INFORMATION SYSTEM & ELECTRONIC COMMERCE (GST 5083)
GROUP ASSIGNMENT: Case Stud: Ma!a"e#e!t $!%'#at$! sste# sste# at e
GROUP MEM*ERS: MO+AMA AFIFI *IN MAT ,I (P-.5-/F) MO+ FAISAL *U+ARY *IN A*ULLA+ (P-.501F) MO+ MUSTA2IM *IN MUSTOP+A (P-.5/F) NORA4LIN *IN UARI+ (P-..55)
LECTURER: R6 NOORS+ELLA *T C+E NA,I
1)
Summarize the case study MIS is more than just information technology. It consists of hardware technology,
software technology and network technology in order to deliver advance form of information technology. MIS involves four interrelated information which are firstly, MIS in is not just information technology but also involves its instantiation, and secondly it is as reactive and inetricable elements both an information system and its organizational contet. !hird, MIS involves information technology as a form of intellectual technology and lastly, MIS involves the activities of a "rofession or cor"orate function which are integral to the essence of what MIS is. Starting as a humble small and o"erational com"any, #ell has climbed the ladder into world renowned "ersonal com"uter manufacturer in the world. It is also known as the com"any that "rovides their "roduct by mail ordering method or by a catalogue. $ounded in%&', the sales of #ell have rocketed from (&, "er month to ( * million a day in the late 1++%s. #ell have im"lemented MIS in its daily o"erations mainly as an information "rocessing tools. !he tools that dell uses include com"uters, the internet, ma"s, s"readsheets, model and databases. t the o"erational level of #ell, the most a""ro"riate tool for information "rocessing is ma"s. Ma"s can be used to "rocess the country information and also to determine the demogra"hic level of the "o"ulation. $or the tactical level of #ell, the most a""ro"riate tool is of course the databases. !hrough the said information "rocessing tool, the records that can assist in finding out useful information in order for dell to o"erate in their utmost efficiency. !he inventory control system used by #ell is state of the art technology in order to satisfy the consumer needs and it is so reliable in order to "revent "roblems to arise. It is also what com"any use to know if certain "roducts are still available or misuse of the inventory system may cost "roblems to the com"any.
-) omment on the MIS in #ell and suggest the "ositive and negatives of MIS in #ell/ !he "ositive side of #ell using MIS in the cor"oration is that they are easing u" the fussy work that traditionally done by human. Such as to segregates the demogra"hic data, ma""ing the business in other country and such. !he MIS can be more accurate and can work faster, "roduce better results and can cut down administration and o"erating costs. MIS also hel"s the cor"oration to deal with the consumer needs faster by "roviding databases and solving consumer activity such as "ayments and delivery. 0fficient management information system makes it "ossible to effectively collaborate across boundaries, shared ideas about "roduct designs and value "ro"ositions. !he result is faster and more customerfocused "roduct and service innovation. $urthermore, Management Information Systems also hel"s a dell to create or u"date its inventory control system. s it enables #ell to make sure that any "roduct the consumer need will be available to them at any given time. It is also what the com"any uses to know if certain "roducts are still available or and detects misuse of the inventory system that may cost "roblems to the com"any. Management Information Systems of dell hel"s it to "rocess information from the internet or 2orld 2ide 2eb trends and strategies by other com"anies can be known. fter analysing the trends and strategies used by other com"anies, an a""ro"riate strategy can be formulated to use by the #ell. 3owever, to set u" the so"histicated MIS "ackage is not chea" and much of the money and time need to be invested in order to get MIS "eri"heral u" and running. !he servers itself will cost millions and systems such as ma""ing s and "ayment system will cost more. !he "re"aration also need to be done before installing and im"lementing MIS such as training, "rototy"ing and "ilot test need to be conducted to make sure, the system will not be jeo"ardizing the cor"orations once it is ready. !hings such as corru"tible data and security measures must be monitored closely to avoid misuse of the data gathered. s in the article mentioned 4the misuse of the inventory system may cost "roblems to the com"any.5 nd the cor"oration as large as #ell will not be taking that kind of risk and they will have a bright future to look u"on.
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!he dell directly sells its com"uters to the customer whether it will give them good
and reliable information or they are lacking in information system due to this move/ #ell gives its customers good and reliable information. It has an ecellent su""ly chain and gets integrated
instant
feedback
from
customers
about
needs
and
wants
via
info systems 6"urchasing "atterns online and service "artnershi"s). #ue to fast
"hone service and also 7uick onsite service dell offers customized "roducts better than anyone else. 8ased in the the March issue of onsumer 9e"orts, included a survey of *,1 consumers, who gave #ell :- "oints out of a "ossible 1 for its su""ort on deskto" ;s. lthough it still managed to to" com"eting brands 3ewlett;ackard and om"a7, which scored <* and <1, res"ectively. Shi"ments for the com"any, which "ioneered direct sales of com"uters to consumers, surged -< "ercent year over year to -<.& million units in -', making it the world=s largest ; maker. #ell has a closer relationshi" with customers after cutting out the middleman, thus taking all the "raise from ha""y buyers and all the blame when things go wrong. In addition, the ; business is becoming increasingly commoditized, marked by similarly e7ui""ed machines and "rice erosion. !he "rimary way to distinguish themselves from the com"etitor is to s"oil buyers by "roviding better service and su""ort than com"etitors. #ell=s em"hasis on service emanates directly from the to". 0> and founder Michael #ell wrote in his 1+++ book, ?#irect by #ell,? that relatively sketchy su""ort offered by electronics stores ins"ired him to build his own com"any. !herefore, #ell etremely committed to s"end time each year o"erating the "hone lines to reach and communicate with their customers.
*)
#evelo" the information flow diagram for dell and suggest some im"rovement in the
same.
DELL
dell.com
• host product detail • recieve order and dispatch product
• product detail • price
consume r • access product informati on • place order
3owever, there are several im"rovement on the dell.com that needed to adjust in order to accommodate the customer need and demand such as to "rovide customer review or comment to rate the "roduct. $urthermore, #ell should also revise on the software in order to stimulate the interest of the customer for eam"le giving free trial software and others.
<)
MIS is a combination of Management, Information and System of the three "arts of
the information system in which area does the #ell lacking/ #ell lacks in management as !he om"any has such a huge range of "roducts and com"onents from many su""liers from a number of countries, that there is the occasional "roduct recall that can cause #ell some embarrassment. $or instance, in -* #ell had to recall *.* million la"to" ada"ters because of a fear that they could overheat, causing electric shocks or fires. >n ugust 1@, -@, #ell Inc. announced that after an internal investigation into its accounting "ractices it would restate and reduce earnings from -' through to the first 7uarter of -@ by a total amount of between (< million and (1< million, or - cents to @
cents "er share. !he investigation, begun in Aovember -:, resulted from concerns
raised by the B.S. Securities and 0change ommission over some documents and information that #ell Inc. had submitted. It was alleged that #ell had not disclosed large eclusivity "ayments received from Intel for agreeing not to buy "rocessors from a rival manufacturer. In -1 #ell finally
"aid (1 million to settle the S0=s charges of fraud. Michael #ell and other eecutives also "aid "enalties and suffered other sanctions, without admitting or denying the charges.
!he inefficient management of dell is also obvious from several incidents such asC D
losure of #ell%s biggest call center in "ril, -' terminating 11 em"loyees
D
#ell announced the closing of its manufacturing "lant in Eimerick, Ireland with the
loss of 1,+ jobs and the shift of "roduction to its "lant in ;oland
