Establishing Information System - Essay Example

Running Head: ESTABLISHING INFORMATION SYSTEMS Assignment Establishing Information Systems XXXXXXX Number: XXXXXX University of XXXXXX The role of Information systems in For – Your – Comfort (FYC) is very high. This I feel is inappropriate to a great extent as Kevin, has been concentrating on improving the production process alone without taking into consideration the inventories, budgets and even the manual roll – out of the products. In order to create a more efficient process, it would be more effective and efficient if the company recorded the raw materials when it enters the premises.

The budget can also be calculated using the production plan and this will lead to an easier mode of access to the information of the inventories in the system for Kevin (Sanders, 1982). It also essential to note that the Information systems along with the production plan will help Kevin reduce the inventories and will also lead to more effective use of the raw materials which will thereby lead to more reduced costs in terms of the variable and the fixed costs as well. Considering the other departments of the company, it is seen that the company should use the information systems in the sales department as well.

One of the best examples is to develop an ecommerce website, where orders can be made and payments can be received within a click of a button. The company can also incorporate a system where all the processes are automated and the information of the order can be passed on to the shipping department which should go on to ship the order immediately using a courier service. This will be very effective mode of reducing the cost of the orders and will also lead to higher levels of sales as well, as the need for online order placing is now increasing with a higher number of people needing online stores.

It is also essential to note that Dan the head of sales, is not very comfortable with the use of technology which makes the process less effective and the entire process equal to inefficient. The process that is being followed currently involves the use of the new PCs which takes the company as many as ten days to process the order. The time period is very high and is very ineffective and can lead to loss of customers. There is also a lacking link for the website which allows the customers to opt for speed deliveries of the orders.

The new PCs and the servers that have been bought for the company are also considered to be highly ineffective and inefficient as the lagging time for the delivery. Also in terms of the other parts of the process, it is seen that there is no way to deal with the wholesale customers and the arrogance and unwillingness on the part of Dan leads to high levels of interruptions with the processes and the overall effectiveness of the processes. Considering all of the factors, I feel it would be very effective to use the Information Systems in the organisation as it will assist the company reach its goals and will also reduce the costs that are incurred by the company, including the fixed, variable costs.

Also this will help increase the profitability of the company as well. The Information Systems needs to be implemented in the supply chain management of FYC as well, and the production and inventory control, as this will assist in better coordination of the 16 stores and will also assist in the speeding up of the orders and delivery processes as well. The information systems will also prove to be very effective and efficient if implemented into the strategy of the company. There is also a need for well trained and effective human resources as well, however considering the company at present, it is seen that Marc is good as a programmer however he is not information systems field at all.

The use of the Information Systems in the company will allow the company to offer competitive prices and still expect to make profits, which in turn mean reduced production costs, inventory costs and sales costs. The use of the information systems will also lead to reduced costs in terms of the administration, human resources and also the finances (Drejer, 2002). This in turn simply means that that company has greater efficiency in terms of the entire organisation as a whole. This will mean, better and faster communication, cost reduction across the organisation and higher levels of profits.

Considering the FYC Hierarchy structure, it is seen that the company has a very irregular and unbalanced organisation structure. The imbalance in terms of the structure leads the teams to be confused and leads to several mismatch among the teams as well. Considering the imbalance in the FYC structure, the company requires to correct this imbalance to reduce the costs and also become more profitable and move towards higher level of growth (Treqoe, 1983). References Drejer, A. (2002). Strategic management and core competencies: theory and application.

Westport: CT: Quorum Books. Sanders, P. (1982). Phenomenology: A new way of viewing organizational research. Academy of Management Review, 7(3) , 353-360. Treqoe, B. B. (1983). Top management strategy: what it is and how to make it work. New York: Simon & Schuster.