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Wednesday, January 6, 2016

Chapter 1: Introduction to Information Systems

Information Technology (IT)-Any computer based tool that people use to work with
information and to support the information and information-processing needs of an
Information Systems (IS)-Collects, processes, stores, analyzes, and disseminates
information for a specific purpose

1.1 Why Should I study information systems?

Informed User-A person knowledgeable about information systems and information
Informed users get more value from whatever technologies they use
Many benefits from being an informed user of IT:
(1) You understand whats behind the IT applications
(2) You can enhance the quality of your organizations IT applications
(3) You can recommend-or even help-select the IT applications your organizations will use
(4) You will understand how using IT can improve your organizations teamwork and

IT Offers Career Opportunities

Information systems field includes the people in the organizations who designs and build
information systems, the people who use those systems, and the people responsible for
managing those systems

IT Manages Information Resources

Managing information systems in modern organizations is a difficult task. Several factors
contribute to this complexity
(1) Information systems have enormous strategic value to organizations
(2) Very expensive to acquire, operate and maintain
(3) Difficulty in managing information systems is the evaluation of the Management
Information Systems (MIS) function within the organization
End user computing-Computers are located in all departments, and almost all employees
use computers in their work. Two components:
(1) End-user data entry, reporting and inquiry (AKA users)
(2) End-user development-Users develop usable systems (spreadsheets, programs , etc.)
As a result of these developments, responsibility for managing information resources is now
divided between the MIS department and the users. Division depends on several factors:
Size and nature or organization
Amount and type of IT resources
Organizations attitudes toward computing
Attitude of top management toward computing
Maturity level of technology
Amount and nature of outsourced IT work
Countries in which the company operates

1.2 Overview of Computer Based Information Systems

Information Systems (IS)-Collects, processes, stores, analyzes, and disseminates
information for a specific purpose

Wednesday, January 6, 2016

Purpose is to get the right information to

the right people, at the right time, in the

right amount and in the right format
Information systems are intended to supply
useful information
Data Items-Elementary description of
things, events, activities and transactions
that are recored, classified and stored but
not organized to convert any specific
meaning. Eg. numbers, letters, figures
Information-Data that has been organized
so that they have meaning and value to
the recipient
Knowledge-Data and/or information that
have been organized and processed to
convert understanding, experience,
accumulated learning and expertise and
they apply to a current problem
Computer-Based Information System (CBIS)-Information system that uses computer
technology to perform some or all of its intended tasks
Basic components are called Information Technology Components
(1) Hardware-Consists of devices
that accept, process and display
data and information. Eg. Processor,
monitor, keyboard and printer
(2) Software-Program or collection
of progress that enable the hardware
to process data
(3) Database-Collection of related
files or tables containing data
(4) Network-Connecting system
(wired or wireless) that permits
different computers to share
(5) Procedures-Instructions
for combining the above
components in order to process
information and generate the
desired output
IT Components (IT Platform)Hardware, software, networks
and databases
Information Technology
Services-IT personnel use the IT
components to develop
information systems, oversee
security and risk, and manage

Wednesday, January 6, 2016

CBIS have many capabilities that are performed via a wide spectrum of applications
Perform high-speed, high volume numerical computations
Provide fast, accurate communication and collaboration within and among organizations
Store huge amounts of info. in an easy-to-access, yet small space
Allow quick and inexpensive access to vast amounts of information, worldwide
Interpret vast amounts of data quickly and inefficiently
Automate both semi-automatic business processes and manual tasks
Application (App)-Computer designed to support a specific task or business processor
Each functional area or department within a business organization uses many application
programs grouped into application systems. E.g HR will use one application systems to
screen job applicants, and another for monitoring employee turnover

Breadth of Support of Information Systems

Functional Area Information Systems (FAIS, groups of application system)-Supporting
pillars for the information systems (located on page 2)

How IT is used in certain job areas

Marketing and Sales:
Product analysis: Develop new goods/services
Site analysis: Determine best location for production facilities
Promotion analysis: Identify

best advertising channel

Price Analysis: Set product
price to obtain highest level or
Process customer orders,
develop production schedules,
control inventory levels , etc.
Design and manufacture products
called Computer-Assisted Design
(CAD) and Computer-Assisted
Manufacturing (CAM)
Human Resources:
Manage recruiting process,
analyze and screen job applicants
and hire new employees
Help manage their careers, administer performance tests, monitor employee productivity,
manage compensation and benefits packages
2 Information Systems support the entire organization
Enterprise Resource Planning (ERP)-Designed to correct a lack of communication
amount the functional area of ISs
Transaction Processing System (TPS)-Supports the monitoring, collection, storage and
processing of data for a particular functional area
A transaction is anything that changes the firms database
Nearly all ERP systems are TPS systems, but not vice-versa
ERP Systems and TPSs function primarily within a single organization
IS that connect 2+ organizations are inter-organizational information systems (IOSs)
Electronic Commerce (E-Commerce) Systems-Another type of IOS, which enables
organizations to conduct B2B and B2C e-commerce transactions

Wednesday, January 6, 2016

Supply Chain-Flow of materials, information, money and services from suppliers of raw
materials through factories and warehouses to the end customers

Support for Organizational Employees

Clerical Workers-Support managers at all levels of the organization. Bookkeepers,
secretaries, electronic file clerks

Lower-level managers-Handle day-to-day operations of the organization, making routine

Middle Managers-Make tactical decisions for activities such as short-term planning,
organizing and control
Knowledge Workers-Professional employees such as financial and marketing analysts,
engineers, lawyers and accountants. Create information which they integrate into the
Office Automation Systems (OASs)-Support the clerical staff, lower and middle managers
and knowledge workers. Used to develop documents (word document), schedule recourse
(e-calendar), and communicate (via e-mail, VM)
Business Intelligence Systems (BI)-Provide computer-based support for complex, nonroutine decisions, primarily for middle managers and knowledge workers. Typically used with
a data warehouse
Expert Systems (ESs)-Attempt to duplicate work of human experts by applying reasoning
capabilities, knowledge and expertise within a specific domain. Eg. GPS uses rules to select
Dashboard (or digital dashboards)-Special form of IS that support all managers of the
organization. Provide rapid access to timely information and direct access to structured
information in the form of reports.

1.3 How Does IT Impact Organizations?

IT Reduces the number of middle managers
Makes managers more productive and increases number of employees who report to a single

IT changes the managers job

IT provides managers with near real-time information
IT provides many tools (dashboard, intranet, search engines etc.) to help managers handle
the volumes of information they must deal with on a going business

IT Impacts Employees at work

IT impacts Employees Health and Safety
Job stress
Long-term use of the keyboard> can lead to repetitive strain injuries, carpal tunnel

To address these problems they have brought ergonomics-science of designing

machines and work settings that minimize injury and illness (Wrist support, back support,
adjustable foot rest)
IT Provides Opportunities for People with Disabilities
Speech and vision recognition capabilities