Question

‘In order for information systems to provide business value they should be conceptualised as social systems’. Critically examine this statement in relation to the links between information technology and the wider organisation within which it is used.

Answer 1

Information technology should be used within an organisation with a broader objective of enhancing the quality of interpersonal interaction between the employees, management and others to create a synergy at work, improving interpersonal relationships and thus organisation's culture, creating empathy, sensitivity and tolerance at the workplace, improving transparency in organisaton's processes, thereby instilling more employee confidence and belongingness for the organisation, thus reducing attrition rate and enhanced engagement among others.

Information technology can also be used as a social system to develop long term relationship with customers by creating a channel of unhindered communication with company, increasing their confidence in the company and its products, creating sustainable brand value and ensuring long term engagement by providing value on consistent basis and communicating with them to ensure that their voices are heared and taken care of. The information systems can also help the company to connect better with communities, managing the stakeholders in a better way through improved communication.

Influence of technology to create social value with employees, customers and other stakeholders might actually lead to improved brand value, increased sales and higher social score among the stakeholders, which might help to create competitive advantage for a business.