Question

Why is it difficult to convince top management to commit funds to develop and implement SIS

Answer 1

ANSWER: It is difficult to convince top management to commit funds to develop and implement SIS because these management are only committed to increase profit and reduce cost in the organization. Since SIS does not add to the profit of the organization, instead it increase cost, these managers finds it difficult to commit funds to such department.

EXPLANATION: SIS means Special Information System. This information systems are the department, responsible for creating medium for transferring Information within the organization and outside the organization. They also control the information technology of the company. These department enhances the communication pathways of the organization, thereby making the job of each department more easier.

But it is always very costly to develop and maintain such department in an organization. It is seen that such department incur more cost for an organization and does not bring in profit for the organization, this is the perspectives that such top managements see the SIS department.

Answer 2

It is difficult to convince top management to commit funds to develop and implement SIS because the system is not simply reducing costs or increasing output, it might also change the way an organization does business and because many fundamental business changes are involved, measuring the financial impact gets more difficult which leads to management's questioning to commit funds to develop and implement SIS.

Step-by-step explanation:

An SIS means strategic information system, it is an information system that helps organizations to seize opportunities. It requires top management to be involved and must be part of the overall organizational strategic plan.

Whether to develop a new SIS and estimating the financial benefits is extremely difficult, as many fundamental business changes may be involved.

This is why it is difficult to convince top management to implement SIS.