1. Part two: Conceptualize Information Systems from various Perspectives

2. Data, information and knowledge Data, information and knowledge What is Information Systems ? What is Information Systems ? Information systems from systems perspective Information systems from systems perspective Information Systems from function perspective Information Systems from function perspective Information systems from application perspective Information systems from application perspective Information systems from business perspective Information systems from business perspective Information systems from information management Information systems from information management

3. 1 、 DATA & INFORMATION & KWONLEDGE DATA: DATA: Streams of raw facts representing events such as business transactions, simple observations of the state of the world Streams of raw facts representing events such as business transactions, simple observations of the state of the world Easily structured Easily structured Easily captured on machines Easily captured on machines Often quantified Often quantified Easily transferred Easily transferred INFORMATION: INFORMATION: Data endowed with relevance and purpose, or, Clusters of facts meaningful & useful to human beings in processes such as making decisions. Data endowed with relevance and purpose, or, Clusters of facts meaningful & useful to human beings in processes such as making decisions. Requires unit of analysis Requires unit of analysis Need consensus on the meaning Need consensus on the meaning Human mediation necessary Human mediation necessary

4. DATA & INFORMATION & KWONLEDGE KNOWLEDGE KNOWLEDGE Information from the human mind (includes reflection, synthesis, context ) Information from the human mind (includes reflection, synthesis, context ) Information synthesized and contextualized to provide value. Information synthesized and contextualized to provide value. Hard to structure Hard to structure Difficult to capture on machining Difficult to capture on machining Hard to transfer Hard to transfer

5. SYSTEM INPUTOUTPUTPROCESS FEEDBACK A system is a group of interrelated components working together toward a common goal by accepting inputs and producing outputs in an organized transformation process. 1.What is Information Systems ?

6. Example: a manufacturing system INPUT of raw materials OUTPUT of finished products Manufacturing PROCESS Control by Management Control signals Control signals Feedback signals Feedback signals System Boundary Environment Operational Process Management Process

7. What is Information Systems ？ From Systems Perspective Control Input Process Memory Output Data People Software network computer

8. From function Perspective Corporate Function Structure Human Resource 、、、 What is Information System ？ Marketing Financial Executive Level Management Level Knowledge work Transaction Level Marketing And Sales Production Finance & Accounting other

9. From function Perspective Corporate Information system HR IS 、、、 Executive Information system DSS MIS, Transaction Information System Marketing And Sales Production Finance & Accounting other What is Information System ？ Marketing IS Financial IS Knowledge Work Systems

10. What is Information Systems? From Application Perspective From Application Perspective CASE: Cisco Systems CASE: Cisco Systems Founded in late 1984. Founded in late 1984. Industry characteristics: Industry characteristics: Technology change fast Technology change fast Many players: compete intensively Many players: compete intensively Complex environment: many technologies co-exist Complex environment: many technologies co-exist CEO&P: “ if you don't stay ahead of trends, they'll destroy everything you work for and tragically disrupt the lives of your employees. ”. CEO&P: “ if you don't stay ahead of trends, they'll destroy everything you work for and tragically disrupt the lives of your employees. ”.

11. Cisco Systems ’ s Strategy Vision: to provide an end-to-end single vendor solution that provides more value as integrated set than any best-of-breed implementation from multiple vendors. Vision: to provide an end-to-end single vendor solution that provides more value as integrated set than any best-of-breed implementation from multiple vendors. Goal: to be the market leader in all of the markets in which it operates. Goal: to be the market leader in all of the markets in which it operates. Products: Products: A broad range of network hardware products; A broad range of network hardware products; IOS software which provides network services and enables networked applications IOS software which provides network services and enables networked applications Professional services in network service design and implementation Professional services in network service design and implementation Technical service and support Technical service and support

12. Cisco ’ s Products

13. Cisco Systems ’ s Strategy Customer satisfaction Customer satisfaction To provide complete solutions to targeted markets and to maintain close ties with the customer. To provide complete solutions to targeted markets and to maintain close ties with the customer. Product leadership Product leadership “ Cisco Power Network ” “ Cisco Power Network ” Strategic acquisitions Strategic acquisitions To meet customer ’ s changing needs. To meet customer ’ s changing needs. To keep up with the rapidly evolving market. To keep up with the rapidly evolving market. business partnerships, business partnerships, Computer manufacturer,software developer, reseller, system integrator,consulting company. Computer manufacturer,software developer, reseller, system integrator,consulting company. Global networked business model Global networked business model Redesign its organization and business process and implemented a broad number of IT initiatives aimed at streamlining its operations Redesign its organization and business process and implemented a broad number of IT initiatives aimed at streamlining its operations

14. Information Systems: CISCO applications Oracle ERP- Financial System Peoplesoft ERP- Human resource Management System Inbound Logistics ProductionOutboundLogisticsDistributionMarketing & Sale Customer Service Oracle ERP- Procurement System Oracle ERP- Production Management System Web Interface INTERNET: Cisco Connection Online to CSC e Distribution MarketPlace Product Customer promotion Service - SaleForceAuto 客户客户 INTRANET: Cisco Employee Connection- OA System and Infrastructure New Product Introduction EXTRANET: Cisco Suppliers Connection - SCM - ”Single Enterprise” -Direct Fulfillment - Dynamic Replenishment -

15. What is Information Systems? From Application ： application in value chain From Application ： application in value chain Enterprise Resource Planning （ ERP ） Enterprise Resource Planning （ ERP ） Supply Chain Management （ SCM) Supply Chain Management （ SCM) e-business, e-commerce e-business, e-commerce Customer Relationship Management(CRM) Customer Relationship Management(CRM) Knowledge Management （ KM ） Knowledge Management （ KM ） Business Intelligence （ BI) Business Intelligence （ BI) Office Automation （ OA ） Office Automation （ OA ） …… ……

16. What is Information Systems? ---From Business Perspective

17. 1) Old Business Process reception Credit Department Bus. Prac. Dept. Price Dept. Clerical Off. When an IBM field salesman called in with a request for financing, he or she reached one of fourteen people sitting around a conference room table. The person talking the call logged the request for a deal on a piece of paper A specialist entered the information into a computer system and checked the potential borrower’s creditworthiness.The specialist wrote the result of the credit check on the piece of paper and dispatched it to business practice department. A person modified the standard loan covenant in response to customer request, and attachment the special term to the request form. A pricer keyed the data into a personal computer spreadsheet to determined the appropriate interest rate to charge the customer, and wrote the rate on a piece of paper and delivered to a clerical group. An administrator turned all this information into a quote letter and delivered to the field sales representative by Federal Express. IBM Salesman IBM Salesman CASE1 ： IBM Credit Corporation

18. 2 ） General Improvement : [1) Install a control desk : -- the time would be longer. (2) Add urgent processing program: --disturb the original sequence of clerk transaction process. It made other transaction and application process would be need more then 7 days. Customer Complain ： the entire process was too long ， customer cannot know the status of the deal 。

19. IBM Salesman dealer IBM Salesman IS If the deal is more complex, ask experts for help to process. 3 ） The business process based on application of information systems

20. 4 ） Effectiveness The time needed in process an application would be induced to 4 hours from 7 days averagely. CASE1 ： IBM Credit Corporation

21. Case 2 ： FORD change in Procurement Process 1 ） Old business process Purchasing When purchasing department wrote a purchase order, it sent a copy to accounts payables. Vendor The vendor sent an invoice to accounts payables when they delivered goods. Receiving When material control received the goods, it sent a copy of the receiving document. Account Payables Thus, the account payables received three documents from various senders ： Purchasing order, invoice and receiving document. It was up to account payables to match the purchasing against the receiving document and the invoice. If they matched, the department issued payment. Otherwise, an accounts payable clerk would investigate the discrepancy, hold up payment, generate documents and all in all gum up the works.

22. 2 ） Business process IS enabled Purchasing Receiving Goods IS （ 1 ） When the purchasing department initiates an order, it enters the information into an information system ； （1）（1） （2）（2） （ 2 ） When the goods arrive at the receiving dock,the clerk checks the DB to see if they correspond to an outstanding purchase order. If so, he or she accepts them and enters the transaction into the computer system. If receiving can’t find an entry for the received goods, it simply returns the goods 。 Case 2 ： FORD change in Procurement Process

23. 3 ） effectiveness after use of information system After Ford instituted this new process, since there are no discrepancies between the financial record and the physical record, material control is simpler and financial information is more accurate. Ford has achieve a 75% reduction in head count (from more than 400 to 125 head counts). Case 2 ： FORD change in Procurement Process

24. Case : A Process Equipment Technology Co., Ltd. Customer Service Customer staff Service charge Maintenance Engineer Operations staff When equipment fails, the customer by telephone, fax or letter to inform the company's service center. Center staff registered customer feedback, cross-head handle. Customer files, analyze whether the person in charge of access to solve the problem and specify the person responsible - the maintenance engineer. Failure analysis, maintenance preparation, went to the customer site. Fault diagnosis, troubleshooting. If you have questions, then by fax, phone to the company headquarters (Shenzhen) technician. Repair is completed, visit the customer in charge. Maintenance engineers to report to the management of the maintenance. Staff the registration process the results.

25. Customer Service Process Based on Internet Information Systems Customer Service center Maintenance Engineer Technology Support Information Systems (Call Center) BBS Database Cases database Diagnosis Expert Sys. 1 23 4 Internet

26. case ： A Process Equipment Technology Co., Ltd. Customer Service Use of information systems, personal experience into the corporate staff experience, groupware to eliminate distance barriers, sharing knowledge and experience, improve service levels.

27. Wrap-up: from cases Cases IBM Credit Application Ford Purchasing Huawei Service Challenge by Environment Customer Complain Downsizing Promote service level By use of IT YesYesYes Management Change Process change, procedure change Procedure and rule change Reasonable the service process Organizational Change Job redesign Business right systems redesign Add a tech. Support Dept; performance evaluation change

28. Wrap-up: from cases Understanding of Information Systems ： An Information System is an organizational and management solution, based on information technology, to a challenge posed by the environment. Understanding of Information Systems ： An Information System is an organizational and management solution, based on information technology, to a challenge posed by the environment. Management Change ： Management Change ： Business Process Change ， Business Process Change ， Procedure change ， Procedure change ， Business right redesign ， …… Business right redesign ， …… Organization change ： Organization change ： Job ， employee qualification ， performance evaluation policy ， …… Job ， employee qualification ， performance evaluation policy ， …… Business value change 。 Business value change 。

29. Information Systems: From Business Perspective ORGANIZA- TIONS TECHNOLOGY MANAGEMENT INFORMATION SYSTEMS SYSTEMS An Information System is an organizational and management solution, based on information technology, to a challenge posed by the environment.

30. ORGANIZATIONS PEOPLE: Managers, knowledge workers, data workers, production or service workers PEOPLE: Managers, knowledge workers, data workers, production or service workers STRUCTURE: Organization chart, groups of specialists, products, geography STRUCTURE: Organization chart, groups of specialists, products, geography*

31. ORGANIZATIONS OPERATING PROCEDURES: Standard Operating Procedures (SOP), rules for action OPERATING PROCEDURES: Standard Operating Procedures (SOP), rules for action POLITICS: Power to persuade, get things done POLITICS: Power to persuade, get things done CULTURE: Behavior of staff, employee CULTURE: Behavior of staff, employee*

32. MAJOR BUSINESS FUNCTIONS Sales & Marketing Sales & Marketing Manufacturing and operation Manufacturing and operation Finance Finance Accounting Accounting Human Resource Human Resource …… ……*

33. INFORMATION TECHNOLOGY Hardware Hardware Software Software Data processing & storage Data processing & storage Communication Communication Network Network Application systems Application systems*

34. SOCIOTECHNICAL PERSPECTIVE Optimize System Performance : Technology & Organization Mutually Adjust to One Another Until Fit Is Satisfactory * SOURCE: Liker, et al, 1987

35. Solution: System Interdependence BUSINESS Strategy Strategy Business Business Process Process Rules Rules Procedures Procedures ORGANIZATION INFORMATION SYSTEM HARDWARE Application DATABASE TELE- COMMUNICATIONS INTERDEPENDENCE SOFTWARE

36. What is Information Systems? Business Process Information systems IT Infrastructure IT Architecture Corporation Strategy From Information Management Perspectives

37. Information Systems Hierarchy Information Systems Management People Technology (IT) Process What Who How To facilitate the communication of data,information and knowledge throughout an organization To oversee the design and structure of the system and monitors its overall performance

38. Thanks for Your Attention