On the evolution of information systems

The rapid growth of communication tools and the Internet has significantly changed the capabilities of information systems and the way businesses utilize them. Information systems are becoming commonplace and are playing a key role in operations, management, and in the decision making processes throughout all levels of an organization. Information systems have quickly evolved from a humble IT tool to an essential and strategic element of a successful organization. The evolution of such systems has kept industry leaders and software companies extremely busy. Industry leaders must balance the level of implementation, productivity goals, the amount the system will influence the decision making process, while staying within the guidelines of a specific budget. On the other hand, software companies have the objective of developing products that are flexible enough to meet varying expectations. Software companies face many challenges in the development of such systems. As technology, methodologies, management vision, and the business environment continue to change rapidly, software companies are forced to spend a significant amount of resources for research, development and innovation to ensure the final product is flexible, can easily be integrated into to any type of business model, and most importantly provides their clients the necessary insight for success. This chapter describes the past, present, and future of information systems, technological and functional innovations, and the achievement of such improvements and examines the future of such systems.