Management information systems (MIS) in 2 distinctly different organizations

MIS is used by a variety of organizations and businesses in today’s technologically advanced environment. Transpacific Software PVT ITD (TPS) and Amazon.com are two examples of these companies. TPS and Amazon employ comparative MIS to ensure that focal points are met successfully. As a result, MIS is used to organize as well as aid managers in understanding what is going on in their departments and making optimal use of their resources (Ramey, 2012). TPS and Amazon both use MIS to provide reports for topics like production, revenue, and sales. Managers are able to obtain these reports on regular intervals. Hence, they are able to understand the performance level of the company.

While TPS uses MIS as a means to know how its products should be improved in the market in order to achieve a competitive advantage, Amazon focuses on using MIS as a strategy of increasing sales and attracting customers from different market segments. Amazon also uses this system as a way of knowing how the customers can be increased and ensures that there is a satisfaction on the quality of services, which they receive from the firm. Such is because this firm acts as a great market place where services of selling different products are utilized. Hence, MIS assists in ensuring that these services are of high quality and reliable to customers. It also contributes in improving the efficiency and effectiveness of service delivery in society. TPS uses MIS as a strategy of quality improvement on its products, as well as increasing its clientele base in the market. This is because the products from TPS tend to utilize different techniques and technologies in the distribution and manufacturing process.

Compare each organization’s use of information systems to help manage internal operations and to make decisions.

In organizations, managers are hired to ensure that effective decisions are made. This includes offering efficient performance in achieving the objectives and goals of the company. As such, TPS and Amazon managers rely on informal and formal communication channels in organizations as means of obtaining data, which acts as the basis of making various decisions in the firm. An effective MIS is able to support these managers in engaging in performance appraisals, resource allocation, operations research, evaluation, supervision, and monitoring. Therefore, it is the task of the managers in these companies to engage in data collection and analysis so that the right decisions are made. TPS and Amazon have an MIS, which exists as a system, process or set that the firms use to collect and store information and data in an organized manner.

Information systems assist Amazon in designing the effective structure, which should be followed in order to achieve success in the marketing services of different products (Amazon, 2017). Hence, the managers in this company rely on data from different information systems in order to make decisions, which are related to the internal controls and processes of the company. It is these information systems, which also help the firm in achieving a high competitive advantage in the market place. On other hand, TPS uses information systems as a strategy to gather and store data on software development. Thus, it becomes easier for the managers to comprehend the level of innovation and technological development in the products, which the company is producing for the market environment.

Assess how these two organizations use information technology for competitive advantage.

Information Technology is widely used as a means achieving competitive advantage in the companies. Both firms have embarked on using IT as a means of advertising their products across the globe. This is aimed at increasing the customer base of the firms in order to improve on the revenue growth. The firms have focused on using the Internet as the main platform for marketing their products and services. Hence, these companies have embarked on using different strategies and measures, which include social media campaigns whose focus is to drive their growth and expansion within their market environment (TPS, 2017). Moreover, TPS and Amazon use information technology as a channel of communicating with potential customers within their market environment on how to achieve the desired success.

Amazon has created an online platform where users can shop and pay for items through the Internet. The company has leveraged on IT development to ensure that users of its services have a great experience, which leads to their satisfaction and returning to obtain more services from the company (Sills, 2017). The firm also enjoys the growth in the use of credit cards among customers. Hence, Amazon has used IT to establish an online based transaction system, which ensures that customers from different geographical backgrounds can transact safely and get the items they need. In addition, IT has contributed in the expansion of the firm. Consequently, Amazon has great shipping prowess, which makes it to have a strong competitive advantage because of its global presence and ability to offer different services in the market environment.

TPS uses IT has a means of developing its products to ensure that they are unique in the market environment. Therefore, the firm has embraced new innovations and developments in IT as a means of ensuring that its products have cutting edge in the market environment. The company has also established a customer interaction interface, which enables the employees from the firm to respond to queries, which customers may have with regard to the service functionality of the firm (Porter, 1979). Further, IT supports the initiation and execution of different projects for the company. As such, outbound logistics have contributed in enhancing the sales and marketing volume of the company while pushing for new applications, which ensure that the firm remains committed in offering the best software in the market environment.

In both firms, IT has changed the industry structure where the companies operate. As such, competition rules have changed and new ways have emerged, which assists these companies in outperforming their rivals in the same market environment. Further, a new business is established in the existing operations of the company. This is because the process of product creation in the firm is altered by IT. This includes the procedure, which these companies embrace as a means of value creation among the potential buyers in the market environment. Value chain and value activities in these firms are also enhanced to achieve the desired growth and success in the market environment.

Appraise the individual and organizational consequences of the use of information technology, and recognize potential security breaches and computer crimes.

The use of information technology in Amazon has supported the company in having a clear focus for the business, having cost leadership, and achieving differentiation. As such, the company has established a great link between consumers and suppliers, which has contributed in the attainment of business success in the competitive market environment. Nevertheless, this firm is vulnerable to the issue of computer crimes and security breaches (Bidgoli, 2010). This is because the business transactions of the company are carried out online, which creates room for hackers and other people with malicious acts to focus on destroying or stealing the business from the company. Such an action could result into the loss of revenue, damaging the brand and reputation of the company, and creating a potential liability of losing productivity.

TPS prides itself in the use of information technology as a means of enhancing product development. This includes reducing the cost of services and products, which make the company, attain competitive advantage in the market environment. The firm has also used technology for designing, as well as closing the gap between the technical and business people in the firm. Nevertheless, the company is at the security breach of having hackers who could still very vital data and information on the manufacturing process of the firm products. The outcome of this is the loss of business secrecy of the firm in manufacturing new products in society. In addition, the individuals that still the data and information may engage in the manufacturing of similar products, which would result in killing the business success and activities of this company.

References

Amazon. (2017). Amazon. Retrieved from: https://www.amazon.com/

Bidgoli, H. (2010). Management Information Systems. Course Technology/Cengage Learning,

Mason, OH, 2010

Porter, M. (1979). “How Competitive Forces Shape Strategy,” Harvard Business Review. [2]

Ramey, K. (2012). Use of information technology in competitive advantage. Retrieved from:

http://www.useoftechnology.com/information-technology-competitive-advantage/

Sills, A. (2017). Protect your business from a data security breach. Retrieved from:

http://www.businessknowhow.com/technology/datasecurity.htm

TPS. (2017). Transpacific software PVT LTD. Retrieved from: https://www.transpacific-software.com/contacts.html