Strategic information system
Template:Short description Script error: No such module "Unsubst". A strategic information system (SIS) is a computer system used by organizations to analyze market and competitor information in support of business planning.[1] It contributes to corporate strategy by linking organizational requirements with information technology.[2] This linkage is intended to assist organizations in responding to ongoing changes in the business environment, including competitive conditions.[1]
In addition, SIS may support decision-making by providing data analytics, trend forecasting, and performance metrics.[3] These capabilities can be used by managers to assess opportunities, evaluate risks, and examine operational efficiency.[3] By integrating internal organizational processes with external market information, a strategic information system supports both operational decision-making and longer-term strategic planning, including activities related to innovation.[2]
Importance
A strategic information system is used by some organizations to support managerial decision-making by aggregating and presenting internal and external data. By integrating data from multiple internal and external sources, SIS systems provide a comprehensive view of an organisations performance and market trends.[3]
SISs support the achievement of a company’s long-term goals and objectives.[4]
Types
- Cost leadership strategy: It helps a company reach the lowest costs in the industry through business process engineering, reducing costs from suppliers, and reducing costs to customers.[5]
- Differentiation strategy: It provides unique products or services and offering more value to customers than competitors.[5]
- Focus strategy: Helps companies focus on specific products or services within the organization.[5]
- Innovation strategy: Provides products or services with the latest innovations.[5]
- Alliance strategy: Creates cooperative relationships that benefit both suppliers and other companies, even with competitors.[5]
- Growth strategy: Helps companies develop and diversify their market.[5]
- Quality strategy: Helps improve the quality of products and services.[5]