1. What is IS?
IS – a set of interrelated components working
together to collect, retrieve, process, store, and
distribute information for the purpose of
facilitating planning, control, coordination,
analysis, and decision making in business
organizations
Input-process-output perspective
People-organization-technology perspective
5. Technology – the means by which data is
transformed and organized for business use:
Hardware
Software
Database
Telecommunication
People – the users of IS
Organization -- a collection of functional units
working together to achieve a common goal
6. Functional units of business
organizations:
production
sales/marketing
finance/accounting
human resources
maximize profit by producing goods
and/or services
7. Functional Areas of Business
The manufacturing and production function
is responsible for producing the firm's goods and
services. There are three stages of the
manufacturing/ production process:
inbound logistics
production
outbound logistics
8. Functional Areas of Business
The sales and marketing function is
responsible for finding customers for the firm's
product or service and selling the firm's product
or service to those customers. The sales and
marketing process consists of
identifying and creating markets
developing markets
maintaining markets
9. Functional Areas of Business
The finance and accounting function is
responsible for managing the firm's financial
assets and maintaining the firm's financial
records. The finance process involves managing
the firm's financial assets, whereas the
accounting process is involved primarily in
financial record keeping.
10. Functional Areas of Business
The human resource function is responsible
for attracting and maintaining an appropriate
work force for the firm. The human resources
process entails
attracting the work force
developing the firm's work force to meet the firm's
personnel needs
maintaining the work force
13. IS in Business
Business functions
Business processes
A series of interrelated activities through which work
is organized and focused to produce a product or
service
Business levels
Strategic (long range planning)
Tactical (co-ordinate & supervise)
Operational (produce product & service)
16. Role of IS in Business
Competitive advantage
Low-cost (value chain)
Market niche
Product differentiation
Customer loyalty
Globalization
People (language)
Organization (culture)
Technology (telecommunication)
17. The value chain views the firm as a series of basic
activities that add value to a firm's products or services
(Fig. 3-2)
Primary activities
•inbound logistics,
•operations,
•outbound logistics,
•sales and marketing
•service
Support activities
•administration and management
•human resources
•technology and procurement.
18. Quality
Process simplification
Benchmarking
Customer focus
Cycle time reduction
Improve design & production
Error reduction
Reengineering
Business processes redesign
Ethical & social responsibility
Information rights & privacy
Intellectual property
Accountability & liability
Quality of life
19. IS Approach to Problem Solving
Systems Analysis
Systems Design
