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Learning Objectives
Use profiles and models to understand business functions and operations Describe kinds of companies Explain the Business Drivers for Todays Information Systems and their impacts on information systems
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Introduction
Information systems must supports business and information needs First you need to understand the business needs and the Business Drivers for Todays
Information Systems and their impacts on information systems, then you will build a
business model to understand the specific operation and processes
Avicenna System Analysis and Design Introduction to SAD
Every business has its operations, rules and constraints. IT professionals must understand business operations to create successful systems. For example a retail store, an internet auction, library, and hotel chain, have unique information system requirements. Even with the same business each company has its own rules, requirements, and constraint. System analysts use a process called business process modeling to represent a company's operation and information needs. To do that the analyst needs.
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Business Profile
Is an overview that describes the company's overall functions, process, organization, services, customers, suppliers, competitors, constraints, rules, and future directions. The analysts must study all that in addition to interactivity among the firms information systems, specialized information needs, and future expected growth. Armed with a business profile, the analyst then creates a series of business models
System Analysis and Design Introduction to SAD
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Business Models
Business models make it easier for managers and system analysts to understand day-to-day business operation Is a graphical representation of one or more business processes that a company performs. Complex business operations require a series of linked models in order to show the overall picture. Business models support communication between analyst and system users to determine if the system achieve the user requirements
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Traditionally, Companies are classified based on their main activities to: Production-oriented: the companies who manufactured and sell products such as computers, furniture, clothes and so on Service-oriented: primarily offer services like information, or sell goods produced by others.
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Now a days IT industry is a growing sector in business world, many companies offer a mix of products, services, information, and technical resources to a customer. The newest company category is the Internet-dependent firm, often described as a ( Dot-com (.com) ) company because its primary business depends on the Internet rather than a traditional business channel, Like Yahoo.com. At the other end of the spectrum are traditional companies, sometimes called brick-and-mortar companies because they conduct business from physical locations. Many of the traditional companies have added Web-based marketing channels to increase sales and serve customers more effectively
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Globalization of the Economy The biggest players in todays global marketplace are multinational corporations
New and expanded international markets New international competitors Require support of multiple languages, currency exchange rates, business cultures Require consolidation of international data Demand for players who can communicate, orally and in writing, with management and users that speak different languages
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The Internet can be used for any business application that involves data communication, including both communication inside the firm and with the environment Unlike proprietary networks, the Internet can be used with any computer platform without any special effort to access the network The Internet also makes it possible to transmit a wider variety of media than can be handled over most conventional networks Internet offers E-commerce Buying and selling of goods and services over the internet E-Business The use of the internet to conduct and support day-today business activities
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Internet-based commerce
Called E-Commerce (I-Commerce), open a wide area for new systems development called Internetbased system development and add a new functions for a traditional information systems. ECommerce includes several sectors the main two are:
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B2C (Business-to-Consumer)
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B2B (Business-to-Business), A commercial exchange (e.g. products or services) between businesses, typically enabled by the internet or electronic means.
The volume of B2B transactions is many times greater than B2C transactions, about 94% of electronic commerce is B2B leaving 6% for B2C B2B allows companies to access the global market place, B2B is especially important to firms under pressure to reduce costs B2B enables smaller suppliers to contact large customers On an industry-wide scale, B2B sites exist where buyers, seller, distributors, and manufacturers transact business, exchange information, and collaborate As B2B volume increased, the development of extensible markup language (XML) enabled company-to-company traffic to migrate to the Internet
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extensible markup language (XML) XML is a data description language that allows Webbased communication between different hardware and software environments XML is flexible because it is concerned with the data itself rather than the output format In XML data description is not linked to output formatting, and this is just the opposite of HTML (hypertext markup language), where the language controls the way the information is displayed on a Web browser.
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The Path to Electronic Commerce Implementing an e-commerce system includes a significant risk of failure The first step is a commitment to implement the system as part of a strategic business plan to use e-commerce to achieve competitive advantage The firm then gathers business intelligence to understand the potential role each environmental element will play
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Impact on Information Systems Most new ISs designed for internet Client operating system less important as only client-side software is a web browser
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How will the business continue in the event of a security breach, terrorist attack, or disaster? How can the business protect its digital assets from outside threats? Consumer demands for privacy in e-commerce transactions Government requirements Need to incorporate stringent security and privacy controls
System Analysis and Design Introduction to SAD
Privacy
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Organizations seek to break down the walls that separate organizational departments and functions. Organizations collaborate with outside business partners and even competitors.
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Raw facts about an organisation and its business transactions Data that has been refined and organised by processing and purposeful intelligence
Information
Knowledge data and information that is further refined based on the facts, truths, beliefs, judgments, experiences, and expertise of the recipient. Knowledge Asset Management Recognizes that data, information, and knowledge are critical business resources
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Business Processes Tasks that respond to business events (e.g., an order). Business processes are the work, procedures, and rules required to complete the business tasks, independent of any information technology used to automate or support them. Continuous process improvement (CPI) The continuous monitoring of business processes to effect small but measurable improvements in cost reduction and value added. Total quality management (TQM) Comprehensive approach to facilitating quality improvements and management within a company
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Sequence Summary
A systems analysts starts with a business profile, which is an overview of company functions, and then he creates a series of business models that represent business processes, which describe specific transactions, events, tasks, and results Companies are production oriented, service oriented, or a combination of the two The newest category is the Internet-dependent firm, which relies solely on Internet-based operations.
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Sequence Summary
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Sequence Summary
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Reference
[1] System Analysis and Design, Sixth Edition Authors: Gary B. Shelly, Thomas J. Cashman and Harry J. Rosenblatt , Publisher: SHELLY CASHMAN SEWIES.
[2] Modern Systems Analysis and Design Third Edition Authors: Jeffrey A. Hoffer , Joey F. George, Joseph S. Valacich Publisher: prentice hall [3] Systems analysis and design methods Authors: Jeffrey L.; Bentley, Lonnie D., Dittman, Kevin Publisher: McGraw-Hill
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