Chapter 1: Information Technologies, Concept and Mgt

What I had learned about this chapter? well..

Definition: Any organized combination of people, hardware, software, communication networks, and data resources that collects, transform and disseminates information in an organization.

Importance:

• Businesses to be efficient in the global information and knowledge based society
• Achieve successful organization
• Highlight the importance of disseminating the information through out the organization efficiently

Transaction Processing System (TPS)

TPS is a type of information system that collects, stores, modifies and retrieves the data transactions of an enterprise. Data collected from this operation supports the MIS and DSS systems employed by Middle Management. Example of transactions include making a purchase at a store, withdrawing money from a checking account, making a payment to creditor, online booking for flight ticket (Air Asia)

(Source: http://www.airasia.com/my/en/home.html)

Decision Support System (DSS)

DSS are specifically designed to help management make decisions in situations where there is uncertainty about the possible outcomes of those decisions by using a combination of raw data, documents, personal knowledge or business models

DSS comprise tools and techniques to help gather relevant information and analyze the options and alternatives. Typical information that a decision support application might gather and present are:

• Inventories of information assets (including legacy and relational data sources, cubes, data warehouses and data marts
• Comparative sales figures between one period and the next projected revenue figures based on product sales assumptions

Managing Information Systems

Information Systems (IS) have enormous strategic value. When they are not working (even for a short time), an organization cannot function. Furthermore, the Life Cycle Costs (acquisition, operation, security and maintenance) of these systems are considerable. Therefore, it is essential to manage them properly. The planning, organizing, implementing, operating and controlling of the infrastructures and the organization`s portfolio of applications must be done with great skill.

MANAGEMENT ISSUE

How much infrastructure? Justifying IS application is not an easy job due to the intangible benefits and the rapid changes in technologies that often make systems obsolete. Justifying infrastructure is even more difficult since many users and applications share the infrastructure that will be used for several years in the future. This makes it almost impossible to quantify the benefits. Basic architecture is a necessity, but there are some options.

This chapter is presented by:

Nisa, Dr Zaidi, Linda and Ainaa