why the information system is important for company and its benefit

It is surprising facts that there are many more companies still do not use the Internet. It is even more
surprising that some of them are still using their twenty-year-old computer information system.
Company information system is a set of interrelated component that collect, process, store, and
disseminate information to support companies’ managerial team in decision making, coordinating,
controlling, and analyzing.

Upgrading the computer information system is not an option in this technology-driven era; it is a
requirement. Companies that use an up-to-date information system to gather, assimilate, and
evaluate internal as well as external information are gaining competitive advantage over other firms.
Management is quicker to cater to customer’s needs and complaints. With the growth of
communication networks, there are almost no barriers between the firm’s management, employees,
customers and suppliers. Networked computing systems have made new modes of work possible.

A sophisticated computer information system enables companies to monitor employees, to keep

managers and employees informed, to coordinate activities among divisions, or even to sell their
products to customers via the internet. Moreover, in the era of information technology like this,
information has become valuable organizational asset just like human resources and inventories.

Furthermore, a good information system can facilitate direct communication between firm and
suppliers, manufacturers, dealers, and marketers. Together, they can create a value chain as though
they were in one organization.

In the meantime, the widespread use of information freeway is inviting unwelcome threats. Today,
companies are plagued by hackers; competitors, thieves, spies, hired agents, or even from
disgruntled employees. Therefore, firms have taken measures to safeguard their system such as
installing complex computer firewalls to detect hackers or purchasing expensive and advance
encryption software.

More and more people are working from their homes nowadays. Information technology has become
so sophisticated it allows people to choose to work from home. Teleconferencing and video
conferencing enable employees to beam in whenever needed. In addition to that, information
technology can allow a firm to reduce costs. Taking Ernst &Young for example, the company has
successfully reduced its office space by 2 million square feet by allowing their employees to work
from home.

In conclusion, information system enables companies to react, respond, cater, store, retrieve,
disseminate, and control their new valuable asset that is information. In the years to come, a good
information system within a company will be no longer an option; it will become a compulsory in
determining success.

Planet earth is shrinking due to the virtual world. Internet applications all over the world have now
made it necessary for the people to make internet a part of daily life. This advent is leaving its
impression on all industries and especially the clothing industry. E-commerce is a business application of
internet all over the world. The companies which are operating in apparel business are developing their
web shops. In order to create loyal customers and meeting the consumer demand it is important to do
necessary communication of the products with the consumers. Otherwise the products might be a
surprise at the time of delivery to the consumers. Every consumer has his/ her own way of evaluating a
product. So it is important for a web shop to address to every kind of consumer in order to meet the
consumer demand and create more customers. The virtual world has its own complications and
deviation from the usual world. So the thesis is focused on testing of shopping experience for an online
purchase and to do the analysis of the communication between the web shop and the consumer. The
studies are done on the basis of evaluation of feedback collection from consumers and information
search of the various products online. The focus was more on the customers who do careful information
search before doing a purchase and also some random customers who purchase a product without deep
evaluation of the products. Traditional consumer behavior and the consumer behavior for online
shopping were compared analytically and the results have been discussed in the end. Need for
improvement in existing systems is the base for this thesis. Studies showed that the e-commerce
systems are still unable to understand the new customer segment for online shopping and there is a
great need of improvement in this area to get more customers. The results from this study are
significant for the web shops which are operating the Scandinavian countries.