Importance of Information System and Technology in Companies

Introduction

Advancement in technology has improved service delivery in hospitality industry. This has improved communication and business operations as well as company performance.

Over the decades, impacts of information system have drawn mixed reactions. However, it is important to note that its improvements in communication and industrial sectors have been commendable. For instance, people have become technology minded as they strive to reap its benefits. Interestingly, every investment sector has tapped into information system and technology.

The latest of which, is hotel and hospitality industry that has tapped into information system and technology to improve its service delivery. Recent calls for a shift towards green technology, in most companies including hotel industry, have spurred growth in information system and technology. This paper will explore importance of information system and technology in Shake Shack, a restaurant with presence in the world’s major towns (Mullen 1).

Summary of Shake Shack

Shake Shack is an excellent restaurant with presence in some of the world’s major cities like New York, Dubai and Kuwait, among others. It deals in hamburgers, French fries and hot dogs, among other similar foods. Its inception was conceived by Danny Meyer’s group, which is known as Union Square Hospitality.

This enabled its first establishment in 2004 at Union Square. Reactions from customers were very positive; In fact, this led to its expansion, which traverses more than one continent. The company boasts of presence in Dubai, Kuwait and New York, among others.

Moreover, it has introduced several branches in the market aimed at galvanizing ever-increasing number of customers that buy their goods. For instance, New York alone has more than eleven branches. Its continued expansion has brought it success with New York magazine naming it the best burger in 2005. This was triggered by their service delivery, which involved use of information systems and technology (Mullen 1).

Shake Shack is a modern burger stand that serves delicious burgers. The company has a webcam, which shows real time queue of buyers and orders for their foods. This gives one an opportunity to arrange for his/her requirements. Moreover, it saves time. The institution has a comprehensive strategy, which is built on information system and technology. This strategy enables them to save time and attract more customers.

They are also able to improve their performance, efficiency and ability to serve more customers. Shake Shack has enjoyed good tidings with tourists and people from various social circles, enabling it to move forward. Of great importance to Shake Shack has been information systems and technology. This has enabled them to venture in internet world as people brim with anticipation of experiencing their services (Mullen 1).

What they do

Shake Shack deals in restaurant activities as well as fast foods. These include serving of burgers, wine, hot dogs, beer, and frozen custard, among others. Their offer of delicious foods has appealed to people from various cultures. In addition, numerous media have also highlighted these delicious foods. The foods that received greatest praise from surveys and news groups include frozen custard, Hot Dog and ShackBuger, among others. Shake Shack is managed by individuals and entities with vast knowledge in hotel and hospitality industry.

For instance, Danny Meyer-USHG (Union Square Hospitality Group) owns other famous restaurants in New York namely Untitled, the Modern, Blue Smoke and Maialino, among others. Their specialty is in Hot Dog, delicious burgers and frozen Custard. In essence, Shake Shack is involved in hospitality industry, in which it works to provide nutritious foods to its clients. Shake has variety of options for buyers, these include vegetarian options, among others (Mullen 1).

In detail, Shake Shack provides its customers with variety of services, this range from food to restaurant facilities. One such example of food provided by the company is ShackBurger. This is usually made from a mixture of the finest beef, fresh daily as well as hand-formed. This is then topped with Cheese (American cheese), ShackSauce, plum potato and green leaf. It then forms a perfect delicious Burger, which is usually demanded all over the world.

Another line of operation at Shack is in making Shack-cago Dog, which is usually made in the style of Chicago hot dog. Moreover, it provides mushroom cap, which is stuffed with other recipes like cheddar cheese and Muenster, among others. Other provisions include crunchy fries, which are commonly prepared from potatoes (Yokon Gold). Another product of Shake Shack is known as frozen custard. This is typically made using the custard machine that spins rigorously to produce soft, dense and nutritious custard.

The custard can be modified to make concrete, which is also delicious. The company also deals in wine and beers as well as beverages. These are necessary when taking shack foods. Shake Shack also engages in community development as well as investment in green technology. These are done through donations and spring conservation respectively. The company therefore works in the best interest of its customers as well as community at large (Mullen 1).

Type of information system used at Shake Shack

Shake Shack has tried to advance its digital systems to improve service delivery. Among the systems that it has include point of sale, KDs monitors, webcam that is integrated online to provide real time information, internet marketing through live feeds, social networking sites like Facebook and twitter. The company has trained personnel with relevant skills to monitor activities in the system. Moreover, it has back up systems that enable continuity whenever the system goes offline.

The points of sale devices are important as they enable fast transfer of information during purchases. Moreover, it has POS peripherals, which are used to swipe credit cards to save time during sales. The company has installed display systems that ensure every activity is monitored for smooth running of the queue. In this regard, it has invested in KDS monitors, which provide them with up to date scan on movements within the restaurant (Mullen 1).

The restaurant has in place a webcam, which is also integrated in its online website. This shows live updates of queue for burgers and other foods. Integration of information systems and technology has improved service delivery at Shake Shack. For instance, customers are able to view the queue before they decide on when to place an order. The company is also working towards implementing digital queue; this system is expected to enable smooth running of queue and to minimize infiltration.

Shake Shack is also planning to introduce menus in tablets such as iPads; this will enable digital purchases or orders and hence improve efficiency. It is also important to note that the company has introduced advanced micro system registers that improve service delivery (Mullen 1).

Information system and its importance in daily operations

The company employs information system and technology in virtually every activity. For instance, it monitors the queue, which provides potential and regular customers with real time information of activities in the restaurant. This is important in saving customers’ time as well as that of company in regulating the queue. Integration of POS that can be swiped with credit cards has also heightened the scale of service delivery.

This is mainly because the once isolated group of buyers opting to use credit cards is now able to buy foods and drinks at their convenience. In addition, modern registers utilized at the restaurant have improved efficiency, accuracy and information safety. This is important in auditing as well as storage of information for future reference (Mullen 1).

Due to integration of information systems and technology at Shake Shack, daily operations have become much easier to perform. Customers are rarely frustrated, as they know when to arrive or leave the restaurant for or with their goods respectively.

The company has also improved its PCI DSS compliance strategies. This has encouraged efficiency in management of the store. In addition, the company’s engagement in online marketing has had its benefits with more people streaming to buy their burgers. Information system has improved the company’s competitive edge.

This is mainly because customer satisfaction and reduced frustrations at the queue helps to cement company’s image among them. Information system has also improved profitability at the company as it saves time, speeds of communication and hence efficiency. This is important as it improves the company’s organizational structure and expansion (Mullen 1).

Advantages of information system

Information system has several advantages in a company. For instance, it facilitates planning. Planning is very essential for any given organization, this is mainly because it ensures the company achieves it goals through sound decision-making.

Complexities involved are easily managed by the information system, this helps in facilitating good planning. Information systems are important in minimizing overload of information; this is mainly because it summarizes data to minimize confusion. Another advantage of information system in a company is its ability to encourage decentralization.

When the system is utilized in measuring performance, this helps to decentralize authority as operations are monitored as required. Another quality that information system brings is coordination. Every organization depends on coordination for excellence in service delivery. Information system is very important in its way of integrating activities from every department (Mullen 1).

It is important to note that companies that utilize information systems are easier to run. This is mainly because control of activities is well organized and channeled through a common system. Moreover, work is made much easier and efficient. The system also serves as a link between planning and control. This improves management and evaluation of the system hence improved performance. Furthermore, use of computers and processors for storage and processing of data ensure accuracy as well as security of data.

Use of computers also helps to reduce overall cost of management, which in turn increase profitability. System information assembles information, processes and stores it for future use. Moreover, it evaluates as well as disseminates information. In essence, information system is very essential to a company as it improve its overall performance (Mullen 1).

Difficulties in implementing the system, if any

Implementing information systems come with their impacts in a company. For instance, implementation of the system at Shake Shack meant that some employees had to be laid off. This is common in many organizations, which end up retrenching their staff due to overstaffing that result from information system implementation. This also meant that a complete overhaul had to be done on organizational structure as the company strategized for increased demand for their products.

Moreover, conducting of employee training was paramount as they strived to conform to new standards. This had to cost the company money, which was quite expensive. In essence, as much as this project was aimed at achieving company objectives, initial capital and implementation was quite expensive. Besides, this was a new system and had to be tested for viability (Mullen 1).

Generally, implementation of information system cost fortunes at the beginning. However, this reduces as its advantages show up. Paying up employees who are laid off as well as facing the possibility of legal implications is just a few of problems and difficulties companies face when they implement information system. In addition, the company must have adequate funds to employ fully skilled individuals in order to maintain new systems. Alternatively, they can train their staff on new technologies brought by the systems.

Furthermore, it is quite necessary that performance be monitored regularly, if this is not done, then quality of output and efficiency is affected. Implementation of information system requires proper knowledge of its possible outcomes. This can only be achieved through conducting pilot tests and analyzing results. The process may take a long time to come up with reliable results. Moreover, if it fails then this discourages management from exploring new options (Mullen 1).

How the system manages restaurant for profitability

Implementation of information system and technology profits the company in many ways. For one, it improves processing of information, data storage and dissemination. This has the propensity to improve overall running of business and hence efficacy. New technologies like online marketing have enabled Shake Shack to attract many customers from all over the world.

Moreover, its presence in social network sites like Facebook and twitter has increased its funs and followers respectively. This is important in improving its profits through sales and image all over the globe. When image is improved, the company has opportunity to open branches worldwide, for instance Shake Shack has branches in major cities of the world. These include Dubai, Kuwait, New York and Manhattan, among others (Mullen 1).

Information system has had far-reaching effects on Shake Shack restaurant. For instance, it has improved service delivery, which in itself increase profitability by attracting more sales. It has also worked to save time used in processing and storage of information as well as its dissemination. This helps in saving unnecessary costs and hence improves service delivery, which in turn leads to more profit. Information system also increases profitability by minimizing the number of employees and direct costs.

This is mainly because information systems can be used for multipurpose activities. Information systems are more accurate and less prone to errors; this makes them important in auditing. Consequently, it helps in ensuring transparency within the system, which improves a company’s competitiveness. In essence, information system brings with it multiple advantages and helps increase profitability of a company (Mullen 1).

Importance if new technologies and information systems

New technologies provide companies with new dimensions and strategies of improving profitability. This is mainly because they bring creative ideas of management and hence makes work easier for managers. New technologies like internet have brought about online marketing, sales and education, among other benefits.

This shows how important new technologies are to businesses. Information systems are also essential in businesses as they increase its work rate, efficiency, accuracy, safety and reliability of performance. It also saves time by processing data that would have otherwise caused confusion or wasted time.

New technologies bring new business management strategies and solve the complexities surrounding these businesses. It is also worth noting that information system improves performance by processing, storing and disseminating data. Moreover, it allows manipulation of data for modeling and research purposes. New technologies help attract customers through variety of means, which include online marketing, live feeds and social networking sites, among others (Mullen 1).

Conclusion

Information system and technology is vital for any business in modern age. This is mainly because it helps relieve it of several unnecessary costs and tasks. For instance, information system process, store and disseminate data as required in the shortest of times. This cannot be managed by manual calculation or input.

Moreover, it improves service delivery and hence minimizes customer frustrations. Technology has revitalized Shake Shack restaurant by attracting more customers, expanding its boundaries as well as improving service delivery. In the process, their competitive image has improved and they have gained more fun base and presence throughout the world. In essence, information system and technology is vital to competitiveness of any company (Mullen 1).

Works Cited

Mullen, Theresa. Shake Shack. Shack, 29 Nov. 2011. Web. 29 Nov. 2011.