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Management and Information Systems BUAD 600. Jesse Role, Ph. D. TM – Electronics and Information Technology Chairman, Department of Technology University of Eastern Africa, Baraton. Website www.roletech.net. Forum Site http://roletech.net/BUAD600. Requirements. Lecture Participation

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management and information systems buad 600

Management and Information SystemsBUAD 600

Jesse Role, Ph. D. TM – Electronics and Information Technology

Chairman, Department of Technology

University of Eastern Africa, Baraton

website www roletech net

Websitewww.roletech.net

Forum Site

http://roletech.net/BUAD600

requirements
Requirements
  • Lecture
  • Participation
  • Group Reporting
  • Case analysis report
  • Final Examination
    • Thursday May 24, 2012
why are information systems so essential for running and managing a business today
Why are information systems so essential for running and managing a business today?
  • Information systems are a foundation for conducting business today. In many industries, survival and the ability to achieve strategic business goals are difficult without extensive use of information technology. Businesses today use information systems to achieve six major objectives: operational excellence; new products, services, and business models; customer/supplier intimacy; improved decision making; competitive advantage; and day-to-day survival.
slide5

1

MANAGING THE

DIGITAL INSTITUTION

slide6

What Is an Information System?

An information system can be defined technically as a set of interrelated components that collect (or retrieve), process, store, and distribute information to support decision making and control in an organization. In addition to supporting decision making, coordination, and control, information systems may also help managers and workers analyze problems, visualize complex subjects, and create new products.

learning objectives
LEARNING OBJECTIVES
  • ANALYZE ROLE OF INFORMATION SYSTEMS IN BUSINESS ENVIRONMENT
  • DEFINE INFORMATION SYSTEM, COMPUTER LITERACY, INFORMATION SYSTEMS LITERACY
  • EXPLAIN HOW INFORMATION SYSTEMS TRANSFORM ORGANIZATION & MANAGEMENT

*

learning objectives1
LEARNING OBJECTIVES
  • ASSESS DIGITAL FIRM, ELECTRONIC COMMERCE, ELECTRONIC BUSINESS, INTERNET TECHNOLOGY
  • IDENTIFY MANAGEMENT CHALLENGES TO BUILDING, USING INFORMATION SYSTEMS

*

management challenges
MANAGEMENT CHALLENGES
  • WHY INFORMATION SYSTEMS?
  • CONTEMPORARY APPROACHES TO INFORMATION SYSTEMS
  • ROLE OF INFORMATION SYSTEMS
  • USING INFORMATION SYSTEMS

*

management challenges1
MANAGEMENT CHALLENGES

1. DESIGN COMPETITIVE & EFFICIENT SYSTEMS

2. UNDERSTAND SYSTEM REQUIREMENTS OF GLOBAL BUSINESS ENVIRONMENT

3. CREATE INFORMATION ARCHITECTURE THAT SUPPORTS ORGANIZATION’S GOALS

*

management challenges2
MANAGEMENT CHALLENGES

4. DETERMINE BUSINESS VALUE OF INFORMATION SYSTEMS

5. DESIGN SYSTEMS PEOPLE CAN CONTROL, UNDERSTAND & USE IN A SOCIALLY, ETHICALLY RESPONSIBLE MANNER

*

the changing business environment
THE CHANGING BUSINESS ENVIRONMENT
  • GLOBALIZATION
  • INDUSTRIAL ECONOMIES
  • TRANSFORMATION OF THE ENTERPRISE

*

globalization
GLOBALIZATION
  • MANAGEMENT & CONTROL
  • COMPETITION IN WORLD MARKETS
  • GLOBAL WORK GROUPS
  • GLOBAL DELIVERY SYSTEMS
industrial economies
INDUSTRIAL ECONOMIES
  • KNOWLEDGE-BASED ECONOMIES
  • PRODUCTIVITY
  • NEW PRODUCTS & SERVICES
  • KNOWLEDGE AS AN ASSET
  • TIME-BASED COMPETITION
  • SHORTER PRODUCT LIFE
  • TURBULENT ENVIRONMENT
  • LIMITED EMPLOYEE KNOWLEDGE BASE

*

transformation of enterprise
TRANSFORMATION OF ENTERPRISE
  • FLATTENING
  • DECENTRALIZATION
  • FLEXIBILITY
  • LOCATION INDEPENDENCE
  • LOW TRANSACTION COSTS
  • EMPOWERMENT
  • COLLABORATIVE WORK

*

emergence of the digital firm
EMERGENCE OF THE DIGITAL FIRM
  • DIGITALLY-ENABLED RELATIONSHIPS WITH CUSTOMERS, SUPPLIERS, EMPLOYEES
  • CORE BUSINESS PROCESSES VIA DIGITAL NETWORKS
  • DIGITAL MANAGEMENT OF KEY ASSETS
  • RAPID SENSING & RESPONDING TO CHANGE

*

why it now digital convergence and the changing business environment
Why IT Now? Digital Convergence and the Changing Business Environment

There are five factors to consider when assessing the growing impact of IT in business firms both today and over the next ten years.

  • Internet growth and technology convergence
  • l Transformation of the business enterprise
  • l Growth of a globally connected economy
  • l Growth of knowledge and information-based economies
  • l Emergence of the digital firm
labor force composition 1900 2008

70%

60%

% SERVICE

50%

% WHITE COLLAR

40%

% BLUE COLLAR

30%

% FARMING

20%

10%

0%

1900

1910

1920

1930

1940

1950

1960

1970

1980

1997

YEAR

LABOR FORCE COMPOSITION 1900-2008
slide24

FEEDBACK

SYSTEM

INPUT

PROCESS

OUTPUT

slide25

ENVIRONMENT

Customers Suppliers

ORGANIZATION

INFORMATION SYSTEM

INPUT

PROCESS

OUTPUT

FEEDBACK

Regulatory Stockholders Competitors

Agencies

FUNCTIONS OF AN INFORMATION SYSTEM

data information
DATA & INFORMATION
  • DATA: STREAMS OF RAW FACTS REPRESENTING EVENTS SUCH AS BUSINESS TRANSACTIONS
  • INFORMATION: CLUSTERS OF FACTS MEANINGFUL & USEFUL TO HUMAN BEINGS IN PROCESSES SUCH AS MAKING DECISIONS

*

computer based information systems cbis
COMPUTER-BASED INFORMATION SYSTEMS (CBIS)
  • FORMAL SYSTEMS
  • FIXED DEFINITIONS OF DATA, PROCEDURES
  • COLLECTING, STORING, PROCESSING, DISSEMINATING, USING DATA

*

slide28

INFORMATION

SYSTEMS

INFORMATION SYSTEMS

ORGANIZATIONS

TECHNOLOGY

MANAGEMENT

organizations
ORGANIZATIONS
  • PEOPLE: Managers, knowledge workers, data workers, production or service workers
  • STRUCTURE: Organization chart, groups of specialists, products, geography

*

organizations1
ORGANIZATIONS
  • OPERATING PROCEDURES: Standard Operating Procedures (SOP), rules for action
  • POLITICS: Power to persuade, get things done
  • CULTURE: Customs of behavior

*

major business functions
MAJOR BUSINESS FUNCTIONS
  • SALES & MARKETING
  • MANUFACTURING
  • FINANCE
  • ACCOUNTING
  • HUMAN RESOURCES

*

computer technology
COMPUTER TECHNOLOGY
  • HARDWARE
  • SOFTWARE
  • STORAGE
  • COMMUNICATIONS
  • NETWORKS

*

approaches to info systems

TECHNICAL APPROACHES

COMPUTER

SCIENCE

OPERATIONS

RESEARCH

MANAGEMENT

SCIENCE

MIS

SOCIOLOGY

POLITICAL SCIENCE

PSYCHOLOGY

APPROACHES TO INFO SYSTEMS

BEHAVIORAL APPROACHES

sociotechnical perspective
SOCIOTECHNICAL PERSPECTIVE

OPTIMIZE SYSTEM PERFORMANCE:

TECHNOLOGY & ORGANIZATION MUTUALLY ADJUST TO

ONE ANOTHER

UNTIL FIT IS SATISFACTORY

*

SOURCE: Liker, et al, 1987

system interdependence

INTERDEPENDENCE

HARDWARE

BUSINESS

Strategy

Rules

Procedures

SOFTWARE

DATABASE

TELE-COMMUNICATIONS

ORGANIZATION

INFORMATION SYSTEM

SYSTEM INTERDEPENDENCE
scope of info systems
SCOPE OF INFO SYSTEMS
  • 1950s: TECHNICAL CHANGES
  • 60s-70s: MANAGERIAL CONTROL
  • 80s-90s: INSTITUTIONAL CORE ACTIVITIES

GROWING IMPORTANCE

*

what you can do on the internet
WHAT YOU CAN DO ON THE INTERNET
  • COMMUNICATE & COLLABORATE
  • ACCESS INFORMATION
  • DISCUSS
  • OBTAIN INFORMATION
  • ENTERTAIN
  • TRANSACT BUSINESS

*

new options for organizational design
NEW OPTIONS FOR ORGANIZATIONAL DESIGN
  • FLATTENING ORGANIZATIONS
  • SEPARATING WORK FROM LOCATION
  • REORGANIZING WORK-FLOWS
  • INCREASING FLEXIBILITY
  • REDEFINING ORGANIZATIONAL BOUNDARIES

*

the digital firm
THE DIGITAL FIRM
  • ELECTRONIC COMMERCE
  • ELECTRONIC BUSINESS
  • ELECTRONIC MARKET: Information system links buyers & sellers to exchange information, products, services, payments

*

electronic commerce
ELECTRONIC COMMERCE
  • INTERNET LINKS BUYERS, SELLERS
  • LOWERS TRANSACTION COSTS
  • GOODS & SERVICES ADVERTISED, BOUGHT, EXCHANGED WORLDWIDE
  • BUSINESS-TO-BUSINESS TRANSACTIONS INCREASING

*

electronic business
ELECTRONIC BUSINESS
  • INTRANET: Business builds private, secure network
  • E-MAIL, WEB DOCUMENTS, GROUP SOFTWARE: Extends effective communication & control
  • EXTRANET: Extension of Intranet to authorized external users

*

how are information systems transforming business and what is their relationship to globalization
How are information systems transforming business and what is their relationship to globalization?
  • E-mail, online conferencing, and cell phones have become essential tools for conducting business. Information systems are the foundation of fast-paced supply chains. The Internet allows many businesses to buy, sell, advertise, and solicit customer feedback online. Organizations are trying to become more competitive and efficient by digitally enabling their core business processes and evolving into digital firms. The Internet has stimulated globalization by dramatically reducing the costs of producing, buying, and selling goods on a global scale. New information system trends include the emerging mobile digital platform, online software as a service, and cloud computing.
slide46

MANAGING THE

DIGITAL FIRM