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Summary Essentials of Management Information Systems

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Complete summary of Business Modeling, Essentials of Management Information Systems.

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Subido en
19 de septiembre de 2017
Número de páginas
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Escrito en
2016/2017
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Samenvatting
Business Modeling
Essentials of Management Information Systems
Chapter 1

1.1 The role of Information Systems in Business Today
What’s new in management information systems?
In the technology area are three interrelated changes:
1. The mobile digital platform composed of smartphones and tablet devices
2. The growth of online software as a service
3. The growth in “cloud computing”, where more and more business software runs over the Internet
As management behavior changes, how work gets organized, coordinated, and measured also changes
 Due to social networking, collaboration tools, and wiki’s (decisions are made faster)
o Even when separated by continents and time zones.

What does globalization have to do with management information systems? EVERYTHING

Six important business objectives:
1. Operational excellence
o Improve efficiency of operations  achieve higher profitability
2. New Products, Services, and Business models
o Business model: describes how a company produces, delivers, and sells a product or service to create
wealth.
3. Customer en supplier intimacy
o Getting to know its customers and serves them well  customers respond by returning and purchasing
more  raises revenues and profits.
o Suppliers: the more a business engages its suppliers, the better the suppliers can provide vital inputs 
lowers costs.
4. Improved decision making
o Operating in fog bank: never having the right information at the right time to make an informed
decision.
 Rely on forecasts, best guesses, luck
5. Competitive advantage
o Doing things better than your competitors, helped with the information gathered by: operational
excellence; new products, services and business models; customer intimacy; and improved decision
making.
6. Survival
o Necessities driven by industry-level changes

1.2 Perspectives on Information Systems and Information Technology
Information technology (IT): consists of all the hardware and software that a firm needs to use in order to achieve its
business objectives.
 Includes: computer machines, disk drives, mobile handheld devices, software (Windows/Linux operating
systems), desktop productivity suite, and computer programs.
Information system (IS): can be defined technically as a set of interrelated components that collect (or retrieve),
process, store, and distribute information to support decision making, coordinating, and control in an organization.
 May help managers and workers analyze problems, visualize complex subjects, and create new products.
 Contain information about: people, places en things within the organization or environment
o Information: data that have been shaped into a form that is meaningful and useful to human beings.
o Data: streams of raw facts representing events occurring in organizations or the physical environment
before they have been organized and arranged into a form that people can understand and use.
Input: captures or collects raw data from within the organization or from its external environment.
Processing: converts this raw input into a meaningful form
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