How information systems help organizations achieve strategic business goals

It is unimaginable for companies to work without significant investments in systems. E-commerce companies like eBay, Google and Amazon will simply disappear without the use of information systems. Service industries such as finance, real estate, insurance, education, medicine and travel will go out of business unless supported by information systems. Likewise, retail giants like Sears and manufacturing companies like General Electric and General Motors rely on information systems to thrive and thrive.

Tall buildings with elevators, offices and telephones were the foundation of business in the 20th century, but information technology alone can make or break a business in the 21st century. It is not possible for a company to implement corporate strategies and achieve corporate goals without using an efficient information system. A business decision such as launching new products or increasing market share depends on the quality and type of information systems in the organization.

Organizations in particular are investing heavily in MIS to achieve six strategic business objectives:

  • Customer and supplier proximity
  • Operational Excellence
  • Competitive advantage
  • Improved decision making
  • New products and services and business models
  • Survive

Customer and Supplier Intimacy

Knowing millions of offline and online customers can bring the company unexpected profits, which is why companies invest a lot of time and money to improve intimacy with customers. MIS and technologies help companies a lot to connect with customers.

Operational Excellence

Companies continuously improve the efficiency of their business to achieve higher profitability. MIS and technologies are among the most effective solutions available to a business to improve operations.

Competitive advantage

When a company offers superior products at a low cost and responds to customer inquiries in less time, it generates higher sales and revenue for the company.

Improved decision making

Making an informed decision requires the right information at the right time. But when a company relies on best guess, forecast, and luck, it leads to misallocation of resources, poor response time, and over- or under-production of goods and services.

New products and services and business models

MIS and technologies enable companies to develop new products and services as well as new business models. A business model explains how a company produces, supplies, and sells a service or product to create wealth.


Businesses also invest in information technologies to meet the needs of doing business. For example, in the New York area, the first ATMs were introduced in 1977.

Thanks to Rashmi Arrora | #information #systems #organizations #achieve #strategic #business #goals

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