MANAGEMENT INFORMATION SYSTEMS
EXAM PREP WORKSHOP
FOCUS AREAS
 CHAPTER 2
 CHAPTER 3
 CHAPTER 6
 CHAPTER 8
 CHAPTER 9
 CHAPTER 10
 CHAPTER 12
Information systems in Global Business Today
 The role of Information Systems in Business
 Dimensions of an information system:
Source: Laudon and Laudon
Global E-business
Management information Systems may be defined as :
« Systems designed to produce information on a
periodic basis instead of on a daily recurring basis. »
Types of support systems
 DSS ( Decision Support Systems)
a) Serves the management level of an organization
b) Somewhat different from an MIS
c) A DSS uses internal data and combines external data
to analyze various decisions based on the
information.
d) The analysis of complex, interactive decisions is the
primary reason for using a DSS.
ESS (Executive Support Systems)
 Are use by upper levels of management
 Used to analyze both internal and
external data to help make decisions
 Executives make their decisions based
on the information provided by the
ESS.
(SCM)Supply Chain Management Systems
 SCM Systems offer new
opportunities to integrate data and
information with their suppliers
and their customers.
Global Supply Chain Issues
 Greater geographic distances and time differences
 Additional Costs for transportation, inventory and
local taxes and fees
 Varying performance standards
 Foreign government regulations
 Cultural differences
Benefits of an integrated SCM
 Match supply to demand
 Reduce inventory levels
 Improve delivery service
 Speed product time to market
 Use assets more effectively
Information systems, Organizations and Strategies
Information Systems in Competitive advantage:
 Porter’s Competitive forces model
Information System Strategies for
competitive forces
 Low cost leadership
 Efficient customer response systems
 Product Differentiation
 Market Niche
 Customer and Supplier Intimacy
Data Bases and Information
Management
« A database Management System is
another software program which
permits an organization to
centralize data by application
programs. »
Types of Database Management
Systems
A) Object Orientated : Data represented
by pictures , text, audio and video can
be captured.
B) Relational: Stores data in tables. Data
is then extracted and combined into
whatever format as per the
requirement of the user.
Benefits of a DBMS
 Reduces the complexity of the information







environment
Reduces data redundancy and inconsistency
Eliminates data confusion
Creates program data independance
Enhances flexibility
Reduces program and development costs
Improves the accessibility to information
Allows for easy retrieval of information
Securing information systems
 The importance of securing
information systems
 Internet Vulnerabilities
 Technologies and Tools for securing
information systems
Types of threats to information
systems
 Hackers
 Viruses
 Spoofing and Sniffing
 Pharming
 Click fraud
 Cyberterrorism and cyberwarfare:
Methods of encryption
• Symmetric key encryption
•
Shared, single encryption key sent to receiver
• Public key encryption
•
Two keys, one shared/public and one private
•
Messages encrypted with recipient’s public key but can only
be decoded with recipient’s private key
Encryption and Public Key Infrastructure
 Software programs are used to encrypt or scramble transmissions
before they are sent
 The sender and recipient have special software programs to encode
and decode the end transaction.
E Commerce
 Factors that make e commerce different:
A) Ubiquity
B) Global Reach
C) Universal Standards
D) Richness
E) Interactivity
F) Price transparency
G) Customization
E Commerce Payment systems
 Types of Payment Systems
• Digital credit card payment systems
•
Extend functionality of credit cards for online shopping
payments
•
Provide mechanisms for authentication and transferring money
from bank to seller
• Digital wallets
•
Software stores credit card and other information to facilitate
form completion and payment for goods on Web.
•
Example: Google CheckOut
E Commerce Payment systems
 Types of Payment Systems
• Micropayment systems: For purchases of less than
$10, such as downloads of individual articles or music
clips
•
Accumulated balance digital payment systems: Accumulate
debit balance that users pay periodically on credit card or
telephone bills
•
Stored value payment systems: Allow instant online
payments based on value stored in digital account (e.g.
checking, credit card accounts
•
May require use of digital wallet
•
Example: Smart cards and devices like EZ Pass
E Commerce Payment systems
 Types of Payment Systems
•
Digital cash: “Currency” represented in electronic form that
moves outside normal network of money. Not regulated and not
legal tender
•
Client software allows exchange of money with other e-cash user over
Internet or with retailer accepting e-cash
•
Peer-to-peer payment systems: Serve people who want to send
money to vendors or individuals who are not set up to accept credit
card payments
•
Digital checking payment systems: Electronic check with
secure digital signature
•
Electronic billing presentment and payment systems: Used
for paying routine monthly bills from bank or credit card accounts
E Commerce Payment systems
 Types of Payment Systems
•
Digital cash: “Currency” represented in electronic form that
moves outside normal network of money. Not regulated and not
legal tender
•
Client software allows exchange of money with other e-cash user over
Internet or with retailer accepting e-cash
•
Peer-to-peer payment systems: Serve people who want to send
money to vendors or individuals who are not set up to accept credit
card payments
•
Digital checking payment systems: Electronic check with
secure digital signature
•
Electronic billing presentment and payment systems: Used
for paying routine monthly bills from bank or credit card accounts
CASE STUDY: AMAZON.COM VS EBAY INC.
 How has using the internet for electronic
transactions, assisted Amazon in gaining
competitive advantage?
 What are the advantages and disadvantages of
using e-commerce?