FUNDAMENTALS OF INFORMATION SYSTEM.

An information system (IS) is an organized combination of people, hardware, software,

communications network, and data resources that collects, transforms and disseminates
information in an organization and provide feedback to meet an objective.

Information systems consist of people resources (end users and IS specialists), hardware
resources (machines and media), software (programs and procedures), data (data and knowledge
bases), and networks (communications media and network support) to perform input, processing,
output, storage, and control activities that convert data resources into information products.

Examples of an information system include ATMs, Reservation systems etc

Data: raw facts and pieces of information with no context, it can be quantitative or qualitative.
These are information that has been translated into a form efficient for movement or processing.

Information: collection of facts organized in such a way that they have value beyond the facts
themselves. Information should be valuable

Characteristics of Valuable information

a) Accessible; information should be accessible to rightful users and in correct format.

b) Accurate; information should be error free
c) Complete; should contain all information that is important.
d) Economical; should be relatively economical to produce. Decision makers must always
balance the value of information with the cost of production.
e) Flexible; information can be used for variety of purposes
f) Relevant; information is to be important
g) Reliable; the information processed has to be dependable, time tested and sure.
h) Secure; the information that has been processed and needs to be stored has to be certain.
i) Simple; the data that has been processed to information has to be unsophisticated or
uncomplicated.
j) Timely; the information to be valuable has to uniformly well.
k) Verifiable; the information has to be accountable and adoptable.
Components of an Information System

An information system is composed of;

Inputs

In information systems, input is the activity of gathering and capturing raw data to an
information system.

Processing mechanism

In information systems, processing means converting or transforming data into useful outputs.
Processing can involve making calculations, comparing data and taking alternative actions, and
storing data for future use. Processing can be done manually or by computer

Output

In information systems, output involves producing useful information, usually in the form of
documents and reports. Outputs can include paychecks for employees, reports for managers, and
information supplied to stockholders, banks, government agencies, and other groups.

Feedback

In information systems, feedback is information from the system that is used to make changes to
input or processing activities. It is important for decision making process.

Elements of an Information System

An information system essentially made up of five components hardware, software, database,

network and people. These components integrate to perform input, process, output, feedback
and control.

People:

People are essential to an information system, these people resources include end users and IS
specialists. End users (also called users or clients) are people who use an information system or
the information it produces. They can be accountants, salespersons, engineers, clerks, customers,
or managers. Most of us are information system end users.
IS Specialists are people who develop and operate information systems. They include systems
analysts, programmers, computer operators, and other managerial technical, and clerical IS
personnel. Briefly, systems analysts design information systems based on the information
requirements of end uses, programmers prepare computer programs based on the specifications
of systems analysts, and computer operators operate large computer systems.

it makes the people more productive. People are the most important element in most computer-
based information systems. They make the difference between success and failure for most
organizations. Information systems personnel include all the people who manage, run, program,
and maintain the system, including the CIO, who manages the IS department. Users are people
who work with information systems to get results.

Software

There are two kinds of software, system software enables the application software to interact
with the hardware. Application software is either basic or specialized for running of tasks.

The system software is an operating system that manages the hardware, program files, and other
resources while offering the user to control the PC using GUI. Application software is designed
to manage particular tasks by the users. In short, system software makes the hardware usable
while application software handles specific tasks.

Hardware

This consists of the physical equipment, it is controlled by software and processes data to create
information. Consists of the physical components of a computer that perform the input,
processing, storage, and output activities of the computer. Input devices include keyboards, mice,
and other pointing devices; automatic scanning devices; and equipment that can read magnetic
ink characters. Processing devices include computer chips that contain the central processing unit
and main memory. The hardware cost has decreased rapidly while its speed and storage capacity
has increased significantly. However, the impact of the use of hardware on the environment is a
huge concern today. Nowadays, storage services are offered from the cloud, which can be
accessed from telecommunications networks.
Procedures

Procedures provides rules and guidelines for people to follow when handling the software,
hardware and data in an information system. It can be found in manuals by manufacturers or
specialists.

Procedures for using, operating, and maintaining an information system are part of its
documentation. For example, procedures need to be established to run a payroll program,
including when to run it, who is authorized to run it, and who has access to the output. In the
autonomous computing initiative, data centres are increasingly run automatically, with the
procedures embedded in the software that controls those centres.

Database

These are types of data that is used in the information system, they include documents,
worksheets etc

Types of Information Systems

Transaction Processing System (TPS): Transaction Processing System are information system
that processes data resulting from the occurrences of business transactions. ...

Management Information System (MIS): ...

Decision Support System (DSS): ...

Experts System:

Management Information System

A Management Information System (MIS) studies the people, technology, organization, and the
relationships between them.

Management Information Systems can provide the most suitable information that can be used by
an institution’s management to deduce investment strategies. These systems emphasize service
through technology and therefore, data analysis, project management is at their very core.
The various types of management information systems can produce reports for specific business
needs. Some examples of these reports include summary reports, ad-hoc reports, execution
reports, etc.

Management information systems can also be designed specifically for the Human Resources,
Sales or any other suitable department of a business.

The management information system, due to its ability to deliver factual reports with ease and
speed makes a business competent enough to confidently handle sudden market changes.

Another benefit of this type of information system is that it allows the business player including
the staff and managers to analyze the reports on their end. Post-analysing, businesses can set
their short long-term goals and prioritize them accordingly.

Management information systems can also help businesses beat the competition by levelling up
their ability to match competitive challenges in the market. Analyzing huge amounts of data
helps in devising plans to beat the competition and capture the market.