MODULE 2

TYPES OF INFORMATION
SYSTEM
PROF VIDYADHARA
ASSISTANT PROFESSOR
FACULTY OF MANAGEMENT STUDIES
MARWADI UNIVERSITY

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CONTENTS

Types

Fundamentals

Types

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 TYPES OF INFORMATION SYSTEM

• INTRODUCTION
• TRANSACTION PROCESSING SYSTEM
• OFFICE AUTOMATION SYSTEM
• MANAGEMENT INFORMATION SYSTEM
• DECISION SUPPORT SYSTEM
• GROUP DECISION SUPPORT SYSTEM
• EXECUTIVE SUPPORT SYSTEM
• GEOGRAPHIC INFORMATION SYSTEM

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MODULE OUTCOME METHODS

AT THE END OF THE THIS MODULE LECTURE

STUDENTS CAN ABLE TO CASE STUDIES
APPLY THE UNDERSTANDING OF HOW RESEARCH ARTICLES
VARIOUS INFORMATION SYSTEMS PHOTOGRAPHY
WORK TOGETHER TO ACCOMPLISH THE
DIAGRAM
INFORMATION OBJECTIVES OF AN
ORGANIZATION GRAPH
QUIZ

LEARNING LEVELS
REMEMBERING / KNOWLEDGE
UNDERSTANDING – L2
APPLY -
ANALYSE -4
EVALUATE -5

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 DAY 1

Session Outcome
Students can able to
State Information system

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 INTRODUCTION

School bag and

Smoke Signals Card Catalogues Notebooks

Cash Register A/c Ledger

Smoke signals for communication were used as early as

recorded history and can account for the human
discovery of fire. The pattern of smoke transmitted
valuable information to others who were too far to see or
hear the sender.
Card catalogs in a library are designed to store data
about the books in an organized manner that allows
readers to locate a particular book by its title, author
name, subject, or a variety of other approaches
Your book bag, day planner, notebooks, and file folders
are all part of an information system designed to help you
organize the inputs provided to you via handouts,

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lectures, presentations, and discussions. They also help
you process these inputs into useful outputs: homework
and good exam grades.
The cash register at your favorite fast-food restaurant is
part of a large information system that tracks the products
sold, the time of a sale, inventory levels, and the amount
of money in the cash drawer; it also contributes to the
analysis of product sales in any combination of locations
anywhere in the world.
A paper-based accounting ledger as used before the
advent of computer-based accounting systems is an iconic
example of an information system. Businesses used this
type of system for centuries to record the daily
transactions and to

Introduction to Information Systems

The term Information System has been formally defined as an organized cooperative
set of components i.e. people, hardware, software, communication networks and data
resources that collect, transform, disseminate and store information in an
organization. From very early in the history of man, it was clear that there was a lot
of need to collect and manipulate data items for various reasons while also retaining
a memory of the results. The term Information System can therefore be validly used
to refer to:
•Manual pen and paper) Information systems
•Informal (word-of-mouth) Information system
•Formal information systems (i.e. with written procedures)
•Computer based information systems.

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 Stores
Retrieves
Transforms
Disseminates

INFORMATION
SYSTEM

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 INFORMATION SYSTEM

• AN INFORMATION SYSTEM CAN BE ANY ORGANIZED

COMBINATION OF PEOPLE, HARDWARE, SOFTWARE,
COMMUNICATIONS NETWORKS, DATA RESOURCES, AND
POLICIES AND PROCEDURES THAT STORES, RETRIEVES,
TRANSFORMS AND DISSEMINATES INFORMATION IN AN
ORGANIZATION.

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 Components of an
Information System

Control System Performance

Input of Processing Output of

Data Data into Information
Resources Information Products

Storage of Data Resources

Network Resources
Communication media and Network Support

We shall henceforth use the term ‘information system' to refer to computer based
information systems. These are those that use computer hardware, software the
internet, computer based data resource management techniques and other
information technologies to transform data into a variety of information products to
support organizational or personal functions.
As a system, the IS accepts inputs and produces outputs in an organized
transformation process. It also includes additional concepts of feedback and
control. Feedback refers to data about the performance of a system e.g.
information about sales performance to sales manager. Control is about monitoring
and evaluating feedback to determine whether or not the system is moving toward
the achievement of its goals. It may as a result make adjustments to the system's
input and processing components to ensure that it produces proper output.
Systems exist in environments containing other systems. The following are some
important components related to this situation:
•Subsystems: Systems that are components of a larger system. Almost all systems
can be viewed as subsystems of some larger systems.
•System Boundary: Demarcation between a system and its environment
•Interface: An interconnection point between a system and other systems.
•Open System: A system that impacts and is impact upon by its environment. A
system that interacts with other systems. Almost all System interact with their

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environment hence are open systems.
•Adaptive System: A system that has the ability to change itself or its environment in
ensuring its survival.

The information system model above summarizes the relationship among the
components and activities of information systems

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 1 3 5

Foundation Business Management

Concepts Applications Challenges

2 4
Information Development
Technologies Processes

Foundation Concepts. Fundamental behavioral,

technical, business, and managerial concepts about the
components and roles of information systems. Examples
include basic information system concepts derived from
general systems theory or competitive strategy concepts
used to develop business applications of information
technology for competitive advantage.
Information Technologies. Major concepts,
developments, and management issues in information
technology—that is, hardware, software, networks, data
management, and many Internet-based technologies.
Business Applications. The major uses of information

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systems for the operations, management, and competitive
advantage of a business.
Development Processes. How business professionals and
information specialists plan, develop, and implement
information systems to meet business opportunities.
Management Challenges. The challenges of effectively
and ethically managing information technology at the end-
user, enterprise, and global levels of a business

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 FUNDAMENTAL ROLES OF IS IN BUSINESS

The three fundamental roles

of the business applications
of information systems. Support
Information systems provide Strategies for
an organization with support Competitive
for business processes and Advantage
operations, decision making,
and competitive advantage.
Support
Business
Decision Making

Support Business Processes and

Operations

Information System

They are found in the three vital roles that information

systems can perform for a business enterprise:
• Support of business processes and operations.
• Support of decision making by employees and
managers.
• Support of strategies for competitive advantage.

Support of Business Processes and Operations

As a consumer, you regularly encounter information
systems that support the business processes and
operations at the many retail stores where you shop. For
example, most retail stores now use computer-based

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information systems to help their employees record
customer purchases, keep track of inventory, pay
employees, buy new merchandise, and evaluate sales
trends. Store operations would grind to a halt without the
support of such information systems.
Support of Business Decision Making
Information systems also help store managers and other
business professionals make better decisions.
For example, decisions about what lines of merchandise
need to be added or discontinued and what kind of
investments they require are typically made after an
analysis provided by computer-based information systems.
This function not only supports the decision making of
store managers, buyers, and others, but also helps them
look for ways to gain an advantage over other retailers in
the competition for customers.
Support of Strategies for Competitive Advantage
Gaining a strategic advantage over competitors requires
the innovative application of information technologies.
For example, store management might make a decision to
install touch-screen kiosks in all stores, with links to the e-
commerce Web site for online shopping. This offering
might attract new customers and build customer loyalty
because of the ease of shopping and buying merchandise
provided by such information systems. Thus, strategic
information systems can help provide products and
services that give a business a comparative advantage over
its competitors.

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https://www.youtube.com/watch?v=I7O4IMWcm14

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 QUESTION 1

• INFORMATION SYSTEM IS ORGANIZED COMBINATION

TRUE
FALSE

ANSWER – TRUE

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 QUESTION 2

• INFORMATION SYSTEM DOES NOT INCLUDE

PEOPLE
HARDWARE
COMPUTER
DATA

ANSWER – Computer

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Beakers

Pipettes
INVENTORY
BY DAY
Test tubes

0%
20%
40%
60%
80%
100%

Monday Tuesday Wednesday

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SUCCESSFUL TESTING

HYPOTHESIS

CALCULATIONS FORMULAS

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CONTACT US
SOMEONE@EXAMPLE.COM

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