MIS 101 Chapter 2 Information Systems and the Modern Organization

An information system (IS) collects, processes, analyses, and disseminates information for a specific purpose. Types of Information Systems 1. Computer-based Information System (CBIS) is an information system that uses computer technology to perform some or all of its intended tasks. Basic components:

3. Breadth of Support of Information Systems Functional Area Information Systems support a particular functional area in the organization: Accounting IS, Finance IS, Production/Operations Management IS, Marketing IS, Human Resources IS Enterprise Resource Planning Systems are designed to correct a lack of communication among the functional area ISs. This IS tightly integrates the functional area ISs via a common database. It enhances communications among the functional areas of an organization. Transaction Processing System supports the monitoring, collection, storage, and processing of data from the organizations basic business transactions. Interorganizational Information Systems are information systems that connect two or more organizations. Examples: Supply chain management, Electronic commerce systems (enables organizations to conduct transactions with other businesses and with customers)

Hardware is a device that accepts data and information, process it, and display it. Software is a program or collection of programs that enables the hardware to process data. Database is a collection of related files or tables containing data. Network is a connecting system (wireline or wireless) that permits different computers to share resources. Procedures are the set of instructions about how to combine the above components in order to process information and generate the desired output. People are those individuals who use the hardware and software, interface with it, or use its output. 2. An application program is a computer program designed to support a specific task, a business process or another application program.

An organizations supply chain describes the flow of materials, information, money, and services from suppliers of raw material through factories and warehouses to the end customers.

4. Information Systems Organization Employees

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Office automation systems typically support the clerical staff, lower and middle managers, and knowledge workers. These employees use OASs to development documents, schedule resources, and communicate. Functional area information systems summarize data and prepare reports, primarily for middle managers, but sometimes for lower-level managers as well. Business intelligence systems provide computerbased support for complex, non-routine decisions, primarily for middle managers and knowledge workers. Expert systems attempt to duplicate the work of human experts by applying reasoning capabilities, knowledge, and expertise within a specific domain. Dashboards (digital dashboards) support all managers by providing rapid access to timely information and direct access to structured information in the form of reports.

Today, computers are located throughout the organization, and almost all employees use computers in their work. This system is known as end-user computing.

Which IT Resources are managed and by whom? Information Systems Department is responsible for corporate-level and shared resources. End users are responsible for departmental resources.

Traditional Major IS Functions Managing systems development and systems project management Managing computer operations Staffing, training, developing IS skills Providing technical services Infrastructure planning, development, control

New (Consultative) IS Functions Initiating and designing strategic information systems Incorporating the Internet and e-commerce into the business Managing system integration Educating non-IS managers about IT Educating IS staff about the business Supporting end-user computing Partnering with executives Managing outsourcing Innovate Ally with vendors and IS departments in other organizations

Why are ISs important to organizations and society? IT will reduce the number of middle managers. IT will change the managers job. IT impacts employees at work. IT provides quality-of-life improvements. IT provides opportunities for people with disabilities.

Ergonomics, the science of adapting machines and work environments to people, focuses on creating an environment that is safe, well-lit, and comfortable. Example: Wrist support, back support, eye-protection filter, adjustable foot rest

The Role of IS Department The role of the director of the ISD is changing from a technical manager to a senior executive called the chief information officer (CIO). The role of ISD is also changing from a purely technical one to a more managerial and strategic one.

Managing Information Resources Information resources is a general term that includes all the hardware, software (ISs and applications), data, and networks in an organization. During early 1950s, the Information Systems Department (ISD) owned the only computing resource in the organization, the mainframe. Supporting End Users One form of end-user support is the help desk, where IS staffers help users troubleshoot problems with their systems.