Information Systems Concepts PDF

REVIEWER IN INFORMATION SYSTEM Lesson 1: Information Systems Concepts Information is processed, manipulated, and interpreted data. It is the collection of data organized in such a way that they have value beyond the data itself. Information is created by defining and organizing relationships among...

REVIEWER IN INFORMATION SYSTEM Lesson 1: Information Systems Concepts Information is processed, manipulated, and interpreted data. It is the collection of data organized in such a way that they have value beyond the data itself. Information is created by defining and organizing relationships among data. Certified Lean Six Sigma Yellow Belt (CLSSYB) The characteristics of the information are listed as follows: Accurate: Information must not contain any errors. It must be accurate. Accessible: Authorized users should be able to access the information whenever required. Complete: Information must contain all important and related data. Economical: Information should be economical to produce both in terms of time and cost. Format: Information should be available in the desired format. Flexible: Information should be flexible enough to be used for different purposes. Reliable: Information is dependable and is generated using correct data. Relevant: Information must be relevant so that it can be used by the organization. Secure: Unauthorized users should not be able to access the information. Access is allowed only to authorized individuals. Simple: Information must be easily understandable and usable. Complex information is difficult to use and may not serve its purpose. Timely: Information must be available when it is needed. Late or outdated information is of no use. Verifiable: There should be a means to cross check the available information. System A set of components that work together to achieve a common goal. Accepts input, processes it, and produces an output. Composed of one or more subsystems. May be a closed or open system. Closed System A stand-alone system that does not interact with other systems. Open System Interacts with another systems. Input – Capture the data to be processed Processing – Change the data into information Output – Disseminate the information product to its destination. An Information Systems (IS) can be any organized combination of people, hardware, software, communication networks, data resources, and policies and procedures that stores, retrieves, transforms, and disseminates information in an organization. People rely on modern information systems to communicate with one another using:  A variety of physical devices (hardware) Information processing instructions and procedures (software) Communications channels (networks) Stored data (data resources) Framework of Information Systems Framework of major areas: Foundation Concepts – Fundamental behavior, technical business, and managerial concepts about information systems. Information Technologies – Major concepts, developments, and management issues in IT. Business Applications – Major uses of IS for operations, management, and competitive advantage. Development Process – How an IS is planned, developed, and implemented to meet business opportunities. Management Challenges – Effectively and ethically managing IT at the end-user, enterprise, and global levels of business. Components of Information Systems People, hardware, software, data, and networks are the five basic components of information systems People resources include end users and IS specialists, hardware resources consist of machines and media, software resources include both programs and procedures, data resources include data and knowledge bases, and network resources include communications media and networks. Data resources are transformed by information processing activities into a variety of information products for end users. Information processing consists of the system activities of input, processing, output, storage, and control. Hereby are the following components of an Information System: HARDWARE - all physical devices and materials used in information processing. SOFTWARE - all sets of information processing instructions. PEOPLE - associated with the manpower required to run and manage the system. DATA - raw facts and figures that are unorganized that are later processed to generate information. NETWORK - Telecommunications technologies and networks like the Internet, intranets, and extranets are essential to the successful e-business and e-commerce operations of all types of organizations and their computer-based information systems. Components of Information Systems Information System Resources Information Systems and the Decision-Making Process This conceptual overview emphasizes the main purposes of information systems that support business operations and managerial decision making Information systems also help store managers and other business professionals make better decisions. Example: Decisions about what lines of merchandise need to be added or discontinued and what kind of investments they require are typically made after an analysis provided by computer-based information systems. (This function not only supports the decision making of store managers, buyers, and others, but also helps them look for ways to gain an advantage over other retailers in the competition for customers.) Types of Information Systems For operations support: (help run the daily business, but do not provide much information for managerial decision-making) Transaction processing systems (batch or real-time) Process Control Systems (industrial processes) Enterprise Collaboration Systems (office automation; team communication/productivity) For management support: Management Information Systems (pre-defined reports) e.g. Annual budgeting Decision Support Systems (modeling; what if analysis) e.g. Contract cost-analysis Executive Information Systems (internal/external sources) e.g. 5-year operating plan Information Systems and the Decision-Making Process Management Support Systems When information system applications focus on providing information and support for effective decision making by managers. LESSON 2: Computer Resource A computer is derived from the word compute. Compute – “to calculate” A computer is an electronic machine that accepts data from the user, processes the data by performing calculations and operations on it, and generates the desired output results. Computer performs both simple and complex operations with speed and accuracy. Digital computer Distinct values to represent the data internally Information is represented using the digits 0s and 1s Homes and Offices Analog computer Represents data as variable across a continuous range of values Measuring of parameters that vary continuously in real time—temperature, pressure and voltage. More flexible but generally less precise than digital computers. Slide rule is an example of an analog computer. Characteristics of Computer A brief overview of its characteristics are: 1. Speed - The computer can process data very fast, at the rate of millions of instructions per second. 2. Accuracy - Computer provides a high degree of accuracy. 3. Diligence - When used for a longer period of time, the computer does not get tired or fatigued. It can perform long and complex calculations with the same speed and accuracy from the start till the end.  4. Storage Capability - Large volumes of data and information can be stored in the computer and also retrieved whenever required. 5. Versatility - Computer is versatile in nature. It can perform different types of tasks with the same ease. The Computer System A computer is an electronic device that accepts data as input, processes the input data by performing mathematical and logical operations on it, and gives the desired output. The computer system consists of four parts (1) Hardware, (2) Software, (3) Data, and (4) Users. Hardware Consists of the mechanical parts and of physical devices of the computer. The devices are required for input, output, storage, and processing of the data. Keyboard, monitor, hard disk drive, floppy disk drive, printer, processor and motherboard. Software Set of instructions that tells the computer about the tasks to be performed and how these tasks are to be performed Data Isolated values or raw facts, which by themselves have no much significance. Users People who write computer programs or interact with the computer. Skinware, liveware, humanware, or peopleware. Computer System Concepts Input - Convert data into electronic form for direct entry or through a telecommunications network into a computer system. Processing – The electronic circuits (known as registers) of the arithmetic-logic unit perform the arithmetic and logic functions required to execute software instructions. (This is under CPU) Output - Convert electronic information produced by the computer system into human-intelligible form for presentation to end users. Storage - Store data and software instructions needed for processing. Control - It registers other circuits, interprets software instructions and transmit directions that control the activities of the other components of the computer system. Computer System Concepts The central processing unit (CPU) is the main processing component of a computer system. Conceptually, the circuitry of a CPU can be subdivided into two major subunits: (a) Arithmetic-logic unit (b) Control unit Computer Peripherals Peripherals is the generic name given to all input, output, and secondary storage devices that are part of a computer system but are not part of the CPU. Depend on direct connections or telecommunications links to the central processing unit of a computer system. Are all online devices Computer Storage Fundamentals Direct and Sequential Access Direct access memory or random-access memory (RAM) - Primary storage media such as semiconductor memory chips. Magnetic disk devices are frequently called direct access storage devices (DASDs). Sequential access storage media - Do not have unique storage addresses that can be directly addressed. Data must be stored and retrieved using a sequential or serial process. SEMICONDUCTOR MEMORY The primary storage (main memory) of your computer consists of microelectronic semiconductor memory chips. It provides you with the working storage your computer needs to process your applications. One major disadvantage of most semiconductor memory is its volatility. There are two basic types of semiconductor memory: random-access memory (RAM) and read-only memory (ROM): 1. RAM, random-access memory. These memory chips are the most widely used primary storage medium. Each memory position can be both sensed (read) and changed (written), so it is also called read/write memory. This is a volatile memory. 2. ROM, read-only memory. Nonvolatile random-access memory chips are used for permanent storage; ROM can be read but not erased or overwritten. One of the newest and most innovative forms of storage that uses semiconductor memory is the flash drive (sometimes referred to as a JumpDrive). Magnetic Disks Magnetic Disks - are the most common form of secondary storage for your computer system. They provide fast access and high storage capacities at a reasonable cost. Contain metal disks that are coated on both sides with an iron oxide recording material. Types of Magnetic Disks 1. Floppy disks (magnetic disks), consist of polyester film disks covered with an iron oxide compound; 1.44 megabytes capacity. 2. Hard disk drives (HDDs) consist of magnetic disks, access arms, and read/write heads; Storage capacities of HDDs range from several hundred megabytes to hundreds of gigabytes. Magnetic tape remains in use as a secondary storage medium in business applications. Data is recorded on magnetic tape using read/write heads that create magnetized spots on the iron oxide coating of the plastic tape. Magnetic tape devices come in various forms: 1. Tape reels and cartridges for mainframes and midrange systems. 2. Small cassettes or cartridges for PCs. Tape cartridges have largely replaced tape reels in many applications. Magnetic tape cartridges can store more than 200 megabytes of data. Optical Disks Optical Disks are a rapidly growing type of storage media. One common version exists for optical disks is CD-ROM (Compact Disk-Read-Only Memory) CD-ROMs use 12-centimeter (4.7-inch) compact disks similar to those in stereo music systems. Each CD-ROM can store over 600 megabytes of data: Equivalent to more than 400 1.44-megabyte floppy disks. Equivalent to more than 300,000 double-spaced pages of text. CD-R (compact disk-recordable) is another popular optical disk technology. - Most likely used to record data permanently on CDs. The recorded data in CD-ROM and CD-R disks cannot be erased.  CD-RW (CD-rewritable) drives record and erase data by using a laser to heat a microscopic point on the disk's surface. DVD technologies have increased optical disk capacities and capabilities. - DVD (digital video disk or digital versatile disk) : 3.0 to 8.5 gigabytes off multimedia data on each side. - DVD-ROM disks are increasingly replacing magnetic tape videocassettes for movies and other multimedia products; while - DVD+RW disks are being used for backup and archival storage of large data and multimedia files. Radio Frequency Identification One of the newest and most rapidly growing storage technologies is radio frequency identification (RFID), a system for tagging and identifying mobile objects There are two general types of RFID chips: 1. Passive RFID chips do not have a power source and must derive their power from the signal sent from the reader. 2. Active RFID chips are self-powered and do not need to be close to the reader to transmit their signal. An overview of computer software. Types of Software There are three major types of computer software: 1. System Software 2. Utility Software 3. Application Software 1. Application Software Application Software includes a variety of programs that can be subdivided into general- purpose and function-specific application categories. General-purpose application programs are programs that perform common information processing jobs for users. - Word processing, spreadsheet, database management, and graphics programs are popular with microcomputer users form home, education, business, scientific, and many other purposes. (productivity packages) Groupware is a category of general-purpose application software that helps workgroups and teams collaborate to accomplish group assignments. It also combines a variety of software features and functions to facilitate collaboration. Example: Microsoft 365 have different variations and functions: MS Word, MS PPT, MS Excel, and etc. 2. System Software System Software consists of programs that manage and support a computer system and its information processing activities. System Software is divided into two major categories: 1. System Management Programs - Manage the hardware, software, network, and data resources of computer systems during the execution of the various information processing jobs of users 2. System Development Programs – Help users develop information system programs and procedures and prepare user programs for computer processing.  The system and application software interface between end users and computer hardware. An Operating System is an integrated set of specialized programs that are used to manage overall resources of and operations of the computer. 3. System Support Programs – Utility Programs Utility programs/Service programs are provided by the computer manufacturers to perform tasks that are common to all data processing installation. The tasks performed are: (1) Sorting data (2) Editing the output (3) Dumping of data to disk/tape  (4) Tracing the operation of program (5) Copying data from one recording medium to another System Development Programs – Language Translators Language translators are also called language processors. Main functions are: 1) Translate high level language to low level language 2) Check for and identity syntax errors that may be present in the program being installed. There are three types of translator programs 1) Assembler – translates a source program into a corresponding object program 2) Interpreter – translates one program statement at a time into a machine code 3) Compiler – reads program (source code) written in a language (source language), & later interpret into other programming language (target language). LESSON 2: The COMPUTER (CPU) What is CPU core of a computer is the Central Processing Unit, or CPU. “brains” of the device. carry out the commands sent to it by the software and returns results to be acted upon. Intel and AMD speed (“clock time”) of a CPU is measured in hertz. hertz eq. one cycle per second, kilohertz (abbreviated kHz) eq one thousand cycles per second, megahertz (mHz) is one million cycles per second, gigahertz (gHz) is one billion cycles per second. How fast are CPU’s nowadays? CPU chips contain multiple processors. chips, known as dual-core (two processors) or quad-core (four processors), increase the processing power of a computer by providing the capability of multiple CPUs all sharing the processing load. Intel’s Core i7 processors contain 6 cores and their Core i9 processors contain 16 cores. Motherboard main circuit board on the computer CPU, memory, and storage components are connected here come in different shapes and sizes, depending upon how compact or expandable the computer is designed to be Most modern motherboards have many Motherboard bus traces integrated components, such as network interface card, video, and sound processing provide much of the bus of the computer (the term bus refers to the electrical connections between different computer components). bus is an important factor in determining the computer’s speed – the combination of how fast the bus can transfer data and the number of data bits that can be moved at one time determine the speed. traces shown in the image are on the underside of the motherboard and provide connections between motherboard components. Random-Access Memory Random- Access Memory (RAM), can transfer data much faster than the hard disk. Any program that you are running on the computer is loaded into RAM for processing. In order for a computer to work effectively, some minimal amount of RAM must be installed. In most cases, adding more RAM will allow the computer to run faster. volatile; store data as long as there is power. When the computer is turned off, any data stored in RAM is lost. When the computer is turned off, any data stored in RAM is lost. Generally installed in a memory module. The newer the Ram, the faster, but, lesser voltage consumption Hard Disks long-term data storage. A non-volatile storage because when the computer is turned off the data remains in storage on the disk Drives with a capacity less than 1 Terabyte usually have just one platter. read/write arm must be positioned over the appropriate track before accessing or writing data. Solid State Drives (SSD) are becoming more popular in personal computers. SSD performs same function as a hard disk, long-term storage. Instead of spinning disks, uses flash memory that incorporates EEPROM (Electrically Erasable Programmable Read Only Memory) chips, which is much faster. more expensive than hard disks. lighter and faster than hard disks. primarily utilized in portable computers, making them lighter, more durable, and more efficient Some computers combine the two storage technologies, using the SSD for the most accessed data (such as the operating system) while using the hard disk for data that is accessed less frequently. considered more reliable since there are no moving parts. Removable Media Lesson 3: General Systems Model of a Firm What is a FIRM? It is a physical system managed by a virtual system A FIRM, Acquires resources from environment like raw materials, labor, and information. Resources are processed into goods and services within the firm. The products and services are returned to the environment for distribution and consumption. What is General Systems Model of the Firm? a framework for easier understanding any organization as a system shows the flow of resources from the environment, through the firm, and back out it consists of physical resource flow, virtual resource flow, the firm’s control mechanism and the feedback loop. 1) Physical Resource Flow - used to produce the products and services the firm provides to its customers. a.) Personnel- hired by the firm, transformed to higher skills level through training and experience and eventually leave the firm. b.) Material - enters the firm in the for of raw inputs and is transformed into finished goods, which are then sold to the firm’s customers c.) Machines - are purchased, used, and eventually scrapped or traded in on newer machines. d.) Money - enters as sales receipts, investments, and loans, then becomes payments to suppliers, taxes, and returns to stockholders. 2. Virtual Resource Flow - two-way flow of data and information that connects the firm to its environment. 3. Firm’s Control Mechanism - the elements that enable the firm to control its own operations are the following: The performance standards the firm must meet if it is to accomplish the overall objectives. The firm’s management Information processor that transforms data into information 4. Feedback Loop - is composed of the virtual resources. Data from the firm and environment are processed into information, which managers use to make decisions and adjust the system, creating a feedback loop. The Firm in its Environment 1) Suppliers Also known as “vendors”. Supply the materials, machines, services, people and information 2) Customer Also known as “consumers”. Who buys the products and services the firm offers. 3) Labor Unions Organizations of both skilled and unskilled workers for certain trades and industries 4) Financial Community Influence the financial resources that are available to the firm. i.e. banks, lending institutions 5) Stockholders & Owners invested money in the firm. ultimate owners of the firm 6) Competitors Includes all of the organizations that compete with the firm in its marketplace.  7) Government Provides the constraints in the form of laws and regulations. Provides assistance in the form of purchase, information and funds 8) Global Community Global responsibility by respecting the environment, offering quality-enhancing products and services, and acting ethically Environmental Resource Flow The firm is connected to its environmental elements by environmental resource flows. Some of the resources flow more frequently than others do. Common flows are, Information flow from customers Material flow to customers Money flow to stockholders Raw materials flow from suppliers. Less frequent flows are, Money flow from the government (such as research) Material flow to suppliers ( returned merchandise) Personnel flow to competitors (employees “pirated” by other firms) Lesson 3: the computer (software) What is a software? set of instructions that tell the hardware what to do. created by developers through the process of programming. Types of software 1) Operating System managing the hardware resources of the computer providing the user-interface components providing a platform for software developers to write applications. Examples:  Windows MAC OS Linux IOS Android Windows Mobile Blackberry 2) Application utilized specific goal such as word processing, calculations on a spreadsheet surfing the Internet Examples: Spreadsheet Word Processing Microsoft Office Presentation ERP Ex SAP, Oracle, Microsoft, CRM What is cloud computing? - refers to applications, services, and data storage located on the Internet. What is virtualization? enables the hardware resources of a single computer to be divided into multiple virtual computers, called virtual machines (VM) process of using software to simulate a computer or some other device. Lesson 4: Data and data bases Wisdom Explicit knowledge typically refers to knowledge that can be Wisdom expressed into words or numbers. In contrast, tacit knowledge includes insights and intuitions Knowledge in a certain area is human beliefs or perceptions Knowledge about relationships among facts or concepts relevant to that area. Information is processed data that possess context, relevance, Informatio and purpose. n Data are the raw facts, and may be devoid of context Data or intent. Why use database? 1. Control of redundant data 2. Data integrity 3. Issue on human memory to store and to search needed data. How to design data base? Normalization a process that organizes data in a database or adjusts values to a common scale to make it easier to work with examples of data normalization include: Formatting phone numbers to include dashes, Abbreviating states, Capitalizing proper nouns, and Scaling the values of different variables within the same interval. Data normalization is commonly used in statistics, data science, and machine learning. Data types Numbers Text Boolean: a data type with only two possible values, such as 0 or 1, “true” or “false”, “yes” or “no”. Date/Time: a special form of the number data type that can be interpreted as a number or a time. Currency: a special form of the number data type that formats all values with a currency indicator and two decimal places. Paragraph Text: this data type allows for text longer than 256 characters. Object: this data type allows for the storage of data that cannot be entered via keyboard, such as an image or a music file. How do we find value in data? 1. Data Visualization-the use of graphs, maps, charts makes it easier to find meaning in data. 2. Data warehouse – finding historical record, a set of data is loaded onto another database for storage and analysis. Data Mining - process of analyzing data to find previously unknown and interesting trends, patterns, and associations in order to make decisions. - generally accomplished through automated means against extremely large data sets, such as a data warehouse Machine learning -analyze data and build models without being explicitly programmed to do so.  Machine Supervised Unsupervised Past data and organization wants to relationship(s) between different data points replicate What is data science? Data science and data analytics are related fields that involve working with data to extract insights, but they have different focuses and methodologies. Data science Uses advanced techniques to predict future outcomes and drive innovation. Data scientists build models that can predict future outcomes, and use statistical and computational methods to extract insights from data. They often create sophisticated models to predict future trends and require skills in programming languages like Python and machine learning techniques. Data analytics Focuses on understanding historical data for decision support. Data analysts examine large datasets to identify trends, develop charts, and create visual presentations that help businesses make more strategic decisions. They typically interpret existing data to help businesses make informed decisions using tools like Excel and SQL What is knowledge management? the process of creating, formalizing the capture, indexing, storing, and sharing of the company’s knowledge in order to benefit from the experiences and insights that the company has captured during its existence. goal of KM is to improve an organization's efficiency and productivity by ensuring that the right information is available to the right people at the right time.