INFORMATION SYSTEMS, ORGANIZATIONS, MANAGEMENT AND STRATEGY

INFORMATION SYSTEMS, ORGANIZATIONS, MANAGEMENT AND STRATEGY

Organization is the official stable social structure that has the resources derived from environmental and process those resources to produce output.
Definition of behavioral organization is a collection of rights, privileges, obligations and responsibilities that must be carefully balanced during the specified period of time through conflict and conflict resolution.

Organization General features
The organization is a bureaucracy that has the features of "structural" certain. Bureaucracy is a formal organization that has a clear division of labor, procedures, and abstract rules, and neutral decision-making that uses technical qualification and professionalism as a basis for employee promotions.
Structural characteristics of all organizations:

a clear division of labor
hierarchy
explicit procedures and rules
decisions that are neutral
basis of technical qualifications for the position of office
maximum organizational efficiency

Routines And Business Process
The organization has activities absorb resources, process and manufacture. routine, a SOP (Standard Operating Procedures), which usually consists of rules, procedures and practices that have been developed to meet the expected circumstances. Business processes, is a set of routines. By observing the business processes we will be able to see / understand how business works in the company.

System information related to the political organization as it affects access to primary sources, namely information. Information system has the potential to alter the structure, culture, politics, and labor organizations. The most common reason of failure of major projects leading to politikal and organizational barriers to change.

Standard operating procedures, rules, procedures and practices are carefully developed by the organization to cover all situations that may be encountered.

Political organizations, these differences become an issue for managers and employees, and the result is a political upheaval, competition, and conflict within the organization. Political barriers are one of the many the greatest difficulty to bring organizational change, particularly the development of new information systems.

Organizational culture is a collection of such fundamental assumptions about what products to produce the organization, how the process, where, and to whom.

Special features Feature Organization
Special features include organizational structure, goals, constituencies, leadership styles, tasks, and different surroundings.

A. Type of Organization

Structure businessman, a simple structure and is managed by a businessman who acted as sole managing director. Examples of new small businesses.

Bureaucratic machine, a large bureaucracy that is in a slow changing environment, menghasilkancommon Organizations, all organizations have some features of "structural" similar.
Divisional bureaucracy, bureaucracy bergam combination of machines, each producing different products and services, semuadikendalikan from headquarters. Examples of Fortune 500 companies.

Professional bureaucracy, knowledge-based organization in which the shape Barrang-production goods and services depends on the expertise and knowledge of professionals. For example law firms, home sakitadhokrasi, organizations 'task force' that must respond to a rapidly changing environment. For example konsulatan company.

B. Environmental

Organization and environment have a reciprocal relationship. On the one hand, an open organization and depend on social and physical environment around it. On the other hand, organizations can affect the environment. Other differences among organizations, among others:

The main target to be achieved and the type of force used to achieve them. Some use coercive goal (jail) and practical objectives (business). There also are using normative goals (university).

Organisasai serve the group and have a diverse area, partly to give benefits to its members, partly to benefit the clients, shareholders or the public.

The nature of leadership of each organization is very different from each other. One organization may tend to be democratic or authoritarian than the other.

The tasks undertaken and the technology used. Most organizations run the main routine tasks that can be reduced to formal rules that require a bit decision, while others have a major task nonrutin.

CHANGES IN ORGANIZATION INFORMATION SYSTEM

(A) Information Technology Infrastructure and Information Technology Services
One way for an organization can affect how information technology is used is through the decisions about technical and organizational configuration of the system, who will design, build and maintain the organization's IT infrastructure. Uniot responsible for maintaining technology services (hardware, software, data storage, and network) called the department of information systems.

Department of information system consisting of experts, such as programmer, systems analyst. Project leader, and manager of information systems. Programmers are well-trained technical experts who make perangkata instruction in computer software. Systems analyst in charge of inter-group relations menyususn information systems and other groups within the organization. Manager of information systems is the leader of a variety of experts on information systems department.

There was also the chief information officer (CIO) and end-users. CIO classified as a senior manager in charge of information systems function within the enterprise. While the end-user is outside the group representation as the object of the target information system application development.

(B) How can information systems affect organizations

Economic theory.

Replace IT capital costs and cost information
Information system technology is a factor of production such as capital and labor
Transaction cost theory states that the company seeks to reduce transaction costs.
IT helps firms reduce transaction costs. If transaction costs decrease, the number of employees is also decreasing due to the cheaper and easier for companies to make contracts to buy goods and services in the marketplace than in making its own products and services.
The theory of agency said the company has a contract bond between the parts that must be supervised and managed.
IT can reduce agency costs, enabling the company to grow without increasing the cost of supervision, and without adding labor.

Behavioral Theory

IT makes the organization more streamlined.
IT is able to change the hierarchy of decision making by reducing costs of information
expand the distribution of information
accelerate decision-making process
facilitate lower-level workers to make decisions without supervision and improve management efficiency
Range control of the company will also increase

In postindustri organization, the authority increased depending on the knowledge and competence. Thus, the shape becomes slender as professional workers tend to be characterized by self-managing, and decision-making becomes more terdessentralisasi while knowledge and information more widely distributed.

Information technology task force to encourage networking organization which meets professional groups, either directly or through electronic media to complete a particular job. This led to the virtual organization, the organization that utilizes a network to link people, assets, and ideas in creating and distributing products and services without restriction-batsan constrained by traditional organizational or physical location.

System information related to the political organization as it affects access to primary sources, namely information. Information system has the potential to alter the structure, culture, politics, and labor organizations. The most common reason of failure of major projects leading to politikal and organizational barriers to change.

(C) Internet and Organisation
Internet increase accessibility, storage, and distribution of information and knowledge for the organization. The Internet can dramatically reduce transaction costs and agency. Businesses are rapidly rebuilding some of its core business processes via Internet technology and make this technology as a fundamental component of information technology infrastructure. If the network is used efficiently, the result is easier to do business process, which required fewer employees, and organizations to become leaner than last time.

MANAGER, DECISION MAKING, AND INFORMATION SYSTEM

The role of managers in organizations
The responsibility of a manager include decision making, create reports, attend meetings, organize celebrations. To better understand the managerial functions and roles we can examine the mdel-classical and contemporary models of managerial behavior.

Classical model of management, the traditional description of management that focuses on formal functions of management namely planning, organizing, coordination, decision making, and control. Describe the behavioral model based on observation of what management is actually done by the manager in the job.

Managerial role is an activity that must be executed esbuah managers in the organization. Categorized into: interpersonal, informational, and desicional. Interpersonal role intended for managerial roles where managers act as a figure head and leader of the organization. Informational role refers more towards a managerial role in which the central pulse manjer organization, receive and disseminate important information. While the role desicional more to the managerial role where the manager to initiate activities, handling problems, allocate resources, and negotiate conflict.

Managers and decision-making
Information system has helped managers to communicate and distribute information, but only give limited aid to management decision making.
Models of decision making:

rational model, a model of human behavior based on the belief that people, organizations, and nations run niali maximization calculations, a consistent fundamental seacra
organizational model, decision-making models that take into account the political and structural characteristics of organizations
models of bureaucracy, Whatever is done is the result of organizational routines and business processes honed by active use for years

Implications for the Design and Understanding Information Systems
Factors to consider when planning a new system:

Environment in which organizations must function
Organizational structure: hierarchy, specialization, routines, and business processes
cultural and political organization
Type of organization and leadership style
Major groups of related systems and attitudes that affect the workers who will use the system
The types of tasks, decisions, and business processes designed to help information system

Characteristics to be remembered when Designing Systems:

Flexibility and multiple options for evaluating the handling of data and information
The ability to support a variety of styles, skills, and knowledge management.
The ability to track many alternatives and consequences
Sensitivity to the bureaucratic organization and political requirements


INFORMATION SYSTEMS AND BUSINESS STRATEGY
Strategic information systems, computer systems used to change the target level of organization, operations, products, services, or environmental relationships to help organizations achieve competitive advantage.
The decision of the company's business strategy depends on:

Products and services company dhasilkan
Industries where firms compete
Competitors, suppliers, and customers of the company
The long term objectives of the company

Business-level Strategy: Value Chain Model
The most common strategy for this level are:

be producing products with low production costs
differentiate products and services
change the scope of competition either by expanding its market to the global market as well as by narrowing the market.

Value chain model, a model that gives attention to the primary and supporting activities that add value to products and services company where information systems are best applied to gain competitive advantage.
Yaituaktivitas primary activity is directly associated with the production and distribution company product or service. While supporting activities are activities that allow execution of primary activities. Consisting of organizational infrastructure, human resources, technology, and procurement.
Value refers to the web customer-controlled network of companies that utilize information technology to coordinate its supply chain to collectively produce products or services to market.

Products and Services Information System
Systems that create product differentiation:

Companies can use IT to develop different products.
Creating brand loyalty by developing new and unique products and services
Products and services not easily duplicated by competitors. For example, Dell Corporation.

Systems that Support Market Niche
Intensive analysis using customer data to support new ways of contact and serve customers which allows to develop new market niches for specialized products or services. For example, frequent guest program Wyndam Hotel

Supply Chain Management and Efficient Customer Response System
The system connects to the enterprise value chain value chain of suppliers and consumers. System that directly links back to the distributor of consumer behavior, production, and supply chain. Example: Wal-Mart directly connecting customers to suppliers purchase almost immediately. work of suppliers is to ensure that products shipped to the store to replace the product purchased.

IT at the organizational level is used to avoid the shift of customers to other suppliers and bind them to the company. Replacement cost is the cost incurred by the customer or the company for the time and resources are wasted when switching from one supplier or to the system supplier or a competitor's system. For example, Baxter International.

Corporate-level strategy and Information Technology
Extending the core competencies, the activities in which the company excels as a world class leader. Information systems to encourage knowledge sharing across business units and therefore increase the competence of the company.

Industry-level strategy and Information Systems: competitive forces and the network economy. The company operates in a larger environment consisting of other companies, governments, and nations. Information Partnership, an alliance cooperation made by two or more companies which aims to share information to gain strategic advantage. Helping companies gain access to new customers, creating new opportunities for cross-selling and targeting products.

Porter's Five Forces Model
In larger environments, there are five main force or threat:

New market entrants
Product and service replacement
Suppliers
Customer
Other companies that compete directly

Competitive forces model, the model used directly to explain the interaction of external influences, specific threats and opportunities, which affect strategy and organization's ability to compete. Internet technology has affected the industry structure with

Providing technology that make it easier for competitors to compete on price and new players on the market.
Improving the information available for customers on price preformance thus increasing the bargaining powernya.
Lowering the power supplier
Substitution goods

Business Ecosystem
IT plays a strong role in creating new forms of ecosystem products business. Business Ecosystem is a network of suppliers, distributors, outsourcing firms, transportation companies, and manufacturing technology related. For example, Microsoft: 1 billion PCs around the world and hundreds of thousands of businesses rely on the Microsoft platform. EBay: Millions of people and thousands of businesses using this platform. Wal-Mart: Enterprise systems used by suppliers to improve efficiency

Network Economy
IT products and services showed strong network effects and potentially create a situation of "winner take all". Networks make the cost to add other participants zero or less, otherwise the benefits could be even greater. Contrary to the law of profit decline in industrial and agricultural products. For example, the value of the Internet grows exponentially with linear increase in users. Because certain software may be standard (such as the Windows operating system or Windows Office), people can lock into the standard and value of Windows grew as more and more people are using it.

A good strategy, using IT to develop products and services that cause the network effect. Opportunity management, the Company faces the development of IT-based opportunities to gain strategic advantage.

Management Challenges

Some companies face major obstacles in applying the contemporary system.
After gains achieved, there is difficulty in maintaining excellence.
Organizations are often unable to change to accommodate new technology fast enough

Guidelines for Completion of strategic systems analysis

Understanding the structure and dynamics of industrial competition in which firms operate.
Understanding the business value chain, companies, and industry
Consider how companies can manage the "strategic shift" in an effort to implement systems that provide competitive advantage.