PPT Slides by Dr. Craig Tyran Types of Information Systems: Ways to Use IT in Organizations MIS 320 Kraig Pencil Summer 2013

PPT Slides by Dr. Craig Tyran A. Game Plan Introduction Basic functions of IS Types of information systems –TPS … MIS … DSS … ES … –Office automation systems –Functional Area Information Systems –And more !

B. Information Systems Knowledge 1.Who cares? Useful for a manager to become familiar with the range of capabilities of IS  If you want to use all the tools available in your profession, you need to know what IT tools can do … and cannot do … for you.  If you want to effectively use IT in the workplace, you need to know how to work with IT. Consider a golfer and his/her golf clubs …

Know what is in your bag! … And how to play the shots!

Reality check: Some “trouble shots” are tougher than others ! Even a good golf club – or IS – may not be able to work miracles.

Alphabet Soup Alert !!! Image source: /

B. Information Systems Knowledge 1.Who cares? (cont.) Managers need to be aware of what people in the workplace are talking about when they hear names/acronyms such as … TPS. MIS, DSS ERP. SCM, CRM

PPT Slides by Dr. Craig Tyran and Kraig Pencil C. Basic Functions of Information Systems: The 5 Cs of Information Processing What do information systems do? 1.Capture: Obtain info at its point of origin 2.Cradle: Store info 3.Create: Process info to obtain new info 4.Convey: Present info in a useful form 5.Communicate: Deliver info to others

D. Transaction Processing Systems (TPS) 1.What is a business “transaction”? –A business event worth capturing and storing –Examples??? –Always $$$ transactions? 2. Examples of TPS –??? 3. TPS emerged in the early days of IS –Perform routine, repetitive tasks –Often stores data in a database –The Sales TPS is probably the most common & critical 4.Collect, store, and process transaction data

Order Entry TPS

D. Transaction Processing Systems (TPS) 6. Related expression: Online transaction processing (OLTP) –What does “online” mean? –How is this different from batch processing? 7. TPSs may be found in all functions (production, accounting, marketing, etc.) of an organization 8. Some TPSs are at the very heart of the organization If a critical TPS fails, the whole organization may suffer – or even fail!!! TPS

D. Transaction Processing Systems (TPS) TPS data are often fed to other systems PPT Slides by Dr. Craig Tyran & Kraig Pencil TPS Databases Interorganizational System Business Intelligence (to aid decision-making) Other systems: Dashboard, ERP, IOS, Web 2.0, etc. Expert System Functional Area IS (e.g. HR, marketing, etc.) Barcode scanner

E. Management Information Systems 1.Provide people with useful information (hopefully!) E.g., periodic summary reports, comparison reports Alternate name: “Management Alerting Systems” 2.Beware! Managers can get swamped with too many reports 3.A MIS typically uses information that has already been captured and cradled into a database Quick question: Which type of IS might collect the data? 4.The key Cs: Create and Convey See figure

E. Management Information Systems Management Information System

E. Management Information Systems 5. You will learn how to create systems that help to transform data tables into more useful information First half of quarter  MS Access Second half of quarter  MS Excel

MIS Example: Using Excel to transform a data table into a more useful form (PivotChart) – See Excel book: Tutorial 5

MIS Example: Using Access to transform a data table into a report – See Access book: Tutorial 4

F. Decision Support Systems (DSS) 1.DSS are used to support un/semi-structured problems that require human judgment 2.DSS typically allow user to interact with information and explore ( e.g., “What if” analysis – see figure) Decision maker can modify sales, expense, & cost assumptions to explore impact on profit DSS, also known as BI (Business Intelligence systems)

F. Decision Support Systems (DSS) 3.The key Cs: Create and Convey 4.DSS can come in many forms Managers often use spreadsheet-based DSS MIS 320 Excel experiences will be helpful! 5.Common components of a DSS (s ee figure) User interface Model management Data management

DSS: Paper Production Planning and Scheduling Models: Product demand forecast Capacity planning/scheduling Paper roll cutting Company Data Base Easy to use interface, Data charts, etc.

PPT Slides by Dr. Craig Tyran Cash Flow Projection DSS

G. Functional & Productivity Systems Functional Systems MSCM: Manufacturing Supply Chain Management CRM: Customer Relationship Management PM: Project Management systems Finance/Accounting Office Automation Systems /chat, document sharing, meeting management, publishing, presentations … Examples: Microsoft Office Google Apps

H. Later in the course … 1.InterOrganizational Systems (IOS) –Play an important role in electronic commerce –Support flow of information between a) an organization and b) business partners –Example: Business-to-Business IOS (B2B) Supply chain management –The key C: Communicate (deliver information) –See figure on next slide Image source:

InterOrganizational System: Support linkages between organizations Source: Rainer, Potter, and Turban, Intro to IS, Wiley, Which are the B2B “IOS” Linkages ??

H. Later in the course … (cont.) 2. Enterprise Resource Planning systems (ERP) –Key focus is on the “E” word: Enterprise Resource Planning –Offers potential to integrate transaction information across all organizational departments and functions 3. Systems based on “Web 2.0” technologies –Examples of technologies Weblogs (blogs), Wikis, Social networking –Purpose? Support web-based collaboration “Social computing”

I. Identifying IT Opportunities Consider the IS applications in your organization and ask yourself … In which categories do our applications fit? Are we missing out on opportunities to compete more effectively through new information technology? TPS MIS DSS ERP “Web 2.0” Systems IOS Functional and Productivity Systems Other types of IS