Comprehensive Report: IS/IT Innovations, Impact, and Recommendations

This report examines the use of Information Systems/Information Technology (IS/IT) innovations in business, highlighting the importance of innovation for creating sustainable value. It explores various IS/IT innovations, including artificial intelligence, digital strategies, customer loyalty programs, virtual workplace software, big data, cloud computing, and enterprise resource planning (ERP) systems. The report discusses the success factors associated with these technologies, such as data analysis, automation, and improved customer experience. It also analyzes the impact of internal factors (leadership, organizational structure) and external factors (market, industry, social, economic, technological, and political) on the success of IS/IT-enabled innovation. Finally, the report provides recommendations and guidelines for organizations to effectively implement IS/IT for innovation, emphasizing the need for adaptable strategies and a focus on competitive advantage.

Managing Information system

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Table of Contents
Introduction...........................................................................................................................................1
Discussion.............................................................................................................................................1
The use of IS/IT for innovation.........................................................................................................1
Some success factors for above listed examples................................................................................4
The impact of internal factors and external factors............................................................................6
Recommendations and guidelines for helping organisations succeed in their efforts to embark on
using IS/IT for innovation.................................................................................................................6
Conclusion.............................................................................................................................................8
References.............................................................................................................................................9

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Introduction
Managing Information system is an information system that is used for making
decision, controlling and visualizing all the operations of an organisation. The motive of
using information system in an organisation is to improve the overall value and profit
margins. The IS and IT system in an organisation are used to make the operation automatic
by eliminating the manual efforts. This technological system offer huge benefits like it helps
in improving business processes and operations. The technology assures that feedback is
taken regularly so that need of customers is met. The effective management of customer data
help the company to perform direct marketing and promotion activities. In this report, the use
of IS/IT innovations in an organisation is discussed along with that examples. It is found that
artificial intelligence, and other advanced tool should be used to make the operations
automatic. The success measures of these technologies are discussed and the impact or
internal as well external factors are discussed. Some of the recommendations of using IT
technology in an organisation are also discussed in the last section.
Discussion
Innovation in business is important as it creates sustainable value for the company as
well as customers. Business innovation by using information technology creates new business
value. In this some of the examples were IT/IS innovations are used are discussed.
The use of IS/IT for innovation
Some of the example of IS/IT innovations that are used in businesses are discussed:
 It is seen that from last decade’s company are widely investing in artificial
intelligence and digital strategies that helps in reaching to wider audience. Many
customer loyalty programs are launched that helps in tracking the customer

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purchasing behaviour and also designs customer reward system. It helps in reducing
line waiting time and allows customers to connect with the business easily
(Piotrowicz and Cuthbertson, 2014). For doing this, they make use of data to improve
customer experience by creating AI driven strategies. In this decisions are taken by
analysing the past behaviour and other factors. Businesses make use of virtual
workplace software’s so that the expensive for getting an office space is safe. It makes
all the team members to get connected easily using various programs (Piotrowicz and
Cuthbertson, 2014).
(Source: )
It is seen that artificial intelligence helps in resolving various challenges that are faced in an
organisation.
 Businesses has innovated their decision making process and have changed the
operations strategies (Tayeh, Al-Jarrah and Tarhini, 2015). They make use of new
payment and cash flow management that help business to connect to the international
partners easily. It also helps in mitigating the cash flow issue as payments are made in

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a single attempt. It supports business to share their economy easily (Shahiduzzaman
and Marek, 2018). It helps in cutting the cost of business.
 The other latest IT innovation that is adopted by businesses is use of big data. Big
data supports business in many ways like helps in collecting feedback from the
customers. Then analyse the feedback and reconstruct he products. Big data helps in
testing various high end computers aided designs that help in improving the
performance (Tayeh, Al-Jarrah and Tarhini, 2015). It is a tool that maps the data
across the country and tracks all the internal threats so that sensitive information
remains secure. Additionally, cloud computing is majorly used by business as they
store data over cloud instead of using physical servers. It support the company to
access the services from anywhere at any time (Ramachandran, Fegade and
Raichurkar, 2017).

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(Source: https://technofaq.org/posts/2018/08/5-uses-of-big-data-analytics-in-business-
process-management/)
 Businesses make use of enterprise resource planning system as it improves the overall
business process so that performance of business enhances. The main aim of this is to
reduce labour cost as most of the operations are completed using It technology. It also
improves the interaction between staff and companies (Telegraph, 2018). It is
software that integrates all the functions that take place at the workplace. It also
reduces the errors as all the operations are done automatically by eliminating the
manual efforts (Ramachandran, Fegade and Raichurkar, 2017). It is beneficial from
marketing point of view as it helps in gaining more opportunities. ERP provides
valuable data and analytics solution that helps in understanding customers and offer
them better insight so that marketing strategy could be improved. It also makes
communicate easier and effective so that better customer service is offered
(Telegraph, 2018).

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(Source: https://technosoftwares.com/role-erp-software-organisation/)
It can be said from research that innovation offers a long term success for an organisation. It
modifies business model so that changes could be adapted easily and better product and
services is offered. Innovation can be said as the introduction of something new that helps in
innovating new ideas, devices or methods (Vatharkar, Gao and Fomin, 2018). IT/IS
innovation is useful as reduce the time and efforts needed to complete a task by making the
operations automatic.
Some success factors for above listed examples

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In the first sections some of the IT/IS technology that could be used by businesses are listed.
The advantages and issues in using these approaches are listed below.
 Using of artificial intelligence helps an organisation in many ways:
 AI helps in identifying the paters and purchasing habits of customer. It
improves the overall shopping experience and increases sales (Vatharkar,
Gao and Fomin, 2018). It analyse the data and past transactions stored over
cloud and provide highly accurate offers and services to customer. It also
makes customer interactions automatic by offering real time assistance.
One of the biggest advantages of using artificial intelligence is data
mining. It helps in getting undiscovered advantage from the market. It also
predicts the outcomes by analysing the data and customer’s data (Nielsen,
Mathiassen and Newell, 2014). Thus, it can be said that AI systems
provide businesses with a extensive range of benefits that includes
personalised advertising, customer service, operational automation,
inventory management and recruitment. These are just ways in which AI
can be used.
 IT innovation has allowed businesses to make payment using cards and
other payment methods. These methods have helped in boosting up the
overall sale so that customers can make payment from anywhere at any
time. They make use of mobile payment system as they are secure. It also
helps in exploring the traditional business economy to digital age. It allows
businesses to innovate and remain open to new ideas (Nielsen, Mathiassen
and Newell, 2014). This is possible by technology as it plays an important
role in innovating new methods. New payment gateways as offered
flexibility to customers and have allowed making digital transactions.

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 Big data is a new innovation in the market that is proved beneficial for
businesses (Soomro, Shah and Ahmed, 2016). It helps in understanding
the market condition by analysing the behaviour of customers so that
future trend could be recognized. It also supports in identifying the
customers in a better way and big data tools are used to save the overall
money (Tallon, Queiroz, Coltman and Sharma, 2016). It also eliminates
the burden of IT staff by making use of real time system. Additionally, the
data stored is accurate because big data tools reduced the risk of inaccurate
data. It also supports in capturing the audience by identifying the
marketing campaign (Soomro, Shah and Ahmed, 2016).
 Enterprise planning system also helps in an organisation in many ways. It
improves the work flow by creating a user friendly interface so that
employees can easily access all the relevant information. It increases the
productivity by integrating all the functions into a unified platform (Yeh,
Lee and Pai, 2015). It contributes to greater efficiency within the business
operations. It also offers transparency within the organisation by
maintaining information at one place. It also removes the redundant data
so that inconsistency and confusion gets eliminated. It also offers greater
security without adding any barriers for the employees (Wagner, Beimborn
and Weitzel, 2014). It is observed that powerful integrated ERP system
enables interactions of marketing, sales, quality control, products
processes, supply lines, stocks and many other department of an
organisation. It eliminates the loss manual errors while performing any
action (Wagner, Beimborn and Weitzel, 2014). An ERP system automates

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all the processes by keeping them into a useful format that is standardized
and common for the whole organization.
The impact of internal factors and external factors
It is seen that there are various internal factors like organisational, individual, and
management that supports the success of an organisation (Tarhini, Arachchilage and Abbasi,
2015). Some of the external factors are market, industry, social, economic, technological and
political/policy factors that supports in the success of IS/IT enabled innovation.
Impact of internal factors- The internal business environment comprises of factors within the
company that impact the success and approach of operations. The roles of leaders in an
organisation play an essential role in internal factor. The leadership style impacts the culture
of an organisation and strength of an individual also contributes in overall success. The use of
new IT technology requires some talented staff so that they can manage the resources
effectively (Tarhini, Arachchilage and Abbasi, 2015). The role of other staff and culture of
an organisation contributes in overall success. Innovation is important as it support the
organisation to compete with the competitors. The organisational structure also contributes in
the overall success. Now days a flat hierarchy structure is followed with few layers of
hierarchy (Madon and Krishna, 2018). The communication should be two way, from top to
bottom and bottom to top. The internal factors determine how an organization will move
forward. Some of the external factor that also contributes in overall success is discussed
below.
Impact of external factors- The external factor like political, social and technological affect
an organisation. External factors take care of the conditions and circumstances outside the
organisation. The economy can affect the business and the competitors in the market can also

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change eth profit margins. There are chances that policies generated by the organisation may
have negative effect. The social factors cover the policies and procedures that can impact the
success of an organisation (Lindkvist, 2018). The customers and suppliers also affect the
overall success. The political factors can add up risk to the businesses as government can
change the taxes any time. Such decisions directly impact the growth of business. It is seen
that political decisions affect the economic environment and also influence the country’s
socio-cultural environment. Some common political factors on business organisation are
impact on economy, changes in regulation, political stability and mitigation of risk. The
social factors that affect the business is the buying habits of customers, attitudes towards
business and other competitors in the market. The technology helps in building better
relations so that it can grow successfully (Chae, Koh and Prybutok, 2014). It makes all the
process automatic which reduces the manual efforts and the chances of errors. It also helps in
connecting to virtual team members easily, the automation of many unskilled tasks can allow
companies to replace human production lines with entirely machine ones. It helps in reducing
the costs for manufacturers, distributors, supermarkets, and many other different businesses
(Henttonen, Kianto and Ritala, 2016). On the other side, it increases the automation in job
that reduces the chances of manual efforts.
Recommendations and guidelines for helping organisations succeed in their efforts to
embark on using IS/IT for innovation
It is suggested that an organisation should make use of IT for innovation so that they can bet
their competitors. Using IT strategies in the business process will help in beating the
competitors and strategies should be adaptive so that adjustments could be done. It is found
that IT has made all the operations and work processes automatic and eliminated the manual
efforts. The technology should be implemented in a way it helps in tacking all the issues. The

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technology should be implemented so that all the operations are made automatic and manual
work is removed (Da Veiga and Martins, 2015). Thus it saves the overall time and fulfils all
the practises of an organisation by improving the performance. It also improves the
communication system by allowing employees to connect easily using various instant
communication tools. The technological factors help in connecting through employees away
from cultural boundaries. The innovation using IT/IS supports in keeping the services
available from anywhere ay anytime. It also promotes in creating operations efficient so that
decision making could be done easily and effectively. Thus, it is recommended that IT
technologies should be used to improve communication, team work and connectivity (Da
Veiga and Martins, 2015). It technology should be used in mitigating risk this could be done
by using risk management software that make sure only authorised user access the
information. Thus, IT innovations should be used in every department like from converting
the physical space to virtual space, from using the physical devices to digital services. These
innovations have helped in developing the open standards (Alreemy, Chang, Walters and
Wills, 2016).
The prime areas where IS/IT can be used are data Processing that is used to improve
operational effectiveness by automating the work flows and so that operations become
digital. Management Information Systems should also make use of information strategies so
that management effectiveness could be improved and decisions could be make effectively.
Strategic Information Systems also improve effectiveness by changing the way in which
business work (Akman and Mishra, 2015). It is recommended that technology should be used
as time tracking software so that loopholes could be found. It also allows an organisation to
conduct webinars and offer online training.

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Conclusion
Information technology can be used in an organisation to boost up the performance by
making the operations wok digitally. Some of the examples were innovation is used in
businesses is via artificial intelligence that helps in making smart decisions. Some of the
examples were innovation is used in businesses is via artificial intelligence that helps in
making smart decisions. Advanced technology is used in making payments so that flexibility
is offered to customers. Some of the other IT innovation that could be used is big data and
cloud computing that supports business to store data over cloud instead of using physical
servers. It support the company to access the services from anywhere at any time. The other
way is enterprise resource planning system as it improves the overall business process so that
performance of business enhances. The main aim of this is to reduce labour cost as most of
the operations are completed using It technology. It also improves the interaction between
staff and companies by making communication effective. These technologies help an
organisation in many ways. It eliminates the loss manual faults while performing any action.
It makes all the operations automatic by keeping them into a useful format that is
standardized and common for the whole organization.

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