Information Systems Have Changed the Way We Collaborate and Work in Significant Ways
Introduction to Information System within an organization
Computers are continuously being used in organizations since the appearance of first ever application of this technological equipment that could be helpful in supporting organizational work. It is unavoidable in modern and up-to-date organizations where there is diversity in the organizational work and all related activities. In the early years, Information System was a relatively easy task that was easy to explain but with improvement in system and advancement in technology, it has become quite difficult to explain the functions and role of IS in the organizations. Information systems are playing a vital and expanding role in organizations (brien, 1975).
Information System was established on the basis of management, computer science and organizational theories. It also aimed to focus on the use of computer at personal level as well as in organizations. Information System plays a vital role as a field of inquiry. It is interested in using the available resources in promoting organizational aims, operations research, accounting and above all it emphases on the use of computers in society and organizations (Stahl, 2008). It is the study of corresponding network of hardware and software that is used by individuals, as well as organizations to collect, screen, process, produce and distribute data. In the past few decades, technological advancement has evolved drastically. It has performed several tasks such as giving the opportunity to connect and collaborate beyond borders. It has performed various task in global market such as increasing the pace of business, allowing far-reaching collaboration, flattening of the market, bringing innovation in business and changed the way to connect and sell to the clients (Cegielski & Rainer, 2007). It also plays a vital role in helping the managers and workers in analyzing the problems. On the whole, Information System tends to improve the efficiency and effectiveness of all businesses (brien, 1975).
Overall analysis of advantages of Information System
Over the past few decades, Information System has played a vital role in improving and revolutionizing the efficiency of business by mechanizing transactions and handling accounts. It has given rise to increased globalization, effective communication, improved cost effectiveness, helped in bridging the cultural gap and creation of employment opportunities (Power, 2005). On the contrary, IS reduces the need of human effort, although it has created employment opportunities but reduced the human need in an organization. The employment opportunities are created but the work done by ten people in the past is now being done by only two people. Hence human need is reduced (Power, 2009). Although this will increase cost efficiency of the organization but will negatively affect global job market.
Role of Information System in Organizations
Organizational system and information system are interlinked. Both influence and affect each other. Information System is built with the core purpose of serving the business firms positively. It is a complex system dependent on several factors such as organization's structure, business strategies, political circumstances, and culture and management decisions. It has become an important tool that affects every minute working of the bigger organizations. Over the past two three decades, Information Systems has altered the basic economics of the organization under which it used to operate all its functions previously. It has changed the cost of capital as well as cost of information. Information technology has greatly improved and mechanized the structure of the organizations that has in turn reduced manual work load ( Lecuit, 1999). This reduction in labor work has resulted in decline in middle managers and clerical workers. Two to three decades back, organization depended on labor for basic chores which are performed by computers these days. This has reduced the burden of hiring extra labor by the organizations and this in turn reduces the expenses of organizations, thus increasing profits. On the contrary, it creates unemployment.
Every organization is developed to excel in the market, to make huge profits and to gain competitive advantage over the other competitors in the market. Competitive advantage is referred to the strategic advantage that one business entity has over its rival entities within the industry (Sanchez & Heene, 2010). With the changing trends of the market, a firm can gain competitive advantage over other rivals only if it keeps on evolving itself with information system. The widening scope of information system is the result of increasing interdependence business plan, rules, and procedures on one side and Information Systems software, hardware, databases, and telecommunications. Secondly, evolvement of IS in organizations is the result of increased intricacy and opportunity of system projects and applications. Over the years, IS has gained an integral position in organizations because...
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