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Business Information Systems. Types of business information system. 2. Hardware. Input devices. Central Processing Unit (CPU). Defining Data and Information. Defining Systems. Defining Information Systems. Business Information Systems. Types of business information. chapter organizations that ignore impact of technology and information systems when conducting business will likely risk the business itself. organization must.

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Business Information System Pdf

Fact = confirmed/validated information/data. ▸. Management information systems (MIS). - Solve business problems with people, technology. This textbook provides an overview of business information systems and provides definitions for the different systems used in companies. personal career and organizations that reach their goals. – Identify the basic types of business information systems and discuss who uses them, how they are.

Information system , an integrated set of components for collecting, storing, and processing data and for providing information , knowledge, and digital products. Business firms and other organizations rely on information systems to carry out and manage their operations, interact with their customers and suppliers, and compete in the marketplace. Information systems are used to run interorganizational supply chains and electronic markets. For instance, corporations use information systems to process financial accounts, to manage their human resources, and to reach their potential customers with online promotions. Many major companies are built entirely around information systems. These include site , a largely auction marketplace; site , an expanding electronic mall and provider of cloud computing services; Alibaba, a business-to-business e-marketplace; and Google , a search engine company that derives most of its revenue from keyword advertising on Internet searches. Governments deploy information systems to provide services cost-effectively to citizens. Digital goods—such as electronic books , video products, and software —and online services, such as gaming and social networking , are delivered with information systems.

The decisions are partly based on set guidelines and judgmental calls. As an example, a tactical manager can check the credit limit and payments history of a customer and decide to make an exception to raise the credit limit for a particular customer.

Business Information Systems

The decision is partly structured in the sense that the tactical manager has to use existing information to identify a payments history that benefits the organization and an allowed increase percentage.

Strategic Management Level This is the most senior level in an organization. The users at this level make unstructured decisions. Senior level managers are concerned with the long-term planning of the organization.

They use information from tactical managers and external data to guide them when making unstructured decisions. Transaction Processing System TPS Transaction processing systems are used to record day to day business transactions of the organization. They are used by users at the operational management level. The main objective of a transaction processing system is to answer routine questions such as; How printers were sold today?

How much inventory do we have at hand?

Resilience - A New Research Field in Business Information Systems? | SpringerLink

What is the outstanding due for John Doe? By recording the day to day business transactions, TPS system provides answers to the above questions in a timely manner.

The decisions made by operational managers are routine and highly structured. The information produced from the transaction processing system is very detailed. For example, banks that give out loans require that the company that a person works for should have a memorandum of understanding MoU with the bank. If a person whose employer has a MoU with the bank applies for a loan, all that the operational staff has to do is verify the submitted documents.

If they meet the requirements, then the loan application documents are processed. If they do not meet the requirements, then the client is advised to see tactical management staff to see the possibility of signing a MoU. Examples of transaction processing systems include; Point of Sale Systems — records daily sales Payroll systems — processing employees salary, loans management, etc.

Stock Control systems — keeping track of inventory levels Airline booking systems — flights booking management Management Information System MIS Management Information Systems MIS are used by tactical managers to monitor the organization's current performance status. The output from a transaction processing system is used as input to a management information system. The MIS system analyzes the input with routine algorithms i.

For example, input from a point of sale system can be used to analyze trends of products that are performing well and those that are not performing well. This information can be used to make future inventory orders i. Examples of management information systems include; Sales management systems — they get input from the point of sale system Budgeting systems — gives an overview of how much money is spent within the organization for the short and long terms. Human resource management system — overall welfare of the employees, staff turnover, etc.

Tactical managers are responsible for the semi-structured decision.

MIS systems provide the information needed to make the structured decision and based on the experience of the tactical managers, they make judgement calls i.

Decision support systems use input from internal systems transaction processing systems and management information systems and external systems. Sales force automation , involves equipping salespeople with portable computers tied into the corporate information systems. This gives the salespeople instantaneous access to information and frees them from the reporting paperwork.

This increases selling time and the level of performance. Access to corporate databases is sometimes accompanied by access to corporate expertise, either by being able to contact the experts or by using expert systems that help specify the product meeting customer requirements.

Price Subsystem Pricing decisions find a degree of support from DSSs and access to databases that contain industry prices.

These highly unstructured decisions are made in pursuit of the companys pricing objectives. General strategies range from profit maximization to forgoing a part of the profit in order to increase a market share.

Information systems provide an opportunity to finely segment customer groups, and charge different prices depending on the combination of products and services provided, as well as the circumstances of the sale transaction. Sales Forecasting Based on the planned marketing mix and outstanding orders, sales are forecast and a full marketing plan is developed. Sale forecasting is an area where any quantitative methods employed must be tempered with human insight and experience.

The actual sales will depend to a large degree on the dynamics of the environment. Qualitative techniques are generally used for environmental forecasting - an attempt to predict the social, economic, legal, and technological environment in which the company will try to realize its plans. Sales forecasting uses numerous techniques, which include: 1.

Group decision making techniques are used to elicit broad expert opinion 2. Scenario analysis in which each scenario in this process is a plausible future environment 3. Extrapolation of trends and cycles through a time-series analysis.

The new marketplace calls for manufacturing that are: 1. Lean - highly efficient, using fewer input resources in production through better engineering and through production processes that rely on low inventories and result in less waste. Agile - fit for time-based competition. Both the new product design and order fulfilment are drastically shortened. Flexible - able to adjust the product to a customer's preferences rapidly and cost effectively.

Managed for quality - by measuring quality throughout the production process and following world standards, manufacturers treat quality as a necessity and not a high-price option.

Structure of Manufacturing Information Systems [Figure Manufacturing information systems are among the most difficult both to develop and to implement. TPSs are embedded in the production process or in other company processes. The data provided by the transaction processing systems are used by management support subsystems, which are tightly integrated and interdependent. Manufacturing information subsystems include: 1.

Product design and engineering 2. Product scheduling 4. Facilities planning, production costing, logistics and inventory subsystems Product Design and Engineering Product design and engineering are widely supported today by computer-aided design CAD and computer-aided engineering CAE systems. CAD systems assist the designer with automatic calculations and display of surfaces while storing the design information in databases.

Resilience - A New Research Field in Business Information Systems?

The produced designs are subject to processing with CAE systems to ensure their quality, safety, manufacturability, and cost-effectiveness. Product Scheduling Production scheduling is the heart of the manufacturing information system. This complex subsystem has to ensure that an appropriate combination of human, machinery, and material resources will be provided at an appropriate time in order to manufacture the goods. Production scheduling and the ancillary processes are today frequently controlled with a manufacturing resource planning system as the main informational tool.

This elaborate software converts the sales forecast for the plants products into a detailed production plan and further into a master schedule of production. Computer integrated manufacturing CIM is a strategy through which a manufacturer takes control of the entire manufacturing process.

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