Strategic information system

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Short description: Organizational analytic system

Template:No significant coverage }} A strategic information system (SIS) is a computer 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, trends, and 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 planning.[2]

Importance

Strategic information systems consolidate data from internal operations and external market variables to assist in long-term planning.[2] The integration of these datasets allows for the identification of competitive trends and the alignment of IT infrastructure with organizational goals.[3]

Types

  • Cost strategy: It helps companies reach the lowest costs in the industry through business process engineering, reducing costs from suppliers, and reducing costs to customers.[4]
  • Differentiation strategy: It involves providing products or services that differ from those of competitors.[4]
  • Focus strategy: It helps companies focus on specific products or services within the organization.[4]
  • Innovation strategy: It provides products or services with the latest innovations.[4]
  • Alliance strategy: It creates cooperative relationships that benefit both suppliers and other companies, even with competitors.[4]
  • Growth strategy: It helps companies develop and diversify their market.[4]
  • Quality strategy: It helps improve the quality of products and services.[4]
  • Market Penetration Strategy: Expanding sales of existing products in existing markets through pricing, promotion, or distribution improvements.[5]
  • Product Development Strategy: Creating new or significantly improved products for existing markets.[5]

See also

References