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CHAPTER 1 FOUNDATIONS OF IS. Subject Name: MANGEMENT INFORMATION SYSTEM Subject Code:10IS72 Prepared By: HARKIRANPREET Department: ISE Date: 23 JULY 2014. Engineered for Tomorrow. Descriptor Lorem Ipsum Dolor Sit Amet, Consectetuer Adipiscing. Date dd.mm.yy. Client
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CHAPTER 1 FOUNDATIONS OF IS Subject Name: MANGEMENT INFORMATION SYSTEM Subject Code:10IS72 Prepared By: HARKIRANPREET Department: ISE Date: 23 JULY 2014 Engineered for Tomorrow Descriptor Lorem Ipsum Dolor Sit Amet, Consectetuer Adipiscing Date dd.mm.yy Client So & So Software Pvt. Ltd
CHAPTER 1 FOUNDATIONS OF IS AN IS FRAMEWORK FOR BUSINESS PROFESSIONALS Engineered for Tomorrow Descriptor Lorem Ipsum Dolor Sit Amet, Consectetuer Adipiscing Date dd.mm.yy Client So & So Software Pvt. Ltd
CHAPTER 1 FOUNDATIONS OF IS WHAT IS INFORMATION SYSTEM? • Set Of Hardware & Software Components To Collect, Process, Store & Distribute Information To Support Decision Making. • Combination Of People, Hardware, Software, Communication Networks And Data Resources. Engineered for Tomorrow Descriptor Lorem Ipsum Dolor Sit Amet, Consectetuer Adipiscing Date dd.mm.yy Client So & So Software Pvt. Ltd
PEOPLE Information Systems Resources SOFTWARE HARDWARE NETWORKS DATA CHAPTER 1 FOUNDATIONS OF IS COMPONENTS OF AN INFORMATION SYSTEM Engineered for Tomorrow Descriptor Lorem Ipsum Dolor Sit Amet, Consectetuer Adipiscing Date dd.mm.yy Client So & So Software Pvt. Ltd
WHAT IS SYSTEM? • A Set Of Methods, Procedures And Routines Created To Carry Out A Specific Activity. • It Has Inputs, Outputs And Feedback Mechanism, Have External Environment, Boundaries. • Types: • Physical Or Abstract Systems. • Open Or Closed Systems. • 'Man-made' Information Systems. • Formal Information Systems. • Informal Information Systems. • Computer-based Information Systems. • Real-time System.
Environment Control by Management Feedback Signals Feedback Signals Control Signals Control Signals Input of Raw Materials Output of Finished Products Manufacturing Process System Boundary Other Systems CONTD….WHAT IS A SYSTEM?
Support Strategies for Competitive Advantage Support Business Decision Making Support Business Processes and Operations MAJOR ROLES OF INFORMATION SYSTEMS
CONTD…. • 1) Support Business Processes: Example Is Retail Stores Such As Record Customer Purchases, keep Track Of Inventory, pay Employees Etc.. • 2) Support Decision Making: Helps Managers To Make Better Decisions. Example Is What Kind Of Investment The Merchandise Require, etc.. • 3)Support Competitive Advantage: Requires New Ideas, Technologies Or Innovative Applications. Example: Online Shopping Thru E-commerce Websites.
1970-1980 1950-1960 1960-1970 1980-1990 1990-2000 Strategic & End User Management Reporting Data Processing Electronic Commerce Decision Support Electronic Data Processing - TPS Management Information Systems Decision Support Systems - Ad hoc Reports End User Computing Exec Info Sys Expert Systems SIS Electronic Business & Commerce -Internetworked E-Business & Commerce HISTORY OF THE ROLE OF INFORMATION SYSTEMS
The Internet Company Boundary Suppliers and Other Business Partners Supply Chain Management Procurement, Distribution, and Logistics Extranets Engineering & Research Accounting, and Finance Manufacturing and Production Intranets Customer Relationship Management Marketing Sales Customer Service Extranets Consumer and Business Customers THE E-BUSINESSENTERPRISE
WHY ORGANIZATIONS NEED INFORMATION SYSTEMS • Meeting Global Challenges • Capturing opportunities in the Market Place • Supporting Corporate Strategy • Linking Departments Whose Functions are different • Enhancing Worker Productivity • Increasing Quality of Goods and Services
Information Systems Operations Management Support Support Systems Systems Transaction Process Enterprise Management Decision Executive Processing Control Collaboration Information Support Information Systems Systems Systems Systems Systems Systems TYPES OF INFORMATION SYSTEMS
TRANSACTION PROCESSING SYSTEM • It is an example of operations support system. • Records, Processes Data Resulting From Business Transactions. • Two Ways: • Batch Processing: Over A Period Of Time • 2.Real Time Processing(online): Immediately Processed
PROCESS CONTROL SYSTEM • Monitors And Control Physical Processes. • It deals with architectures, mechanisms and algorithms for maintaining the output of a specific process. • Ex: Petroleum Refinery
ENTERPRISE COLLABORATION SYSTEM • Also Called As Office Automation System • Enhances Team And Workgroup Communication & Productivity • ECS is a combination of groupware, tools, Internet, extranets and other networks needed to support enterprise-wide communications. • Ex: Electronic Mail And Video Conferencing
MANAGEMENT INFORMATION SYSTEM It Refers To A Computer-based System That Provides Managers With The Tools To Organize, Evaluate And Efficiently Manage Departments Within An Organization. It Provides Information In The Form Of Reports And Displays To Managers. Ex: Sales Managers Keeping Record Of Sales Of Products.
DECISION SUPPORT SYSTEM • Provides Support To Managers To Take Decision • What If Analysis Done By DSS • Supports Business And Organizational Decision-making Activities. • Help Decision Makers Compile Useful Information From Raw Data, Documents, Personal Knowledge, And/or Business Models To Identify And Solve Problems And Make Decisions.
EXECUTIVE INFORMATION SYSTEM • Provides Critical Information From A Wide Variety Of Internal And External Sources To Be Used By Executives. • An Executive Information System (EIS) Is A Decision Support System (DSS) Used To Assist senior executives in the decision-making process.
OTHER CATEGORIES OF INFORMATION SYSTEMS Expert Systems: It Provides Expert Advice And Act As Expert Consultants To Users. Ex:-process Monitor, Credit Application Advisor. Knowledge Management System: It Supports The Creation And Organization Of Business Knowledge Within The Enterprise. Ex:- Sales Proposal Strategies Cross Functional Information System: It Supports Variety Of Operational And Managerial Applications Of The Basic Business Functions Of A Company. Ex:-human Resource Management Strategic Information System: It Supports Operations Or Management Processes That Provide A Firm With Strategic Products Or Services For Competitive Advantage. Ex: Shipment Tracking
TOP 5 REASONS OF SUCCESS • User involvement • Executive support • Clear statement of requirements • Proper Planning • Realistic expectations
Engineered for Tomorrow ASSIGNMENT QUESTIONS • How does the use of internets, intranets and extranets by companies today support their business processes and activities.? • How IT supports in decision making? • What do you mean by information systems? • What are the components of information systems? • Explain the role of e-business in business. • Explain the types of information systems in detail. • Explain the managerial challenges of information technology. • What are the information system resources and activities?
Engineered for Tomorrow THANK YOU