Management Information Systems
for the Information Age
Third Edition
Haag
Cummings
McCubbrey
The Information Age
in Which You Live
McGraw-Hill/Irwin
CHAPTER
1
© 2002 The McGraw-Hill Companies, Inc. All rights reserved.
Haag
Cummings
McCubbrey
Third Edition
Knowledge Workers Checklist
MIS challenge
factors shaping the new business
role of IT
information: a key resource
information-literate knowledge workers
McGraw-Hill/Irwin
© 2002 The McGraw-Hill Companies, Inc. All rights reserved.
Haag
Cummings
McCubbrey
Third Edition
Aspects of the MIS Challenge
what businesses do
customer moment of value
role of IT
McGraw-Hill/Irwin
© 2002 The McGraw-Hill Companies, Inc. All rights reserved.
Haag
Cummings
McCubbrey
Third Edition
What do businesses do?
• serve customers
• mass customization
– MCI example
– serving each customer’s
unique needs
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© 2002 The McGraw-Hill Companies, Inc. All rights reserved.
Haag
Cummings
McCubbrey
Third Edition
Businesses must effectively use 3 key resources
information
information
technology
people
to serve each customer
McGraw-Hill/Irwin
© 2002 The McGraw-Hill Companies, Inc. All rights reserved.
Haag
Cummings
McCubbrey
Third Edition
Customer Moment Of Value
Providing service:
• when the customer wants it
time
• where the customer wants it
location
• how the customer wants it
form
• in a manner guaranteed to satisfy the customer
perfect delivery
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© 2002 The McGraw-Hill Companies, Inc. All rights reserved.
Haag
Cummings
McCubbrey
Third Edition
Role of IT
To Know:
• time when customer’s moment of value
occurs
• location of customer’s moment of value
• form of customer’s moment of value
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© 2002 The McGraw-Hill Companies, Inc. All rights reserved.
Haag
Cummings
McCubbrey
Third Edition
IT Helps Provide
right people
right information
right time
KNOWLEDGE
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© 2002 The McGraw-Hill Companies, Inc. All rights reserved.
Haag
Cummings
McCubbrey
Third Edition
IT Operates in:
the new business environment
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© 2002 The McGraw-Hill Companies, Inc. All rights reserved.
Haag
Cummings
McCubbrey
Third Edition
Characteristics of New Business
Globalization
• products from all over
• foreign competition
– trade blocs
• GATT
• EU
• NAFTA
McGraw-Hill/Irwin
© 2002 The McGraw-Hill Companies, Inc. All rights reserved.
Haag
Cummings
McCubbrey
Third Edition
Information – A Key Resource
 today’s economy:
wants driven
– need more info
– large databases
• data warehouses
McGraw-Hill/Irwin
© 2002 The McGraw-Hill Companies, Inc. All rights reserved.
Haag
Cummings
McCubbrey
Third Edition
E-Commerce
•
•
•
•
•
•
hottest topic in business, today
accelerated/enhanced by IT
home shopping, banking, etc.
EDI
competitive scanning
distributing info to prospective customers
new business horizon
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© 2002 The McGraw-Hill Companies, Inc. All rights reserved.
Haag
Cummings
McCubbrey
Third Edition
Knowledge Worker Computing
provides workers with:
• technology
• technology power
• software
• information
• technology knowledge
McGraw-Hill/Irwin
© 2002 The McGraw-Hill Companies, Inc. All rights reserved.
Haag
Cummings
McCubbrey
Third Edition
Characteristics of New Business
• globalization
• key resource: information
• e-commerce
• knowledge worker computing
McGraw-Hill/Irwin
© 2002 The McGraw-Hill Companies, Inc. All rights reserved.
Haag
Cummings
McCubbrey
Third Edition
Information Technology
• information processing tasks
• decision-making tasks
• shared information & decentralized
computing
• innovation
McGraw-Hill/Irwin
© 2002 The McGraw-Hill Companies, Inc. All rights reserved.
Haag
Cummings
McCubbrey
Third Edition
Information-Processing Tasks
• capturing information
• conveying information
• creating information
• cradling information
• communicating information
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© 2002 The McGraw-Hill Companies, Inc. All rights reserved.
Haag
Cummings
McCubbrey
Third Edition
Supporting Decision Making
• OLTP
• OLAP
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© 2002 The McGraw-Hill Companies, Inc. All rights reserved.
Haag
Cummings
McCubbrey
Third Edition
Shared Information & Decentralized Computing
• access to all information by anyone
• through technology spread across the
organization
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Haag
Cummings
McCubbrey
Third Edition
Innovation
• do business in new ways
• create a competitive advantage
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Haag
Cummings
McCubbrey
Third Edition
Information – A New Key Business Resource
data
McGraw-Hill/Irwin
information
© 2002 The McGraw-Hill Companies, Inc. All rights reserved.
Haag
Cummings
McCubbrey
Third Edition
Flows of Information
• up
• down
• horizontal
• out
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© 2002 The McGraw-Hill Companies, Inc. All rights reserved.
Haag
Cummings
McCubbrey
Third Edition
Information Types
• internal
– specific operational aspects
• external
– outside environment
• objective
– quantifiable description
• subjective
– attempt at description of unknown
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© 2002 The McGraw-Hill Companies, Inc. All rights reserved.
Haag
Cummings
McCubbrey
Third Edition
Information-Literate Knowledge Worker
• requisite skills:
– define what information is needed
– know how/where to get info
– understand what it means
– make appropriate decisions
– maintain ethical and legal standards
• knowledge workers outnumber others 4 to 1
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© 2002 The McGraw-Hill Companies, Inc. All rights reserved.
Haag
Cummings
McCubbrey
Third Edition
Ethics
• not laws
• personal interpretation
• how you want others to act toward you
McGraw-Hill/Irwin
© 2002 The McGraw-Hill Companies, Inc. All rights reserved.
Haag
Cummings
McCubbrey
Third Edition
Summary
• businesses use information, information technology
and people to serve customers
• information is a key resource in this wants driven
economy
• IT works within the new business environment to
convert information into knowledge
• e-commerce is the hottest topic in business, today
• the information literate knowledge worker is a
sought-after commodity in the information age in
which we all live
McGraw-Hill/Irwin
© 2002 The McGraw-Hill Companies, Inc. All rights reserved.