There are three activities that are crucial in an information system that produce information that an organization requires to make informed decisions, control operations, analyze problems and create new products and services. They are input, processing and outputs.
Inputs: captures or collects raw data from within the organization or from external environment
Processing: converts the raw input into useful form
Output: transfers the processed information to the people who will utilize it
UPS renders service to an international market and had applied the exact principle as mentioned above they would receive a package from their clients which is an input. They would intern scan the package into their information system, issue bar coded label attached to the package which contains detailed information about the sender, destination and when the package should arrive. Customers can download their own labels using software provided by UPS. UPS ensure that the processed package is transferred to the intended recipient ensuring the best customer satisfaction.
UPS has also ensured that they implement the transformation model that is a framework which helps leaders understand their organizations and assist with successful redesign. This model encompasses eight key variables ensuring major improvements in customer service, quality, efficiency, cycle time, profitability and satisfaction of employees.
These variables entail:
Environment
• Organizations can strive only by maintaining harmony with their external environment.
• Being mindful of the evolving needs and perceptions of customers, understanding changes occurring in technologies, identifying your completion and understanding the legal, social and political climate.
• Many organizations fail because they do not embrace their environment.
Strategy
Entails two forms of strategy that will be elaborated below:
Business strategy
• Is a set of informative decisions on how an organization will add value to customers and distinguish itself from their competitors ensuring growth and performance targets are met.
Organizational strategy
• Comprises of the mission, vision, values and guiding principles.
• Assist to transform a company from a normal work place to one that inspires people and bring out their best.
Core process
• Is a sequence of events ensuring a service is rendered?
• Input-process=output
• This includes technology and resources required to produce a deliverable.
• For instance, how a customer is billed is often determined by an information system that incorporates a set of formal processes.
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Structure
• Understands the boundaries, roles, responsibilities and reporting relationships among people.
• Ensuring that it fits with the rest of the organization and assists rather than being an obstacle to performance.
Systems
• Are the inter-related activities that help organize and coordinate work.
• They are managed by management or special support functions.
Culture
• Consists of the leadership style, worker attitude, habits and management practices that make up the personality of the organization.
• UPS priority is customer service which is an aspect of its organizational culture that is found in their companies package tracking system
Results
• Determine the success of an organization and is the starting point to understand how well the organization is functioning.
• Illustrates the organizations strength and weakness and what it needs to improve/change.
Leadership
• Set goals, monitor results, scan the external environment, vision, strategy, design the infrastructure of the organization, and develop people and culture.
• Management’s responsibility is creative work driven by new knowledge and information.
• Information technology can play a pivotal role in helping managers design, deliver new products and services and redirecting and redesigning the organization.
UPS has applied these variables effectively and have shown efficiency in the way they conduct business and are a sought after air and ground package-delivery company in the arena.
