Strategic Information Systems Analysis: Bell Studio Case Study Report

This case study analyzes the strategic information system of Bell Studio, covering various aspects like transactional cycles, including purchase, sales, payroll, financing, and expenditure cycles. It explores data flow diagrams and system flow diagrams for purchase, payroll, and cash disbursement systems. The analysis identifies weaknesses within these systems, such as manual data processes and potential for human error. Furthermore, the assignment discusses the risks associated with these weaknesses, including software and hardware failures, computer viruses, human error, and fraud. The study emphasizes the importance of an interoperable and consolidated information system to mitigate these risks and improve operational efficiency. The document provides a comprehensive overview of the information systems and their impact on business operations and decision-making.

STRATEGIC INFORMATION SYSTEM FOR BUSINESS AND ENTERPRISE 1
Strategic information system for business and enterprise:
Name:
Institution:
Course:
Date:

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Strategic information system for business and enterprise
Executive summary
In this paper, we shall discuss the strategic information system for the enterprise and for
the business by introducing the strategic information and information. We shall also
extend our discussion by discussing the data flow diagram for purchases, payroll, and
cash disbursements and well shall greatly be focused on the discussion the system flow
diagram for purchase system, payroll system, and disbursement systems. Lastly, we
shall discuss various risks associated with the weaknesses of the bell studio system in
the organization. The risks which we will discuss are a failure of software and hardware,
computer virus and malware, human error and frauds and lastly fraud, hacking and
denial to services. Also, we shall discuss various weaknesses associated bell studio
system. In this case, we shall discuss weaknesses for purchase system, payroll system,
and cash disbursements systems.

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Table of Contents
Introduction........................................................................................................................3
Transactional cycle............................................................................................................4
Purchase cycle...............................................................................................................5
Sales cycle.....................................................................................................................6
Payroll cycle...................................................................................................................6
Financing cycle...............................................................................................................7
Expenditure cycle...........................................................................................................8
Weaknesses in the Bell studio system..............................................................................9
Purchase system............................................................................................................9
Cash Disbursement system.........................................................................................10
Payroll system..............................................................................................................10
Risks associated with the weaknesses in the Bell Studio system..................................11
Hardware and software failure.....................................................................................11
Computer Viruses and Malware...................................................................................11
Human error.................................................................................................................12
Hacking, fraud, denial-of-service..................................................................................12
Conclusion.......................................................................................................................13
References.......................................................................................................................14

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Introduction
Strategic information system (SIS) is usually referred to information systems that are
advanced in reaction to organization business initiative. This system will help in
providing competitive advantages to all organization. The strategic information system
can also be defined as the process of categorizing various applications that can be
utilized to give a channel for configuration with various business strategies. Companies
all over the world have come to realize it is very crucial to evolve in technological
advancement so that their companies run smoothly. As technology is advancing then
there is the need for any business to adopt these new ways so that they can reach their
customers. The technology that is applied in various businesses should be
interoperable with existing systems and in this case, it should never impact the flow of
operation in the company.
Information is term as a crucial part of any company because most of the operations in
any organization greatly rely on the information. And as a result, most of the
organizations should come with the strategy of making sure that they fully utilize the use
of information. Distinct systems need to be joined together so that enough information
for decision making can be obtained. The information exists in the past days was not
meaningful since the information was not used in maximizing the profits in the company.
And currently, the information is well utilized in order for the company to maximize its
profits.
Strategic systems are very crucial for any organization that is intending to gain
competitive advantages, this is because technology can be utilized in developing the

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products and services of the company and also it can be advertising the products of the
company. In addition, it gives a step by step procedure of how the product in the
organization is being purchased. It mainly contributes to the database system which its
main aim is to utilize the company information in advertising and marketing of the
products. The strategic information system will make sure that what is carried out in the
business is going hand in hand with various strategies in the organization.
In Bell's studio, the strategic information system is always acquired from analyzing the
transactional cycle in the organization. Below is an elaborate discussion on
transactional cycle and ways in which it impacts the organization processes.
Transactional cycle
A transactional cycle is an interconnecting cycle that clearly discusses the step by step
procedures that are carried out in the business, this activity includes the financial
transactions of a company. In addition, these cycles are related to payments of
employees, sales of goods and payments of suppliers. Below are various transactional
cycles in any business
Purchase cycle
The purchasing system entails the process of identifying the need for inventory, order
placement, Inventory acquisition and identifying liability and any products which do not
suit the demand of the organization. The inventory control works by giving the buyer an
authority to purchase a given product. For instance, if the product which was to be
bought does not meet the needed standard then the product will be supplied back to the
suppliers before the real purchase occurs. This process occurs when the product is not
meeting the needed standard but if the quality of the product is standard then the

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purchasing order is prepared by using the computer. This purchase process will be
forwarded from one department to other until the last process is achieved.
A purchasing order is usually given by an organization to a supplier of goods. After the
goods have been received, the company records a given inventory of goods needed to
be paid and pays for the goods. For most organization goods can be verified after it has
been confirmed it meets the required standard. Below is the data flow diagram for
purchases cash flows system.
Data flow diagram

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System flow diagram
Sales cycle
This is a step by step procedure from the time the client placed an order for goods from
the company to the time they received goods after payment. The company will get an
order from the customers and they will check it and after checking they will send the
amount required for the products. This process is term as a recurring process since it
allows the exchange of goods and services for the money. The major function of the
sales cycle is to make sure that the correct pricing of the product is put in place at any
time. While creating the strategic information system, then management should make
sure the sales cycle in the system is effective and efficient. Most sales cycles possess
a finite process which includes placing an order, delivering the order and receipting it.
The sales order departments are the one who performs sales order entry. In entering
an order there are definite processes that it should be followed. Customers' orders are

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taken and being check. And the availability of the product is being checked and the
customer will receive feedback. As integrating this service into the online platform, then
customers are the one who is supposed to enter their details into the system, this tends
to reduce the human error.
Payroll cycle
This process occurs at the company and this involves their employees. The company
will check the number of hours in which the employees have worked in the company.
And the time is examined based on the full time and per time. The employees are then
paid according to total hours they have worked in full time and per time within the
company. The payment is usually paid after the advances and taxes have been
deducted. Below is the data flow diagram and system flow chart for payroll at Bell studio
system.
Data flow diagram
System flow chart for payroll system

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Cash Disbursement system
At bell studio system, the cash disbursement system is requires since it securely and
effectively deals with cash payments in the company. Account payable in the company
goes hand in hand with cash disbursements and all the transaction in the company is
done via accounts payables when cash payment is being made. For an effective cash
disbursement system then proper documentation should be done and all financial
disbursements should be recorded in company financial records. Below are system
flow diagram and data flow diagram for cash disbursement system.

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System flow diagram
Data flow diagram

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System flow diagram for Bell studio system.
Financing cycle
It is used to record transactions that are related to funds from the creditors and the
owners. This involves giving loans to customers and in addition the interest for loans
and repayment period. In addition, it involves giving out of company stocks and shares
to investors in exchange for payment of dividends over a given time. Moreover, it
involves using available capital in the organization in acquiring the assets for the
company. As demand increases its force the business owners into acquiring the loans,
the financial analysts have the work of knowing why the creditor needs loans and the
source of loans. Having such metrics will put them at a better position to build a
positional placement of a business in terms of policies and finances. In addition, it gives

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a clear amount of business working capital. As we know that the working capital is very
crucial for business operations when we are having great knowledge of the financial
cycle and it enables better decision making. The financial cycle is very crucial since
various business operations depend on finances.
Expenditure cycle
The expenditure cycle gives a clear review of monitoring the product to make sure that
the product reaches the required destination. In addition, it involves keeping records of
all the financial transactions of an organization. It integrates all the inventories and
journal that company records in the process of products from the suppliers. In order to
ensure transparency, most companies will not pay for the product until all payments
have been received. It is therefore very crucial to records every process involved in the
acquisition of the product. These processes include the request of the product, paying
up for the product and paying up for the product bought. In addition, this process can be
done digitally or manually by using the computer software and their objectives are to
reduce the cost of acquiring and maintaining inventories and other services for well-
functioning of the organization.