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IS in Organization: Fajar Pradana S.ST., M.Eng

This document provides an overview of information systems in organizations. It discusses that IS are used in almost every profession and are indispensable tools. It defines key terms like data, information, and knowledge. It also describes the components of an information system including input, processing, output, and feedback. It explains different types of IS like business IS, transaction processing systems, management information systems, and specialized systems. It discusses system development and how organizations use IS for functions like supply chain management and customer relationship management.

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syahri
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Download as PDF, TXT or read online on Scribd
48 views

IS in Organization: Fajar Pradana S.ST., M.Eng

This document provides an overview of information systems in organizations. It discusses that IS are used in almost every profession and are indispensable tools. It defines key terms like data, information, and knowledge. It also describes the components of an information system including input, processing, output, and feedback. It explains different types of IS like business IS, transaction processing systems, management information systems, and specialized systems. It discusses system development and how organizations use IS for functions like supply chain management and customer relationship management.

Uploaded by

syahri
Copyright
© © All Rights Reserved
Available Formats
Download as PDF, TXT or read online on Scribd
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1

IS in Organization
Introduction
Fajar Pradana S.ST., M.Eng
Point Of View
• Why Learn about IS
• Data, Information, Knowledge
• The Value Of Information
• Information System : Input, Output, Process, Feedback
• Computer Based Information System
• Business Information System
• Specialized Information System
• System Development
• Organization and IS
Why Learn About Information Systems in Organizations?

• Information systems used by almost every imaginable profession


 Entrepreneurs and small business owners
 Sales representatives
 Managers
 Financial advisors
• Information systems:
 Indispensable tools to help you achieve your career goals
Introduction
• Information system (IS):
 A set of interrelated components that collect, manipulate, store, and
disseminate data and information and provide feedback to meet an
objective
• Businesses:
 Can use information systems to increase revenues, improve
customer service and reduce costs
IS are everywhere
Data, Information, and Knowledge
• Information:
 Collection of facts organized and processed in such a way that they
have value beyond the individual facts
• Process:
 Set of logically related tasks performed to achieve a defined
outcome
• Knowledge:
 Awareness and understanding of a set of information and the ways
information can be made useful
Data, Information, and Knowledge
• Data:
 Raw facts
 such as an employee number, total hours worked in week, an
inventory part number, or the number of units produced on a
production line
 As shown in Table 1.1, several types of data can represent these
facts
Data, Information, and Knowledge
Data, Information, and Knowledge
Characteristic of Valuable Information
The Value of Information
• Directly linked to how it helps decision makers achieve their
organization’s goals
• Valuable information:
 Can help people and their organizations perform tasks more
efficiently and effectively
What Is an Information System?
• Information system (IS) is a set of interrelated elements that:
 Collect (input)
 Manipulate (process)
 Store
 Disseminate (output) data and information
 Provide a corrective reaction (feedback mechanism) to meet an
objective
Input, Processing, Output, Feedback
• Input:
 Activity of gathering and capturing raw data
• Processing:
 Converting data into useful outputs
• Output:
 Producing useful information
• Feedback:
 Information from the system that is used to make changes to input or
processing activities
Computer-Based Information Systems

• Single set of hardware, software, databases, telecommunications,


people, and procedures:
 That are configured to collect, manipulate, store, and process
data into information
• Technology infrastructure:
 Includes all hardware, software, databases, telecommunications,
people, and procedures configured to collect, manipulate, store, and
process data into information
Computer-Based Information Systems
Computer-Based Information Systems

• Hardware:
 Computer equipment used to perform input, processing, storage, and
output activities
• Software:
 Computer programs that govern the operation of the computer
 System software controls basic computer operations
 Application software allows you to accomplish specific tasks
• Database:
 Organized collection of facts and information, typically consisting of
two or more related data files
Database
• The amount of digital data is expected to double every two years
Computer-Based Information Systems

• Telecommunications, networks, and the Internet:


 The electronic transmission of signals for communications
• Networks:
 Connect computers and equipment to enable electronic
communication
• Internet:
 World’s largest computer network, consisting of thousands of
interconnected networks, all freely exchanging information
Computer-Based Information Systems

• Web:
 Network of links on the Internet to documents containing text,
graphics, video, and sound
• Intranet:
 Internal network that allows people within an organization to
exchange information and work on projects
• Extranet:
 Network that allows selected outsiders, such as business partners
and customers, to access authorized resources of a company’s
intranet
Computer-Based Information Systems

• People:
 The most important element in most computer-based information
systems
• Procedures:
 Include strategies, policies, methods, and rules for using the CBIS
Business Information Systems
• Most common types of information systems:
 Those designed for electronic and mobile commerce, transaction
processing, management information, and decision support
• Some organizations employ:
 Special-purpose systems, such as virtual reality, that not every
organization uses
Business Information Systems
Electronic and Mobile Commerce
E-commerce:
• Any business transaction executed electronically between:
 Companies (business-to-business, B2B)
 Companies and consumers (business-to-consumer, B2C)
 Consumers and other consumers (consumer-to-consumer, C2C)
 Business and the public sector
 Consumers and the public sector
M Commerce
• With m-commerce, people can use smartphones to pay for goods
and services anywhere, anytime.
Electronic and Mobile Commerce
• Mobile commerce (m-commerce):
 The use of mobile, wireless devices to place orders and conduct
business
• E-commerce:
 Offers many opportunities for streamlining work activities
• Electronic business (e-business):
 Uses information systems and the Internet to perform all business-
related tasks and functions
Electronic and Mobile Commerce
Enterprise Systems: TPS and ERP
• Transaction:
 Any business-related exchange, such as payments to employees
and sales to customers
• Transaction processing system (TPS):
 Organized collection of people, procedures, software, databases,
and devices used to perform and record completed business
transactions
• Enterprise resource planning:
 Set of integrated programs that manages the vital business
operations for an entire multisite, global organization
MIS and DSS
• Management information system (MIS):
 Organized collection of people, procedures, software, databases,
and devices that provides routine information to managers and
decision makers
 Manufacturing, marketing, production, finance, and other functional
areas are supported by MISs and are linked through a common
database

• Decision support system (DSS):


 Organized collection of people, procedures, software, databases,
and devices that support problem-specific decision making
Specialized Business Information Systems

• Virtual reality and multimedia:


• Virtual reality:
 Simulation of a real or imagined environment that can be
experienced visually in three dimensions
 Augmented reality superimposes digital data over photos or images
Systems Development
• Systems development:
 The activity of creating or modifying existing business systems
• Outsourcing:
 Allows a company to focus on what it does best and delegate other
functions to companies with expertise in systems development
 System development often outsourced
System Development
Organizations and Information Systems
• Organization:
 Formal collection of people and other resources established to
accomplish a set of goals
 Constantly uses money, people, materials, machines and other
equipment, data, information, and decisions
 Providing value to a stakeholder is the primary goal of any
organization
Organizations and Information Systems
Supply chain management (SCM):
• Determines:
 What supplies are required for value chain
 What quantities are needed to meet customer demand
 How supplies should be processed into finished goods and services
 How shipment of supplies and products to customers should be
scheduled, monitored, and controlled
Organizations and Information Systems
Organizations and Information Systems
• Customer relationship management (CRM) programs:
 Help companies manage all aspects of customer encounters
including marketing and advertising, sales, customer service after the
sale, and programs to retain loyal customers
 CRM software can be purchased as a service and delivered over the
Internet or can be installed on corporate computers
Organizational Culture and Change
• Culture:
 Set of major understandings and assumptions shared by a group
• Organizational culture:
 Major understandings and assumptions
 May not be formally stated or documented
• Organizational change:
 How organizations plan for, implement, and handle change
Global Challenges in Information Systems

• Cultural and language challenges


• Time and distance challenges
• Infrastructure challenges
• Currency challenges
• Product and service challenges
• Technology transfer issues
• State, regional, and national laws
• Trade agreements
38

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