Information Systems for Managers By Prof. Brinda Sampat

Introduction to Information Systems – An organized set of seemingly related data – Method, or process of grouping things together What is Information ? What is a System ?

What is an Information System ?  Combination of users, technology, processes to complete a given goal  Integration of hardware, software, data, network & communication, processes & people  Organized system, which collects, transforms & disseminates information in an organization  E.g. ATM’s, airline reservation systems, course reservation systems, hospital management systems InformationSystem

Example of an Information system Injury and trip to the hospital Registration Personal Information Into the System Assigned a Bed, Doctor,Nurse Diagnosis : X- rays, CT Scans Final Diagnosis, Cure, Discharge, Follow up, Insurance Hospitals :-

Why is an IS required ? Growth in revenue To cut down cycle time To reduce inventory Develop new products Support business operations Support managerial decision making Support strategic planning

Evolution of Information Systems Repetitive large volume transactions Summarizing & organizing data in accounts, finance & personnel areas MIS were introduced Accessed, organized, summarized & displayed information for decision making Produce predefined periodic reports Support middle-level managers Networking & electronic communication OAS introduced. CAD/CAM support available DSS emerged tailored to provide specific solutions to problems

Evolution of Information Systems Top executives used EIS; provide critical information in the required format Breakthrough in Artificial Intelligence lead to ES (Expert System) IS & IT became integral part of business processes; helped organizations gain competitive advantage Improve quality of information thus ensure accuracy o f input data

Basic Framework of a System InputFeedback Processing Output

Basic Framework of an Information System Input Processing Classify Arrange Calculate Output Feedback Environment (customers, suppliers, stock-holders, competitors) Information System Input, Processing, Output, Feedback, Control Data, instructions Transform, storage Display, reports, queries Performance No deviation

Types of Controls 1 Input Controls 2 Processing Controls 3 Output Controls 4 Storage Controls 5 Facility Controls 6 Procedural Controls

Approaches to Processing Batch Real time Approaches to Processing Transactions are accumulated & stored in a group or batch Stored till some reporting time or need to process it Used in old systems where massive transactions occurred e.g. Payroll, end of year reports Enters transactions which are linked directly to a computer Transactions are processed immediately Airline, Bar code reader, hotel reservation system

Classification of Information Systems Operations Support Systems Transaction Processing Systems Process Control Systems Enterprise Collaboration Systems Management Support Systems Management Information Systems Decision Support Systems Executive Information Systems Business System support the different functional areas by supporting decisions at both operations & management levels

Business Process Re-engineering BPR emphasizes on people & procedures Is the analysis & redesign of workflow within & between enterprises Michael Hammer & James Champy were the main proponents Davenport’s 5 step approach to the BPR model is : – Develop the Business vision and process objectives – Identify the business processes to be redesigned – Understand & measure the existing processes – Identify IT levers – Design & build a prototype of the new process

BPR cycle

Test yourself ! From all the Chapters

Question 1 System prototyping helps the designer in A. Making the programmers understand how the system will function B. Communicating to the user, quickly, how the system, when developed, will look like and get a feedback C. Giving a demo of the software, to the system manager to whom he reports D. Both (a) and (b) E. None of the above

Question 2 Which of the following systems implementation approaches should be used if you want to run the old system and the new system at the same time for a specified period? A. Direct B. Pilot C. Parallel D. Phased E. None of the above

Question 3 A system design aid should primarily A. Help analyze both data and activities B. Help in documentation C. Generate code D. Using a graphical user interface E. None of the above

Question 4 To reconstruct a system, which of the following key element(s) must be considered A. Feedback and environment B. Control and processors C. Outputs and inputs D. All of the above E. None of the above

Question 5 What is the process of building a model that demonstrates the features of a proposed product, service, or system? A. Prototyping B. Prototype C.Proof-of-concept prototype D. Selling prototype

Question 6 User documentation and training are provided during which SDLC phase? A. Maintenance B. Analysis C. Implementation D. Integration

Answers 1- B 2-C 3-A 4-D 5-A 6-C