CHAPTER 8 Basic Information Systems Concepts 8.1 © Prentice Hall 2002 SYSTEMS VIEW • FRAMEWORK FOR SEEING INTERRELATIONSHIPS • SYSTEM: Set of interrelated components working together to achieve common purpose • INFORMATION SYSTEM (IS): Collection of information technology, procedures, & people that captures, moves, manages, distributes data & information 8.2 * © Prentice Hall 2002 GENERAL STRUCTURE OF SYSTEM ENVIRONMENT Output 1 Interface Input 2 Interface COMPONENT 2 Input 1 Interface COMPONENT 3 BOUNDARY 8.3 COMPONENT 2 STORAGE 1 SYSTEM © Prentice Hall 2002 SYSTEM BOUNDARY • DIVIDING LINE • PLACED BASED ON THE PURPOSE: Usually not a fixed line • CONTROL OR REDESIGN WITHIN THE BOUNDARY • ENVIRONMENT OUTSIDE THE BOUNDARY * 8.4 © Prentice Hall 2002 SYSTEM BOUNDARY • WHAT CAN BE CONTROLLED: External elements are constraints • WHAT SCOPE MANAGEABLE WITHIN GIVEN TIME PERIOD: Complex systems take longer to design, modify • WHAT IS IMPACT OF BOUNDARY CHANGE: Dynamic changes require accommodation 8.5 © Prentice Hall 2002 COMPONENT DECOMPOSITION • BREAK SYSTEM INTO SUBSYSTEMS • COMPONENTS OF SUBSYSTEM MAY FORM MORE SUBSYSTEMS • OFTEN SUBSYSTEMS ARE EASIER TO UNDERSTAND, CREATE, MODIFY * 8.6 © Prentice Hall 2002 GOALS OF HIERARCHICAL DECOMPOSITION 1. COPE WITH COMPLEXITY OF SYSTEM 2. ANALYZE OR CHANGE ONLY PART OF SYSTEM 3. DESIGN, BUILD SUBSYSTEMS AT DIFFERENT TIMES 4. DIRECT ATTENTION OF TARGET AUDIENCE 5. ALLOW COMPONENTS TO OPERATE INDEPENDENTLY 8.7 * © Prentice Hall 2002 FUNDAMENTAL COMPONENTS OF ORGANIZATION • • • • PEOPLE INFORMATION TECHNOLOGY BUSINESS PROCESSES ORGANIZATIONAL STRUCTURE EACH IMPACTS THE REST! * 8.8 © Prentice Hall 2002 DECISION MAKING PROCESS • • • • INTELLIGENCE: Search for needs, collect data DESIGN: Generate alternatives, test feasibility CHOICE: Select from alternatives PERSUASION: Influencing others to accept & follow chosen solution • IMPLEMENTATION: Install solution on time, within budget • FOLLOW-UP: Monitor, modify, refine CONSTANT FEEDBACK 8.9 © Prentice Hall 2002 * BUSINESS PROCESSES A SET OF WORK ACTIVITIES & RESOURCES • IDENTIFY • EVALUATE • REDESIGN USE INFORMATION TECHNOLOGY (IT) TO BREAK RULES! * 8.10 © Prentice Hall 2002 EVALUATING A PROCESS X • DOES X DEFINE FIRM TO CUSTOMERS, EMPLOYEES, INVESTORS? – YES: IDENTIFY – NO: GO ON • IS EXCELLING AT X CRITICAL TO BUSINESS? – YES: PRIORITY – NO: GO ON * 8.11 © Prentice Hall 2002 EVALUATING A PROCESS X • DOES X SUPPORT OTHER PROCESSES? – YES: BACKGROUND – NO: GO ON • IS X CARRIED OUT ONLY BECAUSE IT IS LEGALLY REQUIRED? – YES: MANDATED – NO: FOLKLORE > ABANDON * 8.12 © Prentice Hall 2002 BUSINESS PROCESS REDESIGN* • START WITH “CLEAN SLATE” • USE IT TO RADICALLY CHANGE PROCESSES • QUESTION ASSUMPTIONS & RULES • ASK “WHY?”, “WHAT IF?”, “WHO SAYS SO?”, “WHAT DO CUSTOMERS THINK?” *Hammer, 1990 * 8.13 © Prentice Hall 2002 USING IT TO BREAK DYSFUNCTIONAL RULES* Example #1 • OLD RULE: Information can appear in only one place at one time. • DISRUPTIVE TECHNOLOGY: Shared databases • NEW RULE: Information can be used simultaneously in many places *Hammer & Chanmpy, 1993 8.14 * © Prentice Hall 2002 USING IT TO BREAK DYSFUNCTIONAL RULES* Example #2 • OLD RULE: Only EXPERTS do complex work. • DISRUPTIVE TECHNOLOGY: Expert systems • NEW RULE: Generalists can do complex work like an EXPERT *Hammer & Chanmpy, 1993 8.15 * © Prentice Hall 2002 USING IT TO BREAK DYSFUNCTIONAL RULES* Example #3 • OLD RULE: Field personnel need OFFICES to receive, store, retrieve, and transmit information. • DISRUPTIVE TECHNOLOGY: Portable and home computers, modems, and wireless data communication • NEW RULE: Field personnel send and receive information WHEREVER they are * *Hammer & Chanmpy, 1993 8.16 © Prentice Hall 2002 PRINCIPLES FOR REDESIGNING PROCESSES* 1. ORGANIZE AROUND OUTCOMES, NOT TASKS 2. ASSIGN USERS OF OUTPUT TO PERFORM PROCESS 3. INTEGRATE INFORMATION PROCESSING INTO WORK THAT PRODUCES INFORMATION * *Hammer, 1990 8.17 © Prentice Hall 2002 PRINCIPLES FOR REDESIGNING PROCESSES* 4. CREATE VIRTUAL ENTERPRISE BY TREATING GEOGRAPHICALLY DISTRIBUTED RESOURCES AS THOUGH THEY WERE CENTRALIZED 5. LINK PARALLEL ACTIVITIES INSTEAD OF INTEGRATING THEIR RESULTS *Hammer, 1990 * 8.18 © Prentice Hall 2002 PRINCIPLES FOR REDESIGNING PROCESSES* 6. HAVE PEOPLE WHO DO WORK MAKE DECISIONS, MONITOR PROCESS BY BUILT-IN CONTROLS * *Hammer, 1990 8.19 © Prentice Hall 2002 INFORMATION SYSTEMS LIFE CYCLE • DEFINITION PHASE: End-users & analysts conduct analysis • CONSTRUCTION: Use of structured techniques, system development methodology • IMPLEMENTATION: Plan, test, train, accept, monitor * 8.20 © Prentice Hall 2002 LOGIC TO-BE MODEL SYMBOLS ELEMENT SENDING OR RECEIVING DATA. NAMES ARE NOUN LABELS DATA IN MOTION BETWEEN ELEMENTS. NAMES ARE NOUNS OR NUMBERS PROCESSES WITH INPUT & OUTPUT. NAMES ARE VERB PHRASES & NUMBERS DATA STORE WITH INPUT & OUTPUT. NAMES ARE NOUNS & NUMBERS 8.21 * © Prentice Hall 2002 LOGIC TO-BE MODEL PROCESSES • IDENTIFY ENTITIES THAT SUPPLY, USE SYSTEM INFORMATION • DISTINGUISH PROCESSES FROM DATA THEY USE OR PRODUCE • EXPLICATES RULES AFFECTING CHANGING DATA TO INFORMATION • IDENTIFY LOGICAL RELATIONSHIPS • PINPOINT DUPLICATE STORAGE, MOVEMENT OF DATA 8.22 * © Prentice Hall 2002 WORK PROCESS FLOW SYMBOLS: INPUT/OUTPUT PUNCHED CARD PROCESS MAGNETIC TAPE MANUAL OPERATION ON-LINE STORAGE DOCUMENT DATABASE ON-LINE INPUT ON-LINE DISPLAY 8.23 TELECOMMUNICATIONS LINK © Prentice Hall 2002 PROGRAM FLOWCHART SYMBOLS: BEGIN OR END INPUT OR OUTPUT DIRECTION SUBROUTINE PROCESS MANUAL OPERATION DECISION CONNECTOR 8.24 © Prentice Hall 2002 OBJECT-ORIENTED TECHNIQUES • KEY IDEA: Work with reusable objects to speed up development! TWO PRINCIPLES: • ENCAPSULATION: Store data and related operations together within objects • INHERITANCE: Share common characteristics between classes of objects * 8.25 © Prentice Hall 2002 OBJECT-ORIENTED APPROACH • DEFINE TASK: Search library of existing objects useful to task • PROCESS: Create bare-bones prototype, test, provide critical feedback, repeat & refine • ELAPSED TIME: Can be weeks * 8.26 © Prentice Hall 2002 IT-RELATED RISKS • ORGANIZATIONAL RISKS: From changes in environment • PERSONNEL RISKS: From loss of expertise, system use (or non-use) • SYSTEM PROJECT RISKS: From project management deficiencies • EXTERNAL SECURITY RISKS: Criminal acts, natural disasters 8.27 * © Prentice Hall 2002 LIFE CYCLE CONTROLS • DEFINITION & CONSTRUCTION: – Methodology standards – Validation rules & calculations – System testing • IMPLEMENTATION: – Security – Backup & recovery – Auditing Roles 8.28 * © Prentice Hall 2002 CHAPTER 8 Basic Information Systems Concepts 8.29 © Prentice Hall 2002