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Introduction to information systems and the role of information systems in business today
This document provides an overview of information systems and their role in business today. It discusses the evolution from the agricultural age to the industrial age to today's information age. An information system is defined as a set of interconnected components that collect, process, store and distribute information to support decision making. The document also outlines how the digital transformation of business, globalization, rise of the information economy, and emergence of the digital firm have altered the competitive environment. It provides examples of how UPS uses information technologies in its package tracking systems.
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Introduction to information systems and the role of information systems in business today
- 1. Introduction to InformationSystems and the role of Information Systems in Business Today Lecture – 01
- 2. The Evolution ofthe Information Age
- 3. The Evolution ofthe Information Age • Agricultural Age: - The period up to the 1800s, when the majority of workers were farmers whose lives revolved around agriculture.
- 4. The Evolution ofthe Information Age • Industrial Age: - The period from the 1800s to 1957, when work processes were simplified through mechanization and automation.
- 5. The Evolution ofthe Information Age • Information Age: - The period that began in 1957, in which the majority of workers are involved in the creation, distribution, and application of information. – Knowledge Workers: Workers involved in the creation, distribution, and application of information.
- 6. What Is anInformation System? A set of interrelated components that collect (or retrieve), process, store, and distribute information to support decision making and control in an organization
- 7. What Is anInformation System? • Data: Streams of raw facts representing events such as business transactions • Information: Clusters of data that are meaningful and useful to human beings
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- 9. Functions of aninformation system
- 10. What Is anInformation System? Formal Systems • Fixed definitions of data and procedures for collecting, storing, processing, disseminating, and using these data • Can be computer-based or manual Computer-based Information Systems • Use computer hardware and software to process and disseminate information
- 11. The Competitive BusinessEnvironment and the Emerging Digital Firm Four powerful worldwide changes that have altered the business environment: 1. Globalization 2. Rise of the Information Economy 3. Transformation of the Business Enterprise 4. Emergence of the Digital Firm
- 12. The Competitive BusinessEnvironment and the Emerging Digital Firm Globalization • Management and control in a global marketplace • Competition in world markets • Global workgroups • Global delivery systems
- 13. The Competitive BusinessEnvironment and the Emerging Digital Firm Rise of the Information Economy • Knowledge- and information-based economies • New products and services • Knowledge: a central productive and strategic asset • Limited employee knowledge base
- 14. The growth ofthe information economy
- 15. The Competitive BusinessEnvironment and the Emerging Digital Firm Transformation of the Business Enterprise • Flexibility • Location independence • Low transaction and coordination costs • Empowerment • Collaborative work and teamwork
- 16. Information technology capitalinvestment 1980-2003
- 17. The Competitive BusinessEnvironment and the Emerging Digital Firm Emergence of the Digital Firm • Digitally enabled relationships with customers, suppliers, and employees • Core business processes accomplished via networks • Digital management of key corporate assets • Rapid sensing and responding to environmental changes
- 18. The business informationvalue chain Four Major Systems of Digital Firm
- 19. Case Study -United Parcel Service Using a hand held computer called a Delivery Information Acquisition Device (DIAD), UPS drivers automatically capture customers’ signatures along with pickup, delivery, and time card information. UPS information systems use these data to track packages while they are being transported.
- 20. UPS Competes Globallywith Information Technology • What are the inputs, processing, and outputs of UPS’s package tracking system? • What technologies are used? • How are these technologies related to UPS’s business strategy? How do they provide value for the company? • What would happen if these technologies were not available?
- 21. A Business Perspectiveon Information Systems • Information systems literacy: Broad-based understanding of information systems that includes behavioral knowledge about organizations and individuals using information systems and technical knowledge about computers • Computer literacy: Knowledge about information technology, focusing on understanding how computer-based technologies work
- 22. A Business Perspectiveon Information Systems Major Business Functions • Sales and marketing • Manufacturing • Finance • Accounting • Human resources
- 23. A Business Perspectiveon Information Systems
- 24. A Business Perspectiveon Information Systems Key Elements of an Organization • People • Structure • Operating Procedures • Politics • Culture
- 25. A Business Perspectiveon Information Systems Management Levels • Senior managers: make long-range strategic decisions about products and services • Middle managers: carry out the programs and plans of senior management • Operational managers: monitor the firm’s daily activities
- 26. A Business Perspectiveon Information Systems Information Technology (IT) Infrastructure • Computer hardware • Computer software • Storage technology • Communications technology
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