Strategic Information System

STRATEGIC INFORMATION SYSTEM A strategic information system is mainly developed to respond to the corporate world and many business initiatives. Strategic information is used for gaining competitive advantage and formulating business strategies by organizations. It may deliver a service or product that is at a lower price, differentiated and mainly concentrates on a demanding market section, or which is innovative. It help companies frame business strategy, competitive strategy, take management decisions and thus gain competitive advantage and achieve cost reduction. Information System Strategy is an essential feature in Corporate and Information Technology (IT) world and provide them with better bargaining power. In a nutshell, it helps firms and companies to allocate, store, process data, move the data and information they develop and receive. It also enables and provides various tools and services for aiding the firms to apply metrics and analytical tools in their information repositories. Information systems allow them to recognize the resourceful opportunities for expansion and simple ways to enhance operations and supply efficiency. Thus firms with a better chain management, knowledge management, data management practices along with more effective data presentation and analysis can provide better customer service at reduced or less cost. Importance and advantages of Strategic information system Strategic information system provides a connection between demands of organization and latest information technology. This tactic helps an organization to get hold of the market by utilizing Information tech to meet its challenging requirements to the continuous variation in the corporate environment. Helps them evolve their business strategy, helps with knowledge management and operations management. Information system strategy is a critical aspect of an organization’s management decision for its growth, expansion and supply chain management. Information technology and competitive intelligence can work wonders for a business. The integration of the data system and its function within the organization can be handled easily by enabling open access and use of management systems. Besides that, it also enables the classification of different opportunities for the use of information systems for different strategies. It gives the surety that only useful resources or the use of resources which are less are allocated to the applications and to use the scarce resources in a sustainable way and have a better impact factor. With the System Information Strategy, it ensures that the Information system functions accordingly and supports the business goals and objectives of the organization at the different levels. There are several instances of strategic planning which have helped the organizations to help create and sustain the resources in this competitive market over the past years and has allocated several effective benefits and simply continued to provide for the survival of these organizations which have used these systems. These systems are often termed as ‘strategic concepts of the organization.’ To give the maximum performance of the firms financially in a fluctuating market, the correlation between Strategic Management and Information System is significant fundamentally. Understanding of management information system is equally helpful & an asset to the organisation. In additional to the reduction in product related cost, it also helps in increasing market share, streamline business process, provide a better business environment, diversify functional areas, and deliver high quality product and services.