Day 3 Agenda Wrap-up Chapter 1 Goals Identifying Functions of Information Systems Identifying the Components of an IS

Recall the Different Types of IS Transaction Processing Systems (TPS) Process Control Systems (PCS) Enterprise Collaboration Systems (ECS) Management Information Systems (MIS) Decision Support Systems (DSS) Executive Information Systems (EIS) Which ones support Management? Which ones support Operations?

IS Classifications by Scope Functional Business Systems – support basic business functions Strategic Information Systems – support processes that provide a firm with strategic products, services, and capabilities for competitive advantage Cross-functional Information Systems – integrated combinations of information systems Where do these fit in? TPS, PCS, ECS, MIS, DSS, EIS

What is a System? Definition: A group of interrelated components, with a clearly defined boundary, working together toward a common goal by accepting inputs and producing outputs in an organized transformation process.

System Components Input – capturing and assembling elements that enter the system to be processed Processing – transformation steps that convert input into output Output – transferring elements that have been produced by a transformation process to their ultimate destination

Cybernetic Systems Definition: a self-monitoring, self-regulating system. Feedback – data about the performance of a system Control – monitoring and evaluating feedback to determine whether a system is moving toward the achievement of its goal

Example of a Cybernetic System

A Business System

IS Resources & Activities

Information System Resources People – end users and IS specialists Hardware – physical devices and materials used in information processing including computer systems, peripherals, and media Software – sets of information processing instructions including system software, application software and procedures Data – facts or observations about physical phenomena or business transactions Network – communications media and network infrastructure

Lufthansa Case Goals: Keep 3,500 highly mobile airline pilots: Trained on the latest technology and procedures Plugged into the corporate infrastructure Informed about schedules, weather events, and other facts that affect their jobs Control costs

Lufthansa Case Productivity and Efficiency Improvements: Pilots can access updated data electronically. Pilots can work in a variety of locations including airplanes, airports, hotels, and other remote locations. Pilots appreciate the convenience of not having to carry heavy manuals and documentation to multiple locations. Pilots can take their required training on their laptops during downtime in any airport.

Lufthansa Case: People ?

Lufthansa Case: Hardware, Software, Network ?

Lufthansa Case: Data ?

Lufthansa Case: Inputs ?

Lufthansa Case: Processing ?

Lufthansa Case: Outputs ?

Lufthansa Case: Feedback ?

Summary There is no longer a distinction between an IT project and a business initiative. Information systems are an important contributor to operational efficiency, employee productivity and morale, and customer service and satisfaction.

Summary Information systems are a major source of information and support needed to promote effective decision making by managers and business professionals. Information systems can be categorized based on their intended purpose.

Summary Managing and using information systems can pose several challenges including the development process and ethical responsibilities.