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Chapter 1

Information Systems in

Business

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Our Agenda Basic Information Systems

ConceptsTypes of Information Systems Information Systems sers Connecting sers to Information

Techno!ogy Bene"ts of Information Systems An Approach to the Study of

Information Systems

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$earning O%ecti'es ()p!ain *hat an information

system is and descri%e the

functions of an information system+ Identify the components of an

information system+ ()p!ain the di,erence %et*een

data and information+

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$earning O%ecti'es

.contd+ $ist se'era! types of information

systems and gi'e an e)amp!e of

each type+ ()p!ain *ho information systems

users are and descri%e ho* users

use information systems+

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$earning O%ecti'es

.contd+ ()p!ain *hat ethics are and *hy it

is important to use information

systems ethica!!y+ escri%e ho* users are connected

to information techno!ogy !oca!!y3

nationa!!y3 and internationa!!y+ escri%e se'era! %ene"ts ofinformation systems+

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Basic Information SystemConcepts

5hat is an Information System6 An Information Systemis a co!!ection of

components that *or7 together to

pro'ide information to he!p in theoperations and management of anorgani8ation+

Information Techno!ogyis the

integration of computers3communications e9uipment3 and othertechno!ogy used in information systems+

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Components of an

Information System6 Components

;ard*are ersonne!< >eop!e *ho operate the

system >roceduresfor the peop!e to fo!!o*

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()amp!es of Information

Systems An in'entory contro! system An order entry system A production schedu!ing system

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Information Systems

=unctions Input =unctionaccepts the input data

from outside the system+

Storage =unctionretains input dataand retrie'es stored data+ >rocessing =unctionca!cu!ates and in

other *ays manipu!ates the input and

stored data+ Output =unctionproduces resu!ts of

processing for use outside thesystem+

.=i!! in the %!an7s

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ata 'ersus Information atais a representation of a fact3 a

num%er3 a *ord3 an image3 a

picture or a sound+ Informationis data that is

meaningfu! or usefu! to someone+

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Types of Information

Systems >ersona! information systems

5ord >rocessing Spreadsheet or "nancia! ana!ysis ata%ase raphics or presentation soft*are

5or7groupinformation systems (!ectronic mai! .e

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Types of Information

Systems .contd+ Organi8ationa!information

systems ainframe computers 5ide area net*or7 .5A

Interorgani8ationa!information

systems (!ectronic ata Interchange .(I (!ectronic =unds Transfer .(=T

!o%a!information systems >roduction schedu!ing system

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;o* sers se

Information Systems sers may use an information system

direct!y%y pressing 7eys on a computer

7ey%oard or %y operating a piece ofe9uipment that sends input data to acomputer+

A user may use an information system

indirect!y%y ha'ing someone e!se enterthe data and recei'e the output *hich isthen gi'en to the user+

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(thica! se of Information

Systems (thicshas to do *ith the standards

of %eha'ior that peop!e fo!!o*D

*hat is right and *hat is *rong+

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(thica! se of Information

Systems .contd+ (thica! use of information systems

in'o!'esD Con"dentia!ity of information Copying of soft*are se of someone e!ses computer

O*nership of information

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et*or7s A net*or7is a co!!ection of computers

and re!ated e9uipment connected using

communications e9uipment so that theycan communicate *ith each other+

$oca! Area et*or7s .$A co'er a sma!!area such as a %ui!ding+

5ide Area et*or7s .5A co'er a!arge area such as a city3 region3country or se'era! countries+

.e"ne the term

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The Internet and the

5or!d 5ide 5e% .555The Internetis a *or!d*ide

co!!ection of interconnected

net*or7s+The 5or!d 5ide 5e% .555is a

ser'ice on the Internet that !in7s

information stored on di,erentcomputers+

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(!ectronic Commerce

.(

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Bene"ts of Information

Systems Better information Impro'ed ser'ice Increased producti'ity Competiti'e ad'antage

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Eey Terms Computer

App!ication Computer

Information System.CIS

ata (!ectronic Commerce (!ectronic ata

Interchange .(I (!ectronic =unds

Transfer .(=T

(!ectronic ai! .e