The New Role of Information Systems in Organizations

Information systems cannot be ignored by managers because they play such a critical role in contemporary organizations. Digital technology is transforming business organizations. The entire cash flow of most Fortune 500 companies is linked to information systems directly affect how managers decide, how senior managers plan, and in many cases what products and services are produced (and how). They play strategic role  in the live of the firm. Responsibility for information systems cannot be delegated to technical decision makers.
Why Business Need Information Technology, Information Technology is reshaping the basics of business. Customer service, operations, product and marketing strategies, and distribution are beavily, or sometimes even entirely, dependent on IT. The computers that support these functions can be found on the desk, on the shop floor, in the store, even in briefcase. IT, and its expense, have become an everyday part of business life.
Information system perform three vital roles in any type of organization:

1. Support of business operations.
2. Support of managerial decision-marking.
3. Support of strategic competitive advantage.

Let'stake a retail store as an example to illustrate this important point. As a consumer, you have to deal regularly whit the information systems that support business operations at the many retail stores where you shop. For example, most retail stores now use computer-based information system to help them record customer purchases, keep track of inventory, pay employees, buy new merchandise, and evaluate sales trends. Store operations would grind to a halt without the support of such information systems.

Information System Resources and Technologies

An Information system is an organized combination of people, hardware, software, communication networks, and disseminates information in an organization.
Anyone who uses an information system or the information it produces is an end user. This usually applies to most people in an organization, as distinguished from the smaller number of people who are information system specialists, such as systems analysts or professional computer programmers. A managerial end user is a manageer, entrepreneur, or managerial-level professional who personally uses information system. So most managers are managerial end users.
Today internetworked information systems play a vital role in the business succes of an enterprise. The Internet, intranet can provide the information infrastructure a business needs for efficient operations, effective management, and competitive advantage.
We are living in an emerging global information society, with a global economy that is increasingly dependent on the creation, management, and distribution of information resources over interconnected global networks like the Internet. The Internet, intranets, extranets, and other telecommunications networks create global internetworked society of universal connectivity.