Exactly, how do information systems enhance business processes? Primarily, in two ways:
1. Increasing the efficiency of existing processes.
2. Enabling entirely new processes that are capable of transforming the business.
Information systems automate many steps in business processes that were formerly performed manually such as checking client’s credit, or generating an invoice and shipping order. But today, information technology can do much more. New technology can actually change the flow of information, making it possible for many more people to access and share information replacing sequential steps with tasks that can be performed simultaneously in parallel, and eliminating delays in decision making.
That’s why it’s so important to pay close attention to business processes. By analyzing business processes in your firm, you can achieve a very clear understanding of how your business actually works!