Good Morning! APR2101 Business Information & Communication 2 - PowerPoint PPT Presentation

Good Morning! APR2101 Business Information & Communication 2 March 2017

Digital Natives vs. Digital Immigrants

Information Systems (IS) A set of interrelated components that collect, manipulate, and disseminate data and information, and provide feedback to meet an objective Examples: ATMs, airline reservation systems, RU‐MIS 3

Data, Information, and Knowledge • Data: raw facts • Information: collection of facts organized in such a way that they have value beyond the facts themselves • Knowledge: awareness and understanding of a set of information and ways that information can be made useful to support a specific task or reach a decision 4

Data, Information, and Knowledge 5

Data, Information, and Knowledge 6

Data, Information, and Knowledge Transformation Data Information Process Applying knowledge by selecting, organizing and manipulating data

The Value of Information • If information is not accurate or complete, people can make poor decisions, costing thousands, or even millions, of dollars • Information can be of little value to the organization if not relevant, not delivered to decision makers in a timely fashion, or too complex to understand

The Value of Information • Valuable information – Can help people and their organizations perform tasks more efficiently and effectively – Can help managers decide whether to invest in additional information systems and technology • Depending on the type of data you need: – Some characteristics become more important than others

The Value of Information • Directly linked to how it helps decision makers achieve their organization’s goals • For example, value of information might be measured in: – Time required to make a decision – Increased profits to company 11

System • System : – Set of elements or components that interact to accomplish goals • Components of any system: – Inputs – Processing mechanisms – Outputs – Feedback

System

System Performance and Standards • Efficiency: measure of what is produced divided by what is consumed • Effectiveness: extent to which system attains its goals • System performance standard: a specific objective of the system

Information Systems • Information system (IS) is a set of interrelated elements that: – Collect (input) – Manipulate (process) – Store – Disseminate (output) data and information – Provide a corrective reaction (feedback mechanism) to meet an objective

Information Systems

Input, Processing, Output, Feedback • Input: – Activity of gathering and capturing raw data • Processing: – Converting data into useful outputs • Output: – Production of useful information, usually in the form of documents and reports • Feedback: – Information from the system that is used to make changes to input or processing activities

Manual vs. Computerized IS An information system can be: – Manual – Computerized 18

Computer‐Based Information Systems • Single set of hardware, software, databases, telecommunications, people, and procedures: – That are configured to collect, manipulate, store, and process data into information • Increasingly, companies are incorporating CBIS into their products and services – CBIS integrated into BMW vehicles to determine if something is wrong with car, recommend needed repair work, check on available parts to make repair, and schedule service appointment with the dealer

Computer‐Based Information Systems

CBIS (continued) • Hardware : – Consists of computer equipment used to perform input, processing, storage, and output activities • Software : – Consists of the computer programs that govern the operation of the computer • Database : – Organized collection of facts and information, typically consisting of two or more related data files

CBIS (continued) • Telecommunications – The electronic transmission of signals for communications • Networks – Connect computers and equipment to enable electronic communication • Internet – World’s largest computer network, consisting of thousands of interconnected networks, all freely exchanging information

CBIS (continued) • Web – Network of links on the Internet to documents containing text, graphics, video, and sound (‘multimedia’) • Intranet : – Internal network that allows people within an organization to exchange information and work on projects • Extranet : – Network based on Web technologies that allows selected outsiders, such as business partners and customers, to access authorized resources of a company’s intranet

CBIS (continued) • People : – The most important element in most computer‐ based information systems • Procedures : – Include strategies, policies, methods, and rules for using the CBIS

Business Information Systems • Most common types of information systems: – Those designed for electronic and mobile commerce, transaction processing, management information, and decision support • Some organizations employ: – Special‐purpose systems, such as virtual reality, that not every organization uses 25

Business Information Systems IS in Functional Areas of Business • Finance and accounting • Sales and marketing • Manufacturing • Human resource management • Legal information systems 26

Business Information Systems Information Systems in Industry • Airline industry, Transportation industry • Investment firms, banks • Publishing companies • Healthcare organizations • Retail companies • Power management and utility companies • Professional services 27

Electronic and Mobile Commerce • E‐commerce : – Any business transaction executed electronically between: • Companies (business‐to‐business, B2B) • Companies and consumers (business‐to‐consumer, B2C) • Consumers and other consumers (consumer‐to‐ consumer, C2C) • Business and the public sector • Consumers and the public sector

Electronic and Mobile Commerce • Mobile commerce (m‐commerce) : – The use of mobile, wireless devices to place orders and conduct business • E‐procurement – Use of information systems and the Internet to acquire parts and supplies • E‐commerce : – Offers many advantages for streamlining work activities • Electronic business (e‐business) : – Uses information systems and the Internet to perform all business‐related tasks and functions

Electronic and Mobile Commerce

Enterprise Systems: TPS and ERP • Transaction: any business‐related exchange, such as payments to employees, sales to customers, and payments to suppliers • Transaction processing system (TPS): an organized collection of people, procedures, software, databases, and devices used to record completed business transactions 31

Enterprise Systems: TPS and ERP 32

Enterprise Resource Planning Systems • Enterprise resource planning: – Set of integrated programs that: • Manages the vital business operations for an entire multisite, global organization – Most ERP systems provide integrated software to support manufacturing and finance 33

Information and Decision Support Systems • Management information systems (MIS): – Organized collection of people, procedures, software, databases, and devices that: • Provides routine information to managers and decision makers • Focuses on operational efficiency • Provide standard reports generated with data and information from the TPS or ERP 34

Information and Decision Support

Information and Decision Support • Decision support system (DSS): – Organized collection of people, procedures, software, databases, and devices that support problem‐specific decision making – Focus is on making effective decisions – Used when problem is complex and information needed to determine appropriate action is difficult to obtain

Information and Decision Support

Specialised Information Systems • Knowledge Management Systems (KMS) • Artificial Intelligence (AI) • Expert Systems • Virtual Reality (VR)

Specialised Information Systems • Knowledge management systems (KMSs): an organized collection of people, procedures, software, databases, and devices to create, store, share, and use the organization’s knowledge and experience • Artificial intelligence (AI): field in which the computer system takes on the characteristics of human intelligence

Artificial Intelligence

Problem Solving Decision Making

Systems Investigation and Analysis • Systems investigation – Goal is to gain understanding of the problem to be solved or opportunity to be addressed • Systems analysis – Defines problems and opportunities of the existing system

Systems Design, Implementation, and Maintenance and Review • Systems design – Determines how the new system will work to meet the business needs defined during systems analysis • Systems implementation – Creating or acquiring the system components defined in the design step, assembling them, and putting the new system into operation • Systems maintenance and review – Checking and modifying the system so that it continues to meet changing business needs