Foundations of Information Systems chap 1 sammary
Trends in Information Systems
1- 1960: Until the 1960s, the role of most information systems was simple: transaction processing, record keeping, accounting, and other electronic data processing (EDP) applications. Then another role was added, namely, the processing of all these data into useful, informative reports. Thus, the concept of management information systems (MIS)was born. This new role focused on developing business applications that provide managerial end users with predefined management reports that would give managers the information they needed for decision-making purposes. 2- 1970: By the 1970s, it was evident that the standard "off-the-shelf" information products produced by management information systems were not adequately meeting the decision-making needs of management, so the concept of decision support systems(DSS) was born. The new role for information systems was to provide managers with ad hoc, interactive support of their decision-making processes. This support would be tailored to the unique decisions and decision-making styles of managers as they confronted specific types of problems in the real world. 3- 1980: In the 1980s, several new roles for information systems appeared. First, the rapid development of microcomputer processing power, application software packages, and telecommunications networks gave birth to the phenomenon of end-user computing. End users could now use their computing resources to support their job requirements instead of waiting for the indirect support of centralized corporate information services departments. Second, it became evident that most top corporate executives did not directly use(read "have time to use") either the voluminous reports from management information systems or the complex analytical modeling capabilities of decision support systems, so the concept of executive information systems (EIS) developed. These "executive summary" information systems were created to give top executives an easy way to get the critical information they wanted, when they wanted it, and tailored to the formats they preferred 4- 1990s: the concept of a strategic role for information systems, sometimes called strategic information systems (SIS). In this concept, information technology becomes an integral component of business processes, products, and services that help a company gain a competitive advantage in the global marketplace. 5- The mid- the to late 1990s saw the revolutionary emergence of enterprise resource planning (ERP) systems. This organization-specific form of a strategic information system integrates all facets of a firm, including its planning, manufacturing, sales, resource management, customer relations, inventory control, order tracking, financial management, human resources, and marketing—virtually every business function. The primary advantage of these ERP systems lies in their common interface for all computer-based organizational functions and their tight integration and data sharing, necessary for flexible strategic decision making. 6- We are also entering an era where a fundamental role for IS is a business intelligence(BI). BI refers to all applications and technologies in the organization that are focused on the gathering and analysis of data and information that can be used to drive strategic business decisions. Through the use of BI technologies and processes, organizations can gain valuable insight into the key elements and factors—both internal and external—that affect their business and competitiveness in the marketplace.
Managerial Challenges of Information Technology
1- Business / IT Challenges 2- Business/IT Developments 3- Business/IT Goals
inbusiness, if you are not in an IT career,you will work regularly with professionals
1- Employment opportunities in IS are strong 2- The marketplace is demanding a business technologist with a big "B" and a big "T." The world of the IS professional is filled with constant challenge, variety, social interaction, and cutting-edge decision making. 3- According to recent reports by the U.S. Department of Labor, computer systems analysts, database administrators, and other managerial-level IS positions are expected to be among the fastest-growing occupations
Other Categories of Information Systems
1- Expert systems. Knowledge-based systems that provide expert advice and act as expert consultants to users 2- Knowledge management systems. Knowledge-based systems that support the creation,organization, and dissemination of business knowledge within the enterprise. 3- Strategic information systems. Support operations or management processes that provide a firm with strategic products, services, and capabilities for competitive advantage. 4- Functional business systems. Support a variety of operational and managerial applications of the basic business functions of a company.
A framework that outlines the major areas of information systems knowledge needed by business professionals
1- Foundation Concepts (Fundamental behavioral, technical, business, and managerial concepts about the components and roles of information systems.) 2- Information Technologies (Major concepts, developments, and management issues in information technology—that is, hardware, software, networks, data management, and many Internet-based technologies.) 3- Business Applications (The major uses of information systems for the operations, management, and competitive advantage of a business) 4- Development Processes (How business professionals and information specialists plan, develop, and implement information systems to meet business opportunities) 5- Management Challenges (The challenges of effectively and ethically managing information technology at the end-user, enterprise, and global levels of a business)
Business/IT Goals (related to point 19)
1- Give customers what they want,when and how they want it, at the lowest cost. 2- Coordination of manufacturing and business processes with suppliers and customers. 3- Marketing channel partnerships with suppliers and distributors.
What solutions are available for legacy systems?
1- Many companies would undertake a massive system development effort at this point. They would obtain requirements for a new set of applications, which would be designed and either coded or acquired, then tested and implemented.And then would come training, data conversion, implementation rollouts, and the like. 2- the second way is made by some tools (which used to be called "screen scrappers") by vendors such as IBM, Attachmate, and Rocket Seagull Software that put a web-browser front-end between the old green screens of yore and the users of today. These Tools capture the data directly from the legacy system and present it to users in an appealing graphical interface developed with current technologies and standards, while minimizing the amount of tinkering necessary in the background
What are some other System Characteristics
1- Noterm-21te that a system does not exist in a vacuum; rather, it exists and functions in an environment containing other systems. If a system is one of the components of a larger system, it is referred to as a subsystem, and the larger system is its environment. 2- an open system, that is, a system that interacts with other systems in its environment. (closed systems do not interact with other systems) 3- an adaptive system. that is, a system that has the ability to change itself or its environment to survive
Business / IT Challenges (related to point 19)
1- Speed and flexibility requirements of product development, manufacturing, and delivery cycles. 2- Reengineering and cross-functional integration of business processes using Internet technologies. 3- Integration of e-business and e-commerce into the organization's strategies,processes, structure, and culture
The Fundamental roles of IS in Business
1- Support of business processes and operations. 2- Support of decision making by employees and managers 3- Support of strategies for competitive advantage
Business / IT Developments (related to point 19)
1- Use of the Internet, intranets,extranets, and the Web as the primary IT infrastructure. 2- Diffusion of Web technology tointernetwork employees,customers, and suppliers 3- Global networked computing,collaboration, and decision support systems.
types of information systems
1- operations support systems 2- management support systems
What skills should a business analyst bring to the firm? (related to point 30)
A good business analyst is able to create a solution to a particular business problem and act as a bridge to the technologists who can make it happen. Without the BA role, CIOs are at significant risk that their projects will not solve the business problem for which they were intended
Success and Failure with IT
By now you should be able to see that the success of an information system should not be measured only by its efficiency in terms of minimizing costs, time, and the use of information resources. Success should also be measured by the effectiveness of the information technology in supporting an organization's business strategies, enabling its business processes, enhancing its organizational structures and culture, and increasing the customer and business value of the enterprise.
Network Resources (related to point 41)
Communications Media- the physical pathways over which signals travel Network Infrastructure - hardware,software, and data technologies needed to support communications networks
what is Control? (related to point 37)
Control involves monitoring and evaluating feedback to determine whether a system is moving toward the achievement of its goal.
Data Resources (related to point 41)
Data - unorganized facts and figures Information - data organized so that it has value to the organization
Developing IS Solutions
Developing successful information system solutions to business problems is a major challenge for business managers and professionals today. As a business professional, you will be responsible either for proposing, assisting with development, or developing new or improved uses of information technologies for your company. As a business manager, you will frequently manage the development efforts of information systems specialists and other business end-users. steps for developing IS solutions:- 1- Investigate (Plan) - recognize the problem exists 2- Analyze - investigate the current system 3- Design - designing the new system 4- Implement - put the new system into effect 5- Maintain (Use) - use, monitor, and maintain the new system
E-commerce
E-commerce is the buying, selling, marketing, and servicing of products, services,and information over a variety of computer networks. Many businesses now use the Internet, intranets, extranets, and other networks to support every step of the commercial process, including everything from advertising, sales, and customer support on the World Wide Web to Internet security and payment mechanisms that ensure completion of delivery and payment processes.
Enterprise collaboration systems
Enterprise collaboration systems involve the use of software tools to support communication, coordination, and collaboration among the members of networked teams and workgroups.
what is Feedback? (related to point 37)
Feedback is data about the performance of a system.
Information systems
Information systems constitute an essential field of study in business administration and management, which is why most business majors include a course in information systems.
Information System Activities
Input:. Optical scanning of bar-coded tags on merchandise. Processing: Calculating employee pay, taxes, and other payroll deductions. Output: Producing reports and displays about sales performance. Storage: Maintaining records on customers, employees, and products. Control: Generating audible signals to indicate proper entry of sales data.
Components of Information Systems
People, hardware, software, peripherals, and networks. They have clearly defined boundaries.
Software Resources (related to point 41)
Procedures - instructions on how to use the system Programs - instructions that tell the computer what to do types of Programs/softwares:- 1- System Software - runs the computer 2- Application Software - a particular use by end users
Support of Business Decision Making. (related to point 7)
Support of Business Decision Making. Information systems also helpstore managers and other business professionals make better decisions. For Example, decisions about what lines of merchandise need to be added or discontinued and what kind of investments they require are typically made after an analysis provided by computer-based information systems. This Function not only supports the decision making of store managers, buyers,and others, but also helps them look for ways to gain an advantage over other retailers in the competition for customers.
Support of Business Processes and Operations. (related to point 7)
Support of Business Processes and Operations. As a consumer, you regularly encounter information systems that support the business processes and operations at the many retail stores where you shop. For example, most retail stores now use computer-based information systems to help their employees record customer purchases, keep track of inventory, pay employees, buy new merchandise, and evaluate sales trends. Store operations would grind to a halt without the support of such information systems.
Support of Strategies for Competitive Advantage. (related to point 7)
Support of Strategies for Competitive Advantage. Gaining a strategic advantage over competitors requires the innovative application of information technologies. For example, store management might make a decision to install touch-screen kiosks in all stores, with links to the e-commerce Web site for online shopping. This offering might attract new customers and build customer loyalty because of the ease of shopping and buying merchandise provided by such information systems. Thus, strategic information systems can help provide products and services that give a business a comparative advantage over its competitors.
The Internet and related technologies and applications
The Internet and related technologies and applications have changed the ways businesses operate and people work, as well as how information systems support business processes, decision making, and competitive advantage. Thus, many businesses today are using Internet technologies to Web-enable their business processes and create innovative e-business applications
Why is a business analyst important? (related to point 30)
The business analyst is a hot commodity right now dueto business reliance on technology
The IS Function
The successful management of information systems and technologies presents major challenges to business managers and professionals. Thus, the information systems function represents: 1- A major functional area of business equally as important to business success as the functions of accounting, finance, operations management, marketing, and human resource management. 2- An important contributor to operational efficiency, employee productivity and morale, and customer service and satisfaction. 3- A key component of the resources, infrastructure, and capabilities of today's networked business enterprises. 4- A strategic resource.
feedback and control
The system concept becomes even more useful by including two additional elements:feedback and control. A system with feedback and control functions is sometimes called a *cybernetic system*, that is, a system that is both self-monitoring and self-regulating. Again, it sounds kind of like the way we function
management support systems (related to point 15)
When information system applications focus on providing information and support for effective decision making by managers, they are called management support systems. examples of management support systems are:- 1- Management information systems (MIS) provide information in the form of reports and displays to managers and many business professionals. 2- Decision support systems (DSS) give direct computer support to managers during the decision-making process 3- Executive information systems. Provide critical information from MIS, DSS, BI, and other sources tailored to the information needs of executives.
What Is a System?
a system is defined as 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. Systems have three basic functions:- 1- Input: involves capturing and assembling elements that enter the system to be processed. 2- Processing: involves transformation processes that convert input into output. 3- Output: involves transferring elements that have been produced by a transformation process to their ultimate destination.
What is the role of a business analyst? (related to point 30)
business analyst is a liaison, bridge, and diplomat who balances the oftentimes incongruous supply of IT resources and demands of the business.
Why is a legacy system a problem?
business needs may have changed, and there are new functions that the system can no longer perform. Documentation is often missing or outdated, and the original developers are long gone. Current IT staff are not entirely sure how the old system works.
Challenges and Ethics of IT - what is improper, irresponsible, or harmful?
fig 1.14 page 19
operations support systems (related to point 15)
help run the daily business, but do not provide much information for managerial decision-making examples of operations support systems are:- 1- Transaction processing systems that record and process the data resulting from business transactions 2- Process control systems monitor and control physical processes. 3- Enterprise collaboration systems enhance team and workgroup communication and productivity and include applications that are sometimes called office automation systems
what is an information system?
information system (IS) can be any organized combination of people, hardware, software, communications networks, data resources, and policies and procedures that stores, retrieves, transforms, and disseminates information in an organization. examples are:- 1- Smoke signals for communication 2- Card catalogs in a library 3- Your book bag, day planner, notebooks, and file folders 4- The cash register 5- A paper-based accounting ledger
Responsibility and Accountability for Project Success(and Failure)
page 17 in chapter 1
Why are these skills important? (related to point 30)
the more business technology analysts that are working in the business, the better off the CIO and IT function will be—whether the business technology analysts are reporting into IT or the business side. That's because those IT-savvy analysts, who will have a more in-depth understanding of and more expertise in technologies, will ultimately help the business make better decisions when it comes to its interactions with IT
Welch's: Balancing Truckloads With Business Intelligence
the story could be found in pages 8, and 9 of chapter 1
What is a legacy system?
those technologies that were developed long ago and that, while still working today, are lacking in one or more major aspects.
e-business
we define e-business as the use of Internet technologies to work and empower business processes, e-commerce, and enterprise collaboration within a company and with its customers, suppliers, and other business stakeholders.
