Next Back MAP MAP 1-1 Management Information Systems for the Information Age Second Canadian Edition Copyright 2004 The McGraw-Hill Companies, Inc. All rights reserved Chapter 1 THE INFORMATION AGE IN WHICH YOU LIVE Changing the Face of Business

Next Back MAP MAP 1-2 Management Information Systems for the Information Age Second Canadian Edition Copyright 2004 The McGraw-Hill Companies, Inc. All rights reserved Overview Chapter 1 Today’s Economic Environment MIS InformationPeople Information Technology Roles and Goals of IT

Next Back MAP MAP 1-3 Management Information Systems for the Information Age Second Canadian Edition Copyright 2004 The McGraw-Hill Companies, Inc. All rights reserved Today we live in an Information age Where knowledge is power. Businesses are using information to gain and sustain a competitive advantage. Introduction

Next Back MAP MAP 1-4 Management Information Systems for the Information Age Second Canadian Edition Copyright 2004 The McGraw-Hill Companies, Inc. All rights reserved Once you finish you program, you will enter the marketplace as a knowledge worker. Once you finish you program, you will enter the marketplace as a knowledge worker. Knowledge worker works with and produces information as a product. Knowledge worker works with and produces information as a product. A knowledge worker outnumbers all other types of workers by a 4-to-1 margin. A knowledge worker outnumbers all other types of workers by a 4-to-1 margin. Introduction Continued

Next Back MAP MAP 1-5 Management Information Systems for the Information Age Second Canadian Edition Copyright 2004 The McGraw-Hill Companies, Inc. All rights reserved Where does MIS fit in today's’ information age and why is it so important? Where does MIS fit in today's’ information age and why is it so important? Because it deals with the coordination and use of 3 important organizational resources: Because it deals with the coordination and use of 3 important organizational resources:  Information  Information Technology and  People Introduction Continued

Next Back MAP MAP 1-6 Management Information Systems for the Information Age Second Canadian Edition Copyright 2004 The McGraw-Hill Companies, Inc. All rights reserved As a Formal Definition: Management information systems (MIS) deals with the planning for, development, management, and use of information technology tools to help people perform all tasks related to information processing and management. Introduction Continued

Next Back MAP MAP 1-7 Management Information Systems for the Information Age Second Canadian Edition Copyright 2004 The McGraw-Hill Companies, Inc. All rights reserved Chapter 1 Today’s Economic Environment MIS InformationPeople Information Technology Roles and Goals of IT For a business to be successful today, it has to understand and operate in dynamic, fast-paced and changing economic environment.

Next Back MAP MAP 1-8 Management Information Systems for the Information Age Second Canadian Edition Copyright 2004 The McGraw-Hill Companies, Inc. All rights reserved Today’s Economic Environment To be a successful business in today’s economic environment, you must:  Know your competition  Competitive Intelligence.  Know your customers using tools such as Customer Relationship Management, CRM.  Work closely with your business partners through Supply Chain Management, SCM.  Know your organization inside and out.

Next Back MAP MAP 1-9 Management Information Systems for the Information Age Second Canadian Edition Copyright 2004 The McGraw-Hill Companies, Inc. All rights reserved What does today’s economic environment entail?  The E.Conomy  The “Now” Economy  The Global Economy  The Arriving Digital Economy Today’s Economic Environment

Next Back MAP MAP 1-10 Management Information Systems for the Information Age Second Canadian Edition Copyright 2004 The McGraw-Hill Companies, Inc. All rights reserved Work anytime anyplace. The E.conomy Today’s Economic Environment Distance Learning Telephone service representative working from home

Next Back MAP MAP 1-11 Management Information Systems for the Information Age Second Canadian Edition Copyright 2004 The McGraw-Hill Companies, Inc. All rights reserved The E.conomy Electronic commerce – is commerce, but it is commerce accelerated and enhanced by information technology. Electronic commerce – is commerce, but it is commerce accelerated and enhanced by information technology. Telecommuting – the use of communications technologies to work in a place other than a central location. Telecommuting – the use of communications technologies to work in a place other than a central location. Virtual Workplace – a technology-enabled workplace. No boundaries. Virtual Workplace – a technology-enabled workplace. No boundaries. Today’s Economic Environment

Next Back MAP MAP 1-12 Management Information Systems for the Information Age Second Canadian Edition Copyright 2004 The McGraw-Hill Companies, Inc. All rights reserved The E.conomy Figure 1.1 Telecommuting – Canadian Statistics page 6 Today’s Economic Environment

Next Back MAP MAP 1-13 Management Information Systems for the Information Age Second Canadian Edition Copyright 2004 The McGraw-Hill Companies, Inc. All rights reserved The “Now” Economy Characterized by the immediate access customers have to the ordering of products and services. Characterized by the immediate access customers have to the ordering of products and services. An ATM is an example of a product in the “now” economy. An ATM is an example of a product in the “now” economy. Today’s Economic Environment

Next Back MAP MAP 1-14 Management Information Systems for the Information Age Second Canadian Edition Copyright 2004 The McGraw-Hill Companies, Inc. All rights reserved The “Now” Economy M-commerce – electronic commerce conducted over a wireless device such as a cell phone or personal digital assistant. M-commerce – electronic commerce conducted over a wireless device such as a cell phone or personal digital assistant. Team Work I Want It! (p.8) Today’s Economic Environment

Next Back MAP MAP 1-15 Management Information Systems for the Information Age Second Canadian Edition Copyright 2004 The McGraw-Hill Companies, Inc. All rights reserved The “Now” Economy M-commerce gives you the ability to:  Buy and sell stocks  Bid on auctions  Obtain up-to-the-minute weather forecasts. Team Work I Want It! (p.8) Today’s Economic Environment

Next Back MAP MAP 1-16 Management Information Systems for the Information Age Second Canadian Edition Copyright 2004 The McGraw-Hill Companies, Inc. All rights reserved The Global Economy Global economy – one in which customers, businesses, suppliers, distributors, and manufacturers all operate without regard to physical and geographical boundaries. Global economy – one in which customers, businesses, suppliers, distributors, and manufacturers all operate without regard to physical and geographical boundaries. Transnational firms – produce and sell products and services in countries all over the world. Transnational firms – produce and sell products and services in countries all over the world. Today’s Economic Environment

Next Back MAP MAP 1-17 Management Information Systems for the Information Age Second Canadian Edition Copyright 2004 The McGraw-Hill Companies, Inc. All rights reserved The Global Economy Figure 1.2 Total Import and Export Figures, 1998 to 2000 (millions of Canadian dollars) page 9 Today’s Economic Environment

Next Back MAP MAP 1-18 Management Information Systems for the Information Age Second Canadian Edition Copyright 2004 The McGraw-Hill Companies, Inc. All rights reserved The Arriving Digital Economy Digital economy – marked by the electronic movement of all types of information including physiological information such as: Digital economy – marked by the electronic movement of all types of information including physiological information such as:  Voice recognition  Speech synthesization  Biometrics  Holograms Today’s Economic Environment

Next Back MAP MAP 1-19 Management Information Systems for the Information Age Second Canadian Edition Copyright 2004 The McGraw-Hill Companies, Inc. All rights reserved Chapter 1 Today’s Economic Environment MIS InformationPeople Information Technology Roles and Goals of IT 1.Information is one of the three components of MIS. 2.Information leads to knowledge and knowledge is power. 3.Knowledge comes from having timely access to information and knowing what to do with it. Information as a Key Resource

Next Back MAP MAP 1-20 Management Information Systems for the Information Age Second Canadian Edition Copyright 2004 The McGraw-Hill Companies, Inc. All rights reserved There are three aspects to information: In order to work with information, you need to understand it, and to do so you need to understand data. Data V.S. Information As a knowledge worker you work with and produce information hence you should consider the personal dimensions of information As an organization (yours or someone else's’) you also need to consider the organization’s dimensions of information. MIS InformationPeopleInformation Technology

Next Back MAP MAP 1-21 Management Information Systems for the Information Age Second Canadian Edition Copyright 2004 The McGraw-Hill Companies, Inc. All rights reserved Data Versus Information Data are raw facts that describe a particular phenomenon. Data are raw facts that describe a particular phenomenon. Some data could be temperature, name, age, or price of a movie rental. Some data could be temperature, name, age, or price of a movie rental. If you are trying to decide what to wear, the price of a movie rental would not help you in your decision but the temperature will. If you are trying to decide what to wear, the price of a movie rental would not help you in your decision but the temperature will. MIS InformationPeopleInformation Technology

Next Back MAP MAP 1-22 Management Information Systems for the Information Age Second Canadian Edition Copyright 2004 The McGraw-Hill Companies, Inc. All rights reserved Data Versus Information Therefore Information are data that have a particular meaning within a specific context. Therefore Information are data that have a particular meaning within a specific context. Information could also be a group of data that are related to each other such a name, age, gender and address to give the student’s personal information during registration. Information could also be a group of data that are related to each other such a name, age, gender and address to give the student’s personal information during registration. MIS InformationPeopleInformation Technology

Next Back MAP MAP 1-23 Management Information Systems for the Information Age Second Canadian Edition Copyright 2004 The McGraw-Hill Companies, Inc. All rights reserved Personal Dimensions of Information The personal dimensions of information are important since you are the knowledge worker who works with and produces information. The three personal dimensions of information include: The personal dimensions of information are important since you are the knowledge worker who works with and produces information. The three personal dimensions of information include:  Time  Location  Form MIS InformationPeopleInformation Technology

Next Back MAP MAP 1-24 Management Information Systems for the Information Age Second Canadian Edition Copyright 2004 The McGraw-Hill Companies, Inc. All rights reserved Personal Dimensions of Information MIS InformationPeopleInformation Technology Figure 1.3 Personal Dimensions of Information page 10

Next Back MAP MAP 1-25 Management Information Systems for the Information Age Second Canadian Edition Copyright 2004 The McGraw-Hill Companies, Inc. All rights reserved Personal Dimensions of Information Time dimension Time dimension  Having access to information when you need it.  Having the correct information that describes the specific time period of interest. MIS InformationPeopleInformation Technology

Next Back MAP MAP 1-26 Management Information Systems for the Information Age Second Canadian Edition Copyright 2004 The McGraw-Hill Companies, Inc. All rights reserved Personal Dimensions of Information Location dimension Location dimension  Having access to information no matter where you are including: Airplane Airplane Hotel room Hotel room Home Home Student center at university Student center at university At work At work MIS InformationPeopleInformation Technology

Next Back MAP MAP 1-27 Management Information Systems for the Information Age Second Canadian Edition Copyright 2004 The McGraw-Hill Companies, Inc. All rights reserved Personal Dimensions of Information Form dimension Form dimension  Having information in a form most useable and understandable to you.  It is about accuracy. Having information that is free of errors. MIS InformationPeopleInformation Technology

Next Back MAP MAP 1-28 Management Information Systems for the Information Age Second Canadian Edition Copyright 2004 The McGraw-Hill Companies, Inc. All rights reserved Organizational Dimensions of Information For your own business or while working in a company, you need to consider the various organizational dimensions of information, including:  Information flows  Information granularity and  What information describes. MIS InformationPeopleInformation Technology

Next Back MAP MAP 1-29 Management Information Systems for the Information Age Second Canadian Edition Copyright 2004 The McGraw-Hill Companies, Inc. All rights reserved Organizational Dimensions of Information Information Flows Information in an organization flows in four basic directions:  Up  Down  Horizontally and  Outward (See figure 1.4) MIS InformationPeopleInformation Technology

Next Back MAP MAP 1-30 Management Information Systems for the Information Age Second Canadian Edition Copyright 2004 The McGraw-Hill Companies, Inc. All rights reserved Organizational Dimensions of Information Information Flows In relation to the pyramid in figure 1.4 TOP: TOP:  Strategic management  provides overall direction and guidance. THE SECOND LEVEL: THE SECOND LEVEL:  Tactical management  develops the goals and strategies. MIS InformationPeopleInformation Technology

Next Back MAP MAP 1-31 Management Information Systems for the Information Age Second Canadian Edition Copyright 2004 The McGraw-Hill Companies, Inc. All rights reserved Organizational Dimensions of Information Information Flows In relation to the pyramid in figure 1.4 THE THIRD LEVEL: THE THIRD LEVEL:  Operational management  manages and directs the day-to-day operations. FINAL LEVEL: FINAL LEVEL:  Non-management employees  perform daily activities. MIS InformationPeopleInformation Technology

Next Back MAP MAP 1-32 Management Information Systems for the Information Age Second Canadian Edition Copyright 2004 The McGraw-Hill Companies, Inc. All rights reserved Organizational Dimensions of Information Figure 1.4 An Organization, Its Information Flows, and Information Granularity page 12 MIS InformationPeopleInformation Technology

Next Back MAP MAP 1-33 Management Information Systems for the Information Age Second Canadian Edition Copyright 2004 The McGraw-Hill Companies, Inc. All rights reserved Organizational Dimensions of Information The four flows of information include: The four flows of information include:  Upward – describes the current state of the organization based on its daily transactions.  Downward – consists of the strategies, goals, and directives that originate at one level and are passed to lower levels. MIS InformationPeopleInformation Technology

Next Back MAP MAP 1-34 Management Information Systems for the Information Age Second Canadian Edition Copyright 2004 The McGraw-Hill Companies, Inc. All rights reserved Organizational Dimensions of Information Information flows continued Information flows continued  Horizontal – between functional business units and work teams.  Outward – information that is communicated to customers, suppliers, distributors, and other partners for the purpose of doing business. MIS InformationPeopleInformation Technology

Next Back MAP MAP 1-35 Management Information Systems for the Information Age Second Canadian Edition Copyright 2004 The McGraw-Hill Companies, Inc. All rights reserved Organizational Dimensions of Information Granularity Information granularity – refers to the extent of detail within the information. Information granularity – refers to the extent of detail within the information. MIS InformationPeopleInformation Technology

Next Back MAP MAP 1-36 Management Information Systems for the Information Age Second Canadian Edition Copyright 2004 The McGraw-Hill Companies, Inc. All rights reserved Organizational Dimensions of Information Granularity At the top of the pyramid information is highly aggregated and summarized. The information is coarse and granular. At the bottom of the pyramid, the information is ‘raw’ and highly detailed. The information is of fine granularity. MIS InformationPeopleInformation Technology

Next Back MAP MAP 1-37 Management Information Systems for the Information Age Second Canadian Edition Copyright 2004 The McGraw-Hill Companies, Inc. All rights reserved Organizational Dimensions of Information What information describes What the information describes can include: What the information describes can include:  Internal information – specific operational aspects of the organization.  External information – the environment surrounding the organization.  Objective information – something that is known.  Subjective information – something that is unknown. MIS InformationPeopleInformation Technology

Next Back MAP MAP 1-38 Management Information Systems for the Information Age Second Canadian Edition Copyright 2004 The McGraw-Hill Companies, Inc. All rights reserved Chapter 1 Today’s Economic Environment MIS InformationPeople Information Technology Roles and Goals of IT People 1.Set goals 2.Carry out tasks 3.Make decisions 4.Serve customer 5.Provide a stable and reliable technology environment. People as a Key Resource When it comes to you (the people) there are two important issues to be aware of: 1.Information and technology literacy. 2.You ethical responsibilities.

Next Back MAP MAP 1-39 Management Information Systems for the Information Age Second Canadian Edition Copyright 2004 The McGraw-Hill Companies, Inc. All rights reserved Information and Technology Literacy The single most important resource in any organization is its people. The single most important resource in any organization is its people. To be more precise, the most valuable asset to the organization is your mind. To be more precise, the most valuable asset to the organization is your mind. MIS InformationPeopleInformation Technology

Next Back MAP MAP 1-40 Management Information Systems for the Information Age Second Canadian Edition Copyright 2004 The McGraw-Hill Companies, Inc. All rights reserved Information and Technology Literacy A Technology-literate knowledge worker is a person who knows how and when to apply technology.  HOW is knowing what technology to buy and how to exploit it benefits.  When is knowing the right time to apply technology. MIS InformationPeopleInformation Technology

Next Back MAP MAP 1-41 Management Information Systems for the Information Age Second Canadian Edition Copyright 2004 The McGraw-Hill Companies, Inc. All rights reserved Information and Technology Literacy Information-literate knowledge workers: Information-literate knowledge workers:  Define what information they need.  Know how and where to obtain information.  Understand the information.  Act appropriately based on the information to help the organization achieve the greatest advantage. MIS InformationPeopleInformation Technology

Next Back MAP MAP 1-42 Management Information Systems for the Information Age Second Canadian Edition Copyright 2004 The McGraw-Hill Companies, Inc. All rights reserved Your Ethical Responsibilities Ethics – the principals and standards that guide our behavior toward other people. Ethics – the principals and standards that guide our behavior toward other people. Ethics are different from laws as they are a matter of personal interpretation. Ethics are different from laws as they are a matter of personal interpretation. Ethics have a right and wrong outcome according to different people. Ethics have a right and wrong outcome according to different people. MIS InformationPeopleInformation Technology

Next Back MAP MAP 1-43 Management Information Systems for the Information Age Second Canadian Edition Copyright 2004 The McGraw-Hill Companies, Inc. All rights reserved Your Ethical Responsibilities Consider: Consider:  Copying software you purchased, making copies for your friends and charging them for the copies.  Making extra backup copies.  Giving out the phone numbers of your friends and relatives without their permission to a provider of some sort. MIS InformationPeopleInformation Technology

Next Back MAP MAP 1-44 Management Information Systems for the Information Age Second Canadian Edition Copyright 2004 The McGraw-Hill Companies, Inc. All rights reserved Your Ethical Responsibilities Which ones are ethical / legal or not? MIS InformationPeopleInformation Technology

Next Back MAP MAP 1-45 Management Information Systems for the Information Age Second Canadian Edition Copyright 2004 The McGraw-Hill Companies, Inc. All rights reserved Your Ethical Responsibilities Consider: Consider:  Copying software you purchased, making copies for your friends and charging them for the copies. This is not ethical nor legal.  Making extra backup copies. It is ethical but only legal to make one backup copy.  Giving out the phone numbers of your friends and relatives without their permission to a provider of some sort. Not ethical. MIS InformationPeopleInformation Technology

Next Back MAP MAP 1-46 Management Information Systems for the Information Age Second Canadian Edition Copyright 2004 The McGraw-Hill Companies, Inc. All rights reserved Your Ethical Responsibilities What about Hackers – very knowledgeable computer user who uses his or her knowledge to invade other people’s computers. What about Hackers – very knowledgeable computer user who uses his or her knowledge to invade other people’s computers. MIS InformationPeopleInformation Technology Figure 1.5 Acting Ethically and Legally page 16

Next Back MAP MAP 1-47 Management Information Systems for the Information Age Second Canadian Edition Copyright 2004 The McGraw-Hill Companies, Inc. All rights reserved Your Ethical Responsibilities On Your Own Electronic Mail or Expensive Mail? (p. 17) MIS InformationPeopleInformation Technology

Next Back MAP MAP 1-48 Management Information Systems for the Information Age Second Canadian Edition Copyright 2004 The McGraw-Hill Companies, Inc. All rights reserved Chapter 1 Today’s Economic Environment MIS InformationPeople Information Technology Roles and Goals of IT Information Technology is any computer-based tool that people use to work with information and support the information and information processing needs of an organization. IT as a Key Resource

Next Back MAP MAP 1-49 Management Information Systems for the Information Age Second Canadian Edition Copyright 2004 The McGraw-Hill Companies, Inc. All rights reserved Information technology any computer-based tool that people use to work with information and support the information and information-processing needs of an organization MIS InformationPeopleInformation Technology

Next Back MAP MAP 1-50 Management Information Systems for the Information Age Second Canadian Edition Copyright 2004 The McGraw-Hill Companies, Inc. All rights reserved There are two basic categories of technology: There are two basic categories of technology:  Hardware – physical devices that make up a computer.  Software – set of instructions that the hardware executes to carry out a specific task. MIS InformationPeopleInformation Technology

Next Back MAP MAP 1-51 Management Information Systems for the Information Age Second Canadian Edition Copyright 2004 The McGraw-Hill Companies, Inc. All rights reserved Key Technology Categories Hardware categories Hardware categories  Input devices  Output devices  Storage devices  Central processing unit  Random access memory  Telecommunications devices  Connecting devices On Your Own Identifying Hardware And Software (p. 21) MIS InformationPeopleInformation Technology

Next Back MAP MAP 1-52 Management Information Systems for the Information Age Second Canadian Edition Copyright 2004 The McGraw-Hill Companies, Inc. All rights reserved Key Technology Categories  Input devices Keyboard Keyboard Mouse Mouse Touch screen Touch screen Game controller Game controller Barcode reader Barcode reader Scanner Scanner MIS InformationPeopleInformation Technology

Next Back MAP MAP 1-53 Management Information Systems for the Information Age Second Canadian Edition Copyright 2004 The McGraw-Hill Companies, Inc. All rights reserved Key Technology Categories  Output devices Printer Printer Dot matrix Dot matrix Inkjet / Bubble jet Inkjet / Bubble jet Laser jet Laser jet Monitor Monitor Speakers Speakers Video Video MIS InformationPeopleInformation Technology

Next Back MAP MAP 1-54 Management Information Systems for the Information Age Second Canadian Edition Copyright 2004 The McGraw-Hill Companies, Inc. All rights reserved Key Technology Categories  Storage devices Primary storage Primary storage Random Access Memory Random Access Memory Read Only Memory Read Only Memory Secondary Storage Secondary Storage Hard Drive Hard Drive DVD DVD Floppy Disk Floppy Disk Tape backup Tape backup Zip drive Zip drive MIS InformationPeopleInformation Technology

Next Back MAP MAP 1-55 Management Information Systems for the Information Age Second Canadian Edition Copyright 2004 The McGraw-Hill Companies, Inc. All rights reserved Key Technology Categories  Central processing unit Pentium 4 Pentium 4 AMD Athlon XP Thunderbird AMD Athlon XP Thunderbird MIS InformationPeopleInformation Technology

Next Back MAP MAP 1-56 Management Information Systems for the Information Age Second Canadian Edition Copyright 2004 The McGraw-Hill Companies, Inc. All rights reserved Key Technology Categories  Random access memory SD RAM SD RAM DD RAM DD RAM MIS InformationPeopleInformation Technology

Next Back MAP MAP 1-57 Management Information Systems for the Information Age Second Canadian Edition Copyright 2004 The McGraw-Hill Companies, Inc. All rights reserved Key Technology Categories  Telecommunications devices Telephone modem Telephone modem DSL modem DSL modem Cable modem Cable modem Microwave Microwave Satellite Satellite MIS InformationPeopleInformation Technology

Next Back MAP MAP 1-58 Management Information Systems for the Information Age Second Canadian Edition Copyright 2004 The McGraw-Hill Companies, Inc. All rights reserved Key Technology Categories  Connecting devices Printer cable Printer cable Parallel port Parallel port Serial port Serial port USB port USB port Infrared Infrared MIS InformationPeopleInformation Technology

Next Back MAP MAP 1-59 Management Information Systems for the Information Age Second Canadian Edition Copyright 2004 The McGraw-Hill Companies, Inc. All rights reserved Key Technology Categories Software categories Software categories  Application software  Operating system software  Utility software ( (See Figure 1.6 on page 19 for a complete overview of software categories.) MIS InformationPeopleInformation Technology

Next Back MAP MAP 1-60 Management Information Systems for the Information Age Second Canadian Edition Copyright 2004 The McGraw-Hill Companies, Inc. All rights reserved Key Technology Categories Software categories Software categories  Application software Word processing Word processing Payroll software Payroll software Spreadsheet software Spreadsheet software Inventory management software Inventory management software Graphics Graphics Database management systems Database management systems MIS InformationPeopleInformation Technology

Next Back MAP MAP 1-61 Management Information Systems for the Information Age Second Canadian Edition Copyright 2004 The McGraw-Hill Companies, Inc. All rights reserved Key Technology Categories Software categories Software categories  Operating system software Windows XP Windows XP Windows 2000 Windows 2000 Windows Me Windows Me Mac OS Mac OS Linux Linux Unix Unix MIS InformationPeopleInformation Technology

Next Back MAP MAP 1-62 Management Information Systems for the Information Age Second Canadian Edition Copyright 2004 The McGraw-Hill Companies, Inc. All rights reserved Key Technology Categories Software categories Software categories  Utility software Antivirus Antivirus Screen saver Screen saver Disk optimization Disk optimization Uninstaller Uninstaller MIS InformationPeopleInformation Technology

Next Back MAP MAP 1-63 Management Information Systems for the Information Age Second Canadian Edition Copyright 2004 The McGraw-Hill Companies, Inc. All rights reserved Decentralized Computing and Shared Information Figure 1.7 Decentralized Computing and Shared Information page 21 MIS InformationPeopleInformation Technology

Next Back MAP MAP 1-64 Management Information Systems for the Information Age Second Canadian Edition Copyright 2004 The McGraw-Hill Companies, Inc. All rights reserved Decentralized Computing and Shared Information Decentralized computing – environment in which an organization splits computing power and locates it in functional business areas and on knowledge workers’ desktops. Decentralized computing – environment in which an organization splits computing power and locates it in functional business areas and on knowledge workers’ desktops. Shared information – environment in which an organization’s information is organized in one central location. Shared information – environment in which an organization’s information is organized in one central location. MIS InformationPeopleInformation Technology

Next Back MAP MAP 1-65 Management Information Systems for the Information Age Second Canadian Edition Copyright 2004 The McGraw-Hill Companies, Inc. All rights reserved Chapter 1 Today’s Economic Environment MIS InformationPeople Information Technology Roles and Goals of IT Roles and Goals of IT relates to the reasons you with to buy, create, implement, use, and integrate IT into your business strategy. Roles and Goals of Information Technology

Next Back MAP MAP 1-66 Management Information Systems for the Information Age Second Canadian Edition Copyright 2004 The McGraw-Hill Companies, Inc. All rights reserved 1. Increase employee productivity 2. Enhance decision making 3. Improve team collaboration 4. Create business partnerships and alliances 5. Enable global reach 6. Facilitate organizational transformation Roles and Goals of IT

Next Back MAP MAP 1-67 Management Information Systems for the Information Age Second Canadian Edition Copyright 2004 The McGraw-Hill Companies, Inc. All rights reserved 1 - Increase Employee Productivity Online transaction processing (OLTP) – the gathering of input information, processing that information, and updating existing information to reflect the gathered and processed information. Online transaction processing (OLTP) – the gathering of input information, processing that information, and updating existing information to reflect the gathered and processed information. Roles and Goals of IT

Next Back MAP MAP 1-68 Management Information Systems for the Information Age Second Canadian Edition Copyright 2004 The McGraw-Hill Companies, Inc. All rights reserved 1 - Increase Employee Productivity Transaction processing system (TPS) – processes transactions that occur within an organization. Transaction processing system (TPS) – processes transactions that occur within an organization. Customer-integrated system (CIS) – An extension of a TPS that places technology in the hands of an organization’s customers and allows them to process their own transactions. Customer-integrated system (CIS) – An extension of a TPS that places technology in the hands of an organization’s customers and allows them to process their own transactions. Roles and Goals of IT

Next Back MAP MAP 1-69 Management Information Systems for the Information Age Second Canadian Edition Copyright 2004 The McGraw-Hill Companies, Inc. All rights reserved 1 - Increase Employee Productivity Figure 1.9 Transaction Processing and Customer-Integrated Systems page 24 Roles and Goals of IT

Next Back MAP MAP 1-70 Management Information Systems for the Information Age Second Canadian Edition Copyright 2004 The McGraw-Hill Companies, Inc. All rights reserved 2 - Enhance Decision Making Online analytical processing (OLAP) – the manipulation of information to support decision making. Online analytical processing (OLAP) – the manipulation of information to support decision making. Artificial intelligence – the science of making machines imitate human thinking and behavior. Artificial intelligence – the science of making machines imitate human thinking and behavior. Neural network – an artificial intelligence that is capable of finding and differentiating patterns. Neural network – an artificial intelligence that is capable of finding and differentiating patterns. Roles and Goals of IT

Next Back MAP MAP 1-71 Management Information Systems for the Information Age Second Canadian Edition Copyright 2004 The McGraw-Hill Companies, Inc. All rights reserved 2 - Enhance Decision Making Executive information system (EIS) – a highly interactive IT system that allows you to first view highly summarized information and then choose how you would like to see greater detail, which may alert you to potential problems or opportunities. Executive information system (EIS) – a highly interactive IT system that allows you to first view highly summarized information and then choose how you would like to see greater detail, which may alert you to potential problems or opportunities. Roles and Goals of IT

Next Back MAP MAP 1-72 Management Information Systems for the Information Age Second Canadian Edition Copyright 2004 The McGraw-Hill Companies, Inc. All rights reserved 2 - Enhance Decision Making Figure 1.10 Drilling Down with an Executive Information System page 25 Roles and Goals of IT

Next Back MAP MAP 1-73 Management Information Systems for the Information Age Second Canadian Edition Copyright 2004 The McGraw-Hill Companies, Inc. All rights reserved 3 - Improve Team Collaboration Collaboration system – designed specifically to improve the performance of teams by supporting the sharing and flow of information. Collaboration system – designed specifically to improve the performance of teams by supporting the sharing and flow of information. Groupware – software components that supports the collaborative efforts of a team. Groupware – software components that supports the collaborative efforts of a team. Roles and Goals of IT

Next Back MAP MAP 1-74 Management Information Systems for the Information Age Second Canadian Edition Copyright 2004 The McGraw-Hill Companies, Inc. All rights reserved 3 - Improve Team Collaboration Groupware contains support for: Groupware contains support for:  Team dynamics  Document management Group document database – acts as a powerful storage facility for organizing and managing all documents related to specific teams. Group document database – acts as a powerful storage facility for organizing and managing all documents related to specific teams.  Applications development Roles and Goals of IT

Next Back MAP MAP 1-75 Management Information Systems for the Information Age Second Canadian Edition Copyright 2004 The McGraw-Hill Companies, Inc. All rights reserved 4 - Create Business Partnerships and Alliances Interorganizational system (IOS) – automates the flow of information between organizations to support the planning, design, development, production, and delivery of products and services. Interorganizational system (IOS) – automates the flow of information between organizations to support the planning, design, development, production, and delivery of products and services. Team Work Finding Business Partners and Alliances on The Web (p. 27) Roles and Goals of IT

Next Back MAP MAP 1-76 Management Information Systems for the Information Age Second Canadian Edition Copyright 2004 The McGraw-Hill Companies, Inc. All rights reserved 4 - Create Business Partnerships and Alliances Electronic data interchange (EDI) – the direct computer-to-computer transfer of transaction information contained in standard business documents, such as invoices and purchase orders, in a standard format. Electronic data interchange (EDI) – the direct computer-to-computer transfer of transaction information contained in standard business documents, such as invoices and purchase orders, in a standard format. Roles and Goals of IT

Next Back MAP MAP 1-77 Management Information Systems for the Information Age Second Canadian Edition Copyright 2004 The McGraw-Hill Companies, Inc. All rights reserved 5 - Enable Global Reach Business today is global business. Business today is global business. Culture – the collective personality of a nation or society, encompassing language, traditions, currency, religion, history, music, and acceptable behavior, among other things. Culture – the collective personality of a nation or society, encompassing language, traditions, currency, religion, history, music, and acceptable behavior, among other things. Roles and Goals of IT

Next Back MAP MAP 1-78 Management Information Systems for the Information Age Second Canadian Edition Copyright 2004 The McGraw-Hill Companies, Inc. All rights reserved 6 - Facilitate Organizational Transformation Organizational transformation is necessary to respond to the ever-changing needs (and wants) of today’s marketplace. Organizational transformation is necessary to respond to the ever-changing needs (and wants) of today’s marketplace. Blockbuster now provides movies on a pay-per-view rental basis through cable. Blockbuster now provides movies on a pay-per-view rental basis through cable. Roles and Goals of IT

Next Back MAP MAP 1-79 Management Information Systems for the Information Age Second Canadian Edition Copyright 2004 The McGraw-Hill Companies, Inc. All rights reserved Closing Case Study One You and Your Information Information travels with you and is captured and stored by a number of organizations. Information travels with you and is captured and stored by a number of organizations. Trust and accuracy of information is important. Trust and accuracy of information is important. Do you trust organizations to maintain accurate information about you? Do you trust organizations to maintain accurate information about you?

Next Back MAP MAP 1-80 Management Information Systems for the Information Age Second Canadian Edition Copyright 2004 The McGraw-Hill Companies, Inc. All rights reserved Closing Case Study Two How Much of Your Personal Information Do You Want Businesses to Know? Businesses need information about you to provide the best possible products and services. Businesses need information about you to provide the best possible products and services. How much of your information do you want others to be able to access? How much of your information do you want others to be able to access?

Next Back MAP MAP 1-81 Management Information Systems for the Information Age Second Canadian Edition Copyright 2004 The McGraw-Hill Companies, Inc. All rights reserved Summary Student Learning Outcomes 1. Describe the information age and the role of knowledge workers within it. 2. Define management information systems (MIS). 3. Describe key factors shaping today’s economic environment. 4. Validate information as a key resource and describe both personal and organizational dimensions of information.

Next Back MAP MAP 1-82 Management Information Systems for the Information Age Second Canadian Edition Copyright 2004 The McGraw-Hill Companies, Inc. All rights reserved Summary Student Learning Outcomes 5. Define how people are the most important organizational resource, their information and technology literacy challenges, and their ethical responsibilities. 6. Describe the important characteristics of information technology (IT) as a key organizational resource. 7. List and describe the six roles and goals of information technology in any organization.

Next Back MAP MAP 1-83 Management Information Systems for the Information Age Second Canadian Edition Copyright 2004 The McGraw-Hill Companies, Inc. All rights reserved Summary Assignments & Exercises 1. Surveying the global economy 2. Finding trust in truste 3. Reporting on internet statistics by business sector 4. Learning about an MIS major 5. Reviewing the 100 best companies to work for 6. Redefining business operations through it innovation

Next Back MAP MAP 1-84 Management Information Systems for the Information Age Second Canadian Edition Copyright 2004 The McGraw-Hill Companies, Inc. All rights reserved Visit the Web to Learn More Job databases Job databases Electronic resumes Electronic resumes Searching newspapers for job ads Searching newspapers for job ads Locating internships Locating internships Interviewing and negotiating tips Interviewing and negotiating tips Organization sites and job postings Organization sites and job postings Employment opportunities with the government Employment opportunities with the government