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Page 1: COURSE CONTENT  Management information systems (MIS); challenges and opportunities, the strategic role of information systems in organizations, and business
Page 2: COURSE CONTENT  Management information systems (MIS); challenges and opportunities, the strategic role of information systems in organizations, and business

COURSE CONTENT

Management information systems (MIS); challenges and opportunities, the strategic role of information systems in organizations, and business processes

Management of information and decision making; ethical and social impact of information systems.

Computers and information processing; information systems software, and managing data resources

Telecommunications and the internet networking, redesigning the organization with information systems and ensuring quality with information systems. Managing knowledge and enhancing management decision making. Controlling information systems and managing international information systems.

REFERENCE BOOKS Ralph M. Stair, G.W Reynolds, 2008, Principles of Information

System, A Managerial Approach, Thomson Learning (Text Book).

Kenneth C.L. and Jane P.L., 1998. Management Information Systems: New Approaches to Organization and Technology, Fifth Edition, Prentice Hall.

Sarah, E., Sawyer and Stacey, C., 1998, Management Information Systems for the Information Age, Irwin/McGraw-Hill, Boston, Massachusetts, ISBN: 0-07-025465-6.

Post, G.V. and David L.A., 1997, Management Information Systems: Solving Business Problems with Information Technology, Irwin/McGraw Hill, Illinois.

Page 3: COURSE CONTENT  Management information systems (MIS); challenges and opportunities, the strategic role of information systems in organizations, and business

Introduction toManagement Information Systems

Page 4: COURSE CONTENT  Management information systems (MIS); challenges and opportunities, the strategic role of information systems in organizations, and business

Data vs. Information Data▪ Raw facts▪ Distinct pieces of information, usually

formatted in a special way Information▪ A collection of facts organized in such a way

that they have additional value beyond the value of the facts themselves

Page 5: COURSE CONTENT  Management information systems (MIS); challenges and opportunities, the strategic role of information systems in organizations, and business

Data – thermometer readings of temperature taken every hour:

16.0, 17.0, 16.0, 18.5, 17.0,15.5….

Information – today’s high: 18.5today’s low: 15.5

Transformation

Page 6: COURSE CONTENT  Management information systems (MIS); challenges and opportunities, the strategic role of information systems in organizations, and business

Data Represented by

Alphanumeric data Numbers, letters, and other characters

Image data Graphic images or pictures

Audio data Sound, noise, tones

Video data Moving images or pictures

Page 7: COURSE CONTENT  Management information systems (MIS); challenges and opportunities, the strategic role of information systems in organizations, and business

Data InformationTransformation

Page 8: COURSE CONTENT  Management information systems (MIS); challenges and opportunities, the strategic role of information systems in organizations, and business

accurate, complete, economical, flexible, reliable, relevant, simple, timely, verifiable, accessible, secure

Page 9: COURSE CONTENT  Management information systems (MIS); challenges and opportunities, the strategic role of information systems in organizations, and business

You want the information about you in a health information system to be: As accurate as possible (e.g. your age, sex) As complete as possible Relevant To be reliable Should be available in a timely manner (e.g.

information about your drug allergies are available before your operation!)

Page 10: COURSE CONTENT  Management information systems (MIS); challenges and opportunities, the strategic role of information systems in organizations, and business

Definition A set of elements or components that

interact to accomplish goals A combination of components working

together

Page 11: COURSE CONTENT  Management information systems (MIS); challenges and opportunities, the strategic role of information systems in organizations, and business

CustomerMaintenanceComponent

Order EntryComponent

CatalogMaintenanceComponent

Order FulfillmentComponent

Customer Support System

Page 12: COURSE CONTENT  Management information systems (MIS); challenges and opportunities, the strategic role of information systems in organizations, and business

(1) Refers to a combination of components working together. For example, a computer system includes both hardware and software. A Windows system is a personal computer running the Windows operating system. A desktop publishing system is a computer running desktop publishing software.

(2) Short for computer system. (3) Short for operating system. (4) An organization or methodology. The binary

numbering system, for instance, is a way to count using only two digits

Page 13: COURSE CONTENT  Management information systems (MIS); challenges and opportunities, the strategic role of information systems in organizations, and business

InputsProcessing mechanismsOutputs

Page 14: COURSE CONTENT  Management information systems (MIS); challenges and opportunities, the strategic role of information systems in organizations, and business

System

Elements

GoalInputs

Processingelements

Outputs

Movie

Actors, director, staff, sets, equipment

Filming, editing, special effects, distribution

Finished film delivered to movie studio

Entertaining movie, film awards, profits

Page 15: COURSE CONTENT  Management information systems (MIS); challenges and opportunities, the strategic role of information systems in organizations, and business

System boundary Defines the system and distinguishes it from

everything else System types

Simple vs. complex Open vs. closed Stable vs. dynamic Adaptive vs. non-adaptive Permanent vs. temporary

Page 16: COURSE CONTENT  Management information systems (MIS); challenges and opportunities, the strategic role of information systems in organizations, and business

Efficiency A measure of what is produced divided by

what is consumed (eg. Efficiency of a motor is the energy produced divided by what is consumed)

Effectiveness A measure of the extent to which a system

achieves its goals System performance standard

A specific objective of the system

Page 17: COURSE CONTENT  Management information systems (MIS); challenges and opportunities, the strategic role of information systems in organizations, and business

Figure 1

Page 18: COURSE CONTENT  Management information systems (MIS); challenges and opportunities, the strategic role of information systems in organizations, and business

Figure 1.5b

Page 19: COURSE CONTENT  Management information systems (MIS); challenges and opportunities, the strategic role of information systems in organizations, and business

System variable A quantity or item that can be controlled

by the decision maker E.g. the price a company charges for a

productSystem parameter

A value or quantity that cannot be controlled by the decision maker

E.g., cost of a raw material

Page 20: COURSE CONTENT  Management information systems (MIS); challenges and opportunities, the strategic role of information systems in organizations, and business

Model An abstraction or an approximation that

is used to represent reality Types of models

Narrative (aka descriptive) Physical Schematic Mathematical

Next slide

Page 21: COURSE CONTENT  Management information systems (MIS); challenges and opportunities, the strategic role of information systems in organizations, and business
Page 22: COURSE CONTENT  Management information systems (MIS); challenges and opportunities, the strategic role of information systems in organizations, and business

Make understanding complex systems easier (simplifies)

Can be used to design – make models of new systems so can refine them

Makes communication about systems easier (e.g. a picture can communicate a thousand words)

Page 23: COURSE CONTENT  Management information systems (MIS); challenges and opportunities, the strategic role of information systems in organizations, and business

Definition A set of interrelated elements or components that

collect (input), manipulate (process), and disseminate (output) data and information and provide a feedback mechanism to meet an objective

(IS) Pronounced as separate letters, and short for Information Systems or Information Services. For many companies, IS is the name of the department responsible for computers, networking and data management. Other companies refer to the department as IT (Information Technology) and MIS (Management Information Services).

Page 24: COURSE CONTENT  Management information systems (MIS); challenges and opportunities, the strategic role of information systems in organizations, and business

Input Processing Output

Organisation

Environment

Feedback

Page 25: COURSE CONTENT  Management information systems (MIS); challenges and opportunities, the strategic role of information systems in organizations, and business

InformationSystem

External Environment

People Organisation

Technology

Page 26: COURSE CONTENT  Management information systems (MIS); challenges and opportunities, the strategic role of information systems in organizations, and business

Input The activity of gathering and capturing data Whatever goes into the computer

Processing Converting or transforming data into useful

outputs Output

Useful information, usually in the form of documents and/or reports

Anything that comes out of a computer

Page 27: COURSE CONTENT  Management information systems (MIS); challenges and opportunities, the strategic role of information systems in organizations, and business

(n) Whatever goes into the computer. Input can take a variety of forms, from commands you enter on a keyboard to data from another computer or device. A device that feeds data into a computer, such as a keyboard or mouse, is called an input device.

(v) The act of entering data into a computer

Page 28: COURSE CONTENT  Management information systems (MIS); challenges and opportunities, the strategic role of information systems in organizations, and business

(n) Anything that comes out of a computer. Output can be meaningful information or gibberish, and it can appear in a variety of forms -- as binary numbers, as characters, as pictures, and as printed pages. Output devices include display screens, loudspeakers, and printers.

(v) To give out. For example, display screens output images, printers output print, and loudspeakers output sounds.

Page 29: COURSE CONTENT  Management information systems (MIS); challenges and opportunities, the strategic role of information systems in organizations, and business

Feedback Output that is used to make changes to

input or processing activitiesForecasting

A proactive approach to feedback Use for estimating future sales or

inventory needs

Page 30: COURSE CONTENT  Management information systems (MIS); challenges and opportunities, the strategic role of information systems in organizations, and business

Manual systems still widely used E.g., some investment analysts manual draw

charts and trend lines to assist them in making investment decisions

Computerized systems E.g., the above trends lines can be drawn by

computer Evolution

Many computerized system began as manual systems

E.g., directory assistance (“911”)

Page 31: COURSE CONTENT  Management information systems (MIS); challenges and opportunities, the strategic role of information systems in organizations, and business

A CBIS is composed of… Hardware Software Databases Telecommunications People Procedures

Together they are… Configured to collect, manipulate, store, and

process data into information

Page 32: COURSE CONTENT  Management information systems (MIS); challenges and opportunities, the strategic role of information systems in organizations, and business

Five parts Hardware Software Database Telecommunications Networks

Page 33: COURSE CONTENT  Management information systems (MIS); challenges and opportunities, the strategic role of information systems in organizations, and business

Five parts Hardware Software Database Telecommunications Networks

Page 34: COURSE CONTENT  Management information systems (MIS); challenges and opportunities, the strategic role of information systems in organizations, and business

Hardware Computer equipment used to perform

input, processing, and output activities The objects that you can actually touch,

like disks, disk drives, display screens, keyboards, printers, boards, and chips.

Page 35: COURSE CONTENT  Management information systems (MIS); challenges and opportunities, the strategic role of information systems in organizations, and business

Hardware refers to objects that you can actually touch, like disks, disk drives, display screens, keyboards, printers, boards, and chips. In contrast, software is untouchable. Software exists as ideas, concepts, and symbols, but it has no substance.

Books provide a useful analogy. The pages and the ink are the hardware, while the words, sentences, paragraphs, and the overall meaning are the software. A computer without software is like a book full of blank pages -- you need software to make the computer useful just as you need words to make a book meaningful.

Page 36: COURSE CONTENT  Management information systems (MIS); challenges and opportunities, the strategic role of information systems in organizations, and business

Five parts Hardware Software Database Telecommunications Networks

Page 37: COURSE CONTENT  Management information systems (MIS); challenges and opportunities, the strategic role of information systems in organizations, and business

Software Computer programs that

govern/determine/control the operation of the computer

Computer instructions or data

Page 38: COURSE CONTENT  Management information systems (MIS); challenges and opportunities, the strategic role of information systems in organizations, and business

Software is computer instructions or data. Anything that can be stored electronically is software. The storage devices and display devices are hardware.

The terms software and hardware are used as both nouns and adjectives. For example, you can say: "The problem lies in the software," meaning that there is a problem with the program or data, not with the computer itself. You can also say: "It's a software problem.“

Page 39: COURSE CONTENT  Management information systems (MIS); challenges and opportunities, the strategic role of information systems in organizations, and business

The distinction between software and hardware is sometimes confusing because they are so integrally linked. Clearly, when you purchase a program, you are buying software. But to buy the software, you need to buy the disk (hardware) on which the software is recorded.

Software is often divided into two categories. Systems software includes the operating system and all the utilities that enable the computer to function. Applications software includes programs that do real work for users. For example, word processors, spreadsheets, and database management systems fall under the category of applications software.

Page 40: COURSE CONTENT  Management information systems (MIS); challenges and opportunities, the strategic role of information systems in organizations, and business

Five parts Hardware Software Database Telecommunications Networks

Page 41: COURSE CONTENT  Management information systems (MIS); challenges and opportunities, the strategic role of information systems in organizations, and business

Database An organized collection of facts and

information A collection of information organized in

such a way that a computer program can quickly select desired pieces of data

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A database is a collection of information organized in such a way that a computer program can quickly select desired pieces of data.

You can think of a database as an electronic filing system. Traditional databases are organized by fields, records, and files. A field is a single piece of information; a record is one complete set of fields; and a file is a collection of records. For example, a telephone book is analogous to a file. It contains a list of records, each of which consists of three fields: name, address, and telephone number.

Page 43: COURSE CONTENT  Management information systems (MIS); challenges and opportunities, the strategic role of information systems in organizations, and business

An alternative concept in database design is known as Hypertext. In a Hypertext database, any object, whether it be a piece of text, a picture, or a film, can be linked to any other object. Hypertext databases are particularly useful for organizing large amounts of disparate information, but they are not designed for numerical analysis.

To access information from a database, you need a database management system (DBMS). This is a collection of programs that enables you to enter, organize, and select data in a database.

Page 44: COURSE CONTENT  Management information systems (MIS); challenges and opportunities, the strategic role of information systems in organizations, and business
Page 45: COURSE CONTENT  Management information systems (MIS); challenges and opportunities, the strategic role of information systems in organizations, and business

Five parts Hardware Software Database Telecommunications Networks

Page 46: COURSE CONTENT  Management information systems (MIS); challenges and opportunities, the strategic role of information systems in organizations, and business

Telecommunications The electronic transmission of signals for

communications; enables organizations to link computer systems into effective networks

Refers to all types of data transmission, from voice to video

Page 47: COURSE CONTENT  Management information systems (MIS); challenges and opportunities, the strategic role of information systems in organizations, and business

Five parts Hardware Software Database Telecommunications Networks

Page 48: COURSE CONTENT  Management information systems (MIS); challenges and opportunities, the strategic role of information systems in organizations, and business

Network Used to connect computers and

computer equipment in a building, around the country, across the world, to enable electronic communications

A group of two or more computer systems linked together

Page 49: COURSE CONTENT  Management information systems (MIS); challenges and opportunities, the strategic role of information systems in organizations, and business

There are many types of computer networks, including:

local-area networks (LANs) : The computers are

geographically close together (that is, in the same building).

wide-area networks (WANs) : The computers are farther apart and are connected by telephone lines or radio waves.

Page 50: COURSE CONTENT  Management information systems (MIS); challenges and opportunities, the strategic role of information systems in organizations, and business

In addition to these types, the following characteristics are also used to categorize different types of networks:

topology : The geometric arrangement of a computer system. Common topologies include a bus, star, and ring.

protocol : The protocol defines a common set of rules and signals that computers on the network use to communicate. One of the most popular protocols for LANs is called Ethernet. Another popular LAN protocol for PCs is the IBM token-ring network .

architecture : Networks can be broadly classified as using either a peer-to-peer or client/server architecture.

Page 51: COURSE CONTENT  Management information systems (MIS); challenges and opportunities, the strategic role of information systems in organizations, and business

Computers on a network are sometimes called nodes.

Computers and devices that allocate resources for a network are called servers.

Page 52: COURSE CONTENT  Management information systems (MIS); challenges and opportunities, the strategic role of information systems in organizations, and business
Page 53: COURSE CONTENT  Management information systems (MIS); challenges and opportunities, the strategic role of information systems in organizations, and business

Internet The world’s largest telecommunications

network A network of networks Free exchange of information A global network connecting millions of

computers. Intranet

A network that uses Internet technology within an organization

A network belonging to an organization

Page 54: COURSE CONTENT  Management information systems (MIS); challenges and opportunities, the strategic role of information systems in organizations, and business

People The most important element in most

computer-based information systems Includes people who manage, run,

program, and maintain the system E.g., IT professionals (you!)

Procedures Includes the strategies, policies,

methods, and rules for using the CBIS

Page 55: COURSE CONTENT  Management information systems (MIS); challenges and opportunities, the strategic role of information systems in organizations, and business

Types Transaction processing systems E-commerce systems Management information systems Decision support systems Expert systems

Page 56: COURSE CONTENT  Management information systems (MIS); challenges and opportunities, the strategic role of information systems in organizations, and business

Transaction Any business-related exchange E.g., generating a weekly payroll

Transaction processing system (TPS) An organized collection of people,

procedures, software, databases, and devices used to record completed for for business related exchanges

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Hoursworked

Payrate

Payrolltransactionprocessing

Payrollchecks

Page 58: COURSE CONTENT  Management information systems (MIS); challenges and opportunities, the strategic role of information systems in organizations, and business

Types Transaction processing systems E-commerce systems Management information systems Decision support systems Expert systems

Page 59: COURSE CONTENT  Management information systems (MIS); challenges and opportunities, the strategic role of information systems in organizations, and business

E-commerce Involves any business transaction executed

electronically Conducting business on-line For example, between…

▪ Companies▪ Companies and consumers▪ Business and the public sector▪ Consumers and the public sector

Example for placing a purchase order

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Page 62: COURSE CONTENT  Management information systems (MIS); challenges and opportunities, the strategic role of information systems in organizations, and business

Types Transaction processing systems E-commerce systems Management information systems Decision support systems Expert systems

Page 63: COURSE CONTENT  Management information systems (MIS); challenges and opportunities, the strategic role of information systems in organizations, and business

An MIS is… An organized collection of people,

procedures, software, databases, and devices used to routine information to managers and decision makers

Page 64: COURSE CONTENT  Management information systems (MIS); challenges and opportunities, the strategic role of information systems in organizations, and business

Management Information Systems (MIS)

Management information system (MIS)▪ An MIS provides managers with

information and support for effective decision making, and provides feedback on daily operations▪ Output, or reports, are usually generated

through accumulation of transaction processing data▪ Each MIS is an integrated collection of

subsystems, which are typically organized along functional lines within an organization

Page 65: COURSE CONTENT  Management information systems (MIS); challenges and opportunities, the strategic role of information systems in organizations, and business

Commondatabases

Marketingmanagementinformation

system

FinancialmanagementInformation

system

ManufacturingmanagementInformation

system

Ordermanagementinformation

system

TPS

Page 66: COURSE CONTENT  Management information systems (MIS); challenges and opportunities, the strategic role of information systems in organizations, and business

MIS is short for management information system or management information services, and pronounced as separate letters

MIS refers to a class of software that provides managers with tools for organizing and evaluating their department. Typically, MIS systems are written in COBOL and run on mainframes or minicomputers.

Within companies and large organizations, the department responsible for computer systems is sometimes called the MIS department. Other names for MIS include IS (Information Services) and IT (Information Technology).

Page 67: COURSE CONTENT  Management information systems (MIS); challenges and opportunities, the strategic role of information systems in organizations, and business

Types Transaction processing systems E-commerce systems Management information systems Decision support systems Expert systems

Page 68: COURSE CONTENT  Management information systems (MIS); challenges and opportunities, the strategic role of information systems in organizations, and business

A DSS is… An organized collection of people,

procedures, software, databases, and devices used to support problem-specific decision making

A DSS helps a manger “do the right thing”

Page 69: COURSE CONTENT  Management information systems (MIS); challenges and opportunities, the strategic role of information systems in organizations, and business

Types Transaction processing systems E-commerce systems Management information systems Decision support systems Expert systems

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An expert system is… A computer application that performs a task

that would otherwise be performed by a human expert

gives the computer the ability to make suggestions and to act like an expert in a particular field

Examples: diagnose human illnesses, make financial forecasts, schedule routes for delivery vehicles

Expert systems typically include “artificial intelligence” (next slide)

Page 71: COURSE CONTENT  Management information systems (MIS); challenges and opportunities, the strategic role of information systems in organizations, and business

AI is… A branch of computer science concerned

with making computers behave like humans

Term was coined in 1956 by John McCarthy at the Massachusetts Institute of Technology

Draws from many areas, including cognitive psychology

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Artificial intelligence includes games playing: programming computers to play games such as chess and checkers

expert systems : programming computers to make decisions in real-life situations (for example, some expert systems help doctors diagnose diseases based on symptoms)

natural language : programming computers to understand natural human languagesneural networks : Systems that simulate intelligence by attempting to reproduce the types of physical connections that occur in animal brainsrobotics : programming computers to see and hear and react to other sensory stimuli

Page 73: COURSE CONTENT  Management information systems (MIS); challenges and opportunities, the strategic role of information systems in organizations, and business

Attempted to replace humans in decision making

However did not take into account How humans actually reason Human information needs (doctors do

not want their decision making replaced, but rather want it supported)

Page 74: COURSE CONTENT  Management information systems (MIS); challenges and opportunities, the strategic role of information systems in organizations, and business

Systems development The activity of creating or modifying an

existing business system Systems investigation and analysis

Defines the problems and opportunities of an existing system

Systems design Determine how a new system will work to

meet business needs

Page 75: COURSE CONTENT  Management information systems (MIS); challenges and opportunities, the strategic role of information systems in organizations, and business

Systems implementation Creating and acquiring system

components defined in the designSystems maintenance and review

Checks a modifies the system so that it continues to meet changing business needs