Strategic Decision Making In A Textile Company Information Technology Essay

Strategic finality Making In A Textile Company nurture Technology strainThe framework and app arl sedulousness stands bulge out prominently as one of the most globalized industries in the world today. It is different from producer driven supply chain led by multinational companies. The app bel industry is a Buyer-driven commodity chain led by a coalition of retailers, contractors, subcontractors, merc conkisers, buyers, and suppliers. Each participating entity plays a role in a network of supply chains which span from fibers, to yarn, to fabrics, to accessories, to garments, to trading and marketing. Geographically, they span multi-continents and crosses regional and national boundaries. With the reducing pro tot up margin and continue of modern computing communication networks, it is essential that any textile and array industry seriously consider establishing a cost effective IT infrastructure to view as their competitive edge.Research will be carried out in small and medi um scale app atomic get 18l industries. The study of the explore will be to stationWhat reading they require when making decisivenesssThe use of IT and IS when making finissRecommendation of suitable IT infrastructure1.3 Project AimAs the manufacturing industry becomes to a greater extent globalized, the multi-factory supply-chain model has emerged. When some(prenominal) growthion lines are producing different products on one supply chain, it could generate loads of study and entropy to be exchanged, supplied and received. The garment-manufacturing industry always aims for new product ontogenesis and efficiency improvement in production. In past years, advanced computer technologies already facilitate new manufacturing operation and build up focussing tools. Todays manufacturers are looking towards more advances and benefits with their focuses shifted to many different types of networking tools. These tools do enable them to seek better opportunities on more complicated areas working with RFID like gillyflower mold and supply-chain management, as well as the B2B e-commerce transactions. However, while employing this latest engineering science, manufacturers are facing a long-standing problem how the new technologies and systems can bring better insurance insurance coverage and applicatoryity to the running of the companies.1.4 Project ObjectivesThe objectives of this project are in two folds notably research and experimental objectives. The research objectives focus on the identification of relevant techniques and cognition that could possibly emerge during the conduct of this project. On the other hand the experimental objectives deal with specific put to workes, software or other materials including simulation models and programming codes that whitethorn be constructed to facilitate the smooth conduct of this project. Research will be carried out study how IT and IS supports to all the levels of finding making and the tools which is app ly by the companies. By identify what type of decisions and what cultivation they represent suggest the use of certain analytical tools to enhance support measures for decisions in fit industry. Techniques from operations research are applied to develop profit optimization and cost minimization models. Statistics and accounting methods are used for comparing costs of sourcing collaborations, and basic math is used in cost estimates.The overall main and core research questions of this study is to analyze how the IS and IT influences the apparel trade when making decisions. More specifically, what are the pros and cons in tools and how that influences the apparel decision making process?In order to carry out the research further the main research question will be What is the impact of IS and IT on strategic decision in an organisation employ a textile company as a case study?Below are the objectives of this work.What are the strategic decisionsWhat are the strategic decisions in Te xtile CompanyWhat are the factors which impact strategic decisionWhat are the features of information required in strategic decisionsHow has IS/IT influenced strategic decision in the organisation under studyWhat are future recommendation to use IS/IT to benefit strategic decision in textile organisation1.3 Rationale Of StudyRationale of the study will be carried out to offers combination of fast growing IT IS which provides extravagantlyer level of visibility and control to make decisions. For fashion professionals with a more usage-oriented approach, attempt to demonstrate the usefulness of available analytical and mathematical tools, which could benefit profits and support sourcing decisions. Most of the apparel companies devoted a huge amount of effort on decision making process exploitation IT to improve efficiency. Information System (IS) and Information technology (IT) can be eventually lead to the development and creation of any kind of decision making and enhances the de cision effectiveness in industry, using the info to decision model as a basis. In many respects, economy of any country in the world has been coordinated by the visible hand of the government decisions. The world economy is becoming a borderless one, which directly affects the economy of any country driving it into an open economy. The rising cost of production factors, hire rates, interest rates, GDP, inflation rate, etc stalls economic growth. Both public and private sectors are looking for ways to maintain their competitive edge by astir(p) economic efficiency, and one of those efforts is the use of Information Technology and Information Systems. They are making an utmost effort to build the information-communication infrastructure, and promoting to explore new business opportunities using IS and IT.Identify threats and opportunitiesChapter 2Literature ReviewIntroduction to the CASE studyThe textile /apparel pipeline is a serial of interrelates activities which originates wit h the manufacture of fiber and culminates in the delivery of a product into the hands of the consumer.Information Technology (IT)In the 1960s and 1970s, the terminformationtechnology(IT) was a little k instantern explicate that was used by those who worked in places like banks and hospitals to describe the processes they used to storeinformation. With the paradigm shift to computingtechnologyand paperless workplaces,informationtechnologyhas come to be a household phrase. It defines an industry that uses computers, networking, software programming, and other equipment and processes to store, process, retrieve, transmit, and protectinformation.Information Systems (IS)The largest growth in most economies is coming from information industries. The success of such experience-based organizations lies in their information systems. Also, forced by technological change and globalization of markets, many manufacturing industries are in any case placing increasing emphasis upon information systems. Information systems are more than just computer programs. Though information and communications technologies are playing an increasing role in meeting organizations information needs, an information system is a much more general concept. It refers to the wider systems of people, data and activities, both computer-based and manual, that effectively gather, process, store and disseminates organizations information.Information systems, as a discipline, focus on exploring the interface amongst management, information science and computer science. Computer Science focuses on information technology software. Information Systems mediates the two opposing worlds of human activity systems and information technology.Strategic finales In most businesses, a few decisions make the difference between superior performance and ordinary results. provided strategic decisions are seldom easy. They call for high quality synopsis and strategic thinking, in order to select the right decision from amongst the many possible options. They also depend on skills in managing the decision process, including sequencing activities, defining roles, effective teamwork and handling the people side. This practical and highly interactive programme will help you improve the quality of your strategic decision making, providing practical tools for addressing both the analytic and process management challenges.Strategic decision address the business of today and the future, not only markets and decision making but also social developments, implications of strategy on the organisational structure and climate (Hussey,1990). Examples of strategic decision problems can be found in the areas of marketing, pricing, investment, financing, production changes, production technology, etc..Information systems are tools to assist executives in strategic management (Liu and Savolainen, 1994a-c, Partanen and Savolainen,1995,Walden,1992). They offer analytical facilities to assist in clarifying comple x problems in behavioral thinking, competitor and enviormental analysis , value chains and performance ,etc.,Strategic decisions should be well planned and well controlled. Strategic supplying is a complex decision making process for the corporation that involves planning and modifying of organizational objectives, resources for implementing them and utilization of the resources (Ansoff ad McDonnell, 1990)Strategic decisions can be classified asStructured decisions Semi- structured decisions Unstructured decisions Impact of IS and IT in Strategic Decisions From new business models to new types of business, information technology has become a key driver of business and an essential component of corporate strategy. But simply acquiring technology is not enough organizations moldinessiness manage IT effectively to gain the competitive advantage.Henry Lucass Information Technology Strategic Decision Making for Managers focuses on the key knowledge and skills you need to take an acti ve role in managing technology and obtain the maximum benefits from investing in IT. offer streamlined, up-to-date coverage, the text is ideally suited for MBA students or anyone who wants to learn more about how to gain the competitive advantage by success fullyy managing IT.Focuses on managerial issues This text explores the many real technology issues confronting todays managers, such as what to do with legacy systems, when to outsource, and how to choose a source of processing and services.Shows how to evaluate IT investments Two full chapters cover the value of information technology and how to evaluate IT project proposals using both net present value and real options approaches.Balances technical and managerial coverage This balance helps you understand how diverse companies have developed their IT architectures and environments.Explains the various applications of technology Concrete examples illustrate major IT applications, such as ecommerce, ERP, CRM, decision and intell igent systems, and knowledge management.Problems in which the stakes are extremely high, in which human perceptions and judgments are involved, and whose solutions have long-term repercussions, call for a rational approach to their solution. Various techniques are in use for decision making at the strategic level. However, at this level the problems are ill defined are usually presents in legal injury that are uncertain, fuzzy and confusing, while problem-solving techniques based on sound mathematical principles can only be applied to systematic and well-formed problems. This mismatch between problems and their solution methods leads to the frustration of pull in decision makers and their loss of confidence inn mathematical techniques.In todays highly uncertain world making a decision which has long term implications requires a thorough understanding of likely or possible future situations and also the ability to balance a large number of controllable and uncontrollable parameters . However, the time now given to decision makers to reach high risk long term decision is decreasing.The economic structure of an industry is not an accident. Its complexities are the result of long-term social trends and economic forces. But its effects on you as a business manager are nimble because it determines the competitive rules and strategic decisions which make. Learning about that structure will provide essential insight for your business strategy and it will help to make decisions. either aspect of management in the modern age relies heavily on information and technology to succeed. It is an of the essence(predicate) reserve needed to develop assets. Strategic Decision making and planning has been a topic of considerable importance and interest to Information System professionals in both the business and academic communities since the 1970s. Decision making and planning is recognized as a critical competitiveness issue. Today, because information systems (IS) and infor mation technology (IT) serve as the driver of many organizational transformations, in that respect is increased pressure on organizations to leverage their investments in technology and information systems. Success usually occurs when an organization is able to achieve congruence between IS and IT with organizational decision making and planning, and this is achieved when the technical and general managers of an organization work collaboratively. The strategic decision making and planning process is intended to ensure that technology activities are properly aligned with the evolving needs and strategies of the organization. This paper will examine the research on this ever-important topic and suggest a process that will assist in the achievement of decision making and planning success.Over the years, many organizations have made technology decisions and acquisitions that impact organizational information systems (IS) on the basis of what they entrust or recommendations from vendor s or colleagues from other organizations. The end result of this approach toward decision making and expenditure of funds has been quite unpredictable. The pervasive nature of IS IT in todays organizations bring together with increased pressure to leverage technology assets has dramatically increased the importance of strategic information systems planning (Bechor, Neuman, Zviran and Glezer, 2009). Today, most organizations insist that technology and IS related decisions be made with a clear understanding of business and organization strategy and direction.Hoque, Sambamurthy, Zmud, Trainer, and Wilson, (2005) in Winning the 3 Legged Race define alignment as the situation in which a companys current and emerging business strategy is enabled, supported and unconstrained by technology. Piccoli (2008, p. 155) states that organizations achieve a high degree of fit and consonance between priorities and activities of the IS function and the strategic direction of the firm when they are a ble to achieve this so called strategic alignment. Alignment has become one of the top issues and concerns of IS management executives (Gutierrez, Orozco, and Serrano, 2009).A framework that helps to clarify the importance of information systems in todays organizations is the Information Systems Strategy Triangle. The message conveyed by the triangle is that it is important for the three elements of the triangle, that is to say Business, Organizational and Information Systems strategies to align with and complement each other. It is important to note that Business Strategy resides at the top of the triangle. The triangle is depicted as follows (Pearlson and Saunders, 2010, p.23). in that location are no shortcuts to the strategic decision making process. Preparatory steps that ensure that business, organizational and information systems and technology used are aligned in a complementary fashion, are extremely important. Internal and external assessments need to be addressed, and t he overall role of technology and information systems within the organization must be determined. A sense of how much should be spent on technology initiatives is also mandated. The most important point to remember is that the decision making process for technology must be part of the overall business plan.Practically speaking, strategy states the direction we want to go and how we intend to get there, and a plan depicts a view of the future that guides current day decision making (McNurlin, Sprague, and Bui, 2009). Organizations need to develop a strategic planning process in order to provide a context for decision making.Deciding on the type of tools to use in the decision making process is neither straight nor simple. The process is complex, there is not a single best approach, and arriving at a single best methodological analysis for a specific organization is just about impossible. As a result, many organizations utilize a combination of approaches.Decision making using inform ation systems and technology was previously the work of technology and systems professionals. It has now changed to be a collaborative planning challenge of parties including top managers, business unit managers, technology and systems professionals, and sometimes external stakeholders such as customers and alliance partners (Ruohonen, 1996).Thus, planning and decision making becomes a partnership among those with technical skills, the information systems group, and the general and functional managers of the organization. This process requires discussion, clarification, negotiation and the achievement of a mutual understanding (Piccoli, 2008 McNurlin, et al., 2009).With todays a step evolving technology advances, along with the somewhat unpredictable emergence of new competitors brought about by the Internet, organizations do not have a year to develop a plan, several years to implement the plan, and a three to five year useful life for the decision making plan. Everything that is technology-related moves at a rapid pace and change is inherent in the adoption of new technology and ISs. Due to the rapidly changing technology environment, many feel that a sense and reply approach to planning is appropriate. When apparent opportunities appear, organizations need to respond quickly in order to take advantage (McNurlin, et al., 2009). Some rapid responses may be viewed later as failed experiments, but that may prove to be better than a lost opportunity.In the preliminary planning preparation, those responsible for the planning process must decide which combination, if any, of the above planning techniques to employ as the process is designed. Generally as methodologies are developed, four elements for consideration emerge. They include an opinion of what needs to be solved, defined techniques on what has to be doneand when to do it, advice on how to manage the quality of deliverables, and a tool kit to facilitate process (Ishak and Alias, 2005).Most processes al so include a situation analysis in the form of Strengths, Weaknesses, Opportunities and Threats (SWOT). This analysis addresses the organizations internal and external influences, strategy formulation, and specific goals along with tactical and operational plans for achieving the goals (Semiawan and Middleton, 1999).Technology and information systems play an ever-increasing role in todays organizational environment. Because of the rapidly changing nature of technology developments, it is sometimes difficult to employ standard planning processes. The primary rule of thumb for information systems planning is that the planning process must be designed and conducted in alignment with organizational and business plans. Most organizations now agree that IS is an important strategic organizational resource that can provide strategic advantage and boost business performance (Brown, 2004). As part of their plan, many organizations have adoptive a sense and respond position with regard to op portunities that may present themselves. Often, a scenario development approach that looks to possible future developments is essential to help combat the rapid rate of technology change.There are multiple planning tools available for the strategic information systems planning process. Choosing the tools that meet the needs of the organization and conduce focus to the desired areas of emphasis is critical.Finally, organizations should consider the introduction of technology-driven approaches to planning to help with speed, efficiency, flexibility and communications.2.1 Preliminary Literature ReviewFor the past 15 years, many apparel companies have been actively monitoring their supply chains. Throughout, the majority has looked to factory owners and managers to wants to make decisions to changes in factory conditions and operations to comply with local laws and meet brand compliance requirements. To meet requirements, demands were placed on suppliers to increase wages, minimize ex cessive overtime hours, secure freedom of association, and improve health and safety systems for workers. Simultaneously, brands were dictating lower and lower prices for products. change magnitude demand for products at lower prices frequently prevents suppliers from having the resources necessary to abide by the standards laid out in codes of conduct.Information engine room is a technique for extracting the intend contained in information that is needed by a user to make a right decision. Information is the raw material of human thinking, but it is the inwardness and understanding that is the raw material of decision thinking, and the human decision maker acquires this meaning and understanding from the message content of the information. The process by which raw data is translated into decisions is depicted in the Data-to-Decision Cycle model . This low information utilization occurs because the user does not have enough diagnostic time to acquire the rattling information bu ried in the report. Therefore, the goal should be to optimize the quality of the messages transmitted through the interface from the information system to the human user. Information Engineering assists in this process.Chapter 33.1 MethodologyFor the purposes of conducting this project, the quantitative methodology was adopted as it had stronger ties with the aims and objectives of this work compared to the other types such as the qualitative and ethnographic methodologies. With the quantitative methodology several quantities may need to be measured, analyzed and results presented as evidence to justify any conclusions that may be drawn. This contrasts with qualitative methodology which focuses on native matters like behavior and perception. It is however acknowledged that minor elements involving qualitative analysis such as observations may also need to be made to be made occasionally to help advance an argument. Other, two research approaches notably, descriptive and analytical approaches would be used in conjunction with the quantitative methodology to arrange this project. The descriptive approach would be employed to help describe the usage of IT IS and how it is important to the strategic decisions making whiles the analytical approach would be useful in analyzing all secondary data collected for the purposes of this work as well as help to assess experimental outcomes.3.2 Primary ResearchPrimary research is used to collect data for the case study. Types of primary data collection methods includeQualitative research There are four major methods used by qualitative researches such as observation, analyzing text and documents, interview and focus groupsQuantitative research Major quantitative research methods are using literature, using technology and statistics3.3 Secondary ResearchSecondary research was carried out to gather information of existing data as well as evaluate and unify the information from the various sources in order to answer speci fic research questions. During the secondary research will be looking forward to gather information about advertising and brands in books and periodicals by using library resources. Case studies will be used for gather additional information such as pros cons about the research topic .Case studies included the aims and objectives of several advertisements and a general critic of their design. Since case studies demonstrate examples from the real world, it will help to improve the cabalistic understanding and analysis on real situations.3.4 Data CollectionDZ Group Ltd, is an independent medium scale apparel garment which is based in capital of the United Kingdom South Gate which is established in 1980s. The case study has been conducted in aid of said company. Prior to the initiation of the project following methods has been used for data collection..Interviews an interview was carried out by the author with the contact person at the sponsor company. Interviews are highly formali zed and structured using standard questioners. The interviews were carried out asStructured interviews used standard specified questioners and refer to each individual participant. This interview was documented and provided pertinent information used in the development of the Terms of Reference for the project.Semi structures interview used standard specified questioners and additional questions has been asked of individual participants.Questionnaires or Surveys A questionnaire is an enquiry tool that consists of a series of standard questions used for the purpose of gathering useful information from individual participant.