The Closet Business Information System - Coursework Example

THE BUSINESS CLOSET REPORT Name: Institution: Professor: Course: Date: CONTENTS Executive Summary……………………………………………………………………………….4 Introduction………………………………………………………………………………………..4 1.0 The Closet, Business Information System Proposal………………………………………5 1.1 Business Information System…………………………………………………………………6 1.1.1 Business Information System to be implemented…………………………………………...6 1.1.2 Benefits of the proposed Information System………………………………………………7 1.1.3 Skills required using and supporting the system……………………………………….……8 1.2 Business Strategy…………………………………………………………………………...…9 1.2.1 Strategies for Competitive advantage using Porter’s Value Chain Model……………….…9 1.3 Data and Knowledge Management ………………………………………………………….11 1.3.1 Entity Relationship Diagram and explanation of the database purpose…………………...13 1.3.2 Business process map……………………………………………………………….……..13 1.4 Social Computing………………………………………………………………………...….15 1.4.1 Social networking strategies……………………………………………………………….15 1.4.2 Importance of the Strategies……………………………………………………………….16 1.5 E-business and E-commerce ……………………………………………………………….16 1.5.1 E-business and e-commerce solutions……………………………………………………..16 1.5.2 Ethical issues when implementing this solutions…………………………………………..17 
1.6 Information Systems within the Organization ……………………………………….…….18 1.6.1 Accounting report……………………………………………………………………….....18 1.6.2 Importance and use of the report…………………………………………………………..19 2.0 Conclusion …………………………………………………………………………………..19 2.1 Summary of the report……………………………………………………………………….19 3.0 References………………………………………………………………………………..20 4.0 Bibliography…………………………………………………………………………………21 FIGURES Figure 1.1………………………………………………………………………………………...............11 Figure 1.2………………………………………………………………………………………...14 TABLES Table 1.1……………………………………………………………………………………...….12 Table 1.2…………………………………………………………………………………………18 EXECUTIVE SUMMARY The closet business report is a business proposal analyzed and systematically organized to give clear and elaborate information concerning this business adventure. The closet is a highly rated boutique that majors on women’s fashion, varied kinds of accessories and bags. The closet wishes to fully satisfy the needs of the women through its quality and affordable products. The closet is loaded with all kinds of women stuffs ranging from awesome and new fashioned clothes to their matching jewelry and shoes. This closet has majored on the designs that are based on the beautiful, presentable and comfortable look for the enjoyment of the digital women generation. The closet is situated in a famous town known as Angeldool. This town is 614km from the Sydney’s Central business district. This business has been evolving and advancing over time since its inception. INTRODUCTION The purpose of this report is to propose the closet business information system. This information business will be a great advancement in the business. The business information system will greatly boost the operations of the closet business translating to huge performance toward realization of the set goals and objectives. This will be a great advancement in technology especially in this advent of technology everywhere and in every aspect of the world. 1.0 The Closet, Business Information System Proposal The Closet My closet is high end Retail fashion boutique that sells women’s clothing, accessories and bags. We are an empowering, bold and forward thinking fashion brand, inspired by real life. We design and create product informed by you, our customers, our friends and global influences: Catwalk, celebrity, social media, bloggers and street style, creating an online fashion destination that encompasses and celebrates everything it means to be a girl in a digitally immersed world today. My closet sell a variety of women’s fashion from elegant dresses, beautiful blouses and stunning gowns to sexy skirts, heels, suits and jewelry, Our range of women's fashion is perfect for any occasion and made from high quality material in the latest styles. Each of our designs focuses on offering a contemporary look, while presenting comfort, quality and affordability. The closet is located in the town called Angledool. Angledool is a step back in time, a town known well over a century old. Angledool is located 614km from Sydney’s cbd. The closet originated as a pop up Sunday market stall in year 2000. We have recently purchased a store in the heart of AngelDool countryside, and have decided to expand the business to an actual store. Simaletounesly The closet is launching an our online store to venture and find it’s own in the global market, which will offer competitive delivery to 160 countries worldwide, we’re here for when the good times roll. The Closet is developed to create a sense of fashion and style in the heart of this town & build a brand worldwide. People living in this town constantly find themselves making trips to the city to go shopping. The project is to launch the closet a high end fashion store and bring modern style into the lives of AngelDool residents. This Town is rapidly growing in terms of the infrastructure, which several fashion shops have developed and opening. The Closet has a defined advantage as it’s one of the first high-end fashion store to be launched in Angeldool which consist of clothes and accessories. This gives the business a defined advantage and sense of originality. 1.1 Business Information System This section of the report includes the business information system proposal to outline the business information system that the Closet will need to implement. How this system will benefit the closet and finally the skills that are required by staff to utilize and support the business information system that we implement. 1.1.1Business Information System to be implemented: To style up this community we are proposing to open our local and online store next month. In order for The Closet to successfully be launched we will need to incorporate a financial information system called FMIS to enable manage the functions of financial forecasting and planning, financial control, funds management and internal auditing to assist with cash flows, forecasting inflows/outflows of the company (Clifton and Sutcliffe, 1994). Accounting information system: for Accounts receivable records, account payable records, inventory control records, processing stock sale transactions and reconciliation of profits and expenses. We will be implementing shopify POS Point Of Sale (POS) system, as this uses wireless technology for consumers to pay right then and there. Shopify POS provides retail software to support staff managements, payment acceptance and cash tracking. The closet will ensure they create several payment methods for both our local and online store which will include cash, Eftpos gift cards, PayPal. Alongside this implementation the closet are proposing introducing a human resource information system called HRIS, which will be aligned with the payroll system, recruitment, roistering and leave/entitlements for all employees and future employees working for the closet. Finally the closet will be implementing a marketing information system using VIP guest list, which will benefit loyal customers, with store discounts, sales both online and in store. To assist with the marketing of this store and creating brand awareness the closet plans to make most effective use of social media. These information systems will play an integral part with assisting in collecting, processing and record keeping data. This proposal will require installation of hardware and databases, which is connected to one server (Clifton and Sutcliffe, 1994). 1.1.2 Benefits of the proposed Information System The town Angeldool, is growing rapidly in terms of infrastructure, local small business growth, however is lagging behind in the technology aspect. Our competitors have adopted the ideas for different business information systems; however the closet will be launching the best of the best in the business. The closet will be using the most effective tools to run our business to reach success. This will play an immense role to not only run our business but to create awareness of such technology and be a role model for other business owners. With this approach the town will grow and expand in the technology sector, which will only benefit our business. 1.1.3 Skills required using and supporting the system There are several skills that the user of the proposed system must learn in order to effectively and efficiently use and support it. However, these skills are very simple in order to ensure that the system is usable and not complicated for the novice users. The closet has incorporated the use of a financial information system known as FMIS. It is therefore of great need for the staff have skills of using this system. The staffs in charge of the accounting department in the Closet business will be required to know how to efficiently and effectively use this software. FMIS will enable the Closet business to plan, control and make a lot of forecasting and predictions on the financial issues in the business organization. The other technology that Closet business will implement is the Shopfy Point Of Sale (POS) system. There is need therefore for the staff to know and have basic skills of using this system. This system uses wireless technology and therefore there is no much to be learnt by the customer. The customer just needs to have his or her card and pass it closer to the system. The skills which will be required here mainly is for the support. The staff employed to work on this area must have knowledge and skills to repair and maintain the system. In case of minor issues the can also be in a position to trouble shoot the system. Skills also will be required on the area of Human Resource Information System HRIS. The users of this system will be working in this area especially when working on issues of payroll and recruitment of the employees. The staff therefore must be in a position to operate this system effectively and efficiently. 1.2 Business Strategy 1.2.1 Strategies for Competitive advantage using Porter’s Value Chain Model Porter’s Value Chain Model majors greatly on the idea that a business organization is a system that has various categories of sub-systems in it. The sub-systems are composed of in/out puts and the process of transforming them. This is achieved through procurement and intake of resourceful materials such as cash, buildings and labor. The way the activities making up the chain of value are conducted gives an indication of the cost being incurred and the out coming profit. Porter clarified the important activities involved as: i. Inbound Logistics –for the Closet business this will involve the association with the suppliers. ii. Operations –includes all the operation that the closet business is engaged in such buying from supplies and selling to customers e.g. clothes. iii. Outbound Logistics –these are the activities that are involved in the general operations of the Closet business. iv. Marketing and Sales –the Closet business will market through advertisements using print media, social media and also word of mouth to potential customers. v. Service –examples of services involved in the Closet business is like the staff marinating the information system. Other services include processing of the online purchase by the customers. The Secondary activities include: Procurement –Closet business will acquire goods to be sold from the suppliers. Human Resource management –the business will use the stated HRIS in the human resource department such recruitment and hire of employees. Technological Development- this is a major part that Closet business has inclined in. The strategy of launching an online platform is to provide competitive advantage against the other competitors. Various competitors have not adopted the technology to this part therefore it will be great boost for the business to achieve greater sales and market share. Infrastructure –the Closet business will also strategies on infrastructure. Various departments such as accounting, human resource and financial have been created to ensure that there is best performance in every functional department. 1.3 Data and Knowledge Management 1.3.1 Entity Relationship Diagram and explanation of the database purpose The main tables for the Closet business database include: Clothes, Accessories, Bags, and Shoes, employees, customers and management. Shown in figure 1.1 below. Tables and attributes: CLOTHES ClotheID type fashion size price Color TABLE ATTRIBUTES 1 EMPLOYEES EMPID, NAME, PHONE, EMAIL, SALARY 2 CUSTOMERS CUSTID, NAME, EMAIL, PHONE, LOCATION, CARD 3 MANAGEMENT MANID, NAME, SALARY, DEPARTMENT, PHONE 4 SHOES SHOEID, TYPE, MODEL,COLOR, PRICE, SIZE 5 CLOTHES CLOTHEID, TYPE, FASHION, PRICE, COLOR 6 BAGS BAGID, MODEL, TYPE, QUANITY, COLOR, PRICE 7 ACCECORIES ACCESID, MODEL, TYPE, PRICE, The table 1.1 above and the relationship entity diagram shows the way the various components of the Closet business database. The table shows the various tables and some of the very important attributes. The attributes for each table are several but I have just selected a few to expound on and bring the meaning more clear and understandable. For example in the Employees table, there are various attributes. Attributes are the characteristics that make the table unique from the others. The primary key in the employees table is EMPID. This key is the one that uniquely identifies the table and is used to create relationships. Other attributes in this table includes name, phone number of the employee, gender, salary, job group, department and others which fits here. A total of seven tables as shown above have been used to create Close business database. The relationships have also been shown in the entity relationship diagram above. A customer logs in to the online website of Closet business then chooses what to buy or order. Since the business majors on women stuff only clothes, accessories, bags and shoes are sold. However, there are huge collection and variety of these products for the customer to choose on. The database will enable the Closet business do carry out its transactions in a paperless form. The purpose of this database is to ensure that calculations on item prices and records of the same are done effectively and efficiently. The presence of the database will also speed up all the processes and operations of the Closet business. A customer can make an order or buy various commodities from the Closet business. The presence of the database will ensure that the stock is updated timely. When there is high demand for a certain product the database will notify the management to increase the stock of those products. The most profitable products also will be identified from the database enabling the management to focus on profit maximization. The database therefore is a very important achievement for this business success. 1.3.2 Business process map The following task flow chart shows the kind of activities in summary when a customer buys items from Closet business. Shown in figure 1.2 below. The above task flowchart shows a summary the activities that occur when a customer purchases from the closet business. The customer makes his or her choice on what to buy whether shoes, clothes or accessories. The database the checks the availability of these items and calculates price. It is the function of the staff in this field to ensure that everything is working on well. The transaction is then validated after the customer chooses on what to buy and how to pay for it. This could be through the use of PayPal and other methods allowed by the business information system. After the payment is made and validated the transaction ends. The customer can then be provided with a receipt for the transaction. If there is another transaction then the process begins again. 1.4 Social Computing 1.4.1 Social networking strategies There are several social media platforms currently available. These include YouTube, Facebook, twitter, what Sapp, word press and MySpace among many other applications. If good strategies are implemented the business will blossom greatly. This social media sites enable the business to get a lot of customers since they get to be aware of the business and its products. The first strategy that I am going to use in the social networking is for advertising. Contents such as video of advertisements will be made the posted on the social media such as Facebook and YouTube. These social networking sites have a lot of fans therefore a lot of potential customers will watch the ad. This therefore will create customer awareness leading to increase in the number of customers for the business. Another strategy is to create various accounts to keep in touch with the customers. The accounts will be used to post new stuff such as heels and new fashions for the women. The interested customers can like the posts and therefore buy the items. Customers can also make inquiries through the social networking sites. They can be informed on the prices of various commodities, the models available and even procedures of making orders. 1.4.2 Importance of the Strategies These strategies for the Closet business once implemented will create a lot of business awareness. These will translate to huge profits for the business. The advertisements will also reach to several potential customers. These videos will increase the customer acceptance for the Closet business. All these approaches will improve the efficiency and effectiveness of the business. 1.5 E-business and E-commerce 1.5.1 E-business and e-commerce solutions The first e-commerce solution to be implemented is Shopify. Shopify is everything you need to sell anywhere. This will be a great technological advancement by the Closet business. This implementation of Shopify will be of great benefit to all the stakeholders of the business. The closet business will launch and sell the women ware online using this service. The customized Shopify will accept various cards such as VISA and MasterCard from the customer in order to successfully pay for the purchased products. Shopify will also work with a point of sale terminal in the Closet. The closet will also implement a MobiCart. This will enable the customers to shop for various items using their mobile phone. It will be a source of numerous customers since a lot of the like using mobile phones more than other gadgets. This is also an advantage to the adventurous instinct and interest people get shopping using their phones. 1.5.2 Ethical issues when implementing this solutions There are several issues to be considered when implementing these e-business solutions. The first ethical issue to be considered is Web spoofing. This is whereby people with malicious intentions create a website which closely relates with the genuine business website. This people will normally try to rob the innocent customers by asking for their cards and other essential details. The second issue to be considered is privacy and confidentiality invasion. This occurs when the privacy information of a customer is exposed to a person who is not authorized to view them. Email Spamming is another ethical issue of great concern here. It involves using of email to send unaccepted content over the network. This is used by spammers with various ill intentions. The final issue of great importance considered here is the threats posed to e-business servers. These servers are on great risk of being attacked. Since everything is done online the server is in charge of all these transaction. All these ethical issues therefore at the Closet business have been given great concern and the seriousness it deserves. A lot of measures have be put in place to counter this vices. 
1.6 Information Systems within the Organization 1.6.1 Accounting report This is a sample part of the accounting report. Table 1.2. THE CLOSET BUSINESS TRANSACTION EXAMPLE TRANACTION DATE: 21ST MAY 2015 Sale no Transaction ref Customer initials Itemid NAME Quantity Model Price $ Profits 1 CB000001 J. K.T IT00A Heels 1 Ytx3 32 4 IT00B Dress 1 A22q 18 3 IT00C Necklace 2 7yds 5 0.5 TOTAL 4 45 7.5 Customer detail: City London Country USA Served by: Justin Martins 2 CB000002 O.F. 3 CB000003 K.L.A 4 1.6.2 Importance and use of the report This accounting report is very important for the various aspects of the organization. The report is used to make various financial predictions and projections for the Closet business. The transaction report sample I have attached above shows various details. To mention but a few the report shows the date of transaction, the items purchased by the customer, the price of each item and the profits gained. This will enable the Closet business to keep good record of the business transaction. The profits will enable the business to major on the products that are profitable and also adjust prices accordingly. The report also shows the details of the customer. This includes the city and the country. This will help the Closet business to know where there many customers come from. The report also shows the employee who validated the transaction. This is used by the business management for any follow up if any issue arises. This accounting report is therefore very important for the Closet business. 2.0 Conclusion 2.1 Summary of the report The Closet business report is a wide and detailed one. Some parts of the report have been summarized in order to give room for better explanation. This proposal for Closet Business Information system is a genuine and valid one. The introduction and the executive summary of this report show the details of the Closet business. The location, it origin has also been highlighted here. The report also show the way the database for the Closet Business will be created. This has been elaborated clearly with a use of ER-diagram. This report goes on to expound on various issues that the Closet business requires to be launched as an online system. Some of the significant parts that the report touches on include the skills required for the staff and the users of this new system. The report also touches on the e-commerce solutions that are implemented in this business information system and the ethical issues that are of concern here. This report also gives a clear summary on the accounting report of the business. This sample report is of great significance to the company. The implementation of all the recommendations of this report therefore will be of great advancement and significance to all the stake holders of the Closet Business. 2.0 References Porter, Michael E., "Competitive Advantage". 1985, Ch. 1, pp 11-15. The Free Press. New York. Rowe, Mason, Dickel, Mann, Mockler; "Strategic Management: a methodological approach". 4th Edition, 1994. Addison-Wesley. Reading Mass. Cheung Y. and Bal J. (1998) ‘Process analysis techniques and tools for improvement, Business Process Management Journal 4,4 274-290. Collins, P. (1997) ‘Using process mapping as a quality tool, Management Services Vol. 41 No. 3, pp 24-26. Lee R.G. and Dale B.G., ‘Business process management: a review and evaluation, Business Process Management Journal 4,3 214-225. Laudon, K., & Traver, C. (2002). E-commerce: Business, technology, society. Boston: Addison Wesley. Clifton, H., & Sutcliffe, A. (1994). Business information systems (5thed.). New York: Prentice Hall. Maglio, P., Vargo, S., Caswell, N., & Spohrer, J. (2010). The service system is the basic abstraction of service science. Information Systems and E-Business Management, 395-406. 4.0 Bibliography Cheung Y. and Bal J. (1998) ‘Process analysis techniques and tools for improvement, Business Process Management Journal 4,4 274-290. Clifton, H., & Sutcliffe, A. (1994). Business information systems (5th ed.). New York: Prentice Hall. Laudon, K., & Traver, C. (2002). E-commerce: Business, technology, society. Boston: Addison Wesley. Maglio, P., Vargo, S., Caswell, N., & Spohrer, J. (2010). The service system is the basic abstraction of service science. Information Systems and E-Business Management, 395-406. Porter, Michael E., "Competitive Advantage". 1985, Ch. 1, pp 11-15. The Free Press. New York. Rowe, Mason, Dickel, Mann, Mockler; "Strategic Management: a methodological approach". 4th Edition, 1994. Addison-Wesley. Reading Mass. Read More