Information Systems Governance Structure - Research Paper Example

Information Systems Governance al Affiliation) A Review of Information Systems Governance Structure at the Company According to Irani, and Love, (2008), information systems governance is an emerging trend in this information era that has encompassed our day to day livelihoods with none more than the business sector. One organization that has greatly contributed to this phenomenon is the IBM Company with many of the world’s largest corporations reliant on their Information Management system on a daily basis.

Information systems governance refers to the regulation of information systems and its management set up by a company to meet its objectives. It is governed by the following principles; ensuring the smooth running of internal controls with a common objective set by the management, utilizing the resources of the company, making sure that the information systems are in compliance with the law, and ensuring that no existing structures are interfered with (Irani, & Love, 2008).Information system functions are classified broadly as:Transaction processing, Management processing, and Decision support (Khosrowpour, 2006).

Transaction processing functions include process transactions like making purchases, sales. IBM’s IMS system is used to process billions of transactions on a daily basis by 95% of the top Fortune 1000 companies. A record of direct transaction taking place, its report or an explanation coupled with a record for reference is imperative. The maintenance of master files is integral relating to storage of data pertaining to the organization coupled with production of reports. Management reporting is also a function that is used in the production of output for users.

The output is commonly reports that are geared towards the planning, control and monitoring of the organization purposes. IBM continues to enhance its system manages an estimated 15 million GB of critical data.Decision support is based on programmable, semi-programmable and un-programmable decisions. Programmable decisions are repetitive and well defined while semi-programmable decisions are partially reliant on the manager. In addition, programmable decisions rely on the manager’s experience (Khosrowpour, 2006).

There are a number of information systems (Kallinikos, 2010):Transaction processing systems, Management information systems, Decision support systems, Executive support systems, and Expert systems.Kallinikos, (2010), states that transaction processing systems automate the handling of data on business activities and transactions. They are the oldest type of business information system and record routine transactions. IBM in 1968 launched the world’s first commercial database management system later renamed Information Management System in 1968.

The information system had a transaction processing software responsible for financial applications, inventory management and other high volume based transaction operations.Management reporting systems perform routine information to decision makers to make recurrent and structured decisions. They are pre-programmed by the personnel. They generate information like; productivity information. IBM’S IMS system is applied in the airline industry where a ticket agent avoids selling one seat twice; due to the information generated by the automated transaction manager.

Decision support systems include a database, user module and model base. In addition, they support non-routine problems where the decision makers can configure the business models. IBM unveiled the Decision Support System Optimiser in 2012 that reduces traffic jam and allow operators to adjust traffic signals accordingly by allowing cars to be redirected thus paving way for ambulances.The expert systems are an advanced version of decision support systems. They use artificial intelligence technology to assist humans in the selection of the appropriate model for decisions problems (Kallinikos, 2010).

IBM’s (PureSystems) has an integrated expertise which can automate a variety of IT functions while enhancing performance levels.Reference ListIrani, Z., & Love, P. E. (2008). Evaluating information systems public and private sector. Amsterdam: Elsevier/Butterworth-Heinemann. Kallinikos, J. (2010). Governing through technology: information artefacts and social practice. Houndmills, Basingstoke, Hampshire: Palgrave Macmillan. Khosrowpour, M. (2006). Cases on information technology and organizational politics & culture.

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