INFT11000_Fall2024_Week1.pptx

INFT 11000 INTRODUCTION TO INFORMATION SYSTEMS FALL 2024 WEEK 1 This Class  Lecture:  Course introduction  Define information systems and describe their types and capabilities  Discuss ways in which information technology can affect organizations and va...

INFT 11000 INTRODUCTION TO INFORMATION SYSTEMS FALL 2024 WEEK 1 This Class  Lecture:  Course introduction  Define information systems and describe their types and capabilities  Discuss ways in which information technology can affect organizations and various types of roles within them  Homework:  Readings:  IntroIS Chapter 1  Assessments:  Quiz: 1 (Offline – due before next class) Outline  Overview  What is an information system?  Information system vs information technology  Why study Information Systems?  Major Components of an Information System  Data, Information, Knowledge, Wisdom  Types of Information Systems  The Importance of Information Systems  Conclusion Overview Is there an app for that?  Computers and information systems are all around you  Online classes  Grading  Grocery and retail  PDA and smartphones  Maps  Food ordering  Student registrations  Payslips  Etc.. Discussion: is every company a tech company? *is every business leader a tech leader? Warby Parker vs Luxottica IT in small business can challenge a behemoth! What is an information system? What are information systems? An information system collects, processes, stores, analyzes, and disseminates information for a specific purpose. The purpose of information systems has been defined as getting the right information to the right people, at the right time, in the right amount, and in the right format.  https://youtu.be/Qujsd4vkqFI?si=a94nL9KbfJKTztuX Components of IS  Requires understanding of Tech, people and organization  Technology – the means by which data is transformed and organized for business use:  Hardware  Software  Database  Telecommunication  People – the users of IS  Organization -- a collection of functional units working together to achieve a common goal  Provides solutions to important business problems and challenges Information Systems (IS)  IS incorporate the technology, people and processes involved with information  IS deal with the planning for and the development, management, and use of information technology tools to help people perform all the tasks related to information processing and management. Examples of Information Systems  Example : a university  State university stores all student data in a database  Built-in query capability  Other types of analysis can be done  HR  Enrollment  Etc.. Information system vs information technology Information Systems vs. Information technology (IT)  IT is the design and implementation of information, or data, within the information system.  IT relates to any computer based tool that people use to work with information and to support the information and information processing needs of an organization.  Think of information technology as a subset of information systems— while IS covers the set of information as a whole, IT refers specifically to the technology aspect within that system. Using Information Systems and Information Technologies  Information technologies  Achieve goals of information systems  Examples  Internet  Databases  POS Systems  RFID tags  Information Technologies at Home Depot  POS system  Fast customer service  Improved inventory management  Wireless network  Efficient in-store communication  Web site  Communicate with customers  Increase sales with online orders  RFID tags  Better manage inventory https://corporate.homedepot.com/news/company/hammers-nails- and-code-interconnected-shopping-experience Why study Information Systems? Homo Conexus (MIT Tech Review) The informed user – You!  Informed user is a person knowledgeable about information systems and IT.  You benefit more when you understand what is “behind” IT applications  You can provide valuable input  You can recommend and help select IT applications  You will be aware of new technology  You understand how IT improves performance  Understanding IT is beneficial to entrepreneurs  IT offers career opportunities "AI may not replace managers, but the managers that use AI will replace the managers that do not," Rob Thomas, chief commercial officer at IBM Major Components of an Information System Major Components of an Information System  Data  People  Process  Technology (Software, hardware, mobile, cloud, etc)  Information https://ecampusontario.pressbooks.pub/informationsystemscdn/chapter/1-3- information-systems-components/  Data Data  Input to the system  Data items refer to an elementary description of things, events, activities, and transactions that are recorded, classified, and stored but are not organized to convey any specific meaning.  Data items can be numbers, letters, figures, sounds, and images, etc  Sources of data  External  Internal  Can be collected in different forms  Structured  Unstructured Database  Database  Heart of an information system  Collection of all relevant data organized in a series of integrated files  Essential for the success of any information system  Managed with database management system (DBMS): e.g., Oracle  Reduces personnel time needed to gather, process, and interpret data manually Process  Process  Generates the most useful type of information for decision making  Generally includes transaction-processing reports and models for decision analysis  Includes a wide range of models to support all levels of decision making Information  Information  Output of an information system  Facts that have been analyzed by the process component  Quality of information  Timeliness  Integration with other data and information  Consistency and accuracy  Relevance Data, information, knowledge, Wisdom (DIKW) Ultimate goal of an information system Generate business intelligence (BI) Data – Information – Knowledge is Context Specific  Because information systems are intended to supply useful information, we need to differentiate between information and two closely related terms: data and knowledge  Information refers to data that have been organized so that they have meaning and value to the recipient.  For example, a grade point average (GPA) by itself is data, but a student’s name coupled with his or her GPA is information. The recipient interprets the meaning and draws conclusions and implications from the information. Types of Information Systems Types of Organizational ISs Functional Area IS (FAIS)  Each department within an organization has its own collection of application programs or information systems  FAISs are supporting pillars for IS on top IT infrastructure Transaction Processing System  Transaction processing system (TPS) supports monitoring, collection, storage, and processing of organization’s basic business transactions, each of which generates data  A transaction is anything that changes the firm’s database ERP  Two IS support the entire organization: Enterprise resourse planning (ERP) and transcation processing system  ERPs are designed to correct a lack of communication among the FAISs   IS that connects two or more organizations  Eg supply chain management  E commerce systems: B2B. B2C Interorganizational information systems Office automation systems  Supports clerical staff, middle managers, knowledge workers  Develop documents, schedule resources, communications  Report generation Business intelligence systems  Computer based support for complex, nonroutine decisions  Primarily for middle managers, knowledge workers  Data warehouse Expert systems/AI  Duplicate work of human experts by applying reasoning capabilities, knowledge, and expertise within a specific domain Dashboards  A Business Intelligence(BI) dashboard is a business intelligence tool which allows users to track, analyze and report on key performance indicators and other metrics.  BI dashboards typically visualize data in charts, graphs and maps which helps stakeholders understand, share and collaborate on the information.  The best business intelligence dashboards make it easy to combine data from a variety of sources and to explore and analyze this data directly within the dashboard itself.  https://www.tableau.com/learn/articles/business-intelligence-dash boards-examples The Importance of Information Systems How Does IT Impact Organizations? IT Impacts Entire Industries IT Reduces the Number of Middle Managers IT Changes the Manager’s Job Will IT Eliminate Jobs? IT Impacts Employees at Work How Does IT Impact Organizations? Examples  Book Industry (Amazon vs Borders)  Music Industry (Spotify vs CDs)  Video Industry (Blockbuster vs Netflix)  Software Industry  (Software vs SAAS) IT Reduces the Number of Middle Managers IT makes middle managers more productive Consequently, IT reduces the number of middle managers required IT Changes the Manager’s Job  Decision making is the most important managerial task  IT changes the way managers make decisions  IT provides near-real-time information  Managers have less time to make decisions  IT provides tools for analysis to assist in decision making Will IT Eliminate Jobs?  The competitive advantage of replacing people with IT and machines is increasing rapidly  Increasing the use of IT in business also:  Creates new job categories  Requires more employees with IT knowledge and skills IT Impacts Employees at Work IT impacts employees’ health and safety o Job stress o Long-term use of the keyboard IT provides opportunities for people with disabilities o Speech-recognition for employees unable to type due to physical impairment o Audible screen tips for employees who are visually impaired IT Affects Our Quality of Life IT has changed the way we work o Smartphones provide constant access to text, email, and voice communications o The lines between time at work and leisure time at home have become blurred o Surveys indicate employees take laptops and smartphones on vacation Major Capabilities of Information Systems Negatives of IT?  Let us discuss! Next Class  Lecture:  Identify effective IT responses to various kinds of business and societal pressures and how information systems support organizations' competitive strategies  Describe the strategies that organizations typically adopt to counter Porter's five competitive forces  Define the notion of a business process (BP) and identify typical BPs in organizations  Discuss how information systems enable BPs in a single functional area, cross-functional BPs, and inter- organizational BPs  Differentiate among BP reengineering, BP improvement, and BP management (BPM)  Discuss typical BP metrics  Discuss the notions of Business/IT alignment and IT governance  Describe the BPM lifecycle and its stages  Homework:  Readings:  IntroIS Chapter 2  DLMR Chapter 1 pg. 1-7, 16-27. Business processes.  Hammer, M. (1990). Reengineering Work - Don't Automate, Obliterate. Harvard Business Review, 68(4), pp. 104- 112.Assessments:  Quiz: 2 Closing Remarks: AI in Business  How AI Could Empower Any Business | Andrew Ng | TED  https://youtu.be/reUZRyXxUs4?si=9asERqzkJtgmcXpt Questions?