Principles of Information Systems: What is an Information System?

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Questions and Answers

What is the primary goal of using information systems in an organization?

To achieve the organization's goals (correct)

To improve employee productivity

To reduce costs and increase efficiency

To implement new technology

What is the primary characteristic of data?

It is processed and stored by a computer

It is valuable to an organization (correct)

It is used to evaluate the performance of an organization

It helps decision makers make informed decisions

What is the role of computers and information systems in an organization?

To reduce the need for human resources

To make it possible for organizations to improve the way they conduct business (correct)

To automate business processes

To improve communication among employees

What is the primary benefit of knowing the potential impact of information systems?

It can result in a successful personal career Signup and view all the answers

What is the primary component of a computer-based information system?

All of the above Signup and view all the answers

What is the primary role of system users, business managers, and information systems professionals in building a successful information system?

To work together to build a successful information system Signup and view all the answers

What is the primary threat posed by information systems and the Internet?

Security breaches Signup and view all the answers

What is the primary benefit of using information systems in business and industry?

To expand the role and benefits of information systems Signup and view all the answers

What is the primary function of an Information System in an organization?

To collect, manipulate, and disseminate data and information Signup and view all the answers

What is the difference between data and information?

Data is raw facts, while information is a collection of organized facts Signup and view all the answers

What is the primary goal of a system in an organization?

To achieve effectiveness Signup and view all the answers

What is the role of feedback in an Information System?

To help organizations achieve their goals Signup and view all the answers

What is knowledge in the context of Information Systems?

Awareness and understanding of a set of information and the ways it can be made useful to support a task Signup and view all the answers

What is the primary characteristic of valuable information in an organization?

Accuracy and completeness Signup and view all the answers

What is the primary goal of an Information System in an organization?

To support decision-making Signup and view all the answers

What is a system in the context of Information Systems?

A set of interrelated components that interact to accomplish goals Signup and view all the answers

What is the primary difference between efficiency and effectiveness in an Information System?

Efficiency is a measure of what is produced divided by what is consumed, while effectiveness is a measure of the extent to which a system attains its goals Signup and view all the answers

What is the primary role of information in an organization?

One of an organization's most valuable resources Signup and view all the answers

What is the primary purpose of a Management Information System (MIS)?

To provide routine information to managers and decision makers Signup and view all the answers

What is the main function of an Enterprise Resource Planning (ERP) system?

To support the entire multisite, global organization Signup and view all the answers

What is the primary goal of a Transaction Processing System (TPS)?

To record and process business transactions Signup and view all the answers

What is e-procurement used for?

To acquire parts and supplies Signup and view all the answers

What is the primary difference between e-commerce and m-commerce?

E-commerce uses the Internet, m-commerce uses mobile devices Signup and view all the answers

What is the main function of an ERP system in relation to manufacturing?

To provide integrated software to support manufacturing and finance Signup and view all the answers

What is the primary purpose of a Decision Support System (DSS)?

To support problem-specific decision making Signup and view all the answers

What is the primary goal of a Knowledge Management System (KMS)?

To create, store, share, and use the organization's knowledge and experience Signup and view all the answers

What is the primary function of an Expert System?

To give the computer the ability to make suggestions and function like an expert Signup and view all the answers

What is the primary purpose of Artificial Intelligence (AI)?

To allow computers to take on characteristics of human intelligence Signup and view all the answers

Study Notes

What is an Information System?

An information system (IS) is a set of interrelated elements that collect, manipulate, store, and disseminate data and information.
It provides a corrective reaction (feedback mechanism) to meet an objective.

Components of an Information System

Input: gathering and capturing raw data.
Processing: converting data into useful outputs.
Output: producing useful information, usually in the form of documents and reports.
Feedback: information from the system that is used to make changes to input or processing activities.

Computer-Based Information Systems (CBIS)

A single set of hardware, software, databases, telecommunications, people, and procedures configured to collect, manipulate, store, and process data into information.
Increasingly, companies are incorporating CBIS into their products and services.

Technology Infrastructure

Includes all hardware, software, databases, telecommunications, people, and procedures.
Configured to collect, manipulate, store, and process data into information.
Forms the foundation of each CBIS.

Components of a Computer-Based Information System

Hardware: computer equipment used to perform input, processing, storage, and output activities.
Software: computer programs that govern the operation of the computer.
Database: an organized collection of facts and information, typically consisting of two or more related data files.
Telecommunications: the electronic transmission of signals for communications.
Networks: connect computers and equipment to enable electronic communication.
Internet: the world's largest computer network, consisting of thousands of interconnected networks.

Business Information Systems

Most common types of information systems: those designed for electronic and mobile commerce, transaction processing, management information, and decision support.
Some organizations employ special-purpose systems, such as virtual reality, that not every organization uses.

Electronic and Mobile Commerce

E-commerce: any business transaction executed electronically between companies, companies and consumers, business and the public sector, and consumers and the public sector.
Mobile commerce (m-commerce): the use of mobile, wireless devices to place orders and conduct business.
E-procurement: the use of information systems and the Internet to acquire parts and supplies.

Enterprise Systems

Transaction processing systems (TPS): organized collection of people, procedures, software, databases, and devices used to perform and record completed business transactions.
Enterprise resource planning (ERP): a set of integrated programs that manages the vital business operations for an entire multisite, global organization.

Information and Decision Support Systems

Management Information System (MIS): provides routine information to managers and decision makers.
Decision Support System (DSS): supports problem-specific decision making.

Specialized Business Information Systems

Knowledge management systems (KMSs): create, store, share, and use the organization's knowledge and experience.
Artificial intelligence (AI): computer systems that take on characteristics of human intelligence.
Expert systems: give computers the ability to make suggestions and function like an expert in a particular field.
Virtual reality: simulation of a real or imagined environment that can be experienced visually in three dimensions.

Systems Development

The activity of creating or modifying existing business systems.
More mobile applications are expected.

Information Systems in Society, Business, and Industry

Information systems have been developed to meet the needs of all types of organizations and people.
Speed and widespread use open users to a variety of threats from unethical people.

Security, Privacy, and Ethical Issues

Computer-related mistakes and waste are a concern.
Ethical issues concern what is generally considered right or wrong.
Individual privacy is an important social issue.

Computer and Information Systems Literacy

Computer literacy: knowledge of hardware, software, databases, and telecommunications and the ways they function.
Information systems literacy: knowledge of how data and information are used by individuals, groups, and organizations.

Information Systems in the Functional Areas of Business

Functional areas and operating divisions of business: finance and accounting, sales and marketing, manufacturing, human resource management, and legal information systems.

Information Systems in Industry

Industries: airline and transportation, investment firms and banks, publishing companies, healthcare maintenance organizations, retail companies, power management and utility companies, and professional services and management consulting firms.

Global Challenges in Information Systems

Cultural and language challenges, time and distance challenges, infrastructure challenges, currency challenges, product and service challenges, technology transfer issues, state, regional, and national laws, and trade agreements.

Summary

Data: raw facts.
System: a set of elements that interact to accomplish a goal.
Components of an information system: input, processing, output, and feedback.
Components of a computer-based information system (CBIS): hardware, software, databases, telecommunications, people, and procedures.
E-commerce: any business transaction executed electronically between parties.
Transaction processing system (TPS): handles the large volume of business transactions.
Decision support system (DSS): organized collection of people, procedures, software, databases, and devices that help make problem-specific decisions.### Information Systems
Information systems are used in almost every profession, including entrepreneurs, small companies, and large multinationals, and in various fields such as accounting, marketing, and management.
Information systems are indispensable tools to help achieve career goals.

Definition of Information System

An information system (IS) is a set of interrelated components that collect, manipulate, and disseminate data and information, and provide feedback to meet an objective.
IS feedback can help organizations achieve their goals, increase revenues, and reduce costs.

Information Concepts

Information is one of an organization's most valuable resources, often confused with the term data.
Data refers to raw facts, whereas information is a collection of facts organized in a way that they have value beyond the facts themselves.

Data, Information, and Knowledge

Data is raw and unorganized, whereas information is organized and has value.
Process refers to a set of logically related tasks performed to achieve a defined outcome.
Knowledge is the awareness and understanding of a set of information and the ways it can be made useful to support a task.

Characteristics of Valuable Information

If an organization's information is not accurate or complete, it can lead to poor decisions, resulting in significant financial losses.
The characteristics of valuable information depend on the type of data needed.

System Concepts

A system is a set of elements or components that interact to accomplish goals.
Components of a system include inputs, processing mechanisms, outputs, and feedback.
System performance can be measured by efficiency (what is produced divided by what is consumed) and effectiveness (the extent to which a system attains its goals).
System performance standards are specific objectives of the system.

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Description

This quiz covers the basics of information systems, including their components and functions. Learn how information systems collect, process, store, and disseminate data and information.