An information system is a collection of methods, practices, algorithms and methodologies that transforms data into information and knowledge desired by, and useful for, individual and group users in organizations and other entities. This system can involve a combination of work practices, information, people, and technologies organized to accomplish goals in an organization.
Information systems used by:
A) Sales representatives
B) Managers
C) Financial advisors
Data, Information, and Knowledge :
1) Data:Raw facts (alphanumeric data , image data , audio data ,
video data )
 |
| The process of transforming data into information |
2) Information: Collection of facts organized in such a way that
they have value beyond the facts themselves
3) Process: Set of logically related tasks
4) Knowledge: Awareness and understanding of a set of information
The important of information
1) Directly linked to how it helps decision makers achieve their
organization’s goals
2) Valuable information which Can help people and their
organization perform tasks more efficiently and effectively
The components of information system
1) Input:
–Activity of gathering and capturing raw data
2) Processing:
–Converting data into useful outputs
3) Output:
–Production of useful information, usually in the form of
documents and reports
4) Feedback:
–Information from the system that is used to make changes to
input or processing activities Information Systems
Manual and Computerized Information Systems
1) Manual : Investment analysts manually draw charts and trend
lines to assist them in making investment decisions
2) Computerized : Follow stock indexes and markets and suggest
when large blocks of stocks should be purchased
or sold
Computer-Based Information Systems
 |
| components of computer-based information system |
1) Hardware:Consists of computer equipment used to perform input,
processing, and output activities
2) Software:Consists of the computer programs that govern the
operation of the computer
3) Database:Organized collection of facts and information,
typically consisting of two or more related data
files
4) Telecommunications, networks, and the Internet:
The electronic transmission of signals for communications
5) Networks:Connect computers and equipment to enable electronic
communication
6) Internet:World’s largest computer network, consisting of
thousands of interconnected networks, all freely
exchanging information
7) Intranet:Internal network that allows people within an
organization to exchange information and work on
projects
8) Extranet:Network that allows selected outsiders, such as
business partners and customers, to access authorized
resources of a company’s intranet
9) People:The most important element in most computer-based
information systems
10) Procedures:Include strategies, policies, methods, and rules
for using the CBIS
Business Information Systems
> Most common types of information systems:
> Those designed for electronic and mobile commerce, transaction processing, management information, and decision support
> Some organizations employ special-purpose systems, such as virtual reality, that not every organization uses
 |
| BIS are often integrated in one product and can be delivered by the same software package
Electronic and Mobile Commerce
1) E-commerce:Any business transaction executed electronically
between:
•Companies (business-to-business, B2B)
•Companies and consumers (business-to-consumer, B2C)
•Consumers and other consumers (consumer-to-consumer, C2C)
•Business and the public sector
•Consumers and the public sector Information Systems
|
2) Mobile commerce (m-commerce): The use of mobile, wireless
devices to place orders and
conduct business
3) E-commerce: Can enhance a company’s stock prices and market
value
4) Electronic business (e-business): Uses information systems and
the Internet to perform all
business-related tasks and
functions
 |
| Electronic business |
Enterprise Systems
Enterprise Systems: Transaction Processing Systems and Enterprise
Resource Planning
•Transaction:
–Any business-related exchange, such as payments to employees and sales to customers
•Transaction processing system (TPS):
–Organized collection of people, procedures, software, databases, and devices used to record completed business transactions
•Enterprise resource planning:
–Set of integrated programs that manages the vital business operations for an entire multisite, global organization
Information Systems
 |
| A payroll transaction processing system |
Information and Decision Support Systems
• Management information system (MIS):
–Organized collection of people, procedures, software, databases, and devices that provides routine information to managers and decision makers
 |
| MIS |
• Decision support system (DSS):
–Organized collection of people, procedures, software, databases, and devices that support problem-specific decision making
–Can include:
•A collection of models used to support a decision maker or user (model base)
•A collection of facts and information to assist in decision making (database)
•Systems and procedures (user interface or dialogue manager) that help decision makers and other users interact with the DSS
 |
| essential DSS elements |
Systems Development
•Systems development:
–The activity of creating or modifying existing business systems
•Outsourcing:
–Allows a company to focus on what it does best and delegate other functions to companies with expertise in systems development
 |
| an overview of system development |
• Systems investigation:
–To gain clear understanding of the problem to be solved or opportunity to be addressed
• Systems analysis:
–Defines the problems and opportunities of the existing system
• Systems design:
–Determines how new system will work to meet business needs defined during systems analysis
•Systems implementation:
–Acquiring various system components defined in design step, assembling them, and putting the new system into operation
•Systems maintenance and review:
–Checks and modifies the system so that it continues to meet changing business needs
Organizations and Information Systems
Organization:
–Formal collection of people and other resources established to accomplish a set of goals
–A system
–Constantly uses money, people, materials, machines and other equipment, data, information, and decisions
 |
| a general model of an organization |
• Value chain:
–Series (chain) of activities that includes inbound logistics and warehouse and storage
•Supply chain management (SCM):
–Determines:
>What supplies are required for value chain
>What quantities are needed to meet customer demand
>How supplies should be processed into finished goods and
services
>How shipment of supplies and products to customers should be
scheduled, monitored, and controlled
 |
| the value chain of manufacturing company |
• Customer relationship management (CRM)programs:
–Help companies manage all aspects of customer encounters
–Can get customer feedback to help design new products and services
Organizational Culture and Change
•Culture:
–Set of major understandings and assumptions shared by a group
•Organizational culture:
–Major understandings and assumptions
–Influences information systems
•Organizational change:
–How organizations plan for, implement, and handle change
User Satisfaction and Technology Acceptance
•Technology acceptance model (TAM):
–Specifies the factors that can lead to better attitudes about the information system
•Technology diffusion:
–Measure of how widely technology is spread throughout an organization
•Technology infusion:
–Extent to which technology permeates a department
 |
| Technology infusion and diffusion |
Competitive Advantage
•Significant and (ideally) long-term benefit to a company over its competition
•Can result in higher-quality products, better customer service, and lower costs
Factors That Lead Firms to Seek Competitive Advantage
•The five-forces model:
–Rivalry among existing competitors
–Threat of new entrants
–Threat of substitute products and services
–Bargaining power of buyers
–Bargaining power of suppliers
Strategic Planning for Competitive Advantage
•Strategies:
–Cost leadership
–Differentiation
–Niche strategy
–Altering the industry structure
–Creating new products and services
–Improving existing product lines and service
•Other strategies:
–Growth in sales
–First to market
–Customizing products and services
–Hiring the best people
–Innovation
Performance-Based Information Systems
•Major stages in the use of information systems:
–Cost reduction and productivity
–Competitive advantage
–Performance-based management
 |
| 3 stages in the business use of information system |
Productivity
•A measure of output achieved divided by input required
•Higher level of output for a given level of input means greater productivity
•Lower level of output for a given level of input means lower productivity
•Productivity = (Output / Input) ×100%
Return on Investment and the Value of Information Systems
•Return on investment (ROI):
–One measure of IS value
–Investigates the additional profits or benefits that are generated as a percentage of the investment in IS technology
•Earnings growth:
–The increase in profit that the system brings
•Market share and speed to market:
–The percentage of sales that a product or service has in relation to the total market
•Customer awareness and satisfaction:
–Performance measurement is based on feedback from internal and external users
•Total cost of ownership:
–The sum of all costs over the life of the information system
Risk
•Managers must consider the risks of designing, developing, and implementing systems
•Information systems can sometimes be costly failures
Careers in Information Systems
•Degree programs:
–Information systems
–Computer information systems
–Management information systems
•U.S. Department of Labor’s Bureau of Labor Statistics (www.bls.gov):
–Predicts that many technology jobs will increase through 2012 or beyond
Roles, Functions, and Careers in IS
•Primary responsibilities in information systems:
–Operations:
•System operators primarily run and maintain IS equipment
–Systems development:
•Focuses on specific development projects and ongoing
maintenance and review
–Support:
•Provides user assistance in hardware and software acquisition
and use, data administration, user training and assistance,
and Web administration
–Information service units:
•A miniature IS department attached and directly reporting to a
functional area in a large organization
Typical IS Titles and Functions
•Chief information officer (CIO):
–Employs the IS department’s equipment and personnel to help the organization attain its goals
•LAN administrators:
–Set up and manage the network hardware, software, and security processes
•Internet careers:
–Internet strategists and administrators
–Internet systems developers
–Internet programmers
–Internet or Web site operators
•Certification:
–Process for testing skills and knowledge resulting in an endorsement by the certifying authority
Working in Teams
•It is always good for IS professionals to have good
communications skills and the ability to work with other people
•Getting the best team of IS personnel to work on important projects is critical in successfully developing new information systems or modifying existing ones
Finding a Job in IS
•Developing an online résumé can be critical to finding a good job
•Job search approaches:
–On campus visits
–Referrals from professors, friends, and family members
–The Internet:
•Online job sites
•Company Web sites
•Social networking sites
•Blogs
Global Challenges in Information Systems
•Cultural challenges
•Language challenges
•Time and distance challenges
•Infrastructure challenges
•Currency challenges
•Product and service challenges
•Technology transfer issues
•State, regional, and national laws
•Trade agreements
<> The link of video of lecture about the
intro of information system
<> lecture of the intro to IS
-THE END-
