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Information Systems In Organisation

357 Downloads1 I Published: 05 Oct ,2019

Introduction

This report will discuss the information systems within B&M, which is a now leading variety retailer’s in the UK. They are having their stores in England, Scotland, Wales as well as Northern Ireland. The company highly believes in selling top branded products of different category i.e. groceries, clothes, toiletries and furniture in order to attract high number of customers.

The company also employed 20,000 staff workers who currently work in different branches across the UK, and they also have their own security systems running at the moment in every store. B&M sells branched products which have attracted over 2.5 millions of customers. “B&M has stores throughout England, Scotland, Wales and Northern Ireland” (B&M, 2015). The current system of I.T and I.S is mostly vital to understand which B&M store meets the needs of customers. I will mention all this in my report and I will talk more about the system and how to improve the system in B&M branches.

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TASK 1

1.1 Information needs of the different functional areas of an organization

Different functions of the organisation should be performed by different sections, for example accounting section separate, marketing separate, manufacturing, separate administration etc. According to location, these items should be preferred which has more demand and sufficient supply arrange to fulfil the proper requirements of the customers. Substitute conditions should be prepared to run the unit accurately (Dictionary, 2010). There are various Functional areas of an organization B&M such as:

Typical areas

Many companies base their organisational structures on various functional areas, creating departments around these functions and assigning responsibilities according to employees' job titles and experience. Functional organisational structure employees by various skills and expertise, leading to greater efficiency, according to the online Encyclopedia of Management. There are several key types of functional areas takes place in the business environment of B&M stores. These structures are as follows:

Human Resources

The human resources are separate departments in any organisation and they are responsible for the hiring workers to make sure that every worker get proper training to work in any company, and so they can perform their job best (Maier, 2007). To fill out proper paper work, human-resources directors or managers have employees; they also have employees to see how much is deducted from each pay check to determine the eligibility verification forms, and to ensure that recently hired workers can legally work in the country. In the industry, for all the employees there are pay scales created, basing salaries on comparable compensation packages.

Marketing

Marketing professionals limit the products that their companies introduce to the marketplace, often using marketing research surveys to determine what consumers require. This helps the company to better align its strategies. Marketing workers help to launch prices for products, based on manufacturing costs. Marketing managers and directors decide which types of advertising and promotions their companies use (Shah and Shin, 2007). Some marketing departments have advertising directors or managers who handle these functions; they establish budgets for various types of advertising, such as television, radio and Internet ads, and track the results. The marketing department determines the right distribution channels for the company's products. For example, a consumer products company may sell its products in grocery stores and mass-merchandise outlets.

Accounting

Accounting professionals usually work in one of three areas: accounts receivable, accounts payable and payroll. Accounts-receivable specialists track the debts owed to the company. For example, customers who purchase items from the different retail stores of B&M go for its billing section. Accounts department of the company is highly responsible for managing all their details of day to day activities related to their sales and profit. Buy assignments

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TASK 2

2.1 Different types of information systems

Information system plays a most important role in the successful business operation within any organization. It also helps in making appropriate decision by collecting and processing data as per the need to analysts (Courtney and et.al, 2010). There are various types of Information systems such as:

TPS (Transaction processing system): It is considered as a most effective system which helps in data collection from user inputs and then generating outputs on the basis of this. It can be easily described by the example of online air ticket booking system in which traveller select their flight schedule and seats as input and then system updates the seats available list as their processing section (Motro and Smets, 2012). Further, the system will generate the bill and copy of their ticket at last as their part of output. This information system is known as real time processing system and helps organizations to meet out with their demands.

CRM (Customer Relationship management): It is known as a system which is use to synchronize sales and marketing efforts. It is used by most of the companies nowadays in order to track the record of all their customers as well as their activities (Rob and Coronel, 2007). B&M is the leading retailers and they can use this system in order to track the records of their customers and also interact with their business partners. In addition to this, B&M Company can easily interact with their customer’s about their purchasing trends, product defects as well as any query related to their services.

BIS (Business Intelligence system): It is widely used by firms nowadays in order to forecast their future sales patterns as well as forecasting their sales revenues. It is widely used by various financial institutions to develop credit risks as well as analyse the number of extent of lending.
Knowledge management system: It is another most effective information system used by various organizations in order to divide knowledge with every individual of an organization (Holtshouse, 2013). One of the major purposes of this Information system is to bring innovation and it is widely used by the IT industries.

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2.2 Current trends in using information systems applications to solve business problems

Within this increasing competitive advantage it has been founded that there are various latest trends within the field of information systems used by most of the organization. With the help of adopting current trends and firms can easily resolve their business problems. As B&M is growing discount retailer of UK and offers wide range of FMCG brands and non-grocery products at seasonal prices. Here, they just want to provide fun and exciting shopping experience to their customers (Brodie and Mylopoulos, 2012). For this, the management has decided to incorporate management information system as well as customer relationship management system within their fir.

With the help of MIS they can make control on overall business information. Further, there are some latest examples of software application comparing to the current on is:
Enterprise collaboration software: It is the current trend of Information system which deals with the needs of organizations. It helps in total support of different business operations. By the use of enterprise software customer relationship management or the financial process are being carried out of the B&M.

Database software: It can be define as a structure collection of data where firm can easily organize the data and enable the database users to go through the appropriate database operations (Galliers and Leidner, 2014). With the help of this employees of B&M can easily store and retrieve any type of information.
Mobile Application: B&M can maintain contact with their customers with the help of rapid development of their mobile application. Through this, several discount offers are also provided to them which help in maintaining better relationship with customers.

Information Worker Software: There are different types of tools used by B&M in order to manage appropriate business operations. Under this, different tools can be used by them such as documentation tools, resource management tools and personal management systems.

Further, from the above whole discussion current use of IT and IS within the B&M can be easily explained (Shah and Shin, 2007). By using different database software’s and enterprise collaboration system software’s they are able to take effective decisions for their firm by keeping track of all the records of their generated revenues, products as well as customers.

2.3 Suitability of information systems for different functional areas of an organization

There are different department of the organization as discussed above can use different Information systems such as:

Human resource: This is considered as a most important functional area which is mainly used for the purpose of recruitment, training as well as pay negotiation of workers. For this section, HRMS system can be used by B&M (Motro and Smets, 2012). It is known as a human resource management system through which they can easily track the records of employees such as their histories, abilities, salaries etc. In addition to this, information which can be maintained by HR department of B&M is related to the performance evaluation, payroll, attendance records etc. Further, it can be stated that HRMS is one of the most suitable Information system for B&M.

Marketing: Workers of this department is highly responsible for better advertising and promotions for their company’s products and services. They are the leading retailers and want to gain the top most positions within the retail sectors of UK (Mcleod, 2008). For this purpose, one of the best suitable Information system is MIS (Marketing Information system) through which they can they can bring together different kind of data and procedures. It also enables the manager of B&M to work together virtually and collaborate with customers effectively.

Accounting: It is another most important section of B&M in order to maintain their overall record of daily purchase and future sales forecast as well. It also provides a detail record of money and also prepares accounts as a basis for financial decisions. An information system which is the most suitable for this department is Accounts Information System (AIS) and BIS (Business Information system). Through BIS, B&M Company can go through the future sales forecast. On the other hand, AIS helps in storing and processing financial accounting data by decision makes (Wilson, 2002). It keeps track of all the accounting information and support all accounting functions and activities.

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TASK 3

3.1 Information system to generate valid, accurate and useful information for a given problem

Currently the organization is working within the business environment where they manage their entire customer’s information manually. B&M is the leading retailers of UK and they can serve high quality services to their customers by maintaining appropriate information.

Conclusion

From this study, it has been articulated that Information system plays a most important role in the decision making process of company. Here, B&M Company has taken into consideration which is having their different functional areas. All the departments can easily use Information systems as per their roles such as Human resource uses HRMS while marketing department might use MIS systems. In this concern, the whole study presented that B&M can easily generate valid, accurate and useful information by using Management information system as well as CRM systems.

References

  • Brodie, M. L. and Mylopoulos, J., 2012. On knowledge base management systems: integrating artificial intelligence and database technologies. Springer Science & Business Media.
  • Galliers, R. D. and Leidner, D. E., 2014. Strategic information management: challenges and strategies in managing information systems. Routledge.
  • Hasselbring, W., 2000. Information system integration. Communications of the ACM
  • Holtshouse, D. K., 2013. Information technology for knowledge management. Springer Science & Business Media.
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