IS Strategy, Management & Acquisition: A Case Study of JB Hi-Fi

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IS Strategy, Management & Acquisition
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Table of Contents
Introduction....................................................................................................................................................3
Company and product selection.................................................................................................................4
Evolution of IS/IT strategy........................................................................................................................5
Major challenges facing business..............................................................................................................6
Recent scenario of IS/IT for organisation..................................................................................................7
Role of IS/IT in contemporary environment..............................................................................................8
Management IS for managing and controlling organisation system.........................................................9
Execution of IS/IT strategy......................................................................................................................10
Conclusion...................................................................................................................................................11
References....................................................................................................................................................12
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Introduction
Information system plays an important role to make company distinction between a good
company and great company. It enables that good information system ensures the capabilities of
organisation. According to Top level management, it explores the development, acquisition,
implementation of new policies and plans to achieve an efficient and effective system for
information. In this case study, there will be a discussion about JB Hi-Fi Company which deals
in the retailer of consumer goods, specialising in video games, Blu rays, Ultra HD Blu rays, CDs,
DVDs, electrical home appliances, mobile phones, and electronic hardware. This study includes
discussion on company and selection of product. In addition to that evolution of IS/IT strategy
will be discussed. The few major challenges faced by a business will be discussed. In addition to
that Management IS for managing and controlling organisation system will be discussed. Apart
from that Execution of IS/IT strategy will be presented.
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Company and product selection
JB Hi-Wi Company deals in retailing of a consumer product such as DVDs, CDs, Ultra HD Blu
rays, Blu rays, video games, home appliances, electronic hardware, and mobile phones. It is
situated in Melbourne. It also expands in New Zealand. For introducing a new product in the
market following point must be considered (Ahammad, et. al., 2016).
Supply Gap - It requires research to know the market demand to source a business opportunity
to select a product. The highest demand product launched in the market. There is a selected
demand for goods. It is important to analyse the needs and wants of the consumer.
Fund – for introducing a new product in the market, there is a requirement of huge funds. The
funds help to develop, promote, produce, sell, promote and distribute the selected product.
Availability of access to a raw material – Raw material is required for different products. The
quality and quantity of raw material are measured. The raw material must be sufficient in
quantity.
Technical implications – The process of production needs to be considered. The technical
implication must be applied in the available production line, labor force and available
technology. Product requires the acquisition of refurbishing and machinery. Goods must be
satisfactory and acceptable to customers.
Profitability/ Marketability – The selected product must get higher profitability. A product
must be selected on the basis of capacity or component sale in the market. The chosen product
must be marketable and profitable.
Availability of Qualified personnel – The production and marketing must be done by qualified
personnel. The producing cost must be reducing the wastage. The competent hand must achieve
this.
Government policies – Government policies are one of the uncontrollable factors. The
manufacturer is influenced by government policies to select the product. The government takes
package incentive for the product is 100% local inputs. The research and development
department select the product.
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Government objectives – Before selection, the company's long term and short term objective
are considered. The main objective of the organisation is to achieve sale stability, sale growth,
enhancement of the social value of the company.
For the growth and development of an organisation, it is necessary to select the right product to
compete in a competitive market. The ability to make choices will determine the success and
failure of a product in the market. It is necessary to choose a product which is personally and
emotionally committed. Product selection is one of the essential decisions of the company. It
launches with the background check of potential business (Bauerand Matzler, 2014). It requires
big investment venture for introducing the product in the market.
Evolution of IS/IT strategy
Information technology is the plan to implement the goals of the business. An IT strategy is
called technology strategy. A strategic plan is made up of multiple factors. It requires a lot of
investment. It also affects the use of technology. The technology management includes various
things such as human resource, cost management, capital management, hardware management, vendor
management and risk management (Brueller, et. al., 2018). The strategy needs to coordinates with
different departments. It includes legal departments and preparation for a proper budget. The
organizational strategic plan must be in written format. It plans the documentation and flexible use of the
plan. Information technology includes various components such as industry conditions, policies &
procedures, objectives, available skill, and budgetary constraints. IT strategy is the copy of technology
which helps the business to work smoothly to earn maximum profits. The strategic goal must be
transparent. It is clear to employees and management. all the stakeholder must aware about the strategic
plan made by management. IT department helps to achieve the mission, vision, goals, and objectives of
an organisation. It forecast for the future by taking the help of the current budget. IT projects and current
projects help to achieve the target of business. IT department helps to fulfill the future requirement of
individuals. It helps to analyse the strength and weakness of IT. The current technology requirement is
shaped through the list of internal and external forces. The opportunities help to response the technology
in the best manner for the achievement of goals of an organistaion. Its strategy is complex in nature. It
strategy requires technical documentation. The language of the document must be clear in language,
concise and free from technical jargon. In recent decades, It strategy becomes a leadership element in an
organisation. Its technology focuses on digital age and transformation. Nowadays, business model, goods
and services all are generated by the help of technology. Information technology helps to improve
customer service. It ensures workers give the maximum in production. It helps to improve the quality of
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work. It assists in proper communication between vendors and business partners of an organisation. It
strategy requires multiple approaches for the creation of it (Chang, et. al., 2014). By the help of
information technology, the company meets the established milestone, objectives, benchmark and key
performance indicators. It helps to fixes the gap between IT technology and the strategic goals of an
organisation. IT leaders collaborate with a business plan to develop the IT strategy. It makes the group of
people for making short term and long term objectives of budget projections.
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Major challenges facing business
While launching of new goods and services in the market, Business faces various issues and
challenges. A business needs to adopt new technologies for the expansion in the competitive
market (Coad, 2014). The investment in technology helps in the growth and development of
business in the market. There are a few major challenges faced by the business given below:
Uncertainty about the future – The main challenge arises in business is a risk. It is important in
business to take the risk. The need and demand of customer can change according to time. The
change in customer’s taste, preference and behavior will change in demand which causes heavy
loss to business. It is essential to analyses the business risk before introducing a new product in
the market.
Financial Management – It is important for every business to take a record of cash flow,
profits, margins and reducing cost, etc. Small and medium business requires CFO to manage the
financial record. It helps to keep a record of all data for proper financial planning of the business.
Monitoring performance – It is essential to monitor the activities of business. For the growth
and development of business, the monitoring of business requires. It analyses the strengths and
weakness of business. It helps in better decision making of business.
Regulation and compliance – As market and technologies changes according to time, its effects
on changing rules and regulations of business. It focuses on complexities to solve the issue arises
in business.
Competencies and recruiting the right talent – It is the basic requirement of business to hire
talented employees for an organisation. Human resource management feels difficulties to find a
potential and capable employee for an organistaion. Workers need to wise the investment for
business.
Technology – Technology changes partially and company requires innovation to attract
customer. Implementation of technology requires a lot of investment. It includes app
development; cloud computing and particular app. Technology plays a significant in the
development of business.
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Exploding Data – It records the important data of a company which helps to manage the
business. It is necessary to keep data safe. The qualified professional requires for keeping data of
business.
Maintaining reputation – Every business wants to maintain its goodwill in market. Nowadays,
companies are investing a lot of money in adverting and promotion (Cooke, et. al., 2014).
Business promotes its goods and services on online platform to maintain a good reputation and
catch the attention of the public. It also requires in case of the third party.
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Recent scenario of IS/IT for organisation
Information technology plays an important role in the development and growth of business. This
helps to improve the productivity and quality of production. Information technology is essential
for the economic growth. Information technology makes software supply programs. This helps to
create a proper record of data of business (Dutta, 2014). IT sector helps to establish the area f
satellite-based communication wireless. It created the software which is useful in BPOs, Banks,
education and communication sector. The current scenario of information technology is reviving
and brisk. Information technology is useful in various sectors. It includes farming, education,
communication, travel, banking, and weather environment. Firstly it is the requirement of
professional and education but now it becomes the basic necessity of business. It uses in filling
in school & college forms online, booking railway tickets, booking of air tickets and depositing
of money for the future. Information technology is visible and helps in emerging in the world. It
also resolves the problem of unemployment. It provides job opportunities for unemployed
people. Technology is rapidly increasing in the field of education and research. For information
technology, many institution and colleges offer different computer courses such a computer
engineering, computer management, and computer application. It holders are also is a huge
demand. They can get a job easily because it is the basic requirement of the market.
IT department helps in current business for implementing the new technology. Customers are
attracted with new technology. It department ensures the higher productivity, improve
production with quality and establishing new business models. Small business is collaborating
with big businesses to take advantage of new improved technology. It helps to access the new
technology and creative business models. Technology is rapidly moving to developing
companies. It accesses all the resources and the creativity of business model. Information
technology uses devices computer, storage, networking, and physical devices to create, secure
and process all the information electronically. IT department includes hardware, physical
equipment, management and operation system to perform important function of business. IT
domain includes user devices, laptops, software, and smartphones. IT department helps business
by providing transactional system, SQL system, email server and order entry for web servers,
exchange, enterprise resource planning and customer relationship management. Business
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network helps to contact with clients.it helps to store the data which is helpful for future use
(Korican, et. al., 2014). The information technology is extreme diverse.
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Role of IS/IT in contemporary environment
Digital age is getting success through innovation. It requires doing something different, quality
or productivity and positive difference in terms of value. Technology provides benefits of digital
marketing, online shopping, digital communication, social networking, cloud computing and
digital marketing. IT department assists in effective marketing, business planning, systematic
management, global sale, instant computer support and real time monitoring (Namada, 2018).
Marketing and Business Growth – The success of business depends on fulfilling the needs and
wants of consumers. Marketing includes various activities such as advertising, promotion, and
public relation. By the help of marketing customer can reach to its target customers. Digital
marketing helps to promote goods and services on online platform.
Resource Management and Globalisation – Resource management is essential for the
development of business. Larger and medium both types of organisation manage the resources of
organisation manually. Human resource and financial resource are the tangible resource.
Information technology helps to solve the complex problems of the business. By the help of
technology managers of an organisation can manage resources virtually. It controls by the use of
smartphone, laptops, and computer. Information technology helps to attain the long term goals of
the business. It helps to apply the innovative approach in business. Employing right IT
professionals helps to take the right decision at the right time (Xue, et. al., 2014). It solution
helps to improve the productivity, effectiveness and efficiency of business.
Customer Support and satisfaction – Customer satisfaction is essential for every business plan.
The development of business depends on trends, behavior and needs of customer. It is necessary
to analyses the needs and wants of customer. It is responsibility of business to maintain effective
communication between customers and business managers. By the help of Internet, business can
connect with mass number of audience to buy its goods and services.
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Management IS for managing and controlling organisation system
Control is one of the important managerial functions. Control helps in checking the errors and
taking the corrective actions for it. Earlier the activity of control is used to detect errors. The
process of control includes setting standards, measuring performance, comparing with actual and
standard performance and take corrective actions (Polyhart, et. al., 2014). Control helps to check
the standard performance by comparing with actual performance. It also takes corrective
measures for the error arises in actual work. It helps to ensure the satisfactory and progress in the
work of an organisation. Control enables the plan, procedures and instructions are properly
followed. It is the way to achieve the long term objectives of an organisation. Control is the
function which helps to achieve the goals of an organisation. Control system directly maintains
the harmony with the operating system. The degree of operating depends on the nature of
objectives and operating system. Stability is the capability of maintaining pattern for changes
occurs in an organisation. It is stated that planning and controlling is connected with each other.
Planning is the activity to achieve the goals and objectives of an organisation.
Controlling helps to formulate organisational strategy. It helps in designing the structure. It helps
in evaluation of personnel, selection and socilaisation. It is the continuous process of leadership
and motivation. Controlling is the continuous process. It is the part of management process.
Controlling is the forward-looking function. It is directly related to the function planning. It is
the tool for achieving the goals of an organisation (Brueller, et. al., 2018). Controlling helps to
measures the right of operating system. Control helps to identify the errors to rectify it for future.
The quality control system helps to check the quality. It also visually checks the quality of
manufactured product in an organisation.
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