0% found this document useful (0 votes)
30 views16 pages

IPM Individual Assignment1

Copyright
© © All Rights Reserved
We take content rights seriously. If you suspect this is your content, claim it here.
Available Formats
Download as PDF, TXT or read online on Scribd
0% found this document useful (0 votes)
30 views16 pages

IPM Individual Assignment1

Copyright
© © All Rights Reserved
We take content rights seriously. If you suspect this is your content, claim it here.
Available Formats
Download as PDF, TXT or read online on Scribd
You are on page 1/ 16

MICROLINK INFORMATION TECHNOLOGY AND BUSINESS COLLEGE

DEPARTMENT OF MANAGEMENT
MBA PROGRAM

ASSIGNMENT FOR THE COURSE INFORMATION PROCESSING AND


MANAGEMENT

Prepared By Hafte Micheale ID 0428/23

SUMITTED TO: MEHARI HAILE (PHD.)

Page 1 of 16
1. Identify the computer systems and peripherals you would acquire or recommend for
a business of your choice, and explain the reasons for your selections.

For a medium-sized business, I would recommend a combination of desktop computers and


laptops to meet the varied computing needs. On the desktop side, 20 Dell Optiplex 7000
Series PCs would provide a powerful foundation. These desktops feature Intel Core i7
processors, 16GB of RAM, and 512GB solid-state drives, running Windows 11 Pro. This
configuration would give employees the performance and storage they need for productivity
applications, data analysis, and other demanding tasks.

To complement the desktop solutions, 10 Dell Latitude 9000 Series laptops would offer
portable computing power. These laptops are equipped with Intel Core i5 processors, 8GB of
RAM, and 256GB SSDs, also running Windows 11 Pro. The portability of these laptops
would allow employees to work remotely, travel, or visit clients on-site as needed.

In terms of peripherals, 30 Dell UltraSharp 27-inch 4K monitors would enhance productivity


and visual clarity, particularly for tasks like graphic design or financial analysis. To
accompany the monitors, 30 Logitech MX Master 3 wireless mice provide ergonomic input
devices to reduce strain during extended computer use.

For printing and document handling, the recommendation includes 10 Epson WorkForce Pro
multifunction printers, which can handle printing, scanning, copying, and faxing tasks.
Additionally, 2 Brother HL-L9310CDW color laser printers would provide higher-volume,
faster printing capabilities for specialized needs like marketing collateral.

Finally, 2 Wacom Cintiq Pro 24-inch creative pen displays would cater to the needs of
graphic designers, digital artists, and 3D modelers, enabling them to work directly on the
screen using a stylus.

This hardware selection aims to strike a balance between performance, functionality, and
flexibility to meet the diverse computing requirements of a medium-sized business. The
chosen brands and models are known for their reliability, support, and integration within a
Windows-based IT environment.

2. Identify several basic competitive strategies and explain how a business can use IT to
confront the competitive forces faced by a business

Businesses can leverage various competitive strategies to gain an advantage in the market.
One common approach is the cost leadership strategy, which aims to be the low-cost provider
in the industry (Porter, 1980). Information technology (IT) can support this strategy by
Page 2 of 16
automating processes, improving operational efficiency, and reducing overhead costs. For
example, implementing enterprise resource planning (ERP) systems can streamline
workflows, while using data analytics can optimize inventory management and supply chain
logistics (Laudon & Laudon, 2020).

Another competitive strategy is the differentiation strategy, which focuses on offering unique
products or services that command a premium price (Porter, 1980). IT can enable
differentiation by enhancing the customer experience, developing innovative offerings, and
improving time-to-market. Deploying customer relationship management (CRM) systems can
help businesses better understand and serve their customers, while product lifecycle
management (PLM) software can accelerate new product development (Turban et al., 2018).

A third competitive strategy is the focused or niche strategy, which targets a specific market
segment or geographic region (Porter, 1980). IT can support niche strategies by enhancing
personalization, agility, and responsiveness. Implementing advanced analytics can provide
deeper insights into the target customer segment, and using flexible, modular IT systems can
enable rapid adaptation to changing customer needs (Laudon & Laudon, 2020).

Regardless of the specific competitive strategy, IT can be a powerful enabler in several ways:
improving operational efficiency and reducing costs, enhancing customer experience and
product/service differentiation, increasing business agility and responsiveness to market
changes, and leveraging data and analytics to gain deeper insights and make more informed
decisions (Laudon & Laudon, 2020; Turban et al., 2018). By strategically aligning IT
investments and capabilities with the chosen competitive approach, businesses can better
confront the competitive forces they face and gain a sustainable advantage in the market.

3. Explain the advantages of a database management approach to managing the data


resources of a business.

The use of a database management system (DBMS) offers several advantages for businesses
in managing their data resources (Connolly & Begg, 2015). One key advantage is the
centralized management of data, which allows for better control, coordination, and
consistency of information across the organization, rather than having it scattered across
multiple, disconnected files or spreadsheets (Coronel & Morris, 2022).

A DBMS also provides enhanced data integrity and security features. It enforces data
integrity rules and constraints to ensure the accuracy, consistency, and reliability of the data,
and it offers advanced security mechanisms to control user access and protect data from

Page 3 of 16
unauthorized modifications or breaches (Ramakrishnan & Gehrke, 2003). This helps maintain
the overall quality and trustworthiness of the organization's data assets.

By storing data in a structured, organized database, a DBMS improves data availability and
accessibility for authorized users. This enables them to quickly and easily retrieve the
information they need to support better decision-making (Connolly & Begg, 2015).
Additionally, a well-designed DBMS can reduce data redundancy, which not only saves
storage space but also ensures that updates are consistently propagated throughout the
organization (Coronel & Morris, 2022).

Another key benefit of a DBMS is its ability to integrate data from multiple sources,
providing a more comprehensive and holistic view of the business. This supports better
analysis, reporting, and decision-making (Connolly & Begg, 2015). Furthermore, modern
DBMS technologies offer scalability to handle growing data volumes and user demands, as
well as advanced features, such as indexing and query optimization, to ensure efficient data
retrieval and processing (Ramakrishnan & Gehrke, 2003).

Finally, a DBMS typically includes robust backup and recovery mechanisms to protect
against data loss due to hardware failures, human errors, or other unexpected events. This
ensures the availability and integrity of the organization's data assets, which is crucial for
business continuity and resilience (Coronel & Morris, 2022).

By adopting a database management approach, businesses can better manage their data
resources, improve data quality and access, and support more informed decision-making,
ultimately leading to enhanced organizational performance and competitiveness.

4. Explain why knowledge of information systems is important for business


professionals, and identify five areas of information systems knowledge that they
need.

Knowledge of information systems is crucial for business professionals in today's


technology-driven business environment. Understanding information systems can help
business professionals leverage technology to gain a competitive advantage, improve
operational efficiency, and better serve customers (Laudon & Laudon, 2020). This
knowledge also enables them to make more informed decisions by leveraging data,
analytics, and business intelligence tools (O'Brien & Marakas, 2011). Additionally,
familiarity with information systems allows business professionals to communicate
effectively with IT staff and understand the capabilities and limitations of technology
within the organization (Stair & Reynolds, 2018).
Page 4 of 16
Awareness of information systems can also help business professionals identify
opportunities to streamline business processes, automate tasks, and enhance productivity
(Laudon & Laudon, 2020). Furthermore, understanding information systems can aid
business professionals in identifying and mitigating technology-related risks, such as data
breaches, system failures, and regulatory compliance issues (O'Brien & Marakas, 2011).

There are five key areas of information systems knowledge that business professionals
need to possess. First, they should understand the role of enterprise-wide systems, such as
ERP (Enterprise Resource Planning), CRM (Customer Relationship Management), and
SCM (Supply Chain Management), and how they can be leveraged to integrate and
optimize business processes (Stair & Reynolds, 2018). Second, knowledge of data
management principles, data analysis techniques, and business intelligence tools can help
business professionals extract insights from data to support decision-making (Laudon &
Laudon, 2020).

Third, business professionals should be aware of cybersecurity threats, data privacy


regulations, and best practices for protecting the organization's information assets
(O'Brien & Marakas, 2011). Fourth, understanding the impact of emerging technologies,
such as cloud computing, mobile devices, and the Internet of Things, can help business
professionals develop and implement digital transformation strategies (Stair & Reynolds,
2018). Finally, knowledge of IT project management methodologies, such as Agile and
Waterfall, can enable business professionals to effectively collaborate with IT teams and
ensure the successful delivery of technology-driven initiatives (Laudon & Laudon, 2020).

By possessing a strong understanding of these key areas of information systems, business


professionals can leverage technology to drive innovation, improve operational efficiency,
and enhance their organization's competitiveness in the marketplace.

5. Give examples to illustrate how the business applications of information systems can
support a firm’s business processes, managerial decision making, and strategies for
competitive advantage.
Enterprise Resource Planning (ERP) systems and Customer Relationship Management
(CRM) systems are two examples of how the business applications of information systems
can support a firm's core business processes. A manufacturing firm can use an ERP system
like SAP or Oracle to integrate and streamline its inventory management, production
Page 5 of 16
planning, and order fulfillment processes, which helps improve operational efficiency and
responsiveness (Monk & Wagner, 2013). Similarly, a software company can leverage a CRM
system like Salesforce to automate and enhance its sales and customer service processes,
enabling the firm to better manage customer information, track interactions, and provide
personalized support, ultimately improving customer satisfaction and retention (Greenberg,
2010).
Information systems can also aid managerial decision making through the use of Business
Intelligence (BI) tools and Predictive Analytics. A retail organization, for instance, can use BI
tools like Microsoft Power BI or Tableau to analyze sales data, identify trends, and generate
valuable insights (Turban et al., 2017). Managers can then leverage these insights to make
more informed decisions about product pricing, inventory management, and marketing
strategies. Similarly, an insurance company can employ predictive analytics models to assess
risk factors and forecast claims, allowing managers to make more accurate underwriting
decisions and price their products competitively (Siegel & Davenport, 2013).

Firms can also leverage information systems to develop strategies for competitive advantage.
One example is Digital Transformation, where a financial services firm can invest in digital
technologies, such as mobile banking apps and online trading platforms, to provide a more
convenient and personalized customer experience. This can help the firm differentiate itself
from competitors and attract a larger customer base (Westerman et al., 2014). Another
example is the use of the Internet of Things (IoT), where a logistics company can leverage
IoT sensors and data analytics to optimize its transportation and distribution processes,
leading to faster delivery times and lower operational costs, which can give the firm a
competitive edge in the market (Porter & Heppelmann, 2014). Lastly, a firm can implement
advanced cybersecurity measures, such as encryption, access controls, and intrusion detection
systems, to protect customer data and build trust with its clients, which can be a key
differentiator in the industry (Whitman & Mattord, 2018).
By effectively leveraging the business applications of information systems, firms can
streamline their operations, improve decision-making, and develop innovative strategies to
outperform their competitors in the market.
6. Identify several basic competitive strategies and explain how they use information
technologies to confront the competitive forces faced by a business.
Porter's Generic Competitive Strategies
According to Porter's model of generic competitive strategies, firms can pursue one of
three main strategies to gain a competitive advantage: cost leadership, differentiation, or

Page 6 of 16
focus (Porter, 1980). Information technologies can support these strategies in the
following ways:

Cost Leadership: Firms pursuing a cost leadership strategy aim to be the low-cost
producer in their industry. Information systems can help reduce costs through process
automation, inventory optimization, and supply chain management. For example, a
manufacturing firm can use Enterprise Resource Planning (ERP) systems to streamline its
production and logistics processes, leading to higher efficiency and lower operating costs
(Monk & Wagner, 2013).

Differentiation: Firms following a differentiation strategy seek to offer unique products or


services that are perceived as superior by customers. Information systems can enable
product innovation, enhance customer experience, and improve brand positioning. A
software company, for instance, can leverage Customer Relationship Management (CRM)
systems to better understand customer needs and develop customized solutions,
differentiating itself from rivals (Greenberg, 2010).
Focus: In a focus strategy, firms target a specific market segment or niche and tailor their
offerings to that segment. Information technologies can help firms gather and analyze
detailed customer data to better understand the needs of their target market. A luxury
hotel chain, for example, can use business intelligence (BI) tools to analyze guest data
and preferences, enabling it to provide a more personalized experience for its high-end
clientele (Turban et al., 2017).
Disruptive Innovation
Disruptive innovation refers to the process of developing simpler, more affordable, and
more accessible products or services that eventually disrupt and replace established
market leaders (Christensen, 1997). Information technologies can enable disruptive
innovation by lowering barriers to entry, facilitating the creation of new business models,
and empowering customers. For instance, the rise of mobile banking apps and digital
payment platforms has disrupted traditional banking services, providing consumers with
more convenient and cost-effective financial solutions (Westerman et al., 2014).
Digitization and Digital Transformation
Digitization, the process of converting analog information into digital form, and digital
transformation, the strategic integration of digital technologies to fundamentally change a
business, can also confront competitive forces (Matt et al., 2015). Firms can leverage
digital technologies, such as cloud computing, big data analytics, and the Internet of
Things (IoT), to enhance operational efficiency, improve customer experience, and
Page 7 of 16
develop new revenue streams. For example, a logistics company can use IoT sensors and
data analytics to optimize its supply chain, leading to faster deliveries and lower costs,
which can give the firm a competitive edge (Porter & Heppelmann, 2014).

By aligning their information technology strategies with these competitive strategies,


firms can better confront the forces of competition and position themselves for long-term
success in the market.

7. Explain how knowledge management systems can help a business gain strategic
advantage.
Knowledge Management Systems (KMS) can help a business gain strategic advantage in
several ways. Here's an explanation with references and citations:
Improved Decision-Making:
KMS can provide businesses with comprehensive, up-to-date, and easily accessible
information, enabling better-informed decisions. By capturing and organizing the
organization's collective knowledge, KMS can help employees make more effective
decisions, leading to competitive advantage. As Alavi and Leidner (2001) explain, "KMS
provide a mechanism for transforming individual knowledge into organizational knowledge,
thereby improving the organization's ability to solve problems and exploit new
opportunities."
Enhanced Innovation and Adaptability:
KMS can facilitate the sharing and application of knowledge, fostering innovation and
responsiveness to changing market conditions. By allowing employees to access and build
upon the organization's knowledge base, KMS can help businesses adapt more quickly to
evolving customer needs and competitive pressures (Davenport & Prusak, 1998).
Reduced Duplication of Effort:
KMS can prevent the reinvention of the wheel by ensuring that employees have access to the
organization's best practices, lessons learned, and existing solutions. This can lead to
increased efficiency and cost savings, as Housel and Bell (2001) highlight: "KMS can reduce
the duplication of effort and the reinvention of the wheel, thereby increasing organizational
productivity and reducing costs."
Improved Organizational Learning:
KMS can support organizational learning by capturing and disseminating knowledge across
the organization. This can help businesses stay ahead of the competition by continuously
learning and improving their processes and offerings (Alavi & Leidner, 2001).
Page 8 of 16
Enhanced Employee Collaboration and Expertise Sharing:
KMS can facilitate collaboration and knowledge sharing among employees, allowing them to
leverage each other's expertise and experience. This can lead to improved problem-solving,
better decision-making, and the development of new ideas and solutions (Nonaka &
Takeuchi, 1995).
By implementing an effective KMS, businesses can gain a strategic advantage by improving
decision-making, fostering innovation, reducing duplication, enhancing organizational
learning, and promoting collaboration and expertise sharing.
8. What is the role of a database management system in a business information
system?
The role of a Database Management System (DBMS) in a business information system is
crucial. A DBMS is a software system that manages the storage, organization, and retrieval of
data in a structured and efficient manner. Here's an explanation of the role of a DBMS in a
business information system, with references and citations:
Data Management and Integration:
A DBMS acts as the central repository for an organization's data, providing a unified and
consistent way to store, manage, and access information. It helps integrate data from various
sources, ensuring data integrity and facilitating seamless data exchange across different
business functions and applications (Connolly & Begg, 2014).
Efficient Data Storage and Retrieval:
A DBMS offers efficient data storage and retrieval mechanisms, allowing businesses to store
large volumes of data and quickly access the required information. This is achieved through
features like indexing, query optimization, and advanced data structures (Silberschatz et al.,
2019).
Data Integrity and Security:
A DBMS enforces data integrity rules and security measures to ensure the accuracy,
reliability, and confidentiality of the stored data. This includes features like transaction
management, access control, and data backup and recovery (Elmasri & Navathe, 2016).
Scalability and Concurrency Control:
A DBMS supports scalability, allowing businesses to handle increasing amounts of data and
user traffic without compromising performance. It also provides concurrency control
mechanisms to ensure that multiple users can access and modify data simultaneously without
data conflicts (Ramakrishnan & Gehrke, 2003).
Reporting and Analytics:
A DBMS, in conjunction with business intelligence and data analytics tools, can provide
valuable insights and support decision-making processes. The structured data stored in the
Page 9 of 16
DBMS can be queried, analyzed, and transformed into meaningful reports and visualizations
(Turban et al., 2017).
Backup and Recovery:
A DBMS offers robust backup and recovery mechanisms to protect against data loss and
ensure business continuity. This includes features like transaction logging, snapshot
management, and disaster recovery capabilities (Elmasri & Navathe, 2016).
By fulfilling these essential roles, a DBMS becomes a crucial component of a business
information system, enabling organizations to effectively manage, utilize, and derive value
from their data, ultimately contributing to their strategic and competitive advantage.
9. What are the advantages of a database management approach to the file processing
approach? Give examples to illustrate your answer.

The database management approach offers several advantages over the traditional file
processing approach. Here are the key advantages, with examples and citations to illustrate:
Data Independence:
In a database management approach, data is stored and managed independently of the
applications that use it. This allows for changes in the data structure or storage without
affecting the applications, improving flexibility and adaptability (Elmasri & Navathe, 2016).
For example, a company can migrate its customer data to a new database without having to
rewrite all the applications that access that data.
Reduced Data Redundancy and Inconsistency:
A database management approach uses a centralized data repository, reducing data
redundancy and the potential for data inconsistency. In a file processing approach, data may
be duplicated across multiple files, leading to the risk of data inconsistencies (Connolly &
Begg, 2014). For instance, in a file processing system, customer contact information may be
stored in multiple files, and updating the information in one file without updating the others
could result in inconsistent data.
Improved Data Integrity and Security:
A DBMS provides mechanisms to enforce data integrity rules and security measures, such as
transaction management, access control, and backup and recovery procedures (Silberschatz et
al., 2019). This helps ensure the accuracy, reliability, and confidentiality of the data, which is
crucial for business operations. For example, a DBMS can prevent the entry of invalid
customer addresses or restrict access to sensitive financial data.
Efficient Data Access and Manipulation:
DBMS provide advanced data access and manipulation capabilities, such as indexing, query
optimization, and complex data structures. This allows for faster and more efficient data

Page 10 of 16
retrieval, processing, and analysis compared to traditional file processing approaches
(Ramakrishnan & Gehrke, 2003). For instance, a DBMS can quickly retrieve and aggregate
sales data across multiple product categories, whereas a file processing approach may require
manual searching and aggregation.
Improved Concurrency Control and Scalability:
A DBMS supports concurrent access to data by multiple users and applications, as well as
scalability to handle growing data volumes and user traffic (Elmasri & Navathe, 2016). This
is particularly important for businesses with dynamic and high-volume data requirements. For
example, an e-commerce website powered by a DBMS can handle simultaneous product
searches, purchases, and inventory updates without data conflicts or performance issues.
Enhanced Data Analysis and Decision Support:
DBMS, when integrated with business intelligence and data analytics tools, can provide
valuable insights and support decision-making processes (Turban et al., 2017). The structured
and centralized data in a DBMS enables more effective reporting, trend analysis, and
predictive modeling, which can give businesses a competitive edge.
By addressing the limitations of the file processing approach, the database management
approach offers significant advantages in terms of data management, integrity, security, and
analytical capabilities, making it a more suitable approach for modern business information
systems.

10. Identify the computer systems and peripherals you would acquire or recommend for
a business of your choice, and explain the reasons for your selections.

Desktop Computers:
For the business, I would recommend a mix of high-performance and mid-range desktop
computers. This combination can cater to the diverse needs of different departments and
employees. The high-performance systems would be suitable for tasks that require significant
processing power, such as data analysis, software development, and multimedia production.
The mid-range systems, on the other hand, would be appropriate for general office
productivity, web browsing, and less resource-intensive applications. This approach ensures
that each employee has access to the appropriate level of computing power, optimizing
productivity and efficiency (Laudon & Laudon, 2020).
Laptop Computers:
In addition to desktop computers, I would also recommend lightweight and portable laptop
computers, with a focus on features like long battery life and mobility. Laptop computers are
essential for employees who need to work remotely, attend meetings, or travel frequently. By
Page 11 of 16
prioritizing portability and battery life, these laptops can enhance productivity and
collaboration, as employees can remain connected and productive even when away from their
desks (Turban et al., 2017).
Servers:
To support the business's critical applications, databases, and network infrastructure, I would
recommend the acquisition of powerful and reliable server systems. These server systems
should be designed with redundancy and scalability features to ensure data security, optimal
performance, and the ability to handle the growing needs of the business. Robust server
infrastructure is the backbone of the business information system, providing the necessary
foundation for the organization's digital operations (Stallings & Brown, 2015).
Printers and Multifunction Devices:
For printing, scanning, copying, and faxing requirements, I would recommend a combination
of high-speed, network-enabled printers and multifunction devices. These devices should be
strategically placed throughout the organization, catering to the needs of different
departments and workgroups. Factors like print speed, duplex printing, and network
connectivity should be considered to improve workflow efficiency and enable shared access
to these resources (Soles, 2020).
Display Devices:
To ensure user comfort, productivity, and collaboration, I would recommend high-resolution,
adjustable, and ergonomic monitors for desktop computers. Additionally, portable displays
should be provided for laptop users, enabling them to work comfortably and efficiently, even
when away from their primary workstations. Proper display devices can enhance the user
experience and minimize eye strain, especially for tasks that require extended periods of
viewing (Kroemer & Grandjean, 2017).
Networking Equipment:
To support the business's connectivity requirements, I would recommend the acquisition of
reliable and high-bandwidth network switches, routers, and wireless access points. A robust
networking infrastructure is crucial for secure and efficient data exchange, remote access, and
collaboration within the organization. By investing in reliable networking equipment, the
business can ensure seamless communication, data transfer, and access to shared resources
(Stallings & Brown, 2015).
Backup and Storage Devices:
To safeguard the organization's data and ensure business continuity, I would recommend the
deployment of enterprise-grade external hard drives, network-attached storage (NAS)
devices, and cloud-based storage solutions for data backup and archiving. Reliable backup
and storage solutions are essential for data protection, disaster recovery, and compliance
Page 12 of 16
requirements. By implementing a comprehensive data management strategy, the business can
mitigate the risk of data loss and ensure the long-term preservation of critical information
(Elmasri & Navathe, 2016).
The selection of these computer systems and peripherals should be based on the specific
business requirements, industry standards, and the company's growth and expansion plans.
Regular maintenance, upgrades, and replacement strategies should also be considered to
ensure the continued efficiency and reliability of the business information system.
11. Identify several challenges that a business manager might face in managing the
successful and ethical development and use of information technology in a business.
One of the key challenges facing business managers is the growing threat of cybersecurity
breaches, such as data breaches, ransomware attacks, and other malicious activities.
Protecting sensitive business and customer data from these threats requires constant
vigilance, robust security measures, and employee training (Ahmad et al., 2019).

Business managers must strike a delicate balance between embracing technological


innovations that can drive business growth and success, and managing the associated risks,
such as compatibility issues, system failures, and the impact on existing business processes
(Nambisan et al., 2017).
Businesses are subject to various data privacy regulations, such as the General Data
Protection Regulation (GDPR) and the Health Insurance Portability and Accountability Act
(HIPAA), which require the ethical and compliant handling of sensitive data. Ensuring
compliance can be a significant challenge for business managers (Wachter, 2018).
As technology continues to transform business operations, business managers must ensure
that their workforce is equipped with the necessary digital skills and knowledge to adapt to
new systems and processes. Investing in employee training and development is crucial to
maintain productivity and competitiveness (Colbert et al., 2016).
The increasing use of artificial intelligence (AI) and automation in business operations raises
ethical concerns, such as job displacement, algorithmic bias, and the transparency of
decision-making processes. Business managers must navigate these complex issues to ensure
the ethical and responsible deployment of these technologies (Mittelstadt, 2016).
Rapidly changing technology landscapes can quickly render existing IT systems and
infrastructure obsolete, requiring ongoing investments in upgrades, replacements, and
maintenance. Business managers must balance these costs with the need to maintain a
competitive edge (Vial, 2019).
Businesses often rely on external vendors and third-party service providers for various IT-
related services, such as cloud computing, software development, and data management.
Page 13 of 16
Effectively managing these relationships, ensuring data security, and maintaining control over
critical business functions can be a significant challenge for business managers (Trier et al.,
2021).

12. Explain how database management software helps business professionals and
supports the operations and management of a business

Database management software plays a crucial role in supporting the operations and
management of a business. These software systems provide business professionals with a
structured and organized way to store, manage, and retrieve data, which is essential for
making informed decisions and streamlining business processes.

One of the primary benefits of database management software is its ability to centralize and
integrate data from various sources within an organization (Guo et al., 2021). By
consolidating data into a single, well-structured repository, business professionals can access
and analyze information more efficiently, reducing the time and effort required to gather and
process data. This integration of data can help improve the overall accuracy and consistency
of the information used in decision-making (Haug et al., 2011).

Database management software also enables businesses to improve their data security and
compliance with relevant regulations (Al-Sharafi et al., 2017). These systems often include
features such as access controls, backup and recovery mechanisms, and audit trails, which
help protect sensitive data from unauthorized access or manipulation. This is particularly
important in industries where data privacy and security are critical, such as healthcare,
finance, or e-commerce.

Furthermore, database management software supports the efficient management and


organization of a business's operations. By storing and managing data related to inventory,
sales, customer relationships, and other key business functions, these systems provide
business professionals with real-time insights and analytical capabilities (Yoo et al., 2012).
This can help organizations make more informed decisions, optimize their workflows, and
respond to changes in the market more effectively.

In addition, database management software can facilitate collaboration and communication


within an organization. By providing a centralized repository for data, these systems enable

Page 14 of 16
multiple users to access and share information, fostering better coordination and decision-
making across different departments or business units (Yoo et al., 2012).

Overall, the integration of database management software into a business's operations and
management can significantly improve efficiency, data security, and decision-making
capabilities, ultimately contributing to the organization's overall success and competitiveness.

References

 Ahmad, A., Maynard, S. B., & Shanks, G. (2019). A case analysis of information systems
and cybersecurity evacuation. Australasian Journal of Information Systems, 23.
 Al-Sharafi, M. A., Arshah, R. A., & Herzallah, F. A. (2017). The impact of information
security awareness on employee's behavior: An empirical study on the banking sector
in Palestine. Journal of Theoretical and Applied Information Technology, 95(22), 6082-
6093.
 Colbert, A., Yee, N., & George, G. (2016). The digital workforce and the workplace of
the future. Academy of Management Journal, 59(3), 731-739.
 Guo, X., Lu, J., Feng, Y., & Wang, T. (2021). Examining the antecedents of information
integration in omnichannel retailing. Information & Management, 58(1), 103295.
 Haug, A., Arlbjørn, J. S., & Pedersen, A. (2011). Journal of Enterprise Information
Management, 24(3), 228-246.
 Mittelstadt, B. D. (2016). Auditing for transparency in content personalization systems.
International Journal of Communication, 10, 4991-5002.
 Nambisan, S., Lyytinen, K., Majchrzak, A., & Song, M. (2017). Digital innovation
management: Reinventing innovation management research in a digital world. MIS
Quarterly, 41(1), 223-238.
 Trier, M., Kamprath, N., & Bobrik, A. (2021). The impact of IT outsourcing on the
control and management of IT functions. Information & Management, 58(2), 103382.
 Vial, G. (2019). Understanding digital transformation: A review and a research agenda.
The Journal of Strategic Information Systems, 28(2), 118-144.

Page 15 of 16
 Wachter, S. (2018). Normative challenges of identification in the Internet of Things:
Privacy, profiling, discrimination, and the GDPR. Computer Law & Security Review,
34(3), 436-449.
 Yoo,Y., Boland Jr, R. J., Lyytinen, K., & Majchrzak, A. (2012). Organizing for innovation in
the digitized world. Organization Science, 23(5), 1398-1408.

Page 16 of 16

You might also like