3. LEARNING OBJECTIVES
Analyze roles of 6 types of information
systems
Describe types of information systems
Analyze relationships between business
processes
4. EXAMPLES OF BUSINESS PROCESSES
• MANUFACTURING & PRODUCTION: Assembling
product, checking quality and producing bills of
materials
• SALES & MARKETING: Identifying customers, creating
customer awareness, selling
5. EXAMPLES OF BUSINESS PROCESSES
• FINANCE & ACCOUNTING: Paying creditors, creating
financial statements, managing cash accounts
• HUMAN RESOURCES: Hiring employees, evaluating
performance, enrolling employees in benefits plans
6. TYPES OF INFORMATION SYSTEMS
Informal Information System
Formal Information System
7. Formal Information System
A formal information system is a system based on the organisation
represented by the organization chart. The chart is a map of position
and their authority relationship, indicated by boxes and connected by
straight lines. it is concerned with the pattern of authority,
communication and work flow.
Informal Information System
The informal information system is an employee based system design to
meet personnel and vocational needs and to help in the solution of
work-related problems. it funnels information freely through indirect
channels.
8. An Information System is an organized combination of
people, hardware, software, communication networks and the
data resources that collects, transforms and disseminates
information in a organization.
COMPUTER-BASED INFORMATION SYSTEM
10. CLASSIFICATION OF IS
Information Systems
Operations
Support System
Management
Support System
Transaction
Processing
Systems
Process
Control
Systems
Office
Automation
Systems
Management
Information
Systems
Decision
Support
Systems
Executive
Information
systems
11. Operations support systems process data generated by
business operations
a. Transaction processing systems
b. Office automation systems
Management Support Systems provide information and
support needed for effective decision making by managers
a. Management Information System
b. Decision Support Systems
c. Executive Information System
12. Other categories
a) Expert systems
b) End user computing systems
c) Business information systems
d) Strategic information systems
13. With businesses seeing rapidly expanding frontiers,
companies find the need for solutions that can handle all
the office updates, tasks, functions, information transfer
and sharing etc more effectively and professionally than
before.
Office automation systems help with these functions and
ensure that aspects like
1. Raw data storage
2. Managing electronic business data
3. Electronic transfer of this information
OFFICEAUTOMATION SYSTEMS (OAS)
14. OFFICE AUTOMATION SYSTEMS (OAS)
• TOWARDS A “PAPERLESS” OFFICE
• REDESIGN OF WORK FLOW
• INTEGRATED SOFTWARE
• ERGONOMIC DESIGN
• BRIGHT, CHEERFUL WORK SPACE
EXAMPLE: PRESENTATION
GRAPHICS
16. TRANSACTION PROCESSING SYSTEM ~TPS
A transaction processing system (TPS) is
shared business information system that uses
a combination of information technology and
manual procedures to process data and
information and to manage daily business
transactions.
17. CHARACTERISTICS OF TPS
• Processes a high volume of similar business
transactions
• Supports multiple users in routine, everyday
transactions.
• Utilizes relatively simple procedures to control
processing and ensure accuracy.
• Produces documents and reports.
• Updates files and databases.
18. FEATURES OF TRANSACTION PROCESSING
SYSTEMS
• Rapid response – fast performance with rapid
results
• Reliability – well designed backup and recovery
with a low failure rate
• Inflexibility – treat every transaction equally. It may
be used many times each day which means it has to
be precise and inflexible
• Controlled processing – maintain specific
requirements for the roles and responsibilities of
different employees.
19. TYPES OF TPS
• Batch processing is where the information is collected as a
batch and then processed later on. An example of batch
processing is paying by cheque.
• Batch processing is useful for enterprises that need to process
large amounts of data using limited resources
Batch Processing system
20. Advantages
• Batch transaction processing saves a lot of time
and money when organizations have a large
number of repetitious data entry tasks to do
which can be automated.
• Banks will process hundreds of thousands of
cheques in large bundles which flick through the
scanners faster than the eye can see. This is
obviously going to save the banks large amounts
of money.
• These repetitious tasks may actually take an
individual a long time to enter all of the data.
Automating these tasks also save a large amount
of time.
21. Disadvantages
• All processing will be carried out at a set time. This
usually involves a schedule.
• The transaction data still needs to be sorted and
bundled which can still be expensive.
• The data in a batch TPS will never be completely
current.
• There are time delays between the initial
transaction and the actual processing of that
transaction.
22. Real Time Processing
Real time processing is where all details of the transaction
are recorded and changed at the time as it occurs.
Examples of real time processing are ATM’s.
23. Elements of real time transaction processing
• Real time transaction processing involves a
transaction that is completed immediately.
• This may involve a payment over the counter or
EFTPOS but whatever is used to complete the
transaction it is immediately finalised and does not
leave processing for a later time.
• Two examples of real time processing are airline
reservations and banking transaction systems.
24. TRANSACTION PROCESSING MONITOR
• The TP monitor watches the process that
occurs during a transaction to make sure
everything happens the way it is supposed to.
• This is sometimes referred to as middleware.
It can be used in things such as security
systems and customer service.