Introduction to Information Technology
2nd Edition
Turban, Rainer & Potter
© 2003 John Wiley & Sons, Inc.
Chapter 2:
Information Technologies in Modern
Organizations
Prepared by:
Roberta M. Roth, Ph.D.
University of Northern Iowa
Introduction to Information Technology, 2nd Edition
Turban, Rainer & Potter
© 2003 John Wiley & Sons, Inc
2-1
Chapter Preview
™ In this chapter, we will study:
¾Foundation concepts of information
systems in organizations.
¾How information systems help
organizations solve problems and seize
opportunities.
¾How information systems are managed in
organizations.
¾Career opportunities in Information
Technology.
Introduction to Information Technology, 2nd Edition
Turban, Rainer & Potter
© 2003 John Wiley & Sons, Inc
2-2
Foundation Concepts
™ Information Infrastructure:
¾The physical facilities, services, and
management that support all organizational
computing resources.
• Computer hardware
• General-purpose software
• Networks and communications facilities
• Databases
• Information management personnel
Introduction to Information Technology, 2nd Edition
Turban, Rainer & Potter
© 2003 John Wiley & Sons, Inc
2-3
Foundation Concepts (continued)
™ Information Infrastructure (continued)
¾Defines integration, operation,
documentation, maintenance, and
management of computing resources.
¾Defines how specific computing resources
are arranged, operated, and managed.
Introduction to Information Technology, 2nd Edition
Turban, Rainer & Potter
© 2003 John Wiley & Sons, Inc
2-4
Foundation Concepts (continued)
™ Information Architecture
¾High-level plan that details
• The organization’s information requirements
• The way these requirements are being
satisfied.
¾Incorporates information requirements,
existing and planned information
infrastructure and software applications.
¾Helps ensure that the organization’s IT
meets the organization’s strategic business
needs.
Introduction to Information Technology, 2nd Edition
Turban, Rainer & Potter
© 2003 John Wiley & Sons, Inc
2-5
Types of Information Systems
™ Transaction Processing Systems
¾Support/perform routine business events.
¾Collect, store, process, and disseminate
basic business transaction data.
¾Provide foundation data for many other
systems.
¾May be complex and sophisticated.
¾Essential to business success today.
Introduction to Information Technology, 2nd Edition
Turban, Rainer & Potter
© 2003 John Wiley & Sons, Inc
2-6
Types of Information Systems, (continued)
™ Management Information Systems
¾Support routine decision making
¾Access, organize, summarize, and display
information.
¾Emphasize routine reporting on known and
anticipated issues.
¾Also, answer queries and forecast trends.
Introduction to Information Technology, 2nd Edition
Turban, Rainer & Potter
© 2003 John Wiley & Sons, Inc
2-7
Types of Information Systems, (continued)
™ Support Systems
¾Office Automation – support for office
workers
¾Decision Support – support complex, nonroutine managerial decision makers
• Executive Information Systems – support
higher-level managers
• Group Support Systems – employ Groupware
to support people working in groups
Introduction to Information Technology, 2nd Edition
Turban, Rainer & Potter
© 2003 John Wiley & Sons, Inc
2-8
Types of Information Systems, (continued)
™ Intelligent Systems
¾Business applications of Artificial
Intelligence
• Expert systems – capable of solving certain
problems as well as human experts.
• Learning systems – can incorporate new
information and update their knowledge.
Introduction to Information Technology, 2nd Edition
Turban, Rainer & Potter
© 2003 John Wiley & Sons, Inc
2-9
How Information Systems Support
Organizations
™ First, consider how organizations are
structured:
¾Typically by functional departments
¾Frequently in a hierarchy
¾May be by project or in a matrix structure
™ Information Systems in an organization
are developed to support the way the
organization is structured.
Introduction to Information Technology, 2nd Edition
Turban, Rainer & Potter
© 2003 John Wiley & Sons, Inc
2-10
How Information Systems Support
Organizations, (continued)
™ Information systems consist of
numerous applications
¾An application is system developed for a
specific purpose
™ Applications and systems can support
¾Individuals / teams
¾Departments
¾Plants / divisions
¾Entire enterprise
Introduction to Information Technology, 2nd Edition
Turban, Rainer & Potter
© 2003 John Wiley & Sons, Inc
2-11
How Information Systems Support
Organizations, (continued)
™ Information systems can also be
interorganizational
¾Connect two or more organizations having
a common interest or business need.
¾Important in facilititating e-commerce.
Introduction to Information Technology, 2nd Edition
Turban, Rainer & Potter
© 2003 John Wiley & Sons, Inc
2-12
How Information Systems Support
People in Organizations
™ IS support needed by people depends
on their role in the organization.
¾Top managers make strategic decisions
¾Middle managers make tactical decisions
¾Line managers make operations decisions
¾Knowledge workers create and integrate
knowledge
¾Clerical workers use and manipulate
information
Introduction to Information Technology, 2nd Edition
Turban, Rainer & Potter
© 2003 John Wiley & Sons, Inc
2-13
How Information Systems Support
People in Organizations, (continued)
Insert Figure 2.5 from textbook here
Introduction to Information Technology, 2nd Edition
Turban, Rainer & Potter
© 2003 John Wiley & Sons, Inc
2-14
How Information Resources are
Managed in Organizations
™ Information resources encompass many
things, including
¾ Hardware (computers, servers, other devices)
¾ Software (development tools, languages, applications)
¾ Databases
¾ Networks (local area, wide area, Internet, intranet)
¾ Procedures
¾ Physical buildings.
™ Resources are very costly; proper
management is essential.
Introduction to Information Technology, 2nd Edition
Turban, Rainer & Potter
© 2003 John Wiley & Sons, Inc
2-15
How Information Resources are
Managed in Organizations
™ Responsibility for information resources
shared by IS Department and end
users.
™ Organizations must determine who is
responsible for planning, purchasing,
developing, and maintaining information
resources.
™ Cooperation is essential.
Introduction to Information Technology, 2nd Edition
Turban, Rainer & Potter
© 2003 John Wiley & Sons, Inc
2-16
Role of the IS Department
™ Shifting from technical to managerial
orientation.
™ Increasing focus on adding strategic
value to the organization.
™ As IS is challenged to add strategic
value, management of IS becomes
more complex.
™ Chief Information Officer (CIO) heads IS
in many organizations.
Introduction to Information Technology, 2nd Edition
Turban, Rainer & Potter
© 2003 John Wiley & Sons, Inc
2-17
Ways to Ensure IS Department / End
User Cooperation
™ Use of steering committee
™ Joint project teams
™ IS presence on executive committee
™ Use of service agreements
™ Information Center
™ Conflict resolution unit
Introduction to Information Technology, 2nd Edition
Turban, Rainer & Potter
© 2003 John Wiley & Sons, Inc
2-18
Career Opportunities in IT
™ Systems Analyst / Developer
™ Webmaster / E-Commerce Specialist
™ Business Analyst
™ Programmer
™ Telecomm / Network Specialist
™ Database Administrator / Specialist
™ System Operations Specialist
Introduction to Information Technology, 2nd Edition
Turban, Rainer & Potter
© 2003 John Wiley & Sons, Inc
2-19
Chapter Summary
™ Information Infrastructure comprised of
all facilities, services, and management
that supports all computing resources.
™ Information Architecture details
information requirements and how those
requirements are being and will be
satisfied.
Introduction to Information Technology, 2nd Edition
Turban, Rainer & Potter
© 2003 John Wiley & Sons, Inc
2-20
Chapter Summary (continued)
™ Information Systems are classified by
type (TPS, MIS, Support, Intelligent).
™ Information Systems are designed to
support the organization’s structure.
™ Information Systems provide support to
all levels and types of personnel.
™ Management of IS resources is joint
responsibility of IS Dept. and end users.
™ Many career options available in IS.
Introduction to Information Technology, 2nd Edition
Turban, Rainer & Potter
© 2003 John Wiley & Sons, Inc
2-21
Copyright © 2003 John Wiley & Sons, Inc. All rights reserved. Reproduction
or translation of this work beyond that permitted in Section 117 of the 1976
United Stated Copyright Act without the express written permission of the
copyright owner is unlawful. Request for further information should be
addressed to the Permissions Department, John Wiley & Sons, Inc. The
purchaser may make back-up copies for his/her own use only and not for
distribution or resale. The Publisher assumes no responsibility for errors,
omissions, or damages, caused by the use of these programs or from the
use of the information herein.
Introduction to Information Technology, 2nd Edition
Turban, Rainer & Potter
© 2003 John Wiley & Sons, Inc
2-22