Business Functions

The major business functions, or specialized tasks performed by business organizations, consists of
sales and marketing, manufacturing and production.

Business functions explain specific tasks and goals that need to be completed in an organization.

Business model
A business model describes how a company produces, delivers and sells a product or services to
create wealth

A business model describes how an organization creates, delivers, and captures value, in economic,
social, cultural or other contexts. For a business, it describes the specific way in which it conducts itself,
spends, and earns money in a way that generates profit.

Business process
Business processes refers to the set of logically related tasks and behaviors and organizations develop
over time to produce specific business result and the unique manner in which these activities and
organized and coordinated.

A business process is an activity or set of activities that accomplish a specific organizational goal.
Business processes should have purposeful goals, be as specific as possible and produce consistent
outcomes.

Complementary assets
Are those assets required to derive value form a primary investments (Teece, 1988). For instance, to
realize value form automobiles requires substantial complementary investments in highways, roads,
gasoline stations, repair facilities, and a legal regulatory structure to set standard and control drivers.

Complementary assets are the upstream and downstream assets necessary to successfully
commercialize an invention. These can be generic assets that can be used for multiple purposes, or
specialized and co-specialized assets that are idiosyncratic to the innovation and don't easily trade on
markets.

Computer hardware
Computer hardware is the physical equipment used for input, processing and output activities in an
information system. It consists of the following: computers of various size and shapes (including
mobile handheld devices); various input, output and storage devices; and telecommunications devices
that link computers together.

Computer hardware the external and internal devices and equipment that enable you to perform
major functions such as input, output, storage, communication, processing, and more.

Computer literacy
Focuses primarily on knowledge of information technology

Computer literacy is defined as the knowledge and ability to use computers and related technology
efficiently

Computer software
Computer software consists of the detailed, reprogrammed instructions that control and coordinate
the computer hardware components in an information systems.

Computer Software is a set of instructions, data or programs used to operate computers and execute
specific tasks.
Culture
Each organizations has a unique culture, or fundamentals set of assumptions, values, and ways of
doing things, that has been accepted by most of its member.

Culture is a shared set of workplace beliefs, values, attitudes, standards, purposes and behaviors.

Data
Streams of raw facts representing events occuring in organizations or the physical environment
before they have been organized and arrange into a form that people can understand and use.

Information that has been translated into a form that is efficient for movement or processing.

Data management technology

Consists of software governing the organization of data on physical storage media.

Data management is the practice of collecting, organizing, managing, and accessing data to support
productivity, efficiency, and decision-making.

Data workers
Data workers such as secretaries or clerks, assist with scheduling and communication at all levels of
firm.

A data worker is a person that works with information whether it is the creation, manipulation, or
analysis of it.

Digital firm
A digital firm is one in which nearly all of the organization significant business relationships with
customers, suppliers , and employees are digitally enabled and mediated core business processes
are accomplished through digital networks spanning the entire organization or linking multiple
organization

A company is formally defined as a digital firm when it uses the internet to drive every aspect of its
business processes.

Extranets
Private intranets extended to authorized users outside the organization are called extranets, and
firms use such networks to coordinate their activities with other firms for making purchases,
collaborating on design and other interorganizational work.

An intranet that can be partially accessed by authorized outside users, enabling businesses to
exchange information over the internet securely.

Feed back
Output that is returned to appropriate members of the organization to help them evaluate or correct
the input stage

Helpful information or criticism that is given to someone to say what can be done to improve a
performance, product, etc

Information
Data that has been shaped into a form that is meaningful and useful to human beings

Facts provided or learned about something or someone.

Information system
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
organization. In addition to supporting decisions making, coordination and control, information
systems may also help managers and workers analyze problems, visualize complex subjects and
create new products.

Information system (IS) is an interconnected set of components used to collect, store, process and
transmit data and digital information

Information system literacy

We refer to this broader understanding of information systems, which encompasses an understanding
of the management and organizational dimensions of systems as well as the technical dimensions of
systems, as information systems literacy.

Information systems literacy is is knowledge of how data information are used by individuals and
organizations.

Information technology (IT)

Consists of all the hardware and software that a firm needs to use in order to achieve its business
objectives. This includes not only computer machines, storage devices, and handheld mobile devices,
but also software, such as Windows or Linux operating system of computer programs that can be
found in a typical large firm. “Information systems” are more complex and can be best be understood
by looking at them from both a technology and a business perspective.

Information technology (IT) is the use of computer systems or devices to access information.

Information technology (IT) infrastructure

The IT infrastructure provides foundation, or platform, on which the firm can build its specific
information systems.

IT infrastructure, also called technology infrastructure, is what enables a company to build and run the
applications that underpin its business. It includes compute, network, workplace, data platform and
edge capabilities.

Input
Input captures or collects raw data from within the organization of from its external environment

A place where, or a device through which, energy or information enters a system.

Internet
The worlds largest and most widely used network

A global computer network providing a variety of information and communication facilities, consisting
of interconnected networks using standardized communication protocols.

Intranets
Internal corporate networks based In internet technology

A local or restricted communications network, especially a private network created using World Wide
Web software.

Knowledge workers
Knowledge workers such as engineers, scientist, or architects design products or services and create
new knowledge for the firm.

High-level workers who apply theoretical and analytical knowledge, acquired through formal training,
to develop products and services.
Management Information systems (MIS)
The field of management information systems (MIS) tries to achieve this broader information systems
literacy. MIS deals with behavioral issues as well.

Management Information Systems (MIS) is the study of people, technology, organizations, and the
relationships among them.

Middle management
Middle management carries out the program and plans of senior management

Middle management refers to managers who are below the top level of management, and who are
responsible for controlling and running an organization rather than making decisions about how it
operates.

Network
A network links two or more computer to share data or resources, such as printer.

an interconnected or interrelated chain, group, or system.

Networking and telecommunications technology

Consisting of both physical devices and software, links the various pieces of hardware and transfers
data from one physical location to another.

Networking describes how devices interconnect to share resources with each other. Telecom, which
includes networking, broadly refers to the exchange of data across long distances.

Operation management
Operational management is responsible for monitoring the daily activities of the business

Operations management is the administration of business structure, practices, and processes to

enhance efficiency and maximize profit.

Organizational and management capital

Investments in organization and management are also know as organizational and management
capital

Organizational capital enables tangible and intangible resources, such as machines, patents, brands
and human capital to be productive.

Output
Output transfers the processed information to the people who will use it or to the activities for which
it will be used.

Output is used to refer to the amount of something that a person or thing produces.

Processing
Processing converts this raw input into meaningful form

the act of treating or preparing something by a particular series of actions, as in manufacturing

Production or service workers

Production or service workers actually produce the product and deliver the service

Production workers assemble products in factories and manufacturing facilities and prepare them for
onward delivery
Senior management
Senior management makes long-range strategic decisions about the products and services as well as
ensure s financial performance of the firm

senior management officials are in charge of setting the organisational goals of a company. They
usually employ strategic planning processes to identify, set and monitor such goals.

Sociotechnical view
The view we adopt in this book is best characterized as the sociotechnical view of systems. In this
view, optimal organizational performance is achieved by jointly optimizing both the social and
technical systems used in production

sociotechnical systems theory sees the holistic, interconnected contribution of technology and the
human systems that operate and interact with it.

World Wide Web

Is a service provided by the internet that uses universally accepted standard for storing, retrieving,
formatting and displaying information in a page format on the internet.

World-Wide Web (also called WWW or W3) is a hypertext-based information system. Any word in a
hypertext document can be specified as a pointer to a different hypertext document where more
information pertaining to that word can be found.