Information System and Enterprise Systems - Assignment Example

Introduction to Management Information System al Affiliation Introduction to Management Information System Information System and Enterprise Systems 1. Identify the key factors that companies should consider when deciding whether to buy or to build their own information systems. Explain your rationale. a. Competitive advantage When a company decides to acquire an information system, it is vital to consider the competitive advantage the system will bring to the firm. The firm should ensure that the system creates unique processes different from its competitors in order to stay ahead. Hence, the requirement of a unique system tailor-made to meet the organization’s objective will form a key part in deciding whether to buy or build a system. b. Cost The cost of the system is a key factor in making building or renting a system. The choice taken must be cost effective for the firm. For instance, the firm will consider the costs of building a system and the costs of buying a system and make a decision based on the cheaper option in the long run. During the analysis of the cost, the company should consider the aggregate spending needed for the system’s lifetime and also other factors that may vary from time to time. Rationale: The above factors are critical since they are directly related to the business. A business needs a cost effective system that will provide cutting edge technology to differentiate it from its competitors. 2. Supply chain management a. Inaccurate and outdated information Successful implementation of a supply chain management ERP requires timely data and information. The implementation team should ensure that efforts are dedicated to finding clean and appropriate data to avoid ‘garbage-in and garbage-our’ during operation of the system. b. Broad scope The need for such a system is to implement short term and long term goals. However, it is advisable for the implementation team to avoid trying implementing everything at once. Implementers should focus on the core needs of the system and the scope that can deliver the desired results. Next, suggest two or three (2-3) general techniques that companies could use in order to mitigate the issues in question. a. Prior data collection Once the system has been delivered, the company should be ready with up-to-date data for system testing. The implementers must dedicate time to ensuring that all related data for the system are clean and accurate. b. Cross-functional representation The implementation team must consist of a broad-based group of people representing all departments of the organization. The team should include all the ultimate users of the system, and all the people who will benefit from the system either directly or indirectly. Such diversity will ensure the smooth flow of information required to implement the system successfully. c. Top-management Leadership and Sponsorship Supply chain processes have a big impact on the overall success of any business. Hence, it is vital to secure the leadership and sponsorship of top-management for cross-functional commitment. It will allow adequate allocation of resources needed to make the system work. Management Support Systems 1. Review the main management support systems discussed in Chapter 12 of the textbook. a. The main MSS discussed in the chapter is Decision Support System (DSS). DSS is defined as an interactive system made up of software, hardware, data and both mathematical and statistical models used to aid in organizational decision making (Bidgoli, 2014). b. Another MSS is the Group Support System. It is a system designed for use by decision makers working in groups (Bidgoli, 2014). Next, select one (1) such system, and describe its key components, capabilities, and the overall manner in which an organization could benefit from it. The selected system is the Decision Support System. It has three major components, namely; a user interface, a model base and a database. An additional component called the DSS engine manages the other three components. The database is responsible for database creation, modification and maintenance. The model base contains both mathematical and statistical models responsible for data analysis. The user interface provides a platform for user interaction with the system (Bidgoli, 2014). The DSS is capable of performing operations such as What-if-Analysis, Goal seeking, sensitivity analysis and exceptional reporting analysis. An organization can benefit from using a DSS in several ways. DSS improves communication between employees and top-level management. Hence, that improves the decision-making process in the organization. 2. Recommend two (2) strategies for designing a successful management support system for an organization. Provide a rationale to support your response. a. Designing flexible systems. b. Designing systems with quick response time. Rationale: rapid technological developments require that systems developed must be flexible to deal with the changes. A flexible system is adaptive to changes quickly. Moreover, response time for systems should be fast. Hence, designers should always lay emphasis in developing MSS with a fast response time. Expert Systems and Intelligent Agents 1. From the e-Activity and this week’s reading, select two (2) companies that currently use expert systems. a. NASA - National Aeronautics and Space Administration b. Boeing Advantages of Expert Systems over Human Expertise a. Expert systems are capable of handling complex transactions that are beyond the understanding of human experts. For instance, Boeing expert systems are capable of applying visual reality and computer simulation in the manufacture of Boeing 777 series. Such complex transactions cannot be performed by human expertise. b. Expert systems provide consistent results since elements such as emotions and exhaustions experienced by humans are non-existent. For instance, the NASA expert system handling personnel security is capable of correcting and troubleshooting investigative problems with consistency never experienced. Disadvantages of Expert Systems over Human Expertise a. Expert systems are difficult to use and require extensive user training. For instance, it took NASA some time to train personnel on how to handle the personnel security expert systems. b. Expert systems are also difficult and costly to maintain as opposed to human experts. Since the Boeing expert system is taxed with development of the plane, it requires regular updates and maintenance that are way too costly. 2. Select one (1) of the four (4) categories of intelligent agents, as discussed in Chapter 13 of the textbook, those are currently available. Selected category of intelligent agents: Data-mining agents (Bidgoli, 2014). Identify the main risks of using intelligent agents in the category that you have selected Data mining agents are powerful, intelligent systems that can help companies collect private client data. The key risk in using the data mining agents lies in the privacy of clients’ data. Speculate on one (1) way which you would use in order to mitigate the risks in question. Justify your response. One way of mitigating the issue is the use of cloud computing to store the data. Cloud computing provides optimum security to clients’ data since there is restricted access to the stored data in the cloud. References Bidgoli, H. (2014). MIS 4 (4th ed.). MA: Cengage Learning. Read More