. The IT
department of the organisation provides real time access to the aggregated information to the
employees and for performing this function the department of IT requires data of the various
departments of the organisation
Information system for the marketing and IT department
The MIS is the information system that is utilised for the proper storing, analysing
and distributing of the data of marketing for the managers of the organisation. This system is
also utilised for the analysis and assessment of the marketing information, that is gathered
continuously for the inside sources and the sources outside the organisation (Shelestov et al
(2013).
The components of the MIS are:
Internal records system: This is an important and easily accessible information source. The
raw data is supplied by this system. This system consists of all the records of the operations
in marketing that are available within the organisation.
Marketing intelligence: the constant information on the developments in the market
environment that is external is commonly provided to the management of marketing
(Castronova, Goodall and Ercan 2013). This subsystem consists of several methodologies for
the valuation of the information of the organisations.
Marketing research: This management system allows the initiation and coordination of
activities of research that are specific to the concerns and purposes of marketing.
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7INFORMATION SYSTEM IN ORGANISATIONS
Marketing decision support: contains the statistical and decision tools, which are utilisation
in synthesizing the various outputs for providing better option of decision and the
suggestions.
Information system for the IT department
The information system that is implemented in the department of IT in the organisation
consists of the following systems:
TPS or Transaction Processing Systems: Tahri, Hakdaoui and Maanan (2015) stated that the
TPS meets the collection of data, processing, storage and the functionalities of outputting for
the major operations of the business. The information systems collects the data from the
inputs of the users and then produce the outputs based on this collected data
CRMS or Customer Relationship Management Systems: This system is utilised for the
synchronisation of the sales and the efforts of marketing. The systems of CRM combines and
tracks the activities of the customers that includes the trends of purchasing, the defects in the
products and the inquiries of the customers.
Business intelligence systems: These systems are complex as these systems are utilised for
the identification, extraction, and analysis of the data for various needs of operation,
specifically for the purposes for decision-making.
Knowledge management systems: The KMS information systems serve as the central
repository and retain information in formats that is standard (Kushniruk et al. 2013). These
systems performs the function of organisation and dissection of knowledge and the
redistribution and sharing with the individuals of organisation.
Marketing decision support: contains the statistical and decision tools, which are utilisation
in synthesizing the various outputs for providing better option of decision and the
suggestions.
Information system for the IT department
The information system that is implemented in the department of IT in the organisation
consists of the following systems:
TPS or Transaction Processing Systems: Tahri, Hakdaoui and Maanan (2015) stated that the
TPS meets the collection of data, processing, storage and the functionalities of outputting for
the major operations of the business. The information systems collects the data from the
inputs of the users and then produce the outputs based on this collected data
CRMS or Customer Relationship Management Systems: This system is utilised for the
synchronisation of the sales and the efforts of marketing. The systems of CRM combines and
tracks the activities of the customers that includes the trends of purchasing, the defects in the
products and the inquiries of the customers.
Business intelligence systems: These systems are complex as these systems are utilised for
the identification, extraction, and analysis of the data for various needs of operation,
specifically for the purposes for decision-making.
Knowledge management systems: The KMS information systems serve as the central
repository and retain information in formats that is standard (Kushniruk et al. 2013). These
systems performs the function of organisation and dissection of knowledge and the
redistribution and sharing with the individuals of organisation.

8INFORMATION SYSTEM IN ORGANISATIONS
Task 2
The information system that is used in the functional area of marketing for producing the
management information at the middle and senior level of management of business is the
management information system (Arrouays et al. 2014). This information system is used for
the creation of decisions and the organisation, mechanism, analysis and visualisation of the
information in the company.
MIS is the hierarchical subset for the information systems. The MIS are highly focussed on
the organisation narrowing the utilisation of information technology for increasing the value
of business.
According to Boonstra (2013) Even though utilisation of information system can be done in
every management level, the duty of implementing the information systems commonly falls
in the hands of the CIO and the CTO. The company uses the system DSS (Decision Support
System) and EIS (Executive Information System) for offering information about the
management to the senior and the middle level management.
DSS (Decision Support System): This is an information system that supports the activities of
decision making for the businesses. These systems serve the operations, management, and the
levels of planning of an organisation and assist people in making the decisions about the
problems that can be rapidly changing and these are not easily specified in the beginning.
Knowledge based systems are included in the DSS (Alonso et al. 2013). A specifically
designed DSS is considered to be a system that is based on software.
Executive information system: This system is also considered to be an Executive support
system. This is a kind of management support system that offers and supports the needs of
senior executive information and the decision-making.
Technical details of Management information system
Task 2
The information system that is used in the functional area of marketing for producing the
management information at the middle and senior level of management of business is the
management information system (Arrouays et al. 2014). This information system is used for
the creation of decisions and the organisation, mechanism, analysis and visualisation of the
information in the company.
MIS is the hierarchical subset for the information systems. The MIS are highly focussed on
the organisation narrowing the utilisation of information technology for increasing the value
of business.
According to Boonstra (2013) Even though utilisation of information system can be done in
every management level, the duty of implementing the information systems commonly falls
in the hands of the CIO and the CTO. The company uses the system DSS (Decision Support
System) and EIS (Executive Information System) for offering information about the
management to the senior and the middle level management.
DSS (Decision Support System): This is an information system that supports the activities of
decision making for the businesses. These systems serve the operations, management, and the
levels of planning of an organisation and assist people in making the decisions about the
problems that can be rapidly changing and these are not easily specified in the beginning.
Knowledge based systems are included in the DSS (Alonso et al. 2013). A specifically
designed DSS is considered to be a system that is based on software.
Executive information system: This system is also considered to be an Executive support
system. This is a kind of management support system that offers and supports the needs of
senior executive information and the decision-making.
Technical details of Management information system
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9INFORMATION SYSTEM IN ORGANISATIONS
According to Tarhini, Arachchilage and Abbasi (2015), the MIS is designed in the HSBC
bank for the managing the information within the company. At the most common level, MIS
can include the elements that are based on the non-computer like the structural hierarchy of
the organisation.
The hardware that is required for any management information system can differ widely
based on the size and requirements of data processing of the organisation. commonly, small
businesses needs only a machine for storing information like the data, invoices and projects
of the employee. Large businesses can require numerous systems that allows the sharing of
data securely across several locations for the employees. The data that is stored in the MIS is
preserved in several isolated locations for increasing the security of data.
Some of the common function of MIS includes the record keeping of the employees,
invoicing, management of inventory, planning for any project, management of customer
relationship and the analysis of the needs of business (Soppera, Bossant and Dupont 2014).
Several programs of software are designed for executing a particular task such as the
maintenance of financial records or the data backup. The business also utilises the Executive
Information System for proper management of the information among all the levels of the
organisation.
The structure of EIS consists of the following elements:
Hardware: It is considered that the structure of the EIS in an organisation must meet all the
requirements of the management, which operates the EIS at the level that is executive and the
needs of all the various departments that populate the database with information that is
processes by the system (Galegher, Kraut and Egido 2014). The hardware configuration of
the EIS consists of the following components:
According to Tarhini, Arachchilage and Abbasi (2015), the MIS is designed in the HSBC
bank for the managing the information within the company. At the most common level, MIS
can include the elements that are based on the non-computer like the structural hierarchy of
the organisation.
The hardware that is required for any management information system can differ widely
based on the size and requirements of data processing of the organisation. commonly, small
businesses needs only a machine for storing information like the data, invoices and projects
of the employee. Large businesses can require numerous systems that allows the sharing of
data securely across several locations for the employees. The data that is stored in the MIS is
preserved in several isolated locations for increasing the security of data.
Some of the common function of MIS includes the record keeping of the employees,
invoicing, management of inventory, planning for any project, management of customer
relationship and the analysis of the needs of business (Soppera, Bossant and Dupont 2014).
Several programs of software are designed for executing a particular task such as the
maintenance of financial records or the data backup. The business also utilises the Executive
Information System for proper management of the information among all the levels of the
organisation.
The structure of EIS consists of the following elements:
Hardware: It is considered that the structure of the EIS in an organisation must meet all the
requirements of the management, which operates the EIS at the level that is executive and the
needs of all the various departments that populate the database with information that is
processes by the system (Galegher, Kraut and Egido 2014). The hardware configuration of
the EIS consists of the following components:
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10INFORMATION SYSTEM IN ORGANISATIONS
Introduction devices for the entry data: commonly these are the computers where the
users entry the data.
LAN network: allows the interconnection of all the devices that provide data with
database
Information storage units: These are the servers that performs the data hosting and
process all the requirements of executive body
Devices for information display: devices that are used for displaying the data and used
for viewing the generated reports of Executive Information System.
Software: Software are effective in the process of designing of an EIS. The components of
software and the method by which the management and the integration of data into any single
system is very essential (Hong et al. 2014). The basic components of any EIS includes:
Basic software: text
Data base: where the data is received and stored from the external sources
Graphic software: The conversion of the data from the data base in information that is
based on visual diagram.
Interface: The major responsibility of the EIS is the collection of the relevant data and then
deliver it to the higher management levels. This function of EIS makes the utilisation of
interface as the main component. The design of the interface of the HSBC bank is considered
to be comprehensible and easily interpretable. The user interface includes the aspects that are
interactive, which facilitate the operations of system and the interaction among the
components. The designing of the interface is done logically for assisting the user to be able
to grasp the functionality of the controls (Li et al. 2014). The mechanism of the interface is
based on:
Introduction devices for the entry data: commonly these are the computers where the
users entry the data.
LAN network: allows the interconnection of all the devices that provide data with
database
Information storage units: These are the servers that performs the data hosting and
process all the requirements of executive body
Devices for information display: devices that are used for displaying the data and used
for viewing the generated reports of Executive Information System.
Software: Software are effective in the process of designing of an EIS. The components of
software and the method by which the management and the integration of data into any single
system is very essential (Hong et al. 2014). The basic components of any EIS includes:
Basic software: text
Data base: where the data is received and stored from the external sources
Graphic software: The conversion of the data from the data base in information that is
based on visual diagram.
Interface: The major responsibility of the EIS is the collection of the relevant data and then
deliver it to the higher management levels. This function of EIS makes the utilisation of
interface as the main component. The design of the interface of the HSBC bank is considered
to be comprehensible and easily interpretable. The user interface includes the aspects that are
interactive, which facilitate the operations of system and the interaction among the
components. The designing of the interface is done logically for assisting the user to be able
to grasp the functionality of the controls (Li et al. 2014). The mechanism of the interface is
based on:

11INFORMATION SYSTEM IN ORGANISATIONS
Entry: allows the users to conduct introduction of data and the manipulation of the
system
Exit: allows the users to view the results of the system interaction
Task 3
Ethical and social issues linked to the information system
The information system has simplified the tasks and activity performing of the
organisation. The simplification of the information searching, product purchasing,
entertaining, communications, analysis of data are the major advantages that are provided by
the information system to both the individuals and the organisation.
The network of computers in the organisation helps in the communication, data
sharing, and the sharing of processing of data among each other (Liu et al. 2017). Some of the
ethical issues of the facilities of information technology that raised ethical issues are as
follows:
Data copying; simplification in the data duplication
Disintegration of data from anywhere and anytime
Faster sharing of data/files/information
These facilities have assisted in the growth of several ethical issues. Some of the issues are
grouped into five categories:
Right to information
Right to property
Liability, accountability and control
Information system quality
Life of the users
Entry: allows the users to conduct introduction of data and the manipulation of the
system
Exit: allows the users to view the results of the system interaction
Task 3
Ethical and social issues linked to the information system
The information system has simplified the tasks and activity performing of the
organisation. The simplification of the information searching, product purchasing,
entertaining, communications, analysis of data are the major advantages that are provided by
the information system to both the individuals and the organisation.
The network of computers in the organisation helps in the communication, data
sharing, and the sharing of processing of data among each other (Liu et al. 2017). Some of the
ethical issues of the facilities of information technology that raised ethical issues are as
follows:
Data copying; simplification in the data duplication
Disintegration of data from anywhere and anytime
Faster sharing of data/files/information
These facilities have assisted in the growth of several ethical issues. Some of the issues are
grouped into five categories:
Right to information
Right to property
Liability, accountability and control
Information system quality
Life of the users
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