Strategic information system

A strategic information system (SIS) is a computer system used by organisations to analyse market and competitor information, helping them plan and make their business more successful. It shapes the corporate strategy of an organisation by providing a connection between the organisation's demands and the latest information technology. This connection helps the organisation adapt to the continuous changes in the corporate environment and gain a competitive advantage^[1]

Importance of strategic information systems

SIS supports in decision making by providing useful information to executives and managers. It integrates data from various internal and external sources to give a comprehensive understanding of organisations performance and market trends^[2]

It can give a business competitive advantage by offering insightful data, also helps in identifying opportunities and risks giving business advantage over its competitors^[3]

It aids in achieving company's long-term goals and objectives^[4]

Types of Strategic information systems

• Cost leadership strategy: Helps company reach the lowest costs in the industry through business process engineering, reducing costs from suppliers, and reducing costs to customers ^[5]
• Differentiation strategy: Provides products or services unique and offering more value to customers compared to competitors ^[5]
• Focus strategy: Helps companies focus on specific products or services within the organisation^[5].
• innovation strategy: Provides products or services with 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 product and services ^[5]

References