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44 Cards in this Set

  • Front
  • Back
What are Information Systems?
- A combination of technical components
- Built and used by people to collect, create, and distribute useful data
- Used typically in organizational settings but are evolving for personal use
Information Systems Components: Data
The raw inputs for entry into information systems
Organized, processed and stored by an IS to support user information needs
Provides basis for qualitative/quantitative analysis
Information Systems Components: Hardware
The physical components of information systems
Hardware components include processors, input and output devices, and storage devices (Pentium 4)
Typical configurations based on application include micro, mid-range, mainframe, and super computers
Information Systems Components: Software
The instructions that operate the information system
System software controls the hardware (WindowsXP)
Application software allows user tasks to perform specific tasks to increased productivity (MS Word)
Information Systems Components: Telecommunications
The communication mechanism of information systems
Allows two or more computers to communicate (Internet)
Utilizes standard protocols for IS communication
Knowledge Worker (Peter Drucker 1959)
A term invented to describe a future trend in the workforce
These will be professionals that create, modify and/or synthesize information as a fundamental part of their job
They will require higher education levels and received higher compensation than workers in agriculture or manufacturing
The term is still generally accepted today (Drucker was right!)
Knowledge Society (Drucker - 1959)
Term invented to describe the next evolution of society
This evolution would be a result of the rise in the numbers and importance of knowledge workers in society
Education was described as the cornerstone of the knowledge society as it is core to the knowledge worker
Drucker was right again!
New Economy (Wired Magazine - Late 1990s)
Similar to “knowledge society” but more descriptive
Describes a society where people use their brains more than their hands in their work and personal lives
Where communications technology and other IT systems will create global competition for all products and services
Other names: Digital Economy, Network Era, Internet Era
Perspective 1: Sims –Taylor
The new economy creates risks for Knowledge Workers
Knowledge workers will be the first to be replaced by automation with information technology
Perspective 2: Rikfin
The overreliance on information technology has caused society to act hastily
The result has been a loss of perspective
Those with access to information technology have great advantages over those that don’t
IT access will further polarize society
any mechanical and/or electrical means to supplement, extend, or replace human manual operations Examples: building heating/cooling systems, car brakes, etc.
Information Technology
any machine technology that is controlled by or uses information for operation
Example: a programmable industrial robot receiving instructions from a computer-based database
Computer- based Information Systems
any computer-based technology that provides information for use by persons or machines to make decisions or control processes Example: Software that controls CD burning hardware
Raw material
Unformatted information
Generally has no context
Raw material
Unformatted information
Generally has no context

ex. Individual time cards for factory workers entered into the payroll system
Processed material
Formatted information
Data given context
ex. Department Labor Report,
Project Status Report, Employee Payroll Checks
Chief Executive
Manages External
Stakeholder Relationships
Sets Strategic Direction
Defines High Level IT
Needs for the Future
Chief Operations
Manages Operations
Allocates Resources
Primary Consumer of IT within the Organization
Chief Financial
Manages Accounting & Finance
Forecasts Needs and Secures Financial Resources
Allocates Budget for IT Expenditures
Chief Information
Manages IT Organization and Operations
Forecasts IT Needs from Business Strategy
Sets Direction for IT Architecture and Organization
Plans, Designs and Delivers IT throughout the firm
(Three Distinct Competencies of IS Professionals)
Knowledge of hardware, software, networking, and security
Most IS professionals are not deep technical experts but can direct/manage others with the required technical skills
(Three Distinct Competencies of IS Professionals)
Understand the nature of business including process, management, social, and communication domains
Unique skills over those with only technical skills
(Three Distinct Competencies of IS Professionals)
Knowledge of approaches and methods, also possess critical thinking and problem solving skills necessary to build and integrate large information systems
Unique skills over those with only technical skills
Processing Systems
Process day-to-day business event data
data in an organization (Operational level)
Information Systems
Produce details information to help manage a firm or part of a firm (Managerial)
Information Systems
Provide very high-level, aggregate information
to support decisions (Executive)
Decision Support
Provide analysis tools and databases to support quantitative decision making (Multiple)
Expert Systems
Mimic human expert in a particular area and provide answers or advice (Operational)
Functional Area
Information Systems
Support the activities within a specific functional area of the firm (All)
Office Automation System
Support a wide range of predefined, daily work activities of individuals or groups (e.g. MS Word)
Enable People to communicate, collaborate, and coordinate with each other (e.g. email)
Customer Relationship Management
Support the interaction between the firm and its customers (e.g. sales force automation or call center technology)
Enable customers to buy goods and service
from a firm’s website. (
Enterprise Resource
Planning System
Support and integrate all facets of the business (e.g. planning, manufacturing, sales, etc.)
“IT Doesn’t Matter” - Car 2003
As IT becomes more pervasive, technology becomes more standardized and ubiquitous
The result is that the same technologies are available to all competitors in an industry
This produces no competitive advantage
“The Engine that Drives Success: The Best Companies have the Models Because they Have the Best IT Strategies” - Lundberg 2004
Companies with bad business models fail regardless of IT systems or other capabilities
Companies with good business models use IT to execute successful business models and succeed
Central IT Organization
Responsible for IT Planning
Coordinates implementations
Establishes organization’s IT methods and standards
IT Business Unit Support
Liaison between Central IT and the Business Unit
Spends much time onsite at the Business Unit
Reports to both orgs
Business Unit
Responsible for determining IS business requirements
Supply budget and personal resources for implementations
Ownership and Control (Old School IS)
Large back logs of user requests…very poor service
Arrogance and feeling of ownership and control of IT
Can’t do attitude…told users why they couldn’t do things
Resulted in a very poor relationship with users
Consulting and Service Mentality (New School IS)
IS is taking on an IT consulting role
“Service Mentality”…users are customers to be served
Proactively support and problem solve for their customers
Fundamentally believe that customers own the technology
Downsizing (Sometimes called Rightsizing)
Reducing organizational headcount to meet the financial goals of the organization
IT is viewed as the lever to provide the systems necessary to increase productivity
Transferring business functions outside the organization to increase service levels and/or reduce operating cost
IT is not immune to this trend. Certain commodity IT technical jobs will be increasingly transferred overseas
IT must find better methods to manage offshore work