2 information system

What is an Information System:

•Information System

•Interrelated components working together to collect, process, store and distribute information to support decision making, coordination, control, analysis and visualization in an organization.

What is an Information System:•Information

Data that have been shaped into a form that is meaningful and useful to human beings.

•Data:

Streams of raw facts representing events occurring in organizations or the physical environment before they have been organized and arranged into a form that people can understand and use.

What is an Information System:•Information System Literacy

•It includes behavioral knowledge about organizations and individuals using information systems as well technical knowledge about computers.

•Computer Literacy

•Knowledge about information technology, focusing on understanding how computer-based technologies work.

What is an Information System:•Computer-based Information System

(CBIS)

IS that rely on computer hardware and software for processing and disseminating information.

•Formal System

•System resting on accepted and fixed definitions of data and procedures, operating with predefined rules.

Why Information System:•Globalization

–Management and control in a global marketplace–Competition in world market

–Global Work groups–Global delivery systems

Why Information System:•Transformation of Industrial Economics

–Knowledge and information based economics–New products and services

–Knowledge: a central productive and strategic assets–Time based competition

–Shorter product life–Turbulent or disordered environment–Limited employment knowledge base

Why Information System:

•Transformation of the Enterprise–Flattening

–Decentralization–Flexibility

–Location independence–Low transaction and coordination costs

–Empowerment–Collaborative work teamwork

Why Information System:

•Emergence of the Digital Firm–Digitally enabled relationship with customers,

suppliers and employment–Core business processes accomplished via digital

networks–Digital management

–Rapid sensing and responding to environment changes

INPUT OUTPUTPROCESS

FEEDBACK

Activities in an Information System

Activities in an Information System•Input:

The capturing or collection of raw data from within the organization or from its external environment for processing in an information system

•Processing

The conversion, manipulation and analysis of raw input into a form that is more meaningful to humans

Activities in an Information System

•Output

The distribution of processed information to the people who will use it or to the activities from which it will be used.

•Feedback

Output that is returned to the appropriate members of the organization to help them evaluate or correct input

Functions of an Information System

Figure 1-3

Management Information Systems 8/eManagement Information Systems 8/eChapter 1 Managing the Digital FirmChapter 1 Managing the Digital FirmInformation Systems

ORGANIZATIONSORGANIZATIONS TECHNOLOGYTECHNOLOGY

MANAGEMENTMANAGEMENT

INFORMATIONINFORMATION

SYSTEMSSYSTEMS

Key Elements:•People: Managers, knowledge workers, data workers,

production or service workersStructure: Organization chart , groups of specialists, products, geography

•Operating procedures: Standard operating procedures (SOP, rules for action)Politics: Power to persuade, get things doneCulture: Customs of behavior

Management Information Systems 8/eManagement Information Systems 8/eChapter 1 Managing the Digital FirmChapter 1 Managing the Digital Firm

Organizations

Levels:•Senior managers: make long-range strategic decisions

about products and services

•Middle managers: Carry out the programs and plans of senior management

•Operational managers: monitor the firm’s daily activities

Management Information Systems 8/eManagement Information Systems 8/eChapter 1 Managing the Digital FirmChapter 1 Managing the Digital Firm

Management

Tools managers use to cope with changeHardware: Physical equipment

•Software: Detailed preprogrammed instructionsStorage: Physical media for storing data and the software

•Communications Technology: transfers data from one physical location to another

•Networks: link computers to share data or resources

Management Information Systems 8/eManagement Information Systems 8/eChapter 1 Managing the Digital FirmChapter 1 Managing the Digital Firm

Computer Technology

Definition MIS•MIS refers broadly to a computer-based system that

provides managers with the tools for organizing, evaluating and efficiently running their departments.

•An MIS can include software that helps in decision making, data resources such as databases, the hardware resources of a system, decision support systems, people management and project management applications, and any computerized processes that enable the department to run efficiently.

Management Information Systems 8/eManagement Information Systems 8/eChapter 1 Managing the Digital FirmChapter 1 Managing the Digital Firm

CONTEMPORARY APPROACHES TO INFORMATION SYSTEMS

Figure 1-6

TechnicalApproaches

BehavioralApproaches

ManagementScience

OperationsResearch

Sociology

Economics

ComputerScience

Psychology