Types of Information Systems

Computer-based information systems (CBIS) use computer technology to perform some or all of their tasks and are composed of:

n Hardware: is a device such as a processor, monitor, keyboard or printer.

n Software: is a program or collection of programs that enable hardware to process data.

n A Database: is a collection of related files or tables containing data.

n A Network: is a connecting system (wireline or wireless) that permits different computers to share resources.

n Procedures: are the set of instructions about how to combine the above components in order to process information and generate the desired output.

n People: are those individuals who use the hardware and software, interface with it, or uses its output.

Competitive Advantage and Strategic Information Systems

The best-known framework for analyzing competitiveness is Michael Porter’s competitive forces model (Porter, 1985).

n  Threat of entry of new competitors is high when it is easy to enter a market and low when significant barriers to entry exist. 

n  A barrier to entry is a product or service feature that customers expect from organizations in a certain industry. 

n  For most organizations, the Internet increases the threat that new competitors will enter a market.

Why Are Information Systems Important to Organizations and Society?

n  IT will reduce the number of middle managers.

n  IT will change the manager’s job.

n  IT impacts employees at work.

n  IT provides quality-of-life improvements

Managing Information Resources

Which IT Resources are Managed and By Whom?

During the early 1950s, Information Systems Department (ISD) managed ALL of the only computing resource, the mainframe.

Today, computing resources are located through the organization and almost all employees use computers in their work.

This system is known as end user computing.

The Role of the IS Department

The ISD is responsible for corporate-level and shared resources and for using IT to solve end users’ business problems.

End users are responsible for their own computing resources and departmental resources.

ISD and end users work together as partners to manage the IT resources.