There are three dimensions to an information system:
1) Organisations: co-ordinates work through structured hierarchy and business processes. The culture of the organisation is embedded in its information system, for example the emphasis is placed on customer care or production of a good.
2) People: information systems require skilled people to build, maintain and use them. Managers and employees attitudes towards the systems affect the ability to use them productively.
3) Technology: helps improve profits, reduce costs, increase competitive advantages and ensure the survival of a business. For example data management technology and networking technology (internet, video chat).
Information systems can be good for organisations but can also be bad if not used properly. More than 50% of all IS projects fail. They fail for many different reasons.
1) Organisational problems: outdated business processes, inadequate resources, and a turbulent business environment.
2) People problems: lack of employee training, the work environment, lack of knowledge of organisation and poor or indecisive management.
3) Technology problems: outdated software, inadequate database capacity and rapid technology change.
There are many different solutions to all of these problems, some mean the difference between success and failure for an organisation. Build or purchase a new information system is one solution. An organisation can do this by getting an in-house application, a software package, an internet based application or it can outsource. The organisation should then get feedback from employees after its implementation so as to avoid another failure in the future.