Mid-term test - Introduction To Business Information systems
The Hypertext Markup Language (HTML)
uses HTML tags to instruct a Web browser how data on a Web page should be laid out cosmetically on a user's screen. In other words, Web pages are composed of HTML, which is used to display text, images or other resources through a Web browse
The evolving workplace- Enhancing communication
Blogs, Wiki, Instant messaging, virtual worlds RSS, Media sharing, Social bookmarking, Social networking and Mashup.
Online Processing (TPS)
Computerized processing in which each transaction is processed immediately, without the delay of accumulating transactions into a batch.
Web 2.0 Tools
Blogs Wiki Instant messaging RSS Media sharing Social bookmarking Social networking Mashup
Executive Information systems (EIS)
Address nonroutine decisions (Requiring judgment, evaluation, and insight) Digital dashboard. Integrates information from multiple sources and presents it in a unified, understandable format.
Advantages and Disadvatages of the Functional (Silo) Perspective
Advantages: Allows optimization of expertise, Group like functions together for learning. Disadvantages: Not designed to communicate with other system, Variety of computing hardware platforms, Problem of knitting together (hodgepodge portfolio of discordant proprietary applications), Lack of integration, Multiple maintenance issues.
Executive-level managers
Aggregate summaries of past organizational data and projections of the future Improve organizational strategy and planning Executive Information Systems (EIS)
What does the information system provide and who are the environmental actors
An information system provides information about an organization and its surrounding environment
Operational manager or supervisor
Automate routine and repetitive activities Improve organizational efficiency Transaction Processing Systems (TPS)
Midlevel managers and functional managers
Automate the monitoring and controlling of operational activities Improve organizational effectiveness Management Information Systems (MIS)
Benefit of social software - Enterprise 2.0
Based on core values such as social sharing and collaboration, many successful Web 2.0 applications can be classified as social software that people widely used for communicating and socializing. One major benefit of social software is that it can help to harness the wisdom of the crowd by leveraging the collective intelligence of large groups of people. Owing to societal changes, using social media can be an important factor in being able to attract or retain employee as younger generations are joining the workforce.
Challenges of adoption
Brand reputation management, Reshuffling the boundaries between social and work life and ethical and social issues. As organizations can use social software for communicating with customers and viral marketing, an organization´s opponents can use the same tools to spread damaging content or information to people all over the world within short time Organizations should therefore plan for such incidents by identifying a crisis team, identifying crisis scenarios, monitoring the social media environment and acting fast in case a crisis surface in the social media environment.
Integrating Applications to Integrate Data
Central information repository ERP replaces stand-alone applications Modules based on Common database Similar application interfaces
Five key technological trends responsible for these ethical issues
Computing power doubles every 18 months- More organizations depend on computer systems for critical operations Data storage costs rapidly decline - Organizations can easily maintain detailed databases on individuals Data analysis advances - Companies can analyze vast quantities of data gathered on individuals to develop detailed profiles on individual behaviors. Networking advances - The cost of moving data and making I accessible from anywhere falls exponentially Mobile device growth Impact- Individual cell phones may be tracked without user consent or knowledge
CRM - Customer Relations Management Systems
Concentrate on the activities involved in promoting and selling products to the customers as well as providing customer service. Helps firms identify, attract, and retain most profitable customers. However, CRM can be used in discriminating way, CRM systems based on biased can do more harm than good.
Why do contemporary information systems technology and Internet pose challenges to the protection of individual privacy and intellectual property?
Contemporary data storage and data analysis technology enables companies to easily gather personal data about individuals from many different sources and analyze these data to created detailed electronic profiles about individuals and their behaviors. Data flowing over the internet can be monitored at many points. Cookies and other Web monitoring tools closely track the activities of website visitors. Not all web sites have strong privacy protection policies, and they do not always allow for informed consent regarding the use of personal information. Traditional copyright laws are insufficient to protect against software piracy because digital material can be copied so easily and transmitted to many different locations simultaneously over the internet.
Digitalization
Conversion of analog information in any form (text, photograph, voice, etc. ) to digital form so that the information can be processed, stored and transmitted through digital circuits and networks. Easy to replicate at low cost and Instant delivery.
Internet Challenges to Privacy
Cookies Tiny files downloaded by Web site to visitor's hard drive to help identify visitor's browser and track visits to site Allow Web sites to develop profiles on visitors Web beacons/bugs Tiny graphics embedded in e-mail and Web pages to monitor who is reading message Spyware Surreptitiously installed on user's computer May transmit user's keystrokes or display unwanted ads Google's collection of private data; behavioral targeting
What is core activities and what does it include?
Core activities are performed by the function areas that process inputs and produce output support. Core activities include: • inbound logistic (receiving and stocking new materials parts and products) • operations and manufacturing (processes input to output end products), • outbound logistics (shipping, distribution of end products after processed in operations) • marketing and sales (pre-sale activities such as social media, pricing and scheduling) • Customer service - post-sale act
What does supply chain consist of ?
Core and support activities
Collective Intelligence
Crowdsourcing Open models of collaboration
Network computing
Enables computers to connect to other computers & other electronic devices via telecommunication networks. Users may be connected via wireless networks to public network-Internet; Intranets (within organizations only); & connections to business partners (Extranets
What are Enterprise systems , its aims and what systems exist ?
Enterprise systems are comprehensive software packages, aiming for automation, integration and standardization of business processes ERP - Enterprise Resource Planning Systems CRM - Customer Relations Management Systems SCM - Supply Chain Management Systems
What does the implementation of Enterprise systems involve?
Enterprise systems can be either prepackaged software or custom-made applications. The implementation of enterprise systems often involves business process management, a systematic, structured improvement approach by all or part of an organization that critically examines, rethinks and redesigns processes in order to achieve dramatic improvements in one or more performance measures, such as quality, cycle time, or cost.
How did Enterprise systems evolve?
Enterprise systems evolved from legacy systems (Stand-alone applications: no sharing of info integration of different computing system) that supported distinct organizational activities by combining data and applications into a single comprehensive system. Each module in ERP is designed to replace stand-alone legacy system
What is Ethics
Ethics is principles of right and wrong that individuals, acting as free moral agents, use to make choices to guide their behaviors. Information systems raise new ethical questions.
Different Management groups in a business -
Executive level, managerial level and operational level.
Describes Alvin Toffler: The 3 Waves of Change
First wave: A civilization based on agriculture and handwork. Relatively primitive stage. Second wave: The Industrial Revolution. A new organization of work known as the factory system, which entailed increased division of labour and specialization of function. Workers acquired new and distinctive skills, and their relation to their tasks shifted; instead of being craftsmen working with hand tools, they became machine operators, subject to factory discipline. Third wave: The Information Age, Information becomes the currency. Information is now as important as land, labor, and capital resources.
9. Define a communication protocol
Formal descriptions of digital message formats and rules that devices must follow when the communicate with each other. Protocol is a language or rules of communication over a network. It defines the procedures that different computers connected on a network follow when they communicate with each other to transmit or receive data. In other words, because so many different networks are interconnected throughout the world, they must have a common language or protocol to communicate. The protocols used by the internet: Transmission Control Protocol/ Internet protocol (TCP/IP), Web protocols (e.g., HTML and HTTP).
Future Web capabilities and how to harness the oppotunities
Future Web capabilities extending Web 2.0 are the semantic Web, as well as the ´´contextual web´ ´which is characterized by devices providing the information and content depending on the user´s specific context (time, location and so on). To harness the opportunities brought about by these changes, organizations are increasingly using social software to connect with customers and internal or external stakeholders in order to become more innovative or productive.
Crowdsourcing
Ideagorous internet-based innovation marketplaces that enable companies to " treat the world as their R&D department and use ideagorous to seek out ideas, innovations, and uniquely qualified minds on a global basis" "the question today is how do you create a vibrant connections marketplace where you leverage other people's talents, ideas, and assets quickly and move on" Amazon's Mechanical Turk Allows anyone to post problems Users are compensated for correct or useful answers InnoCentive Company posts problems and anyone can take a shot at solving them E-lancing Posting individual projects for anyone to bid on
Web 1.0 vs Web 2.0
In contrast to traditional Web 1.0 sites, Web 2.o applications allow people to collaborate and share information online. One of the basic concepts associated with Web 2.0 is a shift in the user´s role from passive consumer of content to creator.
How Information Technology Improves Business Processes
Increasing efficiency of existing processes Automating steps that were manual Enabling entirely new processes Changing flow of information Replacing sequential steps with parallel steps Eliminating delays in decision making Supporting new business models
What are Support activities
administrative activities, infrastructure, human resources, technology development, and procurement
Expected benefits - Business value of EPRs
Information technology improvements Eliminate Legacy systems that maintain incompatible data, uniform maintenance,Common interfaces across systems Managerial benefits Standardization of processes enabling better control, Allows cross-functional access to the same data for planning and control, Improvements in financial management & customer services Operational benefits - Faster transactions using common data, Time & cost reduction of best practice business processes Organizational benefit Facilitates organizational communications, Re-engineering around 'best business practices' and Effective use of organizational databases Facilitates organizational communications, Re-engineering around 'best business practices' and Effective use of organizational databases
EPR Features
Integration - seamlessly integrate information flows throughout the company (Updated information made available to all business processes) Best practices - reflect industry best practices Configuration tables allow tailoring of system
How is Enterprise systems packaged? How does vanilla version and customization work?
It´s packaged software applications written by 3rd party for many different organizations according to the industry. Vanilla version is containing features and modules that an enterprise system comes with "out of the box". If vanilla version does not support a certain business process, the company may require customization. This version contains additional software or changes to vanilla version, to fit its own unique business processes however it requires time, money, resources and constant update or upgrade.
Disruption to the existing business Reshuffling of organizational boundaries Emergence of new business models
Kodak vs Instagram Flat networked structure: Delayering (whole layers of middle management removed) and decentralization. The gap between consumers and producer's blurs
IS ERP a universal solution to managing cross-cultural business processes
Major vendors, SAP and Oracle, show a western bias in reporting best practices.Due to problems encountered, businesses in non-western companies/locations are turning to local vendors.
When Things Go Wrong - social media Enterprise 2.0
Many businesses have embraced social media to connect with their customers. But sometimes this can backfire. Example: JP Morgan Chase
Batch processing (TPS)
Method of computerized processing in which business transactions are accumulated over a period and prepared for processing as a single unit or batch. Used when immediate notification not necessary
Best practice- Based Software
Most ERP vendors build best practices into their ERP systems. Identify business processes in need of change Future updates are smoother if businesses change their business processes to fit with ERP systems
EPR Configuration and installation
Organizations hire experienced business analysts or outside consultants to assist with implementation System must be configured to reflect business processes and associated business rules. Organizations have to make countless decisions on how to configure thousands of database tables to fit the business's needs.
To make-to-stock and make-to-order
Refer to process associated with producing goods to hold in inventory or after a customer order Together, these core business process enable the creation of supply chains that are involved in transforming raw materials into products sold to the end consumer.
The evolving workplace- Enhancing connection
Social networking, Social search (increase relevance of a search result) and Viral marketing
Enterprise 1.0 vs Enterprise 2.0
Static content and web pages, focus on content VS Dynamic content, focus on interaction Message pushed by e-mail VS Information pulled through RSS feeds Content produced and edited according to policy VS Content from blogs, wikis, and other participatory sites Asynchronous interactions (e-mail) VS Synchronous interactions (IM, Chat) IT imposed control of technology VS individuals use new technologies and create content Search and browse for information VS Publish and subscribe to information feeds
What is Transaction Processing Systems(TPS)
TPS monitors, collects, stores, processes, & disseminates information for all routine core business transactions. Serve operational managers and staff, Perform and record daily routine transactions necessary to conduct business
Describe the different types of computers and their typical use
The computers that run the applications and databases necessary for processing transactions or analyzing business data. There are 5 types of computers o supercomputer - are used to solve the most computationally demanding problems, such as weather forecasting or scientific problems o mainframe- transactions processing, enterprise-wide application and perform transaction processing. o server- Providing Websites or access to databases, applications, or files o workstation - typically used by one individual for demanding applications for medical, engineering, architectural, or animation and graphics design uses o personal computer- are used for Personal computing and small business computing
The Socialization of finance
The impact of technology and changing behavior on the financial services markets. Fin-tech, open- source banking and mobile banking
Functional (Silo) Perspective
The silo perspective views the business as discrete functions (accounting, sales, production, etc.) associated with traditional organizational chart. Each functional area determines its core competencies and focuses on what it does best
What are the three basic IS activities and what is feedback
Three basic activities—input, processing, and output—produce the information organizations need. Feedback is output returned to appropriate people or activities in the organization to evaluate and refine the input.
Business Processes perspective
Transcend boundary between sales, marketing, manufacturing, research, and development. Not distinct independent silos, but instead highly interrelated
Extensible Markup Language(XML)
Used to structure and describe information. Tag-based syntax like HTML, but they go well beyond HTML and that can be tailored to share similar data across applications over the Web. An XML tag is a label that is inserted into an XML document in order to specify how the document should be interpreted and/or used.
Describe what is meant by the term "database".
are collections of related data organized in a way that facilitates data searches, are vital to an organization's operations and often are vital to competitive advantage and success.
Enterprise system
are information systems that span the entire organization and can be used to integrate business processes, activities, and information across all the functional areas of a firm.
What are Enterprise systems suppliers ?
are oracle, Microsoft and SAP.
What is a network?
is a collection of computers and other equipment connected to each other either wired or wirelessly. Networks allow computing resources to be shared.
What is a data base management system?
is a program used to create, process, and administer a database. Popular DBMS products are DB2 from IBM, Access and SQL Server from Microsoft, and Oracle from Oracle Corporation.
Big Data
is a term that describes the large volume of data - both structured and unstructured - that inundates a business on a day-to-day basis. But it's not the amount of data that's important. can be analyzed for insights that lead to better decisions and strategic business moves. is often characterized by 3Vs: the extreme volume of data, the wide variety of data types and the velocity at which the data must be processed
Extensible Business Reporting Language (XBRL)
is an XML-based specification for publishing financial information creating computer-readable documents to report financial and business operations information. It includes tags for data such as annual and quarterly reports, Securities, and Exchange Commission filings
A wide area network (WAN)
is covers a much wider geographical area, across several sites, localities or even countries.
A local area network (LAN)
is usually restricted on a single building or buildings in close proximity to each other.
Five Functional Areas - responsible for business fuctions
marketing and sales, supply chain management, operations and manufacturing, accounting and finance human resources
Information Chain
o Data is raw symbols just as words and numbers. o Information is when data can be formatted, organized, or processed to be useful: it is transformed into information which can be defined as a representation of reality. o Knowledge is the ability to understand information, form opinions, and make decisions or predictions based on the information.
What is an Information System?
o Set of interrelated components o Collect, process, store, and distribute information o Support decision making, coordination, and control o Five components Computer hardware; software; data; telecommunication networks; and people
The core processes
order-to-cash, procure-to-pay, and make-to-stock/order
What are Extranet?
password-protected Web site designed for sharing with select partners Data and communication are protected via firewalls and virtual private networks (VPNs)
7. What are intranets?
password-protected Web site designed for sharing within the company
What is open-source software?
provides all computer users with free access to the program code so they can modify the code, fix errors in it, or make improvements. An example is Wikipedia and Linux. Businesses can choose from a range of open-source software including operating systems, office suites, Web browsers, and games. Open-source software allows businesses to reduce the total cost of ownership.
Prosumers and virtual teams
refers to consumers who champion the products they purchase by playing an active part in their creation are geographically and/or organizationally dispersed coworkers assembled using telecommunications and IT to accomplish an organizational task.
What is meant by hardware?
refers to the physical components that you can see and touch, such as the computer hard drive, mouse, and keyboard, printers, tablets, smartphones, projectors, notebooks, networking equipment
Procure-to-pay
refers to the various processes associated acquiring goods (raw materials) from external suppliers and handling potential dispute (price and term negotiations)
Order-to-cash
refers to the various processes associated with selling a product or service to the customer.
Describe the difference between systems software and application software
software provides a platform for the execution of application software. • Systems software - Controls computer hardware operations. The Operating systems; Manages hard drives and storage, Manages keyboard, mouse, monitor, and printers, Coordinates application access to computing resources. Examples: Windows, OS X, Ubuntu. • Application software - Often called productivity programs or end-user programs. let's users perform specific tasks such as creating documents, spreadsheets, doing online research, sending email, designing graphics, and even playing games. Application software can be as simple as a calculator application or as complex as a word processing application
How does Web 2.0 applications take form
take the form of mashups, different software's interact and exchange data or functionality from various sources using API.
What is Enterprise 2.0
takes most of the potent ideas of Web 2.0, user generated content, peer production, and moves them into the workplace. describes the use of the latest freeform, emergent, social software tools that hold the promise to significantly improve the ways that we work together and collaborate.
contextual web
which is characterized by devices providing the information and content depending on the user´s specific context (time, location and so on)
Wiki workplace
work has become more cognitively complex, more team-based and collaborative, more dependent on social skills, more time pressured, more reliant on technological competence, more mobile, and less dependent on geography
Friedman's The Three Great Eras of Globalization
• 1492 - 1820 Globalization 1.0 - Exploration and colonization drive success. Countries think globally to thrive • 2000 Globalization 2.0 - Collaboration between international companies, Companies must think globally to survive • 2000 - Present Globalization 3.0 - Individuals and small groups globalize. Driven by diverse group comprised of all nationalities
Challenges of ERP Systems
• Challenges with ES is changing business processes to accommodate the way the software works. Best practice- guidelines within in the industry vs Competitive advantage (firms may lose comp AD by adopting best Practice). • Lack of top level management support and trickledown effect and require large investments of time, money, and expertise including hidden costs. Upfront costs vs delayed benefits. • Local unease, anxiety, and resistance (misalignment) - fears of job losses. Include diff people across departments across departments when implementing to avoid alienation. • Evolving: New versions, providing new features and sometimes requires changes in hardware or systems software configuration. Most require some level of redesigning business processes & fundamental changes in the way the business operates.
The evolving workplace- Enhancing collaboration
• Cloud based collaboration tools (drop box, one note, Google drive and google apps) • Customer- Engaging with customers (prosumers) • Employees- Virtual teams (Synchronously and Asynchronously) 'Wiki workplace 'Power to the People • Human-based computing Collective Intelligence- Crowdsourcing, Open models of collaboration
Evolution Of Globalization
• Economic changes: - International trade, global financial system, currency, and outsourcing of labor. • Cultural changes:- multicultulatism, turism, immigration • Technological changes: - low cost communication technologies such as email, skype, telecommunication infrastructure and global patent and copyright laws.
Organizational issues with Enterprise 2.0
• Enterprise # web - Myspace • Culture - rigid hierarchies and control, appeal to members • Organizational Context - what objective is to be accomplished with this tool • Hierarchies - To be successful there needs to be a support and active involvement of the senior management. • Network Effects and Critical Mass - difficult to achieve critical mass and need time and patience • Generation Gap • Technological inertia - Many people are not willing to switch to new applications unless they see real, tangible benefits • Technological Integration - Enterprise 2.0 must be integrated with existing IS infrastructure • Security and intellectual property
The components of Information Systems
• Hardware—CPU, disk drives, monitors, keyboards, and so on • Software—provide hardware with processing instructions • Telecommunications networks—allow computers to share information and services • Data • People
The major ethical, social, and political issues raised by information systems include the following moral dimensions:
• Information rights and obligations. What information rights do individuals and organizations possess with respect to themselves? What can they protect? • Property rights and obligations. How will traditional intellectual property rights to be protected in digital society in which tracing and accounting for ownership is difficult and ignoring such property rights is so easy? • Accountability and control. Who can and will be held accountable and liable for the harm done to individual and collective information and property rights? • System quality. What standards of data and system quality should we demand to protect individual rights and safety of society? • Quality of life. What values should be preserved in an information-and knowledge-based society? Which institutions should we protect from violation? Which cultural values and practices are supported by the new information technology?
SCM - Supply Chain Management Systems
• Manage firm's relationships with suppliers, Share information about: Orders, production, inventory levels, delivery of products and services • Goal: Right number of products to destination with least amount of time and lowest cost • Radio Frequency Identification (RFID) is an important technology used within SCM •
Five IT Megatrends in the information age
• Mobile • Social media - collaboration and connect with customers • Big Data: everything we do is increasingly leaving a digital trace (or data), which we (and others) can use and analyze • Cloud computing: is a way to allocate resources much like a utility sells power. Resources are used "on-demand," as needed, Customers only pay for what they consume. Resources can be rapidly allocated and reallocated without install, • Internet of things- Sensors embedded in physical objects are linked through wired and wireless networks, often using the same Internet Protocol (IP) that connects the Internet such as smart cities.
Identify three categories of data storage and their purposes?
• Operational— are typically stored in databases for example, for processing transactions or for data analysis. using disk-based storage media such as hard drives • Backup- short-term copies of organizational data, used to recover from system-related disaster. Backup data are frequently overwritten with newer backups • Archival—long-term copies of organizational data, often used for compliance and reporting purposes
