Summary
Amazon is the world’s biggest online retailer that sells a wide range of products. It is recognized as the top retailer globally and is one of the most inventive online stores. Business information systems (BIS) offer information that businesses may utilize to govern themselves more efficiently and effectively, generally via computer systems and technology. Information systems have benefited Amazon in achieving its strategic business goals in several ways:
Operational Excellence
The capacity to manage and monitor systems to create corporate value and continuously enhance supporting procedures and processes is part of operational excellence. This section contains design concepts, best practices, and Amazon Connect task operational efficiency concerns. AWS has emerged as a leader in platform services and cloud infrastructure in the recent past (Meyer, 2022). Amazon considers high volume and relatively inexpensive to be essential principles that are part of their typical business operations. It has structured its data centers to provide dependable, on-demand services at a cheap cost. Amazon has mastered the process of planning, constructing, and running data centers. It uses information systems by utilizing intent servers, stores, and networks, allowing support to control costs closely while assuring the delivery of dependable on-demand services. As a result, information technology has assisted Amazon in achieving operational excellence by boosting communications with suppliers and streamlining the supply chain.
New Products, Services, and Business Models
Due to enhanced dependency on information systems, Amazon has managed to attract and keep more consumers despite rising competition from other e-commerce companies (Meyer, 2022). Through the application of customer relations management strategies for new product acquisition and customer retention, the information management system is automated to evaluate the customer interests and personalities to suggest their preferred items.
Customer and Supplier Intimacy
Amazon has disintermediated how things reach the hands of customers by utilizing solid information systems that improve mastery of supply chain and logistics. The firm features technology that interacts with consumers naturally and dynamically across contact platforms, mobile, and email correspondence. As customers interact with products and services, the organization may collect data on how to meet their requirements.
Improved Decision Making
One of the primary advantages of an integrated information system is that it enables a decentralized process in decision-making, which reduces management diseconomies in large organizations with a large client base (Meyer, 2022). Amazon’s information system, including separate sub-systems with independent decision-making capabilities for differential resolution of client inquiries and order processing, is handled. Every functional unit acts independently, resulting in a seamless flow of fundamental business activities. The information system enables various teams to collaborate on a shared job to generate a set of actionable choices to improve a specific business process.
Competitive Advantage
The central part of the competitive advantage at Amazon is that it gives customers a beautiful experience accomplished by robust information systems that permit rapid online orders and seamless checkout. These features distinguish Amazon and provide it with a competitive advantage over its competitors.
Survival
Amazon aspires to be the most customer-focused firm on the planet. It has survived market difficulties by implementing new information systems focused on giving a better experience to customers through speedy delivery and access to a diverse selection of items at a cheaper cost.
Amazon is a Digital Firm
A digital firm is one that has almost all of its important business contacts with consumers, suppliers, and workers enabled and managed digitally. Amazon is the world’s premier online retailer that sells products ranging from textbooks to electronics, food, jewelry, and car parts. The corporation defines its lines of business operation in terms of product sales, supply chain, Amazon Web Services, logistics, publishing, electronic document subscriptions, marketing, and co-branded credit cards. As such, all the operations at Amazon is digital.
Organizational Dimension: The organizational structure of Amazon may be categorized as hierarchical (Meyer, 2022). The senior management team consists of three CEOs and senior government vice presidents in charge of several critical aspects of the company and sends a report to CEO Andy Jassy.
Management Dimension: The company’s management style is pragmatist, where the leadership sets high goals and expects the juniors to achieve them without compromise.
Technological Dimension: Amazon leads the way in numerous technology areas in the twenty-first century. Examples that indicate a technological dimension at Amazon are cloud computing, gaming, e-readers, video streaming, and online buying groceries.
The Amazon Transaction
Transaction processing system is computer software and hardware made of a transaction-oriented program that executes ordinary business transactions. The Amazon transaction processing system is a critical part of the Business Information System, allowing consumers to make safe and fast transactions. The information management solution is incredibly trustworthy and straightforward due to features like 1-click transactions and secure, encrypted credit card mode of payment. Examples at Amazon include the payroll and employee records. The use of the payroll led to explosive growth and improvement of employee experience. It is through effective employee records that Amazon has been able to monitor every employee’s hand-held scanner.
MIS Amazon is a crucial competitive technique employed by the corporation. This examination looks at Amazon’s information systems, the technology used to manage them, and the advantages they provide (Meyer, 2022). The firm employs a Web-based Information System (WIS) that allows clients to obtain relevant information while browsing the company’s website.
MIS outputs at Amazon include books of accounts and inventory reports. Logistics finance, and human resources are examples of corporate systems linked to the Internet. Automating these financial procedures may help businesses optimize earnings, eliminate mistakes, and lessen compliance responsibilities.
Reference
Meyer, P. (2022). Amazon’s Organizational Structure Type & Characteristics (An Analysis). Panmore. Web.
