1. Unit 1:
Introduction to Information System
Prepared by : Prof. Sin Sovanna
Updated : 01-Mar-2013
1MIS/UT.1/UD: 01-Mar-2013

2. Unit Outline
Introduction
I. History of information systems
II. Introduction to Computer Architecture
III. Introduction to Communication Architecture
IV. The Evolution in Computer Application
V. Information System Users
VI. Managers As Information System Users
VII. The Roles of Information in Management Problem Solving
VIII. The Future of Information Technology
2MIS/UT.1/UD: 01-Mar-2013

3. Computer have been used for business application since mid-
1950s. Since then, dramatic improvement have been made in
both hardware and software, making it possible for the benefit of
computer processing to be enjoyed by individuals as well as
organizations.
The first widely marketed at the U.S census bureau in 1951
and then at General Electric (GE) in 1954. International
Business Machine (IBM) quickly responded with a complete
product line that led to the system in the 1960s, The first
computer to support Multiple users at the same time.
Introduction
3MIS/UT.1/UD: 01-Mar-2013

4. Minicomputer which were smaller than large mainframes
and popular with scientific users, appeared in the 1970s, it didn’t
take long for the trend to smaller computers to gain momentum.
Computer began as machines that were as large as a room.
These computer performed simple tasks such as adding numbers
quickly. Vicuum tubes the size of small light provided much of
the circuitry. Transistors and chips on silicon interface replaced
those early electronics, and the resulting lower manufacturing
costs led to a growing demand for computers. The processing
speed is slow and operate in once time. The heat is easier
increase of operating.
Introduction (Continued)
4MIS/UT.1/UD: 01-Mar-2013

5. Although, the many of scientist had discovered many ways
for solve Computer processing speeds have continued to
increase as the size of computer circuits has decreased. Because
the speed of electricity moving through the circuits is constant,
decreasing the size of computer circuit by halt will double its
speed. The guiding principle of computer circuit design,
miniaturization, continues to increase computer-processing
speeds and decrease computer costs.
Introduction (Continued)
5MIS/UT.1/UD: 01-Mar-2013

6. Communications and computers go hand-in-hand.
Communication between computers has increased as computer
use has grown. Communication has leapt from simple
transmission down copper wires to the realm of wireless radio
waves and fiber-optics.
The first business applications involved the processing of
accounting transactions. Once accounting
transaction processing systems were in place,
firms shifted their systems focus to providing
information to the firm’s managers for problem
solving.
The future of information technology
indicates a continued trend toward decreasing
size and increasing mobility.
Introduction (Continued)
6MIS/UT.1/UD: 01-Mar-2013

7. The history of information system includes a look back how
hardware has involved and how it has been applied over time. In
the half century, digital computer was installed in a business
organization, hardware has experienced many-fold increases in
speed and capacity along with dramatic reductions in size.
I. History of information systems
7MIS/UT.1/UD: 01-Mar-2013

8. 1. The Evolution in Computer Hardware
• Computer as we know today can be traced back to a machine
called Electronic Numerical Integrator and Calculator (ENIAC).
Which was developed in 1946 by John W.Mauchly and J.Presper
Eckert, two engineers at the University of Pennsylvania. The first
ENIAC I was installed in a government organization, the U.S
Census Bureau, in 1951.
• 3 years later, the same type of machine was installed in the first
business organization, General Electric (GE).
I. History of information systems (Continued)
8MIS/UT.1/UD: 01-Mar-2013

9. These machines performed fewer than 2000 calculations per
second, which is extremely slow compared to the 2 billion or
more instructions per second that are common for today’s
smallest and least expensive microcomputers. These early
computers, called mainframes focused on a single task requested
by a single user. The term mainframes is still in used today, but
now used to described the large, found in large organization.
I. History of information systems (Continued)
9MIS/UT.1/UD: 01-Mar-2013

10. 2. Smaller Computers
During the early years of computing, in most firms the
computer department monopolized the computers. Users were
not allowed to access the computers, which were housed in the
central computing facility. Users had to communicate their
information needs to Information Specialists.
Employees who have a full time responsibility for
developing and operating information systems. The information
specialists are systems analysts, programmers, database
administrators, network specialists, and webmasters
I. History of information systems (Continued)
10MIS/UT.1/UD: 01-Mar-2013

11. The first small-scale systems were called microcomputer or
micro. Micro was seen as a computer that could be owned and
operated by an individual. Apple & The Tandy Corporation were
pioneers in the microcomputer market.
I. History of information systems (Continued)
11MIS/UT.1/UD: 01-Mar-2013

12. When the people think of computers, they often think of the
collection of the computer processor and input and output
devices. The largest mainframe computer and the personal
computer on your desk have a similar architecture.
Hardware is controlled by the operating system.
Application Software performs tasks for the user. At the core of
a computer is its processor. The processor, which is controlled
by an operating system such as Window 7, manages the input
and output devices, data storage devices and operations on the
data.
II. Introduction to Computer Architecture
12MIS/UT.1/UD: 01-Mar-2013

13. CPU controls all the other components. Random Access
Memory (RAM) acts as the temporary workspace for the CPU:
the greater the work area, the more quickly the CPU can
accomplish its tasks. The CD-ROM, USB flash drives and hard
disk (also know as the hard drive) are storage devices.
II. Introduction to Computer (Continued)
13MIS/UT.1/UD: 01-Mar-2013

14. Communication between computers are constrained by the
fact that telephone communications between people came first.
Telephone communication standards and procedures were never
meant to accommodate the extremely fast digital
communications required between computers.
III. Introduction to Communication Architecture
14MIS/UT.1/UD: 01-Mar-2013

15. Any computer that uses the public telephone system to
communicate with other computers requires a modem. A
modem is a hardware device that modulates the digital signals
from a computer (either on or off, like a light switch) into analog
signals (a continuous wave, such as the sound of a voice) and
vice versa. Now computers can communicate over wireless
networks.
The wireless revolution continues. However, the single
cloud on the horizon of wireless communications is security.
III. Introduction to Communication… (Continued)
15MIS/UT.1/UD: 01-Mar-2013

16. Information systems are virtual systems that enable
management to control the operations of the physical system of
the firm.
The Physical System of the firm consists of tangible
resources: materials, personnel, machines, and money.
The Virtual System consists of the information resources
that are used to represent the physical system.
IV. The Evolution of Computer Applications
16MIS/UT.1/UD: 01-Mar-2013

17. For example, an inventory storeroom containing inventory
items is a physical system, and the computer-based inventory
master file is a virtual system that represents the physical system.
The physical system of the firm is an Open System that
interacts with its environment by means of physical resources
flows. An information system is also an open system. A closed
system is one that does not communicate with its environment.
IV. The Evolution of Computer App…(Continued)
17MIS/UT.1/UD: 01-Mar-2013

18. 1. Transaction Processing Systems
Data consist of facts and figures that are generally unusable
because of their large volume and unrefined nature. Precomputer
system processed payroll, inventory, billing data and general
ledger transactions.
The first computer-based systems were called Electronic
data processing (EDP) systems. Today, the term transaction
processing system is common, Such systems share a common
bond in that they process data that reflect the activities of the
firm.
IV. The Evolution of Computer App…(Continued)
18MIS/UT.1/UD: 01-Mar-2013

19. For
IV. The Evolution of Computer App…(Continued)
19MIS/UT.1/UD: 01-Mar-2013

20. 3. Management Information System:
MIS as the computer-based system that makes information
available to users with similar needs. MIS users usually comprise
a formal organization entity the firm or a subsidiary submit.
IV. The Evolution of Computer App…(Continued)
20MIS/UT.1/UD: 01-Mar-2013

21. 4. Virtual Office Systems:
In 1964, Computer Technology was applied to office tasks
when IBM introduced and Electronic typewriter with a
magnetic-tape capability. The application was called Word
Processing. This was the beginning of Office automation,
which use of electronic to facilitate communication. Additional
applications include E-mail, Voice mail, audio,
Videoconferencing and fax transmission.
IV. The Evolution of Computer App…(Continued)
21MIS/UT.1/UD: 01-Mar-2013

22. 5. Decision Support Systems (DSS)
DSS is a system that assists a single manager or a small
group of managers to solve a single problem. An example is a
DSS designed to help a sale manager determine the best
commission rate for the sale force. DSS outputs were originally
produced from a relational database and included periodic and
special reports and outputs from mathematical models.
Recent additions to DSSs include artificial intelligence and
on-line analytical processing. Artificial intelligence (AI) is the
science of providing computers with the ability to display
behavior similar to that of an intelligent human.
IV. The Evolution of Computer App…(Continued)
22MIS/UT.1/UD: 01-Mar-2013

23. 6. Enterprise Resource Planning Systems:
Enterprise Resource Planning (ERP) System is a computer-
based system that enables the management of all of the firm’s
resources on an organization-wide basis.
There are some components
of ERP System such as:
a. Sale
b. A/C Receivable
c. A/C Payable
d. Purchase
e. Inventory
f. HRM/Project/Worker/Doc
g. Payroll, Manufacturing…etc.
IV. The Evolution of Computer App…(Continued)
23MIS/UT.1/UD: 01-Mar-2013

24. The first user of computer output were clerical employees in
the accounting area. Some information, such as that produced as
a by-product of accounting applications, was also made available
to managers. The MIS concept, emphasis shifted from data to
information and from clerical employees to problem solvers.
However, IS will emphasize the use of MISs by managers.
The reason for this approach is that before long you will be a
Manager, and the purpose of the text is to prepare your to use
firm’s computer resources so that you will become a successful
Manager.
V. Information System Users
24MIS/UT.1/UD: 01-Mar-2013

25. Because managers are individuals, their information needs
vary widely. However, some useful frameworks have been
developed that make it possible to address the role of
information in problem solving. Managers have to understand
the real managerial framework upon modern organization are
based.
VI. Managers As information System Users
25MIS/UT.1/UD: 01-Mar-2013

26. 1. Where Managers are found
Managers exist on various managerial levels and within
various business areas of the firm.
Management Level Management theorist Robert N. Anthony
coined names for the three primary management levels: Top,
Middle and Lower.
VI. Managers As information System…(Continued)
26MIS/UT.1/UD: 01-Mar-2013

27. A. Top: Managers at the top of the organizational hierarchy,
such as the president and vice president, are often referred to as
being on the Strategic Planning Level, recognizing the fact that
their decisions will often impact the entire organization for years
to come.
B. Middle: Manager include regional managers, Product
Directors, are often referred to as being on the Management
Control Level, because mid-level managers have to responsible
to put the plans into action and ensure that goals are met.
C. Lower: This lowest level has been called the Operational
Control Level, because it is here that the firm’s operations
actually occur.
VI. Managers As information System…(Continued)
27MIS/UT.1/UD: 01-Mar-2013

28. Business Areas in addition to the organization levels,
managers can be found in various business areas. The three
traditional business areas are marketing, manufacturing, and
finance.
VI. Managers As information System…(Continued)
28MIS/UT.1/UD: 01-Mar-2013

29. VI. Managers As information System…(Continued)
29MIS/UT.1/UD: 01-Mar-2013

30. 2. What Managers Do
a. Management Function:
Around 1914, the theorist of Luther Gulick (POSDCORB):
P: Planning
O: Organising
S: Staffing
D: Directing
CO: Coordinating
R: Reporting
B: Budgeting
VI. Managers As information System…(Continued)
30MIS/UT.1/UD: 01-Mar-2013

31. b. Managerial Roles:
Henry Mintzberg, a professor at McGill University in
Montreal. He developed a more detailed framework that involve
interpersonal, informational, and decisional activities.
These management functions and managerial roles provide
useful frameworks when designing information systems to
support managers in decision making.
.
VI. Managers As information System…(Continued)
31MIS/UT.1/UD: 01-Mar-2013

32. 1. Interpersonal Roles:
A. Figurehead: The manager performs ceremonial duties of
facilities.
B. Leader: The manager maintains the unit by hiring and training
the staff and providing motivation and encouragement.
C. Liaison: The managers makes the contract with managers
outside the manager’s own unit, peers and others in the unit’s
environment, for the purpose of attending to business matters.
VII. The Roles of Information in Management
Problem Solving
32MIS/UT.1/UD: 01-Mar-2013

33. 2. Information Roles:
A. Monitor: The manager constantly looks for information
bearing on the performance of the unit.
B. Disseminator: The manager passes valuable information along
to others in the unit.
C. Spokesperson: The manager passes valuable information
along to those outside the units.
VII. The Roles of Information in Management
Problem Solving (Continued)
33MIS/UT.1/UD: 01-Mar-2013

34. 3. Decisional Roles:
A. Entrepreneur: The manager makes rather permanent
improvements to the unit, such as changing the organizational
structure.
B. Disturbance handler: The manager reacts to unanticipated
events, such as the devaluation of the dollar in a foreign country
where the firm has operations.
C. Resource allocator: The manager controls the purse strings of
the unit, determining which subsidiary units get which resources.
D. Negotiator: The manager resolves disputes both within the
unit and between the units and its environment.
VII. The Roles of Information in Management
Problem Solving (Continued)
34MIS/UT.1/UD: 01-Mar-2013

35. The future of information technology will be driven by the
reduced cost and increased power of both computers and
communications. The power of computes is measured in
processing speed, storage capacity, and variety of input and out
devices. Communications power is measured by cost and
transmission speed, such as the amount of data that can be
communicated in a specific amount of time.
These advances indicate that in the future computing will be
low cost, small in size, mobile, and connected. To take
advantage of these new possibilities, managers must learn to
incorporate information system into decision making.
VIII. The Future of Information Technology
35MIS/UT.1/UD: 01-Mar-2013

36. 36
REQUIRED READINGS:
1. Read text book, MIS of Peason Education, 10th Edition.
2. Read: Unit 1 in Prof. Sin Sovanna’s MIS READING MATERIALS
dated: 01st Mar, 2013.
REVIEW QUESTIONS:
1. What is an information specialist? Provide four examples
2. What are the main functions of CPU and RAM?
3. What is management function? Explain the elements of it?
4. How does the focus of a DSS differ from that of an MIS?
5. Why are group decision support systems important?
MIS/UT.1/UD: 01-Mar-2013