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  • Foundation Concepts: Foundations of Information in Business presents an overview of the five basic areas of information systems knowledge needed by business professionals, including the conceptual system components and major types of information systems. <br />
  • An IS Framework for Business Professionals – The IS knowledge that a business manager or professional needs to know is illustrated in the Figure. This include <br /> foundation concepts: fundamental behavior, technical, business, and managerial concepts like system components and functions, or competitive strategies; <br /> information technologies: concepts, developments, or management issues regarding hardware, software, data management, networks, and other technologies; <br /> business applications: major uses of IT for business processes, operations, decision making, and strategic/competitive advantage; <br /> development processes: how end users and IS specialists develop and implement business/IT solutions to problems and opportunities arising in business; and <br /> management challenges: how to effectively and ethically manage the IS function and IT resources to achieve top performance and business value in support of the business strategies of the enterprise. <br />
  • An Information System is an organized combination of people, hardware, software, communications networks, and data resources that collects, transforms, and disseminates information in an organization. <br /> Key concepts of the text include: <br /> Information Technology (IT). The dynamic interaction of computer-based information systems with telecommunications forms the backbone of IT. <br /> End User Perspective. An end user is anyone who uses an information system or the information it produces. As a perspective on management information systems, the end user focuses designers, developers, and all information systems personnel on how the system does and should function in use. Information systems are powerful tools -- and all the more powerful when made to fit the needs of those who use them everyday. This involves adapting the system to the user, not the other way around. <br /> An Enterprise Perspective. Information technology can provide the information a business needs for efficient operations. It can even be the foundation of a company&apos;s competitive advantage. But to function properly, an information system must be developed in support of the strategic objectives, business operations, and management needs of the enterprise. <br /> Discussion Note: To emphasize how important the seamless integration of each component of the information system is, ask students to make an argument excluding each element in turn. The necessity of interdependence soon becomes clear. <br />
  • What is an information system? Note: This graph is part of Figure 1.5 in the text. <br /> This information system model expresses a fundamental conceptual framework for the major components and activities of information systems. An information system depends on the resources of people (end users and IS specialists), hardware (machines and media), software (programs and procedures), data (data and knowledge bases), and networks (communications media and network support) to perform input, processing, output, storage, and control activities that covert data resources into information products. <br /> Data resources are transformed by information processing activities into a variety of information products for end users. <br /> Information processing consists of input, processing, output, storage and control activities. <br />
  • System concepts underlie the field of information systems. From the end user perspective, it is necessary to understand the fundamentals of systems theory: <br /> System. A system is a group of interrelated components working together toward a common goal by accepting inputs and producing outputs in an organized transformation process. Systems have the following three basic interacting functions. <br /> Input. Input involves capturing and assembling elements that enter the system to be processed. <br /> Processing. Processing involves the transformation of input into output. <br /> Output. Output is the end result of the transformation process. Output involves transferring elements that have been produced by a transformation process to their ultimate destination. <br /> Teaching Tip: You might want to introduce the concept of "value-added" in relation to system transformation. The changes that occur during processing are typically worth more to someone outside the system, such as a customer, than the costs involved in making the transformation. <br />
  • The information system model shown on the slide highlights the relationships among the components and activities of information systems: <br /> People Resources. People are required for operation of all ISs. People resources include: <br /> End Users. As mentioned, these people use the IS or the information it produces. <br /> IS Specialists. These people develop and operate the IS. <br /> Hardware Resources. These include all the physical devices and materials used in information processing, including all machines and data media. Key components include: <br /> Computer Systems. These are the CPUs and their related peripherals, such as terminals and networked PCs. <br /> Computer Peripherals. These are input and output devices like keyboards, monitors, and secondary storage. <br /> Telecommunications Networks. These are the computer systems interconnected by various telecommunications media such as modems. <br /> Software Resources. These include all sets of information processing instructions. Software resources include: <br /> System Software. This controls the computer. <br /> Application Software. These are for a specific end user task, such as word-processing. <br /> Procedures. These are the operating instructions for the people who use the IS. <br /> Data Resources. Data is both the raw material of and among the most valuable organizational resources in the IS. Data can be in alphanumeric, text, image and/or audio form. Data are typically organized into either Databases - which hold processed and organized data; or Knowledge bases - which hold knowledge in a variety of forms such as facts and rules of inference about a given subject. <br />
  • Data: <br /> Data is the plural of datum, though data commonly represents both singular and plural forms. <br /> Data are raw facts or observations, typically about physical phenomena or business transactions. <br /> Data should be viewed as raw material resources that are processed into finished information products. <br /> Data are usually subjected to a value-added process (data processing or information processing) where <br /> Its form is aggregated, manipulated, and organized <br /> Its content is analyzed and evaluated <br /> It is placed in a proper context for a human user <br /> Information: <br /> Information can be defined as data that have been converted into a meaningful and useful context for specific end users. <br /> Information should be viewed as processed data which has been placed in a context that gives it value for specific end users. <br />
  • Time Dimension: <br /> TimelinessInformation should be provided when it is needed <br /> CurrencyInformation should be up-to-date when it is provided <br /> FrequencyInformation should be provided as often as needed <br /> Time PeriodInformation can be provided about past, present, and future time periods. <br /> Content Dimension: <br /> AccuracyInformation should be free from errors <br /> RelevanceInformation should be related to the information needs of a specific recipient <br /> for a specific situation <br /> CompletenessAll the information that is needed should be provided <br /> ConcisenessOnly the information that is needed should be provided <br /> ScopeInformation can have a broad or narrow scope, or an internal or external focus <br /> PerformanceInformation can reveal performance by measuring activities accomplished, progress made, or resources accumulated. <br /> Form Dimension: <br /> ClarityInformation should be provided in a form that is easy to understand <br /> DetailInformation can be provided in detail or summary form <br /> OrderInformation can be arranged in a predetermined sequence <br /> PresentationInformation can be presented in narrative, numeric, graphic, or other forms. <br /> MediaInformation can be provided in the form of printed paper documents, video displays, or other media. <br />
  • Storage is the information activity in which data and information are retained in an organized manner for latter use. For storage purposes, data are typically organized into the following categories: <br /> Field. A field is a grouping of characters that represent a characteristic of a person, place, thing, or event. On the slide, a person&apos;s name constitutes a field. <br /> Record. A record is a collection of interrelated fields. For example, an employee&apos;s payroll record usually contains several fields, such as their name, social security number, department, and salary. <br /> File. A file is a collection of interrelated records. For example, a payroll file might contain all of the payroll files for all the employees of a firm. <br /> Database. A database is an integrated collection of interrelated records or files. For example, the personnel database of a firm might contain payroll, personnel action, and employee skills files. <br /> Teaching Tip: The on-line access to a database by front-line workers can make a very significant contribution to achieving competitive advantage in some industries. Ask students if any of them have ever ordered computer hardware or software from a mail-order catalog. Most of these companies have a database that shows the address and the previous purchase history of the customer. Some even use caller ID to identify the customer even before he or she tells the salesperson! <br />
  • Information Technology is increasingly important in the competitive marketplace. Managers need all the help they can get. Information systems perform three vital roles in business: <br /> Support Business Operations. From accounting to tracking customers&apos; orders, information systems provide management with support in day-to-day business operations. As quick response becomes more important, the ability of information systems to gather and integrate information across business functions is become crucial. <br /> Teaching Tip: For example, the ability to match a change in product items sales with as a result of a new marketing campaign to the inventory and ordering system, can help keep items in high demand in stock. <br /> Support Managerial Decision Making. Just as information systems can combine information to help run the business better, the same information can help managers identify trends and to evaluate the outcome of previous decisions. IS helps managers make better, quicker, and more informed decisions. <br /> Support Strategic Advantage. Information systems designed around the strategic objectives of the company help create competitive advantages in the marketplace. <br /> Teaching Tip: For example, Wal-Mart stores can provide lower prices in part due to the lower costs incurred by their state-of-the art computerized inventory, tracking, and distribution system. <br />
  • Data Processing: 1950s - 1960’s: <br /> Electronic data processing systems. Transaction processing, record-keeping, and traditional accounting applications <br /> Management Reporting: 1960s - 1970’s: <br /> Management Information systems. Management reports of prespecified information to support decision making. <br /> Decision Support: 1970s - 1980s: <br /> Decision Support systems. Interactive ad hoc support of the managerial decision-making process. <br /> Strategic and End User Support: 1980s - 1990’s: <br /> End User computing systems. Direct computing support for end user productivity and work group collaboration. <br /> Executive information systems. Critical information for top management <br /> Expert systems: Knowledge-based expert advice for end users <br /> Strategic Information Systems. Strategic products and services for competitive advantage <br /> Electronic Business and Commerce: 1990’s - 2000’s: <br /> Internetworked e-business and e-commerce Systems. Internetworked enterprise and global e-business operations and e-commerce on the Internet, intranets, extranets, and other networks. <br />
  • The Internet and related technologies and applications is revolutionizing the way businesses are operated and people work, and how information technology supports business operations and end user work activities. <br /> Businesses are quickly becoming e-business enterprises. <br /> The Internet and Internet-like networks - inside the enterprise (intranets), and between an enterprise and its trading partners (extranets) - have become the primary information technology infrastructure that supports the business operations of many companies. <br /> E-business enterprises rely on such technologies as to: <br /> 1. Reengineer and revitalize internal business processes <br /> 2. Implement electronic commerce systems among businesses and their customers and suppliers. <br /> 3. Promote enterprise collaboration among business teams and workgroups. <br /> E-Business: is defined as the use of Internet technologies to internetwork and empower business processes, electronic commerce, and enterprise communication and collaboration within a company and with its customers, suppliers, and other business stakeholders. <br />
  • Information Systems can be classified by the type of the support they provide an organization. <br /> Operations support systems process data generated by and used in business operations. They produce a variety of information products for internal and external use. Operations support systems do not emphasize producing the specific information products that can best be used by managers. Further processing by management information systems is usually required. The role of a business firm’s operations support systems is to: <br /> 1. Effectively process business transactions <br /> 2. Control industrial processes <br /> 3. Support enterprise communications and collaboration <br /> 4. Update corporate databases. <br /> Management support systems assist managers in decision making. Providing information and support for decision making by all types of managers and business professionals is a complex task. Conceptually, several major types of information systems support a variety of decision-making responsibilities. <br /> 1. Management information systems - provide information in the form of reports and displays to managers and many business professionals. <br /> 2. Decision support systems - give direct computer support to managers during the decision-making process. <br /> 3. Executive information systems - provide critical information from a wide variety of internal and external sources in easy-to-use displays to executives and managers. <br />
  • Expert Systems: Knowledge-based systems that provide expert advice and act as expert consultants to users. Examples: credit application advisor, process monitor, and diagnostic maintenance systems. <br /> Knowledge Management Systems: are knowledge-based information systems that support the creation, organization, and dissemination of business knowledge to employees and managers throughout a company. Examples: intranet access to best business practices, sales proposal strategies, and customer problem resolution systems. <br /> Functional Business Systems: Support a variety of operational and managerial applications in support of basic business functions of a company. Examples: information systems that support applications in accounting, finance, marketing, operations management, and human resource management. <br /> Strategic Information Systems: are information systems that support operations or management processes that provide a firm with strategic products, services, and capabilities for competitive advantage. Examples: online stock trading, shipment tracking, and e-commerce Web systems. <br /> Cross-Functional Information Systems: are information systems that are integrated combinations of business information systems, thus sharing information resources across the functional units of an organization <br />
  • The traditional information systems development cycle is based upon the stages in the systems approach to problem solving: <br /> Systems Investigation. This stage may begin with a formal information systems planning process to help sort out choices from many opportunities. Typically, due to the expense associated with information systems development this stage includes a cost/benefit analysis as part of a feasibility study. This stage is covered in more detail on the following slide. <br /> Systems Analysis. This stage includes an analysis of the information needs of end users, the organizational environment, and any system currently used to develop the functional requirements of a new system. <br /> Systems Design. This stage develops specifications for the hardware, software, people, and data resources of the system. The information products the system is expected to produce are also designated. <br /> Systems Implementation. Here the organization develops or acquires the hardware and software needed to implement the system design. Testing of the system and training of people to operate and use the system are also part of this stage. Finally, the organization converts to the new system. <br /> Systems Maintenance. In this stage, management uses a postimplementation review process to monitor, evaluate, and modify the system as needed. <br />
  • Prospective managers and business professionals should become aware of the problems and opportunities presented by the use of information technology and learn how to effectively confront such managerial challenges. <br /> Managerial challenges are emphasized through the textbook. <br />

Mba lecture1 Mba lecture1 Presentation Transcript

  • Management Information System Sachin Sharma Assistant Professor Department of Computer Engineering & Application GLA University, Mathura Management Information Systems GLA Group of Institutions, Mathura
  • Unit UNIT I Foundation of Information Systems Management Information Systems Topics System Concept: Definition of System, Components of the System, Types of System, Concept of Data and Information Information Systems: Definition of Information System, Classification of Information System , Operation support system, Management support system, Importance of Management Information System GLA Group of Institutions, Mathura
  • Topic 1 Foundation Concepts: Introduction to information system in business Management Information Systems GLA Group of Institutions, Mathura
  • Chapter Objectives Explain why knowledge of information systems is important for business professionals and identify five areas of information systems knowledge they need. Management Information Systems GLA Group of Institutions, Mathura
  • Information Systems Framework Management Information Systems GLA Group of Institutions, Mathura
  • Five areas of knowledge are for information systems: Foundation Concepts. End users must be familiar with the basic components and types of information systems Information Technology . End users should understand technology, more precisely, the information technology of hardware, software, telecommunications, database management. Business Applications . How information systems are applied to business problems is more complex than it might seem. Management Information Systems GLA Group of Institutions, Mathura
  • Development Processes . End users of IS need to know the fundamental concepts of problem-solving and development Management Challenges . How manager. Here you should become familiar with methodologies such as the systems approach, the systems development life cycle, and prototyping s make use of IS resources is a key concern for end users. Management Information Systems GLA Group of Institutions, Mathura
  • An Information System is an organized combination of people, hardware, software, communications networks, and data resources that collects, transforms, and disseminates information in an organization. Key concepts of the text include: Management Information Systems GLA Group of Institutions, Mathura
  • Components of an Information System Softwa Hardw ar e People Ne tw or Management Information Systems ks re Information Systems Resources a at D GLA Group of Institutions, Mathura
  • Information Technology (IT). The dynamic interaction of computer-based information systems with telecommunications forms the backbone of IT. End User Perspective. An end user is anyone who uses an information system or the information it produces. As a perspective on management information systems, the end user focuses designers, developers, and all information systems personnel on how the system does and should function in use. Information systems are powerful tools -- and all the more powerful when made to fit the needs of those who use them everyday. This involves adapting the system to the user, not the other way around. Management Information Systems GLA Group of Institutions, Mathura
  • An Enterprise Perspective . Information technology can provide the information a business needs for efficient operations. It can even be the foundation of a company's competitive advantage. But to function properly, an information system must be developed in support of the strategic objectives, business operations, and management needs of the enterprise. Management Information Systems GLA Group of Institutions, Mathura
  • What is an information system? This information system model expresses a fundamental conceptual framework for the major components and activities of information systems. An information system depends on the resources of people (end users and IS specialists), hardware (machines and media), software (programs and procedures), data (data and knowledge bases), and networks (communications media and network support) to perform input, processing, output, storage, and control activities that covert data resources into information products. Data resources are transformed by information processing activities into a variety of information products for end users. • Information processing consists of input, processing, output, storage and control activities. Management Information Systems GLA Group of Institutions, Mathura
  • What is System? Control of System Performance Control of System Performance Input of Input of Data Data Resources Resources Processing Processing Data Data Output of Output of Information Information Products Products Storage of Data Resources Storage of Data Resources Management Information Systems GLA Group of Institutions, Mathura
  • fundamentals of systems theory System. A system is a group of interrelated components working together toward a common goal by accepting inputs and producing outputs in an organized transformation process. Systems have the following three basic interacting functions. Input. Input involves capturing and assembling elements that enter the system to be processed. Processing. Processing involves the transformation of input into output. Output. Output is the end result of the transformation process. Output involves transferring elements that have been produced by a transformation process to their ultimate destination. Management Information Systems GLA Group of Institutions, Mathura
  • WhatEnvironment is a System? Feedback Signals Feedback Signals Control Signals Control by Management Control Signals Input of Raw Materials Manufacturing Process Output of Finished Products System Boundary Other Systems Management Information Systems GLA Group of Institutions, Mathura
  • components and activities of information system Model People Resources . People are required for operation of all ISs. People resources include: • End Users. As mentioned, these people use the IS or the information it produces. • IS Specialists. These people develop and operate the IS. Hardware Resources . These include all the physical devices and materials used in information processing, including all machines and data media. Key components include: Management Information Systems GLA Group of Institutions, Mathura
  • • Computer Systems. These are the CPUs and their related peripherals, such as terminals and networked PCs. • Computer Peripherals. These are input and output devices like keyboards, monitors, and secondary storage. • Telecommunications Networks. These are the computer systems interconnected by various telecommunications media such as modems. • Software Resources . These include all sets of information processing instructions. Software resources include: • System Software. This controls the computer. • Application Software. These are for a specific end user task, such as word-processing. • Procedures. These are the operating instructions for the people who use the IS. Management Information Systems GLA Group of Institutions, Mathura
  • Components of an Information System Management Information Systems GLA Group of Institutions, Mathura
  • Data versus Information ann 100 rles M s Cha Shoe 200 1 M est W 54 T 791 Management Information Systems Monthly Sales Report for West Region Sales Rep: Charles Mann Emp No. 79154 Item Qty Sold Price TM Shoes 1200 $100 GLA Group of Institutions, Mathura
  • Data versus Information • • • • Data: Data is the plural of datum, though data commonly represents both singular and plural forms. Data are raw facts or observations, typically about physical phenomena or business transactions. Data should be viewed as raw material resources that are processed into finished information products. Data are usually subjected to a value-added process (data processing or information processing) where • Its form is aggregated, manipulated, and organized • Its content is analyzed and evaluated • It is placed in a proper context for a human user Management Information Systems GLA Group of Institutions, Mathura
  • Data versus Information • • Information: Information can be defined as data that have been converted into a meaningful and useful context for specific end users. Information should be viewed as processed data which has been placed in a context that gives it value for specific end users. Management Information Systems GLA Group of Institutions, Mathura
  • Attributes of Information Quality Management Information Systems GLA Group of Institutions, Mathura
  • Attributes of Information Quality Time Dimension: Timeliness Information should be provided when it is needed Currency Information should be up-to-date when it is provided Frequency Information should be provided as often as needed Time Period Information can be provided about past, present, and future time periods. Management Information Systems GLA Group of Institutions, Mathura
  • Attributes of Information Quality Content Dimension: Accuracy Information should be free from errors Relevance Information should be related to the information needs of a specific recipient for a specific situation Completeness All the information that is needed should be provided Conciseness Only the information that is needed should be provided Scope Information can have a broad or narrow scope, or an internal or external focus Performance Information can reveal performance by measuring activities accomplished, progress made, or resources accumulated. Management Information Systems GLA Group of Institutions, Mathura
  • Attributes of Information Quality Form Dimension: Clarity Information should be provided in a form that is easy to understand Detail Information can be provided in detail or summary form Order Information can be arranged in a predetermined sequence Presentation Information can be presented in narrative, numeric, graphic, or other forms. Media Information can be provided in the form of printed paper documents, video displays, or other media. Management Information Systems GLA Group of Institutions, Mathura
  • Logical Data Elements Name Field Payroll Record Payroll File Personnel Database Management Information Systems GLA Group of Institutions, Mathura
  • Logical Data Elements Storage is the information activity in which data and information are retained in an organized manner for latter use. For storage purposes, data are typically organized into the following categories: Field. A field is a grouping of characters that represent a characteristic of a person, place, thing, or event. On the slide, a person's name constitutes a field. Record. A record is a collection of interrelated fields. For example, an employee's payroll record usually contains several fields, such as their name, social security number, department, and salary. Management Information Systems GLA Group of Institutions, Mathura
  • Logical Data Elements File. A file is a collection of interrelated records. For example, a payroll file might contain all of the payroll files for all the employees of a firm. Database. A database is an integrated collection of interrelated records or files. For example, the personnel database of a firm might contain payroll, personnel action, and employee skills files. Management Information Systems GLA Group of Institutions, Mathura
  • Major Roles of Information Systems Support Strategies for Competitive Advantage Support Business Decision Making Support Business Processes and Operations Management Information Systems GLA Group of Institutions, Mathura
  • Major Roles of Information Systems Information Technology is increasingly important in the competitive marketplace. Managers need all the help they can get. Information systems perform three vital roles in business: Support Business Operations . From accounting to tracking customers' orders, information systems provide management with support in day-to-day business operations. As quick response becomes more important, the ability of information systems to gather and integrate information across business functions is become crucial. Management Information Systems GLA Group of Institutions, Mathura
  • Major Roles of Information Systems Support Managerial Decision Making . Just as information systems can combine information to help run the business better, the same information can help managers identify trends and to evaluate the outcome of previous decisions. IS helps managers make better, quicker, and more informed decisions. Support Strategic Advantage . Information systems designed around the strategic objectives of the company help create competitive advantages in the marketplace. Management Information Systems GLA Group of Institutions, Mathura
  • History of the role of Information Systems 1950-1960 1960-1970 1970-1980 1980-1990 1990-2000 Data Processing Management Reporting Decision Support Strategic & End User Electronic Commerce Electronic Data Processing - TPS Management Information Systems Management Information Systems Decision Support Systems - Ad hoc Reports End User Computing Exec Info Sys Expert Systems SIS Electronic Business & Commerce -Internetworked E-Business & Commerce GLA Group of Institutions, Mathura
  • History of the role of Information Systems Data Processing: 1950s - 1960’s: Electronic data processing systems. Transaction processing, record-keeping, and traditional accounting applications Management Reporting: 1960s - 1970’s: Management Information systems. Management reports of prespecified information to support decision making. Decision Support: 1970s - 1980s: Decision Support systems. Interactive ad hoc support of the managerial decision-making process. Management Information Systems GLA Group of Institutions, Mathura
  • Strategic and End User Support: 1980s - 1990’s: End User computing systems. Direct computing support for end user productivity and work group collaboration. Executive information systems. Critical information for top management Expert systems: Knowledge-based expert advice for end users Strategic Information Systems. Strategic products and services for competitive advantage Electronic Business and Commerce: 1990’s 2000’s: Internetworked e-business and e-commerce Systems. Internetworked enterprise and global e-business operations and e-commerce on the Internet, intranets, extranets, and other networks. Management Information Systems GLA Group of Institutions, Mathura
  • The e-Business Enterprise The Internet Suppliers and Other Business Partners Extranets Supply Chain Management Procurement, Distribution, and Logistics Manufacturing and Production Engineering & Research Company Boundary Accounting, and Finance Intranets Customer Relationship Management Marketing Sales Customer Service Extranets Consumer and Business Customers Management Information Systems GLA Group of Institutions, Mathura
  • The e-Business Enterprise The Internet and related technologies and applications is revolutionizing the way businesses are operated and people work, and how information technology supports business operations and end user work activities. Businesses are quickly becoming e-business enterprises . • The Internet and Internet-like networks - inside the enterprise (intranets), and between an enterprise and its trading partners (extranets) - have become the primary information technology infrastructure that supports the business operations of many companies. Institutions, Mathura Management Information Systems GLA Group of
  • The e-Business Enterprise E-business enterprises rely on such technologies as to: 1. Reengineer and revitalize internal business processes 2. Implement electronic commerce systems among businesses and their customers and suppliers. 3. Promote enterprise collaboration among business teams and workgroups. E-Business: is defined as the use of Internet technologies to internetwork and empower business processes, electronic commerce, and enterprise communication and collaboration within a company and Managementwith its Systems Information customers, suppliers, and other of Institutions, Mathura GLA Group business
  • Types of Information Systems Information Systems Operations Management Support Support Systems Systems Transaction Process Enterprise Management Decision Executive Processing Control Collaboration Information Support Information Systems Systems Systems Systems Systems Systems Management Information Systems GLA Group of Institutions, Mathura
  • Types of Information Systems Information Systems can be classified by the type of the support they provide an organization. •Operations support systems process data generated by and used in business operations. They produce a variety of information products for internal and external use. Operations support systems do not emphasize producing the specific information products that can best be used by managers. Further processing by management information systems is usually required. The role of a business firm’s operations support systems is to: 1. Effectively process business transactions 2. Control industrial processes 3. Support enterprise communications and collaboration 4. Update corporate databases. Management Information Systems GLA Group of Institutions, Mathura
  • • Management support systems assist managers in decision making. Providing information and support for decision making by all types of managers and business professionals is a complex task. Conceptually, several major types of information systems support a variety of decision-making responsibilities. 1. Management information systems - provide information in the form of reports and displays to managers and many business professionals. 2. Decision support systems - give direct computer support to managers during the decision-making process. 3. Executive information systems - provide critical information from a wide variety of internal and external sources in easy-to-use displays to executives and managers. Management Information Systems GLA Group of Institutions, Mathura
  • Other Categories of Information Systems Expert Systems Expert Systems Knowledge Management Systems Knowledge Management Systems Functional Business Systems Functional Business Systems Strategic Information Systems Strategic Information Systems Cross-Functional Information Systems Cross-Functional Information Systems Management Information Systems GLA Group of Institutions, Mathura
  • Other Categories of Information Systems Expert Systems : Knowledge-based systems that provide expert advice and act as expert consultants to users. Examples: credit application advisor, process monitor, and diagnostic maintenance systems. Knowledge Management Systems : are knowledgebased information systems that support the creation, organization, and dissemination of business knowledge to employees and managers throughout a company. Examples: intranet access to best business practices, sales proposal strategies, and customer problem resolution systems. Management Information Systems GLA Group of Institutions, Mathura
  • Other Categories of Information Systems Functional Business Systems : Support a variety of operational and managerial applications in support of basic business functions of a company. Examples: information systems that support applications in accounting, finance, marketing, operations management, and human resource management. Strategic Information Systems: are information systems that support operations or management processes that provide a firm with strategic products, services, and capabilities for competitive advantage. Examples: online stock trading, shipment tracking, and e-commerce Web systems. Management Information Systems GLA Group of Institutions, Mathura
  • Other Categories of Information Systems Cross-Functional Information Systems: are information systems that are integrated combinations of business information systems, thus sharing information resources across the functional units of an organization Management Information Systems GLA Group of Institutions, Mathura
  • The Information Systems Development Process Management Information Systems GLA Group of Institutions, Mathura
  • The Information Systems Development Process The traditional information systems development cycle is based upon the stages in the systems approach to problem solving: Systems Investigation . This stage may begin with a formal information systems planning process to help sort out choices from many opportunities. Typically, due to the expense associated with information systems development this stage includes a cost/benefit analysis as part of a feasibility study. This stage is covered in more detail on the following slide. Management Information Systems GLA Group of Institutions, Mathura
  • The Information Systems Development Process Systems Analysis . This stage includes an analysis of the information needs of end users, the organizational environment, and any system currently used to develop the functional requirements of a new system. Systems Design. This stage develops specifications for the hardware, software, people, and data resources of the system. The information products the system is expected to produce are also designated. Management Information Systems GLA Group of Institutions, Mathura
  • The Information Systems Development Process Systems Implementation . Here the organization develops or acquires the hardware and software needed to implement the system design. Testing of the system and training of people to operate and use the system are also part of this stage. Finally, the organization converts to the new system. Systems Maintenance. In this stage, management uses a postimplementation review process to monitor, evaluate, and modify the system as needed. Management Information Systems GLA Group of Institutions, Mathura
  • Management Challenges of the E-business Enterprise •IS Human Resources •IS Development •IT Infrastructure •IS Performance •Organization Structure •and Culture •User Acceptance Management Information Systems •Business Strategies •Business Processes •Business Needs •Customer Relationships •Business Partners •Suppliers •Business Customers Ethical Considerations Potential Risks? Potential Laws? Possible Responses? GLA Group of Institutions, Mathura
  • Management Challenges of the E-business Enterprise Prospective managers and business professionals should become aware of the problems and opportunities presented by the use of information technology and learn how to effectively confront such managerial challenges. Management Information Systems GLA Group of Institutions, Mathura
  • Chapter Summary Information Systems play a vital role in the efficient and effective operations of Ebusiness, E-commerce and enterprise collaboration. The business professional must know: Foundations (fundamentals) of IS Information Technologies Business Applications Development Processes; and Managerial Challenges Management Information Systems GLA Group of Institutions, Mathura
  • Chapter Summary (cont) A system is a group of interrelated components working toward the attainment of a common goal by accepting inputs and producing outputs in an organized transformation process. An information system uses the resources of people, hardware, software, data, and networks to perform input, processing, output, storage and control activities. Management Information Systems GLA Group of Institutions, Mathura
  • Chapter Summary (cont) IS Resources:  Hardware Resources  Software Resources  People Resources  Data Resources  Network Resources Products:  Paper Reports  Visual Displays  Multimedia Documents  Electronic Messages  Graphics images  Audio Responses Management Information Systems GLA Group of Institutions, Mathura
  • Chapter Summary (cont) Information systems perform three vital roles in business firms. They support: Business processes and operations, Business decision making; and Strategic competitive advantage Major application categories of information systems include: Operations Support Systems; and Management Support Systems Management Information Systems GLA Group of Institutions, Mathura