In this final chapter a11 attempt is ~natie to sumniarizc the findings alitl

provide suggestions to make tlie systenls effective from user point ofvic~v.

Sunlmary of i indlnos and Suggosl~ona

SUMMARY OF FINDINGS AND SUGGESTIONS

this final chapter, an attenlpt is made to surnrnarlze llle f~ndl~ lgs

and prov~de suggestions to make the systems effective from user point of

view.

NEE0 FOR THE STUDY

In India, Inany organizations have set up marketing ~nformaiion

systems (MKIS) for various reasons. However, due to lack of publicity ond

research, the status o f the MKIS, its configuration, its applications, and its

effectiveness are less known to the management worid of practit~oners,

researcilers, teachers and students.

A review of studies on marketing information systenls indicates lhal

research was mostly carried out in developed countries like USA and UK

The studles focused on concept and components [Banks 1908, Uhll9G8,

McCann1986, Burkeleg4, Shrgeru Yagi 1994 and ~ane19951, importance [Buckland

and Branchsau 1998, lng and M~tchell 1993, Deigl~ton 8 0tllers19941, developnient

[Cox and GoodIB87, langle1988, ~ a m e n d a l 9 9 7 ] and evaluation [AckoH19G7,

8fleni968, LI 1907, Cofladaf996 and M O I I ~ and GOY$ Z O O O ] . In India, research on

information systems is still at a nascent stage Few researchers like [Sharma

f9@2 Goyal 2001 and Vittai 19991 studied inforlnation systems In Indian

organizations. The studies examined the general informalion Systems and

information resource management practices.

Sl~mmary o f F ~ ! r r l ~ t ~ g a and s ~ Q ~ ~ ~ ~ ~ ~ , , ~

A comprehensive researci-I on inalketing nformation syste~ns IS

take place The available literature comprises mostly co~~ceptual

expioralions and journalistic descript~ons of existlng niarkcting informallo11

AS such, there is a need to undertake a systematic study 011 tile

slatus, working and effectiveness of the marketing information systelns

RESEARCH PROBLEM

In view of the above, the study is undertalten to find answers to tlle

questions

p What is the state of the art of marketing information systems in

Indian organizations?

b How well are they performing?

p Do they need Improvements? I f yes, what kind of ineasures are

needed?

OBJECTIVES OF THE STUDY

Foliowing are the object~ves of the study.

To describe marketing information systems in select organizations

To evaluate the effectiveness of the systems based on

(i) Cornparative study of information systems in similar

organization(s)

(ii) Users opinions

TO identify measures to improve the effectiveness of the Systems

Summary ol F l n d ~ n ~ s atid Suggoslio~is

RESEARCH MODEL

~n analytical model representlny system effecllveness var~ables

under study is shown In F~gure 6 1

Management I L I

Leadership Plans Securliy Control

Information System

Software Documentation Maintenance

Fi Management 1

System Effectiveness

1 Information qual~ly

3 User Conf~dence &

Sat~sfactlon

Figure 6.1: A n Analy t ic Model of Information System Effectiveness.

~ROPOSITIONS

The study examlnes the follow~ng propos~i~ol is

Design I Technoioglcal effectlveness

The ~nformation systems represent the state of the art

;. Functional effect~veness

The informallon systems are effective in serving the funci~onal needs of market~ng

p Change effectlveness

The ~nformatlon Systems are change or~ented

b Use effectiveness

The ~nformation systems are user friendly

L Cost effecllveness

The information systems are cost effective.

b System management effectiveness

The ~nformation systems have effective leadership, plans, security anti conlrols.

RESEARCH SITE

In all eight organlzatlons are studied representing three important sectors

of industry - core, chemicals and services The inclusion of the organ~zations is

i n h c e d by their acceptance to take part in the study. However, care is taken

to select organizat~ons

Which have minimum of 10 years of existence

p Which are progressive and facing competitors

Which are classified as large organizatrons by Indian standards

The selected organizations are as follows.

Summary a f Flndlngs anu Suggcsl~on:,

Exh ib i t 6.1 R ~ s e a r c i i Organizations

Year of Organization Estab l ish~no~l t

---- b o r e ,A 9 Chennai Petroleum 1969

I I P V~skhapalnam Steel Plant

P ACC Cement I I Laborator~es Lirniteb-

Chemlcal 9 Erythro Pharrna Limited

P Biological E Lim~ted

Data are also collected from all the managers in the rnarket~ng department

1904

1991

1953 ~ ~-

Services

of the partlcipant organrzat~ons, The managers have des~gnations lhke V~ce-

president, General Manager, Deputy General Manager, Assistant General

9 Anirix Corporation Llmlted

P Medinova Diagnostic Services

Limited

Manager, Senior Manger, Manager and Officers. The number of marketing

1971

1987

managers varied from 6 to 14 in the corporate or regional oflces of select

organizations.

PROFILE OF THE RESPONDENTS

The respondents represent a mix of senior and junior inanagement levels,

who are experienced more than 10 years and less. All of them have good

role clarity. All of them are dependent on superiors in dec~sion making.

Summary of Fndl igs and S U ~ ~ C ~ I I O ~ S

Sol,le of them reported dependence on Peers and subordrnates Exi11b116 2

Exhib i t 6.2 Prof i le o f the Respondents

FINDINGS

The findings of the study sector - wise are presenled prov~ding a

comparatlve p~c tu re

I

-6r Sector

'Chemlc a1 Sector

Service Sector

Exhibits 6.3, 6.4 and 6 5 presents a comparatlve analysis Of the

lindings. The three companies under study have established their

markel~ng rnformation systems In 1990s. "To make complex decisions easy"

is [he stated major goal supparled by reasons lrke -"Competrtors' have set

up%nd "for early adaptation of new technology"

Exper~ ence (>1OY ears) (%) 63.6 81.8 14.2

30 0 -- 44.5

42.8 80.0 17.0 ,

ojan lza l~on

- ~-

CPCL VSP ACC Neuland

Erylhro Pharma Biolog~cal ANTRIX Medlnova -

Levei

Senor manageme nt (YO)

63 6 -. 81.8 1 4 2 30 0

. -- -- 44 5

42.8 - 80.0 17 0

Role clarrty (Mean Scores)

3 9 4.2 4 1 4 7 4.4

4.3 4.4 4 5

~~~

Decls~ori ~ c ~ e n d e n c e ' 011

(Mean Scores)-- Supe rlors 4 4 4.3 3 5 4 0 5 0

3 8 4 2 4 8

~ i b o r d [nates 1.4

2 3 3 0 3.2

4.1 2 4 3 0

Peers .----.- 1 9

3.3-- -39-- 2 2 - 2 0

4 2 2 6 .- 1 5 --

Suillmary 01 Ftildngs and sut jgos~,~, ,~

The systems are ERP, Net work & Oracle and SAP R3 ERP Ihelr

fUlure plans are focused either on completing the on golng compuienzal~o,i

maintenance of the designed systenls to get desired results AS can be

observed, varlous reports are generated They broadly relate to markets,

production and sales

An evaluatlon of the systems reveals that the resporidents have late6

their systems in the range Of average to good Systems management IS

appreciated by a large major~ty of respondents in all tile three conipanles

However, relat~vely, controls deserve much more attelitron as fewer

respondents have rated them good Comparatively, iess number of

respondents in ACC cons~dered system management good

Information system components (hardware, software, etc.) are rated

'above average' ~n all the three companies Top management support and

IS people are rated well in VSP In all other cases the ratlngs are above

average.

Qual~ty of lnformat~on and output are rated good in ACC. User

friendliness is good in VSP. When i t comes to benefits of the system, in

ACC the respondents have given higher rating of 4.8. In all other cases, the

ratings are above average. Only in VSP, one respondent fell inforniation

Overload. Very few felt "information shortage".

The lapping of marketing intelligence sources 1s centered around

news Papers and journals, discussions with employees and others and TV

Summary of F n d l n g s and S ~ ~ Q O ~ I I O ~ , ~

lnlernel IS used In CPCL. M a r k e l m research 1s c o n s ~ d e r e d Importan1 alld

llscd as and when n e c e s s a r y in all the organizalions

Evaluation by t h e s p o k e s p e r s o n , l n d ~ c a t e that 111 VSP and CPCL

(Incldentaily, both a r e public en le rpr l ses ) , developlnenl reqtllrements are

cons~dered actively. Even the r e s p o n s e lo lnanagelnenl requlremenls

for ~ ~ o d ~ f ~ c a t ~ o ~ i s 1s slow a n d rigid

Exhibi t 6.3 C o m p a r a t i v e Analys i s of MKlS in C o r e S e c t o r

C P C L (N= l l ) VSP (N.11)

1998

9 Make co~nplex dec~srolis easy

-,__

S.1 ~~

ACC [N=l4)

- -- ~ ---- ~. 1998

> Make co~uplcx decls~ons easy

i Early ndaptlit~on of ]new teclinology

P To morr~tor global buslness

Aspect No- I

2

3.

4

5.

- 6

7.

Network &Oracle

SAP

Year of Setting up P u r j ~ o s ~

Syste~n Details - Future Plans

lrlformation Overload lnforinat~on Shortage

Intell~geoce

Market~ng Research

SAP R3 ERI'

..

1995

9 Malte complex decrs~on easy

9 As cornpetltors have setup

ERP

Co~npletion of ERP -NO-

9 1%

Marketing-- and Journals

9 D~scussions > Internet > Viewed

slgnlfica~ltly 9 Used

occasionally --

9%

18%

P TV P D~scusslolls

> Viewed s~gnificantly

> Used occas~orlally

21 4% P

9 News papers 9 TV 9 D I S C L I S S I ~ ~ ~

9 Vlewed slgnlficantly

9 Uscd occasionillly

Exhibit 6.4 Reports in C o r e Sector - Company. WISQ

iepot t Sales repor~ Price moveme~tt Gross sales Dally cullect~o~i realization

l~ndustry performance report Stock l )~s t r~bu t~on rcport

lliternet sltes Petrolout11 Bazanr Analysis by specialists I experts in tile field Quality control laboratory report Tank Dtp Statement

6

I'erfarmance reports Customer reports

Sales reports ( D I W I M i Q T Y I H Y l YY)* I'roductioo demand

)CIS - LOR (London 011 report for lubes)

I Excepttonal report

Matel-lals management report

Sales c red~ts and disooutits

1 Production report

I'rice trend A~iolysts report

Mill stock report

Dealers report Dally reta~lcrs rcport

Dally s ~ t c report

Prev~ous day stock rcport

Prcvious day out standing report Agcnt wlse & Region wise sales report Agenl wlse sides Purcllnse and procuremc~it repost Markct rcsearcli report Dislr~bution report

BSY stock report JCP report DCIS report Mlnister~al rcport liiventoiy report Dispatch plainmng report

F~iiancial report

- -

Sunlrlldry of Flrid~ngs and Suggosliorls

Exhibit 6.5 Comparative Evaluation of NiKiS in Core Sector

-- - - .- - - --

Aspects CPCL

(85 4)

w-

Change 1-1 998.5

( 3 94)

Hardware

Software -

Docurnentalion 3 4 3 8

I Overall Evaluation*

I / (3 6) / (3 7)

*Per catlt ages

Ma~ntenance

Integration

People Evaluation**

Top management

** Men11 values

1.0

(3 67)

3 5

3 3

4 0 - 3 5

-- -- 3 9

3 8

IS people

Outcomes Evaluation"*

Information

Oulput

User friendliness

Decis~on support system -- Benefits

Satisfaction

3 3

3.5

(3 6 )

3 6

3 6

(3.50)

3.5

3 3

3 . 5

3 .5 -

3.7

3 5

4 5 ~-

3 9

(4 0)

4 0

CHEMICALS SECTOR

~xhlb l ts 6 6, 6.7 and 6.8 summarrze the flndlngs in the chenllcals

sector pertaining to [marketing infolmation systems Of the tilree

companies, two have established marketing ~nformalion systems in 1999

Neuland and Erythro pharma have Set up MKlS to gain coinpetltive edge

and meet employee demands Bioioglcal E has set up to MKlS 'to make

complex decisions easy'

The systems in the three organizations have at present, less

sophisticated and in-iiouse developed packages. The f ~ t u r e plans for the

three organizations focus on SAP I ERP All the organlzat~ons yenerate

several reports as shown in Exhib~t 6.7. The reports can be broatlly

classified into sales, purchase, Inventory and finance While marketing

research is considered important and used to meet speclal requirements,

marketing inteil~gence is created through discussions, TV, conferences,

news papers and journals. Only respondents of Erythro pharma reporled

the use of internet.

The evaluation of effectiveness of th'e systems indicates that the

systems in Neuland and Erythro Pharma are rated good whereas in

Biologlcai E, it is rated above average. Component -wise eval~al ion shows

lhal system movement is more effective In Neuland than in olller two

companies. Information system is considered very good in Neuland and

Sulnnlary o f F ~ n d ~ n o a and S u ~ g a r i o i s

Erytllro Pharrna and good In Biol09lcal E 'People' component IS rated very

good in tlie three companies, o i l l ~ exception Is 'tap management' support in

~euland

When it comes to outcomes evaluation, respondents of Nculalld

rated 11 very good So is the case of Erythro Pharlna Relatlvcly, the syslenl

in Blologlcal E is rated less beneficial. Overall ratlngs are also in the samu

pattern Information shortages are reporled by a few respondents In

Neuland and OllOglCal E

According to the spokesperson of Neuland and B~loglcal E, i he~r

syslems have inadequacies. In Neuland hardware is Inadequate and,

development requirements are not actively considered. In Biological E, the

distribullon report needs modification.

- 1 lias setup 1 > Drinrnd lor

- -- - - b As

colnpelltors has setup

b Demand for employees

> Make cotnplex d e c ~ s ~ o ~ i s easy

An extension of

5 Illformation Overload .. .

laforination 20% -NO- 42% Shortage

6 /Marketing I b D~scussions ~ n t e l l i ~ e n i e P TV

P Confcrcnce > News papers

and Journals

7 9 Viewed sign~ficantly

>, Used occasioiiully

Marketing Research

> Viewed significinilly

> Used occas~onally

> V ~ e w e d s~gnif~cant ly

P Uned occasionally

Summary a f I~nd1110s and S ~ i g g c s i o ~ l ?

E x h ~ b l t 6.7 Reports in Chcniicals Sector - Company- W I ~ Q

.- $,I. No. - 1

. 2

3

4

5

6

7

i

'8 9

10

11 12 13

Erythro Pharma --- ~~.

Details o f execution orders

- Time between orders recelvlng and its execut~on Performance evaluation of ltey areas New market ~nformat~on Distr~but~on report

Sales reporl

Country wlse product with sales report etc

Market Largef reporl Current sales report -- Payment details report Export report Stock report Customers ~ ~ r t

P

Neuland ~

Dally actlvlty report

Sales report

- Country - wise, product - wise sales (past - present) Agent wise sales (comparison) Product wise contribut~on Inventory control reports Purchase and procurement report

Market research report- D~stribut~on r e p o T

Financial report

-- -- -- -

- ~-

Biological E - -

Daily actlv~ty report( (product~on,R&DIQC ) ._ Sales report (weekly: monthly, quarterly)

- Inventory conlrol report

Purchase and Procurement r e p ) Personnel appraisal report Market research and analysis report D~stribul~on reporl(localion wlse, Department wise) F~nancial report Product summary report Collection and payments report - -. -- --

Exhibit 6.8 Con~parative Evaluation of MKlS In Cho~nicals Sector

** Mean values

SERVICES SECTOR

Exhibits 6.9, 6.10 and 6.11 assemble the f~ndings on marketing

information systems irl the service sector. Antrix had establ~shed MKIS In

1972 and Medinova I 993, ~ 0 t h the organizations have set up MKlS for the

same Purpose of making complex decisions easy.

Antrlx 1s presently using Oracle, VB and lntetnet faclllty whereas

MedlnoVa 1s dependent on Clipper aiid Oracle The systeln in Antlx 1s not

Y el to be fully computerized Antrix is planning for bread board sysleln,

whereas Medtnova 1s set out for SAPIERP. Both the organizations use

repolts generated by the system (Exhib~t 6 10)

Marketing lntelllgence sources are primarily dlscuss~ons, TV arid

prlnl med~a Marketing research Is considered Important and used as anti

when necessary.

lnformatlon system 1s rated below average in Antr~x and good 111

Medlnova. The poor rating In Ant r~x may be because the system is not yet

completed and brought to full use. In respect of System, People and

Outcomes also the scores of Medlnova system are on higher side, In case

of user friendliness and benef~ts the ratlngs are almost the same.

lnforrnat~on over load and shortages are reported by some tn both the

organizations.

According to the spokesperson of Medinova, following inadequacies exist

P System has poor security.

P Maintenance of old database, and its up dating.

There are chances of corrupting data.

There are some untrained users (EDP) because of old software

Summary ol illldlngs and S u g ~ o s t o ~ ~ ~

Exhlblt 6.9 Cotnparatlve Analysis of MKlS i n Service Soctor

-7

9 r ~ ~ i r n o s e

> Discuss~ons 9 Discussions

Journals

1 9 Make con

, 9 Viewed significantly P Viewed slgnlf~cantly 9 Used occasionally P Used occas~onally

-~ Medinova (NsG) 1995

--

Make coniplex d m - Cllp@r & Oracle - SAP - ERP

Antrix (N=5)

Exihibit 6.10 Reports i n Services Sector - Company- Wise

16%

I S.I. Antrix 1 Medinova 1

nplex decisions easy

Oracle, VB, Internet

',

/

3 - 4 Fgure Plans Bread hoard system

, - 8~

-- w m Detarls

1 features 3 Substitutes Technology and I collection and payment r e p ~ 1

No. 1 2

Customer satisfaction report Competitors pricing and product

4 5 6

MIS report Daily Corporate business repol

7 8 0

112

alternat~ve technology Customer profiles and needs Demand and elastic~t Future plans of custoker which

7%&iporting --- repori Client feed back report ~ o x r s report on percepllon on

demand produces services

Customer loyalty Sales reports. Brand image, influence -- Government polices affecting the -- market Legal reports Satillite new

- Business and launch report

.- --

Su~illnary o l F ~ i d n g s and Suq(josl~oo~

E,xh~bit 6.11 comparat ive Evaluat ion of MKlS In Sorvices Sector

PROPOSITIONS EXAKINED

The SIX propositions developed for studying marketing information systems

are examined here

- VGect . ' s S t m e n t Evaluat~on* hex- --

Plans -- c o ~ ~ t r i ~ l s - Securlly - -- change

-1Zrlnation System Evaluation*' Hardware Software ~ocumentation Ma~nlenance lnlegratlon

People Evaluation** Top management IS people Outcomes Evaluation** Information Output

1 The informat~on systems represent the state of the art technology.

Many organizations have SAP I ERP, Net Work, Oracle and VB

representing the state of the art MKIS. In future, all the 0rgaflizatlOns

- A n t r ~ x (5) (65 8) -

61 0 72 7 39 7 80 0 72 7

(3 5 ) 3 7 3 8 3 8 3 0 3 3

(3 3) 3 0 3 6

( 3 7) 3 8 3 5

Medinova (GL - -

76 4 89 I

.. ... -. 81 3 83 u 75 3

rn 4 2 1 3

- 4 1 3 6 4 0

(4 5) 4 1 4 9

( 3 5) 4 1 4 6

User fr~endl~ness Oecisron support system Benef~ts Salisfaction

,Overall Evaluation* Per cent ages

"Mean values

4 1 3 3 4 1 3 8

(2 8)

4 - 1 4 2 3 9 4 3

(4 0)

S U l l l m ~ r y o l Fltid~ngs and Suggoalfp~,s

have SAP 1 ERP Excepting VSP all the organizalioii uses

research frequenlly. Marketing intelligence sources for ail

[he companies include the iradit~onal means l~ke news papers,

and discussions besides TV and internet, the halest

information exploder. (Exhibit 6 12)

Exhibit 6.12

Marketing information SyStoms - A Comparative view

Use of Marketing Research Frequency ean Score) __I_--

3 5

2.2

3.2

4 0 - 3 6

3.4

3,O

Existing System

ERP

.. . . Network &

Oracle SAP R2

ERP Network & 'FOCUS' in-house

developed Package

Sector

Core

Chem~cal

Organiza t ions

CPCL

VSP

ACC

Neuland

Erylhro Pharma

Medinava

Services

Cl~pper & 4.5 Oracle

I

,

Marketing lntellige~ice

Tradil~onal & Internet

DO

~ u t u r c Plans

cornplL- lion of ERP SAP

Biological

Antrix

In-house developed Package Oracle,

VB,lniernet

DO

DO

DO

DO

DO

SAP

SAP - ERP

Bread Board

Suninlary of F lnd ln~s and Suggostlons

2 ~ h c mfor~natron system are effecllve m servi~~g the fut~ctroi~a~ t,eeds

Tile major purposes of MKlS (Exhibit 6 13) are

To rnake complex decisions easy

p To match competitors' informalion capabaliltes

The decision support provided by MKlS is rated good (score of 3.3 LO

4.4) in all the organizations excepting Antrix ( 2 4 ) whrch IS still

evolvrny its MKlS Further the benefits of MKlS which rnciude

improvtng produclivity, ease in doing job, and makrng activities

efficient are rated very good (3.7 lo 4 8) by the respondents From

tnis, lt can be concluded that that the evoiving MKiS of the

orgariizations under study are enhancrng functional effecllveness of

the organizations.

Exhibi t 6.13 Functional Effectiveness of MKlS

I (Mean Score) 1 3.5 3.7 I Make complex

Sector Organiza t ions

Chemrcal

Services-

Declsion Support by

MKIS

VSP ACC

Neuland

Erythro Pharma

Biological

Antrix Medinova

Benefits o f

[Mean Score)

3.5 2.4 4.4

3.4 -

4.1

- 3 .3 4.2

3.9 4.8 '4.8

3.7

3.9

4.1 3.5

decisions easy -DO- -DO- .-

As competrtors have set up

-DO-

Make complex decision easy

-DO- -DO

3 The ~nformabon sysfen~s are cliange onented

A probe IS made Into change orientation on aspects like wt~eti~er

there a control mechanism for maklrig approprlale changes Exhrb~t

6 14 shows that all the organizations other than those in servlces have

very high change orlentation (82.6 to 100%) Even in case of servlces

also the perceived change 01-ientation IS above 70% (72 7 - 75 3 %)

Hence, it can be s a ~ d that information system are change or~ented

Exhibit 5.14

Change Orientation of MKlS

Chemical Neuland 90.0

Sector

Core

4, Information systems are user friendly.

The marketing information systems are considered user friendly. The

mean scores on the 5 point agreement scale ranged between 3.5 to 4.7

(Exhibit 6.15). The overall score represents agreement on aspects like

iraining to users, participation of users in system development, use of

'he system and user confidence.

Organizations

CPCL VSP

Services

Change Orientation (%) 93.1 98 2

Biologicai . Antrix

Medinova

90.9 72 7 75.3

Exhibi t 6.15 User fr iendlit less of MKlS

-- - .. - -- O r y a n i z a t i o n s T ~ Moan Score - -. -- . --

- VSP

~

- . A n - -

I I----- Antrix

~

Based on this f~nding, it can be concluded that systems are user

friendly

5. information systems are cost effective

Cost effectiveness is measured by the results obtained l~ke

product~vity, improved results, and expectations realized Exh~b~t 6.16

shows the benefit of MKlS in the select organizations On the whole,

the respondents of the various organizations have glven a ral~ng

above 3, and confirmed cost effectiveness of MKiS

Exhibi t 6.16 Cost Effectiveness o f MKlS

Benefits

Has tools lo Productiv~ Iy Improved Results Boasled

.Prof l t~ Expectati ons

realized

Services Antrlx

4 2

4 4

4.0

4.2

Chemicals Medl nova 4.0

4.6

3.6

3.6

Core Sector Biological

4 4

4.1

3.4

4.0

Neu land 46

4.8

4 .9

3.7

CPCL

4 0

4,8

3.7 -

3.4

Erythro

4.0

3 7

4.0

3.5

VSP

3.9

4.0

4.0

ACC

3 2

37-

3 . 9 - - - 2 . 8

4.4

6 /niormation systeins have effecbve leadership, plans, ~ ~ , j l r ~ / ~ and

securlly.

The information system management evaluatron in the select

organization reveals that leadership, plans, controls, security are

effective. Exh~bit 6.17 presents the evaluation in percentage scores

by the respondents. Relatively, leadership and controls in Antrix are

rated effective by less number of respondents

Exhibi t 6.17

In format ion System Managenlent Effectivonoss (Por tentages)

1 Controls I Security 1

Core

Chemical

The inadequacies in the MKlSs of the select organizations as identified by

the organizational representatives and respondents of the study are

summarized here:

Services

t ions CPCL VSP ACC

Neuland Erythro Pharma

Biological Antrix

Medinova

90.9 81 8 69 9 100.0 80.0

88 64.0 76.4

92.7 89.2 62 9 100.0 100.0

80,8 72.7 89.1

74.0 74.1 76.4 61.0 54.0

86 3 93 1 69 8 100.0 100 0

--- I 88.6 39.7 81.3

85 5 80 0 83.0

CPCL

the views of the representat~ve

) Hardware is inadequate to the users

i Development needs are not cons~dered actlvely

3 Response lo requests for rnod~flcat~ons IS slow

the views o f the respondents

9 No surprlse audit of the information systelns depart~licnt for

detecting fraud, theft, collusion etc.

VSP

~y the vlews of the representat~ve

b> Hard ware is inadequate

P Development requirements are not considered actively

ACC

By the vlews of the representative

P The present system is considered good as it meets even future

requirements

BY the views of the respondents

Features used in programming languages are not excellent

The decision support is less.

Neuland

BY the views of the representative

The hardware is inadequate to the users

Summary of Fl~ldlnyr and ~ u g ~ c s ~ , ~ , , ~

+ The responses to n~anagement reqilesls lor iiiod~hcat~ons are slow

By the views of the respondents

+ There is no surprise audlt of the lnformatlon system deparlnlenl for

detecting embezzlement, sabotage, lrregularrl~es

Erythro Pharma

~ ~ ~ o r d l n g to the representative, there are no Inadequacies in the system

BY [lie views of the retipondents

i. Provision for back up personnel in key poslt~ons required

b No surprise audit of the IS department for deiecling collus~on,

embezzlement and sabotage

b Secur~ty controls are not sufficient to ensure that all input data and

corrections to data have been processed properly and accurately

b Procedures for system changes and library changes are to be well

established

Biological E.

By the representatlve

b D~stribution report needs some improvement to Improve coilectlon

and profitability.

Antrir

By the views of the representative

b MKlS is not yet fully computerized

BY the views of the res~ondents

Sunlnlary of Flnd~rigs and ~ ~ g ~ ~ ~ l ~ ~ ~ , ~

+ There is no Surprise audit of the lnforlnatlon clepartnlent for

detectltlg fraud, theft, collusion, embezzlement, sabotage,

rregularltles.

Medinova

By the views of the representallve

> System has poor security

> Maintenance of oid database and its updating

> There 1s a chance of corrupting data

> There are some unframed users because of old software

CONCLUSIONS

From the above summary of findings, the following conclus~ons

emerge.

1 lnformation systems in the select organizations are developed to

make complex decisions easy and match with the competitor's

ab~lit~es.

2. lnformation systems represent the latest developments in the

technology. They are evolving with technology.

3, The major elements in MKlS are reporting system supported by

market~ng research and intelligence systems. Managers use both

quantitative as well as qualitative models in decisioti making.

4. Information overloads or shortages are less.

5. lnformation systems are effective in serving the functional needs of

marketing.

6. information systems are change oriented

Sumlnary ol ilndlngs and Suggosi~ons

7 inforlnat~on systems are user frlendiy users ale sat~sf~ed w11h tile

system

8 [nformatlon systems are cost effective,

g informi3tion systems have effectwe leadership, plans, controls, and

security.

10,Few inadequacies are also reported, tiley relate to hardware, audit,

user train~ng, data base, security, and response to deveiopnierit

requests.

SUGGESTIONS

What do the findings and conclusions mean to the organlzatlons under

study? What klnd of approaches and actions are required in the llght of

them?

1. Adopt IRM Concept.

Of the few Inadequacies mentroned, the important one that deserves

careful consideration IS the response of management to development

needs. Other points relate to user training, audit, data base

maintenance, secur~ty and hardware. To overcome ail these

deficiencies IRM concept 1s recommended.

in IRM concept, information is viewed as a key resource and

investment in information technology is made to gain competitive

advantage. It helps streamline system management establ~sh

functional authority for effective performance and results, and

integrating IS management with enterprise functions

Sulnmary of Flndlngs arll j ~ ~ g g ~ ~ l ~ ~ ~ ~

Design comprehens~ve Informahon Systems and appoint qua/,f,ed

lo bridge gap between IS staff a11d users

T O complete and emerge Successfully, lnd~an companies have t o

adopt a qulck but logical approach In decls~on making. Informalion 1s

the vital and necessary input In any decision making of a lnanager

TO prov~de each level of ailthority with appropriate infor~natlon I" the

right form and at the r~gh t time a systems approach IS inev~tabie A

comprehensive management lnformation system not only w ~ i help lo

collect, discrimmate, select, relate, ciassify and Interpret the

information according to the needs of the user but also integrates

organizat~onal functions The flnding that organlzatlons under study

are moving to ERP / SAP is healthy judged in this perspecl~ve.

Mc Nev~n (1968) ~dent~f ied that coco cola company br~dge the gap

between expectations of IS people and the stale of the art in

busmess by setting MIS department at corporate level and carrying

oul developmental research and continuing research to build models

and solve predictable marketing problems.

Rlchard H. Rrein (1968) found in one company two new positions - Information system manager and operations research manager were

created before acquisition of a larger, more sophlstlcated computer

system and i t was successful.

3 , provide adequate Hardware Faci l~t~es.

In case of CPCL, VSP, and Neuiand, the Inadequacy of hardware

systems IS felt. However, the respondents have agreed wlth the view

that it is a passing problem in the perlod of transltlor, 10

compi~ter~zation. However, steps may be inltlaled to overcotne this

by providing capab~lltles for operation and back-up

4 Strengthen Audlting Systems

The lack of surprise audit of the lnformatlon system department was

ldentlfied in CPCL, Neuland, Er~tro iaharma, an$ Antlix The other

four organizations under study reported that they have surprlse

auditing. In view of the significance of systems audit, the 'surprlse'

approach may also be adopted by these companies to detect and

prevent irreguiarities.

5 Security.

In Erythro Pharma and Medinova, security concerns are volced

Proper controls are to be setup to ensure that all input data and

corrections to data are processed properly and accurately. Also

procedures for systems changes are to be wet1 established to avoid

any loss of data.

6 . User Training.

in all the organizations excepting one, user training was considered

satisfactory. However, steps should be initiated to continue the

Summary of Fliidlngs a n d ~ ~ g ~ ~ ~ l ~ ~ ~ ~

lralning process as user needs are dynam~c and sk~lls reqlllre up

gradailon The threat of obsolescence Is to be thwarted by perlodlcal

lralnlng programmes

D~RECT~ONS FOR FUTURE RESEARCH

uesearch on ~nformai lon Systems in India IS a recent plienomenon for

obvous reasons On an average, Indian companies spent only around o 75

% of their revenues On IT Very few colnpanes have adopted lnfornial~oii

Resource Management concept (IRM). The scope for emp~rical research on

Information systems is thus abundant.

[n case of market~ng informatlon systems, a systematic study 1s not made

so far As such this study is made exploratory to provide a st~inulus for 111-

depth studies and a platform for d~scussions on further probe The following

studies may be undertaken (Cross -sectional and iongitudinal) in future in

Indian organizations Industry - wise.

b Market~ng mix elements and MKlS

E. Product development and MKlS

Integration of MKlS ~v i t h other functional ISs

Marketing efficiency and MKlS

) Performance and satisfaction of marketing personnel and MKlS

b E-Commerce.

Internet Selling.