Information Systems Eras
Evolution of Information Systems
(Modelling and Tools)
Babak Akhgar
1950-2000 (Time Frame)
Characteristics of today’s business
environment:
globalization
global marketplace
global competition
global work groups
global information systems
Characteristics of today’s business
environment:
transformation of industrial economies
knowledge and information-based economies
productivity
innovation
time-based competition
shorter product life
turbulent environment
Characteristics of today’s business
environment:
transformation of the organization
flatter
decentralized
flexible
collaborative work and teamwork
empowered workforce
lower operating costs
Transformation of the Business
Enterprise
traditional business firm hierarchical
centralized
standard operating procedures for mass
production
new style of business firm flatter
decentralized
flexible arrangement of generalists and
specialists
Transformation of the Business Enterprise
similar to a symphony
consist of knowledge workers
college educated
members of profession (e.g., engineers,
doctors, lawyers, scientists, etc.)
jobs consist primarily of creating new
information and knowledge
IT has evolved to enable and support new form of
organization
Different kinds of systems
Organizations and info. systems can be divided
into four levels:
operational-level
knowledge-level
management-level
strategic-level
3- 5
Era
Era II Data
Data Processing
Processing
Primary
Objective
Justification
Irwin/McGraw-Hill
Support of
Operations
Large
Company
Units
Efficiency
Single
DP/IS
Department
Primary
“Clients”
Source
©The McGraw-Hill Companies, Inc., 1998
3- 4
Era
Era IIII MIS
MIS
Primary
Objective
Justification
Irwin/McGraw-Hill
Management
Support
Individual
Managers
and
Professionals
Primary
“Clients”
Management
Effectiveness
Information
Systems Units
and End
Users
Source
©The McGraw-Hill Companies, Inc., 1998
Era
Era III
III of
of Organisational
Organisational Computing:
Computing: Support
Support
of
of Business
Business Transformation
Transformation && Competition
Competition
Primary
Objective
Entranced
Competitive
Position
Line of
Business
Units
Justification
Market Share
and
Profitability
Coordinated
Organizational
End User
Computing
Irwin/McGraw-Hill
3- 3
Primary
“Clients”
Source
©The McGraw-Hill Companies, Inc., 1998
3- 1
Era
EraIV
IV of
of Organisational
Organisational Computing:
Computing:
Primary
Objective
Justification
Irwin/McGraw-H ill
Electronic
Integration
Collaborating
Teams
Primary
“Clients”
Organizational
Effectiveness
Owned and
Outsourced
Computing
Infrastructure
Source
©The McGraw-Hill Companies, Inc., 1998
Six Major types of Systems
TPS: Transaction Processing Systems
MRS: Management Reporting Systems
DSS: Decision Support Systems
EIS: Executive information systems
PSS: Professional Support Systems
OIS: Office Information Systems
1.TPS transaction processing systems
operational level
perform and record daily routine transactions
necessary to conduct the business
2.MRS Management Reporting Systems
Used by managers responsible for specific
functions or processes in a firm
provide routine summary and exception reports
managers use these reports to help control their
area of responsibility
3.DSS decision support systems
Designed to support individual and collective
decision making
often use information from external sources
more analytical power than other types of systems
4.EIS executive information systems
strategic level of the organization
support long-term, strategic view
used by senior executives
easy access to summarised company data
incorporate external information on industry and
economy
5.PSS Professional Support Systems
Support performance of tasks specific to a given
profession
For example
lawyers doing legal research
architects designing buildings
designers modeling a new automobile
student C&P system (cut and paste
system) !!
6.OAS office information systems
support and help coordinate knowledge work in
an office environment
emphasis on increased productivity
systems include e-mail, scheduling systems, word
processing
Program Scope
People
The Big
Picture
Process
Technology
Organization
Why Model?
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Helps users and developers to communicate
Provides traceability from business model through
to final system
Central repository for business knowledge
Improve overall system quality
Reduce long term costs
Rapid business and technological change demands
flexibility
Large complex systems need to be designed
Model Requirements
Business process driven
Industry standard
Easy to learn and use
Pragmatic
Integrated
Minimalist
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Opportunity Framework
System Analysis Framework
Support activities
The Value Chain
Firm
infrastructure
Human resource
management
Technology
development
Procurement
Marketing
Inbound
Outbound
Operations
and Sales Margin
logistics
logistics
service
Source: Porter & Millar
Primary activities
Three - level IT Strategy
IS Strategy
What
?
• Division/SBU/function based
• Demand oriented
• Business focused
IM Strategy
Wherefore
?
• Organisation based Management
• Relationships oriented
• Management focused
IT Strategy
How? • Activity based
• Supply oriented
• Technology focused
Source: Earl
Delivery
A Multiple Methodology
Business plans
and goals
Current systems
Analytical
Top
down
Methodology
Teamwork
Evaluative
Bottom
up
Surveys and
audits
Users and
specialists
Application strategic plan
Source: Earl
IT opportunities
Creative
Inside
out
Techniques,
processes and
environment
Brightsparks
and product
champions
Delivery Process Outline
Feasibility
Analysis
Prototype
Plan
Increment
Design
& Build
Roll Out
User
Acceptance