Chapter 11 Information Systems Dr Anita Goel University

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Chapter 11 Information Systems Dr. Anita Goel University of Delhi

Chapter 11 Information Systems Dr. Anita Goel University of Delhi

Contents l l l l Data, Information, Knowledge Characteristics of Information What is a

Contents l l l l Data, Information, Knowledge Characteristics of Information What is a System Information System (IS) - Components, Characteristics Computer-Based Information Systems Need for Efficient IS Categories of IS Operation Support System: TPS, OAS Management Support System: MIS, DSS, EIS Specialized System: Expert system, ERP, E-commerce l Careers in IS Computer Fundamentals by Dr. Anita Goel Chapter-11: Information Systems 2

Data, Information, Knowledge l Data - raw facts, isolated values Numbers, letters, characters, image,

Data, Information, Knowledge l Data - raw facts, isolated values Numbers, letters, characters, image, audio, video Not organized. Does not convey meaning l 8 th August Olympics 2008 China Information - processed, manipulated, interpreted data Created by defining, organizing relationship among data Can be used for different purposes l Knowledge – inference, conclusion from information Computer Fundamentals by Dr. Anita Goel Chapter-11: Information Systems I should plan trip to China around 8 th August 3

Characteristics of Information Accurate Must not contain any errors Accessible Access by authorized users

Characteristics of Information Accurate Must not contain any errors Accessible Access by authorized users Complete Must contain all important, related data Economical Both in terms of time and cost Formatted Should be available in desired format Flexible To be used for different purposes Reliable Dependable, generated using correct data Relevant, can be used by organization Secure Access allowed to authorized individuals only Simple Easily understandable, usable Timely Available when needed Verifiable Means to cross check Computer Fundamentals by Dr. Anita Goel Chapter-11: Information Systems We all need information to make decisions and take actions, when needed. 4

System l l Set of components that work together to achieve common goal Accepts

System l l Set of components that work together to achieve common goal Accepts input, processes it, produces output Composed of one or more subsystems Two types Closed system: Stand-alone system. Does not interact with other systems Open system: Interacts with other systems Computer Fundamentals by Dr. Anita Goel Chapter-11: Information Systems 5

Information System l Set of interrelated components Collect, manipulate, disseminate data & information, provide

Information System l Set of interrelated components Collect, manipulate, disseminate data & information, provide feedback to meet an objective l l l Uses resources: People, hardware, software, data, networks to perform input, processing, output, storage and control activities E. g. ATM, railway reservation system, movie ticket reservation system Needed both by people, business organizations People: For entertainment and enlightenment Organizations: To support decision making, coordination, problem solving, control Computer Fundamentals by Dr. Anita Goel Chapter-11: Information Systems 6

Components of IS Process Input • Gathering & capturing raw data • Transforms data

Components of IS Process Input • Gathering & capturing raw data • Transforms data into useful output. • Manipulate data using mathematical, statistical tools Output • Generation, presentation of useful information. • In form of documents, reports Feedback Output that makes changes to input, processing activities Computer Fundamentals by Dr. Anita Goel Chapter-11: Information Systems 7

Characteristics of IS Environment Anything outside the system Boundary Separates system from environment Input

Characteristics of IS Environment Anything outside the system Boundary Separates system from environment Input Data from environment to system Output Information from system to environment Components Subparts of system Interrelationships Association between components Interface Interaction between components Performance of IS Efficiency (what is produced/what is consumed), Effectiveness (extent to which the system attains goals) Types Manual, computerized (Computer-based IS) Computer Fundamentals by Dr. Anita Goel Chapter-11: Information Systems 8

Characteristics of IS Environment Interrelationships Boundary Inputs Component A Component C Outputs Component B

Characteristics of IS Environment Interrelationships Boundary Inputs Component A Component C Outputs Component B Component D Information is a dynamic resource, it is constantly changing! Interface Computer Fundamentals by Dr. Anita Goel Chapter-11: Information Systems 9

Computer-Based Information System (CBIS) l l l Use computer, telecommunication technology Uses hardware, software,

Computer-Based Information System (CBIS) l l l Use computer, telecommunication technology Uses hardware, software, database, people, telecommunication, procedures for collection, manipulation, storage, processing of data into information Take raw data as input, process it, produce information as output Computer Fundamentals by Dr. Anita Goel Chapter-11: Information Systems 10

Components of CBIS l l l l Hardware: computer devices - keyboard, monitor, processor,

Components of CBIS l l l l Hardware: computer devices - keyboard, monitor, processor, printer Software: computer programs Database: organized collection of data, consisting of related data files People: Work with CBIS Procedures: Strategies, policies, methods, rules Telecommunication, Network and Internet: To connect computers, computer devices E. g. e-commerce, e-banking, e-governance, elearning, Internet advertising Computer Fundamentals by Dr. Anita Goel Chapter-11: Information Systems 11

Need for Efficient IS l l l Provides opportunity to do business in new

Need for Efficient IS l l l Provides opportunity to do business in new way, gain huge profits, market shares Facilitate acquisition, transformation, distribution of information. Improves decision making, enhances organizational performance, increases profitability For strategic planning in competitive world. Allows changing structure, creating new services, improving existing services Helps to better manage and secure critical data Improves integration and work processes For managing, controlling operations of organization located in different countries Computer Fundamentals by Dr. Anita Goel Chapter-11: Information Systems 12

Categories of IS l l l IS provide support at all levels of organization,

Categories of IS l l l IS provide support at all levels of organization, in different functional areas A pyramid divided both horizontally and vertically Vertical divisions: Functional areas of organization E. g. sales, marketing, accounting, human resource, manufacturing l Horizontal divisions: Operational level of organization, hierarchically from base of pyramid to top E. g. low level, middle level, top level Computer Fundamentals by Dr. Anita Goel Chapter-11: Information Systems 13

Categories of IS (contd. . ) EIS MIS DSS High Level Operations Middle Level

Categories of IS (contd. . ) EIS MIS DSS High Level Operations Middle Level Operations TIS Low Level Operations Sales Computer Fundamentals by Dr. Anita Goel Marketing Accounting Chapter-11: Information Systems HR 14

Categories of IS (contd. . ) l Operations Support System Transaction Processing System (TPS)

Categories of IS (contd. . ) l Operations Support System Transaction Processing System (TPS) Office Automation System (OAS) l Management Support System Management Information System (MIS) Decision Support System (DSS) Executive Information System (EIS) l Specialized information systems Expert Systems, Enterprise Resource Planning (ERP) E-commerce system Computer Fundamentals by Dr. Anita Goel Chapter-11: Information Systems 15

Operations Support System l l Main function: Transaction processing Provides information about day-to-day activities

Operations Support System l l Main function: Transaction processing Provides information about day-to-day activities of organization Support operations of organization, keeps track of resources, transactions E. g. Bank: keeps track of current balance of customer Manufacturing unit: keeps track of inventory of items Sales unit: keeps track of number of units of each item sold l Kinds: TPS, OAS Computer Fundamentals by Dr. Anita Goel Chapter-11: Information Systems 16

Transaction Processing System (TPS) l Transaction: basic activity performed during business operation E. g.

Transaction Processing System (TPS) l Transaction: basic activity performed during business operation E. g. withdrawal of money from bank, booking ticket for airline, selling of goods to customer l l Organized collection of people, procedure, software, database, devices for recording business transaction Records business transactions, generates documents related to transaction, automates data handling Increases transaction processing speed, enhances productivity, simplifies processes For different areas: Payroll TPS, Sales TPS, Marketing TPS Computer Fundamentals by Dr. Anita Goel Chapter-11: Information Systems 17

Office Automation System (OAS) l l Supports automation of tasks in office. Facilitates communication,

Office Automation System (OAS) l l Supports automation of tasks in office. Facilitates communication, both within office, between office & environment - managing documents, sending messages, arranging meetings, scheduling projects Uses word processors, desktop publishing system, spreadsheets, presentation packages, personal database systems, note-taking systems Includes communication systems for transmitting messages, documents, images, video, voice. Uses network, Internet for e-mail, voice mail, web sites, teleconferencing Computer Fundamentals by Dr. Anita Goel Chapter-11: Information Systems 18

Management Support System l l Assists managers at different levels in organization, in controlling,

Management Support System l l Assists managers at different levels in organization, in controlling, management of business Provide reports summary report, sales report, customer balance report l Assist managers in decision making process generates projected reports like projected sales report l Provides information to executives about operations, growth, profits, performance l l Provides detailed report specifying internal details Kinds: MIS, DSS, EIS Computer Fundamentals by Dr. Anita Goel Chapter-11: Information Systems 19

Management Information System (MIS) l l Collection of people, procedures, software, databases, devices that

Management Information System (MIS) l l Collection of people, procedures, software, databases, devices that provides information to managers & decision makers Generates reports Summary report: statistical information to managers Exception report: about activities different from normal functioning Detailed report: operational level reports l Reports scheduled (periodic: weekly, monthly, quarterly) ad-hoc (on-demand, whenever required by managers) l Focus: Operational efficiency Computer Fundamentals by Dr. Anita Goel Chapter-11: Information Systems 20

Decision Support System (DSS) l l l Collection of people, procedures, software, databases, devices

Decision Support System (DSS) l l l Collection of people, procedures, software, databases, devices that support problem-specific decision making Support middle level managers. Applies logical, mathematical models, interactions to solve problems User-friendly, interactive Uses data from TPS, MIS, external sources Provides comparison of alternatives, recommendation of preferred option Provide models, tools for simulation, optimization to managers, to evaluate from alternatives before decision making Computer Fundamentals by Dr. Anita Goel Chapter-11: Information Systems 21

Executive Information System (EIS) l l l Provides generalized computing & communication environment to

Executive Information System (EIS) l l l Provides generalized computing & communication environment to senior managers to support decisions Provides summarized information in convenient form Designed to facilitate access to information quickly, effectively, for senior managers Used for identifying problem, trends, opportunity Uses data from TPS, MIS, external sources Has menu driven user friendly interfaces, interactive graphics to help visualization, telecommunication links to connect to external information Computer Fundamentals by Dr. Anita Goel Chapter-11: Information Systems 22

Specialized Information System l l l Are both for organizational and individual use Help

Specialized Information System l l l Are both for organizational and individual use Help organizations and individuals achieve goals Different kinds Expert Systems Enterprise Resource Planning (ERP) E-commerce Computer Fundamentals by Dr. Anita Goel Chapter-11: Information Systems 23

Expert Systems l l l AI: people, procedures, hardware, software, data, knowledge needed to

Expert Systems l l l AI: people, procedures, hardware, software, data, knowledge needed to develop computer systems that display characteristics of intelligence An applied area of AI. Knowledge-based system Two components: knowledge base, inference engine knowledge base stores information, data, rules, cases, relationships inference engine gets information and relationships from knowledge base, provides answers & predictions the way human expert does Computer Fundamentals by Dr. Anita Goel Chapter-11: Information Systems 24

Expert System: Applications l Used in areas where need to capture, preserve irreplaceable human

Expert System: Applications l Used in areas where need to capture, preserve irreplaceable human expertise provide expertise that is expensive or rare share wisdom of human experts with large number of people l l Used to explore new business possibilities, increase overall profitability, reduce costs Provide information related to classification, diagnosis, process control, scheduling, planning E. g. antilock braking system, television, plant layout, manufacturing, credit granting, stock picking Computer Fundamentals by Dr. Anita Goel Chapter-11: Information Systems 25

Enterprise Resource Planning (ERP) l Computer software that manages, coordinates resources, information, functions of

Enterprise Resource Planning (ERP) l Computer software that manages, coordinates resources, information, functions of business from shared data stores E. g. coordinate planning, inventory control, production, ordering l l l Integrate functions like human resources, supply chain management, customer relations management, financial, manufacturing functions Helps to streamline processes, workflows, allow data sharing, improve efficiency & productivity levels, improves customer service E. g. SAP (Systems, Applications and Products) Computer Fundamentals by Dr. Anita Goel Chapter-11: Information Systems 26

E-Commerce l l Involves business transaction executed electronically between parties Uses Internet & Web

E-Commerce l l Involves business transaction executed electronically between parties Uses Internet & Web for doing business e-mail, workflow software tools, Intranet, e-payment services l l l Involves buying, selling of products, services electronically Parties involved - B 2 B, B 2 C, C 2 C Web sites like on-line market places - sell & buy items, advertise product, establish newsgroups & blogs, post job-oriented resumes Computer Fundamentals by Dr. Anita Goel Chapter-11: Information Systems 27

Career in IS l l IS department controls, coordinates, manages information system of organization

Career in IS l l IS department controls, coordinates, manages information system of organization Career opportunities Chief Information officer (CIO) LAN administrators, System & Network operators System analyst and Programmers Network Analysts, Application Analysts Database Administrator, Systems Administrators Application Designers, Management Analysts Business Systems Analyst, Designer Information Systems Auditor, Database Architect ERP Analyst, Web Content Designer Computer Fundamentals by Dr. Anita Goel Chapter-11: Information Systems 28

Thank You Computer Fundamentals by Dr. Anita Goel Chapter-11: Information Systems 29

Thank You Computer Fundamentals by Dr. Anita Goel Chapter-11: Information Systems 29