The Importance of Retail Information Systems Research Paper

The Importance of Retail Information Systems - Research Paper Example In a highly competitive environment, effective customer services as well as relevant products to the consumers assume a high position in retailers’ priority list in the event of profit maximization. One of the most effective ways to ensure relevant product and effective services to the customer is through collection of information regarding the customer, analyzing that information and finally placing the analyzed information into work by aiding in decision making processes. (Stair, 2010) Information systems include systems that deals with the process of raw data from databases, file storage and file sources to information which are later used by middle level, top level and operational level managers in decision making thus improving their output to the consumers inform of better services and relevant products which in turn increases their returns and profit. (Stair, 2010) Information systems and organizations influence one another. According to Lucey, Information systems are built by managers to serve the interest of their firms. At the same time organizations must be aware of and open to the influences from information systems to benefit from new technologies. The interaction between information technology, information systems and organizations is very complex and is influenced by many mediating factors, including the organization structure, business processes, politics, culture, surrounding environment and management decisions. (2005) All modern organizations have bureaucracies with clear-cut divisions of labor and specialization. The main reason for organization’s failure in implementing information systems is inability to