DCIT 101: Management Information System Giezell Anne V. Medrano December 02, 2010 BSCS 3-1 Ms.

Veronica Bayot Fundamentals of Information System Information is an increment in knowledge: it contributes to the general framework of concepts and facts that we know. Information relies on the context and the recipient's general knowledge for its significance. Data are only the raw facts, the material for obtaining information. Information systems use data stored in computer databases to provide needed information. A database is an organized collection of interrelated data reflecting a major aspect of a firm's activities. 1. Information systems capture data from the organization (internal data) and its environment (external data). 2. They store the database items over an extensive period of time. 3. When specific information is needed, the appropriate data items are manipulated as necessary, and the user receives the resulting information. 4. Depending on the type of information system, the information output may take the form a query response, decision outcome, expert-system advice, transaction document, or a report. Formal information systems rely on procedures (established and accepted by organizational practice) for collecting, storing, manipulating, and accessing data in order to obtain information. Formal systems do not have to be computerized, but today they usually are. Informal information systems also exist within an organization (interpersonal networking, water cooler gossip, etc.). System Concept Environment and boundaries Systems theory views the world as a complex system of interconnected parts. We scope a system by defining its boundary; this means choosing which entities are inside the system and which are outside - part of the environment. We then make simplified representations (models) of the system in order to understand it and to predict or impact its future behavior. These models may define the structure and/or the behavior of the system. Natural and man-made systems There are natural and man-made (designed) systems. Natural systems may not have an apparent objective but their outputs can be interpreted as purposes. Man-made systems are made with purposes that are achieved by the delivery of outputs. Their parts must be related; they must be designed to work as a coherent entity - else they would be two or more distinct systems. Theoretical Framework An open system exchanges matter and energy with its surroundings. Most systems are open systems; like a car, coffeemaker, or computer. A closed system exchanges energy, but not matter, with its environment; like Earth or the project Biosphere2 or 3. An isolated system exchanges neither matter nor energy with its environment; a theoretical example of which would be the universe. Process and transformation process A system can also be viewed as a bounded transformation process, that is, a process or collection of processes that transforms inputs into outputs. Inputs are consumed; outputs are produced. The

concept of input and output here is very broad. E.g., an output of a passenger ship is the movement of people from departure to destination. Subsystem A subsystem is a set of elements, which is a system itself, and a component of a larger system. System Model A system comprises multiple views such as planning, requirement, design, implementation, deployment, operational, structure, behavior, input data, and output data views. A system model is required to describe and represent all these multiple views. System Architecture A system architecture, using one single coalescence model for the description of multiple views such as planning, requirement, design, implementation, deployment, operational, structure, behavior, input data, and output data views, is a kind of system model. Components of an Information System Information systems consist of the following general components: 1. Hardware 2. Software 3. Databases 4. Human resources 5. Procedures Hardware Multiple computer systems: microcomputers, minicomputers, mainframes, together with their peripherals. Computer system components are: a central processor(s), memory hierarchy, input and output devices. Computer processor: The central processor carries out the instructions of a program, translated into a simple form. Moore's Law the increases in the number of transistors on chips correspond to the increase in the microprocessor speed and memory capacity, and thus the growth of the processing power. Downsizing In information systems, transferring some or all of the organizations computing from centralized processing on mainframes or minicomputers to systems built around networked microcomputers (often in a client/server configuration). Software Computer software falls into two classes: systems software and applications software. Databases Databases are organized collections of interrelated data used by applications software. Databases are managed by systems software known as database management systems (DBMS) and shared by multiple applications. Telecommunications Telecommunications are the means of electronic transmission of information over distances. Today, computer systems are usually interconnected into telecommunications networks. Various network configurations are possible, depending upon an organization's need. These include: 1. Local area networks (LAN) 2. Metropolitan area networks (MAN) 3. Wide area networks (WAN) Human Resources Professional information systems personnel include development and maintenance managers, systems analysts, programmers, and operators, often with highly specialized skills.

End users are the people who use information systems or their information outputs, that is, the majority of people in today's organizations. The hallmark of the present stage in organizational computing is the involvement of end users in the development of information systems. End-user computing, or control of their information systems by end users and the development of systems by end users, has become an important contributor to information systems in organizations. Procedures Procedures are the policies and methods to be followed in using, operating, and maintaining an information system. Specifications for the use, operation, and maintenance of information systems, collected in help facilities, user manuals, operator manuals, and similar documents, frequently delivered in an electronic form. Information System Resources Transaction-Processing Systems Transaction-processing systems are designed to handle a large volume of routine, recurring transactions. They were first introduced in the 1960s with the advent of mainframe computers. Transaction-processing systems are used widely today. Banks use them to record deposits and payments into accounts. Supermarkets use them to record sales and track inventory. Managers often use these systems to deal with such tasks as payroll, customer billing and payments to suppliers. Operations Information Systems Operations information systems were introduced after transaction-processing systems. An operations information system gathers comprehensive data, organizes it and summarizes it in a form that is useful for managers. These types of systems access data from a transaction-processing system and organize it into a usable form. Managers use operations information systems to obtain sales, inventory, accounting and other performance-related information. Decision Support Systems (DSS) A DSS is an interactive computer system that can be used by managers without help from computer specialists. A DSS provides managers with the necessary information to make informed decisions. A DSS has three fundamental components: database management system (DBMS), which stores large amounts of data relevant to problems the DSS has been designed to tackle; model-based management system (MBMS), which transforms data from the DBMS into information that is useful in decision-making; and dialog generation and management system (DGMS), which provides a userfriendly interface between the system and the managers who do not have extensive computer training. Expert Systems and Artificial Intelligence Expert systems and artificial intelligence use human knowledge captured in a computer to solve problems that ordinarily need human expertise. Mimicking human expertise and intelligence requires the computer to do the following: recognize, formulate and solve a problem; explain solutions; and learn from experience. These systems explain the logic of their advice to the user; hence, in addition to solving problems they also can serve as a teacher. They use flexible thinking processes and can accommodate new knowledge.