The Role of Business Information Systems in Decision-Making

Importance of Decision-Making Efficiency


Decision-making efficiency is a critical determinant of business success (Saaty, 2008). Organizations often encounter challenges in the business environment. These challenges may stem from the external business environment or in some cases from internal systems. It is important for managers to establish the origins of challenges experienced in the course of conducting business to develop effective solutions fast.


Role of Business Information Systems


Business information systems significantly improve management decision-making (Chen, Chiang & Storey, 2012). They enable managers to access crucial information that can be used to solve business challenges and enhance operational efficiency. Informed decision-making is, therefore, an essential source of competitive advantage in the contemporary marketplace. This essay is a case study of business decision-making and the central role that information plays in improving decision-making in business organizations.


Issue of Slow Customer Service


The case examines an issue relating to slow customer service at a department chain within an organization. The primary issue is whether it is appropriate to replicate a strategy that was used by a different organization in solving a similar problem. The key question is whether the similarity of the problem between the two organizations also means that similar solutions can be applied. While the problems are similar, the organizations are different in various ways. The problem of slow customer service may have been caused by outdated systems or a bad corporate culture. Hiring more sales representatives is, therefore, not guaranteed to solve the problem. Even if both organizations operate in the same industry, they have different internal environments. Applying the same solution may, therefore, not be effective.


Techniques for Evaluating the Problem


Various techniques can be used to evaluate the problem. One of the most effective ways to determine the origin of the problem is to conduct an employee survey. Employees at the department can provide vital information that can point to the cause of slow customer service. Understanding the problem from the viewpoint of employees ensures that the changes made take into account the interests of the staff in the affected department (Hair Jr et al., 2015). It will reduce resistance to change and improve service quality.


Utilizing Business Information Systems


The problem can also be solved by using business information systems to determine the causes of slow service. Information systems enable managers to obtain and organize data to improve decision-making. In the current business environment, information has become a key source of competitive advantage because it ensures that identified business strategies improve business performance. Management can identify some of the systemic causes of slow customer services and work towards improving them. Additionally, the issue can also be solved by hiring an external consultant to review the organizational structure and corporate culture to determine whether they are some of the causes of the slow service. A consultant can examine the problem from a neutral position and work towards developing effective solutions (Gross & Poor, 2008).


Conclusion


In conclusion, the paper shows that business decisions should often be made from an informed point of view. Information is a key factor in ensuring that management decisions result in business success. Since each organization is unique, it is inappropriate to replicate the decisions used by a different organization in solving a similar problem. While the problems might be the same, their causes are likely to be different. Obtaining the relevant information is key in developing effective solutions. Information can be obtained by interviewing the affected parties. It can also be obtained using business information systems or by hiring an external consultant.


References


Chen, H., Chiang, R. H., " Storey, V. C. (2012). Business intelligence and analytics: from big data to big impact. MIS quarterly, 1165-1188.


Gross, A. C., " Poor, J. (2008). The global management consulting sector. Business economics, 43(4), 59-68.


Hair Jr, J. F., Wolfinbarger, M., Money, A. H., Samouel, P., " Page, M. J. (2015). Essentials of business research methods. Routledge.


Saaty, T. L. (2008). Decision making with the analytic hierarchy process. International journal of services sciences, 1(1), 83-98.

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