1. Chapter 2 Business Processes, Information Systems, and Information Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall 2-1

2. Learning Objectives Q1. What is a business process? Q2. What is an information system? Q3. How do business processes and information systems relate? Q4. What is information? Q5. What factors drive information quality? Q6. How do structured and dynamic processes vary? Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall 2-2

3. What is a business process? Sequence of activities for accomplishing a function – Activities are tasks within a business process Documenting business processes – Business Process Management Notation (BPMN) Global standard for documentation – Roles and Actors – Swimlanes Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall 2-3

4. What is a business process? Documenting business processes using BPMN FIGURE 2-1 University Intramural Sports Equipment Checkout Process Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall 2-4

5. What is a business process? Documenting business processes using BPMN FIGURE 2-2 Summary of BPMN Symbols Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall 2-5

6. What is a business process? Documenting business processes using BPMN – How much detail is enough? Avoid ambiguity Show true complexity and scope Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall 2-6

7. What is a business process? Why do organizations standardize business processes? – Enforce policies – Produce consistent results – Scalable – Reduce risk Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall 2-7

8. 8/22/2011 Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall 8

9. What is an Information System? System – Group of components interacting to achieve some purpose Information system – Group of components to produce information – Five components Computer hardware; software; data; procedures; and people Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall 2-9

10. What is an Information System? Five components of an information system FIGURE 2-3 Five Components of an Information System Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall 2-10

11. How do Business Processes and Information System Relate? Information Systems in the Context of Business Processes – Five components are integrated into business processes Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall 2-11

12. How do Business Processes and Information System Relate? FIGURE 2-4 Activities that Involve Computer Actors Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall 2-12

13. How do Business Processes and Information System Relate? Five components FIGURE 2-7 Five Components and Activities Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall 2-13

14. What is Information? Information – Knowledge derived from data – Data presented in a meaningful context – Processed data – A difference that makes a difference Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall 2-14

15. What is Information? Where is Information? – Data is perceived (Obtained) – Information is conceived (Derived) Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall 2-15

16. What is Information? Where is Information? – Knowledge derived from data – Data presented in a meaningful context – Processed data – A difference that makes a difference – Conceived by humans Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall 2-16

17. What Factors Drive Information Quality? Data Factors – Accurate – Timely – Correct granularity – Easy to use Human Factors – Knowledge – Criteria Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall 2-17

18. What Factors Drive Information Quality? FIGURE 2-12 Factors That Affect Information Quality Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall 2-18 How do groups (Teams) conceive information? Shared mental apparatus Perceived data Conceived information

19. How Do Structured and Dynamic Processes Vary? Structured Processes – Standardized processes – Support day-to-day operations Dynamic Processes – Less specific – More adaptive – Intuitive Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall 2-19

20. How Do Structured and Dynamic Processes Vary? Characteristics FIGURE 2-14 Differences Between Structured and Dynamic Processes Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall 2-20

21. 8/22/2011 Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall 21

22. Ethics Guide Egocentric Versus Empathetic Thinking – Which one are you? – Consider the scenario – Discussion Questions Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall 2-22

23. Conclusion Q1. What is a business process? Q2. What is an information system? Q3. How do business processes and information systems relate? Q4. What is information? Q5. What factors drive information quality? Q6. How do structured and dynamic processes vary? Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall 2-23