DATA,INFORMATION

DATA,INFORMATION
AND
AND SYSTEMS
SYSTEMS
RAVIMOHAN
 DATA
• Data on its own carries no meaning.
• It consists of bare facts and figures.
• Data contains raw facts which are not
arranged in any particular order.
• Raw data can be transformed into
something meaningful when it is sorted
and arranged in a particular form
 Definition
• The term data means groups of information that
represent the qualitative or quantitative
attributes of a variable or set of variables. Data
(plural of “datum", which is seldom used) are
typically the results of measurements and can be
the basis of graphs, images, or observations of a
set of variables. Data are often viewed as the
lowest level of abstraction from which
information and knowledge are derived
When does data become information?
• Data becomes information when it is
arranged in ascending or descending
order and sorted under different
categories.
• It can become information when it is
available in a form ready for data
manipulation and data conversion.
 INFORMATION
• Information as a concept has many meanings,
from everyday usage to technical settings. The
concept of information is closely related to
notions of constraint, communication, control,
data, form, instruction, knowledge, meaning,
mental stimulus, pattern, perception, and
representation. In its most restricted technical
meaning, information is an ordered sequence of
symbols.
 DATA CONVERSION
• Data conversion is the conversion of
data from one format to another.
• Data is handled differently by different
systems.
• Hence ‘ the one size fits all’ approach will
not result in giving you the desired
results.
DATA MANIPULATION
Introduction

Data
-Bare facts and figures

Information
-Data that is organized into meaningful context

- It is processed data

-Supports the decision making process

- reduces uncertainty about a situation or event

Knowledge
-Human capacity (potential & actual ability) to take effective action in varied and
uncertain situations.

-It is the awareness and understanding of facts, truths or information gained in the
form of experience or learning.
Process of Generation of Information

It involves three activities:

(a) Data Acquisition
- Data is initially recorded and later verified for accuracy and authenticity. This is called dta
capture.
- Data is captured by punching with keyboard or scanning with scanning devices, facts
from documents on which they were recorded.
- Data captured is organized in data files. Each file contains records relating to various
data elements (fields) expressed with the help of different symbols (characters).

(b) Data Transformation

- It is done by performing any of the following operations:
(i) Rearranging: also called sorting of data
(ii) Classifying
(iii) Calculating
(iv) Summarizing

(c) Management of Information

The processed data maybe either communicated to end user or maybe stored for future
reference.
One decides the report format, appropriate channel of communication to provide
information.
If stored, one decides to store it on some mass storage.
System

An assembly of inter-related elements comprising a unified whole.

The components (elements) are connected together in order to facilitate the flow of
information, matter or energy.

It works towards a common goal by accepting inputs and producing outputs.

Control
System -

Feedback

Input Process Output

What is Information System?

It is an organized combination of people, hardware, software, communications

networks, and data resources that stores and retrieves, transforms, and disseminates
information in an organization.

Evolution of Information System

Enterprise & Internetworking (1990s/2000s)
e.g. internet worked IS, Intranet, Extranet,
Internet, etc.

Strategic & End User Support (1980s/1990s)

e.g. Expert System, etc.

Decision Support System (1970s/1980s)

Management Reporting (1960s/1970s)

e.g. MIS
Data Processing (1950s/1960s)
E.g. EDPS, TPS, etc.
Elements/Resources of IS

Computer Hardware
Refers to computer systems and other associated equipment including the communication links
that a modern IT installation may need.
One needs to assess the nature of IT needs, the volume of data to be processed, sources of
data, complexity of data analysis and impact of other related factors to determine the hardware
resources.

Computer Software
It is the lifeline of the IT infrastructure and it makes the computer hardware function. It is set of
interrelated computer programs.

Data
Collection of facts or events from both internal and external sources represented in the form of
symbols, such as digits, alphabets, pictures, graphs, etc.
Capturing, processing and storage of data are the essential functions.

Human Resource
They are the catalyst in process of generation of information and thus are very vital.

Procedures
It includes the operational and control procedures for the use of IT infrastructure.
It contains instructions for users regarding the use of IT infrastructure for day to day activities
and for also handling specific situations.
Roles of IS

-Focuses on competitive priorities.

- Supports Business Process and operations
-Provide access to information
-Enhance communications
-Provide decision assistance
-Supports strategies for competitive advantage

- Summarizing the three major roles of the business applications of IS

Support Strategies
for CA

Support Business
Decision Making

Support business Processes & Operations

 Types of Information Systems

Information
Systems

Operations Management
Support Support
Systems Systems

Transaction Process Enterprise Management Decision Executive

Processing Control Collaboration Information Support Information
Systems Systems Systems Systems Systems Systems
Types of Information Systems
Two categories depending upon their focus on the kind of activities in a
business enterprise

1. Operations Support Systems

2. Management Support Systems

Operations Support Systems

- Focus on the operations of the enterprise
- Objective is to improve the operational efficiency
- Use internal data primarily
- For lower level of managers
- Classified into the following categories
a) Transaction Processing System
b) Process Control System
c) Enterprise Collaboration System
a) Transaction Processing Systems
-Focus on the recording and processing of economic events (transactions)

-It processes transactions in two ways – batch and real-time (or online)

-It encompasses the entire gamut of daily routines of the enterprise including financial
accounting, inventory control, payroll, sales order processing system.

-TPS s were one of the earliest computerized systems that organizations used to capture
valuable decision-making data and to conduct every day business.

- Almost all organizations have manual or automated TPS. Examples of TPS

Coffee shop
Bank
Doctor
Nasdaq- the e-stock exchange handles up to 1000 stock transaction /second

-TPS are considered the backbone of many organizations without it managers couldn’t make
basic decisions such as how many items to produce?

- Transaction can be internal or external

Internal: occurring inside the organization
External: occurring outside the company, customer places an order from a
company catalog
-Few years ago a separate transaction systems existed for each department in
a company

- Now many organizations are integrating the TPS systems of each

department so that users can see how their decision affect other parts of the
organization and the customers.

-TPS are the “data lifeline” of a company for several reasons:

•If a company fails to capture a transaction it may lead not only to customer
dissatisfaction and lost profit but also to serious penalties and lawsuits.

•TPS s become the source of data for other systems in the organization. If
analyzed and integrated it will give business key information about new
company plans. A better plan how to meet customer needs and preferences.

•TPS is a link between the organization and external entities, such as

suppliers, customers & distributors.
 Steps in Processing a
Transaction

Step 1 Step 2 Step 3

Process the
Enter data Validate data data into
information

Step 6 Step 5 Step 4

Store the
Support user Generate
processed
queries output
data
 Steps in Processing a Transaction

1. Data entry: enter data by using input devices such as ATM it called data
source document
2. Validation: ensure the accuracy and reliability of data.
3. Processing: once the company validate the accuracy & reliability of data
the system processes and converts data into information. There are two
types of processing.
(a) On-line Transaction Processing (OLTP)
 the data input device is directly linked to the system to be
processed.
 “some times linked to the system via the network or
telecommunication.”
 example Bank ATM, student registration for classes, travel agent
flight reservation.
 On-line processing is possible because of networks and
databases.
 (b) Batch Processing
Processing that done on a daily, weekly, or monthly basis or any
period of time.
Disadvantages of batch processing
 The information in the files may not up-to-date.
 Some errors may be detected only after the entire batch is
processed in on-line processing errors can be detected right
away.
 Which type of processing is better?
It depends on the users decision making needs.

4. Data storage: to store the processed data in proper way. Otherwise data
will be usefulness to decision makers.
The kind of processing and type of storage medium are to some extent
related.
For example: magnetic tape is often used in batch processing. And
magnetic disk used in on-line processing.
 Steps in Processing a Transaction
5. Output generation
– Convert data into useful format
– Different users need different formats at different times
6. Query support the last step is to query or ask system questions.
Characteristics/Features of a
Transaction Processing System
 Records internal and external transactions that take place in a
company
 Is used mostly by lower-level managers to make operational
decisions
 Handles and stores large Volume of Data
 Automation of basic operations
 Benefits are easily measurable Stores data that are frequently
accessed by other systems, i.e. it acts as a source of input for
other systems
 Is ideal for routine, repetitive tasks
 Records transactions in batch mode or on-line
 Requires six steps to process a transaction—data entry, validation,
data processing, storage, output generation, and query support
b) Process Control System
Monitors & control physical process

c) Enterprise Collaboration Systems

-Enhance team and workgroup communication and productivity, and include

applications that are sometimes called office automation system.

It facilitates the following activities:

-Producing outgoing documents (using text processors)

- storage & retrieval of documents (using document management system)

- transmission of messages (using message communication systems)

- scheduling and meeting management (using video conferencing)

Management Support System
- Information System application focus on providing information and
support for effective decision making by managers.

- Classified into following categories

a) Management Information System
b) Decision Support System
c) Executive Support System
a) Management Information Systems
- Aims at meeting the information needs of managers, particularly with
regard to the current and past operations of the enterprise.

- Offers summary and exception reports on the operations of the

enterprise and are also called as operations support systems.

Summary Report :A report that accumulates data from several transactions and
presents the results in a condensed form.
Exception Report: A report that outlines any deviations between actual output and
expected output.

- The main input to an MIS is usually the transaction processing system and other
internal company sources
Benefits of MIS:
1. Provide middle managers with information to make
semistructured decisions.
2. Information generated by an MIS helps managers understand
the day-to-day operations of the company
3. Helps managers implement the tactical goals of the company.
• MIS is a group of general-purpose, well-integrated systems
that monitor and control the internal operations of an
organization.

Features
• Summary and exception Information
• Operational Control
• Focus on Internal Information
• Structured and semi-structured Decision
 Relationship between a TPS and MIS

• The main goal of TPS is to record & process company transaction.

While the main goal of MIS is to produce summary & exception
reports for making tactical decisions.
• The output of a TPS & other company sources are the input of MIS
• TPS usually helps managers with operational decisions, while MIS
helps managers make tactical decisions over a longer period of time.
• However both systems must work together in harmony to meet
the company’s information needs.
b) Decision Support System

-Gives direct computer support to managers during the decision making process.

-- offers flexibility to manager to decide the input data, tool of analysis, depth of analysis
and reliance on the outcome of analysis for decision making. The users have full control of
the system.

-- offers an interactive environment for users and thus permits managers to experiment
with data and model to develop the optimal decision making strategy.

-It has a User friendly interface

- report generators and graphical facilities

-Flexibility of use in various unexpected decision situation.

- DSS:- A set of interactive software programs that provide managers with data, tools,
and models to make semistructured decisions.

-Some activities that a DSS can perform:

Selecting the best loan package to meet your needs.
Identifying an ideal location for a store
 Managers should answer two types of questions
What? …Why?

What Why
Computers are excellent at People are excellent at
computations applying intuition & judgment
(answering what questions) to solve problems
(answering why questions)

DSS uses computer computations and put them into models that systemize
decision processes
 Components of a Decision
Support System
1. Database management system (DBMS): a
piece of software that controls, manages, and
maintains internal & external data.
2. Model management system: a system that
stores and processes the models that managers
use to make decisions.
3. Support tools: tools that help users to interact
and interface with a decision support system.
 Characteristics of a decision support system

A DSS has five main characteristics:

1. DSS integrates data & models so that it is easier for
managers to make good decisions.
2. DSS helps managers see how decision interrelate and the
effects of one decision on others.
3. It supports a wide variety of decision-making styles.
4. It helps managers make decisions under dynamic or
changing business conditions
5. DSS allows users to query the system for a specific
answers.
 Features of a decision support system
A DSS has three features that are extremely useful to managers
:
1. What-if analysis 2. Goal seeking 3.risk analysis

1. What-if analysis: The study of the impact of a change in

the input data on the proposed solution. ex. Product pricing
Complex decision because decision maker must consider many
internal & external information
A DSS can help manager to answer “what if questions”
– What if the price of raw materials increased by 10%
– What if the product demand increased
– If the competitors reduce the price by 5%
Features of a decision support system
con..
2. Goal seeking: help managers determine what they
should do to achieve a certain goal. Ex.1 The goal
to increase sales of its top-selling product by 10%.
A DSS can show different ways to achieve. Ex.2
What grade should student get to achieve A in
the course.

3. Risk analysis: A DSS calculates the risk associated

with each alternatives.
 A Simple Decision-
Making Model

Internal Data

• What-if Analysis
• Goal Seeking
Decision-making • Problem Solving
Models • Generate Alternatives
• Assess Risk

External Data
 Decision Models
• Statistical Models allow user to perform a wide range of statistical
functions (average, standard deviation, graphic analysis….)

• Financial and Accounting Models to measure and assess the

financial implications of different alternatives. (profit-or-lose
analysis, cost-benefit analysis….)

• Production Models help to estimate number of machines to operate,

amount of material required to meet the predetermined demand

• Marketing Models help marketing managers make a wide variety of

decisions (product pricing, store location, advertising strategies..)

• Human Resource Models help managers to make decisions that

involve in company personnel (assessing training needs estimating
future personnel needs evaluating hiring & firing policies.
Benefits
- evaluation of a larger number of alternatives
- modeling and forecasting becomes easy
- useful in intra group and inter group communication
- in depth analysis of data and thus more effective use of data resource
 c) Executive Information
Systems (EIS)
1. Top managers do not have the time to study and analyze large
volume of data. They need an IS that will analyze the data & present
it in elegant manner so they can have quick & effective decisions.
2. The system that deliver high level information in a friendly way is
called EIS.
3. An EIS consists of tools & techniques, such as color graphics, touch
screens, voice activated commands, and distribute large volumes of
data quickly and effectively.
4. Provides critical information from both internal and external sources
to easy-to-use displays to managers
5. The managers get tailored made formats they prefer.
6. Focus more on delivery of information by top managers than
generation of information.
• The main difference between DSS & EIS is that EIS is
used to deliver & display information (information delivery),
while DSS is used to analyze a problem(problem solving)
• Today many systems are a combination of DSS & EIS,
these systems are known as Executive Support System
• An EIS has many features that a DSS has, such as drill-
down, which allows employees to obtain summary or
detailed data with a few simple keystrokes.

Drill-down: the ability to provide information at the level

of detail that the decision maker demands.
EIS: information system that analyzes and presents
information to executive decision makers in a
useful, friendly, and customized format.

Applications of EIS
- Executive Briefing
- Personalized Analysis
- Exceptions Reporting
- Model based analysis
 DSS and EIS Characteristics
• DSS and EIS provide middle and top managers with decision support.
• Both DSS and EIS are intuitive, interactive, user-friendly systems.
• DSS and EIS are menu-driven and often have excellent color and
graphic capabilities.
• Both systems use internal and external data to solve problems.
• A DSS uses internal and external data and different decision-making
models to provide managers with alternatives to a given problem. An
EIS provides managers with expert information in the form of analysis
and reports.
• Both systems are equipped with decision-making tools such as “what-if”
analysis and ‘goal seeking”. EIS is also equipped with drill-down
capabilities.
• A DSS can support both individual and group decision making. DSS that
support group decision making are known as group decision support
systems (GDSS).
 Artificial Intelligence
(AI) and Expert Systems
(ES)
• Artificial intelligence is a field of computer science
that studies the design and development of computer
systems that mimic human intelligence.
• Intelligence defined as a set of characteristics or
attributes.
• AI includes several areas of specialization such as
1. Computer vision: the computers ability to recognize &
identify objects.
2. Speech recognition: the computers ability to
understand a human voice.
3. Natural language:the ability to communicate with a
computer the way the humans communicate with each
other.
4. Robots: machines capable of human like movement.
 Expert System
One of the AI fields is Expert System (ES)
• Expert systems are computer programs that capture the
knowledge of a human expert and use it to solve complex
problems.
• Knowledge appears in different forms in an organization
such as an innovative ideas for a products, a new way to
motivate employees, a new production method…..
• The main goal of ES is to capture knowledge of experts
in all forms and use it to solve complex problems of an
organization in a relatively narrow domain.
• ES then are versatile and can help with many kinds of
problems.
• It attempts to represent knowledge of human experts in
the form of heursitics.
 Components of an Expert
System
• ES can capture and apply the knowledge of human expert by joining
three main components:
1. Knowledge base
2. Inference engine
3. User interface

User Poses Problem User

Inference
Interface
Engine Knowledge Base
1. Components of an ES Knowledge
base
Knowledge Acquisition
• Knowledge base consists of facts, theorem, cases, forms, texts,
graphics, spreadsheets, principles & rules, that experts use to
solve a given problem.
• The information in the knowledge base comes from many sources
such as the human experts, books, journals, databases & others.
Managers also can gain knowledge from observation, formal &
informal interviews & questionnaires. This is known as knowledge
acquisition.
• Knowledge acquisition: the process of acquiring knowledge from
different sources.
• These processes usually hard to do and time consuming. Knowledge
acquisition is viewed a bottle neck in building expert systems.
Components of an ES knowledge
base
Knowledge representation
• The process of representing the knowledge of experts in a
language that the computer can understand.
• There are different approaches to knowledge representation
on of the most popular ways to represent knowledge is using
IF – THEN rules.
• Expert system that use IF-THEN rules are called rule based
systems.
Example IF car lights were left on AND car doesn't start
THEN the battery is dead (99%)
 Knowledge Base
Human Books others
experts

Journals Knowledge Databases

Experts captures & acquires this knowledge

Knowledge acquisition

Experts represents knowledge in the system

Knowledge representation

Facts, rules, theorem, & principles

Knowledge Base
 2.Inference engine
• The inference engine is similar to the reasoning of the
human brain.two popular reasoning possesses that an
expert system uses:
1. Forward chaining 2.backward chaining
In forward chaining, the inference engine begins with
a set of known facts, analyze the data and looks for
solutions that match the data set.
In backward chaining, the inference engine begins
with a goal and search for data, facts, and other
evidence that support this goal.
Inference engine:a component of expert system that
perform a reasoning function that results in advice to
the user.
 forward chaining
Rule 3
Data start Rule 1
Rule 2 Rule 4 Goal End

Rule 3
Rule 1 Data End
Goal start Rule 4 Rule 2
backward chaining

3.User interface
• User interface combines the knowledge
base & inference engine in a way that
makes it easy for the user to interact
with the system.
 Characteristics of an
Expert System
• An expert system is a software program that captures
the knowledge and problem-solving skills of a human
expert.
• Expert systems are ideally suited for problems that
require knowledge, intuition, and judgment.
• Expert systems, unlike DSS and EIS, can replace the
decision maker.
• The three main components in an expert system are
the knowledge base, the inference engine, and the
user interface.
Benefits of an Expert System
- Coding of expertise
- Enhanced understanding of business process
- Timely availability of expertise
- Easy replication
- Strategic Application

Limitations
- Limited Focus
- Inability to learn
- Maintenance problems and developmental costs
- Limited domain of knowledge
 Types of Information Systems and Levels of Management

EIS
Office
Top

Automation DSS

Middle
Systems MIS

Lower TPS

Expert Systems
 Knowledge Management Systems
-Used for managing knowledge in organization, supporting creation, capture, storage
and dissemination of information

-Idea is to enable employees to have ready access to the organization documented

base of facts, sources of information and solutions.

-A KM System could be any of the following:

* Document based
* Provide network maps
* AI technologies which use a customized representation scheme to represent the
problem domain.

Create Capture
KMS Cycle
Knowledge Refine

Disseminate Manage Store

Knowledge – information that is contextual, relevant and actionable.
Knowledge is information in action and is exercised to solve a problem

Knowledge is of two types –

Explicit knowledge- deals with more objective, rational and technical knowledge
Implicit Knowledge- cumulative store of subjective or experiential learning

MIS focus on explicit knowledge

KMS refers to the use of modern technologies – the internet, intranets, extranets.

Benefits
-Sharing of valuable organizational information
- reducing redundant work
- reducing training time for new employees
 IS for Strategic Advantage

IS and Business Strategy

Strategic Information Systems

• Definition: Computer systems at any level of an organization
that change the goals, processes, products, services, or
environmental relationships to help the organization gain a
competitive advantage.
• Strategic information systems profoundly alter the way a firm
conducts its business or the very business of the firm itself.
• It can be of any kind of information system (DSS, TPS, MIS,
etc.)
Strategic Levels and IT
Business Level Strategy and IT

• “How can we compete effectively in this particular market?”

• The most common generic strategies at this level are:
– To become the low-cost producer
– To differentiate your product or service
* Product differentiation: Competitive strategy for creating brand loyalty by developing
new and unique products and services that are not easily duplicated by competitors.
Eg: banks provide on-line banking service, Dell sells custom-tailored PC.

* Focused differentiation: Competitive strategy for developing new market niches for
specialized products or services where a business can compete in the target area
better than its competitors. Information systems enable companies to finely analyze
customer buying patterns, tastes, and preferences so that they efficiently pitch
advertising and marketing campaigns to smaller and smaller target markets.

- To change the scope of competition by either enlarging the market or

narrowing the market
• At the business level the most common analytic tool is value chain analysis.

• Value chain model: Model that highlights the primary or support activities that
add a margin of value to a firm’s products or services where information systems
can best be applied to achieve a competitive advantage.

• Primary activities are most directly related to the production and distribution of
the firm’s products and services that create value for the customer Primary
activities include inbound logistics, operations, outbound logistics, sales
and marketing, and service.

• Support activities make the delivery of the primary activities of a firm

possible and consist of organization infrastructure (administration and
management), human resources (employee recruiting, hiring, and training),
technology (improving products and the production process), and
procurement (purchasing input).

• Organizations have competitive advantage when they provide more value

to their customers or when they provide the same value to customers at a
lower price. Firms can use information systems to create unique new
products and services that can be easily distinguished from those of
competitors.
Data mining: Analysis of large pools of data to find patterns and rules that can be
used to guide decision making and predict future behavior.
The cost of acquiring a new customer has been estimated to be five times that of
retaining an existing customer. By carefully examining transactions of customer
purchases and activities, firms can identify profitable customers and win more of their
business.

Supply chain management: Integration of supplier, distributor, and customer

logistics requirements into one cohesive process.

Supply chain: A collection of physical entities, such as manufacturing plants,

distribution centers, conveyances, retail outlets, people, and information, which are
linked together into processes supplying goods or services from source through
consumption.

To manage the supply chain, a company tries to eliminate delays and cut the amount
of resources tied up along the way.

Information systems make efficient supply chain management possible by integrating

demand planning, forecasting, materials requisition, order processing, inventory
allocation, order fulfillment, transportation services, receiving, invoicing, and payment.
SUPPLY-CHAIN MANAGEMENT

ORDER PLANNING &

CUSTOMERS PROCESSING FORECASTING SUPPLIERS

PROCUREMENT
ACCOUNTING INTRANET

PRODUCTION

LOGISTICS
SHIPPING INVENTORY DISTRIBUTORS
SERVICES
FIRM LEVEL STRATEGY & IT

• “How can the overall performance of these business units be

achieved?”
• “How can information technology contribute?”
• Synergies: When outputs of some units can be used as inputs to
other units, or two organizations can pool markets and expertise,
these relationships can lower costs and generate profits.
• One use of IT is to tie together the operations of disparate business
units so that they can act as a whole.
• Core competency: An activity at which a firm is a world-class leader.
• A core competency relies on knowledge that is gained over many
years of experience (embedded knowledge) and a first-class
research organization or just key people who follow the literature
and stay abreast of new external knowledge (tacit knowledge).
• Any system that encourages the sharing of knowledge across
business units enhances competency.
INDUSTRY LEVEL STRATEGY & IT

• “How and when should we compete as opposed to cooperate with others in the
industry?”
• Firms can cooperate to develop industry standards in a number of areas; they can
cooperate by working together to build customer awareness, and to work
collectively with suppliers to lower costs.
• Information partnership: Cooperative alliance formed between two corporations
for the purpose of sharing information to gain strategic advantage.
• Such partnerships help firms gain access to new customers, creating new
opportunities for cross-selling and targeting products. They can share
investments in computer hardware and software.
• At industry level, two analytic models are used: the competitive forces model and
network economics.
• Competitive forces model: Model used to describe the interaction of external
influences, specifically threats and opportunities, that affect an organization’s
strategy and ability to compete.
• Network economics: Model based on the concept of a network where adding
another participant entails zero marginal costs but can create much larger
marginal gain. Used as a model for strategic systems at the industry level.
COMPETITIVE FORCES MODEL
Business can counter the threats of competitive forces by implementing five basic
strategies-

1. Cost Leadership Strategy

2. Differentiation Strategy
3. Innovation Strategy
4. Growth Strategy
5. Alliance Strategy

Other Competitive Strategies

1. Improving Business Processes

2. Promoting Business Innovation
3. Lock-in Customers and Suppliers
4. Creating Switching Costs
5. Raising Barriers to Entry
6. Leverage Investment in IT
7. Developing a strategic information base
Strategic use of IT

Building a customer focus business

Reengineering Business Processes

Improving Business Quality

Becoming an agile company

Creating a virtual company

Building a knowledge creating company

The challenge of strategic IS

 SYSTEMS FROM A FUNCTIONAL PERSPECTIVE

SALES & MARKETING INFORMATION SYSTEM

SYSTEM DESCRIPTION ORGANIZATIONAL LEVEL

ORDER PROCESSING ENTER, PROCESS, TRACK ORDERS OPERATIONAL

MARKET ANALYSIS IDENTIFY CUSTOMERS & MARKETS KNOWLEDGE

PRICING ANALYSIS DETERMINE PRICES MANAGEMENT

SALES TRENDS PREPARE 5-YEAR FORECASTS STRATEGIC

MANUFACTURING INFORMATION
SYSTEM

SYSTEM DESCRIPTION ORGANIZATIONAL LEVEL

MACHINE CONTROL CONTROL ACTIONS OF EQUIPMENT OPERATIONAL

COMPUTER-AIDED-DESIGN DESIGN NEW PRODUCTS KNOWLEDGE

PRODUCTION PLANNING DECIDE NUMBER, SCHEDULE OF PRODUCTS MANAGEMENT

FACILITIES LOCATION DECIDE WHERE TO LOCATE FACILITIES STRATEGIC

FINANCE & ACCOUNTING INFORMATION
SYSTEM

SYSTEM DESCRIPTION ORGANIZATIONAL LEVEL

ACCOUNTS RECEIVABLE TRACK MONEY OWED TO FIRM OPERATIONAL

PORTFOLIO ANALYSIS DESIGN FIRM'S INVESTMENTS KNOWLEDGE

BUDGETING PREPARE SHORT TERM BUDGETS MANAGEMENT

PROFIT PLANNING PLAN LONG-TERM PROFITS STRATEGIC

HUMAN RESOURCES INFORMATION
SYSTEM

SYSTEM DESCRIPTION ORGANIZATIONAL LEVEL

TRAINING & DEVELOPMENT TRACK TRAINING, SKILLS, APPRAISALS OPERATIONAL

CAREER PATHING DESIGN EMPLOYEE CAREER PATHS KNOWLEDGE

COMPENSATION ANALYSIS MONITOR WAGES, SALARIES, BENEFITS MANAGEMENT

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