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Qualification - BTEC Higher National Diploma in Computing
Unit Name - Strategic Information Systems
Unit Number - Unit 07
Assignment Title - Strategic Information Systems
Learning Outcome 1: Analyse the information requirements of organisations.
Answer: Analyzing the information requirements of organizations involves identifying the types of data and information needed at various levels to support decision-making, strategic planning, and daily operations. Organizations require accurate, timely, and relevant information to efficiently manage resources, monitor performance, understand customer behavior, and respond to market changes. At the strategic level, management needs aggregated data and trend analysis for long-term planning, while operational staff require detailed, real-time information to carry out routine tasks. Different departments-such as finance, marketing, HR, and production-have specific information needs based on their functions. By understanding these diverse requirements, organizations can implement effective information systems that enhance productivity, improve communication, and provide a competitive edge in their industry.
Learning Outcome 2: Discuss the types of information systems that are used within all levels of an organisation.
Answer: Organizations use various types of information systems across different levels to support their operations, decision-making, and strategic goals. At the operational level, Transaction Processing Systems (TPS) handle routine, day-to-day business transactions such as sales, payroll, and inventory control. At the management level, Management Information Systems (MIS) and Decision Support Systems (DSS) help middle managers analyze data, generate reports, and make informed decisions based on trends and forecasts. For senior executives, Executive Information Systems (EIS) provide high-level summaries, dashboards, and key performance indicators to support strategic planning and long-term decision-making. Additionally, Enterprise Resource Planning (ERP) systems integrate core business functions across departments, and Customer Relationship Management (CRM) systems are used to manage customer interactions and improve service. Together, these systems ensure the smooth flow of information and support effective coordination throughout the organization.
Learning Outcome 3: Demonstrate the use of an information system to produce management information.
Answer: An information system can be used to produce management information by collecting, processing, and presenting data in a way that supports effective decision-making. For example, a Management Information System (MIS) in a retail business can generate weekly sales reports by gathering data from the point-of-sale system. This data is then analyzed and organized into reports showing sales trends, best-selling products, regional performance, and inventory levels. Managers use this information to identify areas of high demand, adjust stock levels, and make informed decisions on pricing or promotions. By transforming raw data into meaningful insights, the information system helps managers plan strategically, allocate resources efficiently, and respond promptly to changing business conditions.
Learning Outcome 4: Evaluate the effectiveness of strategic information systems.
Answer: Strategic information systems (SIS) are highly effective tools that organizations use to gain a competitive advantage by aligning information technology with long-term business goals. These systems support decision-making at the highest levels by providing real-time data, predictive analytics, and strategic insights that help in market analysis, product development, and resource optimization. For example, a company might use a strategic information system to analyze customer behavior, forecast demand, or monitor competitor activity, allowing it to respond proactively to market trends. When implemented effectively, SIS can enhance innovation, improve customer satisfaction, and increase operational efficiency. However, their success depends on proper integration with business strategies, employee training, data accuracy, and ongoing support. Poorly aligned or outdated systems may lead to wasted resources and missed opportunities, so regular evaluation and alignment with organizational goals are essential to maintain their effectiveness.
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Assignment Brief
Most organisations are fundamentally depending on their information systems and these systems have become a key factor to facilitate and attain efficient decision making in an organization. Organisations are increasingly looking towards the application of technology not only to underpin existing business operations but also to create new opportunities that provide them with a source of competitive advantage.
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Scenario
Select an organization of your choice which you can gain information to address the following tasks. The organisation can be based on your own work environment or an organisation that you have knowledge.
Assume that you have been hired as the business analyst for the particular organisation and you have been asked to prepare a management report to the top management by highlighting the importance of using information systems with the organization to generate productive results. To produce this report you have to identify their information needs, functional departments, processing activities and day-to-day operational inputs and outputs.
Report format
An explanation of chosen organisation including:
Section 1:
Background details of the organization
• Functional areas found in the organisation and their information need with comparing different processing activities occur within functional departments. Support your report with appropriate (I/O) diagram to represent the data and information requirements for functional department.
Section2:
Information needs required at different levels of your organization
The functions and purpose of different information systems types and their need in different levels of the organization
• State the effectiveness of information systems in different organizational levels
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Section 3:
• The importance of having current, valid, accurate data and information for effective decision making and forecasting in your organization
Use of an information system for management reporting purposes
The constraints that your organisation is facing when gathering data and information
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Section 4
• Different models(Porter's competitive advantage, Wiseman's Strategic Planning Process) that can be applied to strategic information systems.
The ways that your organisation can obtain competitive advantage within a global market
• How strategic information systems can contribute to the competitiveness of your organization
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Grading Criteria
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P1 Discuss the information needs and requirements for the functional departments of an organisation.
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P2 Produce an input/output (I/O) diagram to represent the data and information requirements of a functional department.
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P3 Describe the function of different information systems.
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P4 Discuss the information needs required at differing levels within an organisation.
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P5 Demonstrate the use of an information system for management reporting purposes.
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P6 Discuss the importance of an organisation having data and information that is current, valid and accurate.
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P7Identify different models that can be applied to strategic information systems.
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M1 Compare and contrast different processing activities that occur within functional departments within an organisation.
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M2 Analyse the effectiveness of information systems at the operational, tactical and strategic levels within an organisation.
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M3 Analyse the constraints that an organisation can face when gathering data and information.
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M4 Justify the ways in which an organisation can obtain competitive advantage within a global market.
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D1Evaluate the inputs, outputs and processing activities of a selected organisation.
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D2 Differentiate between the function and purpose of information systems at different levels within an organisation.
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D3 Critique with examples, how a given organisation can use information for effective decision-making and forecasting.
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D4 Evaluate how strategic information systems can contribute to the competitiveness of organisations.
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