MIS
CHAPTER 1
INFORMATION SYSTEMS:
AN OVERVIEW
TJX Credit Card Breach
Fed Ex
Cyrus
NFL Coaches
Hossein BIDGOLI
Knowledge Workers
Herrs chips
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Survey of majors
Why in this class?
Want to be a business person, how can this class help
you
◦ First job, someone asks your opinion on how to improve
the company’s CRM
 What's a CRM?
 What does CRM do?
 What makes a good CRM?
◦ Personalize the material
◦ How this class relates to your goal of becoming a business
professional
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5
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Accounting
Finance
Marketing
HR
Operations
• Use IS more than any other non IS field
• Access to funds
• Where to invest ----Can be heavily analytical
• Sales force automation SFA
• Geographic IS
CRM
• HRM , payroll, benefits
• SCM
• CAD/CAM
• Intranets
Media & Communications
• Digital rights management systems
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What is a system?
Chip
Factory
8
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Combinations of hardware, software, and telecommunications
networks that people build and use to collect, create and
distribute useful data, typically in organizational settings.
Control of System Performance
Input of
Data
Resources
Processing
Data
Output of
Information
Products
Storage of Data Resources
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Knowledge Workers
Knowledge Worker
1960
2000
Knowledge Worker (Peter Drucker 1959)
• Professionals that create, modify and/or synthesize information as a
fundamental part of their job
• They will require higher education levels and received higher
compensation than workers in agriculture or manufacturing
• At least 35% of all workers in Canada are knowledge workers
As a knowledge worker of the future, computers and
information technology will help you be more effective
and productive, no matter what profession you
choose.
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Computers and information systems are all
around you
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Online classes
Grading
Grocery and retail
PDA and smartphones
Internet
“Information systems” versus “information
technology”
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January 2007
Identity thieves stole more than 46.5 million
credit cards
◦ Used sophisticated hacking techniques to break
through security systems
◦ Stored the stolen information on servers in Eastern
Europe and the United States

Shows the international nature of cybercrime
TJX Credit Card Breach
•
Computer literacy
◦ Having skills in using productivity software
•
Information literacy
◦ Understanding the role of information in generating
and using business intelligence
•
Business intelligence (BI)
◦ Provides historical, current, and predictive views of
business operations and environments
◦ Gives organizations a competitive advantage in the
marketplace
•
Transaction processing systems (TPSs)
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Focus on data collection and processing,
Cost reduction
Operations repetitive
Human involvement minimal
Fed Ex
•
Management information system (MIS)
◦ Designed to produce timely, integrated, relevant,
accurate, and useful information
 For decision-making purposes
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Used in both the private and public sect
Many organizations use information systems
to gain a competitive advantage
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Data
Database
Process
Information
•
Data
◦ Input to the system
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Sources of data
◦ External
◦ Internal
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414712905
SIN 414-712-905
Time orientation
Can be collected in different forms
◦ Aggregated
◦ Disaggregated
ATM
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Database
◦ Heart of an information system
◦ Collection of all relevant data organized in a series
of integrated files
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Essential for the success of any information
system
Managed with database management system
(DBMS): e.g., Oracle
Reduces personnel time needed to gather,
process, and interpret data manually
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Information
◦ Output of an information system
◦ Facts that have been analyzed by the process
component
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Quality of information
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Timeliness
Integration with other data and information
Consistency and accuracy
Relevance
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User interface
◦ Must be flexible and easy to use
◦ Graphical user interfaces (GUIs)
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Ultimate goal of an information system
◦ Generate business intelligence (BI)
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a university
◦ The university stores all student data in a database
◦ Built-in query capability
◦ Other types of analysis can be done
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Information
◦ Second most important resource in any
organization
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Four Ms of resources:
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Manpower >> Personnel info system
Machinery >> Manufacturing Info System
Materials >> Logistics info system
Money >> Financial Info system
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1. Increase employee productivity by reducing time,
errors and costs using
2. Enhance decision making
3. Improve team collaboration
4. Create business partnerships and alliances
5. Enable global reach all over the world taking into
consideration the culture of each nation or society.
6. Facilitate organizational transformation as the
organization evolves and responds to the ever-changing
marketplace.
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1831
Cyrus McCormick
Competitive advantage
Significant, long-term benefit to a company over
its competition
Ability to establish and maintain a competitive
advantage is vital to a company’s success
NFL Coaches
NFL Coaches
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•
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What sources of competitive advantage
can you identify the New England
Patriots have by using information
technology?
Are these long term, sustainable
competitive advantages?
From our list of Roles and goals of
Technology, what does the IS of the NFL
do?
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Michael Porter
◦ Professor at Harvard Business School
◦ Identified three strategies for competing in the
marketplace successfully
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Overall cost leadership
Differentiation
Focus
Wal-mart
La Quinta
Amazon.com
Nordstom
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Five Forces Model
◦ Michael Porter
◦ For analyzing an organization, its position in the
marketplace, and how information systems could
be used to make it more competitive
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How IS can have a factor in the industry
Switching costs
B2B marketplace
Loyalty programs
Ex ATM
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Analyze the industry that
UTZ is in using the porter
five forces model, is it a
good industry to be in?
What competitive advantage
do you feel Utz has? ( which
generic strategy) How does
information play into that
competitive advantage
MIS, Chapter 1
©2011 Course Technology, a part of Cengage Learning
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Chapter 1 Information Systems: An Overview
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How IS can have a factor in the industry
MIS, Chapter 1
©2011 Course Technology, a part of Cengage Learning
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Herrs chips
MIS, Chapter 1
©2011 Course Technology, a part of Cengage Learning
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Examples of uses for computers and
information systems
Difference between computer literacy and
information literacy
Management information system (MIS)
◦ Data, database, process, and information
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Porter
◦ Three competitive strategies
◦ Five Forces Model