Introduction to IS Fundamental Concepts Infsy 540 Dr

Introduction to IS & Fundamental Concepts Infsy 540 Dr. R. Ocker

What are some characteristics of today’s business environment?

Characteristics of today’s business environment: n globalization · · global marketplace global competition global work groups global information systems

Characteristics of today’s business environment: n transformation of industrial economies · knowledge and information-based economies · productivity · innovation · time-based competition · shorter product life · turbulent environment

Characteristics of today’s business environment: n transformation of the organization · · · flatter decentralized flexible collaborative work and teamwork empowered workforce lower operating costs

Transformation of the Business Enterprise n traditional business firm · hierarchical · centralized · standard operating procedures for mass production n new style of business firm · flatter · decentralized · flexible arrangement of generalists and specialists

Transformation of the Business Enterprise n n similar to a symphony consist of knowledge workers · college educated · members of profession (e. g. , engineers, doctors, lawyers, scientists, etc. ) · jobs consist primarily of creating new information and knowledge · IT has evolved to enable and support new form of organization

What is an information system (IS)? n interrelated components working together to – collect, process, store, disseminate information n to support – decision making, coordination, control, analysis, and visualization in an organization

Components of an IS n n n Hardware software databases telecommunications (networks) human resources (system professionals and end users) procedures (specifications for the use, operation, & maintenance of IS)

3 activities in an IS produce information n n 1. input - capture of raw data 2. processing - conversion, manipulation, and analysis of raw input 3. output - distribution of processed information CBIS - computer-based information system - our focus in this course

Information vs. Data n information technology = IS + telecommunications n n information - data that have been shaped into a form that is meaningful and useful to humans data - raw facts before they have been organized and arranged into a form useful to people

Information is a corporate resource. . .

Attributes of Quality Information n n n Timely complete concise relevant accurate precise appropriate form

Business perspective on IS n n an IS is an organizational and management solution, based on IT, to solve a business problem to use IS effectively, must understand · organization - e. g. culture · knowledge workers - users of technology · management - diff. levels require diff. types of systems · role of IT within the organization

Sociotechnical Perspective n We will take a sociotechnical perspective on IT - the technology and the organization must mutually adjust to one another to achieve satisfactory fit task technology people structure

Different kinds of systems n Organizations and info. systems can be divided into four levels: – operational-level – knowledge-level – management-level – strategic-level

Organizational information systems provide: n n knowledge-work support knowledge and data workers in an organization; help workers design products, distribute information, and cope with paperwork; fastest growing applications operational support monitor low-level activities and transactions of the organization

Organizational information systems provide: n n management-level support management activities of monitoring, controlling, decision-making, and administrative activities of middle managers executive-level support long-range planning activities of senior management

Six Major types of Systems n n n TPS MRS DSS EIS PSS OIS transaction processing systems management reporting systems decision support systems executive information systems professional support systems office information systems

1. TPS transaction processing systems · · operational level perform and record daily routine transactions necessary to conduct the business

2. MRS management reporting systems · Used by managers responsible for specific functions or processes in a firm · provide routine summary and exception reports · managers use these reports to help control their area of responsibility

3. DSS decision support systems · Designed to support individual and collective decision making · often use information from external sources · more analytical power than other types of systems

4. EIS executive information systems · strategic level of the organization · support long-term, strategic view · used by senior executives · easy access to summarized company data · incorporate external information on industry and economy

5. PSS professional support systems · · Support performance of tasks specific to a given profession For example · lawyers doing legal research · architects designing buildings · designers modeling a new automobile

6. OAS office information systems · · · support and help coordinate knowledge work in an office environment emphasis on increased productivity systems include e-mail, scheduling systems, word processing

7. Expert Systems (ES) n n Branch of Artificial Intelligence suggest a decision based on a knowledge base (rather than a data base) incorporate heuristics – informal “rules of thumb” n ES can be incorporated into all types of IS or can be used as stand-alone system

Information Architecture n particular form that IT takes in an organization to achieve goals n computer systems base · HW, SW, data, telecommunications · operated by technical people

Information Architecture n n Managers design an organization’s information architecture decide how to arrange and coordinate the various computer technologies and business system applications to meet the information needs of each level of the organization – operational, knowledge, management, strategic n more details next lecture

10 Principal capabilities of IS n n n 1. Fast and accurate data processing with large-capacity storage and rapid communication between sites 2. Instantaneous access to information 3. Means of coordination 4. Boundary spanning 5. Support for decision making

10 Principal capabilities of IS n n n 6. Supporting organizational memory and learning 7. Routinizing organizational practice 8. Differentiation of products and services 9. Modeling 10. automation