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© 2017 Arianto Muditomo All Rights Reserved
Copyright Notice:
This presentation is prepared by Author for Perbanas Institute as a part of Author Lecture Series. It is to be used for educational and non-
commercial purposes only and is not to be changed, altered, or used for any commercial endeavor without the express written permission from
Author and/or Perbanas Institute. Appropriate legal action may be taken against any person, organization, or entity attempting to misrepresent,
charge, or profit from the educational materials contained here.
Authors are allowed to use their own articles without seeking permission from any person, organization, or entity.
arianto.muditomo@2017
Referrences:
1) Baltzan, Paige 2014. Business Driven Information Systems. 4th Edition. New York: McGraw-Hill.
2) Pearlson, Keri E. And Saunders Carol S. 2013. Managing and Using Information Systems: A Strategic Approach. 5th Ed. Danvers:
John Wiley & Sons.
3) Turban, Efraim, Volonino, Linda, and Wood, Gregory 2013. Information Technology for Management. 9th Edition. Hoboken: John
Wiley & Sons.
4) Turban, Efraim, Strauss, Judy, and Lai, Linda 2016. Social Commerce: Marketing and Technology Management. Hidelberg:
Springer.
5) Xu, Jun and Quaddus, Mohammed 2013. Managing Information Systems: Ten Essential Topics. Amsterdam: Atlantis Press.
6) Turban, Rainer: Introduction to Information Systems Enablig and Transforming Business 2nd Ed., John Wiley & Sons.2009
7) Kenneth C. Laudon and Jane P. Laudon, Management Information Systems, Managing The Digital Firm, Pearson: Prentice Hall
2006
1
• Session #1: Information System in Business
• Session #2: IT Strategic Planning
• Session #3: Business Information System
• Session #4: Business Intelligence & Decision Support
• Session #5: Ethics, Privacy and Security
• Session #6: e-Business and e-Commerce
• Session #7: Knowledge Management
• Session #8: Enterprise Information System
© 2017 Arianto Muditomo
Copyright Notice:
This presentation is prepared by Author for Perbanas Institute as a part of Author Lecture Series. It is to be used for educational and non-
commercial purposes only and is not to be changed, altered, or used for any commercial endeavor without the express written permission from
Author and/or Perbanas Institute. Appropriate legal action may be taken against any person, organization, or entity attempting to misrepresent,
charge, or profit from the educational materials contained here.
Authors are allowed to use their own articles without seeking permission from any person, organization, or entity.
arianto.muditomo@2017
Referrences:
1) Baltzan, Paige 2014. Business Driven Information Systems. 4th Edition. New York: McGraw-Hill.
2) Pearlson, Keri E. And Saunders Carol S. 2013. Managing and Using Information Systems: A Strategic Approach. 5th Ed. Danvers:
John Wiley & Sons.
3) Turban, Efraim, Volonino, Linda, and Wood, Gregory 2013. Information Technology for Management. 9th Edition. Hoboken: John
Wiley & Sons.
4) Turban, Efraim, Strauss, Judy, and Lai, Linda 2016. Social Commerce: Marketing and Technology Management. Hidelberg:
Springer.
5) Xu, Jun and Quaddus, Mohammed 2013. Managing Information Systems: Ten Essential Topics. Amsterdam: Atlantis Press.
6) Turban, Rainer: Introduction to Information Systems Enablig and Transforming Business 2nd Ed., John Wiley & Sons.2009
7) Kenneth C. Laudon and Jane P. Laudon, Management Information Systems, Managing The Digital Firm, Pearson: Prentice Hall
2006
3
• Session #1: Information System in Business
• Session #2: IT Strategic Planning
• Session #3: Business Information System
• Session #4: Business Intelligence & Decision Support
• Session #5: Ethics, Privacy and Security
• Session #6: e-Business and e-Commerce
• Session #7: Knowledge Management
• Session #8: Enterprise Information System
arianto.muditomo@2017
§ What is Information Technology?
§ Why IT is Important to Organization?
§ What are benefit of Information
Management?
§ What do you know about various
types of Information System inside
the Organization?
4
arianto.muditomo@2017
5
§ Identify current information management challenges and evaluate potential
solutions.
§ Map the functions of various types of information systems to the type of support
needed by business operations and decision makers.
§ Recognize the relationship between business pressures, organizational
performance & IT Support.
arianto.muditomo@2017
6
...like us....; follow us....; share us; .....watch us
*) Common requests from companies and brands to connect with consumers and prospects via social media or
mobile devices.
Why do businesses ask you to like,follow,
fan,snap, share, sign up, watch, join, or
download?
The short answer is to get access to
consumers and data about them to
improve performance.
arianto.muditomo@2017
§ Social
The online platforms and tools that people use to share opinions and
experiences, including photos, videos, music, insights, and perceptions,
with each other.
§ Mobile
The ability to move or be moved freely or easily.
§ Cloud (computing)
Technology that is rented or leased on a regular, or as-needed basis.
§ Data Analytics
Data analytics refers to the specialized software, capabilities, and
components all geared toward exploring huge volumes of data to
provide greater insight and intelligence— and doing so quickly
7
arianto.muditomo@2017
8
• Business productivity and
cost reduction
• IT and business alignment
• Business agility and
speed to market
• Business process
reengineering (BPR)
• IT reliability and efficiency
• Business Intelligence (BI)
• Cloud computing
• Enterprise resource
planning (ERP)
• Software as a service
(SaaS)
• Collaboration and
workflow tools
Top5ManagementConcerns
5MostInfluentialITs
Figure 1.6 Top 5 management
concerns and 5 most influential
ITs. These findings are based
on survey responses from
472 organizations—172 U.S., 142
European, 103 Asian, and 55
Latin America—in mid-2010
Reff [3]:
Turban, Efraim, Volonino, Linda, and Wood, Gregory 2013. Information Technology for Management. 9th Edition.
Hoboken: John Wiley & Sons (p.9)
arianto.muditomo@2017
= how information is stored and organized; and the speed at which it is
captured, analyzed, and reported
9
The overall goal of information management is the design and
implementation of a well–planned out IT architecture,policies,and
procedures needed to effectively and efficiently support the information
and decision needs of an organization.
Policies &
Procedures
Information &
Decision Need
IT Architecture
arianto.muditomo@2017
10
Source: Data Science – from Data to Wisdom by Scott Proctor, June 2016
https://www.linkedin.com/pulse/data-science-from-wisdom-scott-proctor
arianto.muditomo@2017
11
High-
Quality
Information
Relevant
Timely
Easy to
Understand
& Use
Reliable,
Accurate
Information is either relevant or
irrelevant to a decision.
This characteristic
means that the
decision maker
receives the
information when
he or she needs it—
that is, when it
would be
meaningful to the
decision.
This characteristic
means that the
information can be
trusted and that the
decision maker has
confidence that
information is free
from errors, to the
extent possible.
This characteristic means that information is
presented clearly, and concisely, and is well-
documented.
arianto.muditomo@2017
12
Reff [3]:Turban, Efraim, Volonino, Linda, and Wood, Gregory 2013. Information
Technology for Management. 9th Edition. Hoboken: John Wiley & Sons.
Figure 2.3 (Reff. [3] p.33)
Data (or information) silos are
ISs that do not have the
capability to exchange data
with other ISs making timely
coordination and
communication across
functions or departments
difficult.
Other common reasons why information deficiencies are still a problem include:
à Data (also called Information) Silos à Data Lost or Bypassed à User-fierce Data Format (vs.user-
friendly format) à Non-standardize Data à (Decision making) Moving Target
arianto.muditomo@2017
13
Benefits of information management are:
§ Improves decision quality. Improving the timeliness and
quality of decision making through access to a more
comprehensive set of information sources.
§ Improves predictions. The ability to predict new
opportunities or challenges through pattern seeking,
matching, and discovery.
§ Reduces risk. Improving enterprise compliance with
regulations and policies through improved information
quality and governance.
§ Reduces cost by reducing the number of repositories and
time spent locating and mashing (integrating) information.
arianto.muditomo@2017
14
Reff [3]:
Turban, Efraim, Volonino, Linda, and Wood, Gregory 2013. Information Technology for Management. 9th Edition.
Hoboken: John Wiley & Sons
Type of IS inside
Organization
arianto.muditomo@2017
15
Reff [3]:
Turban, Efraim, Volonino, Linda, and Wood, Gregory 2013. Information Technology for Management. 9th
Edition. Hoboken: John Wiley & Sons
arianto.muditomo@2017
16
= is a high-level map or plan of the information assets in an organization. It is both a guide for
current operations and a blueprint for future direction.The IT Architecture integrates the
entire organization’s business need for information, the IT infrastructure and all
applications.
Components of
IT Architecture
Uses &
Benefits
• Business architecture
• Application architecture
• Data architecture
• Technical architecture
1) Maintain a close alignment between IT
deliverables and business requirements.
2) Improve ability to respond quickly to business
changes.
3) Develop closer partnerships between business
and IT groups.
4) Reduce the risk of failed or unnecessary ISs.
5) Reduce complexity of existing ISs.
Improve agility of new IT systems.
Ensure that legal and regulatory requirements
are being met.
arianto.muditomo@2017
..defines
The organization’s mission, business functions, and future direction
Information and information flows needed to perform the mission
Processes for implementing new ITs in response to business changes
The current baseline architecture
The desired target architecture
The sequencing plan, which consists of the short- and long-term strategies
for managing the change from baseline to target architecture
1
2
3
4
5
6
10
arianto.muditomo@2017
§ Agility means being able to respond quickly
§ Responsive means that IT capacity can be easily scaled up
or down as needed
§ Flexible means having the ability to quickly integrate new
business functions or to easily reconfigure software or apps.
18
§ Consumerization is the reorientation of product and service
designs to focus on (and market to) the end user as an
individual consumer,
§ IT consumerization is the migration of consumer
technology into enterprise computing environments.
§ IT consumerization is the blending of personal and
business use of technology devices and applications.
arianto.muditomo@2017
19
Reff [3]:
Turban, Efraim, Volonino, Linda, and Wood, Gregory 2013. Information Technology for Management. 9th Edition.
Hoboken: John Wiley & Sons
Social/Political
/Legal
Economic
(market)
Technology
Organizational
Performance
arianto.muditomo@2017
§ What is Information Technology?
= Any computer-based tool that people use to work with information and support the information and
information-processing needs of an organization.
§ Why IT is Important to Organization?
= agility, flexibility, efficiency, and effectivity concern on organization need
§ What are benefit of Information Management?
a) Improves decision quality.
b) Improves predictions.
c) Reduces risk.
d) Reduces cost
§ What do you know about various types of Information System inside the Organization?
a) Enterprise IS
b) Structure IS (Accounting, HR, Marketing, Operation IS, etc.)
20
© 2017 Arianto Muditomo All Rights Reserved

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001. Information System in Business

  • 1. © 2017 Arianto Muditomo All Rights Reserved Copyright Notice: This presentation is prepared by Author for Perbanas Institute as a part of Author Lecture Series. It is to be used for educational and non- commercial purposes only and is not to be changed, altered, or used for any commercial endeavor without the express written permission from Author and/or Perbanas Institute. Appropriate legal action may be taken against any person, organization, or entity attempting to misrepresent, charge, or profit from the educational materials contained here. Authors are allowed to use their own articles without seeking permission from any person, organization, or entity.
  • 2. arianto.muditomo@2017 Referrences: 1) Baltzan, Paige 2014. Business Driven Information Systems. 4th Edition. New York: McGraw-Hill. 2) Pearlson, Keri E. And Saunders Carol S. 2013. Managing and Using Information Systems: A Strategic Approach. 5th Ed. Danvers: John Wiley & Sons. 3) Turban, Efraim, Volonino, Linda, and Wood, Gregory 2013. Information Technology for Management. 9th Edition. Hoboken: John Wiley & Sons. 4) Turban, Efraim, Strauss, Judy, and Lai, Linda 2016. Social Commerce: Marketing and Technology Management. Hidelberg: Springer. 5) Xu, Jun and Quaddus, Mohammed 2013. Managing Information Systems: Ten Essential Topics. Amsterdam: Atlantis Press. 6) Turban, Rainer: Introduction to Information Systems Enablig and Transforming Business 2nd Ed., John Wiley & Sons.2009 7) Kenneth C. Laudon and Jane P. Laudon, Management Information Systems, Managing The Digital Firm, Pearson: Prentice Hall 2006 1 • Session #1: Information System in Business • Session #2: IT Strategic Planning • Session #3: Business Information System • Session #4: Business Intelligence & Decision Support • Session #5: Ethics, Privacy and Security • Session #6: e-Business and e-Commerce • Session #7: Knowledge Management • Session #8: Enterprise Information System
  • 3. © 2017 Arianto Muditomo Copyright Notice: This presentation is prepared by Author for Perbanas Institute as a part of Author Lecture Series. It is to be used for educational and non- commercial purposes only and is not to be changed, altered, or used for any commercial endeavor without the express written permission from Author and/or Perbanas Institute. Appropriate legal action may be taken against any person, organization, or entity attempting to misrepresent, charge, or profit from the educational materials contained here. Authors are allowed to use their own articles without seeking permission from any person, organization, or entity.
  • 4. arianto.muditomo@2017 Referrences: 1) Baltzan, Paige 2014. Business Driven Information Systems. 4th Edition. New York: McGraw-Hill. 2) Pearlson, Keri E. And Saunders Carol S. 2013. Managing and Using Information Systems: A Strategic Approach. 5th Ed. Danvers: John Wiley & Sons. 3) Turban, Efraim, Volonino, Linda, and Wood, Gregory 2013. Information Technology for Management. 9th Edition. Hoboken: John Wiley & Sons. 4) Turban, Efraim, Strauss, Judy, and Lai, Linda 2016. Social Commerce: Marketing and Technology Management. Hidelberg: Springer. 5) Xu, Jun and Quaddus, Mohammed 2013. Managing Information Systems: Ten Essential Topics. Amsterdam: Atlantis Press. 6) Turban, Rainer: Introduction to Information Systems Enablig and Transforming Business 2nd Ed., John Wiley & Sons.2009 7) Kenneth C. Laudon and Jane P. Laudon, Management Information Systems, Managing The Digital Firm, Pearson: Prentice Hall 2006 3 • Session #1: Information System in Business • Session #2: IT Strategic Planning • Session #3: Business Information System • Session #4: Business Intelligence & Decision Support • Session #5: Ethics, Privacy and Security • Session #6: e-Business and e-Commerce • Session #7: Knowledge Management • Session #8: Enterprise Information System
  • 5. arianto.muditomo@2017 § What is Information Technology? § Why IT is Important to Organization? § What are benefit of Information Management? § What do you know about various types of Information System inside the Organization? 4
  • 6. arianto.muditomo@2017 5 § Identify current information management challenges and evaluate potential solutions. § Map the functions of various types of information systems to the type of support needed by business operations and decision makers. § Recognize the relationship between business pressures, organizational performance & IT Support.
  • 7. arianto.muditomo@2017 6 ...like us....; follow us....; share us; .....watch us *) Common requests from companies and brands to connect with consumers and prospects via social media or mobile devices. Why do businesses ask you to like,follow, fan,snap, share, sign up, watch, join, or download? The short answer is to get access to consumers and data about them to improve performance.
  • 8. arianto.muditomo@2017 § Social The online platforms and tools that people use to share opinions and experiences, including photos, videos, music, insights, and perceptions, with each other. § Mobile The ability to move or be moved freely or easily. § Cloud (computing) Technology that is rented or leased on a regular, or as-needed basis. § Data Analytics Data analytics refers to the specialized software, capabilities, and components all geared toward exploring huge volumes of data to provide greater insight and intelligence— and doing so quickly 7
  • 9. arianto.muditomo@2017 8 • Business productivity and cost reduction • IT and business alignment • Business agility and speed to market • Business process reengineering (BPR) • IT reliability and efficiency • Business Intelligence (BI) • Cloud computing • Enterprise resource planning (ERP) • Software as a service (SaaS) • Collaboration and workflow tools Top5ManagementConcerns 5MostInfluentialITs Figure 1.6 Top 5 management concerns and 5 most influential ITs. These findings are based on survey responses from 472 organizations—172 U.S., 142 European, 103 Asian, and 55 Latin America—in mid-2010 Reff [3]: Turban, Efraim, Volonino, Linda, and Wood, Gregory 2013. Information Technology for Management. 9th Edition. Hoboken: John Wiley & Sons (p.9)
  • 10. arianto.muditomo@2017 = how information is stored and organized; and the speed at which it is captured, analyzed, and reported 9 The overall goal of information management is the design and implementation of a well–planned out IT architecture,policies,and procedures needed to effectively and efficiently support the information and decision needs of an organization. Policies & Procedures Information & Decision Need IT Architecture
  • 11. arianto.muditomo@2017 10 Source: Data Science – from Data to Wisdom by Scott Proctor, June 2016 https://www.linkedin.com/pulse/data-science-from-wisdom-scott-proctor
  • 12. arianto.muditomo@2017 11 High- Quality Information Relevant Timely Easy to Understand & Use Reliable, Accurate Information is either relevant or irrelevant to a decision. This characteristic means that the decision maker receives the information when he or she needs it— that is, when it would be meaningful to the decision. This characteristic means that the information can be trusted and that the decision maker has confidence that information is free from errors, to the extent possible. This characteristic means that information is presented clearly, and concisely, and is well- documented.
  • 13. arianto.muditomo@2017 12 Reff [3]:Turban, Efraim, Volonino, Linda, and Wood, Gregory 2013. Information Technology for Management. 9th Edition. Hoboken: John Wiley & Sons. Figure 2.3 (Reff. [3] p.33) Data (or information) silos are ISs that do not have the capability to exchange data with other ISs making timely coordination and communication across functions or departments difficult. Other common reasons why information deficiencies are still a problem include: à Data (also called Information) Silos à Data Lost or Bypassed à User-fierce Data Format (vs.user- friendly format) à Non-standardize Data à (Decision making) Moving Target
  • 14. arianto.muditomo@2017 13 Benefits of information management are: § Improves decision quality. Improving the timeliness and quality of decision making through access to a more comprehensive set of information sources. § Improves predictions. The ability to predict new opportunities or challenges through pattern seeking, matching, and discovery. § Reduces risk. Improving enterprise compliance with regulations and policies through improved information quality and governance. § Reduces cost by reducing the number of repositories and time spent locating and mashing (integrating) information.
  • 15. arianto.muditomo@2017 14 Reff [3]: Turban, Efraim, Volonino, Linda, and Wood, Gregory 2013. Information Technology for Management. 9th Edition. Hoboken: John Wiley & Sons Type of IS inside Organization
  • 16. arianto.muditomo@2017 15 Reff [3]: Turban, Efraim, Volonino, Linda, and Wood, Gregory 2013. Information Technology for Management. 9th Edition. Hoboken: John Wiley & Sons
  • 17. arianto.muditomo@2017 16 = is a high-level map or plan of the information assets in an organization. It is both a guide for current operations and a blueprint for future direction.The IT Architecture integrates the entire organization’s business need for information, the IT infrastructure and all applications. Components of IT Architecture Uses & Benefits • Business architecture • Application architecture • Data architecture • Technical architecture 1) Maintain a close alignment between IT deliverables and business requirements. 2) Improve ability to respond quickly to business changes. 3) Develop closer partnerships between business and IT groups. 4) Reduce the risk of failed or unnecessary ISs. 5) Reduce complexity of existing ISs. Improve agility of new IT systems. Ensure that legal and regulatory requirements are being met.
  • 18. arianto.muditomo@2017 ..defines The organization’s mission, business functions, and future direction Information and information flows needed to perform the mission Processes for implementing new ITs in response to business changes The current baseline architecture The desired target architecture The sequencing plan, which consists of the short- and long-term strategies for managing the change from baseline to target architecture 1 2 3 4 5 6 10
  • 19. arianto.muditomo@2017 § Agility means being able to respond quickly § Responsive means that IT capacity can be easily scaled up or down as needed § Flexible means having the ability to quickly integrate new business functions or to easily reconfigure software or apps. 18 § Consumerization is the reorientation of product and service designs to focus on (and market to) the end user as an individual consumer, § IT consumerization is the migration of consumer technology into enterprise computing environments. § IT consumerization is the blending of personal and business use of technology devices and applications.
  • 20. arianto.muditomo@2017 19 Reff [3]: Turban, Efraim, Volonino, Linda, and Wood, Gregory 2013. Information Technology for Management. 9th Edition. Hoboken: John Wiley & Sons Social/Political /Legal Economic (market) Technology Organizational Performance
  • 21. arianto.muditomo@2017 § What is Information Technology? = Any computer-based tool that people use to work with information and support the information and information-processing needs of an organization. § Why IT is Important to Organization? = agility, flexibility, efficiency, and effectivity concern on organization need § What are benefit of Information Management? a) Improves decision quality. b) Improves predictions. c) Reduces risk. d) Reduces cost § What do you know about various types of Information System inside the Organization? a) Enterprise IS b) Structure IS (Accounting, HR, Marketing, Operation IS, etc.) 20
  • 22. © 2017 Arianto Muditomo All Rights Reserved