1 Applied ICT Information and its use

Applied ICT 2 Objectives Be able to interpret diagrams that show organisations’ structures. Understand how organisations use information, including how it is collected, communicated and processed

Applied ICT 3 Smileys and Icons A key term A definition you will be expected to know for the exam Homework It is essential you do the homework set for this course Research Facts you need to research. Exam questions A question copied from passed paper, REVISION! Task A task or activity you need to complete

Applied ICT 4 Information and its use All organisations need information to operate, but some exist solely to gather and disseminate information. 1.What information do organisations need? 2.How is the information collected? 3.How is information communicated 4.Types of information. Task Think about which organisations just gather and disseminate information.

Applied ICT 5 Information and its use 1.What information do organisations need? Organisations such as News agencies Newspaper Radio Television news channels Market research Direct Marketing collect information from different sources, collect and process it to make it more assessable and understandable then publish the information.

Applied ICT 6 Information and its use Different organisations need different information. A Retail Shop Availability of stock Prices A Manufacturing Organisation Availability and cost of raw materials Customer information Methods of distribution A Tour Operator Availability and cost of hotel rooms Flight information Customer booking requirements

Applied ICT 7 Information and its use 2.How is the information collected? The information needed by organisations will be collected in many different ways depending on the organisation and the information. Task In your groups discuss each company; 1.What information they need and 2.How they might collect this information

Applied ICT 8 Information and its use 3.How is information communicated? Internal Communication:- Job function and departments communicate internally. External Communication:- Organisation communicate externally with other organisations, customers, suppliers, inland revenue and other official bodies.

Applied ICT 9 Information and its use 4.Types of information Customer Client Customer details Name, Address Payment details How payment is made, Full or part payment, Amount paid, total cost Orders Goods/services Customer details Payment and Delivery Monthly Statements Contracts Details of goods or service, terms and conditions Forms a legally binding agreement Accounts Order, Total Cost, Invoices, Monthly Statements Delivery Details Instructions, Method, Date Loan agreements How much, Interest, repayments, terms and conditions

Applied ICT 10 Information and its use 4.Types of information – Customer and Client Legally binding agreement An agreement that I recognised under law. The client has 30 days to change their mind Thirty-day credit All goods must be paid for within 30 days of the customer receiving them.

Applied ICT Information and its use Types of information 11 Wholesalers Retailers Retailers buy from wholesalers Retailers details Organisation, Address Invoices How payment is made, Full or part payment, Amount paid, total cost Purchase Orders Goods/services Retailer’s details Payment and Delivery Monthly Statements Contracts Details of goods or service, terms and conditions Forms a legally binding agreement Accounts Order, Total Cost, Invoices, Monthly Statements Delivery Details Instructions, Method, Date

Applied ICT 12 Information and its use Wholesalers Intermediary organisations who buy goods or services from producers and then sell them on to other businesses Retailers Mostly retailers buy goods from wholesalers and sell them to the public. 4.Types of information – Wholesalers and retailers

Applied ICT Information and its use 13

Applied ICT Information and its use 14 Distributors Move goods from place to place Goods to be transported Where they are coming from and going to Date to be delivered Invoices How payment is made, Full or part payment, Amount paid, total cost Delivery confirmation Monthly Statements Contracts Details of goods or service, terms and conditions Forms a legally binding agreement Accounts Order, Total Cost, Invoices, Monthly Statements Delivery Details Instructions, Method, Date

Applied ICT Information and its use Distributors Move goods around They need to know –Where they are coming from and going to –Delivery and collection date –Delivery notes, details needed There customers will need to know –Cost of delivery –Confirmation of delivery 15

Applied ICT Information and its use Suppliers (Of services or goods) Wholesalers supply goods to retailers Distributors supply transportation to organisations Information will depend on the organisation and supplier –Purchase order to supplier –Invoices to organisations –Payment details 16

Applied ICT Information and its use Manufacturer Make products Information about raw materials and parts Purchase orders to suppliers Orders for products Invoices requesting payment Specifications for products, include colour, size, shape and changes. 17

Applied ICT Information and its use Managers and employees All organisations hold information on their managers and employees –Name, address, education, qualification, Employment history, position, salary, contracted hour Information between managers and employees will differ depending on job function. –Instructions –Outcomes of tasks/progress 18

Applied ICT Information and its use Briefs A brief is a summary of the specificatio of a product or service. It depends on the type of organisation Specifications provided in design brief 19

Applied ICT Information and its use Services Organisations will need to communicate –Price –What you get, exactly! Eg Insurance, flights Clients need to provide requirements and details. 20 Premium The amount of money you pay to an insurance company to provide insurance cover. Premiums are calculated from statistics

Applied ICT Information and its use Goods Customers and clients need information about the goods they are buying. –Catalogues –Websites Retailers will need similar information from wholesalers. –Quantity –Profit margin 21 Task You are buying a laptop. What information do you need to know before you buy it?

Applied ICT Information and its use 22 InformationFromTo Orders/purchase ordersCustomers and clients Retailers or service providers Invoices Retailers Manufactures, distributors and other suppliers Wholesalers Manufactures, distributors and other suppliers Manufactures & Service providers Distributors and other suppliers Retailers or service providers Customers and clients Wholesalers, distributors and other suppliers Retailers Manufactures, distributors and other suppliers Wholesalers Distributors and other suppliers Manufactures & Service providers

Applied ICT Information and its use 23 InformationFromTo Delivery Notes Retailers, wholesalers or manufacturers Distributors Delivery confirmationDistributors Retailers, wholesalers or manufacturers Product specifications and design briefs Internal design function or external organisation Manufacturing function Work instructionsManagersEmployees Work ReportsEmployeesManagers Goods information (Catalogues/websites) RetailersCustomers WholesalersRetailers Service information (Brochure/websites) Service providers Clients (Brochures/websites)

Applied ICT Information and its use Key information and supporting ICT systems Key information systems used by organisations Personnel Training Payroll Design and development Purchasing Sales Research Accounts and finance Stock control or inventory systems Internet and Intranet 24

Applied ICT Information and its use Personnel Systems These are databases holding information about an organization’s employees. Write down… 1. Where does this information come from? 2. What information do you think will be stored? 3. What might cause this information to be updated? 25 Managed by

Applied ICT Information and its use Personnel Systems Employee information – Application form Full name, address, DoB, Gender, Martial status, education and qualifications. A unique Employee number is allocated Date joined the company, position, salary, grade, contracted hours, holiday entitlement and other job related information Personnel Information Confidential Data protection 26 Managed by

Applied ICT Information and its use Personnel Systems 27 Application Form Personnel Database Small Organisations Flat-file database Large Organisations Relational Database Managed by Training Payroll

Applied ICT Information and its use Personnel Systems 28 Managed by Flat-file database: A database consisting of a single table of data. Records can be sorted on different criteria Surname Length of service Easy to locate an employee’s record Updating information Computer based personnel records can be processed more easily than paper based

Applied ICT Information and its use Training Systems Ensures employees have the skills they need Organising Recording Extension of personnel records Task, write down… 1. What information you think would be stored and How? 29 Managed by Staff development plans: A document that identifies the existing knowledge and skills of employees and how these can be extended and updated to improve performance. It will allocate resources to ensure that any training provided is relevant to the needs of the organisation and the employees.

Applied ICT Information and its use Training Systems 30 Managed by Why do organisations invest in training? 1.Google “investors in people”

Applied ICT Information and its use Payroll Systems Links HR to accounts and finance, which will link to the personnel system. 31 Managed by Employee No Rate of pay Tax code Personnel Database Payroll

Applied ICT Information and its use Payroll Systems Clocking in systems Calculations –Hours worked*hourly rate –Deductions; National insurance, pension, tax Pay slips Confidential 32 Managed by Tax Code A code issued by the inland revenue, based on an individual’s circumstances. It is deducted from wages. Batch Processed Processing where all the data is collected or input and processed in a single operation. It is often run periodically and overnight.

Applied ICT Information and its use Payroll Systems Internal and external links. Managed by Accounts Wages - Profits External Links Payroll Pay wages to accounts Inland Revenue Internal Links Employee

Applied ICT Information and its use Payroll Systems What would be the consequences of inaccurate Data on a payroll system? Managed by

Applied ICT Information and its use Design and development Systems Depend on the organisation’s products or services Computer aided design (CAD) Computer aided manufacturing (CAM) Records of; –Products –New products –Changes to products What information woud be stored about the product? 35

Applied ICT Information and its use Purchasing Systems The purchase system creates purchase orders for the goods and services required. –One copy to supplier –One copy kept by purchasing When goods/services and invoice are received they are checked against the purchase order Updates the purchase ledger in accounts Links with the stock control/manaufacturing systems 36 Managed by

Applied ICT Electronic data interchange (EDI) The exchange of standardised document forms between computer systems for business use. Purchase Ledger The section of accounts that records all purchases made by an organisation and the money paid out. Sales Ledger The section of the accounts system that records the sales of goods or services made by the organisation and the money paid in. Information and its use Purchasing Systems 37 Managed by

Applied ICT Information and its use Sales Systems The sales system keeps a record and tracks orders placed by customers Inputs –Customer details, goods or services required –Manually or electronic Outputs –Requests for the supply of goods or services –Picking list (Warehouse) –Delivery note (Despatch) –Invoices (Customer) 38

Applied ICT Information and its use Sales Systems Links –Stock Control –Sales Ledger 39

Applied ICT Information and its use Research Systems Keeps details records of new products being trialled or investigated. Reports on research Analysis of market research 40

Applied ICT Information and its use Accounts and Finance Systems Keeps track of the money coming and going out of the organisation General ledger summarising accounts Balance sheets and income statements Tracks receipts and payments, forecasting cash flow 41

Applied ICT Information and its use Stock and Inventory Systems Tracks items held in stock by serial number Records number, cost and location of stock Re-ordering process Links with robotic systems? Re-stocking 42 Managed by

Applied ICT Information and its use Systems Communicate information within and outside organisation Organise meeting Who receives what information 43 Managed by

Applied ICT Information and its use Internet and Intranet Systems Communicate with customers New opportunities Internal, providing closed networks Buy and sell goods online. 44 Managed by