Discuss Pirelli s information systems strategy and how this fits with their corporate strategy From your
... g information). ... Since information is processed organised data, then the purpose of an IS is to provide the means by which the data is processed and organised. The major objective of any IS must be to supply information which will enable the user/organizer to make better decisions. ... Pirelli’s Information Systems Strategy In the event of any Pirelli’s organisation deciding to institute or update an IS they will immediately become aware of certain major critical issued. These issues include the cost of the development project and the subsequent impact of the project and the new IS on the organisation’s current activities. Other issued include the need to ensure that organisation is fully cognizant of the new ISs objectives and to ensure that these objectives are compatible with the organisation’s objectives. As seen in the case study where Pirelli’s company is losing sales rapidly. ... Information technology and improvements in global telecommunications are giving international firms more flexibility to shape their global strategies. Management, and development of systems tend to follow the global strategy chosen. By systems it is the full range of activities involved in building information systems: conception and alignment with the strategic business plan, systems development, and ongoing operation for the sake of simplicity. ... When the management team set about formulating an appropriate IS strategy they have to give consideration to more than just the processes by which the information is supplied. They also have to ensure that the information supplied is the information that is required by the organisation to fulfill its objectives. If the systems fail to supply such information it would probably mean that control of the organisation’s IS strategy was being driven by technological imperatives as opposed to the actual needs of the organisation. This is a common pitfall which can only be avoided by designing as IS strategy which follows organizational objectives. Pirelli’s firm should organize itself for doing business on an international scale to develop a global company and an information system support structure, a firm needs to follow these principles: • Organise value-adding activities along lines of comparatives advantage. For instance, marketing/sales functions should be located where they can best be performed, for least cost and maximum impact; likewise with production; finance, human resources, and information systems • Develop and operate systems units at each level of corporate activity- regional, national, and international. To serve local needs, there should be host country systems units of some magnitude.