Four Reasons Behind Importance of Information Systems

Question 1 
a. List and describe four reasons why information systems are so important for business today? 
b. Describe five technology and business trends that have enhanced the role of information systems in today’s competitive business environment. 
Question 2 
A clinic that is located in Penang has 1 doctor, 2 admin assistants, 1 pharmacist and 1 cashier. Currently all the process of registration, billing and recoding are done manually.
If the clinic would like to go for computerized those internal business processes, how to begin?
a. Identify those processes in sequence with an appropriate diagram.
b. From the situation above, suggest hardware, software and networking requirement to facilitate the basic information need for the clinic. 


The information systems have become an integral part of the modern businesses. Use of information systems enhances efficiency of the businesses for serving their customers (Laudon & Laudon, 2015). The current assignment deals with analysis on the key reasons behind the increasing importance of using information systems for the businesses. The assignment also includes discussion on the key technology and business trends that are influencing use of information systems in the organizations. The assignment also includes discussion on creation of information system for a clinic.

Answer 1:

There are a number of driving factors behind use of the information systems. Below are the key driving factors that influence use of the information systems in organizations.

Four Reasons behind importance of Information Systems (IS):

Increasing productivity: Use of information systems increases cost and time efficiency of the organizational activities (Chang, 2015). With use of information systems, the organizations become able to improve their service quality also. 
Managing information: Managing smooth flow of information becomes easier with the information systems. Use of information systems make the data easy to share, analyze and access. As a result, the flow of information across the organization remains uninterrupted.
Reducing cost: Reduction of operating costs is crucial for the organizations. Use of information systems helps the organizations to introduce self-services for the customers. It, in turn, reduces the number of resources an organization needs to carry out its activities and cut down the cost as well.
Enhancing collaboration: Use of information systems increases the ease of communication between different units of the organization (Pearlson et al.2016). As a result, the collaboration among the teams also increases.
The use of IS in the businesses is influenced by a number of technology and business trends. The key trends impacting on the use of IS in business are as follow:
Need for automated data collection: The modern businesses operate in a dynamic environment. The businesses require capturing and analyzing the market data for better decision making. However, use of automated data collection system helps the businesses to capture the information more efficiently and it increases the need of implementing an IS which is able to manage information automatically.
Analyzing the big data automatically: Use of big data is crucial in the modern organizations. The information system is effective for using and analyzing big data also in more efficient way.
Integrating functions: The modern organizations need to operate in an integrated manner (Hashem et al.2015). Using the information systems, businesses can make the data easy to share and access. It can be stated that need of integrating the functions is another reason behind increasing use of information systems in the businesses.
Analyzing the demand patterns of customers using different channels: Analyzing the need of customers is one of the most important tasks for modern businesses (Power et al.2015). The information systems help the businesses to capture data from different channels such as social media and take necessary actions. 
Taking a predictive and proactive approach: As the modern business environment changes frequently the organizations need to adopt a predictive and proactive approach to adjust with the changes. Use of information systems help organizations to analyze the captured information and predict the future changes and respond accordingly. 

Answer 2

Identifying the clinical processes:

The professionals in the clinic carry out three main activities: registration, billing and recoding the information. The key processes in the clinic are :
Data collection: The clinic has to collect data from the patients for registration. This is done by the admin assistants. After the patients share then information regarding their health problems to the doctor, it is collected again. On basis of the diagnosis, the pharmacist collects data regarding medication and informs the patient. As the process completes, the cashier collects all the data and prepare the bill.
Storing data and analyzing: All the information regarding patients, the health history and treatment are stored in the system for future reference.

Hardware, Software and Networking requirements:

 Figure 1: Diagram of the proposed system
 Source: Created by Researcher
Analysis on the key processes in the clinic indicates that the organization needs a system which will allow the professionals to easily store and share the data.
Hardware: The system would require five computers for each of the professionals working in the clinic.
Software requirements: The systems should have software for storing and accessing data from a cloud based database.
Networking requirements: The system will use a cloud based network for storing the data. Use of cloud based database makes a system highly scalable. In other words, a upgrading the system will be easier in case the number of user changes.


The above discussion indicates that use of information system is effective for the businesses to enhance their operational efficiency. The emerging business and technological trends also are increasing the need of using IS.

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Chang, K. T. (2015). Introduction to geographic information systems. McGraw-Hill Science/Engineering/Math.
Hashem, I. A. T., Yaqoob, I., Anuar, N. B., Mokhtar, S., Gani, A., & Khan, S. U. (2015). The rise of “big data” on cloud computing: Review and open research issues. Information Systems, 47, 98-115.
Laudon, K. C., & Laudon, J. P. (2015). Management Information Systems: Managing the Digital Firm Plus MyMISLab with Pearson eText--Access Card Package. Prentice Hall Press.
Pearlson, K. E., Saunders, C. S., & Galletta, D. F. (2016). Managing and Using Information Systems, Binder Ready Version: A Strategic Approach. John Wiley & Sons.
Power, D. J., Sharda, R., & Burstein, F. (2015). Decision support systems. John Wiley & Sons, Ltd.

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