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Fundamentals of Information Systems

o To deliver the Right information, to the Right Person at the Right Time
Why learn about Information Systems in organizations?
o Computer Major
To design a system to improve productivity
2 Information Systems Approaches
o Paper & pen based approach (Manual Process)
o Computer based approach (Electronic Process)


Information Systems
o Set of interrelated components that collect, manipulate, store and
disseminate data and information
o Provides feedback to meet an objective
o Information Technology (IPOS)
o Information System (IPOF)
Data into Information (Data Application of knowledge

o Process
Set of logically related tasks performed to achieve a
defined outcome
o Knowledge
Awareness and understanding of a set of information and
the ways that it can be made useful to support a specific
task or reach a decision
o Knowledge Workers
People who create, use and disseminate knowledge
Includes professionals
o Raw facts
o 4 kinds of Data
Numbers, letters & characters
o Smallest unit of an image
.ico - Icon
.bmp - Bitmap
.jpg - Jpeg (Joint Photographic Experts Group)
.gif (Graphic Interchanging Format)

.png PNG (Portable Network Group)

.wav (waveform)
aiff (Audio Interchanging File Format)
.mp3 (MPEG1 Audio Layer 3)
o (MPEG) Moving Pictures Experts Group
.mp4 (MPEG1 Audio Layer 4)
.flv (Flash Video)
.asf (Advanced System Format)
.amv (Anime Music Video)
.avi (Audio Video Interleave)

o Collection of facts organized in such a way that they have
additional value beyond the value of the facts themselves
Characteristics of valuable information
o Accessible
It should be easily accessible by authorized users so they
can obtain it in the right format the right time to meet their
o Accurate
Accurate information is error free. In some cases,
inaccurate information is generated because inaccurate
data is fed into the transformation process. (Garbage In,
Garbage Out - GIGO)
o Complete
Complete information contains all the important facts.
i.e. An investment report that doesnt include all important
costs is not complete
o Economical
It should also be relatively economical to produce. Decision
makers must always balance the value of information with
the cost of producing it.
o Flexible
Flexible information can be used for a variety of purposes.
i.e. Information on how much inventory is on hand for a
particular part can be used by a sales rep in closing a sale,
by a production manager to determine whether more
inventory is needed, and by a financial executive to

determine the total value the company has invested in

This is important to the decision maker.
i.e. Information showing lumber prices might drop might
not be relevant to a computer chip manufacturer
Reliable information can be depended on. In many cases,
the reliability of the information depends on the reliability
of the data-collection method.
i.e. A rumor from an unknown source that oil prices might
rise might not be reliable
Information should be secure from access by unauthorized
It should be simple, not overly complex. Sophisticated and
detailed information might not be needed. In fact, too
much information can cause info overload, whereby a
decision maker has too much information and is unable to
determine what is really important
Timely information is delivered when it is needed.
i.e. Knowing last weeks weather conditions will not help
when trying to decide what coat to wear today
It should be verifiable. This means that you can check it to
make sure it is correct, perhaps by checking many sources
for the same information

The Four Major Components of Information Systems

o Input
Data flowing into the system from the outside
encoding create and use of program language
coding - typists

o Processing
Means converting or transforming data into useful outputs
o Output
Involves producing valuable information; production of
useful result
Documents and reports printed paper copy
Retrieval (to locate)
o Feedback
Information from the system that is used to make changes
to input or processing activities.
Includes Forecasting
(Proactive) Predicting future events to avoid
Manual & Computerized Information Systems
o Manual Information System (MIS)
Example: developing patterns and trends on graph paper
for stock analysis
i.e. Manual recording of numbers worked and rate
o Computerized Information System
Example: using a trading program to track large blocks of
stocks in the market and trade when discrepancies occur
i.e. computerized library system

Computer-Based Information System (CBIS)

o Single set of Hardware, Software, Databases

Telecommunications, networks, the Internet, people and
procedures configured to collect, manipulate, store and process
data into information
o Hardware
Computer equipment used to perform input, processing
and output activities
Keyboard, mouse and other pointing devices
Automatic scanning devices (UPC Reader)
o Fingerprint
Magnetic ink character recognition reader (MICR)
Radio Frequency Identification Tag (RFID)
Optical Mark Recognition (OMR)
o Scantron
o Voice response technology/Voice input
o PC Hertz
o Supercomputers - Teraflops
IBM computer (US Livermore Natl Laboratories)
o 300 teraflops (300 trillion operations per
Blue Gene Super-fast computer ($40 Million)
Output devices
Bond traders
Printer Kiosk (By Kodak)
o Used to print pictures by inserting the memory
card or disks
EDR (Even Data Recorders)
o Used to monitor vehicle operations; determines
the cause of accidents (i.e. Black box)
o To help convict a driver of vehicular homicide
Top 3
o Tianhe-2
33.86 Petaflops
Made in China
o Titan
17.5 Petaflops

By Seymour Cray
First maker of supercomputers
o Sequoia
17.1 Petaflops
o Worlds fastest academic computer
Chroma Key Technology (Hologram)
Blue or green background hologram
Hologram 3D projection of a 2D image
o Software
Computer programs that govern the operation of the
Systems Software
o For day-to-day maintenance; most essential
o i.e. Operating Systems(MS-DOS, PC-DOS,
Windows, GNU, Unix); Disk Defragmenters
Most important software
GUI Graphical User Interface
GNU Gno Not Unix
Application Software
o For day-to-day application
o Will not function without the system software
o i.e. Word processing software, Electronic
spreadsheet, Computer graphics, Computer
games, Utility software, communication
First communications software
o Databases
Organized collection of facts and information consisting of
2 or more related files
Most valuable part of a CBIS
Composed of multiple files records fields bytes bits
Database Management Software (DBMS)

o Telecommunication
Electronic transmission of signals for communications
Tele (over a distance)
2 types of signals

Digital (Computers)
o Estimated values
Analog (Telephones)
o Exact values
Modem (Modulator Demodulator)
Needed to translate digital signals into analog and
vice versa
Created by Dennis Hayes
o Networks
Connect computers and equipment in a building, around
the country, and around the world.
PAN (Personal Area Network) limited to a classroom
LAN (Local Area Network) Limited to a building
MAN (Metropolitan Are Network) Limited to a city
WAN (Wide Area Network) Country-wide
Internet largest network
o Internet
Worlds largest computer network
Mashing playing 2 or more songs simultaneously
Broadband technology
Web Blogs sharing of thoughts and ideas around
the world
Podcasting download audio programs or music from
the internet and play on PC or music players
Vodcasting download movies from the internet and
play on PC or music players
Place-Shifting to record TV programs at home and
watching them at a different place
Webinar Web based seminar, seminar on the web
Webcast to use the internet to broadcast live or
delayed audio and/or video transmissions
Cloud Computing
To allow people to get information from the internet
cloud refers to the internet

Intranet and Extranet

Intranet Connection within the company

Extranet external communication of intranet to the


o People
Manage, run programs and maintain the system
Responsible for creating and maintaining the other parts
Most important element of CBIS
i.e. System Analyst, Programmer, Data encoder, financial
executives, Marketing representatives, manufacturing
3 levels
Data entry level create data
Middle managers relies on the data entry level for
Top Board relies on the middle managers for input
o Procedure
Strategies, policies, methods, and rules for using a CBIS