Information System/Technology

Topics: Decision theory, Information systems, Management Pages: 12 (2999 words) Published: October 22, 2009
Question no 1:
a.What is Information System?
Business information systems or just Information System (IS) deal with the conceptualization, development, introduction, maintenance and utilization of systems for computer-assisted information processing within companies and enterprise-wide networks. Central components of such information systems are firm’s application systems. They assist the user in the firm to accomplish tasks. A long-term goal for information systems is to automate anywhere in the enterprise and in the economy where a task may be executed by a computer systems at least as well as by a person. When such automation cannot be achieved, information systems nevertheless are at least to support specialist and executives as effectively as possible. An 'Information System' is a planned system of the collecting, processing, storing and disseminating data in the form of information needed to carry out the functions of management. In a way it is a documented report of the activities those were planned and executed. According to Philip Kotler ; "A marketing information system consists of people, equipment, and procedures to gather, sort, analyze, evaluate, and distribute needed, timely, and accurate information to marketing decision makers." As information systems have enabled more diverse human activities, they have exerted a profound influence over society. These systems have quickened the pace of daily activities, affected the structure and mix of organizations, changed the type of products bought, and influenced the nature of work. Information and knowledge have become vital economic resources.

Information systems support different types of decisions at different levels of the organizational hierarchy. Major types of Information systems include structural databases and information management software that can include the followings; • Transaction Process Systems (TPS)

• Enterprise Collaboration Systems (ECS)
• Management Information Systems (MIS)
• Decision Support Systems (DSS)
• Executive Support Systems (ESS)
• Expert system (ES)

Question no 2:
b)Write the importance of Information System in today’s business. Information systems are the foundation for conducting business today. In many industries, survival and even existence without extensive use of information technology is inconceivable, and information technology plays a critical role in increasing productivity. Although information technology has become more of a commodity, when coupled with complementary changes in organization and management, it can provide the foundation for new products, services, and ways of conducting business that provide firms with a strategic advantage. The system provides information on the past, present and project future and on relevant events inside and outside the organization . It may be defined as a planned and integrated system for gathering relevant data, converting it in to right information and supplying the same to the concerned executives. The main purpose of information system is to provide the right information to the right people at the right time. All medium to large organizations depend on Information technology for their continued survival. Consider organizations like Petronas, Telecom Malaysia, Tenaga Nasional Berhad (TNB) and others the Power and Water companies having to manually calculate, millions of customer bills every month or quarter! Clearly the clerical effort involved would make it difficult if not impossible for the organization to make a profit. Similar arguments apply to many other organizations such as banks, central and local government. Without information system and information technology, I believed that many large organizations could last no longer than 24 hours without IT support! There should be little wonder that attitudes to the development of information systems have changed over the years from an ad hoc almost traditionally approach to a...

Bibliography: a. Principles of Marketing, Prentice - Philip Kotler, Hall, 1980.
Schumann, Springer-Verlag Berlin-Heidelberg, 2003
b. advantages.html. (Date retrieval : 23rd Sept. 2009)
(Date retrieval : 24th Sept. 2009)
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