1. Define Operational Excellence. How Can Information Systems Hel...

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1. Define Operational Excellence. How Can Information Systems Help Achieve It?

By | December 2012
Page 1 of 1
Operational excellence begins by organizations aligning their philosophy in a way that outlines objectives through problem solving, leadership and teamwork. Many organizations try to continually make changes with the goal of achieving operational excellence. Information Systems is similarly executed by using these principles as a way to achieve excellence. The central goal is to achieve higher levels of productivity and efficiency by using systems to establish procedures that will better manage information and processes. This can take place in many ways whether it’s by communicating with employees or working with a business’s supply chain.

In the text there were many examples of how companies implemented operational excellence by using better systems. An example of such would be how warehouses operated prior to year 2000. In many cases orders were placed by buyers over the phone or online and then sent to warehouses where orders were then picked from a large warehouse containing millions of different items. Post 2000 most companies now use systems that allow orders to be directly sent to robotic pickers that then pick orders directly off the warehouse floor, label them appropriately with tracking numbers and shipping information, and place them on trucks for shipment. This form of operational excellence has allowed companies like EBAY and Amazon to develop purchasing processes that are cost efficient and timely.

The core of making the above description possible is the use of an IT based system that manages all information that is created. Information Systems is the function that drives operational excellence in this example. There are also other forms of using information systems that create operational excellence like helping managers communicate better and more directly with employees. Employers often have systems that contain employee records and performance evaluations. These info systems are useful for managers to communicate efficiently with employees...

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