This document provides an overview of key concepts in information systems for business professionals. It discusses why knowledge of IS is important, identifies five key areas of IS knowledge, and gives examples of how IS can support business processes, decision making, strategies and competitive advantage. It also discusses challenges managers may face with IS and provides career opportunities in the field.

1. Foundations of Information Systems in Business Chapter 1

5. Foundation Concepts Improves efficiency and effectiveness of business processes Facilitates managerial decision making & workgroup collaboration Strengthens competitive position in rapidly changing marketplaces Vital component of successful businesses Why study information systems and information technology?

13. What Should Business Professionals Know?

14. Fundamental Roles of IS in Business

15. Trends in Information Systems

17. How E-Business is Being Used

18. E-Business Use Internal business processes Reengineering Support communication, coordination, coordination among teams and work groups Enterprise collaboration Buying, selling, marketing, and servicing of products and services over networks Electronic commerce

19. Types of Information Systems Operations Transaction processing Process control Enterprise collaboration Updating of corporate databases Management Decision support systems Executive information systems

20. Purposes of Information Systems

21. Types of Operations Support Systems Transaction Processing Systems Record and process business transactions Sales, inventory, and accounting Process Control Systems Monitor and control physical processes Using sensors to monitor refinery processes Enterprise Collaboration Systems Enhance team/workgroup communication Email, video conferencing

22. Two Ways to Process Transactions Batch Processing Online Processing Accumulate transactions over time and then process periodically Ex: Banks process all checks in a batch at night Process all transactions immediately Ex: A bank processes ATM withdrawals immediately

23. Management Support Systems What do they do? Provide information and support for effective decision making by managers Management information systems Decision support systems Executive information systems

25. Other Information Systems Provides expert advice Credit application advisor Expert Systems Creation, organization, dissemination of knowledge throughout company Intranet access to best business practices Knowledge Management Systems

26. Other Information Systems Helps get strategic advantage Shipment tracking, e-commerce Strategic Information Systems Focus on operational and managerial application of basic business functions Accounting, finance, marketing Functional Business Systems

27. IT Challenges and Opportunities

29. Developing IS Solutions

30. Challenges and Ethics of IT Application of IT Business intelligence systems Customer relationship management Human resource management Potential Harm Collusion Privacy infringement Inaccurate information

31. Challenges and Ethics of IT Work stoppages Potential Risks Government intervention Consumer boycotts Incentives Possible Responses Certification Codes of ethics

33. IT Careers Economic downturns affecting all job sectors, including IT Rising labor costs are pushing jobs to India, the Middle East, Asia-Pacific Negative IT employment opportunities strong, with new jobs emerging daily Frequent shortages of IT personnel Long-term job outlook is positive and exciting Positive

34. IT Careers

35. IT Careers The need to backfill positions Information sharing and client/server environments Rapid growth in computer system design and related services Need for those with problem-solving skills Falling hardware and software prices, which fuel expanded computerization of operations Job increases will be driven by…

36. The IS Function Major functional area of business Important contributor to operational efficiency, employee productivity, morale, customer service/satisfaction Vital ingredient in developing competitive products and services in global marketplace Major source of information and support for decision making Dynamic and challenging career opportunity Key component of today’s networked business

37. System Concepts: A Foundation Hardware, software, data management, telecommunications networks To support inter-connected information systems Finding ways to use information technology; includes designing basic information system components Emphasizes the quality, strategic business value, and security of an organization’s information systems Technology Applications Development Management

42. What is a System? A system is… A set of interrelated components With a clearly defined boundary Working together To achieve a common set of objectives By accepting inputs and producing outputs In an organized transformation process

43. Basic Functions of a System Input Capturing and assembling elements that enter the system to be processed Processing Transforma-tion process converts input into output Output Transferring transformed elements to their ultimate destination

45. A Cybernetic System

46. A Business as a System

48. Components of an IS

49. Information System Resources Information System Resources People Information Hardware Networks Software Data

51. Basic IS Activities Output Input Processing Storage Control