Information systems perform vital roles for an organisation at three different levels; operational, tactical and strategic. At the operational level it supports the basic processes and operations of the business. Next is the tactical level, here managers and employees are assisted in making decisions. The last is strategic and at this level information systems support the organisations strategies and help to achieve competitive advantage.
Information systems can transform organisations. They can help to improve efficiency and productivity, this improved efficiency can result in increased profit margins. IS can also lead to a drastic reduction in operating costs and less waste. Technologies and information systems can enable firms to create and produce new products, services and business models and compete on a global level as a result. One of the main advantages that information systems can have for an organisation is the increased level of knowledge that workers and management gain. They can improve their understanding of the business and the market they are competing in and can do their jobs more efficiently. The decisions they make will be more effective as they will have clear information and this will benefit the organisation in the long run
Overall, information systems provide organisations with support for business processes and operations, decision making and gaining competitive advantage.