Lecture 1: Introduction to Information System (BA120IU) PDF

Business Computing Skills (BA120IU) Lecture 1: Introduction to Information System Lecturer: Dr. Huynh Vo Trung Dung School of Electrical Engineering International University 1 ...

Business Computing Skills (BA120IU) Lecture 1: Introduction to Information System Lecturer: Dr. Huynh Vo Trung Dung School of Electrical Engineering International University 1  BCS Class Introduction Instructor: Dr. Huynh Vo Trung Dung (Lecturer of EE school) Course description (see syllabus) Course Grading: – Assignment\Homework\Quiz\Attendance : 30% Note: All homework problems need to be submitted by the due date. Otherwise, a penalty of 20% can be considered. – Midterm exam: 30% – Final exam: 40% Textbook: – James A. O’Brien, George Marakas (2017), Introduction to – Information Systems, 12th edition, Mc-Graw Hill. – Ron McFadyen (2021), Relational Databases and Microsoft – Access 365. – Joan Lambert, Microsoft Word 2019 – Michael Alexander, Dick Kusleika (2019), Excel 2019 Bible, Wiley. – Hector Guerrero (2016), Excel Data Analysis Modeling and – Simulation, Springer. 2  BCS Class Introduction Office hours: depending on Syllabus Email: [email protected] Website: https://sites.google.com/hcmiu.edu.vn/hvtdung Course materials: blackboard 3  Course Contents Information Systems in Business Operations ? Mid-Term Exam MS MS Access Word MS Final Exam Excel 4  Course Goals explore basic relationships of computer products and concepts create MS Access objects, enter criteria into data, form expressions and create functions, and customize the appearance of forms and reports create document templates in MS Word that will help businesses streamline their correspondence, use mail merge, print mailing labels, templates, newsletters, and flyers analyze data with practical analysis of real business problems and streamline office tasks to present it in a way the managers can use acquire strong ability in using MS Excel software as tools in decision-making. This course will provide a complete learning in MS Excel. 5 Chapter 1: Foundation of Information Systems in Business 6  Learning Objectives v understand the concept of a system and how it relates to information systems. v explain why knowledge of information systems is important for business professionals and identify five areas of information systems knowledge that they n eed. v give examples to illustrate how the business applications of information systems can support a firm’s business processes, managerial decision making, and strategie s for competitive advantage. v identify several challenges that a business manager might face in managing the successful and ethical development and use of information technology in a business v provide examples of the components of the real world information systems. illustrat e that in an information system, people use hardware, software, data, and networks as resources to perform input, processing, output, storage, and control activities that transform data resources into information products. v demonstrate familiarity with the myriad of career opportunities in information systems. 7 Section 1 Foundation Concepts: Information Systems in Business 8 I. The Real World of Information Systems v A system is a set of interrelated components, with a clearly defined boundary, working together to achieve a common set of objectives v Information Systems are an essential field in the study of business administration and management. v IS and IT and Internet technologies play vital roles in business and improve the effectiveness and efficiency of business processes, managerial decision making, and workgroup collaboration. v What is an Information System? An IS may be computerized or not ü Smoke signals for communication ü Card catalogs in a library ü Your book bag, day planner, notebooks, and file folders ü The cash register at your favorite fast-food restaurant ü A paper-based accounting ledger 9 I. The Real World of Information Systems In the past…. Drum Torch Smoke Pigeon Hand-written Tower using mirrors letter 10 I. The Real World of Information Systems In the present…. 11  I. The Real World of Information Systems v Framework of 5 major areas: v Foundation Concepts – fundamental behavioral, technical, business, and managerial concepts about information systems v Information Technologies – major concepts, developments, and management issues in IT v Business Applications – major uses of IS for operations, management, and competitive advantage v Development Process – how an IS is planned, developed, and implemented to meet business opportunities v Management Challenges – effectively and ethicall y managing IT at the end-user, enterprise, and global levels of a business 12 II. The Fundamental Roles of IS in Business Why Information Systems are Important? Information systems play a vital role in the e-business and e-commerce operations, enterprise collaboration and management, and strategic success of businesses that must operate in an internet-worked global environment. Thus, the field of information systems has become a major functional area of business administration. 13 II. The Fundamental Roles of IS in Business Tree vital roles: v Support of Strategies for Competitive Advantage v Support of Business Decision Making v Support of Business Processes and Operations 14 III. The Role of e-Business in Business v E-Business – use of Internet technologies to e mpower business processes, e-commerce, and enterprise collaboration within a firm and its cu stomers, suppliers, and stakeholders v Enterprise Collaboration Systems – support co mmunication, coordination, and collaboration a mong networked teams/workgroups v E-Commerce – buying, selling, marketing, and s ervicing products, services, and information ov er computer networks 15 III. The Role of e-Business in Business 16  IV. Types of Information Systems vOperation Support Systems – help run the daily business, but do not provide much information for managerial decision-making ü Transaction Processing Systems – record & process daily transactions ü Process Control Systems - monitor and control physical processes ü Enterprise Collaboration Systems (Office Automation Systems) – enhance team and workgroup communications and productivity 17  IV. Types of Information Systems vManagement Support Systems ü Management Information Systems – reports and displays for managers to help them make better business decisions ü Decision Support Systems – direct computer support for decision-making ü Executive Information Systems – critical information specifical ly for executives to make better decisions; not just a better MIS 18 IV. Types of Information Systems vOther Categories of Information Systems vExpert Systems – expert advice for operational decisions vKnowledge Management Systems – support creation, organization, and dissemination of business knowledge vStrategic Information Systems – apply IT to products, services, and processes for strategic advantage vFunctional Business Systems – support basic business functions vCross-Functional Systems – integrate various roles and outputs into a variety of functions 19 Case study: Expert Systems 20 IV. Types of Information Systems 21  V. Managerial Challenges of Information Technology v Challenges and Ethics of IT – what is improper, irresponsi ble, or harmful? 22  V. Managerial Challenges of Information Technology v Developing IS Solutions – an Information Systems is a Solution to a Business Problem v Investigate (Plan) – recognize the problem exists v Analyze – investigate the current system v Design – designing the new system v Implement – put the new system into effect v Maintain (Use) – use, monitor, and maintain the new system 23 Section 2 Foundation Concepts: The Components of Information Systems 24 I. System Concepts: The Foundation for Business Processes v What Is a System? A set of interrelated components, with a clearly defined boundary, working together to achieve a common set of objectives by accepting inputs and producing outputs in an organized transformation process ü Input – capture the data to be processed ü Processing – change the data into information ü Output – disseminate the information product to its destination v Feedback and Control Elements ü Feedback – data about the performance of the system ü Control – monitoring the feedback to determine if the system is meet ing its objectives 25 I. System Concepts: The Foundation for Business Processes 26 II. Components of Information Systems 27  III. Information System Resources v People Resources Ø IS Specialists: people develop and operate IS (systems analysts, software developers, system op erators, and other managerial, technical, and clerical IS personel) Ø End Users (users or clients): people use an IS or the information it produces v Hardware Resources Ø Machines – the computing devices themselves and other equipment Ø Media – where data is stored 28  III. Information System Resources v Software Resources Ø System Software – runs the computer such as operating system (Windows, MacOs,..) Ø Application Software – programs that direct processing for a particular use of computers by end users 29  III. Information System Resources vData Resources ü Data: unorganized facts a nd figures ü Information: data organized so that it has value to the or ganization 30  III. Information System Resources vNetwork Resources ü Communications Media: the physical pathways over which signals travel ü Network Infrastructure: hardware, software, and data technologies needed to support communications network 31 Chapter 2: Competing with Information Technology 32  Learning Objectives v Identify several basic competitive strategies and explain how they use information technologies to confront the competitive forces faced by business. v Identify several strategic uses of Internet technologies and give examples of how they can help a business gain competitive advantages. v Give examples of how business process reengineering frequently involves the use of Internet technologies. v Identify the business value of using Internet technologies to become an agile competitor or form a virtual company. v Explain how knowledge management systems can help a business gain strategic advantages. 33 Section 1 Fundamentals of Strategic Advantage 34 I. Competitive Strategy Concepts v Strategic Information Architecture – the collection of strategic information syst ems that shape/support the competitive position/strategies of a firm v Competitive Forces (Porter) ü Rivalry of Competitors within its industry ü Threat of New Entrants ü Threat of Substitute products ü Bargaining Power of Customers ü Bargaining Power of Suppliers v Competitive Strategies ü Cost Leadership Strategy ü Differentiation Strategy ü Innovation Strategy ü Growth Strategy ü Alliance Strategy 35  I. Competitive Strategy Concepts v Cost Leadership Strategy. Becoming a low-cost producer of products and services in the industry or finding ways to help suppliers or custom ers reduce their costs or increase the costs of the competitors v Differentiation Strategy. Developing ways to differentiate a firm’s products and services from those of its competitors or reduce the differentiation advantages of competitors. This strategy may allow a firm to focus its products or services to give it an advantage in particular segments or niches of a market. v Innovation Strategy. Finding new ways of doing business. This strategy may involve developing unique products and services or entering unique markets or market niches. It may also involve making radical changes to the business processes for producing or distributing products and services that are so different from the way a business has been conducted that they alter the fundamental structure of an industry. 36  I. Competitive Strategy Concepts Growth Strategies. Significantly expanding a company’s capacity to produce go ods and services, expanding into global markets, diversifying into new products and services, or integrating into related products and services. Alliance Strategies. Establishing new business linkages and alliances with cust omers, suppliers, competitors, consultants, and other companies. These linkages may include mergers, acquisitions, joint ventures, formation of virtual companies, or other marketing, manufacturing, or distribution agreements between a business and its trading partners. An organization may make use of one, some, or all of the strategies in varying degrees to manage the forces of competition. 37  II. Strategic Uses of Information Technology Other Strategic Initiatives vLocking by Building Relationships ü Lock In Customers ü Lock In Suppliers ü Lock Out Competitors vSwitching Costs – make customers/supplier dependent on mutually beneficial inter-enterprise information systems vRaise Barriers to Entry – discourage or delay other firms from entering a market vLeverage Investment in IT – develop new products and services that are not possible without strong IT capabilities 38 Section 2 Using Information Technology for Strategic Advantage 39  I. Building A Customer-Focused Business – Strategic Focus on Customer Value vRecognizing that Quality, not Price, has become the primary factor in a customer’s perception of value vInternet technologies can make customers the focal point of e-business applications: customers use the Internet to ask questions, lodge complaints, evaluate products, request support, and make and track their purchases. 40  II. Becoming An Agile Company v Business today is changing from mass market products/services that were standardized, long-lived, information- poor, exchanged in one-time transactions to global competition with niche markets that are individualized, short-lived, information -rich, exchanged on an ongoing basis with customers 41 II. Becoming An Agile Company v 4 Basic Strategies: ü Customer Perception of Goods and Services ü Partnering with Customers, Suppliers, and Even Competitors ü Organize to Thrive on Change and Uncertainty ü Leverage Impact of Personnel and Their Knowledge v Types of Agility ü Customer ü Partnering ü Operational 42  III. Creating A Virtual Company v Virtual Company – Uses the Internet, intranets and extranet s to create virtual workgroups and support alliances with business partners v Virtual Company Strategies ü Share infrastructure and risk with alliance partners ü Link complimentary core competencies ü Reduce concept-to-cash time through sharing ü Increase facilities and market coverage ü Gain access to new markets and share market or customer loyalty ü Migrate from selling products to selling solutions 43  IV. Building a Knowledge-Creating Company v One sure Source of Competitive Advantage is Knowledge v The Business of a “Knowledge-Creating” company is Continuous Innovation v Explicit Knowledge – written down or stored on computers v Tacit Knowledge – “how-to” knowledge residing in the workers; very important but little incentive to share this information so it is never written down 44  Summary https://www.youtube.com/watch?v=DL6myRFdC_g&t=936s 45