Chapter 1: Information Systems in Business Flashcards
What is System
arrangement of components that work together towards common objectives
MIS Definition
integration of hardware and software technologies, data, process and human elements designed to produce information for decision making purposes
Hardware Components (3)
Input, Output, Memory Devices,
Designing MIS Software 3 steps
1.Define System Objective
2. Collect and Analyze Data
3.Provide Information in Useful format for Decision making
Examples of Management Information Technologies Incorporated
Internet, Computer Networks, Database System, Point of Sale, Smartphones, Search Engines
Information System 1. Three components 2. Objective 3. IPO
Components: Data, Database, Process
Common Objectives: Information
IPO: Data as input -> information as output
What does MIS reduce and gain
reduce cost, time, and gain efficiency and comparative advantage
Data is
Internal:
External:
Raw facts
Internal: Within company, sales personnel records
External: customer, competitors, government, outside company
Aggregated Data
Disaggregated Data
Aggregated: Collect/grouping of subtotals for categories etc sales quarter but reduce specific features
Disaggregated: itemized grouping, analyze by feature like product or territory
Database is the ___ of information System
What is a database and what does it reduce
Heart
Collection of relevant data organized in integrated files
reduces time to gather, process and interpret data manually
Database Management System - 3 function in database
create, organize and manage
Processes and examples
Generates information for decision making
- tranaction reports
Information and usefulness depends on TICAR
Output of information system, relevant data and facts analyzed by process component
Timeliness, integration, consistency and accuracy, relevance
GUI and assists with and formats
Graphical User interface assists the flexibility and quality of interface. They format information in tables, graphs, text etc
Automation and 5 advantages
execution by a machine or computer for a task previously done manually by humans
advantages: reduce error, time, increase productivity, predictive repetition
MIS: Resource Information (Four M’s)
Manpower, Materials, Machinery, Money
3 Strategies for competing in a market
Overall Cost Leadership
Differentiation
Focus
Overall Cost Leadership (3)
reduce cost, maintain quality, economies of scale
Differentiation
What sets an organization apart from competitors and other establish organizations
Focus strategy for business examples
product, product cycle, product line, area, geographic etc
Importance of Comparative Advantage (3)
reduce cost, increase economies of scale and specialization.
Differentiation Strategy
making products and services different from competitors
focus strategy and how it relates to 3 tips for entering market
focus on specific market segments to achieve cost or differentiation analysis
Potter’s 5 Forces and impact of IT or IS
Supplier Power
Buyer Power
Threat of Substitutes
New Entrants
Rivalry among competitors
