INFORMATION REPORTING SYSTEM AND EXECUTIVE

INFORMATION SYSTEM

INTRODUCTION

"The actions that are taken to create an information system that solves an
organizational problem are called system development".[9] These include system analysis,
system design, computer programming/implementation, testing, conversion, production and
finally maintenance. Conversion is the process of changing or converting the old system into
the new. This can be done in three basic ways, though newer methods (prototyping, Extreme
Programming, JAD, etc.) are replacing these traditional conversion methods in many cases:

Direct cut The new system replaces the old at an appointed time.
Pilot study - Introducing the new system to a small portion of the operation to
see how it fares. If good then the new system expands to the rest of the company.

Complex process whereby computer based information systems are developed and
maintained Application Software Result of systems analysis and design. Designed to support
specific organizational functions or processes. Software engineering processes have been
developed to assist in analysis and design. Methodologies Comprehensive, multi-step
approaches to systems development. Techniques Processes that are followed to ensure that
work is well thought-out, complete and comprehensible to others on the project team. Tools
Computer programs to assist in application of techniques to the analysis and design process.

A method used by companies to create and maintain systems that perform basic
business functions Main goal is to improve employee efficiency by applying software
solutions to key business tasks A structured approach must be used in order to ensure success.
Systems Analyst performs analysis and design based upon: Understanding of organizations
objectives, structure and processes Knowledge of how to exploit information technology for
advantage. An information system (IS) is a system composed of people and computers that
processes or interprets information. The term is also sometimes used in more restricted senses
to refer to only the software used to run a computerized database or to refer to only a
computer system.
 Information systems is an academic study of the complementary networks of
hardware and software that people and organizations use to collect, filter, process, create and
also distribute data. Any specific information system aims to support operations, management
and decision making. An information system is the information and communication
technology (ICT) that an organization uses, and also the way in which people interact with
this technology in support of business processes. Some authors make a clear distinction
between information systems, computer systems, and business processes. Information
systems typically include an ICT component but are not purely concerned with ICT, focusing
instead on the end use of information technology. Information systems are also different from
business processes. Information systems help to control the performance of business
processes.

Alter argues for advantages of viewing an information system as a special type of

work system. A work system is a system in which humans or machines perform processes
and activities using resources to produce specific products or services for customers. An
information system is a work system whose activities are devoted to capturing, transmitting,
storing, retrieving, manipulating and displaying information. As such, information systems
inter-relate with data systems on the one hand and activity systems on the other. An
information system is a form of communication system in which data represent and are
processed as a form of social memory. An information system can also be considered a semi-
formal language which supports human decision making and action. Information systems are
the primary focus of study for organizational informatics

An executive information system (EIS) is a type of management information system

that facilitates and supports senior executive information and decision-making needs. It
provides easy access to internal and external information relevant to organizational goals. It is
commonly considered a specialized form of decision support system (DSS). EIS emphasizes
graphical displays and easy-to-use user interfaces. They offer strong reporting and drill-down
capabilities. In general, EIS are enterprise-wide DSS that help top-level executives analyze,
compare, and highlight trends in important variables so that they can monitor performance
and identify opportunities and problems. EIS and data warehousing technologies are
converging in the marketplace. In recent years, the term EIS has lost popularity in favor of
business intelligence (with the sub areas of reporting, analytics, and digital dashboards).
History

Numerous legacy information systems still exist today that are continuously updated
to promote ethnographic approaches, to ensure data integrity, and to improve the social
effectiveness & efficiency of the whole process. In general, information systems are focused
upon processing information within organizations, especially within business enterprises, and
sharing the benefits with modern society.

Overview

Silver et al. (1995) provided two views on IS that includes software, hardware, data,
people, and procedures. Zheng provided another system view of information system which
also adds processes and essential system elements like environment, boundary, purpose, and
interactions. The Association for Computing Machinery defines "Information systems
specialists [as] focus[ing] on integrating information technology solutions and business
processes to meet the information needs of businesses and other enterprises." There are
various types of information systems, for example: transaction processing systems, decision
support systems, knowledge management systems, learning management systems, database
management systems, and office information systems.

Critical to most information systems are information technologies, which are typically
designed to enable humans to perform tasks for which the human brain is not well suited,
such as: handling large amounts of information, performing complex calculations, and
controlling many simultaneous processes. Information technologies are a very important and
malleable resource available to executives. Many companies have created a position of Chief
Information Officer (CIO) that sits on the executive board with the Chief Executive Officer
(CEO), Chief Financial Officer (CFO), Chief Operating Officer (COO) and Chief Technical
Officer (CTO). The CTO may also serve as CIO [Chief Information Officer], and vice versa.
The Chief Information Security Officer (CISO) focuses on information security management.
Components

The 6 components that must come together in order to produce an information system
are:

1. Hardware: The term hardware refers to machinery. This category includes the computer
itself, which is often referred to as the central processing unit (CPU), and all of its support
equipments. Among the support equipments are input and output devices, storage devices and
communications devices.

2. Software: The term software refers to computer programs and the manuals (if any) that
support them. Computer programs are machine-readable instructions that direct the circuitry
within the hardware parts of the system to function in ways that produce useful information
from data. Programs are generally stored on some input / output medium, often a disk or tape.

3. Data: Data are facts that are used by programs to produce useful information. Like
programs, data are generally stored in machine-readable form on disk or tape until the
computer needs them.

4. Procedures: Procedures are the policies that govern the operation of a computer system.
"Procedures are to people what software is to hardware" is a common analogy that is used to
illustrate the role of procedures in a system.

5. People: Every system needs people if it is to be useful. Often the most over-looked element
of the system are the people, probably the component that most influence the success or
failure of information systems.

6. Feedback: it is another component of the IS, that defines that an IS may be provided with a
feedback.

Types of information system

The "classic" view of Information systems found in the textbooks in the 1980s was of
a pyramid of systems that reflected the hierarchy of the organization, usually transaction
processing systems at the bottom of the pyramid, followed by management information
systems, decision support systems, and ending with executive information systems at the top.
 Although the pyramid model remains useful, since it was first formulated a number of
new technologies have been developed and new categories of information systems have
emerged, some of which no longer fit easily into the original pyramid model. Some examples
of such systems are:

data warehouses
enterprise resource planning
enterprise systems
expert systems
search engines
geographic information system
global information system
office automation.

A computer(-based) information system is essentially an IS using computer

technology to carry out some or all of its planned tasks. The basic components of computer
based information system are:

Hardware- these are the devices like the monitor, processor, printer and keyboard, all
of which work together to accept, process, show data and information.
Software- are the programs that allow the hardware to process the data.
Databases- are the gathering of associated files or tables containing related data.
Networks- are a connecting system that allows diverse computers to distribute
resources.
Procedures- are the commands for combining the components above to process
information and produce the preferred output.

The first four components (hardware, software, database, and network) make up what
is known as the information technology platform. Information technology workers could then
use these components to create information systems that watch over safety measures, risk and
the management of data. These actions are known as information technology services.
Certain information systems support parts of organizations, others support entire
organizations, and still others, support groups of organizations. Recall that each department
or functional area within an organization has its own collection of application programs, or
information systems.
 These functional area information systems (FAIS) are supporting pillars for more
general IS namely, business intelligence systems and dashboards. As the name suggest, each
FAIS support a particular function are within the organization, e.g.: accounting IS, finance IS,
production/operation management (POM) IS, marketing IS, and human resources IS. In
finance and accounting, managers use IT systems to forecast revenues and business activity,
to determine the best sources and uses of funds, and to perform audits to ensure that the
organization is fundamentally sound and that all financial reports and documents are
accurate. Other types of organizational information systems are FAIS, Transaction processing
systems, enterprise resource planning, office automation system, management information
system, decision support system, expert system, executive dashboard, supply chain
management system, and electronic commerce system. Dashboards are a special form of IS
that support all managers of the organization.

They provide rapid access to timely information and direct access to structured
information in the form of reports. Expert systems attempt to duplicate the work of human
experts by applying reasoning capabilities, knowledge, and expertise within a specific
domain. Traditionally, executive information systems were mainframe computer-based
programs. The purpose was to package a companys data and to provide sales performance or
market research statistics for decision makers, such as financial officers, marketing directors,
and chief executive officers, who were not necessarily well acquainted with computers. The
objective was to develop computer applications that highlighted information to satisfy senior
executives needs. Typically, an EIS provides only data that supported executive level
decisions, not all company data.

Today, the application of EIS is not only in typical corporate hierarchies, but also at
personal computers on a local area network. EIS now cross computer hardware platforms and
integrate information stored on mainframes, personal computer systems, and minicomputers.
As some client service companies adopt the latest enterprise information systems, employees
can use their personal computers to get access to the companys data and identify information
relevant to their decision making. This arrangement lets all users customize their access to
company data, and provides relevant information to upper and lower corporate levels.
Components

EIS components can typically be classified as:

Hardware
Software
User interface
Telecommunications

Hardware

When talking about computer hardware for an EIS environment, we should focus on
the hardware that meet the executives needs. The executive must be put first and the
executives needs must be defined before the hardware can be selected. The basic hardware
needed for a typical EIS includes four components:

1. Input data-entry devices. These devices allow the executive to enter, verify, and
update data immediately
2. The central processing unit (CPU), which is the important because it controls the
other computer system components
3. Data storage files. The executive can use this part to save useful business information,
and this part also help the executive to search historical business information easily
4. Output devices, which provide a visual or permanent record for the executive to save
or read. This device refers to the visual output device such as monitor or printer

In addition, with the advent of local area networks (LAN), several EIS products for
networked workstations became available. These systems require less support and less
expensive computer hardware. They also increase EIS information access to more company
users.
Software

Choosing the appropriate software is vital to an effective EIS.[citation needed] Therefore,

the software components and how they integrate the data into one system are important. A
typical EIS includes four software components:

1. Text-handling softwaredocuments are typically text-based

2. Databaseheterogeneous databases on a range of vendor-specific and open computer
platforms help executives access both internal and external data
3. Graphic basegraphics can turn volumes of text and statistics into visual information
for executives. Typical graphic types are: time series charts, scatter diagrams, maps,
motion graphics, sequence charts, and comparison-oriented graphs (i.e., bar charts)
4. Model baseEIS models contain routine and special statistical, financial, and other
quantitative analysis

User interface

An EIS must be efficient to retrieve relevant data for decision makers, so the user
interface is very important. Several types of interfaces can be available to the EIS structure,
such as scheduled reports, questions/answers, menu driven, command language, natural
language, and input/output.

Telecommunication

As decentralizing is becoming the current trend in companies, telecommunications

will play a pivotal role in networked information systems. Transmitting data from one place
to another has become crucial for establishing a reliable network. In addition,
telecommunications within an EIS can accelerate the need for access to distributed data.

Applications

EIS helps executives find data according to user-defined criteria and promote
information-based insight and understanding. Unlike a traditional management information
system presentation, EIS can distinguish between vital and seldom-used data, and track
different key critical activities for executives, both which are helpful in evaluating if the
company is meeting its corporate objectives.
 After realizing its advantages, people have applied EIS in many areas, especially, in
manufacturing, marketing, and finance areas.

Computer-based Information System

An Information System is an organized combination of people, hardware, software,

communication networks and the data resources that collects, transforms and disseminates
information in a organization . Computer-based Information System

CONLCUSION

Information systems have to be designed to meet the way in which managers tend to
work. Marketing information systems are intended to support management decision making .
Information Systems are indispensable to the business, industry, academia and any
organization to meet the future challenges. A set of procedures and data sources used by
marketing managers to sift information from the environment that they can use in their
decision making. The future of executive info systems is not bound by mainframe computer
systems. This trend free executives from learning different computer operating systems, and
substantially decreases implementation costs. Because this trend includes using existing
software applications, executives don't need to learn a new or special language for the EIS
package.

REFERENCES

http://www.authorstream.com/Presentation/jerryjohnmbapgdm-1228644-
information-reporting-system/
http://en.wikipedia.org/wiki/Management_information_system
http://en.wikipedia.org/wiki/Information_system
http://en.wikipedia.org/wiki/Executive_information_system