Information System Components and Concepts

• Fundamentals of Information Systems is the subject
• The lesson is number 1, ICT1161
• The lesson is by Mr. A.W.A.T.Dilhan

Today's Content

• The content covers information system components, information concepts, and Business Information Systems

What is Data, Information, Knowledge and Process

• Data is raw facts
• Information is a collection of facts organized in such a way that they have additional value beyond the value of the individual facts
• Knowledge is the awareness and understanding of a set of information and ways that information can be made useful to support a specific task or reach a decision
• Process is a set of logically related tasks performed to achieve a defined outcome

Data Representation

• Alphanumeric data is represented by numbers, letters, and other characters
• Image data is represented by graphic images and pictures
• Audio data is represented by sound, noise, and tones
• Video data is represented by moving images or pictures

Transforming Data into Information

• Data undergoes a transformation process, applying knowledge by selecting, organizing, and manipulating data, to become information

Characteristics of Valuable Information Definitions

• Accessible information should be easily accessible by authorized users in the right format and at the right time to meet their needs
• Accurate information is error-free; inaccurate information is generated when inaccurate data is fed into the transformation process: "garbage in, garbage out [GIGO]"
• Complete information contains all important facts; lacking important costs would make an investment report information considered incomplete
• Economical information should be reasonably cost-effective to produce, balancing the value of information with the cost of its production
• Flexible information is versatile and can be used for different purposes, such as inventory data used by sales, production, and financial departments
• Relevant information is important to the decision maker; lumber prices are irrelevant to a computer chip manufacturer
• Reliable information can be trusted and often depends on the reliability of the data-collection method and source of the information.
• Secure information should be protected from unauthorized access
• Simple information should be clear and not overly complex; too much detail can cause information overload
• Timely information is delivered when needed, like current weather conditions impacting coat choice
• Verifiable information can be checked for correctness, ideally through multiple sources

Systems

• System is a set of interrelated components working together to meet an objective
• A system comprises elements or components that interact to accomplish goals

System Components

• A system consists of input, processing, output, and optional feedback

System Categories

• Open systems have flows of information, energy, and matter between the system and its environment, and adapt to the exchange
• Closed systems are completely isolated from their environment
• The human body as an example of an open system requires inputs like food and oxygen and outputs carbon dioxide and waste, which are managed by other systems
• Earth as a whole, can be seen as a closed system, with the exception of energy from the sun

Information Systems

• An Information System (IS) encompasses components that collect, manipulate, store, and disseminate data and information and provide a feedback mechanism

Components of an Information System

• Input is the activity of gathering and capturing raw data
• Processing involves converting or transforming data into useful outputs
• Output entails producing useful information, often in documents and reports
• Feedback uses information from the system to adjust input or processing activities
• Forecasting involves predicting future events to avoid problems

Manual Information System

• Manual Information System requires an entire process to be done through manual methods

Computer Based Information Sets (CBIS)

• CBIS consists of hardware, software, databases, telecommunications, people, and procedures to collect, manipulate, store, and process data into information
• Computer Based Information Set is information that is processed via computer systems

Components of Computer Based Information Sets

• Hardware includes computer equipment for input, processing, and output
• Software includes computer programs that govern the operation of the computer
• Database is an organized collection of facts and information
• Telecommunications transmit electronic signals for communication to facilitate organizational processes through computer networks
• Networks link computers and equipment locally or globally for electronic communications
• The Internet is the world's largest network, connecting networks for information exchange
• People are users of the system

Procedures

• Strategies, policies, methods, and rules for using the Computer Based Information Sets, including how to maintain operations and what security measures to take

Global challenges in Information Systems

• Cultural challenges differ between countries
• Language challenges can make accurate translations difficult
• Time and distance challenges are also difficult
• Infrastructure challenges includes high-quality electricity and water that might not be available in certain parts of the world
• Currency challenges includes the value of different currencies can vary significantly over time
• Product and service challenges occurs with traditional products that are physical or tangible are difficult to deliver to the market.
• Technology transfer issues involves some governments don't allow equipment to be sold to some countries
• State, regional, and national laws must be obeyed by citizens

Globalization Eras

• Globalization 1.0 (Late 1400-1800): Exploration and influence by countries
• Globalization 2.0 (1800-2000): Multinational corporations with global facilities
• Globalization 3.0 (2000-today): Individual competition using Internet and technology

Organization

• An organization is a formal set of people and resources established to meet specific goals, and can be either for-profit or non-profit
• An organization functions as a system with inputs, processing, outputs, and feedback

Organizational Structures

• Organizational structures include the subunits and their relationships
• The structures depend on the goals and approach to management
• Includes traditional, project, team, and virtual structures

Traditional Organizational Structure

• Hierarchical structure includes authority flows from strategic management down to operational levels

Flat Organizational Structures

• Flat organization has fewer management layers

Project Organizational Structures

• Project Organizational Structures focuses on services or products

Team Organizational Structures

• Team Organizational Structures focuses on groups or work teams

Virtual Organizational Structure and Collaborative Work

• Virtual Organizational Structure and Collaborative Work employs complete business units or individual groups geographically over telecommunications like the internet

Explore the fundamentals of information systems in lesson 1 of ICT1161 by Mr. A.W.A.T.Dilhan. This lesson defines data, information, knowledge, and processes, and covers data representation methods like alphanumeric, image, audio, and video data.