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HI5019 STRATEGIC INFORMATION SYSTEMS

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HI5019 STRATEGIC INFORMATION SYSTEMS

Introduction

The use of accounting software for any medium to large chain business is required for the proper maintenance of the economic transaction. The system can be functioned as a package or individual system used by the customers or users. There is some importance of this system in managing the financial operations of the organization. In the present study, different advantages of using the accounting software system or packages in Woolworths would be discussed. Along with that, the organizational structure would be discussed, with the drawbacks and mitigation strategies related to the problems of the present organizational structure. The study would conclude with suggestion and recommendation based on the different strategies for establishing an effective use of accounting software system or packages for Woolworths.  

Part   1

1.   Structure of the organization (Woolworths)

The Woolworths is basically a supermarket for providing different marketing services. This supermarket does not produce any physical product like the other supermarkets. The organizational structure of such type of business are usually based on the transportation of the existed products to the remote suppliers, gathering the different products in regional warehouses, their distribution in different retailer stores and finally selling of the products to the local customers. These all collectively make an organizational structure of a supermarket business. Based on the organizational structure the subsystems of the supermarket business organization have gone on in a particular organized manner. It involves the collection of the household products, grocery items and other homely equipment from the remote suppliers based on the customers' demand. Next is the transportation of the products to regional warehouses for storing, then based on their need, products are supplied to the local stores finally to make them available to the local or regional customer. As stated by Brandon et al. (2013), the accounting software system is the core processor for this business organization. The system software helps to manage the economic transaction during the peak time by the organizational workers and also for providing a quality service to the customers. Hence the proper maintenance of the accounting software system for ensuring the safe economic transaction and the protection of the personal data by the customer is a key factor which has to be maintained properly by the organization.  

2.   Different problems could occur due to the organizational structure

 

The organizational structure which Woolworth usually follows is a basic structure, also used by every supermarket. But there are some inefficiencies or erroneous facts about the structure. These are as follows-

  • The collection of the products to the warehouses form the remote suppliers can create an issue if proper plans about the amount and type of products would not be done properly. In some cases, the products supplied by the workers are not at all demanding among the customers. In that case, those products will be there in the store for long without selling. This can be a result of communication error among the different hierarchy with each other.
  • Another issue can be occurred during storing of the products in the warehouse. If a proper environment for storing them for a prolonged period would not be there then the faulty products would come on the market and that can create a negative impact on the supermarket among the customer. As stated by Chen (2015), this can be considered as a faulty organizational management related error.
  • The safety or security problem like hacking of the private information related to the financial transaction of the customers can be responsible for a huge loss of the company. If the private information of the customers is not stored safely then the digital cash exchange process would not be used by the customers, which is a very convenient way of handling money. As suggested by Apostolou et al. (2013), this can have a direct impact on the negative financial growth by the company within a short time span.

 3.   Explain about most reliable acquisition method

There are several system acquisition methods in accounting software like commercial software, Custom software and Enterprise Resource Planning (ERP) etc. The commercial software system is a free or open source software system which is technically produced with a target of selling some particular commercial products for a particular organization. This is an open system which can be accessed by any worker in a company. Hence, the security of using the software is less reliable. The next system software is custom software. This is a tailor-made software system which is basically designed for a specific organization in order to promote it. As stated by Lu et al. (2012), the authority to access the use of this software is for only the management of the organization and based on the requirement the general employees can access it. This is more reliable than the previous method with respect to the data or information security of the customers.  According to Kanellou and Spathis (2013), the last system which would be discussed here is ERP which is a process management of a specific business organization which allows it to access all the managerial system as an integrated application system. 

 

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