UnIT-01

INRODUCTION TO SYSTEM
CONCEPTS ANF INFORMATION

MRS.NANDINI SHIVAYOGI
ASSISTANT PROFESSOR
DEPT. OF COMPUTER APPLICATIONS
JSS STU
 INFORMATION
PRESENTATION
Information Presentation in the context of business systems refers
to how data and information are structured, displayed, and
communicated to stakeholders to facilitate understanding,
decision-making, and action. Effective information presentation
ensures that key insights are clear, accessible, and actionable,
helping decision-makers make informed choices.
 BIAS IN INFORAMTION
Bias in Information in the context of Business Systems refers to the tendency
SYSYTEMS
to present, collect, or interpret data and information in a way that
misrepresents the true picture, leading to skewed decision-making or
outcomes.
In business systems, bias can affect how data is collected, processed, analyzed,
or presented, potentially leading to flawed business strategies, operational
inefficiencies, and poor decision-making.
Bias in information occurs when the selection, presentation, or analysis of data
favors a particular perspective, often distorting the full truth or neglecting
important variables. This bias can manifest in various ways, such as in the
choice of data sources, methods of analysis, or the framing of results.
Real-Time Example in Business Systems
Example 1: Sales Data Bias
Scenario: A company that sells a range of products collects sales data from its
stores across different regions. However, the management team, which is focused
on increasing sales in urban areas, decides to highlight only the sales figures from
urban stores while ignoring data from rural stores.
Impact: By focusing only on urban store performance, the company may conclude
that its overall sales growth is higher than it actually is, leading to misinformed
strategic decisions such as overinvesting in urban areas while neglecting rural
market opportunities.
Consequences of Bias in Business Systems
Poor Decision-Making: Bias can lead to decisions based on incomplete, inaccurate, or
skewed data, which can negatively impact operations, growth strategies, and resource
allocation.
Inefficient Resource Allocation: For example, focusing resources on areas where biased
data shows the most potential while ignoring other areas could result in missed
opportunities.
Loss of Trust: If customers, employees, or stakeholders realize that biased information
is being presented, it could harm the credibility and trustworthiness of the business.
Strategic Failures: Business strategies based on biased information may fail to consider
all variables or perspectives, leading to strategic errors, such as investing in the wrong
markets or products.
How to Mitigate Bias in Business Systems
Ensure Data Diversity: Collect and analyze data from a wide range of
sources, perspectives, and regions to avoid selection bias.
Implement Objective Analytics: Use unbiased, data-driven tools and
processes to analyze information without favoring any particular outcome.
Use Cross-Departmental Collaboration: Encourage input from various
departments (e.g., marketing, finance, operations) to avoid confirmation
bias and get a comprehensive view.
Provide Clear, Unbiased Reporting: Present data in a neutral manner
without framing it to support a particular agenda. Be transparent about
the methods and sources used in data collection and analysis.
Continuous Monitoring: Regularly evaluate business systems and
information sources to identify and correct any emerging biases in the
data.
INFORMATION: A QUALITY PRODUCT
Information is a product of data processing
The quality of information is high, if it creates managerial impact leading to attention, decision and action.
The quality of information can be measured on the four dimensions, viz., utility, satisfaction, error and bias.
The utility dimensions has four facets—the form, the time, the access and the possession. If the information
is presented in the form the manager requires, then its utility increases. If it is available when needed, the
utility is optimized. If the information is easily and quickly accessible through the Online Access System, its
utility gets an added boost.
information is possessed by the manager who needs it, then its utility is the highest.
An error is the third dimension of the quality of the information. The errors creep in on account of various
reasons, namely:
1. An incorrect data measurement
2. An incorrect collection method
3. Failure to follow the prescribed data processing procedure
4. Loss of data or incomplete data
 Parameters Impacting Quality

the information can be termed as of a good quality if it meets the norms of

impartiality,
validity,
reliability,
consistency and
age.
The quality of information has another dimension of utility from the user’s point of view. The users being many, this is
diffi cult to control. Therefore, if one can develop information with due regards to these parameters, one can easily
control the outgoing quality of the information with the probable exception of the satisfaction at the user’s end.
An impartial information contains no bias and has been collected without any distorted view of the situation.
The validity of the information relates to the purpose of the information. In other words, it is the answer to the question
—does the information meet the purpose of decision-making for which it is being collected
Reliability
For example, if the organization collects the information on the product acceptance in the selected market segment, the
size of the sample and the method of selection of the sample will decide the reliability. If the sample is small, the
information may not give the correct and a complete picture and hence it is not reliable. The reliability is also affected, if
the data is not collected from the right source.
Consistency
The information is termed as inconsistent if it is derived from a data which does not have consistent pattern of period
For example, you have collected the information on the quantity of production for the last twelve months to fi x the
production norms. If in this twelve moths period, the factory has worked with variable shift production, the production
statistics of the twelve months for comparison is inconsistent due to the variable shift production. The consistency can be
brought in by rationalizing the data to per shift productiion per month. The regularity in providing the information also
helps in assessing the consistency in the information
Age
If the information is old, it is not useful today. The currency of the information makes all the difference to the users. If the
information is old then it does not meet any characteristics of the information viz., the update of knowledge, the element
of surprise and the reduction of uncertainty, and the representation.
John Dearden of Harvard University classifies information in the following manner :
Action Versus No-action Information:
Recurring Versus Non-recurring Information
Internal Versus External Information

Planning Information:
Certain standards, norms and specifications are used in the planning of any activity. Hence, such information is called
the planning information. The time standards, the operational standards, the design standards are the examples of the
Planning Information.

Control Information
Reporting the status of an activity through a feedback mechanism is called the control information. When such
information shows a deviation from the goal or the objective, it will induce a decision or an action leading to control.
Knowledge
A collection of information through the library reports and the research studies builds a knowledge base as a source
for decision-making.
 UNIT-02
FUNDAMENTAL CONCEPTS: INFORMATION
SYSYTEM IN BUSINESS
 INTRODUCTION
An MIS provides managers with the necessary information to make decisions about a company's
operations. The MIS gathers data from various sources (employees, processes, inventory, and more) and
analyzes it to provide tailored information to managers and their staff.

For a management information system to be effective, business processes must be carefully mapped out,
data must be accurate and timely, and hardware and software must be able to store and manipulate it. A
good MIS depends on the people who design, implement, and use it.

While businesses use different types of systems, they all share one common goal: to provide managers with
information to make better decisions. In today's fast-paced business environment, having access to accurate
and timely information is critical for success. MIS allows managers to track performance indicators, identify
trends, and make informed decisions about where to allocate resources.
 The importance of MIS for businesses

Provide you with the information you need to make decisions

Give you a competitive edge by providing timely, accurate information

Help you improve operational efficiency and productivity

Allow you to keep track of customer activity and preferences

Enable you to develop targeted marketing campaigns and improve customer service
 INTRODUCTION
• Th e e leme nt s of t h e M I S a re t h e co m p u te r h a rd wa re , t h e co m m u n icati o n c h a n n e ls,
t h e so ft wa re a n d t h e s o ft wa re to o ls t h e d eve lo p m e nt p la n a n d a we ll d efi n e d
m e a su rab le ob je c ti ve o f t h e M I S co n siste nt to t h e b u sin e ss o b j e c ti ve s o f t h e
o rga n izati o n .
• I rre sp e c ti ve of t h e o rga n izati o n st ru c t u re , t h e in d u st r y o r t h e b u sin e s s, p u b lic o r
p rivate se c tor, t h e m is is a m o d e l co n sisti n g o f t h e va r io u s su bsyste m s.
• Th e mis is an op en syste m inte rfa c in g co nti n u o u sly wit h t h e inte rn a l a n d t h e ex te r n a l
e nviron ment a n d is se lf o rga n iz in g to m e et t h e eve r in c re a sin g a n d c h a n g in g
info rmati o n n ee d s o f t h e o rga n izati o n .
• Th is is ma d e p o ssib le by o rga n iz in g t h e m is in a h ie ra rc h ica l st r u c t u re . F u r t h e r, it is
su b d ivid ed into sm a lle r su bsyste m s.
• Th e d e comp osin g is d o n e o n the va r io u s b a se s, viz . , Th e f u n c ti o n a l, the
d e p a r t mental, o r t h e d e c isio n .
• I t ca n a lso b e d e co m p o s e d o n t h e b a sis o f a c ti vit y, viz ., Th e d ata co lle c ti o n , d ata
a n a lysis, p la n n in g and co nt ro l.
 What is an Information
system?
. An information system (IS) can be any organized combination of people, hardware, software, communications
networks, data resources, and policies and procedures that stores, retrieves, transforms, and disseminates
information in an organization. People rely on modern information systems to communicate with one another
using a variety of physical devices (hardware), information processing instructions and procedures (software),
communications channels (networks), and stored data (data resources)
 The Fundamental Roles of IS in Business
There are three fundamental reasons for all business applications of information technology.

 They are found in the three vital roles that information systems can perform for a business enterprise:

 Support of business processes and operations.

 Support of decision making by employees and managers.

Support of strategies for competitive advantage.

Support of Strategies for Competitive Advantage. Gaining a strategic advantage over
competitors requires the innovative application of information technologies.

For example, store management might make a decision to install touch-screen kiosks in all
stores, with links to the e-commerce Web site for online shopping. This offering might attract
new customers and build customer loyalty because of the ease of shopping and buying
merchandise provided by such information systems. Thus, strategic information systems can
help provide products and services that give a business a comparative advantage over its
competitors.
 UNIT-03
E-BUSINESS SYSTEMS
 What is E-Business
The fast-changing world of business applications of information technology, which increasingly consists of

what is popularly called e-business applications.

Remember that e-business, a term originally coined by Lou Gerstner, CEO of IBM, is the use of the Internet

and other networks and information technologies to support e-commerce, enterprise communications and

collaboration, and Web-enabled business processes, both within a networked enterprise and with its

customers and business partners.

E-business includes e-commerce, which involves the buying and selling and marketing and servicing of

products, services, and information over the Internet and other networks.
 Introduction
Using internet technologies to empower
Business processes
E-commerce
Enterprise collaboration within a company
Collaboration with customers, suppliers, and other business stakeholders .

In essence, E-business can be more generally considered as an online exchange of value.

 The role of E-business in Business
Many businesses today are using internet technologies to web-enable their business processes and create
innovative E-business applications.

Business today depends on:

Internet

Intranets and

Extranets

•Any online exchange of information ,money, resources, services or any combination falls under E-business
umbrella
 E-Business Use
1.Reengineer

Internal Business process.

2. Enterprise collaboration system

involve the use of software tools to support communication, coordination and
collaboration among the members of networked teams and workgroups.

3. E-commerce:
Buying, selling, marketing and servicing of products, services and information over a
variety of computer networks
CROSS- FUNCTIONAL ENTERPRISE APPLICATIONS
Many companies today are using information technology to develop integrated crossfunctional
enterprise systems that cross the boundaries of traditional business functions in order to
reengineer and improve vital business processes all across the enterprise.

These organizations view cross-functional enterprise systems as a strategic way to use IT to

share information resources and improve the efficiency and effectiveness of business processes,
and develop strategic relationships with customers, suppliers, and business partners.
Enterprise Application Architecture