Data: Refers to an elementary description of things, events, activities, and transactions that are
recorded, classified, and stored, but are not organized to convey any specific meaning.
Information: Refers to data that have organized so that they have meaning and value to the
recipient.
Knowledge: Consists of data and/or information that have been organized and processed to
convey understanding, experience and accumulated learning.
The first four are called information technology components:
Hardware, Software, Database, Network, Procedures
HSDNP
NOT: Procedures + :People
Transaction processing system: Supports the monitoring, collection, storage, andv processing
of data.
● Information systems that connects two or more organizations are referred to as
interorganizational information systems.
Business analytics: Provide computer-based support for complex, nonroutine decisions,
primarily for middle managers and knowledge workers.
Dashboards: Are a special form of IS that supports all managers of the organization.
Various vtypes of IS:
- Transactional (MCSP)
- Functional (particular function)
-Interorganizational (Support many interorganizational operations)
IS plays a vital role in 3 areas:
- Executing the process (when a sale is made, compare inventory quantity on hand)
- Capturing and storing process data (Purchase requisition increase the quantity on order)
- Monitoring Process Performance (Reports can be produced to identify purchase
requisitions)
BPR: Improving the efficiency and effectiveness of an organization.
BPI: Help organzations redesign their existing business operations. Define, Measure, Analyze,
Improve, Control DMAIC
Porters Forces Model:
1. Threat of entry of new competitors
2. The Bargaining power of suppliers
3. The Bargaining power of customers
4. The threat of substitute products or services
5. The rivalry among firms in an industry
Organizations:
- View IT as an engine of innovation that continually transforms the business
- Create a vibrant and inclusive company culture
- View their internal and external customers and their customer service function