This document discusses different types of software and systems. It begins by defining information systems, software, and hardware. Software is intangible and controls hardware, while hardware is tangible physical computer components. The document then discusses categories of software like applications software and systems software. It provides examples of different types of applications software used for various organizational functions. Systems software manages computer resources. The document also discusses topics like open source software, e-business/e-commerce, and how information systems support different levels of decision making in organizations.

1. Chapter 02
Software for
Information Management
By:MADDY.KALEEM
Lecturer: Sir Shafqatullah Shaikh

2. Information Systems, Software,
Hardware
• Information system
The combination of hardware and software technology
used by an individual to perform tasks including
information management
• Software - Intangible
The instructions or programs used to control a computer
system through interaction with hardware
• Hardware - Tangible
The physical components of a computer system such as its
input devices, processor, memory, storage and output
devices
Which is which?
(a) Windows, (b) Sage Accounts, (c) MS Office (d) A PC, (e) An
iPod or iPad (d) Smart

3. IT spend trends
Segment 2001 2002 2003
Hardware 327.4 323.3 338.8
Annual Growth (%) -13.1 -1.3 4.8
Software 74.2 76.9 81.8
Annual Growth (%) -5.7 3.6 6.5
IT Services 542.3 557.5 597.1
Annual Growth (%) 4.1 2.8 7.1
Telecom 1,282.9 1,344.6 1,445.4
Annual Growth (%) 1.9 4.8 7.5
Total Market 2,226.7 2,302.1 2,463.1
Annual Growth
(%)
-0.4 3.4 7.0
Table 2.1 Worldwide End-User Spending on IT Products and Services (Billions of
U.S. Dollars)
Source: Gartner (2002)
By:MADDY.KALEEM

4. Categories of software
Figure 2.1 Different categories of software
Renault (Car maker company) has an applications portfolio of 1,400
By:MADDY.KALEEM

5. Applications and systems software
Figure 2.2 The relationship between applications software and systems software
By:MADDY.KALEEM

6. Categories of applications software
Figure 2.3 Main categories of applications software (S.W) according to
organizational scope. Where Cognos is S.W used for data analysis and
modelling within Finance or marketing.
By:MADDY.KALEEM

7. How applications support decision making
(The Anthony model)
This model supports defines which application S.W are used to help the
higher authorities in decision making
Figure 2.4 Different forms of applications used to support management decision
making within an organization
By:MADDY.KALEEM

8. Anthony Model
• Information Systems can also be categorized as operational,
tactical (planning) and strategic, depending on their use as
per the Anthony model.
• This model proposes three levels in an organization;
operational, tactical and strategic.
• At the operational level, systems in use include Office
Automation Systems, Transaction Processing Systems and
Expert Systems.
• At the tactical(scheme) level, system use includes
Management Information Systems and Decision Support
Systems.
• Executive Information Systems and Decision Support Systems
are used at the strategic (high) level. By:MADDY.KALEEM

9. Types of systems software
Systems software manages the computer resources such as the memory and
processor.
Figure 2.8 Different categories of systems software
By:MADDY.KALEEM

10. Operating system functions
The functions of operating systems software include:
1. Managing the user interface (GUI).
2. Managing data transfer with hardware.
3. Managing the file system.
4. Managing access to systems resources (i.e. access
control /control panel).
5. Managing system resources (H.W or S.W) for different
applications.
6. Providing utilities (Supporting files / S.W) for systems
management.
By:MADDY.KALEEM

11. Operating system popularity
According to Google research on their users
Figure 2.9 Operating systems used to access Google, February 2004.
By:MADDY.KALEEM

12. Figure 2.10 Timeline of the main versions of Microsoft Windows
Windows Timeline
Here it provides information that when windows OS versions
came in the market
By:MADDY.KALEEM

13. Issues in software selection
1. Identify criteria and functionality for new system. The important criteria
in the next section will be identified.
2. Take the make, rent or buy decision. For most specialist application
software there is a choice of creating the software from scratch, renting
it online or purchasing it from a packaged software vendor.
3. Identify possible suppliers. A ‘longlist’ of perhaps five to ten suppliers
that can meet the requirements listed below will be drawn up by
searching on the web or from articles and ads in relevant magazines.
4. Produce a shortlist of preferred suppliers. A shortlist will be produced by
using a checklist to select the best suppliers from those that meet the
most requirements.
5. Select supplier from shortlist. There are a number of methods for finally
selecting the supplier which are dependent on the cost and importance
of the final system.
By:MADDY.KALEEM

14. 1 Software selection criteria
1. Functionality.
2. Ease of use.
3. Performance.
4. Scalability.
5. Compatibility or interoperability.
6. Extensibility.
7. Stability or reliability.
8. Security.
9. Support.
By:MADDY.KALEEM

15. To Open Source or Not?
Advantages of open-source software Counter-argument
1. Effectively free to purchase Cost of migration from existing systems may be high and
will include costs of disruption and staff training
2. Lower cost of maintenance since
upgrades free
There is not a specific counter-argument for this, but see
the disadvantages below
3. Increased flexibility Organizations with the resources can tailor the code.
Frequent patches occur through collaborative
development
Disadvantage of open-source software Counter-argument
1. Has less functionality than commercial
software
Simplicity leads to ease-of-use and fewer errors. Many
functions not used by the majority of users
2. More likely to contain bugs compared to
commercial software since not tested
commercially
Evidence does not seem to suggest this is the case.
The modular design need by collaborative development
enables problems to be isolated and resolved
3. Poor quality of support OSrganizations with the resources can fix problems
themselves since they have access to the code.
Companies such as IBM, SuSe and RedHat do offer
support for Linux for a fee
By:MADDY.KALEEM

16. E-business and E-commerce –
The impact on one industry - banking
Metric May 1995 Dec. 2002
Financial institutions with Web banking (WW) 1 6,000
Financial institutions with Web sites (WW) 50 14,000
Total online banking households (WW) 5 million 100 million
Total online banking households (US) 300,000 28 million
Monthly bank and credit card Web traffic (US) 100,000 50 million
Monthly credit apps submitted via Web (US) 0 1.5 million
* Sharing online banking report.
2 million bank accounts in America robbed – 2004
2006 52% of American households use online banks
By:MADDY.KALEEM

17. How important is E-business?
1. 25-44 year olds online (ever)?
• 21% 41% 61% 81%
1. Purchased products online, > £100 (3 months)
• 21% 41% 61% 81%
1. Industry Internet advertising spend?
• 0.25% 2.5% 12.5% 25%
By:MADDY.KALEEM

18. The Internet’s impact on you
• How many of you have purchased something
on the Internet in the last 6 months?
• How many times have you used the Internet
as an information source, before buying
offline?
• How many use Facebook or Myspace?
By:MADDY.KALEEM

19. E-commerce defined
‘All electronically mediated information exchanges
between an organization and its external stakeholders’
Examples:
– Buying books online (transactional)
– Selecting a car online (informational)
– Interacting with brand online (relationship building /
experiential, e.g. www.tango.com)
– Asking a customer service query, e.g. www.easyJet.com
By:MADDY.KALEEM

20. E-business defined
All electronically mediated information exchanges, both
within an organization and with external stakeholders
supporting the range of business processes
Examples:
– Purchasing from suppliers (e-procurement)
– A company intranet
– Supplying partners with information through an extranet
-
By:MADDY.KALEEM

21. The relationship between
E-business & E-commerce
Figure 2.13 The relationship between e-commerce and e-business
By:MADDY.KALEEM

22. Products purchased online
Figure 2.14 Product purchased and selected online in Europe, 2003 shown as a
percentage of Internet users
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23. Education UK Website
Figure 2.15 Education UK, the British Council web site promoting further and
higher education in the UK
By:MADDY.KALEEM

24. UCAS Website
Figure 2.19 UCAS (Universities and Colleges Admission services)
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25. A Blog example
Figure 2.20 An example of a web log for business people and researchers – The
Freedom of Information Act Blog
By:MADDY.KALEEM