This document discusses the strategic use of information technology (IT) and information systems (IS) in businesses. It defines key terms like digital economy, IT, and IS. It also describes how IS are made up of different components including hardware, software, databases, and networks. Furthermore, it discusses how IS support key business functions and are interrelated within an organization. IS must be aligned with business strategy and processes to provide value.

1. Information System: Strategic Use of IT Megat Zainurul Anuar bin Megat Johari Dreamsoft (M) Sdn Bhd http://www.thedreamsoft.com [email_address] http://megatportfolio.blogspot.com

2. table of contents digital economy the scenario the business problem the it solution information system and information technology information system concept and definition data + information (relevant) classification of information system interrelated support systems Interdependence of IS and organization

3. digital economy the economy that is based on digital technology, networks, computer and software

4. the different between old economy vs. new economy

5. True Story Ever since Boston Red Sox owner Harry Farzee sold Babe Ruth to the Yankees following the 1919 season, the Sox had not won a World Series Ref: www.redsox.com /2004

6. business = games/sports… “ where employee performance MUST be measured”

7. the problems identify the best players available acquire them before their rivals do how long to keep them before they stop producing

8. the ultimate goals beat the competitors (XYZ) win the world series (game)

10. try this: http://www.e-hris.com/login.php

11. introduction Information technology (IT) (abbreviated IT) refers to all of the computer-based information systems used by organizations and their underlying technologies . related terms: it architecture & it infrastructure

12. introduction Information system (IS) 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

13. IS are more then a computers perspectives on information systems

14. components of a system

15. IS vs. IT are used to build INFORMATION TECHNOLOGY Hardware Software Databases Networks Other related components INFORMATION SYSTEMS Payroll System Inventory System Marketing System Customer Service System

16. definitions Data: raw facts Information: A collection of facts organized in such a way that they have additional value beyond the value of the facts themselves.

17. Data RM35,000 D. Zakaria RM12,000 Units North Region RM100,000 Units

18. Data Processing Data Information RM35,000 D. Zakaria RM12,000 Units North Region RM100,000 Units Salesperson: D. Zakaria Sales Territory: North Region Current Sales: 147 Units = RM 147,000

19. another look of an Information System? Information systems (IS) collect, process, store, analyze, and disseminate information for a specific purpose. data info instruction Program People Equipment storage Solutions Reports Graphic etc decision making auto control INPUT PROCESSING OUTPUT CONTROL

20. classification of information systems organizational structure EIS, DIS, IS functional area F,H,A,M activity supported S,M,O support provided TPS,MIS,KMS,OAS,DSS,GSS,ISS and etc system architecture mainframe, standalone, distributed (networking)

21. interrelated support systems transaction process MIS DSS EIS Data warehouse External information Non computer support Internet & Other computer support The TPS collects information that is used to build the DSS and EIS. The information in the data warehouse and DSS can be used as an input to EIS

22. growing impact of IT/IS: factor 1. internet growth and technology convergence e-business, e-commerce, e-government 2. transformation of the business enterprise flattening, decentralization, flexibility, collaborative work

23. growing impact of IT/IS: factor 3. growth of a globally connected economy global delivery systems, management control in a global marketplace 4. growth of knowledge and information based economies k-economy, time based competition 5. emergence of the digital firm core business processes accomplished using digital network

24. ex: emergence of the digital firm

25. interdependence: is and org interdependence Business strategy Rules processes software hardware database telecomm organization Information system

26. the development of : information system strategic planning

27. lesson learned > comprehension

28. Q&A ask now or forever hold your peace!

29. exercise: Evaluate the role played by the information systems in your organisation and their relationship to each other Describe the information systems supporting the major business functions : [ex:sales and marketing, manufacturing and production, finance and accounting, and human resources]

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