Information systems allow organizations to record, store, process and more importantly transfer data within the company or across various organizations within an industry. This is information comes in handy in decision-making for both employees and managers. Company information systems are also vital sources of data for groups or individuals such as competitors, buyers and investors. The importance of management information systems is also to be found in the role they play in helping competitive shape strategies within the marketplace (Laudon, & Laudon, 2011). What the purpose of this write up is to analyze the information management systems of Coca-Cola and Toyota Motors with a focus on how these systems help in the decision making and internal operations. It will also evaluate how these companies utilize their information systems to gain a competitive edge in the marketplace. Finally, it will discuss some of the challenges that these companies face in regards to cybercrime.
Coca-Cola Company is the leader in the beverage industry, a fact that is reflected in its presence all over the world as well as its financial strength. The company’s product offering entails over five hundred brands including Sprite, diet coke, Dasani, minute maid and vitamin water are some of the company's brand. As a market leader, the company has a distribution system that spans over 200 countries, where it averages over 1.9 billion servings in a single day. Coca-Cola focuses on reducing its carbon footprint, enhancing the livelihoods of the society and helping establish sustainable communities. Toyota Motors Corporation, on the other hand, is one of the world's largest automobile manufactures. Its 600 subsidiary companies spread across the globe ensure that the company effectively and efficiently produces automobiles and their parts as well as commercial vehicles. The company exports its products to over 140 countries. It subsidiary assembly plants and distributors are vital to the company's success as they ensure that the company' products reach its clientele in various parts of the world.
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Comparing and contrasting management Information System for Toyota and Coca-Cola Corporations
As the demand for beverages continues to rise around the world dues to new markets in developing countries, Coca-Cola is faced with the task of ensuring that it ensures consistency of quality in both product and service. The Coca-Cola Company leverages its information system to learn about how it can improve products and services. Coca-Cola’s information system is built with the goal of enhancing the company’s processes and standards to guarantee quality for its clientele. At the heart of its information system lays the Coca-Cola operating requirements abbreviated as KORE. This particular system is vital in helping the company enhance its strategic plans for growth and more importantly, helping it address the dynamic nature of the beverage industry landscape.
The efficiency of this system comes about as a result of its ability to integrate quality management approaches and program to all the company operations, including production and distribution. The most significant achievement of KORE is to be found in its emphasis on the observance of health and environmental standards, safety and quality across all the operations of the company. KORE is also accredited with helping Coca-Cola integrate its metric performance to its quality and business objectives. It has also been a vital tool in helping the company develop preventive actions in time. From a management point of view, it has been vital in helping the company develop new products as well as improve its services.
Toyota Motors Corporation, on the other hand, utilizes its management information system to establish new management areas for development through innovation. Its management information systems primarily rely on data analysis of customers from all over the world to ensure seamless functioning and operations within the company. Its MIS enables the company to make timely decisions and also helps the company position itself within the automobile industry through a collection of business information. Toyota's planning process heavily relies on the MIS systems which enable it to assess its needs in various departments. All the operations and budgetary procedures used in the company come about as a result of the effectiveness of its management systems. Toyota also relies on the information system to evaluate the progress and effectiveness of its operations. A crucial element that the company benefits from its management information systems is that of connecting the company to its customers around the globe.
As a global automobile manufactures, warehousing is one of the company's greatest challenges. To this extent, the company utilizes the Toyota Warehouse management system to come up with warehouse information as well as operational reports. This information is often vital in helping the company establish patterns and trends with its operations which may be difficult to discern from raw data. Toyota’s information systems can be looked at as the capacity and capability enhancing tools that help the company to efficiently serve its clients while assisting it to strengthen its management and planning strategies.
MIS for Competitive Advantage
Coca-Cola’s management information system has been vital in guaranteeing the company’s success. From ensuring product safety to assuring distribution and supply chain efficiency, KORE has helped the company attain an unrivalled position in the beverage industry. Compliance with company rules and regulations by suppliers and business partners has been essential in ensuring company success for Coca-Coal. Compliance is vital when it comes to supplier integrity, more so within the soft drink and beverage industry. The quality of the supplies translates to quality products. By utilizing KORE, Coca-Cola has been able to monitor and evaluate its suppliers; it has been able to sustain and maintain quality products. This particular element has been vital in ensuring consumer brand loyalty. KORE has been crucial in helping increase the company’s product offering in an effort to address the changing needs of clients.
Toyota utilizes its management information systems to enhance its product development procedures. By collecting business information from its subsidiaries and customers across the globe, the company can integrate client needs and market changes into product development. The company's marketing activities such as sales forecasts, advertising and pricing all rely on the MIS to for effectiveness and efficiency. For instance, Toyota utilizes operational reports from the warehouse management systems to reduce the order-to-shipment period.
Organizational Consequences of the Use of MIS
A global beverage industry leader, Coca-Cola can be looked at as a high-profile target of data theft. The company should be aware of issues such as corporate cyber-espionage and the theft of corporate secrets for monetary gain. By relying on a centralized management information system, Coca-Cola risks being hacked for its documents pertaining to finance as well as distribution (Pearlson, Saunders, & Galletta, 2016). The fact that company operations are managed through a centralized management system, it is possible that cybercriminals can attempt to steal the company's secret ingredients. Toyota has information systems for its three levels which include management, strategic and operational levels. This, therefore, introduces the challenge of multiple data sources which can bring about confusion due to variations in values. This can easily translate to significant challenges at various departments of the company. It is also important to consider the challenge of inconsistent values, definitions and formats as a result of the distributed heterogeneous systems.
References
Laudon, K. C., & Laudon, J. P. (2011). Essentials of management information systems . Upper Saddle River: Pearson.
Pearlson, K. E., Saunders, C. S., & Galletta, D. F. (2016). Managing and Using Information Systems, Binder Ready Version: A Strategic Approach . John Wiley & Sons.