What is IS?

The Information System is an integrated information gathering, organization, storage, and

communication system. Information systems help many businesses increase the quality and
efficacy of their business processes, management decision-making and workgroup coordination
in order to enhance their competitive position in a rapidly evolving marketplace.

What are the differences between data and information?

 Data are random or raw fact
 Information is processed data
 When data arranged then the data will be converted into information
 Data plus structure equal to information. If you apply the structure on data, then it will be
converted into information.
 Information will carry full meaning to data. Data can't provide or explain full meaning to the
user.
 Data can be stored by use of the smallest unit called bit (0,1)
 8 bit = 1 bytes; 1024 bytes = 1 Kilobyte; 1024 Kilobytes = 1 Megabyte; 1024 Megabytes =
1 Gigabyte; 1024 Gigabytes = 1 Petabyte; 1024 Petabytes = 1 Zettabyte

The Big Five IT trends

i. Mobile
ii. Social
iii. Consumerization- Different customers their demand is different.
iv. Big Data- Big Data is also data but with a huge size. Big Data is a term used to describe a
collection of data that is huge in volume and yet growing exponentially with time. Example:
Facebook, YouTube, Instagram data; Stock exchange data. The Zettabyte format is used in
Big data. #Check on other docx file about big data
v. Cloud/Cloud Storage System- It is an internet-based storage system, where anyone can store
the data. It manages your data, back up your data, uses your data as if it stored in your
computer hard disk.

The role of e-Business in Business

 IS support business processes, decision making and competitive advantage.
 E-business is online exchange of value and Its subset is E-commerce;
 Value=Benefit-Cost; Customer value= Product quality * Service quality / Price * Fulfill in
time
 The main or major three tasks in information system
i. Operations and process for supporting managerial process or managerial tasks
ii. Employees
iii. Try to strategy or to take this strategy for gaining competitive advantages
 Computer Network- When two or more computers are connecting together and then
connected computers are known as the computer network.
 LAN- Local Area Network, MAN- Metropolitan Area Network, WAN- Wide Area
Network
 Intranet- Network with an organization. Like Shwapno, they have varieties of products
through their suppliers, they have a computer network, so their employees and staff using an
Intranet. Intranet for sales reps to access customer records for CRM (customer relationship
management)
 Extranet- When one company's intranet is allowed to access by the third-party trusted
partner or collaborator then it is known as the Extranet. Extranet access to customer’s
inventory database.
 Internet= Intranet+Extranet; Network of network.

There are three basic roles of IS

1. Support operation and business process/ Operational purpose
2. Managerial purpose
3. To make a strategy for gaining competitive advantages

System
A collection of interconnected components, with clearly defined boundaries, work together by
taking inputs and generating outputs in a connected way through the conversion process to
achieve a common purpose.

Three basic functions of a system

o Input- It includes the capture and assembly of components entering the system (to be
processed). Information system that is input when you will give the input. The information
system is a data.
o Processing- It involves the transformation method (that convert input elements to output).
After processing this data, it will be converted into information.
o Output- This involves transferring the components produced by the transformation process
to the final destination. Output of information system is to produce. This information will
help you to taking decision at the right time. Decision making is one of the major part of
any business organization. If you get wrong data then your decision making will be wrong
or garbage. This recent data will be helpful for technical decision.
 Feedback is data about the performance of a system

Information system has two types of component

 o Technical or Technological component or technical aspect of information system
o Social component of information system
 Structure
 People

In the business organization, there will be Three-layer or level Decision Making

o Top-level- This level is also known as C-level. On the person who is working there, they
are senior managers sometimes in mainly Chief Information Officer, Chief Executive
Officer, different types of CMO (Chief Marketing Officer), Chief Financial Assistant.
Their decision making is unstructured decision making. Unstructured decision-making
means there is no predictive objectives or predictive routine to solve any problem. To
solve any problem with the help of skill and knowledge. The type of information system
is used at this level is ESS (Executive Support System) or EIS (Executive Information
System).
o Middle level- Their decision making is Semi-Structured decision making. Semi-
Structured= Unstructured+Unstructured. There are two types of information systems that
are used here. One is MIS (Management Information System) and the other one is DSS
(Decision Support System). MIS produces a report to take the decision on the basis of
data or information and this information will come to as a report oriented. So, MIS will
produce a report by RPG (Report Program Generator) software. In DSS produces a what-
if analysis like IF (condition then action). GDSS (Group Decision Support System)- It is
a version of DSS and it's working as a group decision to solve any problem group wise.
o Operation level- They use these types of information such as TPS (Transaction
Processing Systems), PCS (Process Control System), Enterprise Collaboration Systems,
OAS (Office Automation System).

Information System
o Operation Support System (Support Business Operations) [Operation level]
 Transaction Processing System (TPS)
 Process Control System (PCS)
 Enterprise Collaboration System
 Specialized Processing System-- Expert System (Artificial Intelligence), Knowledge
Management System, Strategic Information System, Functional Business System (HRM,
CRM, Supply Chain Management)

o Management Support System (Support Management Decision Making) [Top-level &

Middle level]
 Management Information System (MIS)
 Decision Support System (DSS)
 Executive Information System (EIS)
  Specialized Processing System-- Expert System (Artificial Intelligence), Knowledge
Management System, Strategic Information System, Functional Business System (HRM,
CRM, Supply Chain Management)

Information System Resources

o People Resources
 End users & IS specialist
 End users are people who use an information system or the information it produces.
They can be customers, sales person, clerks, engineers, accountants, managers who
are found at all levels.
 IS specialist being people who develop and operate information system. It includes
system analysts, software developers, system operators, technical & clerical IS
persons
o Hardware Resources
 It includes all physical devices and material used in information processing. It
includes not only machines, such as computers but also all data media, i.e. tangible
objects on which data is recorded.
 Computer system consist of central processing units containing microprocessors
and a variety of interconnected devices such as printers, scanners etc.
 Computer peripherals are devices such as keyboard, electronic mouse for the input
of data and commands, a video screen or printers for the output of the information,
magnetic or optical drives for storage of data resources
o Software Resources
 It includes the sets of operating instructions called programs which direct and
control computer hardware and the set of information processing instruction called
procedure that people need.
 System Software: OS which control and supports the operation of computer system
 Application Software: sales analysis, payroll, word processing programs
 Procedures: Operating instructions for the people who use IS
o Data Resources
 The input elements that are stored in databases.
 Data can take many forms: alphanumeric, text, images, video, audio
o Network resources
 It includes communications technologies and networks that are fundamental to all
information system.
 Communication Media- includes twisted pair wire, microwave, cellular wireless
technologies.
 Network Infrastructure- emphasizes that many hardware, software and data
technologies are needed to support the operations and use of communication
network.
 Communication processors such as modems, communication control software,
network OS, internet browser packages.
Information System Activities
 Input of Data Resources
 Processing of Data into Information
 Output of Information Products
 Storage of Data Resources
 Control of System Performance

Input of Data Resources

 Data entry
 Editing
 Formal record of a transaction
 optical scanning of bar-coded tags on merchandise
 Machine readable
 Source documents

Processing of Data into Information

 Calculate
 Compare
 Sort
 Classify
 Summarize
Why should study Information System/ Importance of Information System/
Manager issue with marketing Information System?
The Information System is an integrated information gathering, organization, storage, and
communication system.
The importance of information system as marketing, accounting, finance, human resource
management, operations management, information system has become an integral part of many
business corporations.
Though as a manager, businessman, corporate expert, possessing a basic knowledge of
information systems is just as important as learning other practical fields of business. In business
administration and management programs, it is also important to study information systems.
Information systems help many businesses increase the quality and efficacy of their business
processes, management decision-making and workgroup coordination in order to enhance their
competitive position in a rapidly evolving marketplace.

Difference between a manual-based information system and a computer-based

information system?
A manual-based information system is basically one that is not based on any computerized
system.  Data recorded and processed in a number of files on paper can be seen through a
manual-based method. In a computer-based information system anyone can see data saved in
different applications, including system databases, word documents, excels, etc.
Generally, a manual-based information system is considered cheaper than a computer-based
system, but it will lead to reduced productivity levels for workers. It is also not really eco-
conscious to manually store data in boxes or folders which can jeopardize the documentation of
the company when there is no protection in case of fire. It is possible to consider a computer-
based information system to be more affordable and effective than a manual system. It speeds up
operations and can, at the touch of a button, back up essential details. It can be set up, but it is
very costly and will need to be regularly managed by IT technical service consultants.
Nowadays it is a technological generation. We carry out every task through computer-based
information systems. So it is better, faster and more accurate than manual information system.

At what level will you join after finishing or passing an MBA or BBA program?
Typically, after completing or passing an MBA or BBA program they are like fresher students in
the job field, they will usually join the implementation of the operation level.