1. 1 Chapter 6 Organizational Information Systems Information Systems Today

2. 2 Chapter 6 Objectives Understand characteristics of operational, managerial, and executive information systems Understand characteristics of transaction processing systems, management information systems, and executive information systems Understand characteristics of information systems that span organizational boundaries

3. 3 Decision-Making Levels of an Organization

4. 4 Executive level (top) Long-term decisions Unstructured decisions Managerial level (middle) Decisions covering weeks and months Semistructured decisions Operational level (bottom) Day-to-day decisions Structured decisions

5. 5 Monitor elementary activities and daily transactions of the organization support the monitoring, controlling, decision- making and administrative activities of middle managers support the long-range planning activities of senior management Operational-level system Management-level system Strategic-level system Different Kinds of Systems

6. 6

7. 7 Four major Types of systems

8. 8 INFO SYSTEMS, LEVELS, DECISIONS

9. 9 1. Transaction Processing System (TPS) Computerized systems that perform and record the daily routine transactions

10. 10 Goal  to automate repetitive information processing activities Increase speed Increase accuracy Greater efficiency …TPS

11. 11 Source documents can be processed: As they are created  Online processing Or, in batches  Batch processing: Information can be entered into TPS as: Manual data entry: by a person Semi-automated data entry: person will entered, whereas the system will scanned check out the information, then continue the process automatically Fully automated data entry: doesn’t require any human intervention …TPS

12. 12 Payroll Sales and ordering Inventory Purchasing, receiving, shipping Accounts payable and receivable Examples of TPS

13. 13 2. Management Information System (MIS) It serves functions of planning, controlling and decision making by providing routine summary and exception reports

14. 14 Scheduled report Key-indicator report Exception report Drill-down report Ad hoc report …MIS Reports

15. 15 Typical MIS

16. 16 Simple Report Produced by MIS

17. 17 3. Executive Support Systems (ESS) Information System at the organization’s strategic level designed to address unstructured decision making through advanced graphics and communications

18. 18 Typical ESS

19. 19 Executive-level decision making Long-range and strategic planning Monitoring internal and external events Crisis management Staffing and labor relations …EIS examples

20. 20 Information Systems that Span Organizational Boundaries

21. 21 4. Decision Support System (DSS)  Information System that Serves management level of the organization  Combines data and sophisticated analytical models or data analysis tools to support semi-structured and unstructured decision making  It is user-friendly, so the user can change assumptions, ask new question and include new data

22. 22 Typical DSS

23. 23 Designed to support organizational decision making “What-if” analysis Example of a DSS tool: Microsoft Excel Text and graphs Models for each of the functional areas Accounting, finance, personnel, etc. …DSS

24. 24 Mimics human expertise by manipulating knowledge Rules (If-then) Inferencing Expert systems

25. 25 Communicating and scheduling Document preparation Analyzing data Consolidating information Office Automation Systems OAS

26. 26 Virtual teams Videoconferencing Groupware Electronic Meeting Systems (EMSs) Collaborative Technologies

27. 27 Geared toward specific areas in the company:  Human Resources  Benefits  Marketing Functional Area IS

28. 28

29. 29 International IS Transnational IS Multinational IS Global IS