Business applications of information systems

Learning objectives After this lecture, you will be able to: appreciate the importance of transaction processing systems, process control and office automation systems to the operational management of a business; select an appropriate system for decision support at tactical and strategic levels of an organisation; assess the potential for using business information systems in different parts of an organisation.

Management issues From a managerial perspective, this lecture outlines the use and importance of BIS in relation to operational and management decision levels.

Operational information systems Transaction processing systems (TPS): These are used to manage the exchange of information and funds between a company and third parties such as customers, suppliers and distributors. Office automation systems (OAS): OAS are used to manage the administrative functions in an office environment and are often critical to service-based industries. Process control systems: These are important in manufacturing industries for controlling the manufacture of goods.

ATM Transaction Figure 6.1 Key elements of a transaction processing system

Figure 6.2 Network architecture for a retail transaction processing system

Different applications of collaborative systems

Groupware functions

Activity 1 Write in your own words, i.e. as a Manager, what are the ways of effective marketing or business strategies using the latest information technology to boost your sales?