BOU ASSESSMENT COVER PAGE

STUDENT NUMBER: 201706221

SURNAME: DAVID FIRST NAME/S: TEMOGO
CAMPUS/REGIONAL CENTRE: MAUN
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201706221@Stud.ac.bw
PROGRAMME NAME: DHRM
COURSE/MODULE NAME: BUSINESS
INFORMATION SYSTEM
COURSE/MODULE CODE: BIS622
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DUE DATE: 13/03/23
NUMBER OF PAGES: 14

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MARKS
Section A

1. Explain the five components of an information system. (10 marks)

Input: In an information system, input is the activity of gathering and capturing raw data.
In producing pay cheques, for example the number of hours every employee worked must
be collected before the pay cheques can be calculated or printed. In a university grading
system, student grades must be obtained from instructors before a summary of results for
the year can be compiled and sent to the students. Input can take many forms. In
information system designed to produce pay cheques, employee timecards might be the
initial input. Regardless of the system involved, the type of input is determined by the
desired output of the system. Input can be a manual process, or it may be automated. A
scanner at a grocery store such as at Choppies that reads bar codes and enters the grocery
item and price into a computerised cash register is a type of automated input process.
Regardless of the input method, accurate input is crucial to achieve the desired output.

Processing: In an information system, processing involves converting or transforming

data into useful outputs. Processing can involve making calculations, making
comparisons, and taking alternative actions and storing data for future use. Processing
can be done manually or with the assistance of computers. In our payroll example, the
number of hours each employee worked must be converted into net pay. The required
processing can first involve multiplying the number of hours worked by the employee’s
hourly pay rate to get gross pay. If weekly hours worked are greater than 40 hours,
overtime pay may also be determined. Then deductions are subtracted from the gross pay
to get net pay. For instance, we know that the Income Tax Act requires every employer to
deduct Pay-As-You-Earn (PAYE) tax from every employee’s pay eligible for taxation,
many employees are members of medical aid societies such as Pula, BoMaid or Botsogo,
the employee’s contribution must be deducted from the gross pay, and of course any
other deductions necessary.

Output: In an information system, output involves producing useful information, usually

in the form of document and reports. Outputs can include the pay cheques for employees,
 reports for managers and information supplied to shareholders, government agencies such
as Botswana Unified Revenue Services (BURS) and other groups. In some cases the
output from one system can become the input for another. For example the output from a
system that processes sales orders can be used as input to a customer billing system.
Often output from one system can be used as input to control other systems or devices.
Output can be produced in a variety of ways. For a computer, printers and display screens
(monitors) are common output devices. Output can also be a manual process involving
handwritten reports and documents.

Feedback: In an information system, feedback is output that is used to make changes to

input or processing activities. For example errors or problems may make it necessary to
correct input data or change a process. Consider our payroll example. Perhaps the number
of hours worked was entered into a computer as 400 hours instead of 40 hours. Most
information systems check to make sure that data falls within certain predetermined
ranges. For number of hours worked the range might be from 0 to 80 hours. It is unlikely
that an employee can work more than 80 hours for any given week. In this case the
information system would determine that 400 hours is out of range and provide feedback,
such as an error report. The feedback is used to check and correct the input on the number
of hours worked to 40. If undetected, this error would result in a very high net pay printed
on the pay cheque!

Control: In general control is exerted as the result of feedback information regarding the
performance of the information system. The function of the control component is to
ensure that the information system is working to fulfil its objectives (which is the creation
of a specific information output). Control tends to be exerted by adjusting the process and
input components of the system until the correct output is achieved.

2. (a) Which of the following are operating systems and which are applications: Microsoft
Excel, Google Chrome, iTunes, Windows, Android, Angry Birds. (6 marks)

operating systems are :Windows, Android

applications are: Microsoft Excel, Google Chrome, iTunes and Angry Birds.

(b) What is a “killer” app? What was the killer app for the PC? (4 marks)

A killer app is application software that is so useful that people will purchase the hardware just
so they can run it.

VisiCalc, the first spreadsheet application, is a commonly cited example of one of the first killer
apps because it helped bring PCs into the business realm. As a result of the strength of this
application, Apple successfully sold many of the Apple II computers on which VisiCalc was
designed to run.

3. (a) What is the difference between data, information, and knowledge? (6 marks)

1. Data is fragmented pieces of symbols and characters strung together; information is refined
data whereas knowledge is useful information. Additionally, data can lack context when looked
at singularly, whereas information gives context to data and knowledge brings depth in
understanding to such information.

2. It is noteworthy that data is incomprehensible independently, but the outcome of information

is comprehension while the outcome of knowledge understands. Data is meaningless without
being compiled into a sensible structure, while information improves representation and
knowledge amplifies consciousness.

3. Data and Information alone are not sufficient to make any predictions while knowledge
prediction is possible if one possesses the required experience.

(b) Explain in your own words how the data component relates to the hardware and
software components of information systems.

• Hardware consists of computer equipment used to perform input, processing, and output

activities. They are used to capture data, process it, and disseminate information
• Software is the computer program that governs the operation of the computer. These allow the
computer to, for example process payroll or send invoices and statements to customers. There are
two basic types of software: system software (which controls basic computer operation such as
start up and printing) and application software (which allows specific tasks to be accomplished,
such as word processing and tabulating numbers). A program that allows users to create a
spreadsheet such as Excel is an example of application system.

4. (a) Explain three advantages of using a data warehouse. (6 marks)

Data Warehouses are an important asset for organizations to maintain efficiency, profitability
and competitive advantages. Organizations collect data through many sources – Online, Call
Center, Sales Leads, Inventory Management. The data collected have degrees of value and
business relevance. As data is collected, it is passed through a ‘conveyor belt’, call the Data Life
Cycle Management.

(b) What is the difference between an intranet and an extranet? (4 marks)

Some of the intranet characteristics are:

• An Intranet is protected by security measures such as passwords, encryption, and firewalls, and
thus can be accessed by authorized users through the Internet.

• A Company’s Intranet can also be accessed through the Intranets of customers, suppliers, and
other business partners via extranet links.

Extranet are:

 Use the unsecured Internet as the extranet link between its Intranet and consumers and
others, but rely on encryption of sensitive data and its own firewall systems to provide
adequate security
  Establish direct private network links between themselves, or create private secure
Internet links between them called virtual private networks

SECTION B – ESSAY QUESTIONS [60 MARKS]

Answer ALL questions in this section.

Question 1 (a). Explain three opportunities and four challenges that are faced by
organisations in the implementation of electronic business information systems. (14 marks)

Briefly, the opportunities are:

• Higher levels of productivity and improved business profits : Increasing productivity lets a
firm make more products without increasing costs. Producing more creates the opportunity to
make more sales, which in turn offers the potential to increase profits. Higher productivity
can increase a company's profit margin in addition to raising total profits. Productivity and
quality of your products and services can greatly affect the profitability of your business. You
can improve your profitability by getting the most from your existing resources.

• Enhanced decision-making at all levels of the organization : Decisions should be a trusted,

reliable core capability for every organization and its people. Without making effective and
efficient decisions, the organization is adrift, or blind to changes in market conditions, customer
perceptions and citizen behaviors.

• Information when and where necessary: People use information to seek meaning in a
variety of situations. Sometimes they use information instrumentally, to do something tangible
(e.g., to acquire a skill or reach a goal). Other times, information is used cognitively (e.g., to
generate ideas). Information helps in avoiding the duplication of research.

The challenges are:

• Integrating the system throughout the organization and yet serving specific needs. The
main goal of integrating a CRM system with other, smaller systems is to prevent manual data
 entry and save employees time by removing redundant, unnecessary or tedious steps. For
example, a company might integrate its website with its marketing automation software to
bring customer information directly into the CRM system. Any action a prospect takes on the
website can be logged and a new record can be automatically created in the system.

• Training managers and employees : As employers grapple with a profound shift in the labor
market, the burden of retaining and developing employees doesn’t have to rest with HR and
training teams alone. Managers are in a unique position to drive employee retention and
engagement — companies should give them the structure and tools to do so.

Managing the costs of information: The data manager's job goes far beyond the computer— ...
includes expenses for such things as computer services.

• Managing user demands on the system: A manager who has to manage an organization’s
information systems (IS) faces many challenges. These challenges have to do with the rapid
changes that the technology environment faces as well as the myriad issues a modern
organization faces. Managing in a changing and dynamic environment means taking decisions
and dealing with issues keeping in mind both the needs of the moment and the issues that will
arise in the future.

(b). Describe the prototyping as a system development methodology and why it is

important. (6marks)

Prototyping is the process of building a model of a system. In terms of an information system,

prototypes are employed to help system designers build an information system that intuitive and
easy to manipulate for end users. Prototyping is an iterative process that is part of the analysis
phase of the systems development life cycle.

During the requirements determination portion of the systems analysis phase, system analysts
gather information about the organization's current procedures and business processes related the
proposed information system. In addition, they study the current information system, if there is
one, and conduct user interviews and collect documentation. This helps the analysts develop an
initial set of system requirements.

Prototyping can augment this process because it converts these basic, yet sometimes intangible,
specifications into a tangible but limited working model of the desired information system. The
user feedback gained from developing a physical system that the users can touch and see
facilitates an evaluative response that the analyst can employ to modify existing requirements as

well as developing new ones. When creating a software product, prototyping is the ideal way to
test, evaluate, and validate your idea with users. It lets you confirm that you are building the
RIGHT product and features before you actually code anything. In other words,
prototyping reduces project risk.

Some Advantages of Prototyping:

Reduces development time.

Reduces development costs.

Requires user involvement

Question 2 Outline the benefits of database management and explain how each of these
benefits helps in improving the efficiency and effectiveness of an organisation. (20 marks)

professionals with several important benefits such as:

Data Security

Data security is fairly open-ended. It can be the ability to encrypt files like Microsoft Access.
Security can also be the ability to restrict data access to that file so you don’t have to encrypt or
do both. Security is whatever protects your data, and each database will offer different
capabilities. The type of data and protection really falls on your company’s security policies.

One kind of database security is database administrator accounts and authorized user accounts.
These accounts can have special sign-on procedures with encryption to protect private data while
logging in. This is perfect for HIPAA compliant offices, or anyone with sensitive information to
protect. The database will also likely have secure data sharing for employees and end users. 
Data Protection

Data protection is any kind of feature in a place to protect your data. This can include data
backup and disaster recovery. Many cloud databases will backup your database in different
locations so that in case your data is stolen, ransomed, or corrupted, you will have that extra
copy. 

For on-premises databases, the responsibility of backing up can sometimes fall on you. If your
team needs on-premise only databases because you don’t want anything on a cloud platform,
then making sure this feature is there is integral. 

Disaster recovery is also important for recovering data that becomes corrupted from a freak
storm or server crash. This can be a feature of on-premise and cloud-based services. It’s
especially important in case disaster strikes while you are working on important projects. 

These protection features are important for companies that will rely heavily on a DBMS. It could
be your contacts, your research, presentations, documents, anything important you plan to store
in a database.

Data Integrity

Data integrity is the result of data protection and security succeeding. It can also be the result of
minimizing data inconsistency. What integrity means in this case is the data itself is accurate and
consistent. It hasn’t been tampered with, lost, or inaccurately entered. DBMS can be designed for
data consistency and filter out human errors, and make it easier for you to find inconsistencies.

With data integrity features in DBMS you minimize further errors. Any medical office would
need completely accurate patient information, and any research would benefit from correctly
spelled concepts.

Data Speed
When your data is organized and structured, it can be easier and faster to access answers to
questions. With relational databases you can query the exact information you want. You can also
find related information to what you’re looking for and answer even more needs. Users can
essentially filter and search a DBMS, and in turn find everything you need faster. 

This kind of feature is ideal for company research teams, advertising teams pulling company
reports for presentations, sorting contact lists etc. Anyone can benefit from faster access to
information.

Data Redundancy

DBMS can be designed to help filter out or reduce redundancies in your data. Redundant data
would be duplicates. This can be fixed with single database systems in DBMS or centralized
DBMS. Traditional file management systems would mainly require you to filter out duplicates
yourself.

Anyone that needs to pull forms, reports, and mailing lists can benefit this. That way you won’t
have pages with duplicate information. This feature can also minimize your database size and
increase your speed by filtering out duplicates. 

Through the benefits of a DBMS, you can find that workflows are faster and more efficient.
Decision making will be improved. When your database is more organized it will be easier to
access information needed to make better decisions. If you can’t access everything related to a
topic, you may not think of that pertinent information.

Question 3 (a). Briefly Explain any five (5) technology and business trends that have
enhanced the role of information systems in today’s competitive business environment. (10
Marks)

1.INTERNET GROWTH AND TECHNOLOGY CONVERGENCE

The growth of the internet has led to the easy access and transmission of information globally
and thus adoption of e-business by many organizations. This has affected the relationship
between businesses, and between businesses and their customers.

Business to business

Electronic data exchange: exchange of standard transactions such as invoices, purchase orders.

Private industrial networks: links a firm to its suppliers, distributors and other key business
partners for efficient supply chain management

Net marketplaces (e-hubs): online marketplaces where multiple buyers can purchase from
multiple sellers.

Business to consumer

Sale of products and services directly through the web

Advertising to consumers and receiving customer complaints. Done through email or social
media platforms such as Facebook, Twitter.

Technological convergence is the process by which telecommunications, information technology

and the media, sectors that originally operated largely independent of one another, are growing
together. Such as telephone networks and computer networks converging into a single digital
network using internet standards. For example the use of smartphones which are capable of
making calls and accessing the internet has created new opportunities.

2.TRANSFORMATION OF THE BUSINESS ENTERPRISE

Business Transformation is a change management strategy which has the aim to align People,
Process and Technology initiatives of a company more closely with its business strategy and
vision. In turn this helps to support and innovate new business strategies.

An enterprise transformation looks at cost, to be sure and also puts an equally strong focus on

generating revenue, thus enabling companies to grow their top- and bottom-line results
simultaneously. It affects customers by redefining the company’s value proposition in terms of
products and services. It also fundamentally changes how the entire business—not just a single
function—operates to deliver value. Other hallmarks of a successful enterprise transformation
include committed, involved senior leadership; strong alignment with the company’s overall
strategic priorities; and funding plans that reach across business and organizational boundaries.

Transformation Triggers.

Sometimes, the need for an enterprise transformation is crystal clear to everyone, from the CEO
to the front line. More often, however, the need for major change is less evident. In such cases,
leaders need to understand what triggers a transformation and how it can affect a business or
industry.

3.GLOBALIZATION

Globalization is the process of international integration arising from the interchange of world
views, products, ideas and other aspects of culture. Advances in transportation and
telecommunications infrastructure, including the rise of the telegraph and its posterity the
Internet, are major factors in globalization.

Information Technology (IT) is a driving factor in the process of globalization. Improvements in

the early 1990s in computer hardware, software, and telecommunications have caused
widespread improvements in access to information and economic potential IT provides the
communication network that facilitates the expansion of products, ideas and resources among
nations and among people regardless of geographic location.

Creating efficient and effective channels to exchange information, IT has been the catalyst for
global integration.

Products based upon or enhanced by information technology are used in nearly every aspect of
life in contemporary industrial societies.Today, of course, the Internet and the Web have
transformed commerce, creating entirely new ways for retailers and their customers to make
transactions, for businesses to manage the flow of production inputs and market products, and for
job seekers and job-recruiters to find each other.The news industry has also been dramatically
transformed by the emergence of numerous Internet-enabled news-gathering and dissemination
outlets.
Websites, chat rooms, instant messaging systems, e-mail, electronic bulletin boards and other
Internet-based communication systems have made it much easier for people with common
interests to find each other, exchange information, and collaborate with each other.

Education at all levels is being transformed by communication, educational, and presentational

software and by Websites and other sources of information and analysis on the Intern.

4.EMERGENCE OF THE DIGITAL FIRM

A digital firm is one in which nearly all of the organization’s significant business relationships
with customers, suppliers, and employees are digitally enabled and mediated” Core business
processes are accomplished through digital networks spanning the entire organization or linking
multiple organizations.

Characteristics of a digital firm:

 Significant business relationships are digitally enabled and mediated

 Core business processes are accomplished through digital networks and span the entire
organization
 Key corporate assets are managed digitally
 Internal and external environments are quickly recognized and dealt with

The number one reason digital firms experience greater opportunities for success and profits is
because they view information technology as the “core of the business and the primary
management tool.”

In today’s world, information systems do matter because of the increased need for capital
management, the increased productivity that arises from their use, the strategic opportunities and
advantages they offer, and because they are becoming the foundation of doing business around
the world.

5. CLOUD COMPUTING:

Cloud computing has become a popular technology trend in recent years, providing businesses
with more flexible and scalable IT infrastructure. It allows businesses to store data and run
applications on remote servers, enabling employees to access data and applications from
anywhere with an internet connection.

(b). Describe any three (3) kinds of systems that support the decision makers and the types
of decisions they make.

Management Information systems can support a variety of management decision-making

levels and decisions. These include the three levels of management activity (senior, middle, and
operational decision making) and three types of decision structures (structured, semi structured,
and unstructured). Information systems provide a wide range of information products to support
these types of decisions at all levels of the organization

• Decision-support systems: combine analytical models with operational data for middle
managers making semi structured decisions. Decision support systems are interactive, computer-
based information systems that use DSS software and a model base and database to provide
information tailored to support semi structured and unstructured decisions faced by individual
managers. They are designed to use a decision maker’s own insights and judgments in an ad hoc,
interactive, analytical modeling process leading to a specific decision

• Executive support systems: includes external as well internal information for senior managers
who generally make unstructured decisions. Executive Support Systems (ESS) supply the
necessary tools to senior management. The decisions at this level of the company are usually
never structured and could be described as "educated guesses.

(ii) Executives often face information overload and must be able to separate the chaff from the
wheat in order to make the right decision. On the other hand, if the information they have is not
detailed enough, they may not be able to make the best decision. An ESS can supply the
summarized information executives need and yet provide the opportunity to drill down to more
detail if necessary.