Information Systems in Organisations: Session 3
Information Systems in Organisations: Session 3
Information Systems in Organisations: Session 3
in Organisations
Session 3
1
With thanks to Laudon & Laudon
Objectives
2
Major Business Functions
3
Key Elements of an Organization
• People
• Structure
• Operating Procedures
• Politics
• Culture
4
Management Levels
• Senior managers: make long-range
strategic decisions about products and
services
• Middle managers: carry out the programs
and plans of senior management
• Operational managers: monitor the firm’s
daily activities
5
IT Infrastructure
• Computer hardware
• Computer software
• Storage technology
• Communications technology
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Types of Information Systems
Major Types of Systems in Organizations
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Major Types of Systems in Organizations
Main Categories of IS
1. Operational-level systems
2. Management-level systems
3. Strategic-level systems
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Four Major
Major Types ofTypes of Systems
Systems in Organizations
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The FourMajor
MajorTypes of Types of Information
Systems in Organizations
Systems
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Transaction Processing Systems
Major Types of Systems in Organizations
(TPS)
• Basic business systems that serve the organization’s
operational level
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Payroll TPS
Major Types of Systems in Organizations
12
Typical Applications
Major Types of TPS
of Systems in Organizations
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Management Information Systems
Major Types of Systems in Organizations
(MIS)
• Serve management level; provide reports and access
to company data
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How management information systems obtain their
Major Types of Systems in Organizations
data from the organization’s TPS
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Sample report that might be
Major Types of Systems in Organizations
produced by the MIS
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Decision-Support
Major Types of SystemsSystems
in Organizations (DSS)
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Voyage-estimating decision-support
Major Types of Systems in Organizations system
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Executive Support
Major Types Systems
of Systems in Organizations (ESS)
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Model of Major
a typical Executive Support
Types of Systems in Organizations
System
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Major Business Functions
1. Sales and Marketing Systems
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Sales and Marketing Systems
Systems from a Functional Perspective
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ExamplesSystems
of Sales and Marketing Information
from a Functional Perspective
Systems
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Manufacturing andPerspective
Systems from a Functional Production
Systems
• Planning, development, production of products
and services
• Planning, development, maintenance of
production facilities
• Acquisition, storage, availability of materials
• Scheduling materials, facilities, labor
• Controlling the flow of production
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Examples of Manufacturing and Production
Systems from a Functional Perspective
Information Systems
System Description Organizational
Level
Machine Control the actions Operational
control of machines and
equipment
Production Decide when and Management
planning how many
products should
be produced
Facilities Decide where to Strategic
location locate new
facilities
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Overview offrom
Systems ana Functional
Inventory PerspectiveSystem
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FinanceSystems
andfromAccounting Systems
a Functional Perspective
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Examples of Finance and Accounting
Systems from a Functional Perspective
Information Systems
System Description Organizational
Level
28
Systems from a Functional Perspective
Human Resources Systems
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Examples of Human Resources
Systems from Information Systems
a Functional Perspective
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Employee Record-Keeping System
Systems from a Functional Perspective
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Business Processes
Enterprise Applications
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Examples ofEnterprise
Functional
Applications Business
Processes
• Manufacturing and production:
Assembling product, checking quality,
producing bills of materials
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Enterprise Applications
Examples of Functional Business
Processes
• Finance and accounting: Paying
creditors, creating financial statements,
managing cash accounts
• Human Resources: Hiring employees,
evaluating performance, enrolling
employees in benefits plans
34