Table of Contents
Different types of systems in organizations.
Operational – Level Systems.
Management – Level Systems.
Strategic – Level Systems.
In the report, the statement “some systems types are more important than other for certain managers” has been evaluated. Managers that apply such system in their operations play a little role in developing such systems and at the same time, people who develop such systems have little knowledge with regard to their usage. A single system cannot provide all the information needed by different managers at different levels.
Recent advancements made in computer-based information systems have directed a wide range of systems that can be used by the managers at different levels or operations to undertake effective decision-making process. These systems are being developed from scrap to serve particular purpose and differ from set electronic data processing systems (Pearlson et al. 2019). Managers play a little role in developing such systems and at the same time, people who develop such systems have little knowledge with regard to their usage. Success and failure of a specific system depends on the extent to which managers are able to apply the system to raise their efficiency and effectiveness in organizations.
Various systems are used by different level of managersbased on their interests, levels and specialities in the organization. A single system cannot provide all the information needed by different managers. The whole organization can be separated into management, operations and strategic level and into 4 key functional areas, namely, manufacturing, marketing, finance and human resources.
These systems help operational managers to keep a track of all the production and manufacturing activities such as flow of materials, credit decisions, etc. (Wang et al. 2018). For example: operational level system may include a shop floor information system to help production foremen to enhance yield percentage on recently developed 40 stage process for the production of micro-circuits. In this system, the operators will submit their daily piecework reports comprising of release date, yield, identity of the person who done the specific work and various other information. The foremen may then combine this information into a meaningful data by operator, machine, operations, etc. Thus, there are number of ways in which the managers can use this system. They can examine the flow of work, find out the yield problems, identify the operators who are performing above or below standards, etc.
These systems assist the managers to monitor, regulate and undertake effective decision-making process and other important activities of the middle level managers. The purpose of such system is to check whether the things are going in the right direction and offer periodic reports instead of immediate information based on operations. For instance, a business organization may install a system that will relate the level of promotions, advertising, pricing with the level of sales of a particular product in order to effectively undertake repetitive marketing decisions (Gonzalez-Rojas and Ochoa-Venegas 2017). This model must be established in a team setting by merging an analysis of product information with subjective feelings of individuals concerning the influence on sales of different levels and types of promotional activities and advertising actions. This model is best suitable for marketing manager as compared to other operating managers.
These systems basically meant for the top-level managers to tackle and report long term movements and various strategic matters faced within the organization and the external environment. The major purpose of such system is to cope up with the changes in the external environment by raising the organizational capabilities (Sun et al. 2017). For example: A system that will ensure the long-term industry profitability and cost drifts, employment levels in 5 years and the type of products and services, the firm should manufacture and offer to the customers, etc. comes under this category.
Information systems assist major business functions also like sales and marketing, finance and accounting, manufacturing and production and human resources (Romero and Vernadat 2016). For particular functional area, an organization has management, operational and strategic level system. For example: the functional area of sales has sales system at the operational level to keep a record of daily sales statistics and to process daily orders. A management-level system will keep a look on such sales figures and report the mangers whether sales are exceeding or falling below the standards. The strategic level system will forecast the sale trends over a period of 5 years.
It can be concluded that some types of systems are essential than others for managers. An online, shop floor information system helps production foremen to enhance yield percentage on recently developed 40 stage process for the production of micro-circuits. Management level systems assist the managers to monitor, regulate and undertake effective decision-making process and other important activities of the middle level managers. Strategic level systems system basically meant for the top-level managers to tackle and report long term movements and various strategic problems faced in the organization and the external environment.
González-Rojas, O. and Ochoa-Venegas, L. 2017. A decision model and system for planning and adapting the configuration of enterprise information systems. Computers in Industry, 92, pp.161-177.
Pearlson, K.E., Saunders, C.S. and Galletta, D.F., 2019. Managing and using information systems: A strategic approach. John Wiley & Sons.
Romero, D. and Vernadat, F., 2016. Enterprise information systems state of the art: Past, present and future trends. Computers in Industry, 79, pp.3-13.
Sun, Z., Strang, K. and Firmin, S., 2017. Business analytics-based enterprise information systems. Journal of Computer Information Systems, 57(2), pp.169-178.
Wang, J., Zhang, W., Shi, Y., Duan, S. and Liu, J., 2018. Industrial big data analytics: challenges, methodologies, and applications. arXiv preprint arXiv:1807.01016.
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