List of specific business and system problemsfaced by BMT Letus relate this topic with an article “The effect of information systems on firmperformance and profitability using a case study approach”. This article is basedon a company named Beale and Cole witnessing major growth in its business.During its start-up, it was established as a small family business but now itis one of the leading firms in the South West of England with branches inExeter, Yeovil and Plymouth. The companyhas experienced success over the years.
However, for the competent long termsustainability of this growth, the existing information, communication andtechnology (ICT) infrastructure were insufficient.Initial Review of Bealeand Cole’s information systemsInthis step the internal processes and information systems that has been usedtill now in the organization is reviewed thoroughly so as to point out the listof specific business and system problems faced by Beale and Cole. In this thoroughreview, it is found that duplication of effort, inefficiency in some processesand problems in communication are the major problems experienced by thecompany.Olugbode et al. (2008) developeda model as shown below so as to explain all the major problems in detail and toshow up the impact of the improved information systems on operationalperformance and profitability in the organisation. Efficiency This can be attained byappointing new personnel or acquiring new resources such as new informationsystems targeted at improving organizational efficiency and effectiveness. Lack of uniformity andintegration The major concern was thatthere were many bespoke systems and undocumented manual system, and very littleuniformity in operational procedures.
E-Commerce strategy Although Beale and Cole hada website, it did not give a clear and up to date picture of who they are andwhat they had achieved. The deficiencies apparent on the website meant it couldnot be effectively utilized as a strategic e-commerce tool for marketing thecompany’s services. Communication Information in the organizationwas stored at a very high cost rather than being shared. The main modes ofcommunication within branches were through phone and fax, face to face andlimited use of e-mail, while for customer and suppliers, telephone and fax wereused. There were also the lack of network capabilities for file sharing and organizedpostal system and no internal communications link for the offices. Thistranslated to increased expenditure on telephones. This existing communicationarrangement promoted data duplication, loss of information, elongated processesand increased time frames for decision making.
To eradicate thesedeficiencies, a number of changes were made to the existing system that has ledto the Standardization of forms and procedures between sites, eliminates duplicationof activity, reducing error and improving better communication with branchesand customers, enhanced data security through integrating the IT andcommunications system, improving their reliability, robustness and increasinguser confidence, Implementation of a suitable filing structure reduced timespent locating files and enabled improved archiving capabilities. Olugbode et al. (2008) described the experiencesand lessons learnt at Beale and Cole as they implemented changes to theirexisting IS practices in order to support the level of growth of the business. Thesechanges to the organization’s operational practices, business system and ICTinfrastructure have improved operational processes and efficiency of thecompany. Likewise, in the case of BrisbaneMulti-Faith Temple (BMT), whichopens five sites of multi-faith temple to serve over 10,000 people per day, the chairman Sam is goingto set IT system for all temples like Mount Cotton (the 1st),Rocklea, Toowoomba, Sunshine Coast and Gold Coast.
The growth of the businesshas led to the IT infrastructure, the Donation systematic and various others.There are lists of specific business and system problems faced by BMT asmentioned below:1. Complexity:Growth of business to 5 temples in quick session.
2. IT Setup:To make the systems shareable across the sites, new IT infrastructure isrequired.3. Safetyand Security of Data (across sites) and Logistical Issues: Sam wants to makesystems information shareable across sites without necessary duplication. Healso wants to make proper records of patron donations, staff files, stafftimesheets, and payroll processing and conducting a regular staff meeting.4. CompleteFeedback system: Sam wants the system where a patron can donate money online,or sponsor specific events, or create scholarships. He also wants automaticallysend an email thank the patrons for their contribution.
And this system canprovide a download or print options for a consolidated statement to clients atthe end of the year. 5. FoodProducts Ordering: Telephone calls currently used by BMT sites to make theorder for the food products. Sometimes there have been out of supplies in sometemples.6. Workload:Lack of proper ITsetup in an organization and lack of automation are the major system problemsfaced by BMT.
Nikoloski (2014) explainedthe role of IT in business is clearly apparent. It helps to automate simple,routine tasks and support business activities and take appropriate decisions.In this way, it allows businesses to run efficiently and profitably. Moreover,in today’s world, IT has become an essential asset of firms’ competitiveadvantage. It also helps businesses by reducing workloads and avoidingunnecessary error thereby saving time, cost and energy. Hence, this articlewill help BMT to reduce the problems faced by it due to the lack of technologysetup and no automation.