An Introduction to Information Systems Chapter 1 Principles

An Introduction to Information Systems Chapter 1 Principles of Information Systems, Sixth Edition

Principles and Learning Objectives • The value of information is directly linked to how it helps decision makers achieve the organization’s goals. – Distinguish data from information and describe the characteristics used to evaluate the quality of data. Principles of Information Systems, Sixth Edition

Principles and Learning Objectives • Models, computers, and information systems are constantly making it possible for organizations to improve the way they conduct business. – Name the components of an information system and describe several system characteristics. – Identify four basic types of models and explain how they are used. Principles of Information Systems, Sixth Edition

Principles and Learning Objectives • Knowing the potential impact of information systems and having the ability to put this knowledge to work can result in a successful personal career, organizations that reach their goals, and a society with a higher quality of life. – Identify the basic types of business information systems and discuss who uses them, how they are used, and what kinds of benefits they deliver. Principles of Information Systems, Sixth Edition

Principles and Learning Objectives • System users, business managers, and information systems professionals must work together to build a successful information system. – Identify the major steps of the systems development process and state the goal of each. – Discuss why it is important to study and understand information systems. Principles of Information Systems, Sixth Edition

Information Concepts Principles of Information Systems, Sixth Edition

Information System A set of interrelated components that collect, manipulate, and disseminate data and information, and provide feedback to meet an objective • Examples: ATMs, airline reservation systems, course reservation systems Principles of Information Systems, Sixth Edition

Data vs. Information • Data: raw facts • Information: collection of facts organized in such a way that they have value beyond the facts themselves Principles of Information Systems, Sixth Edition

Types of Data Principles of Information Systems, Sixth Edition

Data vs. Information Principles of Information Systems, Sixth Edition

The Characteristics of Valuable Information Principles of Information Systems, Sixth Edition

The Characteristics of Valuable Information Principles of Information Systems, Sixth Edition

The Characteristics of Valuable Information Principles of Information Systems, Sixth Edition

System and Modeling Concepts Principles of Information Systems, Sixth Edition

System A set of elements or components that interact to accomplish goals • • • Input Processing mechanism Feedback Output System boundary Principles of Information Systems, Sixth Edition

Components of a System Principles of Information Systems, Sixth Edition

System and Modeling Concepts Principles of Information Systems, Sixth Edition

System Performance and Standards • Efficiency: output/input • Effectiveness: extent to which system attains its goals • Performance standard: specific objective of a system Principles of Information Systems, Sixth Edition

System Variables and Parameters • System variable - item controlled by decisionmaker • System parameter - value that cannot be controlled Principles of Information Systems, Sixth Edition

Systems Classification Principles of Information Systems, Sixth Edition

System Performance and Standards Principles of Information Systems, Sixth Edition

Modeling a System Principles of Information Systems, Sixth Edition

Modeling a System • A model is an abstraction that is used to represent reality – 4 major types of models • A narrative model is based on words – Logical, not physical • A physical model is tangible • A schematic model is a graphic representation – Graphs and charts • A mathematical model is an arithmetic representation Principles of Information Systems, Sixth Edition

What Is An Information System? Principles of Information Systems, Sixth Edition

Components of an Information System Principles of Information Systems, Sixth Edition

Computer-Based Information Systems (CBIS) Principles of Information Systems, Sixth Edition

Components of a CBIS Principles of Information Systems, Sixth Edition

Telecommunications, Networks, and the Internet Principles of Information Systems, Sixth Edition

Telecommunications, Networks, and the Internet Principles of Information Systems, Sixth Edition

Business Information Systems Principles of Information Systems, Sixth Edition

Business Information Systems • • Electronic Commerce Transaction Processing Systems Management Information Systems Decision Support Systems Principles of Information Systems, Sixth Edition

E-Commerce • • Business-to-business Business-to-consumer Business-to-government Government-to-consumer Principles of Information Systems, Sixth Edition

Electronic Commerce Principles of Information Systems, Sixth Edition

Transaction Processing Systems A transaction processing system (TPS) is an organized collection of people, procedures, software, databases, and devices used to record completed business transactions. • • Process business exchanges Maintain records about the exchanges Handle routine, yet critical, tasks Perform simple calculations Principles of Information Systems, Sixth Edition

Payroll Transaction Processing System Principles of Information Systems, Sixth Edition

Enterprise Resource Planning (ERP) • Integrated programs that can manage a company’s entire set of business operations • Often coordinate planning, inventory control, production, and ordering Principles of Information Systems, Sixth Edition

Management Information Systems (MIS) • • Routine information for routine decisions Operational efficiency Use transaction data as main input Databases integrate MIS in different functional areas Principles of Information Systems, Sixth Edition

Management Information Systems (MIS) Principles of Information Systems, Sixth Edition

MIS Outputs • Scheduled reports • Demand reports • Exception reports Principles of Information Systems, Sixth Edition

Decision Support Systems (DSS) • DSS- A decision support system is an organized collection of people, procedures, software, databases, and devices used to support problem -specific decision making. – Interactive support for non-routine decisions or problems – End-users are more involved in creating a DSS than an MIS Principles of Information Systems, Sixth Edition

Essential DSS Elements Principles of Information Systems, Sixth Edition

Special-Purpose Business Information Systems • • Artificial Intelligence (AI) Systems Virtual Reality Systems Expert Systems Other Special-Purpose Business Information Systems Principles of Information Systems, Sixth Edition

The Major Elements of Artificial Intelligence Principles of Information Systems, Sixth Edition

Virtual Reality Principles of Information Systems, Sixth Edition

Data Glove Principles of Information Systems, Sixth Edition

Systems Development Principles of Information Systems, Sixth Edition

Why Learn About Information Systems? • • Advance in your career Solve problems Realize opportunities Meet your career goals Principles of Information Systems, Sixth Edition

Computer and Information System Literacy • Computer literacy - knowledge of computer systems and equipment • Information system literacy - knowledge of how data and information are used Principles of Information Systems, Sixth Edition

Information Systems in Functional Areas of Business • Finance and Accounting • Sales and Marketing • Manufacturing Principles of Information Systems, Sixth Edition

Information Systems in Industry • • • Investment firms Banks Publishing companies Healthcare organizations Management consulting firms Principles of Information Systems, Sixth Edition

Summary • Data - raw facts • Information - data transformed into a meaningful form • System - set of elements that interact to accomplish a goal • Systems development - creating or modifying existing business systems Principles of Information Systems, Sixth Edition