Amity Business School

MBA (G)

Management Information System Class-I

Anita venaik

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Module I:
Basic Concepts of Information System Role of data and information, Organization structures, Business Process, Systems Approach and introduction to Information Systems

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Objective
Data vs. Information Characteristics of Valuable Information What is a System? What is an Information System? CBIS Components Types of CBIS Different definitions of Information System History of Information System Why Study Information Systems?

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Data vs. Information

Data consists of raw facts (i.e., a list of the numbers) Information is a collection of facts organized (or processed) in such a way that they have additional value (i.e., a list of the class grades based on the exam score In a way, information is data that has been transformed into a more useful form Turning data into information is a process performed to achieve a defined outcome and requires knowledge

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Data
Data are raw facts and figures that on their own have no meaning These can be any alphanumeric characters i.e. text, numbers, symbols
Note the are bit above? What does this mean?

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Data Examples
Yes, Yes, No, Yes, No, Yes, No, Yes 42, 63, 96, 74, 56, 86 111192, 111234 None of the above data sets have any meaning until they are given a CONTEXT and PROCESSED into a useable form

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Data Into Information

To achieve its aims the organisation will need to process data into information. Data needs to be turned into meaningful information and presented in its most useful format Data must be processed in a context in order to give it meaning

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Information
Data that has been processed within a context to give it meaning OR Data that has been processed into a form that gives it meaning

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Examples
In the next 3 examples explain how the data could be processed to give it meaning What information can then be derived from the data?

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Example 1
Raw Data
Yes, Yes, No, Yes, No, Yes, No, Yes, No, Yes, Yes

Context
Processing

Responses to the market research question Would you buy brand x at price y?

Information

???

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Example 2
Raw Data
42, 63, 96, 74, 56, 86

Context
Processing

Jayas scores in the six AS/A2 ICT modules

Information

???

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Example 3
Raw Data
111192, 111234

Context
Processing

The previous and current readings of a customers gas meter

Information

???

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Knowledge
Knowledge is the understanding of rules needed to interpret information
the capability of understanding the relationship between pieces of information and what to actually do with the information
Debbie Jones www.teach-ict.com

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Knowledge Examples
Using the 3 previous examples:
A Marketing Manager could use this information to decide whether or not to raise or lower price y Jayas teacher could analyse the results to determine whether it would be worth her re-sitting a module Looking at the pattern of the customers previous gas bills may identify that the figure is abnormally low and they are fiddling the gas meter!!!

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Summary
Information

Data

Context

Meaning

Processing

Data raw facts and figures Information data that has been processed (in a context) to give it meaning

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Suggested answers to examples

Example 1
We could add up the yes and no responses and calculate the percentage of customers who would buy product X at price Y. The information could be presented as a chart to make it easier to understand.

Example 2
Adding Jaya scores would give us a mark out of 600 that could then be converted to an A level grade. Alternatively we could convert the individual module results into grades.

Example 3
By subtracting the second value from the first we can work out how many units of gas the consumer has used. This can then be multiplied by the price per unit to determine the customers gas bill.

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Data, Information, and Systems

Data vs. Information Data A given, or fact; a number, a statement, or a picture Represents something in the real world The raw materials in the production of information Information Data that have meaning within a context Data in relationships Data after manipulation

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Characteristics of Valuable Information Accessible Accurate Complete Economical Relevant

Reliable Secure Simple Timely Verifiable

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Personal Dimensions of Information

The three personal dimensions of information include:
Time Location Form

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Information Systems
Why Do People Need Information?
Individuals - Entertainment and enlightenment Businesses - Decision making, problem solving and control

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An information system is a system which assembles, stores, processes, and delivers information relevant to an organization (or to society) in such a way that the information is accessible and useful to those who wish to use it, including managers, staff, clients, and citizens. An information system is a human activity (social) system which may or may not involve the use of computer systems.

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Information system - (definition) Interrelated components that collect, process, store, and disseminate information to support decision-making, control, analysis, and visualization in an organization.

An information system is a system that uses information technology to capture, transmit, store, retrieve, manipulate, or display information that is used in one or more business processes

A business process is a related group of steps or activities that use people, information, and other resources to create value for internal or external customers. Business Processes consist of steps related in time and place, have a beginning and end, and have inputs and outputs.

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An information systems is a collection of components that collects, processes, stores, analyzes, and disseminates information for a specific purpose. The major components of a computer-based information system (CBIS) can include (1) hardware, (2) software, (3) a database (4) a network (5 )procedures, and (6) people. The system operates in a social context, and the software usually includes application programs which perform specific tasks for users.

Information Systems Today Amity Business School The early focus on IS was for the support of operations, management, analysis and decisionmaking in organizations. A significant emphasis was on models of planning and control. The late 1980s and early 1990s saw IS expand from the support not only of decision-making, but but for improved communication support as well. Social impacts began to be recognized. The explosion of the Web has added the important characteristic of providing information access. Today the emphasis in organizations is on the support of business processes.

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Information Technology
Information Technology (IT) sometimes refers to the technology component of an information system. However, the concept is often used by many to describe the collection of all information systems in organization.

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Putting Things in Context - I

Information Technology - the hardware, software, and networks that make Information Systems possible. Information System - a system that uses information technology to capture, transmit, store, retrieve, manipulate, and display information. Business process - a related group of steps or activities that use people, information, and other resources, to create value for internal or external customers.

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Putting Things in Context - II

Firm (or organization) - consists of a large number of interdependent business processes that work together to generate products of services in a business environment. Business environment - includes the firm and everything else that affects its success, such as competitors, suppliers, customers, regulatory agencies, and demographic, social, and economic conditions.

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IS and Organizations
The Organization and its Environment

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