Information Technology in

Business and Society I

Introduction to IT
Why do we need to learn IT?
• Digital technologies have spread very quickly to the world.
Why do we need to learn IT?
• The global IT spending from 2005 to 2018 and a forecast for spending on
information technology for 2019 and 2020.
Why do we need to learn IT?
• We are living in information society that is defined as the society with
widespread access to and transfer of digital information within
business and community.
• In other words, in an information society, the formation, distribution,
use and manipulation of information plays an important role on
economic, political and cultural life.
• Homo conexus
 Information Technology
• Information Technology (IT) and Information
Systems (IS) are different.
• IT is all of the hardware and software that a firm
needs to obtain its business objectives.
• IT is not equal to computers.
• IT is about creating, processing, storing securing
and exchanging all forms of electronic data.
 Information System
• An IS is a set of interrelated components.
• These components collect, process, store and
distribute information to support decision
making, coordination and control in an
organization.
• IS includes ……………………………………………...
What is the purpose of Information
Systems?

• To support the activities of a business organization such as?

 Examples of IS
• Card Catalogs in the libraries
• Your day planner, notebooks, filefolders
• Cash register at the supermarkets etc.
 Data and Information
• Data, information, business intelligence, knowledge
are different.
• Data are ………………………………………..
• Information is ……………………………………………..

9
 Generation of Information

Input Process Output

• Data • converting • Information

data into
information.

• At the end, there is also a feedback mechanism,

which is the evaluation stage.
 Data and Information
• Business Intelligence is the information collected from many
sources to analyze patterns and make decisions.
• Knowledge requires ……………………………………. besides
information.
 Data and Information

Paige Baltzan, Business Driven Information Systems, 4th. Ed., McGraw Hill, 2014.
 Advantages and Disadvantages of IT

• IT provides many advantages, such as speed and

reliability.
• It has also some disadvantages. These are:
………………………………………………………………………………
Using IT efficiently
• Why are we storing this data?
• What purpose or purposes does it serve?
• What (and whose) information needs will it satisfy?
• How will we know if these needs have been met?
 References
• Laudon K. And J. Laudon, Management Information Systems Managing
the Digital Firm, 15th Ed., Pearson Prentice Hall, 2018.
• Baltzan, P., Business Driven Information Systems, 4th. Ed., McGraw Hill,
2014.
• Valacich, J and C. Schneider, Information Systems Today Managing in the
Digital World, 5th Ed., Prentice Hall, 2012.
• World Bank Group (2016), Digital Dividends, World Development
Report.
• Rainer, Prince and Cegielski (2012), Intorduction to Information Systems:
Supporting and Transforming Business, 5th edition, John Wiley & Sons.