Business Information Systems Learning Unit 1

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5 Questions

Define computer literacy.

Computer literacy refers to an individual’s ability to use a computer and productivity software applications effectively.

Define information literacy.

Information literacy refers to an individual's understanding of the value of information in terms of generating and using business intelligence.

Which of the following are major components of an information system?

Processes

What are the two main types of processing performed by Transaction Processing Systems (TPS)?

On-line/real-time transaction processing (OLTP)

Information systems can generate reports to assist management in decision-making.

True

Study Notes

Information Systems Overview

  • Computers and information systems are used in daily life for various applications.
  • A computer is a machine capable of executing multiple applications, performing input, processing, output, and feedback and control functions.

Components of an Information System

  • Information systems consist of four major components: data, databases, processes, and information.

Computer Literacy vs. Information Literacy

  • Computer literacy refers to an individual's ability to use a computer and productivity software effectively.
  • Information literacy refers to an individual's understanding of the value of information in generating and using business intelligence.

Types of Information Systems

  • Transaction Processing Systems (TPS) serve the operational level and perform batch processing and on-line/real-time transaction processing.
  • TPS assists in increasing customer loyalty, providing superior customer service, developing better supplier relationships, and reducing costs.

Management Information Systems (MIS)

  • MIS generates reports from TPS and improves operational efficiency.
  • MIS is used to support management decision-making.

Information Systems in Organisations

  • Information systems can be designed to support various functional areas of an organisation, such as HR, logistics, manufacturing, and finance.
  • Examples of information systems include HRIS, LIS, MFIS, and FIS.

Information Technologies for Competitive Advantage

  • A competitive advantage is a long-term strategic advantage an organisation has over its competitors.
  • Strategies for gaining a competitive advantage include cost leadership, differentiation, and modernising the workplace.

Michael Porter's Five Forces Model

  • The model analyses an organisation's competitive position in an industry.

This quiz covers an overview of information systems, including common computer applications, the differences between data and information, and the components of an information system.

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