In order to gain sufficient value from information system, organization must support their technology investment with appropriate complementary investment in organizations and managements as well as social assets.
The organization assets required to optimize returns from information technology investment include the organization’s hierarchy, efficient business processes and models, supportive organizational culture, and strong information system development team.
The management complementary assets involve strong management support for technology investment and change, Incentives for management innovation, teamwork and collaborative work environments, training programs, and a flexible and knowledgeable management culture. The social assets required including internet and telecommunication infrastructure, education programs raising labor force computer literacy, appropriate technology standards, law and regulations.
Chapter 2, Q1
Business processes are set of activities that define how tasks are organized, coordinated, and focused to produce valuable products and services. It also represents a unique way in which organization coordinate work, information, and knowledge. Business process can have significant impact on the performance of business since they determine how well organization can execute its business, and it can improve firm’s competitiveness.
Chapter 2, (Case Study), Q2
The system, LID3 enables the stores to track inventory the moment it arrives and when it leaves the store. It captures all the information in real time and sends it to centralized database in which management gets clearer picture of the flow of inventory in order to make better decisions. The implementation of this system has result in many benefits including time saving and improved productivity. It ensure that products are always in stock by automating shelf replenishment, optimize inventory allocation among stores by monitor inventory from