Chapter 1 Intro To IS AND IT

Technology & Information Systems
PUNTLAND STATE UNIVERSITY

Faculty of Computer Science/IT
Eng: Adnan Mohamed
adnaan.mohamed@psu.edu.so
Class : 2021 Batch

Content: Introduction
Period: 2 hr and 50 minutes
Date: Feb – 8 - 2021
1
Why study Information Systems and Information
Technology?
• Vital component of successful businesses
• Helps businesses expand and compete
• Businesses use IS and IT
• To improve efficiency and effectiveness of business processes
• For managerial decision making
• For workgroup collaboration
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
What is an Information System?
• An organized combination of
• People
• Hardware
• Software
• Communications networks
• Data resources
• Policies and procedures
• That stores, retrieves, transforms, and disseminates information in an
organization
Information System (IS) versus Information Technology (IT)
• IS is all the components and resources necessary to deliver

information and functions to the organization
• IT is hardware, software, networking and data management
• In theory, IS could be paper based

• But we will focus on Computer-Based Information Systems (CBIS)
Fundamental Roles of IS in Business
• Support of business processes and operations.

• Support of decision making by employees and managers.
• Support of strategies for competitive advantage.
Components of an IS
• People Resources
• End users: the people who use the IS or the information from the IS
• IS specialists: the people who develop and operate IS
• Hardware Resources
• All physical devices used in information processing
• Machines, data media, peripherals
• Software Resources
• All information processing instructions including programs and procedures
• System software, application software and procedures
Components of an IS (cont.)
• Data Resources
• Facts about the business transactions
• Processed and organized information
• Databases of organized data
• Network Resources
• Communications media
• Network infrastructure: hardware and software
• The Internet, intranets and extranets
Data versus Information
• Data are raw facts about physical phenomena or business

transactions
• Information is data that has been converted into meaningful and
useful context for end users
• Example:
• Sales data is names, quantities and dollar amounts
• Sales information is amount of sales by product type, sales territory or
salesperson
IS Activities
• Input of data resources

• Data entry activities
• Processing of data into information
• E.g., calculate, compare, sort, classify, summarize
• Output of information products
• Messages, reports, forms and graphic images
• Storage of data resources
• Data elements and databases
• Control of system performance
• Monitoring and evaluating feedback
Recognizing IS
• As a business professional, you should be able to look at an IS and

identify
• The people, hardware, software, data and network resources they use
• The type of information products they produce
• The way they perform input, processing, output, storage and control
activities
What is E-business?
• The use of Internet technologies

• to work and empower business processes, electronic commerce, and
enterprise collaboration
• within a company and with its customers, suppliers, and other business
stakeholders.
• An online exchange of value.
How e-business is being used
Operations support systems
• What are they?

• Efficiently process business transactions
• Control industrial processes
• Support communications and collaboration
• Update corporate databases
Types of Operations Support Systems
• Transaction Processing Systems

• Record and process data from business transactions
• Examples: sales processing, inventory systems, accounting systems
• Process Control Systems
• Monitor and control physical processes
• Example: in a petroleum refinery use sensors to monitor chemical processes
• Enterprise Collaboration Systems
• Enhance team and work group communications
• Examples: e-mail, videoconferencing
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
Management Support Systems
• What are they?

• Provide information and support for effective decision making by managers
Types of Management Support Systems
• Management Information Systems (MIS)

• Provide reports and displays to managers
• Example: daily sales analysis reports
• Decision Support Systems (DSS)
• Provide interactive ad hoc support for decision making
• Example: A what-if-analysis to determine where to spend advertising dollars
• Executive Information Systems (EIS)
• Provide critical information for executives and managers
• Example: easy access to actions of competitors
Operational or Management 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
Classifications of IS by scope
• Functional business systems

• Focus on operational and managerial applications of basic
business functions
• Examples: support accounting, finance or marketing
• Strategic information systems
• Help get a strategic advantage over its customers
• Examples: shipment tracking, e-commerce web systems
• Cross-functional information systems
• Systems that are combinations of several types of information
systems
• Provide support for many functions
Technology and Computers
• Computer systems have four parts

• Hardware
• Software
• Data
• User
1B-21
Parts of the Computer System
• Computer systems have four parts

• Hardware
• Software
• Data
• User
1B-22
• Hardware
• Mechanical devices in the computer
• Anything that can be touched
• Software
• Tell the computer what to do
• Also called a program
• Thousands of programs exist
1B-23
• Data
• Pieces of information
• Computer organize and present data
• Users
• People operating the computer
• Most important part
• Tell the computer what to do
1B-24
Information Processing Cycle
• Steps followed to process data

• Input
• Processing
• Output
• Storage
1B-25
Essential Computer Hardware
• Computers use the same basic hardware

• Hardware categorized into four types
1B-26
• Processing devices
• Brains of the computer
• Carries out instructions from the program
• Manipulate the data
• Most computers have several processors
• Central Processing Unit (CPU)
• Secondary processors
• Processors made of silicon and copper
1B-27
• Memory devices
• Stores data or programs
• Random Access Memory (RAM)
• Volatile
• Stores current data and programs
• More RAM results in a faster system
• Read Only Memory (ROM)
• Permanent storage of programs
• Holds the computer boot directions
1B-28
• Input and output devices

• Allows the user to interact
• Input devices accept data
• Keyboard, mouse
• Output devices deliver data
• Monitor, printer, speaker
• Some devices are input and output
• Touch screens
1B-29
• Storage devices
• Hold data and programs permanently
• Different from RAM
• Magnetic storage
• Floppy and hard drive
• Uses a magnet to access data
• Optical storage
• CD and DVD drives
• Uses a laser to access data
1B-30
Software Runs The Machine
• Tells the computer what to do

• Reason people purchase computers
• Two types
• System software
• Application software
1B-31
• System software
• Most important software
• Operating system
• Windows XP
• Network operating system (OS)
• Windows Server 2003
• Utility
• Symantec AntiVirus
1B-32
• Application software
• Accomplishes a specific task
• Most common type of software
• MS Word
• Covers most common uses of computers
1B-33
Computer data
• Fact with no meaning on its own

• Stored using the binary number system
• Data can be organized into files
1B-34
Computer users
• Role depends on ability

• Setup the system
• Install software
• Mange files
• Maintain the system
• “Userless” computers
• Run with no user input
• Automated systems
1B-35
End of Chapter 1
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Technology & Information Systems

PUNTLAND STATE UNIVERSITY

Class : 2021 Batch

• IS is all the components and resources necessary to deliver

• In theory, IS could be paper based

• Support of business processes and operations.

• Data are raw facts about physical phenomena or business

• Input of data resources

• As a business professional, you should be able to look at an IS and

• The use of Internet technologies

• What are they?

• Transaction Processing Systems

• What are they?

• Management Information Systems (MIS)

• Functional business systems

• Computer systems have four parts

• Computer systems have four parts

• Steps followed to process data

• Computers use the same basic hardware

• Input and output devices

• Tells the computer what to do

• Fact with no meaning on its own

• Role depends on ability

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