1. Information System

2. Information System – Primary Purpose
Collects data, processes it into information then converts information into knowledge for a specific purpose.
Data
Elementary description of things, events, activities, and transactions that are recorded, classified, and stored, but not organized to convey any specific meeting
Information
Data that has been organized so that they have meaning and value to the recipient
Knowledge
Information that has been organized and processed to convey understanding, experience and expertise as they apply to a current problem or activity

3. Activity 1

4. Basic component of ISs:
Hardware: it’s a set of devices such as processor, monitor, keyboard, and printer.
Together, they accept data and information as an input, process them, and display them as an output.

5. Basic component of ISs:
Software: it’s a set of programs that instruct the hardware to process data.
A database: is a collection of related files, tables, relations, and so on, that stores data and the associations among them.

6. Basic component of ISs:
A network: is a connecting system that permits the sharing of resources by different computers. It can be wireless.
Policies and Procedures: are the set of instructions about how to combine the above components in order to process information and generate the desired output.

7. Basic component of ISs:
People: are those individuals who work with the system, interface with it, or use its output.

8. IS Activities Input of data resources
Data entry activities
Processing of data into information
Calculations, comparisons, sorting, and so on
Output of information products
Messages, reports, forms, graphic images
Storage of data resources
Data elements and databases
Control of system performance
Monitoring and evaluating feedback

9. Recognizing Information Systems
As professional of EMIS, you should be able to look at an information system and identify…
The people, hardware, software, data, and network resources they use
The type of information products they produce
The way they perform input, processing, output, storage, and control activities

10. Major Capabilities of Information Systems
Facilitate work in hazardous environments.
Facilitate interpretation of vast amounts of data.
Perform high-speed, high-volume, numerical computations.
Store huge amounts of information in an easy-to-access, yet small space.
Provide fast, accurate, and inexpensive communication within and between organizations.
Allow quick and inexpensive access to vast amounts of information worldwide.

11. Major Capabilities of Information Systems
Enable communication and collaboration anywhere, any time.
Increase the effectiveness and efficiency of people working in groups in one place or in several locations.
Vividly present information that challenges the human mind.
Automate both semiautomatic business processes and manually done tasks.
Facilitate global trade.
Can be wireless, thus supporting unique applications anywhere.
Accomplish all of the above much less expensively than when done manually.

12. All ISs have a purpose and social context.

13. Purpose
A typical purpose is to provide solution to a (business) problem.
Example:
To coordinate internal units
To collaborate
To improve performance

14. Social context
The social context of the system consists of the values and beliefs that determine what is admissible and possible within the culture of the people and groups involved.

15. Foundations of Information Systems

16. Foundation Concepts
Why study information systems and information technology?
Vital component of successful businesses
Helps businesses expand and compete
Improves efficiency and effectiveness of business processes
Facilitates managerial decision making and workgroup collaboration

17. What is a System?
A group of interrelated or interacting elements forming a unified whole

18. What is a System? A set of interrelated components
With a clearly defined boundary
Working together
To achieve a common set of objectives

19. What is a System? A system is… A set of interrelated components
With a clearly defined boundary
Working together
To achieve a common set of objectives
By accepting inputs and producing outputs
In an organized transformation process

20. Type of information systems
Manual information systems
Informal information systems
Formal information systems
Computer-based information systems (CBIS)

21. System Concepts: A Foundation
System concepts help us understand…
Technology: hardware, software, data management, telecommunications networks
Applications: to support inter-connected information systems
Development: developing ways to use information technology includes designing the basic components of information systems
Management: emphasizes the quality, strategic business value, and security of an organization’s information systems

22. Cybernetic System All systems have input, processing, and output
A cybernetic system, a self-monitoring, self-regulating system, adds feedback and control:
Feedback is data about the performance of a system
Control involves monitoring and evaluating feedback to determine whether a system is moving toward the achievement of its goal
the essential goal of cybernetics is to understand and define the functions and processes of systems that have goals, and that participate in circular, causal chains that move from action to sensing to comparison with desired goal, and again to action. Studies in cybernetics provide a means for examining the design and function of any system, including social systems such as business management and organizational learning, including for the purpose of making them more efficient and effective.

23. Other System Characteristics
If a system is one of the components of a larger system, it is a subsystem
The larger system is an environment
Several systems may share the same environment
Some may be connected via a shared boundary, or interface
Types of systems…
Open
Adaptive

24. What is an Information System?
An organized combination of…
People
Hardware and software
Communication networks
Data resources
Policies and procedures
This system…
Stores, retrieves, transforms, and disseminates information in an organization

25. Information Technologies
Information Systems
All the components and resources necessary to deliver information and functions to the organization
Could be paper based
Information Technologies – technological side of IS
Hardware, software, networking, data management
Our focus will be on computer-based information systems (CBIS)

26. Recognizing Information Systems (Group Discussion)
We will try to recognize and visualized IS in several organizations in terms of following characters:
The people, hardware, software, data, and network resources they use
The type of information products they produce
The way they perform input, processing, output, storage, and control activities

27. What Should Business Professionals Know?

28. Classification
By organizational level
By the type of support provided

29. Organization Level Managerial Control Operational Control Strategic
Planning
Managerial Control
Operational Control

30. Interorganizational Systems
Finance IS
Human Resources IS
Orga.
B System
Orga.
A System
Product IS
Interorganizational Systems
Orga.
C System
Administrative IS
Organizational systems
Departmental systems

31. Fundamental Roles of IS in Organization
O'Brien, James; Marakas, George 2008

32. Trends in Information Systems
O'Brien, James; Marakas, George 2008

33. Types of Information Systems
Operations Support Systems
Efficiently process business transactions
Control industrial processes
Support communication and collaboration
Update corporate databases
Management Support Systems
Provide information as reports and displays
Give direct computer support to managers during decision-making

34. Purposes of Information Systems
O'Brien, James; Marakas, George 2008

35. Operations Support Systems
What do they do?
Efficiently process business transactions
Control industrial processes
Support communications and collaboration
Update corporate databases

36. Types of Operations Support Systems
Transaction Processing Systems
Record and process business transactions
Examples: sales processing, inventory systems, accounting systems
Process Control Systems
Monitor and control physical processes
Example: using sensors to monitor chemical processes in a petroleum refinery
Enterprise Collaboration Systems
Enhance team and workgroup communication
Examples: , video conferencing

37. Two Ways to Process Transactions
Batch Processing
Accumulate transactions over time and process periodically
Example: a bank processes all checks received in a batch at night
Online Processing
Process transactions immediately
Example: a bank processes an ATM withdrawal immediately

38. Management Support Systems
What do they do?
Provide information and support for effective decision making by managers
Management information systems
Decision support systems
Executive information systems

39. Types of Management Support Systems
Management Information Systems (MIS)
Reports and displays
Example: daily sales analysis reports
Decision Support Systems (DSS)
Interactive and ad hoc support
Example: a what-if analysis to determine where to spend advertising dollars
Executive Information Systems (EIS)
Critical information for executives and managers
Example: easy access to actions of competitors

40. Other Information Systems
Expert Systems
Provide expert advice
Example: credit application advisor
Knowledge Management Systems
Support creation, organization, and dissemination of business knowledge throughout company
Example: intranet access to best business practices

41. Measuring IT Success Efficiency Effectiveness
Minimize cost, time, and use of information resources
Effectiveness
Support business strategies
Enable business processes
Enhance organizational structure and culture
Increase customer and business value

42. Developing IS Solutions
O'Brien, James; Marakas, George 2008

43. Components of an IS
O'Brien, James; Marakas, George 2008

44. Information System Resources
People Resources
Specialists
End users
Hardware Resources
Machines
Media
Software Resources
Programs
Procedures

45. Information System Resources
Data Resources
Product descriptions, customer records, employee files, inventory databases
Network Resources
Communications media, communications processors, network access and control software
Information Resources
Management reports and business documents using text and graphics displays, audio responses, and paper forms

46. ACTIVITY 3