2 Information System – Primary Purpose Collects data, processes it into information then converts information into knowledge for a specific purpose.DataElementary description of things, events, activities, and transactions that are recorded, classified, and stored, but not organized to convey any specific meetingInformationData that has been organized so that they have meaning and value to the recipientKnowledgeInformation that has been organized and processed to convey understanding, experience and expertise as they apply to a current problem or activity
4 Basic component of ISs: Hardware: it’s a set of devices such as processor, monitor, keyboard, and printer.Together, they accept data and information as an input, process them, and display them as an output.
5 Basic component of ISs: Software: it’s a set of programs that instruct the hardware to process data.A database: is a collection of related files, tables, relations, and so on, that stores data and the associations among them.
6 Basic component of ISs: A network: is a connecting system that permits the sharing of resources by different computers. It can be wireless.Policies and Procedures: are the set of instructions about how to combine the above components in order to process information and generate the desired output.
7 Basic component of ISs: People: are those individuals who work with the system, interface with it, or use its output.
8 IS Activities Input of data resources Data entry activitiesProcessing of data into informationCalculations, comparisons, sorting, and so onOutput of information productsMessages, reports, forms, graphic imagesStorage of data resourcesData elements and databasesControl of system performanceMonitoring and evaluating feedback
9 Recognizing Information Systems As professional of EMIS, you should be able to look at an information system and identify…The people, hardware, software, data, and network resources they useThe type of information products they produceThe way they perform input, processing, output, storage, and control activities
10 Major Capabilities of Information Systems Facilitate work in hazardous environments.Facilitate interpretation of vast amounts of data.Perform high-speed, high-volume, numerical computations.Store huge amounts of information in an easy-to-access, yet small space.Provide fast, accurate, and inexpensive communication within and between organizations.Allow quick and inexpensive access to vast amounts of information worldwide.
11 Major Capabilities of Information Systems Enable communication and collaboration anywhere, any time.Increase the effectiveness and efficiency of people working in groups in one place or in several locations.Vividly present information that challenges the human mind.Automate both semiautomatic business processes and manually done tasks.Facilitate global trade.Can be wireless, thus supporting unique applications anywhere.Accomplish all of the above much less expensively than when done manually.
16 Foundation ConceptsWhy study information systems and information technology?Vital component of successful businessesHelps businesses expand and competeImproves efficiency and effectiveness of business processesFacilitates managerial decision making and workgroup collaboration
17 What is a System?A group of interrelated or interacting elements forming a unified whole
18 What is a System? A set of interrelated components With a clearly defined boundaryWorking togetherTo achieve a common set of objectives
19 What is a System? A system is… A set of interrelated components With a clearly defined boundaryWorking togetherTo achieve a common set of objectivesBy accepting inputs and producing outputsIn an organized transformation process
20 Type of information systems Manual information systemsInformal information systemsFormal information systemsComputer-based information systems (CBIS)
21 System Concepts: A Foundation System concepts help us understand…Technology: hardware, software, data management, telecommunications networksApplications: to support inter-connected information systemsDevelopment: developing ways to use information technology includes designing the basic components of information systemsManagement: emphasizes the quality, strategic business value, and security of an organization’s information systems
22 Cybernetic System All systems have input, processing, and output A cybernetic system, a self-monitoring, self-regulating system, adds feedback and control:Feedback is data about the performance of a systemControl involves monitoring and evaluating feedback to determine whether a system is moving toward the achievement of its goalthe essential goal of cybernetics is to understand and define the functions and processes of systems that have goals, and that participate in circular, causal chains that move from action to sensing to comparison with desired goal, and again to action. Studies in cybernetics provide a means for examining the design and function of any system, including social systems such as business management and organizational learning, including for the purpose of making them more efficient and effective.
23 Other System Characteristics If a system is one of the components of a larger system, it is a subsystemThe larger system is an environmentSeveral systems may share the same environmentSome may be connected via a shared boundary, or interfaceTypes of systems…OpenAdaptive
24 What is an Information System? An organized combination of…PeopleHardware and softwareCommunication networksData resourcesPolicies and proceduresThis system…Stores, retrieves, transforms, and disseminates information in an organization
25 Information Technologies Information SystemsAll the components and resources necessary to deliver information and functions to the organizationCould be paper basedInformation Technologies – technological side of ISHardware, software, networking, data managementOur focus will be on computer-based information systems (CBIS)
26 Recognizing Information Systems (Group Discussion) We will try to recognize and visualized IS in several organizations in terms of following characters:The people, hardware, software, data, and network resources they useThe type of information products they produceThe way they perform input, processing, output, storage, and control activities
28 ClassificationBy organizational levelBy the type of support provided
29 Organization Level Managerial Control Operational Control Strategic PlanningManagerial ControlOperational Control
30 Interorganizational Systems Finance ISHuman Resources ISOrga.B SystemOrga.A SystemProduct ISInterorganizational SystemsOrga.C SystemAdministrative ISOrganizational systemsDepartmental systems
31 Fundamental Roles of IS in Organization O'Brien, James; Marakas, George 2008
32 Trends in Information Systems O'Brien, James; Marakas, George 2008
33 Types of Information Systems Operations Support SystemsEfficiently process business transactionsControl industrial processesSupport communication and collaborationUpdate corporate databasesManagement Support SystemsProvide information as reports and displaysGive direct computer support to managers during decision-making
34 Purposes of Information Systems O'Brien, James; Marakas, George 2008
35 Operations Support Systems What do they do?Efficiently process business transactionsControl industrial processesSupport communications and collaborationUpdate corporate databases
36 Types of Operations Support Systems Transaction Processing SystemsRecord and process business transactionsExamples: sales processing, inventory systems, accounting systemsProcess Control SystemsMonitor and control physical processesExample: using sensors to monitor chemical processes in a petroleum refineryEnterprise Collaboration SystemsEnhance team and workgroup communicationExamples: , video conferencing
37 Two Ways to Process Transactions Batch ProcessingAccumulate transactions over time and process periodicallyExample: a bank processes all checks received in a batch at nightOnline ProcessingProcess transactions immediatelyExample: a bank processes an ATM withdrawal immediately
38 Management Support Systems What do they do?Provide information and support for effective decision making by managersManagement information systemsDecision support systemsExecutive information systems
39 Types of Management Support Systems Management Information Systems (MIS)Reports and displaysExample: daily sales analysis reportsDecision Support Systems (DSS)Interactive and ad hoc supportExample: a what-if analysis to determine where to spend advertising dollarsExecutive Information Systems (EIS)Critical information for executives and managersExample: easy access to actions of competitors
40 Other Information Systems Expert SystemsProvide expert adviceExample: credit application advisorKnowledge Management SystemsSupport creation, organization, and dissemination of business knowledge throughout companyExample: intranet access to best business practices
41 Measuring IT Success Efficiency Effectiveness Minimize cost, time, and use of information resourcesEffectivenessSupport business strategiesEnable business processesEnhance organizational structure and cultureIncrease customer and business value
42 Developing IS Solutions O'Brien, James; Marakas, George 2008
43 Components of an ISO'Brien, James; Marakas, George 2008
44 Information System Resources People ResourcesSpecialistsEnd usersHardware ResourcesMachinesMediaSoftware ResourcesProgramsProcedures
45 Information System Resources Data ResourcesProduct descriptions, customer records, employee files, inventory databasesNetwork ResourcesCommunications media, communications processors, network access and control softwareInformation ResourcesManagement reports and business documents using text and graphics displays, audio responses, and paper forms