Dr. Chen, Management Information Systems MBUS 626 Introduction to Management Information Systems Jason Chen, Ph.D. Professor of MIS School of Business Gonzaga University Spokane, WA

Dr. Chen, Management Information Systems Weekly Class Assignments Readings and prepare for class discussion –Chapter –Harvard Business Cases –Discussion Questions (DQ) - Blackboard –CDQ (if assigned): end of chapter discussion question and Mini-case (individual and from end of chapter) if assigned –Online quizzes

Dr. Chen, Management Information Systems Why Information Systems? (Why take IS?) “IT is a business force now. It amounts to one-half of US firm annual capital expenditures and increasingly affects firm organize, do business, and compete. Business managers who choose not to reckon with it do so at their and their firm’s peril. by Pete G.W. Keen “Chaotics” by Philip Kolter and John Caslione (AMACOM 2009) N

Dr. Chen, Management Information Systems Why Information Systems? “Chaotics” Globalization and are the two main forces that helped to create a new level of interlocking fragility in the world economy. While global interdependence works in everyone’s favor in good times, it rapidly spreads much pain and damage in bad times. by Philip Kolter and John Caslione (AMACOM 2009) N technology 4

Dr. Chen, Management Information Systems Top-Ten Innovation Mistakes a Company Can Make During a Turbulent Economy Fire talent. Reduce risk. Stop product development. Allow boards to replace growth-oriented CEOs with cost- cutting CEOs. Retreat from globalization. Allow CEOs to replace innovation as key strategy. Change performance metrics. Reinforce hierarchy over collaboration. Retreat into walled castle. 5 Cut back on technology.

Dr. Chen, Management Information Systems IS vs. IT IS = IT ? Why?

Dr. Chen, Management Information Systems Is Computer Age Over ?

Dr. Chen, Management Information Systems The Age vs. the Computer Age The Computer Age Time-sharing Computer 1960’s End of the computer age Beginning of the information age Interactive ComputingMini/Micro provide user with computer power (as of Mainframe) but with little cost Advances in telecommunications(link terminals/PC  mainframe) Software advances in application packages (e.g., DBMS, spreadsheet PC as DSS tool to access information stored in the center computer files to support management decision- making process. Information

Dr. Chen, Management Information Systems Computer Age vs. Information Age Computer age refers to the love affair with hardware (and its speed of processing data) Information age refers to the trend toward treating information as a corporate resource that supplies executives with timely, accurate information for more effective decision making.

Dr. Chen, Management Information Systems MIS M I S Which component is more important?

Dr. Chen, Management Information Systems Computers Impact The good news: Computers allow us to work 100% faster. The bad news: They generate 300% more work.

Dr. Chen, Management Information Systems What is Information ? DATA Information is refined data. INFORMATION What is 80/20 rule? How to apply it to this scenario?

Dr. Chen, Management Information Systems What is Information ? DATA INFORMATION 80% of information/ valuable output Trivial many (80%)? or Vital few (20%)? Other business example?

Dr. Chen, Management Information Systems Data vs. Information Users really want is –Information  What users can learn from the data  how to satisfy their best customers  how to allocate their resources most efficiently,  how to minimize losses

Dr. Chen, Management Information Systems Information and our Life Information (and energy) are at the core of everything around us. Our entire existence is a process of gathering, analyzing, understanding, and acting on the information.

Dr. Chen, Management Information Systems 100 Years ago... Today... n Industrial Revolution changed the World Information Revolution!

Dr. Chen, Management Information Systems 100 Years ago... Today... n Industrial Revolution changed the World Information Revolution!

Dr. Chen, Management Information Systems Industry Evolution (mid 1770s) Steam Engine Rail Road (1829, change concept of distance) Information Evolution (late 1990s) Computer Impact on: Economy, Politics, Social change Internet (1990, ??? Distance) N

Dr. Chen, Management Information Systems INFORMATION and PROCESS Information is frequently said to be the glue that holds an organization together. N WHY? EXAMPLES

Dr. Chen, Management Information Systems Value Chain in Order Management An Existing Product Sales Production and Manufacturing Distribution/ Logistics Accounting Service Primary Activities Administrative and Other Indirect Value Added Administrative and Other Indirect Value Added Support Activities N DB/KB

Dr. Chen, Management Information Systems Value Chain in Order Management A New Product Sales Finance Production and Manufacturing Marketing Distribution/ Logistics Service Primary Activities Administrative and Other Indirect Value Added Administrative and Other Indirect Value Added Support Activities DB/KB.

Dr. Chen, Management Information Systems More Information ? better More information is ____ profitable unless it is relevant information. Executives will need ____ information in the future if their companies are to be competitive. not

Dr. Chen, Management Information Systems Information … BAD information is WORSE than... ________information. NO

Dr. Chen, Management Information Systems Attributes of Information Quality We realize that a firm needs better information to survive and prosper. Therefore, high quality information products have to be provided to management.

Dr. Chen, Management Information Systems Content Dimension Form Dimension Time Dimension Attributes of Information Quality Timeliness Currency Frequency Time Period Clarity Detail Order Presentation Media Accuracy Relevance Completeness Conciseness Scope performance

Dr. Chen, Management Information Systems What is Information Systems? Information Systems (IS) are more than just computer hardware and software. It is not just developing business applications programs Information Systems include: –Information Technology –Management –Organization Ultimately, IS are used as strategic tool to improve an organization’s competitive advantage.

Dr. Chen, Management Information Systems INFORMATION SYSTEMS (MIS/IS) ORGANIZATIONSTECHNOLOGY MANAGEMENT INFORMATION SYSTEMS SYSTEMS Dr. Chen, The Challenge of the Information Systems Technology TM -27

Dr. Chen, Management Information Systems What is Technology? If it's green, it's biology, if it stinks, its chemistry, if it has numbers its math, if it doesn't work, it’s technology

Dr. Chen, Management Information Systems How you can apply MIS... To the information content of the data, to the valuable information in a user-friendly, intuitive, and easy to understand way, and to knowledge workers of today and tomorrow. empower improve present

Dr. Chen, Management Information Systems Objectives of the MIS Deliver the right _______ to the right _______, at the right ______, with the right _____. Ultimately, MIS should improve the workers’ __________. who has what information about whom and when, where, and how will all be decided in the process of building an information system. information people time form productivity 30

Dr. Chen, Management Information Systems What is the class about ? Therefore, this class is about the need, the value, and the means of acquiring, creating, _________ and ______ the information in the information age. managing, using

Dr. Chen, Management Information Systems The Twenty-first Century will... The twenty-first century will witness only two kinds of companies: –those that exploit Information Technology (IT) –those that are Source: Quality Information and Knowledge, Huang et. al., Prentice Hall out of business 32

Dr. Chen, Management Information Systems What is Web 2.0? "Web 2.0" refers to the second generation of web development and web design. –It is characterized as facilitating communication, information sharing, interoperability, user-centered design and collaboration on the World Wide Web. It has led to the development and evolution of web-based communities, hosted services, and web applications. –Examples include social-networking sites, video-sharing sites, wikis, blogs, mashups and folksonomies. –Web 2.0 is the business revolution in the computer industry caused by the move to the Internet as a platform, and an attempt to understand the rules for success on that new platform. Source:

Dr. Chen, Management Information Systems Roles of Information Systems Automates Innovates/ Transforms Innovates/ Transforms Informates

Dr. Chen, Management Information Systems Information Management vs. Knowledge Management Information management can be described as “delivering the right information to the right people at the right time with the right form.” Knowledge management can be illustrated as “getting the right people to have the right conversation at the right time.” N

Dr. Chen, Management Information Systems CONCLUSION Information System (IS) should be an organizational and management solution, based on information technology (IT), to a challenge posed by the environment.

Dr. Chen, Management Information Systems INFORMATIONSYSTEMS BUSINESSCHALLENGE BUSINESSSOLUTIONS MANAGEMENTINFORMATIONTECHNOLOGYORGANIZATION Dr. Chen, Information Age TM -37 Information Systems

Dr. Chen, Management Information Systems Dr. Chen, Information Age TM -38