Introduction to IS &
Fundamental Concepts
Infsy 540
Dr. R. Ocker
Chapter
Chapter1:
1: Introduction
Chapter
1:
Introduction to
to Information
Information
Systems
and
Their
Capabilities
Introduction
Information
Systems
Systems
and to
Their
Capabilities
and Their Capabilities
1- 1
Chapter 2:
Fundamental Concepts of IS
First
First Edition
Edition
Foundations of Information Systems
Vladimir
Vladimir Zwass
Zwass
Irwin/McGraw-Hill
Irwin/McGraw-Hill
© The McGraw-Hill Companies, Inc., 1998
©The McGraw-Hill Companies, Inc., 1998
What are some characteristics
of today’s business
environment?
Characteristics of today’s
business environment:

globalization
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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
What is an information system
(IS)?

interrelated components working
together to
– collect, process, store, disseminate
information

to support
– decision making, coordination, control,
analysis, and visualization in an
organization
Components of an IS






Hardware
software
databases
telecommunications (networks)
human resources (system professionals
and end users)
procedures (specifications for the use,
operation, & maintenance of IS)
3 activities in an IS produce
information




1. input - capture of raw data
2. processing - conversion,
manipulation, and analysis of raw input
3. output - distribution of processed
information
CBIS - computer-based information
system - our focus in this course
Information vs. Data

information technology =
IS + telecommunications

information - data that have been
shaped into a form that is meaningful
and useful to humans

data - raw facts before they have been
organized and arranged into a form
useful to people
Information is a corporate
resource...
Attributes of Quality Information







Timely
complete
concise
relevant
accurate
precise
appropriate form
Business perspective on IS


an IS is an organizational and
management solution, based on IT, to
solve a business problem
to use IS effectively, must understand
 organization - e.g. culture
 knowledge workers - users of technology
 management - diff. levels require diff.
types of systems
 role of IT within the organization
Sociotechnical Perspective

We will take a sociotechnical
perspective on IT - the technology and
the organization must mutually adjust to
one another to achieve satisfactory fit
task
technology
people
structure
Different kinds of systems

Organizations and info. systems can be
divided into four levels:
– operational-level
– knowledge-level
– management-level
– strategic-level
Organizational information
systems provide:




knowledge-work support
support knowledge and data workers in
an organization; help workers design
products, distribute information, and
cope with paperwork; fastest growing
applications
operational support
monitor low-level activities and
transactions of the organization
Organizational information
systems provide:




management-level support
support management activities of
monitoring, controlling, decision-making,
and administrative activities of middle
managers
executive-level support
support long-range planning activities
of senior management
1- 4
Information
Information Systems
Systems
Executive
Info.
Systems
Decision
Support
Systems
Management
Support
Mgmt.
Reporting
Systems
Transaction
Processing
Systems
Organizational
Support
Support of
Knowledge Work
Professional
Support
Systems
Office
Info.
Systems
Interorganizational Systems
Irwin/McGraw-Hill
©The McGraw-Hill Companies, Inc., 1998
Six Major types of Systems

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TPS
MRS
DSS
EIS
PSS
OIS
transaction processing systems
management reporting systems
decision support systems
executive information systems
professional support systems
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 summarized 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
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
7. Expert Systems (ES)




Branch of Artificial Intelligence
suggest a decision
based on a knowledge base (rather
than a data base)
incorporate heuristics
– informal “rules of thumb”

ES can be incorporated into all types of
IS or can be used as stand-alone
system
Information Architecture

particular form that IT takes in an
organization to achieve goals

computer systems base  HW, SW, data, telecommunications
 operated by technical people
Information Architecture


Managers design an organization’s
information architecture
decide how to arrange and coordinate
the various computer technologies and
business system applications to meet
the information needs of each level of
the organization
– operational, knowledge, management,
strategic

more details next lecture
10 Principal capabilities of IS
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1. Fast and accurate data processing
with large-capacity storage and rapid
communication between sites
2. Instantaneous access to information
3. Means of coordination
4. Boundary spanning
5. Support for decision making
10 Principal capabilities of IS


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6. Supporting organizational memory
and learning
7. Routinizing organizational practice
8. Differentiation of products and
services
9. Modeling
10. automation
Key
Key Terms
Terms in
in Chapter
Chapter 11 &
& 22
Information
Information Systems
Systems
Information
Information Systems
Systems
Literacy
Literacy
Knowledge
Knowledge Work
Work
Transaction
Transaction
Processing
Processing System
System
Management
Management Reporting
Reporting
System
System
Decision
Decision Support
Support
System
System
Executive
Executive Information
Information
System
System
Professional
Professional Support
Support
System
System
Office
Office Information
Information
System
System
Expert
Expert System
System
Interorganizational
Interorganizational
System
System
Irwin/McGraw-Hill
Computer
Computer
Software
Software
Hardware
Hardware
Telecommunications
Telecommunications
Computer
Computer Network
Network
Internet
Internet
World
World Wide
Wide Web
Web
Coordination
Coordination
Boundary-Spanning
Boundary-Spanning
Organizational
Organizational Memory
Memory
Model
Model
Automation
Automation
Business
Business Process
Process
Business
Business Process
Process
Redesign
Redesign
Sociotechnical
Sociotechnical
Perspective
Perspective
1- 9
Planning
Planning
Controlling
Controlling
Leading
Leading
Organizing
Organizing
Information
Information Systems
Systems
Architecture
Architecture
©The McGraw-Hill Companies, Inc., 1998