REPSOND TO TWO CLASSMATES POSTS ANSWERING THE FOLLOWING QUESTIONS:
In your Week 1 Discussion you described how business information systems have been applied in an organization with which you are familiar. Read through your colleagues’ posts and by Day 3 (Week 2), respond to two of your colleagues in one or more of the following ways:
- Examine how the business information systems described by your colleague could be or are being used by your organization. Offer additional ways either organization might take advantage of these systems.
- Examine how the business information systems identified by your colleague would affect your professional or personal practices or your organization. What opportunities might there be?
- Share your insights about the business information systems identified by your colleague, and offer additional ideas about the impact they might have and challenges that could occur.
- Expand upon the role of the business information systems presented by your colleague and offer other opportunities, solutions, or implications that your colleague may not have shared.
- Explore other ways in which the technologies shared by your colleague could be used.
General Guidance: Your Discussion responses, due by Day 3, will each typically be 1–2 paragraphs in length as a general expectation/estimate. Refer to the rubric for the Week 1 Discussion for grading elements and criteria.
All of the Role of Business Information Systems
Customer relationship management (CRM) campaigns have traditionally focused on maximizing the profitability of the targeted customers (Ascarza, Ebbes, Netzer, and Danielson, 2017). This is still how customer relationships are managed and cultivated in my small, community financial institution. Our branch managers as well as executive management have been primarily concerned with bringing in new business and expanding our customer base. Working diligently to entice new customers in the community is time consuming and requires a lot of personnel hours as well as a wide area idea to engage a variety of people.
Engaging in customer centricity emphasizes the idea that firms should recognize that customers are different and target only those customers for whom the marketing and business will pay off (Ascarza, et al., 2017). By targeting specific customer areas, we could decrease wasted hours by focusing on customers who would give us their business because we offer them something better than their current bank. This would increase productivity and business while cutting the personnel hours required to develop the plan to target customers. To be different and better than the neighbor bank in a small community, we need to develop plans to target specific types of customers with specific needs.
Accounting information system (AIS) in a financial institution is very important and necessary for decision-making (Knežević, Stanković, & Tepavac, 2012). We have a core processing system which contains all of our reports and spreadsheets for deposit and loans as well as general ledger numbers. These reports will help upper management see concentration of loans and deposits as well as income and losses. Upper management also uses a second program, Business Analytics, which works hand-in-hand with our core processor to analyze numbers and help create projections for our CFO as well as the Board of Directors.
Accounting information system is the basis of information system of a company for reporting to internal and external users (Knežević, et al., 2012). As a financial institution it is important for us to be able to report to management, shareholders, and regulators. Having both of these programs allows our financial department and officer to make decisions about our daily business. This also reflects on how we react to delinquent loans, foreclosures, and charge off deposit accounts. Being able to work with both programs and see projections give them an idea of what needs to be changed to make sure we are continuing to be a profitable business.
Ascarza, E., Ebbes, P., Netzer, O., Danielson, M. (2017). Beyond the target customer: Social effects of customer relationship management campaigns. Journal Of Marketing Research (JMR), 54(3), 347-363.
Knežević, S., Stanković, A., & Tepavac, R. (2012). Accounting information system as a platform for business and financial decision-making in the company. Management, 65, 63–69.
Organizations have various systems that allow them to manage their business practices. We have moved to a time where we are no longer saving data in file cabinets. We have established databases that store, move and update data depending on the system that is utilizing that base. All the information is kept up to date and eliminates corruption and any threats. The information stored can also assist in those decisions the company must make for operational purposes. There are many different systems; however, working at as a customer service representative I am actively aware of two of them. The Customer Relationship Management (CRM) system and Human Resources Information system.
According to Margaret Rouse (2014), the definition of Customer Relationship Management “refers to practices, strategies, and technologies that companies use to manage and analyze customer interactions and data throughout the customer cycle, with the goal of improving business relationships with customers, assisting in customer retention and driving sales growth” (customer relationship management (CRM)). My organization is made up of many different departments, each with a unique approach to collect consumer data; however, it all branches off the same database that is used to measure the input from all of our customers on a company-wide bases. As of January 1, 2018, we have expanded our coverage areas and are working to maximize our member’s benefits. The previous data collected from claims information suggested that most members do not utilize their primary care doctors for general care. Our CRM system is helping us create a relationship with our members, expand their benefits while saving the organization thousands of dollars.
The Human Resource Information System (HRIS) is one of our main systems at my organization. By definition, this is a “software or online solution for the data entry, data tracking and data information needs of the Human Resources, payroll, management, and accounting functions within a business” (Heathfield, 2016). This system is used by most upper management and our HR department. It keeps track of all the organizations data and profiles of employees. The HRIS practically holds all the information that is related to our organization, and most times to promote you have to have HRIS experience.
Any system an organization uses is important and of great value. As a manager, it is important to understand what that system does and how to work each system; even if you don’t utilize it in your day-to-day workload. These systems work within the background and keep everything that goes in and out the organization up to date. Managers should know how and where to access their information as well as who to contact if something is wrong. Being able to understand each system is important regardless of a person position, especially if there are plans to promote towards a higher position.
Heathfield, S. (2016, Dec 11). Human Resources Information System (HRIS). Retrieved from The Balance: https://www.thebalance.com/human-resources-informa…
Rouse, M. (2014, Nov). customer relationship management (CRM). Retrieved from http://searchcrm.techtarget.com/definition/CRM