Information System Strategy for Security Services Limited

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BUSINESS INFORMATION
SYSTEMS
Student Name
Roll Number#

Contents
Introduction................................................................................................................................2
1. Identification of current value of information system of SSL and analyze the future need
for investment in information system........................................................................................2
2. Developing a coherent information system strategy for SSL which will be beneficial for
SSL operations...........................................................................................................................5
3. Business Process Reengineering in accordance to SSL information system......................7
4. Current information system support level in SSL and future recommendations for
information system.....................................................................................................................8
Conclusion..................................................................................................................................9
References................................................................................................................................10
List of Figures
Figure 1 SSL business processes................................................................................................2
Figure 2 IS portfolio of SSL.......................................................................................................4
Figure 3 Michael Porter five competitive forces........................................................................5
List of Tables
Table 1 SSL business processes, their activities and initial evaluation.....................................3
Table 2 Overall assessment of business processes.....................................................................3
Table 3 Importance of Information System...............................................................................4

Introduction
Security Services Limited (SSL) is a UK based private security services providers. Their
headquarters located in Milton Keynes, Buckinghamshire. The ratio of profit while providing
services remained steady during the three successive years. It is also a distinct feature of SSL
that it provides the services from individual level to company level. This company has a IS
system, but the matter of serious concern is that this company doesn’t have a powerful IS
system. SSL provide four services to their customers. These four services are:
 Private Transport Service – SSL provide armored transportation service for transfer
of substantial cash from business to bank or vice versa.
 Business Security Service – SSL provide surveillance installation at workplace as
well as security guards for business premises.
 Domestic Security Service – SSL analyze the need of security at domestic location
and suggest installation of appropriate devices for security.
 Home Office Service – SSL provide transportation security for prisoner’s
transportation from jail to court or jail to jail.
1. Identification of current value of information system of SSL and analyze the future need
for investment in information system.
Security Services Limited (SSL) is a private security provider in UK. They provide four
different type of services shown in figure 1. They have information system to manage their
services around the UK. To analyze the value of SSL IS portfolio, a Bedell’s method
(Schuurman, Berghout, & Powell, 2008) is use for evaluation. For that purpose, first identify
the importance of business process of SSL (Table 1).

Figure 1 SSL business processes
These four business processes importance determined for evaluation as PTD 9, BSD 10, DSD
7, and HOSD 8.
Table 1 SSL business processes, their activities and initial evaluation
Business
Process
Activity IAB ESA ESB
Private
Transport
Service
Sales 8 8 64
Marketing 6 7 42
IT 9 9 81
Business
Security
Service
Sales 10 8 80
Marketing 8 6 48
IT 10 9 90
Domestic
Security
Service
Sales 6 7 42
Marketing 5 5 25
IT 0 0 0
Home Office
Services
Service
Sales 7 8 56
Marketing 8 6 48
IT 10 8 80
In table 1, SSL business processes and their activities evaluated according to business
operation. Where column IAB evaluate activities important to business processes. ESA
evaluate the effectiveness of activities and column ESB evaluate total effectiveness of
activities to business. Where ESB calculated by multiplying IAB and ESA column. Next,
assessed all business processes EIB calculated by dividing the sum of ESB by the sum of IAB
(Table 2).

Table 2 Overall assessment of business processes
Business Process Sum of IAB Sum of ESB EIB
Private Transport
Service
23 187 8.13
Business Security
Service
28 218 7.78
Domestic Security
Service
11 67 6.09
Home Office
Services
25 184 7.36
Next calculate the system effect to organization (ESO), which carried out multiplying ESB
score with initially determined business process importance value. For instance, initial
importance value of PTD is 9 which multiply with its ESB and resultant score be 1683.
That’s how all ESO scores computed and overall sum of ESO is 5804. Whereas, total sum of
business important processes to organization is 764. From this activity current system
effectiveness (EIO) score is 7.59 (5804/764 = 7.59). After calculating current effectiveness of
system, the importance of information system (IIB) can be determined. For this purpose
initial importance values multiple with IIB which result in providing focus factor (FF) to
determine future investment. The process of determining importance information system
shown in table 3.
Table 3 Importance of Information System
Business Process Initial Importance IIB FF
Private Transport
Service
9 10 90
Business Security
Service
10 10 100
Domestic Security
Service
7 7 49
Home Office
Services
8 10 80
To assess the information system current importance to organization, sum of initial
importance weight divided with sum of focus factor. Thus, the current information system
importance is 9.38 (319/34 = 9.38). To invest in in information systems, organization
consider the measures of organizational importance which is 9.38 and efficiency (EIO) which
7.59. The organizational importance indicate the information systems support level to
organization. Where EIO indicate the current support level of information system to
organization. From both indicators, it is suggested to invest selectively in business processes

to boost operation of SSL. The figure 2 illustrate the need of future investment in information
system.
Figure 2 IS portfolio of SSL
2. Developing a coherent information system strategy for SSL which will be beneficial for
SSL operations.
Due to no coherent IS strategy which cause declining in the efficiency of the organization.
One of the major reasons for not having a coherent IS strategy is that the organization is
expanded with the passage of time and new division was included when needed.
Organizations operate on the different elements that influence competitive environment.
That’s how SSL operations are in order but there is lack of coherent IS strategy in their
operation. For that purpose, a Michael Porter Five Competitive Force (Pearlson & Saunders,
2010) will discuss and find out how it will beneficial to SSL operations. Michael Porter five
competitive forces (Figure 3), induces competitive environment in to organization. Now one
by one five competitive forces will be discussed in perspective of information system.
Potential threat of new entrants:
Existing organizations in industry usually try to build barrier for new entrants in marketplace.
These barriers help organization to build stronghold in market. In perspective of information
system, an infrastructure of information system can be develop that connect sales agent with
complete information about customers and products. That’s how an organization can build a
barrier for new entrant because it has compete with existing IS infrastructure use in industry.

Figure 3 Michael Porter five competitive forces
Bargaining power of buyers:
Using information system, a switching cost mechanism can be developed to attract customer.
Switching cost mechanism tend to decrease customer interest to buy a service from
competitors. Switch cost mechanism requires deep understanding of customer buying pattern
of services or products.
Bargaining power of suppliers:
Suppliers bargaining power reduces the organization profitability. In sense when there are
few suppliers from which organization has to choose. For example, an organization sign
contract with bank to handle their transaction from customer to organization and vice versa.
Threat of substitute product:
Threat of product substitution in market determine by willingness of buyers to purchase
product substitute. With help of information system an extended form of service provide to
customer to make him stop from buying substitute product.
Industry competitors:
When there is bigger competitor in market than it is necessary for organization to take such
steps to sustain its existence in market. For instance, bigger competitor established a
standalone IS infrastructure to support their own organization. Whereas, smaller organization

can established joint venture IS infrastructure that will provide better services to their
customers than bigger competitor.
Michael Porter five competitive forces provide identification of key forces that affect the
competition and recognizing the IS influence in organization operations. These five forces
drive strategy of business and strategy of information system. This competitive forces offers a
method to use information system to develop economical advantage for an organization.

3. Business Process Reengineering in accordance to SSL information system.
Earlier it is identified that how much value SSL obtain from it IS portfolio. Through analysis
it is concluded that there is need of selective invest in company-wide perspective. In selective
mode of investment there is need identify divisional weaknesses of information system. The
current IS portfolio covers information system requirement division wise operation of SSL.
The SSL business process PTD, BSD, and HOSD have their own IS portfolio at their
operational offices. But SSL business process DSD does not have any IS portfolio so, there is
need to invest in this division to boost its operational capabilities.
The methodology of Business Process Re-engineering (BPR) is to allow organization to
enhance its productivity. The process of BPR is to rethink and break down current business
processes. BPR consist of seven steps and one of the step is integration of information
processing to produce work related information. Information technology is a critical
component ensuring the successful implementation of BPR (Sarada & Patnaik, 2007). There
several modern tools which can be used to improve efficiency and effectiveness of
organization. Some of the tools are discussed below.
Database management systems:
Database management systems developed using variety of programming languages. These
system enable data management built and changed easily. These system can meet the
changing pace of business competitive environment. These system can provide accurate
information, up-date customer information and provide consist information across system.
Data Warehousing:
Data warehousing is a method which archive information from different sources and store at
single place. Long time stored data allow organization to have access to historical data of
organization.
Data Mining:
Data mining techniques provides organization a hidden patterns from stored data in data
warehouse. It also help organization to plan right strategy for business operation.
These are some of the information technology tools that ensure successful implementation of
information technology in a business using BPR. That’s implementation of BPR for business
is beneficial in regard to information system. Using these tools of information technology
will enhance the decision making capabilities of organization.

4. Current information system support level in SSL and future recommendations for
information system.
SSL consisted of four divisions known as division of private transport, division of business
security, division of domestic security, and division of home office services. These divisions
have standalone information systems except domestic security division. The private transport
division have network of three PC’s, which operate following applications, 1) Financial
ledgers; 2) Route Planning; and 3) Duty rostering. The business security division uses PC-
based financial ledgers to record their financial and procurement activities. These financial
records communicated with head office on hard copy because financial ledger of this division
incompatible with head office system. Domestic security division does not have IS portfolio.
Home office services division have IBM AS/400 minicomputer which operates financial
ledgers and also operate budgeting & costing software. From SSL case it is concluded that
company have old fashioned IS in company. It is suggested that SSL have centralized IS for
better productivity of company. Centralized information system eliminate the compatibility
issues of financial ledgers with other divisions. It will be easy for headquarters to monitor the
progress of their four divisions. It will ensure the better security of selected routes for
transportations as they have been oversee by officers at headquarters. Centralized information
system also help SSL to make future plan using IT tools.

Conclusion
It is pertinent that SSL is a private security service provider based in UK. It provide four
services to their customers namely, private transport service; business security service;
domestic security service; and home office security services. Except domestic security
services, other three services have their standalone information systems to manage their
operations. Their information system usually manage their financial ledgers where they
record sale and purchase of operation. Some of their information system have compatibility
issues with headquarters system. These issue lead to lack of coherent information system
strategy. In this report, it is suggested that use Michael Porter five point competitive forces
will enhance their productivity. Additionally, Business Process Reengineering tool maximize
usability of information system by using information technology tools. These tools provide
coherent management for recording data/information for future use. This archived data help
SSL to plan future services. For coherent information system, it is also suggested that SSL
have centralized information system to monitor overall operation. It will also eliminate the
compatibility issues.

References
Pearlson, K., & Saunders, C. (2010). Chapter 2: Strategic Use of Information Resources. In
K. E. Pearlson, & C. S. Saunders, Managing and Using Information Systems: A
Strategic Approach (pp. 22-47). John Wiley & Sons, INC.
Sarada, B., & Patnaik, S. (2007). Business Process Reengineering: An Overview. In B.
Sarada, & S. Patnaik, Process re engineering of coal management using information
technology tools. http://hdl.handle.net/10603/187145.
Schuurman, P., Berghout, E., & Powell, P. (2008). Calculating the importance of information
systems: The method of Bedell revisited. Centre for IT Econonmics.