Computer based information system

Prepared By:
SHOAIB ZAHEER 93
SOHAIL SHAHID 94

INTRODUCTION:
 Computer Based Information Systems (CBIS) is a data processing system
into a high-quality information and can be used as tools that support
decision-making, coordination and control as well as visualization and
analysis. Some terms related to CBIS include computer base.
 DATA
INFORMATION
SYSTEMS
INFORMATION SYSTEMS
COMPUTER BASE
Here's an explanation of each term.

DATA:
 Data is a collection of raw, facts and figures.
 The word raw means that the facts have not yet been processed.
 It may be consist of numbers, characters, symbols or picture.
EXAMPLE:
Student fill an admission form when they get admission in college or
university. The form consist of raw facts (student’s name, father name,
address etc.) The purpose of collecting this data is to maintain records of
the students during study period.

Information:
 Processed data is called information. When raw facts and figures are
processed and arranged in some order then they become information.
Information has proper meanings. Information is useful in decision-
making. Actually we process data to convert it into information.
 It is a processed data.
 It is more meaningful than data.
EXAMPLE:
If we want to know about the student who is outside from the Lahore
then can be found by some processing and this processed data is
information.

SYSTEM:
 System is a set of element or components that interact with one another to
achieve a common goal. Systems are entities, both abstract and concrete, which
consists of several interrelated components to each other:
Input (commands you enter from the keyboard to data from
another computer or device)
Processing (Movement of data or material towards a known goal or end result)
output(A result produced by a computer )
EXAMLES:
 An examination system
 A billing system

INFORMATION SYSTEM:
Information system, an integrated set of components for
collecting, storing, and processing data and for delivering
information, knowledge, and digital products. Business firms
and other organizations rely on information systems to carry
out and manage their operations, interact with their customers
and suppliers, and compete in the marketplace.
 Functions of information system:
 Input : Facts or data from outside the system
 Processing : Transform the data to information
 Output : Information that need to be used outside the system
 Storage : A place to store data for future reference

BASEDOF COMPUTERIN INFORMATION SYSTEM:
CBIS:
In Information Systems' computer-based
"means that the computer plays an important
role in an information system. A computer-
based information system, or CBIS, uses
computers to collect, process, store, analyze
and distribute information for a specific
purpose, such as meeting a business
objective.

Roles and function of Computer Based Information System
(CBIS)
Functions CBIS :
 Input : Consists of raw data either from organization or outside the
organization to be processed
 Process : Transfer raw data into useful information
 Output : Information that has been processed
 Storage : A place to store the useful information
 Control : Control the evolving of information system

ELEMENTSOF COMPUTERBASEDINFORMATINOSYSTEM:
 Computer Based Information System (CBIS) is an information system in
which the computer plays a major role. Such a system consists of the
following elements:
Hardware
Software
Data
Procedure
People

ELEMENTSOF CBIS:
 Hardware: The term hardware refers
to machinery. This category
includes the computer itself,
which is often referred to as the
central processing unit (CPU), and
all of its support equipment.
Among the support equipment are
input and output devices, storage
devices and communications
devices.

2 SOFTWARE:
 The term software refers to computer
programs and the manuals (if any)
that support them. Computer
programs are machine-readable
instructions that direct the circuitry
within the hardware parts of
the Computer Based Information
System (CBIS) to function in ways
that produce useful information from
data. Programs are generally stored
on some input / output medium-
often a disk or tape.

3 DATA:
 Data are facts that are used by
program to produce useful
information. Like programs, data
are generally stored in machine-
readable form on disk or tape until
the computer needs them.
 It may be consist of numbers,
characters, symbols or picture.

4 PROCEDURES:
 Procedures are the policies that
govern the operation of a
computer system. “Procedures are
to people what software is to
hardware” is a common analogy
that is used to illustrate the role of
procedures in a CBIS.

5 PEOPLE
 People are required for the
operation of all information
system. Every Computer Based
Information System (CBIS) needs
people if it is to be useful. Often
the most over-looked element of
the CBIS is the people. probably
the components that most
influence the success or failure of
information system.

TELECOMMUNICATIONS:
 Electronic transmission of signals for communications and enables
organizations to link computer systems into effective networks.
 Strategic Use Of Information Technology
The role of information and information systems has changed dramatically in
the past last twenty years. The adoption of computer based information systems
have strategic consequence for organizations. The information systems perform
four major roles in an organization: support of business operations, support of
management decision making, support of management control and
support of strategic organizational advantages. Increasingly, information
systems are playing even more central role in the firm a strategic role.

Typesof Computer BasedInformationSystems:
MANAGEMENT SUPPORT SYSTEM
a) Management Information System
b) Decision Support Systems
c) Executive support system
 Expert System
 Transaction Processing Systems
Office Automation Systems
Accounting Information system

Expert System:
 An expert system is an information system that captures and stores the
knowledge of human experts and then imitates human reasoning and
decision making.
 Expert system consist of two main components:
Knowledge Base: It is a database that contains facts provided by a human
expert and rules used by the expert system to make decision.
InferenceEngine: It is a software program that applies the rules to data stored
in the knowledge base to reach decision.

MANAGEMENT SUPPORT SYSTEM:
 There are three generic kinds of management support systems:
 Management information systems
 Decision support systems
 Executive support systems.

MANAGEMENTINFORMATIONSYSTEM:
 Data processing by computers has been extremely effective because of
several reasons. The main reason being that huge amount of data relating
to accounts and other transactions can be processed very quickly. Earlier
most of the computer applications were concerned with record keeping
and the automation of routine clerical processes. MIS are more concerned
with management function. MIS can be described as information system
that can provide all levels of management with information essential to
the running of smooth business.
 A management information system is an information system that
generates accurate, timely and organized information for decision
making.

CON.
 The information can be used by managers and other users to make
decision and solve problems.
 This information is used by related management information system to
produce reports of daily sales activities and prepare list of customers with
due account balance.
EXAMPLES:
 Sales management
 Inventory control
 Capital investment analysis

DECISION SUPPORT SYSTEM:
A decision support system helps users to analyze the information and
make decision.
Decision support system may include data from internal source (TPS,MIS)
or external source.
Decision makers use Decision Support System to design decision models.
Decision model is a numerical representation of a realistic situation such
as cash flow model of a business that shows how income adds to cash
accounts and how expense deplete accounts.

COMPONENTS OF DSS:
INPUTS
User knowledge and Expertise
Outputs
Decision
Example:
Analyzing the effects of events such as strikes, rising interest rates, etc.

Executive support system
 An executive information system (EIS), also known as an executive
support system (ESS) is a type of management information system that
facilitates and supports senior executive information and decision-
making needs. It provides easy access to internal and external information
relevant to organizational goals.
 Executive information systems were mainframe computer-based
programs. The purpose was to package a company’s data and to provide
sales performance or market research statistics for decision makers, such
as marketing directors, chief executive officer ,who were not necessarily
well acquainted with computers.

Advantages of ESS:
Flexibility and ease of use.
Provides the timely information with the short response time and also with
the quick retrieval.
Produces the relevant information.
Produces the validated information
Disadvantages:
 System dependent
 Limited functionality, by design
 Information overload for some managers
 Benefits hard to quantify.

TRANSACTIONPROCESSINGSYSTEM
(TPS):
A transaction is an exchange between two parties that is recorded and
stored in a computer system.
A transaction processing system is an information system that provide a
way to collect, process, store, display, modify or cancel transaction.
Data collected by TPS stored in database.
Early transaction processing system used batch processing.

TPS:
 The most fundamental computer based system in an organization
pertains to the processing of business transactions. A transaction is any
event or activity that affects the whole organization. Placing orders, billing
customers, hiring of employees and depositing cheque are some of the
common transactions. The types of transactions that occur vary from
organization to organization.
Example:
The process of buying and selling a product
The process of withdrawing cash from an ATM.

Office Automation System (OAS) :
 Office Automation Systems are among the newest and most rapidly
expanding computer based information systems. They are being
developed with the hope and expectation that they will increase the
efficiency and productivity of office workers, typists, secretaries,
administrative assistants, staff professionals, managers and others.
 Examples:
Introducing new products, starting a company wide cost control
program, etc.

ACCOUNTING INFORMATION SYSTEMS (AIS):
 The collection, storage and processing of financial and accounting data
that is used by decision makers. An accounting information system is
generally a computer-based method for tracking accounting activity in
conjunction with information technology resources.
 The resulting statistical reports can be used internally by management or
externally by other interested parties including investors, creditors and
tax authorities.

AIS
 The main task of this information system are:
• Data collection
• Manipulation of data
• Data storage
• Provide documents

CATAGORIES:
Categories of different information systems with their characteristics have
been described.
 Transaction Processing System
Substitutes computer-based processing for manual processes.
Includes record-keeping applications.
 Management Information System
Provides input to be used in the managerial decision process. Deals
with supporting well structured decision situations. Typical information
requirements can be anticipated.

.CON.
 Decision Support System:
Provides information to managers who make judgments about particular
situations. Supports decision makes in situations that are not well
structured.
 Office Automation System:
It is a multi-function, integrated computer based system, that allows
many office activities to be performed in an electronic mode.

DIFFERENCE B/W MIS AND DSS:
MIS DSS
 The main focus is on the structured tasks
and the routine decisions.
 Identifies the information requirement.
 Data storage is of great importance
 Focus is mainly on the semi / un-
structured tasks, which demand the
managerial judgment.
 Develops certain tools for using in the
decision process.
 The main emphasis is on the data –
manipulation

DIFFERENCE B/W MIS AND DSS:
MIS DSS
 Very much dependent on the computer
expert.
 Main stress is on the efficiency.
 Delivers system depending on the frozen
requirements.
 Depends on the managerial judgment.
 Main emphasis is laid on the
effectiveness.
 Current data can be used in the Decision
Support System.

Advantages of CBIS:
Access Speeds :
A computer-based system can sort, store and retrieve data much more quickly. Powerful
tools allow data to be queried quickly, which makes it easier to find individuals by non-
primary identifiers, such as address or phone number.
The Cloud:
Cloud computing, also called “Software as a Service” (SaaS) is a system that allows you to
use software online, rather than installed on a computer at your work site. For example,
you might need to use a certain cutting-edge software program for a brief period to help
increase the efficiency of your business. By accessing software hosted on the cloud, you
can save money on licensing, setup and possibly new PC systems. This makes the
efficiency provided by computers more affordable to small businesses.

ADVANTAGES:
 Communication:
Without computers you customers can contact you through phone, fax or postal mail,
or by walking in the door. With computers, they can reach you through email, Facebook
and other social media sites and your website. They can comment on your blog and
complete your customer surveys.
There are many advantages to computer-based information systems, the most
notable of which are the following:
The superior speed with which data can be accessed
The additional confidentiality afforded by techniques such as encryption
Data redundancy
The reduction in space needed to store information.

DISADVANTAGES:
 Unemployment - While information technology may have streamlined the business
process it has also crated job redundancies, downsizing and outsourcing. This means
that a lot of lower and middle level jobs have been done away with causing more people
to become unemployed.
Privacy - Though information technology may have made communication quicker,
easier and more convenient, it has also bought along privacy issues. From cell phone
signal interceptions to email hacking, people are now worried about their once private
information becoming public knowledge.
Lack of job security - Industry experts believe that the internet has made job security
a big issue as since technology keeps on changing with each day. This means that one
has to be in a constant learning mode, if he or she wishes for their job to be secure.

DISADVANTAGE:
 Dominant culture - While information technology may have made the
world a global village, it has also contributed to one culture dominating
another weaker one. For example it is now argued that US influences how
most young teenagers all over the world now act, dress and behave.
Languages too have become overshadowed, with English becoming the
primary mode of communication for business and everything else.
 Computers generally reduces the errors of processing. However if there is
an error in input data, it can result in major blunders in the processing
which the computer system is unable to detect. In manual systems the
chances of such blunders passing undetected and corrected is much less.

CONCLUSION:
 There are a wide variety of computer based information systems that are
available to managers to use. Different systems are used for different purposes
depending on the type of organization and the purpose of the organization for
example a manager at a non profit organization or a government agency will use
different computer based information systems to gather and analyze their data
for their specific purpose, compared to a manager at business that is profiting
such as Tesco. Tesco uses information systems in order to gain data from their
customer to analyze what products are more popular amongst customers.
Whereas a non profit organization or a government agency will need to collect
data from random members of the public in order to collate and analyze a vast
variety of information therefore it is more generic .

Computer based information system

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Computer based information system