The document provides an overview of information systems (IS), defining them as organized combinations of people, technology, and processes that manage and process information in organizations. It discusses the differences between data and information, details the components of IS, and outlines the phases of systems development, including methodologies like the waterfall and spiral models. The document highlights the importance of these systems across various sectors, emphasizing their role in effective decision-making and organizational operations.

1. Chapter 1
Fundamentals of Information
Systems

2. Chapter Highlights
Overview of IS
Data vs. Information
IS building blocks
IS development phases
IS development methodologies

3. Overview of IS
What is information system?
An information system (IS) can be any organized
combination of
 People
 Hardware
 Software
 communications networks
 data resources
 policies and procedures that stores, retrieves, transforms,
and disseminates information in an organization

4. Cont….
Information systems have become the backbone of most
organizations such as:-
• Bank
• Supermarkets
• health care
• Education
• Government
• Manufacturing
• Finance etc……..

5. Cont…..
• The standard definition is that an information system manages
and processes information.
• An information system is a software system to capture,
transmit, store, retrieve, manipulate, or display information,
thereby supporting people, organizations, or other software
systems.
An information system (IS) is a set of interrelated elements or
components that
 collect (input),
 manipulate (process),
 store, and disseminate (output) data and information and
provide a corrective reaction (feedback mechanism) to meet an
objective.

6. Cont…..
Input, Processing, Output, Feedback
Input:- In information systems, input is the activity of
gathering and capturing raw data.
processing :-In information systems, processing means
converting or transforming data into useful outputs.
 Processing can involve making calculations, comparing data
and taking alternative actions, and storing data for future use.
Output:- In information systems, output involves producing
useful information, usually in the form of documents and
reports.
Feedback:- In information systems, feedback is information
from the system that is used to make changes to input or
processing activities.

7. Cont….

8. Computer-based information system (CBIS)
• An information system can be manual or computerized.
Computer-based information system (CBIS) is a single
set of
 hardware,
 software,
 databases,
 telecommunications,
 people, and procedures that are configured to collect,
manipulate, store, and process data into information.

9. Cont…..
Information technology (IT) refers to hardware, software,
databases, and telecommunications.
 Hardware consists of the physical components of a
computer that perform the input, processing, storage, and
output activities of the computer.
 Software consists of the computer programs that govern
the operation of the computer.
 A database is an organized collection of facts and
information, typically consisting of two or more related
data files.
 Telecommunications is the electronic transmission of
signals for communications.

10. Cont….
• Networks connect computers and equipment in a
building, around the country, or around the world to
enable electronic communication.
• The Internet is the world’s largest computer network,
consisting of thousands of interconnected networks, all
freely exchanging information.

11. Data vs.Information
What is data?
The concept of data is commonly referred to as ‘raw’ data – a
collection of
 text,
 numbers and
 symbols with no meaning.
Data therefore has to be processed, or provided with a context,
before it can have meaning.
Example
• 3, 6, 9, 12
• cat, dog, rabbit,
• 161.2, 175.3, 166.4, 164.7, 169.3

12. Cont….
What is information?
Information is the result of processing data, usually by
computer.
 This results in facts, which enables the processed data to be
used in context and have meaning.
 Information is data that has meaning.
When does data become information?
 Data on its own has no meaning.
 It only takes on meaning and becomes information when it is
interpreted.
 When that data is processed into sets according to context, it
provides information.

13. Cont…..
 Data in a meaningful form becomes information.
Data + Meaning = Information
Only when we assign a context or meaning does the data
become information. It all becomes meaningful when we are
told:
• 3, 6, 9 and 12 are the first four answers in the 3 x table
• cat, dog, rabbit is a list of household pets
• 161.2, 175.3, 166.4, 164.7, 169.3 are the heights of 15-year-old
students.

14. Cont….

15. Cont….
What is knowledge?
knowledge is produced as a result of understanding
information.
Knowledge can therefore be:
• acquiring and remembering a set of facts, or
• the use of information to solve problems.
How are data, information and knowledge linked?
If we put Knowledge into an equation it would look like
this:
Information + application or use = Knowledge

16. Cont….
• If we now apply this information to gain further
knowledge we could say that:
• 4, 8, 12 and 16 are the first four answers in the 4 x table
(because the 3 x table starts at three and goes up in threes
the 4 x table must start at four and go up in fours)
• The tallest student is 175.3cm.
• A lion is not a household pet as it is not in the list and it
lives in the wild.

17. IS building blocks
• The four components of an information system

18. Cont…..
An information system is defined as a socio-technical
system comprised of two sub-systems:
 a technical sub-system and
 a social sub-system.
The technical sub-system encompasses the technology
and process components.
while the social sub-system encompasses the people and
structure components.

19. Cont….
Information technology
Modern organizations increasingly rely on information
technology as the core of their information systems.
We define information technology to include
 hardware,
 software and
 telecommunication equipment that is used to capture,
process, store and distribute information.

20. Cont…..
Process
A process is the set of steps employed to carry out a specific
business or organizational activity.
People
The people component of an information system encompasses
all those individuals who are directly involved with the system.
These people include the managers who define the goals of the
system, and the users.
Structure
The structure (or organizational structure) component of
information systems refers to the relationship among the
individuals in the people component.

21. IS development phases
Systems development is the activity of creating or
modifying information systems.
Systems development life cycle is a methodology that
also forms the framework for planning and controlling
the
 creation,
 testing, and
 delivery of an information system.
It consists of a set of steps or phases in which each phase
of the SDLC uses the results of the previous one.

22. Stages of system development
1. Project Selection
One must know what the problem is before it can be solved.
2. Feasibility Study
A feasibility study is a test of a system proposal according to its
workability.
Impact on the organization, ability to meet user needs, and
effective use of resources.
It focuses on three major questions:
1. What are the user’s demonstrable needs and how does a
candidate system meet them?
2. What resources are available for given candidate systems? Is the
problem worth solving?
3. What is the likely impact of the candidate system on the
organization? How well does it fit within the organization’s master
MIS plan?

23. Cont….
The objective of feasibility study is not to solve the
problem but to acquire a sense of its scope.
The result of the feasibility study is a formal proposal. Its
scope.
The proposal summarizes what is known and what is
going to be done. It consists of the following:
1- Statement of the problem
2- Summary of findings and recommendations
3- Recommendations and conclusions

24. Cont…
3-System Analysis
Analysis is a detailed study of the various operations
performed by a system and their relationships within and
outside of the system.
A key question is, what must be done to solve the
problem?
In this step we will established system requirement and
the most traditional ways to determined requirement is:
 Interview and listening
 Questionnaires
 Group meeting
 Watch and note

25. Cont…..
4-System design
Based on the user requirements and the detailed analysis of the
existing system, the new system must be designed.
It is the most crucial phase in the developments of a system.
The logical system design arrived at as a result of systems
analysis is converted into physical system design. Normally,
The design proceeds in two stages:
 Preliminary or General Design
 Structured or Detailed Design
Preliminary or General Design: In the preliminary or general
design, the features of the new system are specified.
Structured or Detailed Design: In the detailed design stage,
computer oriented work begins in earnest.

26. IS development methodologies
Information system development method is a general
technique and procedures that is been followed in stages
by system developers in the process of building a system.
There are different types of information system
development method which will be stated below.
The Waterfall Method
One of the easiest and straight forward information
systems development method .
Each stage of the activity stated have to be hundred
percent accomplished before the following section can be
done.

27. Cont….

28. Cont…
Advantages of waterfall model:
This model is simple and easy to understand and use.
It is easy to manage due to the rigidity of the model
In this model phases are processed and completed one at
a time.
Waterfall model works well for smaller projects where
requirements are very well understood.

29. Cont…
Disadvantages of waterfall model:
it is very difficult to go back and change something
No working software is produced until late during the life
cycle.
High amounts of risk and uncertainty.
Not a good model for complex and object-oriented
projects.
Poor model for long and on-going projects.
Not suitable for the projects where requirements are at a
moderate to high risk of changing

30. Cont….
The Spiral Method
This also has series of activities that have to be done one
after the other but in a different approach.
The spiral method combines the important features of
both the waterfall method and the prototyping method
and most concerned about risk analysis.
the spiral method has four stages compared to the
waterfall and system development life cycle method
which is in the stated order, determine objective, identify
and resolve risk, development and testing then finally
plan the next execution.

31. Cont…..

32. Cont…
Advantages
• Additional functionality or changes can be done at a later
stage
• Cost estimation becomes easy as the prototype building is
done in small fragments
• Continuous or repeated development helps in risk
management
• Development is fast and features are added in a
systematic way in Spiral development
• There is always a space for customer feedback

33. Cont…..
Disadvantages
• Risk of not meeting the schedule or budget
• Spiral development works best for large projects only
also demands risk assessment expertise
• For its smooth operation spiral model protocol needs to
be followed strictly
• Documentation is more as it has intermediate phases
• Spiral software development is not advisable for smaller
project, it might cost them a lot.

34. Cont….
System Development Life Cycle (SDLC) Method
Series of activities followed in a circular other in stages
through which every developer, database designer and
project manager pass through as to develop an
information system.
It is the overall cognitive process that takes place in the
development of information systems in a gradual manner
until there is an achievement of the best quality in the
development of a system.
It also has some limitations which includes not meeting
the user‘s requirements, not been stable, having lack of
control and also having problems with documenting.

35. Cont…

36. Thank you!!
Quiz
1. What is information system?
2. Describe data and information with their difference.