P4 – Features and Functions of

Information Systems

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Types of Information Systems Features of Information Systems Functions of Information Systems
 Management Information  Data;  Input

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Systems (MIS)  People;  storage;

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 Marketing Analysis  Hardware;  Processing;
 Human Resources  Software;  Output;

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 Financial  Communication/data flows  Control and feedback loops;

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 Competitor  Closed and open systems.

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To achieve P4 you must demonstrate an understanding of the features and functions of
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information systems. Create a presentation which shall be used to teach others about
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different types of information systems.
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In your presentation you will need to describe the different types of systems that are
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used, you must also include the features and functions of the information systems as well
as an explanation of the purpose of the system and who might use them (real business
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examples would be beneficial here).

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P4 – Features and Functions of
Information Systems

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• One of the first areas of business to adopt the need for an information
Marketing Information System system.

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• Identifying where and why its sales go up and down.
• Applying and analysing the result of a promotion in one store before

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applying it to all stores.
• Analysing the impact of changes on product prices, profit/loss,

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competition
• Simply it is needed to manage income or revenue. However, once
Financial Information System setup it can focus on expenditure and costs to make it more effective.

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• Able to identify trends and unusual patterns to support the running
and actions of the business.

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• Helps identify the financial impact of an investment, large purchase,
new revenue or expenditure. Keeping the business in the black.

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• Human resources have a great need for an information system due to
Human Resources Information System

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the amount of analyses they have to perform.
• Information systems support HR in deciding how many staff they need

o. ou at key times in their days. The system will help identify skill shortages,
training needs and staff turnover.
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• Analysis of staff skills can support the business in decisions over
promotions, training and career development opportunities.
• An MIS is a decision support information system
Management Information System (MIS)
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• Input, query and response is usually already predefined

• It is effective in supporting management ask the same questions over
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and over to track, analyse, make decisions about the day to day
running of the business.
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• Simple systems with complexity hidden away from the users

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• Answers are often displayed as tables or graphs but easily exported

into all office applications
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• An MIS is only effective if the data entered is accurate, consistent and

acquired with confidence.
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P4 – Features and Functions of
Information Systems

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• Data input must be as accurate as possible (subject to cost/timescale).
Data • It should be stored in the most logical way.

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• The data then needs to be summarised to meet the needs of the
system.
• The data is vital to the creation of a good information system.

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• People are involved in both capturing the data and exploiting the
People information.
• It is important to motivate those who capture the data by highlighting

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the importance of how the data can help the business.

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• In small organisations the Information System may just run on the PC
Hardware

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of the person in charge of that system(s).
• In larger businesses it usually runs on a server, either shared or

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dedicated, with internet access if needed.
• It is unusual to require specialised hardware.

Software
o. ou • The simplest Information System can be built using standard software.
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• However, MIS and some other Information Systems can use complex
software.
• The developer configures this system to a set standard, allowing some
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customisation by the business.

• Costs varies but more expensive usually means more features.
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• An MIS can be delivered across the internet but this usually brings out
Telecommunications an issue of security of data.
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• Many are delivered across an intranet, protected by the businesses

firewall, to safeguard information.
• Telecommunications can be used to provide the utmost security.
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P4 – Features and Functions of
Information Systems

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• Detailed data inputted into the system, stored, processed ready for
Input being used as an output.

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• Telling the system what and how they expect the outputs to look like
and do. This is usually setup by the trained individual or technician.

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• The data should be stored at the most detailed level possible.
Storage • The IT department would take consistent backups of this data.

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• The IT department may also store summaries of this data for ease of
use.

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• Processing is what turns data into information.
Processing • At its simplest this may be adding up a list of sold products and

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working out remaining stock levels but at its most complex this could
be analysing trends and answer complex decisions on actions to take.

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• This can be in two formats: graphical and textual.
Output

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• Graphical is good for seeing the bigger picture and understanding
trends. Textual is preferred for analysing the detail and making more

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• Outputs should be presented in the most suitable way for the user.
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• This is what happens as a result of the output from the system.
Control and Feedback Loops • An automated example would be a system checking stock levels and
re-ordering stock based on the system outputting a minimum level.
• Or a product automatically increasing its price based on great sales.
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• In a closed system, the user may have some choice about what to
Closed and Open Systems report on but they are limited to pre-defined output formats.
• In an open system there is often greater flexibility. This usually means
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significant training is needed to make the best of the system which will
be very analysis based.
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 P5 – Features and Functions of Information
Systems @ Titus Salt School

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To achieve P5 you need to identify the information systems used in a specified
organisation. Titus Salt School staff use many different information systems. The main

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one is SIMS but there also systems for Finance, HR, Data etc. which various staff

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members will discuss with you over the next few lessons.

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Produce a report or presentation with accompanying notes to show four information

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systems that are used within school. For each system (Finance, Personnel, Student
Information) cover the following:

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The name of the system;
Type of system o. ou
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• Which department(s) uses it
• The purpose of the information system
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• The specific features and functions

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• The effectiveness of the system (benefits, weaknesses and is it fit for purpose)
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