infomation technology the internet and you chapter 10

This document may not be copied, scanned, duplicated, forwarded, distributed, or posted on a website, in whole or part.... Organizational Information Flow  Information flows vertically

© 2017 by McGraw-Hill Education This proprietary material solely for authorized instructor use Not authorized for sale or distribution in any manner This document may not be copied, scanned, duplicated, forwarded, distributed, or posted on a website, in whole or part.

1 Explain the functional view of an organization and describe each function.

2 Describe the management levels and the informational needs for each level in an

organization.

3 Describe how information flows within an organization.

4 Describe computer-based information systems.

5 Distinguish among a transaction processing system, a management information system, a

decision support system, and an executive support system.

6 Distinguish between office automation systems and knowledge work systems.

7 Explain the difference between data workers and knowledge workers.

8 Define expert systems and knowledge bases.

Organizational Information Flow

 Information flows vertically and horizontally throughout an organization

 Information systems support the natural flow of information within an organization’s structure

 Information systems can be broken down into one of five different functional areas, a management level and / or information flow.

© 2017 by McGraw-Hill Education This proprietary material solely for authorized instructor use Not authorized for sale or distribution in any manner This document may not be copied, scanned, duplicated, forwarded, distributed, or posted on a website, in whole or part.

Five Functions of an Organization

© 2017 by McGraw-Hill Education This proprietary material solely for authorized instructor use Not authorized for sale or distribution in any manner This document may not be copied, scanned, duplicated, forwarded, distributed, or posted on a website, in whole or part.

Information Flow Levels

Each level of management has different information needs

 Require information flows from different levels from different directions

 Top Managerial-Level Information Flow

 Vertical, horizontal, and external

 Middle Managerial-Level Information Flow

 Vertical and horizontal

 Supervisory-Level Information Flow

 Primarily vertical

© 2017 by McGraw-Hill Education This proprietary material solely for authorized instructor use Not authorized for sale or distribution in any manner This document may not be copied, scanned, duplicated, forwarded, distributed, or posted on a website, in whole or part.

Summary of Computer-Based Systems

© 2017 by McGraw-Hill Education This proprietary material solely for authorized instructor use Not authorized for sale or distribution in any manner This document may not be copied, scanned, duplicated, forwarded, distributed, or posted on a website, in whole or part.

Transaction Processing Systems (TPS)

Helps organizations keep track of routine operations and records these events in a database

 Records day-to-day transactions in a database

 Also called data processing systems (DPS)

 One of the most essential uses of a TPS is

in Accounting

 Sales order processing

 Records the customer requests

© 2017 by McGraw-Hill Education This proprietary material solely for authorized instructor use Not authorized for sale or distribution in any manner This document may not be copied, scanned, duplicated, forwarded, distributed, or posted on a website, in whole or part.

Management Information Systems (MIS)

Computer-based information systems that:

 Produce standardized reports to support decision-making by middle managers

 Integrate data and summarizes details from databases in a structured form

 Produce predetermined reports

 Periodic reports – produced at regular intervals

 Exception reports – call attention to unusual events

 Demand reports – produced on request

Decision Support Systems (DSS)

 Flexible tool for analyzing data for decision-making purposes

 Enables managers to get answers to unexpected and generally non-recurring problems

 Reports do not have a fixed format

 Microsoft Access is often used to provide an easy front-end interface

 Consists of four parts:

 User – anyone who has to make decisions

 System software – operating system

 Data - both internal and external

Give the DSS its analytical capabilities

Three basic types of decision models

 Strategic models

 Assists top level managers in long-range planning

 Tactical models

 Assists middle-managers control the work

 Financial and sales promotion planning

 Operational models

 Assists lower-level managers accomplish the daily activities and objectives

Executive Support Systems (ESS)

 Designed for top management

 Sophisticated software for presenting, summarizing, and analyzing data, but specifically designed to be easy-to-use

 Provides immediate access to a company's key performance indicators

© 2017 by McGraw-Hill Education This proprietary material solely for authorized instructor use Not authorized for sale or distribution in any manner This document may not be copied, scanned, duplicated, forwarded, distributed, or posted on a website, in whole or part.

Other Information Systems

 Information workers distribute, communicate, and create information

 Knowledge work systems (KWSs) create information in their areas of expertise

 Used by OAS systems

 Use specialized systems, such as CAD/CAM

 Contains facts and rules to relate these facts distilled from a human expert

 Systems developed in:

 Medicine

 Geology

 Architecture

 Nature

 Strong leadership and excellent communications skills

 Information systems managers can expect to earn from

$95,000 to $125,000 annually

A Look to the Future ~ IBM’s Watson

• The Ultimate Information-Finding Machine

• As information amounts increase, it is more difficult to keep up

• Can Watson save us?

© 2017 by McGraw-Hill Education This proprietary material solely for authorized instructor use Not authorized for sale or distribution in any manner This document may not be copied, scanned, duplicated, forwarded, distributed, or posted on a website, in whole or part.

Open-Ended Questions (Page 1 of 2)

1 Name and discuss the five common functions of most organizations.

2 Discuss the roles of the three kinds of management in a corporation.

3 What are the four most common computer-based information systems?

Open-Ended Questions (Page 2 of 2)

4 Describe the different reports and their roles in managerial decision making.

5 What is the difference between an office automation system and a knowledge work system?