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IT and management : fundamentals

•What is Information Systems (IS)?


•The purpose or objectives of IS
•IS methodology
•Advantages of IS
•Disadvantages of IS
•Measure or assessment of IS
•Qualities of good IS and its output
What is Information Systems (IS)?
•IS is a system composed of computer hardware and
computer software, serving as backbone of an
organization’s operations.
•IS gathers data from within and outside the computer
system, analyses the data, and produces information
to aid in management decision-making.
The purpose or objectives of IS
•Improved decision-making, by providing up-to-date, accurate
data on a variety of organizational assets and processes,
including: raw materials, financials, personnel and human
population, plant and vehicle, farming, manufacturing and
marketing.
•In a corporate setting, ultimate goal of the use of MIS is to
increase the value and profits of business.
•In a government setting, ultimate goal of the use of MIS is to
enhance welfare of citizens.
IS methodology
The IS collects the data, stores it, and makes it
accessible to managers who want to analyse the data
by running reports. For example,

a marketing IS enables management, of the respective


organisation, to compare sales of a period to sales of
another period and sales of a branch to sales of another
branch.
Advantages of IS
The following are some of the benefits, to an organisation, of
using IS:-
• Enhanced operational efficiency.
• Revealed strengths and weaknesses. For instance, income and
expenditure reports, employee performance reports, customer data
and feedback reports , plant and vehicle maintenance reports can aid
an organisation in identifying its strengths and weaknesses.
• Enhanced competitive advantage.
• Enhanced decision-making.
• Reduce downtime for actionable items
Disadvantages of IS
The following are some of the disadvantages, to an
organisation, of using IS:-
•Dependence on computer hardware and computer software.
•Potential for inaccurate information. Garbage in & out
•Portability of changing platforms, and the challenge of
keeping up or migrating.
•Resilience challenges – paper based still longest life
•Prone to abuse – confidentiality, scapegoating fraudulent
practices
Measure or assessment of IS
•System quality - the measures of the IS itself,
•Information quality - the measures of the IS output,
•Information use - recipient consumption of the IS output,
•User satisfaction - recipient response to the use of the IS
output,
•Individual impact - the effect of information on the behaviour
of the recipient, and
•Organization impact - the effect of information on
organizational performance. Delone and McLean (1992)
Measure or assessment of IS (cont…)
•System level, measuring reliability of system and ease of
maintain the system.
•User level, measuring user satisfaction and productivity
enhancement.
•Organizational level, measuring enhancement of business
operation, business processes and operational benefits.
•Strategic level, measuring enhancements in customer service
and enabling cooperative partnership. Stair and Reynolds
(2010).
Qualities of good IS and its output
While information use, user satisfaction, individual and
organization impact may vary; quality of an IS and its
output(=information) are generally standard.
Qualities of good IS and its output (Cont….)
Good information
•Accuracy – error free
•Completeness – not partial or incomplete information
•Timeliness – exactly when the information is required
•Consistency – evenness, where data is redundant it must be
equal or the same, and where information is periodically
presented it must have established format or presentation
•Authentic – information must have reliable source
•Integrity – veracity or truth
Qualities of good IS and its output (Cont...)
Good IS
•Availability– all the time when the information system is
required
•Security- only authorized access is allowed.
•Integrity – accuracy, completeness, veracity, truth, and
consistency of the information in the information system.
Home work
• Read “Information systems objectives: Perceptions of information
systems developers of different cultures” by Peterson, Dane K. and
Kim, Chung S. (2000); and present, during next class, what and how
other factors affect objectives of an IS.
• Read “Principles of Information Systems” by Stair and Reynolds
(2010); and comprehend various types of ISs.
References:
DeLone, H. W. & McLean, E. R. (1992). Information systems success:
The quest for the dependent variable. Information Systems Research,
5(1), 60-95.
Peterson, Dane K. and Kim, Chung S. (2000). Information systems
objectives: Perceptions of information systems developers of different
cultures. Journal of International Information Management. Volume 9
Issue 1 Article 1.
Stair and Reynolds (2010). Principles of Information Systems. Cengage
Learning.
Thank you for your participation.

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