Unit I Foundation of Information System and Management




Components of an Information Systems


Components of an Information Systems

1. Resources of people (end users and IS specialists, system analyst, programmers, data administrators etc.), 2. Hardware (Physical computer equipments and associate device, machines and media), 3. Software (programs and procedures), 4. Data (data and knowledge bases), and 5. Networks (communications media and network support)

Resources of An Information Systems


People Resources

End users-accountants, salesperson, engineers, clerks, customers, or managers. IS Specialists-are people who actually develop and operate information systems. They include systems analysts, programmers, testers, computer operators, and other managerial, technical, an clerical IS personnel.


Hardware Resources

Machines as computers and other equipment along with all data media, objects on which data is recorded, from sheets of paper to magnetic disks. Computer systems, which consist of central processing units containing microprocessors, and a variety of interconnected peripheral devices. Examples are microcomputer systems, midrange computer systems, and large mainframe computer systems. Computer peripherals, which are devices such as a keyboard or electronic mouse for input of data and commands, a video screen or printer for output of information, and magnetic or optical disks for storage of data resources 7

Software Resources

includes all sets of information processing instructions. This generic concept of software includes not only the sets of operating instructions called programs, which direct and control computer hardware, but also the sets of information processing instructions needed by people, called procedures

Software Resources

System software, such as an operating system program, which controls and supports the operations of a computer system. Application software, which are programs that direct processing for a particular use of computers by end users. Examples are a sales analysis program, a payroll program, and a word processing program. Procedures, which are operating instructions for the people, who will use an information system. Examples are instructions for filling out a paper form or using a software package.

Data Resources

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Data is raw material of information systems, database with criteria:  Comprehensiveness means, that all the data about the subject are actually present in the database.  Non-redundancy means, that each individual piece of data exists only once in the database.  Appropriate structure means, that the data are stored in such a way as to minimize the cost of expected processing and storage. The data resources of IS are typically organized into: Processed and organized data-Databases Knowledge in a variety of forms such as facts, rules, and case examples about successful business practices.

Network Resources

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Telecommunications networks like the Internet, intranets, and extranets. Telecommunications networks consist of computers, communications processors, and other devices interconnected by communications media and controlled by communications software. Communications media Network support- people, hardware, software, and data resources that directly support the operation and use of a communications network.


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Input of Data Resources Processing of Data into Information Output of Information Products Storage of Data Resources Control of System Performance Information Quality

Input of Data Resources

Data about business transactions ,captured and prepared for processing data entry activities such as recording and editing. End users typically record data, about transactions on some type of physical medium such as a paper form, or enter it directly into a computer system. Variety of editing activities to ensure that they have recorded data correctly. Once entered, data may be transferred onto a machine-readable medium such as magnetic disk or tape, until needed for processing. 14

Output of Information Products

Information in various forms is transmitted to end users and made available to them in the output activity. Common information products include messages, reports, forms, and graphic images, which may be provided by video displays, audio responses, paper products, and 15

Processing of Data into Information

Data is typically subjected to processing activities such as calculating, comparing, sorting, classifying, and summarizing. These activities organize, analyze, and manipulate data, thus converting them into information for end users Quality of data,updation.

Information Quality

Info outdated, inaccurate, or hard to understand would not be very meaningful, useful, or valuable to you or other end users. People want information of high quality, that is, information products whose characteristics, attributes, or qualities help make it valuable to them. I as 3D time, content, and form.

Storage of Data Resources

Storage is a basic system component of information systems. Storage is the information system activity in which data and information are retained in an organized manner for later use.


Control of System Performance

An information system should produce feedback about its input, processing, output, and storage activities. This feedback must be monitored and evaluated to determine if the system is meeting established performance standards. Then appropriate system activities must be adjusted so that proper information products are produced for




Types of IS
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For most businesses, there are a variety of requirements for information. Senior managers need information to help with their business planning. Middle management need more detailed information to help them monitor and control business activities. Employees with operational roles need information to help them carry out their duties.

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It produce a variety of information products for internal and external use in an organization. The role of a business firm's operations support systems is to efficiently process business transactions, control industrial processes, support enterprise communications and collaboration, and update corporate databases. Operation support systems again can be categorized as :
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Transaction processing systems Process control systems Enterprise collaboration systems

OSS Types



When information systems focus on providing information and support for effective decisionmaking by managers, they are called management support systems. Providing information and support for decisionmaking by all types of managers (from top executives to middle managers to project supervisors) is a complex task. Conceptually, several major types of information systems support a variety of managerial end user responsibilities :  Management information systems,  Decision support systems, and  Executive information systems. 24

MSS Types


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