Introduction to Information Systems PDF

Introduction to Information Systems DR. SARAH NAIEM S O U R C E B O O K : 1 S T E D I T I O N [ E A R LY R E L E A S E ] B Y: P R O F. M A N A L A B D E L - K A D E R A B D E L - FAT TA H Outline Introduction Why should we study Information Systems? Exploring Career Opportunities in Information...

Introduction to Information Systems DR. SARAH NAIEM S O U R C E B O O K : 1 S T E D I T I O N [ E A R LY R E L E A S E ] B Y: P R O F. M A N A L A B D E L - K A D E R A B D E L - FAT TA H Outline Introduction Why should we study Information Systems? Exploring Career Opportunities in Information Technology Data, Information, and Knowledge The Value of Information Characteristics of Quality Information The importance of Information systems in business The Components of Information Systems Components of Information System Components of Information System Information Systems resources Introduction Importance of Information Systems: The necessity of studying information systems and information technology has transitioned from a debated topic to a widely accepted principle. These systems have become integral to daily business functions, comparable to essential areas such as accounting, finance, operations management, marketing, and human resource management. As businesses increasingly rely on technology for success, information systems are not just supplementary; they are often seen as fundamental prerequisites for effective organizational performance. Introduction Integration into Business Education: Recognizing their importance, most business degree programs now require courses in information systems. This integration underscores the value of understanding how technology influences various business functions. For future managers, entrepreneurs, and business professionals, grasping the fundamentals of information systems is crucial. It enables them to navigate the complexities of modern business environments effectively. Introduction Role of Information Technology: Information technologies, especially Internet-based systems, play pivotal roles in enhancing business efficiency and effectiveness. They facilitate improved managerial decision-making and foster collaboration among workgroups. By optimizing various business processes—whether related to product development, customer support, or e-commerce—information technology helps organizations maintain a competitive edge in rapidly evolving markets. This adaptability is essential for success in today’s dynamic global economy. Introduction Understanding Systems: To appreciate the role of information systems, it is vital to understand the concept of a system. A system consists of interconnected components that work together to achieve shared objectives. This definition is broad, allowing virtually any entity to be viewed as a system. A system can include other systems (subsystems) or exist within larger systems, creating a complex web of interactions. Why should we study Information Systems Growing up in the digital age, your familiarity with information technologies is unparalleled. The integration of information technologies into your daily life has transformed routines so significantly that someone from two decades ago would find them almost unrecognizable. You engage in "continuous computing," always surrounded by a dynamic information network. This network comprises your digital devices (laptops, smartphones), various wired and wireless networks, and web-based tools for information retrieval and communication. This interconnectedness allows you to access and share information anytime, anywhere, enabling activities such as class registration, online courses, banking, shopping, and social media engagement. Why should we study Information Systems The Importance of Studying Information Systems: ◦ Informed users typically extract greater value from the technologies they use. Understanding the underlying principles of applications enhances user experience and effectiveness. ◦ Your insights as an informed user can help improve the quality of your organization’s IT applications, leading to better outcomes. ◦ Even as a recent graduate, your knowledge can empower you to recommend and help select IT applications that your organization might adopt. ◦ Being informed keeps you aware of emerging technologies and advancements in existing tools, allowing you to anticipate their impacts and suggest appropriate implementations ◦ Understanding how information technology can boost organizational performance, teamwork, and personal productivity is key to thriving in a business environment. ◦ For aspiring entrepreneurs, being an informed user equips you with essential skills to effectively leverage information technology when starting and running a business. Exploring Career Opportunities in Information Technology The field of information technology (IT) presents a wide array of career prospects due to its integral role in the modern business landscape. There is a substantial demand for conventional IT professionals, including programmers, business analysts, systems analysts, and designers. Employment opportunities abound in emerging domains like the Internet, electronic commerce (e-commerce), mobile commerce (m-commerce), network security, telecommunications, and multimedia design. Exploring Career Opportunities in Information Technology Data, Information, and Knowledge Data constitutes the fundamental raw facts, such as an employee's identification number, the total weekly hours worked, an inventory part's serial number, or the number of units manufactured on a production line. Data, Information, and Knowledge Information represents an assemblage of data that has been systematically organized and processed, thereby filling it with added value beyond the individual data points. ◦ a sales manager might require a summary of individual sales data to determine the total monthly sales ◦ Offering information to customers can also boost a company's revenues and profits. Data as the separate items on a grocery list—items like crackers, bread, soup, cereal, coffee, dishwashing soap, and so forth. However, this grocery list becomes significantly more valuable when its items are systematically arranged by the aisle in which they are found in the store Data, Information, and Knowledge Information is data rendered more valuable through the application of knowledge. The conversion of data into information is a process involving a sequence of logically connected tasks aimed at achieving a predefined outcome. Knowledge plays a crucial role in this process, as it encompasses a deep awareness and comprehension of specific information and its application to support tasks or informed decisions. ◦ For instance, a grocery shopper must understand the preferences and requirements of those they are shopping for to make effective choices, such as selecting a specific product like low-sodium chicken noodle soup for a diabetic family member. ◦ In this context, individuals may either organize and process data mentally or manually, or they may rely on computer systems for assistance. Data, Information, and Knowledge Data: Think of data as raw facts or figures. ◦ raw facts (numbers, text) Information: When you take that data and organize or process it, it becomes information ◦ organized data (contextualized facts) Knowledge: Knowledge is what you gain when you understand and can use that information. ◦ understanding and applying information (insightful use) The Value of Information The significance of information is directly tied to its ability to assist decision-makers in accomplishing their organization's objectives. Valuable information enhances people's efficiency and effectiveness in performing tasks. The quality of a decision is fundamentally dependent on the quality of the information utilized to arrive at that decision. Any organization that emphasizes the deployment of advanced information systems and sophisticated data analysis without ensuring information quality is bound to make numerous erroneous decisions. Characteristics of Quality Information The importance of Information systems in business An information system (IS) is a structured combination of: Individuals, Hardware (physical devices), Software (instructions and procedures), Communication Networks (pathways), Data Resources (stored information “An information system (IS) is a set of interrelated elements or components that collect (input), manipulate (process), store, and disseminate (output) data and information, and provide a corrective reaction (feedback mechanism) to meet an objective ” Information Systems are used to store, retrieve, transform, and distribute information within an organization. Information systems have been vital to human society since ancient times, extending beyond computers to various forms of use today IS are essential for communication and various tasks in today’s world. The importance of Information systems in business A framework that outlines the major areas of information systems knowledge needed by business professionals The Components of Information Systems Input: This function entails the capture and organization of elements entering the system for processing. These elements encompass raw materials, energy, data, and human effort, all of which must be gathered and arranged for subsequent processing. Processing: The processing function involves the transformation processes that convert inputs into outputs. These processes can take the form of manufacturing procedures, the physiological act of human respiration, or mathematical computations, comparison, storing data for future use. Output: The output function ensures that finished products, human services, and management information reach their intended recipients. Enhancing the System Concept Cybernetic Systems: A system that includes feedback and control for self-monitoring and self- regulation. Feedback: Information from the system that is used to make changes to input or processing activities. Feedback is also important for managers and decision makers ◦ Examples: Sales data for a sales manager; aircraft speed and altitude for a pilot. Control: ◦ Involves monitoring and assessing feedback to determine progress toward goals. ◦ Initiates adjustments to inputs and processes to ensure accurate outputs. ◦ Examples: A sales manager reallocating personnel based on performance feedback; an airline pilot or autopilot making adjustments to maintain the desired course. System fundamental elements of a system, alongside various other characteristics of systems. A business is an example of an organizational system in which economic resources (input) are transformed by various business processes (processing) into goods and services (output). Information systems provide information (feedback) about the operations of the system to management for the direction and maintenance of the system (control) as it exchanges inputs and outputs with its Components of Information System All information systems use people, hardware, software, data, and network resources to perform input, processing, output, storage, and control activities that transform data resources into information products Components of Information System An information system relies on a variety of resources, including ◦ Individuals (end users and IS specialists) ◦ hardware (machines and media) ◦ software (programs and procedures) ◦ data (data and knowledge bases) ◦ Networks (communications media and network support) These resources collectively facilitate input, processing, output, storage, and control activities, resulting in the transformation of data resources into information products. Components of Information System An IS furnishes a framework that underscores four key concepts that are universally applicable across all types of information systems: 1. People, hardware, software, data, and networks constitute the five foundational resources of information systems. 2. People resources encompass both end users and IS specialists, hardware resources encompass machinery and media, software resources encompass both programs and procedures, data resources comprise data and knowledge bases, and network resources encompass communication media and network infrastructure. 3. Information products for end users are generated through the transformation of data resources by information processing activities. 4. Information processing encompasses system functions such as input, processing, output, storage, and control Information System Resources (Human Resource and Hardware) These human resources encompass end users and IS specialists. ◦ End users are individuals at all organizational levels—such as customers, sales representatives, engineers, clerks, accountants, and managers—who utilize information systems and primarily include knowledge workers engaged in communication, collaboration, and the creation and distribution of information. ◦ IS specialists are categorized into three main roles: Systems Analysts, who design information systems based on end-user requirements; Software Developers, who create computer programs from these specifications; and System Operators, who manage and monitor large computer systems and networks. Hardware resources encompass all physical devices and materials used in information processing, including machines like computers and data storage media (e.g., paper, magnetic disks). o This category includes handheld, laptop, tablet, and desktop computers, as well as midrange systems and large mainframes, alongside peripherals like keyboards, mice, and storage drives for data input, output, and storage, printers, scanners, and monitors Information System Resources (Software) Software resources include all sets of information processing instructions, comprising operational instructions known as programs that direct computer hardware, as well as procedures that guide individuals in using the system effectively. o System software, such as an operating system program, which controls and supports the operations of a computer system. Microsoft Windows and Unix are two examples of popular computer operating systems. o Application software, which are programs that direct processing for a particular use of computers by end users. Examples are sales analysis, payroll, and word processing programs. o Procedures, which are operating instructions for the people who will use an information system. Examples are instructions for filling out a paper form or using a software package. Information System Resources (Data) Data Resources: The role of data has evolved beyond being just raw material for information systems. Managers and information systems professionals now recognize that data are valuable assets for organizations o Data that previously were captured as a result of a common transaction are now stored, processed, and analyzed using sophisticated software applications that can reveal complex relationships among sales, customers, competitors, and markets. o Data can take many forms, including traditional alphanumeric data, composed of numbers, letters, and other characters that describe business transactions and other events and entities; text data, consisting of sentences and paragraphs used in written communications; image data, such as graphic shapes and figures or photographic and video images; and audio data, including the human voice and other sounds. o The data resources of information systems are typically organized, stored, and accessed by a variety of data resource management technologies into: o Databases that hold processed and organized data. o Knowledge bases that hold knowledge in a variety of forms, such as facts, rules Information System Resources (Data) Data typically undergoes a value-added process, which includes data processing or information processing, during which: o Data is aggregated, manipulated, and organized. o Data content is analyzed and evaluated. o Data is placed in a suitable context for human users. To understand the difference between data and information, we need to look at 'context.’ ◦ Data is like a list of numbers or names that don’t provide meaning on its own—it lacks context. ◦ The same data can be interpreted differently depending on where it comes from. ◦ To turn data into useful information, we must consider both the context it was collected in, and the perspective of the person using it. ◦ What one person finds valuable might be irrelevant to someone else. In short, data can be valuable to anyone, the information's value depends on the user. Information System Resources (Network) Communications Media: These include twisted-pair wire, coaxial and fiber-optic cables, as well as microwave, cellular, and satellite wireless technologies. Network Infrastructure: This broad category highlights the numerous hardware, software, and data technologies required to support the operation and utilization of a communication network. o Examples include communication processors, such as modems and internetwork processors, along with communication control software like network operating systems and Internet browser packages. Information System Activities Basic Tasks of Information Systems: Inputting, Processing, Outputting, Storing, and Controlling Data Input activities include capturing and preparing data through various methods, ensuring accuracy via editing. Processing transforms data into meaningful information through calculations and classifications. High-quality data is maintained through regular updates. The systems generate outputs, such as reports and graphics, delivered in multiple formats to aid users in their daily tasks.