GIT: Living in the IT Era Traditional

Industrial Revolutions  In-house applications

INVENTIONS  Software packages
Discovery of new products and processes Modern
 Machines  Internet-based
 Telephone  Outsourced
 Automobiles  Custom
 Television  Enterprise-wide
 Computers
INNOVATIONS
Commercialization and improvement of the existing products. Following are the TYPE of information system:
 Assembly Lines 1. Transaction Processing System (TPS):
 CD’s  Transaction Processing System are information system that processes data
 Flat Screen TV’s resulting from the occurrences of business transactions
 Smartphones  Their objectives are to provide transaction in order to update records and
First Industrial Revolution – 1765 generate reports i.e to perform store keeping function
Started in England during the late 18th century. Concentrated in Britain  The transaction is performed in two ways: Batching processing and Online
Initially focused on textile manufacturing. transaction processing.
Significant evolutions: Cort’s puddling; rolling process for making iron, Crompton’s  Example: Bill system, payroll system, Stock control system.
mule for spinning cotton, Watt steam engine 2. Management Information System (MIS):
Products / Services – Vegetables, Coal, Iron, Discovery of chemicals  Management Information System is designed to take relatively raw data
Transportation – Railroads, Basic farming available through a Transaction Processing System and convert them into a
Production System – Manual Labor to mechanical summarized and aggregated form for the manager, usually in a report format. It
Communication - print reports tending to be used by middle management and operational supervisors.
Second Industrial Revolution – 1870  Many different types of report are produced in MIS. Some of the reports are
Products / Services – electricity, chemicals, petroleum, steel a summary report, on-demand report, ad-hoc reports and an exception report.
Transportation – automobiles, aircrafts  Example: Sales management systems, Human resource management
Production System – machine-aided equipment system.
Communication – telephone, telegraph 3. Decision Support System (DSS):
Significant evolution: Development of electricity, Internal-combustion engine,  Decision Support System is an interactive information system that provides
Railway, Chemical industry information, models and data manipulation tools to help in making the decision in a
semi-structured and unstructured situation.
Third Industrial Revolution - 1969
 Decision Support System comprises tools and techniques to help in
Started with the development of transistors.
gathering relevant information and analyze the options and alternatives, the end user
Rise of electronics and digital technology.
is more involved in creating DSS than an MIS.
Products / Services – Internet, rise of electronics, source of energy: nuclear power
 Example: Financial planning systems, Bank loan management systems.
Production System - Automation
4. Experts System:
The Effect of Technology on Productivity
Example: Consider an automobile factory that is able to produce 10 cars per day  Experts systems include expertise in order to aid managers in diagnosing
using 100 hours of labor. If a new invention permits same workers to produce 20 problems or in problem-solving. These systems are based on the principles of
cars in the same amount of time, then their productivity has been doubled artificial intelligence research.
Information Systems  Experts Systems is a knowledge-based information system. It uses its
Set of interrelated components knowledge about a specify are to act as an expert consultant to users.
Collect, process, store, and distribute information  Knowledgebase and software modules are the components of an expert
Support decision making, coordination, and control system. These modules perform inference on the knowledge and offer answers to a
May also help analyze problems, visualize complex subjects and create new products user’s question
The Business Benefits of Investing in Information Technology
First impressions
My first day at the office was filled with the usual stuff covered during the induction
process, meet the team, company policies, health and safety etc.  I was impressed by
the free orange juice on offer and the fancy coffee machine. It was right up my street.
Morale
One of the benefits of investing in IT for any business is that it boosts staff morale
and can make way for your team to be more productive. Which leads to my second
let down moment; in the same company, every quarter, the systems went into
overdrive as everyone was working on producing the latest financial results.
Unfortunately, the systems couldn’t cope; servers crashed and spreadsheets hung,
which led to staff having to work late to make up for lost time.
The good news
We have examples of clients who have invested effectively in their IT systems
which, in turn, has helped the sale of these businesses go through quickly and
smoothly. Investment has helped these companies become leading lights in their
market place, making them more attractive propositions.