INFORMATION SISTEM & TECHNOLOGY

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1 INFORMATION SISTEM & TECHNOLOGY by Kudang B. Seminar, PhD 2/14/ Definition of Information Technology Information Technology (IT) is an electronic technology for the acquisition, processing, storing, & retrieving of data and the production & delivery of information. (Gunton, 1994) Computer Technology Telecomunication Technology IT 1

2 Teknologi Informasi (TI) Teknologi elektronik untuk akuisisi, pengolahan, penyimpanan, dan temu balik data (data retrieval), serta untuk produksi dan distribusi informasi (Gunton 1993). Komputer Telekomunikasi TI 2/14/ Information System (IS) Model Performance Control System Data Process Info Data Store N E T W A R E 2/14/

3 What is a System? A system is A set of interrelated components With a clearly defined boundary Working together To achieve a common set of objectives By accepting inputs and producing outputs In an organized transformation process 5 Information Production 2/14/

4 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 7 Information System Resources People Resources Specialists End users Hardware Resources Machines Media Software Resources Programs Procedures Data Resources Product descriptions, customer records, employee files, inventory databases Network Resources Communications media, communications processors, network access and control software Information Resources Management reports and business documents using text and graphics displays, audio responses, and paper forms 8 4

5 IS Activities Input of data resources Data entry activities Processing of data into information Calculations, comparisons, sorting, and so on Output of information products Messages, reports, forms, graphic images Storage of data resources Data elements and databases Control of system performance Monitoring and evaluating feedback 9 A Business as a System 10 5

6 Fundamental Roles of IS in Business 11 IT Challenges and Opportunities 12 6

7 Shift Paradigm in Business EDI (ELECTRONIC DATA INTERCHANGE) LAN/ WAN Video Conference Merging Computing & Communications Fax Voice mail Cable- Television Pagers Phone/ Celullar 2/14/ The IS Function The IS function is A major functional area of business An important contributor to operational efficiency, employee productivity, morale, customer service and satisfaction A major source of information and support for decision making A vital ingredient in developing competitive products and services in the global marketplace A dynamic and challenging career opportunity A key component of today s networked business 14 7

8 Challenges and Ethics of IT Application of IT Customer relationship management Human resources management Business intelligence systems Potential Harm Infringements on privacy Inaccurate information Collusion Potential Risks Consumer boycotts Work stoppages Government intervention Possible Responses Codes of ethics Incentives Certification 15 Ethical Responsibilities What uses of IT might be considered improper or harmful to other individuals or society? What is the proper business use of the Internet or a company s IT resources? How can you protect yourself from computer crime? 16 8

9 Sociotechnological Environment Organization Structures Management Strategies Business Processes Information Systems and Technologies People and Cultures 2/14/ Data vs Information Data: raw facts or observations Information : data that have been transformed into a meaningful and useful context for specific end users Data Data Sales person Sales Values Sales Units Data Processing Information Sales Analysis 2/14/

10 Sales Data 2/14/ Sales Information 2/14/

11 Information Quality Time Dimension Timeliness Currency Frequency Time period Form Dimension Clarity Detail Order Presentation Media Content Dimension Accuracy Relevance Completeness Conciseness Scope Performance 2/14/ Purposes of Information Systems 22 11

12 Operations Support Systems What do they do? Efficiently process business transactions Control industrial processes Support communications and collaboration Update corporate databases 23 Types of OSS Transaction Processing Systems Record and process business transactions Example: sales processing, inventory systems, accounting systems Process Control Systems Monitor and control physical processes Example: using sensors to monitor chemical processes in a petroleum refinery Enterprise Collaboration Systems Enhance team and workgroup communication Example: , video conferencing 24 12

13 Two Ways to Process Transactions Batch Processing Accumulate transactions over time and process periodically Example: a bank processes all checks received in a batch at night Online Processing Process transactions immediately Example: a bank processes an ATM withdrawal immediately 25 Management Support Systems What do they do? Provide information and support for effective decision making by managers Management information systems Decision support systems Executive information systems 26 13

14 Types of Management Support Systems Management Information Systems (MIS) Reports and displays Example: daily sales analysis reports Decision Support Systems (DSS) Interactive and ad hoc support Example: a what-if analysis to determine where to spend advertising dollars Executive Information Systems (EIS) Critical information for executives and managers Example: easy access to actions of competitors 27 Other Information Systems Expert Systems - provide expert advice Example: credit application advisor Knowledge Management Systems - support creation, organization, and dissemination of business knowledge throughout company Example: intranet access to best business practices Strategic Information Systems - help get a strategic advantage over customer Example: shipment tracking, e-commerce Web systems Functional Business Systems - focus on operational and managerial applications of basic business functions Example: accounting, finance, or marketing 28 14

15 IT Management Paradigm A paradigm is a mental frame of reference that dominates the way people think and act (Karl Albrech) Vision & Mission of Human Vision & mission of Collective Prosperity IT Management Paradigm Vision & mission of organization/enterprise High Quality Decision Making (intelectually & emotionally) Vision & Missions of humans as vice vigerent of earth Knowledge Information Database 15

16 Business Process Reengineering (BPR) Vision & Mission of Collective Prosperity: knowledge sharing & mutual benefits Inter-, Extradan Intra-net Vision & Mission of Organization: Re-engineering for Better Performance & Higher Competitiveness High Rationalism Reengineering Current Condition Automation (Computerization) Low IT Utilization High 16

17 Process Control Systems: Industrial Automation Tomato Sorting Air Conditioner Factory Audio Factory Air Conditioner Factory Refrigerator Factory 2/14/

18 18

19 19

20 DNC s EIS Main Menu 2/14/

21 DNC s EIS - Dashboard 2/14/ DNC s EIS Sub Menu 2/14/

22 SHORT TERMS Grand Openning Events RENTAL TANAMAN HIAS Graduation Political Events LONG TERMS Holiday Events 22

23 OUR PRODUCTS 23

24 What to be known about the IS? Management of IS Resource and Activities Development of IS Solutions to Business Problems Applications of IS To Operations, Managemnet, and Strategic Advantage Technology of IS Hardware, Software, Telecomunications,& Data Management Foundation Concepts of IS Fundamental Behavioral and Technical Concepts 2/14/

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