Impact of Information Systems on Aalsmeer Flower Auction Essay

Impact of Information Systems on Aalsmeer Flower Auction - Essay Example This paper illustrates that as the world moves one step forward each day, the advancements in information systems move a hundred step ahead, and has advanced to an extent that once considered as a support function, today information systems drive the business model for many organizations. An interactive information system of the base organization allows its stakeholders to interact with the system in various forms and modes, with differing rights and restrictions. The classical example of such a scenario is the Walmart-P&G strategic partnership whereby the IS is inter-linked allowing the supply chain to be automated for inventory replenishment as well as for ensuring that the right product is placed at the right place, in the right quantity. Auction websites follow a business model that is based in the whole sum on the fundamental of the information system. A classical example of such models has been applied at eBay, Souq, etc. Amazon is another classical application whereby online s elling is displayed to perfection by the business. The right level of application of an IS has also led firms into a competitive advantage over their competitors, since most of the developments in IS by a particular business are patent for their usage. The object of analysis for the purpose of this assignment is Aalsmeer Flower Auction, later referred to as ‘the business’ in this essay. The business is a mediator between the Dutch flower growers and buyers – it is a platform whereby they interact and enter into sale/purchase agreements. The business is often used as a price indicator since it presents the pricing where deals are made. Initially, the supply side ruled the markets; however, there are three trends that have changed the outlook of the respective industry, as stated by Bocij: development of e-markets, unsatisfied needs of retailers, and mergers and Acquisitions amongst retailers, and professional growth amongst sellers. With this, it seems visible tha t the business lacks an information system that can deal with these and the other growing trends in the industry – an IS that can swallow the current and the upcoming changes and trends in the flowers industry.