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    CamScanner 03-07-2024 12.06

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    Basic concepts: An Introduction to Business Information Systems What is a system’ @ A system can be defined as a collection of interelated components that work together towards a collective goal. FROST oles ya dint Ohas MALY 52 O62 926 Le yO FN cp fl) Of gan ys eo Ils @ The function of a system Is to recelve inputs and transform these into outputs. AES Wok 9 SIEM SL Oil Oday Business systems offen have multiple goals such as profit or improving the quality of a product. The overall goal of a business is often described within a mission statement. ‘ Amission statement is a statement intended to encapsulate the overall goal(s) of an organization. In transforming data into information through using the previous model (Figure 2.1), it can be said that data are used as the input for a process that creates information as an output. Sawald Solel SL HY gas 0939 oly OF /LE 9 GaHS! However, this model illustrates a system that is essentially static. In static systems, the performance of the system cannot be adjusted and there are no checks to ensure that it works correctly. However, in order to monitor the performance of the system, some kind of feedback mechanism is required. 2. In addition, control must be exerted to correct any problems that occur and ensure that the system Is fulfilling its purpose SS gp 9 gules a 9 pli SUAS Oit Sls Olas SLOgS9 ofl efude g plfll slat act ghisD ef» OH ORY ced Slt eh pean hak oad Goyin eh y BAN slat gang g)Y Scanned with CamScanner Ageneric model of a system X If these additional components are added to the basic model of the system, it can be illustrated as shown in Figure 2.2. X The model shown in the diagram is sometimes referred fo as an adaptive system, in order to signify that it has the ability to monitor and regulate its own performance X Adaptive system is a system with the ability to monitor and regulate its own performance. 0812 ily Bp 1S) ,B) OS plBS 90 gyda lft Systems theory & @ “Systems theory is the study of the behavior and interactions within and between systems. @ Systems theory provides a powerful means of analyzing and improving business processes. I can be applied to a wide variely of different areas and is fundamental to gaining a good understanding of the managerial application of BIS. Wig Ld y GaP Sts SSL y cIghal Gul > o- phill Oy A generic model of a system A generic system includes five components: Input, process, output, feedback, and control. Each of these components can now be described in more detail. thy pail cle ySH 9 Gadel 9 SYS 61 LO 61} SLOM pl I> pIBIM ple gige 1) Input; the raw materials for a process that will produce a particular output. S Inputs can take many forms and are not necessarily purely physical in nature. Examples of inputs might include data, knowledge, raw materials, machinery, and premises. SE SSS PAD eM pH aIplostjbe Days st Scanned with CamScanner 2) Process: inputs are transformed into outputs through a transformation process. SL Sb YEH dyg? Gas ¢- Sasi! 3) Output: a product that is created by the system. } the outputs produced by a system can take many forms. ‘& Examples might include Information, products, and services PUB (OLS oN SUD gb DSL SHI 4) Feedback mechanism: provides information on the performance of the system which can be used to adjust its behavior. '& sometimes known as a ‘feedback loop’ ‘S Measurements were taken on a production line, or customer feedback on a website are examples of feedback mechanisms. PBI slat oo Slyle 99 ob ah nal! 5) Control mechanism: if alterations are needed to the system, adjustments are made by a control mechanism. PABAN sat cable Shaul SlryLeb Oras MMI 96 )h5 «0 AAI OT Note that @ In general, control Is exerted as the result of feedback information regarding the performance of the system. ® The function of the control component is to ensure that the system is working to fulfil its objective (which Is normally the creation of a specific output). © Control tends to be exerted by adjusting the process and input components of the system until the correct output is achieved Other system characteristics 1- System objective: @ The components of a system work towards a collective goal. This Is known as the jem’ jive. © the objective of a system is normally very specific and can offen be expressed in a single sentence. Scanned with CamScanner © As an example, the objective of a car might be expressed simply as to transport people and goods to a specified location. @ System objective; All components of a system should be related to one another by a common objective. 33 cod LES esas 2 iid PLAN SUG JS Lup 9 pIBN 0 OS og) (Dos plBil) eiLas Oypis ¢ SLD er ure 2.3 Business information systems as an organizational control mechani Sheen pre eee Informatign system 2- ENVIRNMENT: Systems do not operate in complete isolation: © They are contained within an environment that contains other systems and external agencies. 3- Boundary: The scope of a system Is defined by its boundary. 'S Everything outside of the boundary is part of the system's environment, everything within the boundary forms part of the system itself. The boundary also marks the interlace between a system and its environment. 4- The interface describes exchanges between a system and the environment or other systems. OSS SIGs 9 OG Sabil gw Islaitin dg YON}Oed Wg Vek Gv GAPE Vg' Dass gb as Scanned with CamScanner Environment _ |The surroundings of a system, are beyond ils boundary. The interface between system and its environment. Interface Defines exchanges between a system and its environment, or other systems. - Subsystems: Systems can be complex and can be made up of other smaller systems: Suprasystems Systems composed of one or more subsystems are sometimes eterred to as suprasystems, Gufil ef SUSYSHEMS pDuamiy OFF 4429 OaBY quai Hl plfasl JS glad y Saber Osh GT? Gaps ose Note that: © The objective of a subsystem is to support the larger objective of the supra system. © For an organisation, the subsystems such as marketing and finance would lie within the system's boundary, while the following elements would lie outside as part of the & business environment: @ Customers, sales channel/distributors, suppliers, competitors, partners, government and legislation, the economy. 7) Open systems: An organisation will interact with all these elements which are beyond the system boundary in the environment. Systems that have a high degree of interaction with the environment are called open systems. + Note that: Open systems are influenced by changes in the environment and can also influence the environment itself. Most information systems are open systems because they accept inputs and react to them. SIS day OLS OS gio Disa g Waid Di AE yoy HF Alt y dial gd Sigil, shiy Os yd OAS Oey coh aasiy 9 S15 285 jay Owe Soy 8) Closed systems: No or limited interaction occurs with the environment. Kogad angle 9h Obadl gp SEU eft asi efiw OSL OABSY Scanned with CamScanner Note th ® Subsystems in an information system interact by exchanging information, This is known as the interface between systems. For information systems and business systems, having clearly defined interfaces is important to an efficient organisation. For example, soles orders must be passed from the sales subsystem to the finance subsystem and the distribution subsystem in a clear, repeatable way. If this does not happen orders may be lost or delayed and customer service will be atfected The linkage or coupling between subsystems varies: @ Coupling defines how closely linked different subsystems are. Loose coupling means that subsystems are not closely linked. G Close-coupled systems are highly dependent on each other. @ Itis a fundamental principle of systems theory and BIS design that subsystems should be loosely coupled. @ Systems or subsystems that are highly dependent on one another are known as close-coupled systems. In such cases, the outpuls of one system are the direct inputs of another. % Coupling. Defines how closely inked different subsystems are. % Loose coupling means that the modules pass only the minimum of information between them and do not share data and program code. X Close-coupled systems: Systems or subsystems that are highly dependent on one ‘another are known as close-coupled systems. Decoupled tems (or subs) 1s)_are, less dependent on one another than coupled systems and so are more able to deal with unexpected situations or events. © Such systems tend to have higher levels of autonomy, being allowed more freedom to plan and control their activities. @ Although decoupled systems are more flexible and adaptive than close-coupled systems, this very flexibility increases the possibility that inefficiencies might occur. @ The traditional method of production where the materials held ‘in-hand’ as inventory is decoupled. In this arrangement, it is not necessary for production to match sales 0 closely, but this results in higher costs of holding inventory. 9 19 cs Wins & nin Oy 851 OufY gl lighy WD g O16 HN OE ey 01,9 9 DUS)! g allio cae g isn gin Oli 6 ill BABY ol lg lab y quad El Oyj gine Slay BoSiniy 1S DBs § Oy) 5 ghOl ONKin! Wis Lup PS OLAS aby DIAN gud! ei 0 BIAS y fy! bs pe dar alt lt Sip 9 Slaip 5 Scanned with CamScanner known as subsystems. (subsystems). | Open system _| Interaction occurs with elements beyond the system boundary. Closed system | No or limited interaction occurs with the environment. First example on close-coupled system: © Consider the way in which an examination system might operate. © The letter that confirms a student's grade could be said fo be the result of two subsystems working together very closely. One subsystem ensures that all examination scripts ore marked and that a list of final resulls is produced. © The second subsystem produces the letter of confirmation as its output. However, the letter of confirmation can only be produced once all marks have been confirmed and recorded. Thus, the output of the marking subsystem becomes the Input to the subsystem that creates the confirmation letter Second example on close-coupled systems: @ The ‘just-in-time’ method used by a number of manufacturing organisations also illustrates a close-coupled system well. @ This method involves holding as few parts or raw materials as possible. In order to ensure that production is not halted, parts must be supplied ‘just in time’ to be used in the manufacturing process. © Unless the manufacturing organisation has very close links with its suppliers, this approach cannot work effectively ‘Systems are hierarchic: @ systems are made up of subsystems that may themselves be made up of other subsystems. @ Fromthis, one should realize that the parts of a system are dependent on one another in some way. @ his interdependence means that a change to one part of a system leads to or results from changes to one or more other parts. (ian g saint LOS 9 als s}¢E mis 6}¢-d5 ol US)>1 UD os 9 Gwe) pi WF Lyin MAU ol

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