1Information Systems Lesson 1a

Learning Outcomes What is IT & ICT? Introduction to Information Systems and components Benefits of information systems Evolution of Management Information System 2Information Systems

Introduction There are two concept of systems: Information Technology (IT) Information Systems (IS) Information Technology Hardware and software used to process information. Information Systems Relationships of the IT components used to produce, store, share and distribute information for use by the people. Information Systems3

Why Information System is important? Computers and information systems are constantly making it possible for organisations to improve the way they conduct business Achieve the strategic objective of the organisation – improved decision making Improve the efficiency of specific business functions and processes Improve relationships between suppliers and customers Operational excellence Accuracy and consistency of data Competitive advantage Survival 4Information Systems

Information systems must be applied thoughtfully and carefully so that society, business, and industry can reap their enormous benefits Information is one of an organisation’s most valuable resources Information is different from data Information Systems5

Definition of Information Information Systems6 Information is data that has been processed in such a way as to be meaningful to the person who receives it. INFORMATION = DATA + CONTEXT + MEANING

Principles of Information Systems, Eighth Edition7 Data, Information, and Knowledge Data: raw facts Information: collection of facts organised in such a way that they have value beyond the facts themselves Knowledge: awareness and understanding of a set of information and ways that information can be made useful to support a specific task or reach a decision

Examples of information Information Systems8 Menu details A Bank Statement A Sales Forecast A Telephone Directory Graphs and trends in visitor numbers to a web site

Requirements for Information Systems? There are a variety of requirements for information. Senior Management - planning Middle Management – monitor and control business activities Operational Level Management – assist them to carry out their daily duties 9Information Systems

10 Information systems are the means by which organisations and people, using information technologies, gather, process, store, use and disseminate information. A business information system can be described as a system that provides the information needed by organisations to support their activities in achieving the objectives of their business. A computer-based information system can be described as an IS which uses information technology in the form of hardware, software and communications links. Information Systems – some definitions Information Systems

Information System Information Systems11 Activities in an information system produces information in the following order: Input Processing Output Feedback Think of an information system you have used recently or during the day. Jot down the inputs, processing, outputs, and feedback you received from the system.

Information Systems Are More than Computers Information Systems12

Components of an IS 13Information Systems

1-14 Information Systems: Turn Data into Information DataInformation Raw material Unformatted information Generally has no context Examples Processed material Formatted information Data given context Individual time cards for factory workers entered into the payroll system Department Labour Report, Project Status Report, Employee Payroll Checks Information Systems

Activity Information Systems15 1. Technology is a tool that hospitality practitioners can use to provide excellent guest services. Give examples of how technology may be used to produce this outcome. 2. Take 5 minutes to jot down at least 5 technology that enables excellent guest service. 3. Another 5 minutes to jot down 3 hardware and 3 software that you know.

Information Systems Theory in General 16

17 Business Information Systems Most common types of information systems used in business organisations Electronic and mobile commerce systems Transaction processing systems Management information systems Decision support systems

18 Electronic and Mobile Commerce E-commerce: any business transaction executed electronically between parties such as: Companies (business-to-business, B2B) Companies and consumers (business-to-consumer, B2C) Consumers and other consumers (consumer-to- consumer, C2C) Business and the public sector Consumers and the public sector

Information Systems Evolution of MIS Currently we view Management Information System (MIS) as Operations Support Systems & related to Benchmarks-Best Practice Tools for Reactive & Pro-Active planning Business related IS activities remain focused on Transaction Processing The most current IS Systems focus on collaboration systems rather than old ones which worked independently and were used only to perform one task. 19

20 Operational Excellence New Products, Services and Business Models Customer and Supplier Intimacy Improved Decision Making Cost Reduction Higher Productivity & Efficiency Competitive advantage Performance Based management Benefits of IS Information Systems

Summary In this session we look at; What is IT & IS? The components of IS Information and data with examples Different business systems Evolution of MIS Benefits of IS Information Systems21