2. UNIT 1
Foundation of Information Systems: Introduction to
information system in business, fundamentals of information
systems,
Solving business problems with information systems, Types
of information systems, Effectiveness and efficiency criteria
in information system.
Goal: This course provides a broad introductory understanding of information
systems, seen within organizational and societal contexts. The aim is to provide
students with an appropriate balance of technical and organizational perspectives
to serve as the basis for further study in the field.
3. Objectives
„Role of information systems in business environment to
achieve competitive advantage „
Fundamental Knowledge of information systems
architecture and IT infrastructure „
State-of-the-art technologies that will contribute towards
future development of IT systems and applications „
Issues contributing to security, integrity, ethics, successful
planning, implementation and management of IT systems
Reference Book: O’Brien J. A. and Marakas G. M., Introduction to Information
Systems, 2nd Edition, McGraw-Hill Irwin, 2008
4. UNIT 2
An overview of Management Information Systems:
Definition of a management information system, MIS versus
Data processing, MIS & Decision Support Systems, MIS &
Information Resources Management, End user computing,
Concept of an MIS, Structure of a Management information
system.
Goal: This course provides a broad introductory understanding of information
systems, seen within organizational and societal contexts. The aim is to provide
students with an appropriate balance of technical and organizational perspectives
to serve as the basis for further study in the field.
5. UNIT 3
Concepts of planning & control: Concept of organizational
planning, The Planning Process, Computational support for
planning, Characteristics of control process, The nature of
control in an organization.
Goal: This course provides a broad introductory understanding of information
systems, seen within organizational and societal contexts. The aim is to provide
students with an appropriate balance of technical and organizational perspectives
to serve as the basis for further study in the field.
6. Understand what managerial planning is and why it is
important.
Identify and analyze the various types of plans and show
how they relate to one another.
Outline and discuss the logical steps in planning and see how
these steps are essentially a rational approach to setting
objectives and selecting the means of reaching them.
Explain the nature of objectives.
Describe how verifiable objectives can be set for different
situations.
Objectives
7. UNIT 4
Business applications of information technology: Internet &
electronic commerce, Intranet, Extranet & Enterprise
Solutions,
Information System for Business Operations, Information
System for Managerial Decision Support, Information System
for Strategic Advantage.
Goal: This course provides a broad introductory understanding of information
systems, seen within organizational and societal contexts. The aim is to provide
students with an appropriate balance of technical and organizational perspectives
to serve as the basis for further study in the field.
8. To review the understanding about Business Strategy and
its components
To understand the role of Information Systems in Strategy
Formulation and Implementation
To learn how to use Information Systems for gaining
competitive advantage
Objectives
9. UNIT 5
Managing Information Technology: Enterprise & global
management, Security & Ethical challenges, Planning &
Implementing changes.
Advanced Concepts in Information Systems: Enterprise
Resource Planning, Supply Chain Management, Customer
Relationship Management, and Procurement Management.
Goal: This course provides a broad introductory understanding of information
systems, seen within organizational and societal contexts. The aim is to provide
students with an appropriate balance of technical and organizational perspectives
to serve as the basis for further study in the field.
10. Identify and give examples to illustrate the following aspects
of customer-relationship management, enterprise resource
management, and supply chain management systems:
a. Business processes supported.
b. Customer and business value provided.
c. Potential challenges and trends.
Objectives
12. Data and information: Data is raw unprocessed facts and figures that have no
context or purposeful meaning and information is processed data that has
meaning and is presented in a context.
Information as a Strategic Resource: "Drowning in data, yet starved of information"
17. What is a System?
• A system is…
– A set of interrelated components
– Working together as planned….
– To achieve a common set of objectives
– By accepting inputs and producing outputs
An organized transformation process
Animation Link: ..VideosSystems approach in IS.mov
18. Basic Functions of a System
Input
Capturing and assembling elements that enter the system to be
processed
Processing
Transformation process that converts input into output
Output
Transferring transformed elements to their ultimate destination
Feedback is data about the performance of a system
Control involves monitoring and evaluating feedback
to determine whether a system is moving toward the achievement of
its goals.
makes necessary adjustments to a system's input and processing
components to ensure that it produces proper output
19.
20. The Information System transforms the input of data resources into an output of
information and its products. The processed data as information shall be stored
for further uses.
21. Information System
An information system has a set of interrelated
components that collect (or retrieve), process, store, and
distribute information to support decision making and
control in an organization.
An information system (IS) can be any organized
combination of people, hardware, software,
communications networks, and data resources that
collect, transforms, and disseminate information in an
organization.
27. Information system
Interrelated components working together to collect, process,
store and disseminate information to support decision making
,coordination ,control, analyze and visualization in an
organization
Animation Link: ..VideosMIS.mp4
The unique ways in which organizations coordinate and organize
their work activities, information and knowledge to produce a
product or service.
Business process
Information system in business
28. Information system in business
https://www.scribd.com/doc/396076/Foundations-of-Information-Systems-in-Business
38. Assignment 1:
1. The Indian Railways recently introduced the Web-based Passenger
Reservation System (PRS) and introduced online payment through
credit and debit cards. Explain how this information system helped
Indian Railways in becoming more efficient not just from the
customer’s point-of-view but also from the Railways management’s
perspective.
2. Difference between Competitive Advantage & Strategic Advantage.
3. Difference between Information System and Information Technology.
4. Explain the Effectiveness and efficiency criteria in information system.
41. Business perspective of the information system
Planning, coordinating and controlling
Supply chain mgmt, enterprise mgmt,
Customer relationship mgmt,&
knowledge mgmt
http://www.chris-kimble.com/Courses/World_Med_MBA/Types-of-Information-System.html
50. How IT increases organization flexibility
Small companies
IT hardware/software provides precision, speed and quality,
Immediate availability of information eliminating need of intermediate
staff
Better management of distributed staff through information network
Large companies
Customized product/services can be provided in small quantities at
different locations
Massive database of customer/suppliers records can be maintained
effectively
Easy collection of information and distribution of information to lower
level staff for problem solving
51. Business environment – a change
Emergence of globalization
Global nature, competition in word market, global work groups, and
global delivery system
Transformation of industrial economics
Knowledge based economics, new products& services, time based
competition, shorter product life limited employee knowledge base
Transformation of enterprise
Flattening of organizations , decentralization, flexibility location
independence, low cost of coordination, empowerment, collaborative
and team work,
Emerging digital nature of business
Digital relationship among customer, supplier and employees
Core business being achieved through digital networks
Rapid sensing and responding to environmental changes
53. Information architecture as:
The combination of organization, labeling, and navigation
schemes within an information system.
The structural design of an information space to facilitate
task completion and intuitive access to content.
The art and science of structuring and classifying web
sites and intranets to help people find and manage
information.
An emerging discipline and community of practice
focused on bringing principles of design and architecture
to the digital landscape.
Information Architecture of the organization
54. SUMMARY ( LECTURE NOTES 1 – Information Systems in Global Business Today)
1. Explain why Information Systems are so essential in business today.
Information Systems are fundamental for conducting Business today.
In many industries, survival and even existence is difficult without extensive use of
Information Systems.
Information Systems have become essential for helping organizations operate in a
global economy.
Organization are trying to become more competitive and efficient by transforming
themselves into ‘Digital Firms’ where nearly all core business processes and
relationship with customers, suppliers, and employees are digitally enabled.
Business today use Information Systems to achieve six major objectives:
1. Operational excellence 4. Improved Decision making
2. New product, Services & Business models 5. Competitive advantage
3. Customer / Supplier intimacy 6. Day-to-day survival
55. 2. Define an Information System from both Technical and Business perspective
From a Technical perspective:
An Information System collects, stores, and disseminates
Information from an organization’s environment and internal
operations to support organizational functions and decision making,
communication, coordination, control, Analysis and visualization.
Information Systems transform raw data into useful Information
through three basic activities: Input, Processing and Output
From a Business perspective
An Information System provides a solution to a problem or
challenge facing a firm and provides real economic value to the
business.
56. 3. Identify and describe the three dimensions of Information Systems
An Information System represents a combination of Management,
Organization, and Technology elements.
The Management Dimension involves:
Leadership,
Strategy,
Management behaviour.
The Organization Dimension involves:
Organization’s hierarchy,
Functional specialities,
Business Processes,
Culture,
Political interest groups
The Technology Dimension consists of:
Computer Hardware,
Software,
Data Management technology,
Network / Telecommunications technology (including the Internet.)
57. 1. What is information system? Explain importance of
information system in business.
2. Define fundamentals of information system? Explain
information system resources.
3. How information system is useful in solving business
problems and what are the components of IS?
4. Describe various types of information system.
5. What do you mean by system? Explain the difference
between Data and information.
6. Define Management Support System and Decision Support
System.
Important Questions
61. The MIS is defined as a system which provides information
support for decision making in the organization.
MIS is a system for collecting, processing, storing,
disseminating and utilizing data in the form of information
needed to carry out the functions of management
The management information system is defined as an
integrated system of man and machine for providing the
information to support the operations, the management &
decision making function in the organization.
The MIS is defined as a computer based information system.
MIS
63. Structure of MIS is a difficult concept to understand because
there is no standard or universally accepted framework for
describing management information system. For example , A
car may be perceived in a number of different way; by
describe the physical characteristics, i.e. its shapes, color,
seating capacity, door etc. MIS structure be described by
following a variety of different approaches:
1. Physical components,
2. Information system processing functions,
3. Decision support
4. Levels of management activities
5. Organizational functions
Structure of MIS
64. Decision Making
A step in problem solving
Intelligence gathering
Definition of problem
Data gathered on scope
Constraints identified
Design phase
Alternatives identified and assessed
Choice
Selection of an alternative
66. Strategic Management
The People
– Board of Directors
– Chief Executive Officer
– President
Decisions
– Develop Overall Goals
– Long-term Planning
– Determine Direction
Political
Economic
Competitive
67. Tactical Management
People
– Business Unit Managers
– Vice-President to Middle-
Manager
Decisions
– short-medium range planning
– schedules
– budgets
– policies
– procedures
– resource allocation
68. Operational Management
People
– Middle-Managers to
– Supervisors
– Self-directed teams
Decisions
– short-range planning
– production schedules
– day-to-day decisions
– use of resources
– enforce polices
– follow procedures
69. Levels of Management Decision Making
Strategic – group of executives develop overall organizational
goals, strategies, policies, and objectives as part of a strategic
planning process
Tactical – managers and business professionals in self-
directed teams develop short- and medium-range plans,
schedules and budgets and specify the policies, procedures
and business objectives for their subunits
Operational – managers or members of self-directed teams
develop short-range plans such as weekly production
schedules
70. Decision Structure
Structured – situations where the procedures to follow when
a decision is needed can be specified in advance
Unstructured – decision situations where it is not possible to
specify in advance most of the decision procedures to follow
Semi structured - decision procedures that can be pre-
specified, but not enough to lead to a definite recommended
decision
71. Decision Support Systems
Decision support systems (DSS) are interactive software-
based systems intended to help managers in decision-
making by accessing large volumes of information
generated from various related information systems
involved in organizational business processes such as office
automation system, transaction processing system, etc.
Animation Link: ..VideosDSS.mp4
75. Analytical Modeling is the key: example
Type of
Modeling
Example
What-if
analysis
What if we cut advertising by 10% what
would happen to sales?
Sensitivity
analysis
Let’s cut advertising by 1% repeatedly so
we can see its relationship to sales
Goal-seeking
analysis
Let’s try increasing advertising until sales
reach $1 million
Optimization
analysis
What level of advertising maximizes our
overall profit?
76. Decision Support Systems: characteristics
1. Support for decision-makers in semi-structured and
unstructured problems.
2. Support for managers at various managerial levels, ranging
from top executive to line managers.
3. Support for individuals and groups. Less structured problems
often requires the involvement of several individuals from
different departments and organization level.
4. Support for interdependent or sequential decisions.
5. Support for intelligence, design, choice, and
implementation.
6. Support for variety of decision processes and styles.
7. DSSs are adaptive over time.
78. For an example of the components of a Decision Support
System, let’s consider the Decision Support System that Land’s
End has tens of millions of names in its customer database. It
sells a wide range of women’s, men’s, and children’s clothing, as
well various household wares. To match the right customer with
the catalog, land’s end has identified 20 different specialty target
markets. Customers in these target markets receive catalogs of
merchandise that they are likely to buy, saving Lands’ End the
expense of sending catalogs of all products to all 20 million
customers. To predict customer demand, lands’ end needs to
continuously monitor buying trends. And to meet that demand,
lands’ end must accurately forecast sales levels.
DSS Components: example
79. To accomplish theses goals, it uses a Decision Support System which
performs three tasks:
Data management: The Decision Support System stores customer and
product information. In addition to this organizational information,
Lands’ End also needs external information, such as demographic
information and industry and style trend information.
Model management: The Decision Support System has to have models
to analyze the information. The models create new information that
decision makers need to plan product lines and inventory levels. For
example, Lands’ End uses a statistical model called regression analysis
to determine trends in customer buying patterns and forecasting
models to predict sales levels.
User interface management: A user interface enables Lands’ End
decision makers to access information and to specify the models they
want to use to create the information they need.
DSS Components: example
82. How MIS support DSS????
MIS support decision making in both structured and
unstructured problem environments.
MIS support decision making at all levels of the
organization.
MIS are intended to be woven into a fabric of the
organization.
MIS support all aspects of decision making process.
87. MIS Vs. Data Processing
Data are typically subjected to processing activities such as
calculating, comparing, sorting, classifying and summarizing.
These activities organize, analyze and manipulate data, thus
converting them into information for end users.
Data processing is handling row data in a systematic manner
to confirm to the data quality standards as determined by
the designer of the information system.
88. MIS Vs. Data Processing cont’d…
The data generation processing involves the following steps:
Data Acquisition
Data Transformation
Management of information
90. Data Acquisition
Data are facts expressed with the help of symbols. Such
as alphabets, digits, graphs, diagrams or in any other
form. Whatever may be the source of data, it may be
initially recorded & later verified for accuracy &
authenticity. This activity is known as data capture.
91. Data Transformation and Management of Information
Data Transformation may be done by calculating, classifying,
summarizing or by rearranging.
After transforming the data, the processed data may either
be communicated to end user, or may be stored for further
reference. In case of data communication to the end user,
the appropriate channel of communication is to be selected
& used.
94. MIS & IRM
Management Information Systems
1. Control of Data
2. Organization
3. Boundaries
Information Resources Management or Information
Infrastructure management
1. Information is an asset that should be managed
2. Requires process and systems knowledge,
communication, and technical expertise
3. Used by information workers who create and
process information
97. Typical MIS Reporting
Periodic Scheduled Reports
Example: Monthly Financial Statements
Exception Reports
Example: List of items out of stock
These reports contain information but they might not
directly help you determine the best decision to make.
98. More MIS Reports
Demand Reports and Responses
Available whenever a manager needs them, updated in
real-time.
Push Reporting
Information is pushed to a managers computer
Example: Report is pushed every time a supplier is late
with a shipment
Key-indicator report
Summarizes the previous day’s critical activities
Typically available at the beginning of each day
MIS Reporting is all about giving managers feedback and
doesn’t necessarily help directly with decision making.
99. End User Computing
In 1980’s several new roles for information systems
appeared.
First the rapid development of microcomputer processing
power, application software packages, and now end
users could use their own computing resources to
support their job requirements instead of waiting for the
direct support of corporate information services
department.
100. THE EMERGENCE OF USER APPLICATION DEVELOPMENT
Why end-user computing?
101. End User Development
IS professionals play a consulting role, while uses do their
own application development
A staff of user consultants may be available
to help with analysis, design, and installation
Other support
Application package training
Hardware and software advice
Help gaining access to organization databases
102. Focus on IS Activities
End user development should focus on the fundamental
activities of an information system
Input
Processing
Output
Storage
Control
104. Doing End User Development
Application development capabilities built into
software packages make it easier for end users
to develop their own solutions
105. Encouraging End User Web Development
Look for tools that make sense
Some are more powerful or costly than needed
Spur creativity
Consider a competition among departments
Set some limits
Limit what parts of a web page or site can
be changed and who can do it
Give managers responsibility
Make them personally responsible for content
106. Make users comfortable
Training will make users more confident
It can save the IT department the trouble
of fixing problems later on
It can limit the need for continuous support
Encouraging End User Web Development
107. Effectiveness/Efficiency criteria of an MIS system
MIS is designed primarily to make the management effective
to achieve the organization objectives efficiently.
Therefore design of the organization management practices
and management philosophy along with environment
factors together will make MIS very effective.
Negandhi Estafer, provided a good model for analyzing
management effectiveness in achieving the goal and
objectives. The mode as shown initial – emphasis on.
Management Philosophy
Environment Factors
Management Practices
109. The Ethical Dimensions of IT
As a prospective managerial end user and knowledge worker
in global society, we should also become aware of the ethical
responsibilities generated by the use of information
technology.
For ex, what uses of IT might be considered improper,
irresponsible, or harmful to other individuals or to society?
What is the proper use of organization’s information
resources?
How can we protect our self from computer crime and other
risks of IT?
111. 1. How can information technology support a company’s
business processes and decision making, and give it a
competitive advantage?
2. How does the use of the Internet, intranets, and extranets
by an e-business enterprise support their e-commerce
activities?
3. Why do big companies still fail in their use of information
technology? What should they be doing differently?
4. How can a manager demonstrate that he or she is a
responsible end user of information systems?
Important Questions
112. 5. What are some of the toughest management challenges
in developing IT solutions to solve business problems and
meet new e-business opportunities?
6. Why are there so many conceptual classifications of
information systems? Why are they typically integrated
in information systems found in the real world?
7. In what major ways have the roles of information systems
applications in business expanded during the last 40
years? What is one major change you think will happen
in the next 10 years?
8. Can the business use of Internet technologies help a
company gain a competitive advantage?
Important Questions
114. SDLC is the process of understanding how an information
system (IS) can support business needs by designing a
system, building it, and delivering it to the users
SDLC Definition
115.
116.
117.
118. Determine if a new system is needed
Three primary tasks:
1. Define the problem
By observation and interview, determine what
information is needed by whom, when, where and
why
2. Suggest alternative solutions
3. Prepare a short report
System Investigation
119. System Investigation
The current system
1. how staff / customers interact with the current system i.e.
how tasks are carried out
2. how other systems interact with the current system
3. what is good about the current system
4. what causes problems with the current system
5. which parts of the system are critical to the business
The proposed new system
1. what the new system is expected to be able to do
2. how the new system is expected to do this
3. what people want from the new system
4. which working methods from the old system should be
incorporated into the new system
121. Feasibility Studies typically involves cost/benefit analysis.
If the cost and benefits can be quantified, they are called
tangible; if not they are called intangible.
Tangible benefits are favorable results, and easy to
estimate
Intangible benefits are harder to estimate, and difficult
to quantify.
Feasibility Study
123. System analysis
It is an in depth study of end user information needs that
produces functional requirements that are used as the basis
for the design of a new information system.
The system analysis traditionally involves a detailed study of
:
The information needs of the organization and end users
like yourself.
The activities, resources, and products of any present
information system.
The information system capabilities required to meet our
information needs, and those of other end users.
124. System Design
System analysis describes what a system should do to meet
the information needs of user.
System design specifies how the system will accomplish this
objective.
System design consists of design activities that produce
system specifications satisfying the functional requirements
developed in the system analysis stage.
126. System Coding & Testing
The system design needs to be implemented to make it a
workable system.
The coding of the design into computer language, i.e.,
programming language. This is also called the programming
phase in which the programmer converts the program
specifications into computer instructions, which we refer to
as programs
It is an important stage where the defined procedures are
transformed into control specifications by the help of a
computer language
The programs coordinate the data movements and control
the entire process in a system, so the right programming
language should be chosen
127. System Coding & Testing
Before actually implementing the new system into
operations, a test run of the system is done removing all the
bugs, if any
After codifying the whole programs of the system, a test plan
should be developed and run on a given set of test data
The output of the test run should match the expected
results. Sometimes, system testing is considered as a part of
implementation process.
Using the test data following test run are carried out:
– Program test
– System test
128. System Investigation
In this stage physical system specifications are converted into a working
and reliable solution. This is where the system is developed. It is followed
by testing and then implementation.
Implementation Phases:
– Coding: Includes implementation of the design specified in the design
document into executable programming language code. The output of
the coding phase is the source code for the software that acts as input
to the testing and maintenance phase.
– Integration and Testing: Includes detection of errors in the software.
The testing process starts with a test plan that recognizes test-related
activities, such as test case generation, testing criteria, and resource
allocation for testing. The code is tested and mapped against the
design document created in the design phase. The output of the
testing phase is a test report containing errors that occurred while
testing the application.
– Installation: In this stage the new system is installed
129. Key Deliverables:
Fully Installed system
Fully trained users
User and Operational Documentation
System Implementation
130. System Maintenance
Maintenance is necessary to eliminate errors in the system
during its working life and to tune the system to any
variations in its working environments.
It must meet the scope of any future enhancement, future
functionality and any other added functional features to
cope up with the latest future needs.
It has been seen that there are always some errors found in
the systems that must be noted and corrected.
It also means the review of the system from time to time
The review of the system is done for:
– knowing the full capabilities of the system
– knowing the required changes or the additional
requirements
– studying the performance.
131. SDLC example: Prototyping model
Prototyping is the rapid development and
testing of working models
1. An interactive, iterative process used during
the design phase
2. Makes development faster and easier, especially
when end user requirements are hard to define
3. Has enlarged the role of business stakeholders.
133. Deliverables of the SDLC
Begin building
new system
System converted
Users trained
Coded and
Tested System
Design Specifications
Preliminary
Investigation
System
Analysis
System
Design
System
Implementation
System
Development
System
Maintenance
Approved Feasibility
Study
Operational System
Documentation completed
Abort Project
Goto next phase
Goto Previous phaseProblem
Specifications
134. Assignment-2
1. Write a short note on
Cloud Computing
Green Computing
Black box vs. White box testing
2. Difference between the following:
Functional requirements and system specifications
Verification and Validation
3. Suppose you have implemented a newly-developed salary
information system in your organization. Identify its activities
and categorize it in suitable category of MIS
135. Verification Validation
Evaluates the intermediary products to
check whether it meets the specific
requirements of the particular phase
Evaluates the final product to check
whether it meets the business needs.
Checks whether the product is built as
per the specified requirement and
design specification.
It determines whether the software is
fit for use and satisfy the business
need.
Checks “Are we building the product
right”?
Checks “Are we building the right
product”?
This is done without executing the
software
Is done with executing the software
Involves all the static testing
techniques
Includes all the dynamic testing
techniques.
Examples includes reviews, inspection
and walkthrough
Example includes all types of testing
like smoke, regression, functional,
systems and UAT
http://www.softwaretestingclass.com/difference-between-verification-and-validation/