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Management Information System

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 In business and organizations is the function that coordinates the efforts of people to accomplish goals and objectives using available resources efficiently and effectively. Management comprises planning, organizing, staffing, leading or directing, and controlling an organization or initiative to accomplish a goal.

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Management

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Information system (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, course reservation systems

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Introduction

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Information is one of an organization’s most valuable resources

Information is different from data

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Information Concepts

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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

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Data, Information, and Knowledge

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Data, Information, and Knowledge (continued)

Table 1.1: Types of Data

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Figure 1.2: The Process of Transforming Data into Information

Data, Information, and Knowledge (continued)

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The Characteristics of Valuable Information

Table 1.2: Characteristics of Valuable Information

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The Characteristics of Valuable Information (continued)

Table 1.2: Characteristics of Valuable Information (continued)

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Value of information is 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

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The Value of Information

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System◦ A set of elements or components that interact to

accomplish goals Components of a system

◦ Input ◦ Processing◦ Output◦ Feedback

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System Concepts

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System Concepts (continued)

Figure 1.3: Components of a System

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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

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System Performance and Standards

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What Is An Information System?

Figure 1.5: The Components of an Information System

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Input: activity of gathering and capturing raw data

Processing: converting or transforming data into useful outputs

Output: production of useful information, usually in the form of documents and reports

Feedback: output that is used to make changes to input or processing activities

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Input, Processing, Output, Feedback

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An information system can be:◦ Manual◦ Computerized

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Manual and Computerized Information Systems

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Computer-based information system (CBIS)◦ A single set of hardware, software, databases,

telecommunications, people, and procedures that are configured to collect, manipulate, store, and process data into information

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Computer-Based Information Systems

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Computer-Based Information Systems (continued)

Figure 1.6: The Components of a Computer-Based Information System