Ch 1: Information Systems an overview

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User interface

(information) Must be flexible and easy to use Graphical user interfaces (GUIs)

Information Technologies

Achieve goals of information systems

What is an information system?

An integrated human-machine system that combines hardware, software, databases, and telecommunications networks. It collects and processes data into information used for decision making at all levels of the organization. ex: a university, teletech

BI

Business intelligence

What does an IS do?

Collects, processes, stores and distributes information / Captures, stores, retrieves, transforms, and disseminates information in an organization

Major Components of an IS

Data, database, process, and information

DBMS

Database Management System ex. Oracle

Logistics information system (LIS)

Designed to reduce the cost of transporting materials Maintains safe and reliable delivery

Porter's 5 forces

For analyzing an organization, its position in the marketplace, and how information systems could be used to make it more competitive Buyer power Supplier power Threat of substitute products or services Threat of new entrants Rivalry among existing competitors

Ultimate goal of an information system

Generate business intelligence (BI)

Process

Generates the most useful type of information for decision making: Generally includes transaction-processing reports and models for decision analysis Includes a wide range of models to support all levels of decision making

GUI

Graphical User Interface

Database

Heart of an information system: Collection of all relevant data organized in a series of integrated files Essential for the success of any information system Managed with database management system (DBMS): e.g., Oracle Reduces personnel time needed to gather, process, and interpret data manually

Supplier power

High when customers have fewer options Low when customers have more options Use information systems to make their products and services cheaper

Buyer power

High when customers have many choices Low when they have few choices Limit buyers' choices by offering services that make it difficult for customers to switch

Threat of substitute products or services

High when many alternatives for an organization's products or services available Add services to make organization more distinct Add fees to discourage customers from switching

Rivalry among existing competitors

High when many competitors occupy the same marketplace position Low when there are few competitors

Information System (IS) vs Information Technology (IT)

IS is all the components and resources necessary to deliver information and functions to the organization IT is hardware, software, networking and data management

Marketing information system (MKIS)

Improve marketing decisions Provide timely, accurate, and integrated information about the marketing mix

examples of IT

Internet Databases POS Systems RFID tags

Main difference between an intranet and the Internet

Intranets are private and the Internet is public

What is a system?

Is a set of interrelated components, With a clearly defined boundary, Working together to achieve a common set of objectives

Threat of new entrants

Low when duplicating a company's product or service is difficult Use focus strategies to ensure that this threat remains low

MIS

Management Information System

Manufacturing information system (MFIS)

Manages manufacturing resources Companies can reduce manufacturing costs, increase product quality, and improve inventory decisions

Information

Output of an information system Facts that have been analyzed by the process component second most important resource in any organization

Porter's 3 strategies for competitive advantage

Overall cost leadership Differentiation Focus

PIS and HRIS

Personnel information system (PIS) human resource information system (HRIS) Designed to provide information that helps decision makers in personnel carry out their tasks more effectively Use Web technologies

Types of IS

Personnel information system (PIS) human resource information system (HRIS) Logistics information system (LIS) Manufacturing information system (MFIS) Financial information system (FIS) Marketing information system (MKIS)

Financial information system (FIS)

Provides information to financial executives in a timely manner

Manager of Information Systems Services

Responsible for managing: Hardware Software Personnel within the information systems department

Enterprise systems

Supply chain management (SCM) Customer relationship management (CRM) Enterprise resource planning (ERP) Collaboration software

Quality of information

Timeliness Integration with other data and information Consistency and accuracy Relevance

data

input to the system

sources of data

internal external Can be collected in different forms: Aggregated Disaggregated time orientation


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