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IS Chapter 1-4
Information Systems in Organizations
| Term | Definition |
|---|---|
| Operations Management | Area of management concerned with the design, operation, and improvement of the systems and processes the organization uses to deliver its goods and services. |
| Customer relationship management system (CRM) | an information system used to build customer relationships, enhance loyalty, and manage interactions with customers |
| Data-driven decision making | smartest way for manager to make decision because it draws on billions of pieces of data that can be aggregated to reveal important trends and patterns |
| Business intelligence | info managers use to make decisions, drawn from the company’s own information systems or external sources |
| Social networking sites | online communities of people who create profiles for themselves, form ties with others with whom they share interests, and make new connections based on those ties |
| Competitive advantage | anything that gives a firm a lead over its rivals; it can be gained through the development and application of innovative information systems |
| Information more valuable when it is: | Timely, Accurate and Complete Data → Information → Knowledge |
| Data | individual facts or pieces of information o Incoming data is converted into digital format, which allows it to be integrated in information systems, read by computer programs, and shared across systems. |
| Information | data/facts assembled and analyzed to add meaning and usefulness |
| Information System | a system that brings together 4 critical components to collect, process, manage, analyze and distribute information. 4 components of Info Systems: people, technology, processes and data |
| User-generated content (UGC) | content contributed to a system by its users…. What you find on Ebay, YouTube, FB, Twitter, Wikipedia |
| Web 2.0 | second generation of web development that provides more interactivity, end-user contributions, collaboration, and info-sharing – includes social networking and virtual meetings |
| 4 components of Information Systems | people, technology, processes and data |
| Information Technology (IT) | the hardware, software, and telecommunications that comprise the technology component of information systems. |
| Information and communications technology (ICT) | term encompasses the broad collection of information processing and communications technologies, emphasizing that telecommunication technology is a significant feature of information systems |
| Business process | a set of activities designed to achieve a task; organizations implement information systems to support, streamline, and sometimes eliminate business processes |
| Business process management (BPM) | focuses on designing, optimizing, and streamlining business processes throughout the organization |
| E-discovery | processes by which electronic data that might be used as legal evidence are requested, secured, and searched. |
| Management Information Systems (MIS) | the study of information systems – how people, technology, processes, and data work together. Also used to describe a special type of information system that supports tactical decision making at the managerial level. |
| Chief Information Office (CIO) | the person who heads the department responsible for managing and maintaining information systems, and ensuring they support the organization’s strategic goals. |
| Crisis Management Team | the team in an organization that is responsible for identifying, assessing, and addressing threats from unforeseen circumstances that can lead to crisis situations. |
| End-User Support and Help Desk | provide service to internal and external customers on technology issues; answers questions; troubleshoots problems; installs and maintains desktop equipment |
| Systems Administration | installs, manages, and updates servers |
| Operations | maintains the environmentally controlled areas in which servers and communication equipment are located; handles backups and archiving |
| Enterprise system and applications | develops, installs, maintains, and oversees the organization's mission-critical software applications |
| Telecommunications and Network Services | installs and manages communications technologies and networks, including voice, cell phones, and wireless networks |
| Porter's 5 Competitive Forces | threat of new entrants; power of buyers; power of suppliers; threat of substitutes; rivalry among existing competitors |
| Threat of new entrants | Threat new entrants into an industry pose to existing businesses; threat is high when start-up costs are very low and newcomers can enter easily. |
| Network effects | increased value of a product or service that results simply because there are more people using it |
| Switching costs | costs that customers incur when they change suppliers; loyalty programs like frequent flyer miles would discourage people from switching; raise switching costs for users |
| Power of buyers | advantage buyers have when they have leverage over suppliers and can demand deep discounts and special services. |
| Buyer power increases when | there are a lot of suppliers with similar, undifferentiated products and the buyer can deal with any of them to get about the same product with no real switching costs. |
| Power of suppliers | Power is high when they are the only supplier and therefore they can charge more for their products and services. High switching costs add to supplier power. |
| Threat of substitutes | Threat posed to a company when buyers can choose alternatives that provide the same item or service, often at attractive savings. |
| Rivalry among existing competitors | The intensity of competition within an industry. Intense rivalry can reduce profitability in the industry due to price cutting or other competitive pressures |
| Factors that Affect how the Five Forces Operate | disruptive technology and innovations; government policies and actions; complementary services and products in the ecosystem; environmental events and “wildcards” |
| Disruptive innovation | a new process or service, often springing from technological advances, that has the potential to reshape and industry; ex. Internet |
| Sustaining technologies | technologies that offer improvements to streamline existing processes and give companies marginal advantages |
| Creative destruction | what happens in an industry when disruptive innovations threaten the established players; newcomers find ways to capitalize on the new technology while old players resist change and try to protect their old business models. |
| Government Policies and Actions | new laws, policies or funding decisions can affect business; patents reduce threat of new entrants; low cost loans increase threat of new entrants; lobbyists |
| ecosystem | an economic community that includes the related industries making complementary products and services, the competitors themselves, the suppliers, and also the consumers |
| Porter’s Value Chain Model | a model that describes the activities a company performs to create value, as it brings in raw resources from suppliers, transforms them in some way, and then markets the product or service to buyers. |
| Primary activities | activities directly related to the value chain process by which products and services are created, marketed, sold and delivered. |
| Support activities | activities performed as part of the value chain model that are not primary; support activities include administration and management, human resources, procurement, and technology support. |
| Primary activities include | bring in raw materials; make-market-deliver product or service; provide customer support |
| Support activities include | administration/management; human resources; technology support; procurement (purchasing what you need) |
| Benchmark | a reference point used as a baseline measurement. |
| Low cost leadership strategy | company strategy that involves offering a similar product at a lower price compared to competitors; Walmart, Kia Motors,… |
| Product differentiation strategy | a company strategy that involves adding special features to a product or unique add-ons for which customers are willing to pay more; pharmaceutical companies with specialized drugs, Apple Computer |
| Focused strategy | a company strategy that involves differentiating a product or service fro a particular market niche; RIM marketing its Blackberry to business and government |
| Strategic enabler | role IS play as tools to grow or transform the business, or facilitate a whole new business model; IS systems support strategy, can reduce costs, provide innovation or differentiation;Ebay software for online auction, automate medical records,... |
| E-government | application of ICT to government activities, especially by posting information online and offering interactive services to citizens |
| Enterprise Architecture (EA) | roadmap created by organization to describe the current situation and where it should head to achieve its mission, focusing on business strategy and the technology infrastructure required to achieve it; includes ideas like storage, backup & recovery |
| Hardware | 2 important features: digital (process info using binary code) + computers |
| Computer | electronic device that can accept, manipulate, store, an output data, and whose instructions can be programmed |
| ASCII code | a code that defines how keyboard characters are encoded into digital string of ones and zeros |
| Optical Scanners | electronic devices that capture text or images and convert them to digital format |
| Optical Character Recognition (OCR) | the capability of specialized software to interpret the actual letters and numbers on a page to create a digital document that can be edited, rather than a flat picture |
| Radio Frequency Identification (RFID) | a technology placed on tags with small chips equipped with a microprocessor, a tiny antenna to receive and transmit date, and sometimes a battery, that stores information on the tagged object’s history (govt uses to track nuclear material shipments) |
| Central Processing Unit | the brain of a computer, which handles information processing, calculations, and control tasks |
| Transistor | small electrical circuit made from a semiconductor material such as silicon |
| Moore’s Law | principle that states that advances in computer technology, such as processing speed or storage capabilities, doubles about every two years |
| Byte | measurement unit for computer storage capacity; a byte holds eight zeros and ones and represents a single character |
| Random access memory (RAM) | a computer’s primary temporary storage area accessed by the CPU to execute instructions |
| software | computer component that contains the instructions that directs computer hardware to carry out tasks; most expensive part of ICT =information and communications technology |
| application software | type of software used to support a wide range of individual and business activities such as transaction processing, payroll, word processing, and video editing |
| Business Drivers affecting storage decisions | access, speed, cost and safety |
| System software | type of software that controls basic computer operations such as file management, disk storage, hardware interfaces, and integration with the application software |
| Operating system (OS) | category of system software that performs a variety of critical basic tasks, such as handling device input and output, maintaining file structures, and allocating memory |
| Utility software | category of system software that includes programs to perform specific tasks that help manage, tune, and protect the computer hardware and software (anti-virus; disk defragmenter; compression software; encrypt; backup) |
| Programming language | an artificial language used to write software that provides the instructions for the computer about how to accept information, process it, and provide output |
| Legacy systems | older information systems that remain in use because they still function and are costly to replace |
| Source code | all the statements that programmers write in a particular programming language to create a functioning software program |
| Object-oriented programming | type of software programming that focuses on “objects” rather than lists of instructions and routines to manipulate data |
| Commercial off-the-shelf (COTS) | commercially available computer software that is ready to buy, install, and use (video games, quicken, turbo tax…) |
| Software as a service (SaaS) | a type of commercially available software which is owned, hosted, managed by a vendor, and accessed by customers remotely, usually via the Internet |
| Open source software | a type of software whose licensing terms comply with criteria such as free distribution, so other people can access the source code to improve it, build upon it, or use it in new programs (Linux, Firefox, Moodle, Apache) |
| network | group of interconnected devices, such as computers, phones, printers, or displays, that can share resources and communicate using standard protocols |
| Bits per second (bps) | measurement of transmission speed, defined as the number of bits transmitted each second; each bit is a single zero or one, and a string of 8 bits makes up a byte |
| Bandwidth | maximum amount of information in bits per second that a particular channel can transmit |
| Twisted pair wires | most common form of wired media, these wires consist of thin, flexible copper wires used in ordinary phones |
| Coaxial cables | wired medium, initially used for cable TV, consisting of a single inner conductor wire (usually copper) surrounded by insulation, which is then surrounded by a mesh-like conductor |
| Optical fiber | cables that transmit bits by means of light pulses along a glass or plastic fiber instead of electrical signals over a conductor; best for long distances |
| Wavelength | distance between one peak of an electromagnetic wave to the next |
| Hertz (Hz) | number of cycles per second of a wave |
| Microwave transmission | technology involving signals in the gigahertz range that are transmitted to relays in the line of sight |
| Wifi | short for wireless fidelity; refers to a computer network in which connections rely on radio waves at frequencies of 2.4 GHz or 5 GHz for transmission |
| wireless router | device connected to a computer network that emits signals from its antenna and enables wireless connectivity to the network |
| Bluetooth | technology that uses radio waves for connectivity, commonly used for wireless connections over very short distances |
| Digital subscriber lines (DSL) | technology that supports high speed two-way digital communication over twisted pair phone lines |
| Local area network (LAN) | network that connects devices such as computers, printers, and scanners in a single building or home |
| Circuit-switched network | type of network in which the nodes communicate by first establishing a dedicated channel between them |
| Packet switching | technology used by networks in which data is broken into segments called packets, for transmission. Packets contain info about their destination and position in the whole message, and they are reassembled at the receiving end. |
| Voice of IP (VoIP) | technologies that make voice communications across networks using packet switching feasible (doable), including over the internet |
| Client-server network | type of network in which the workload for running applications is shared between the server and the client devices, such as desktops, laptops and smartphones |
| n-tier | type of network architecture in which several servers, specialized for particular tasks, may be accessed by a client computer to perform some activity, such as retrieving a bank balance |
| peer-to-peer network | type of network in where there is no central server and computers can share files, printers and an internet connection with one another |
| ethernet | communication protocol widely used for LANs |
| TCP/IP (Transmission Control Protocol and Internet Protocol) | set of protocols used for internet communications; focus on middle layer networking layers that tell how data is packaged and transported; hourglass structure |
| Internet Protocol Version 6 (IPv6) | the next generation of protocol for the Internet, that will support far more IP addresses compared to the current scheme. |
| WiMax | technology that relies on microwave transmissions to blanket large metropolitan areas from microwave towers, usually on buildings. |
| Virtualization | cost-cutting approach to servers in which multiple operating systems run concurrently on a single physical PC server |
| Private branch exchange (PBX) | technology that manages all the office phone lines, voice mail, internal billing, call transfers, forwarding, conferencing, and other voice services. |
| Cloud computing | ICT architecture in which users access software applications and information systems remotely over the Internet, rather than locally on an individual PC or from servers in the organization’s data center. |
| Structured information | facts and data that are reasonably orderly, or that can be broken down into component parts and organized into hierarchies. |
| Unstructured information | information that has no inherent structure or order, and the parts can’t be easily linked together |
| Semi-structured information | information category that falls between structured and unstructured information. It includes facts and data that shows at least some structure, such as web pages and documents, which bear creation dates, titles, and authors. |
| metadata | data about data that clarifies the nature of the information |
| record | a means to represent an entity, which might be a person, a product, a purchase order, an event, a building, a vendor, a book, a video, or some other “thing” that has meaning to people. The record is made up of attributes of that thing. |
| field | an attribute of an entity. A field can contain numeric data or text, or a combination of the two. |
| Data Definition | specifies the characteristics of a field, such as the type of data it will hold or the maximum number of characters it can contain. |
| table | a group of records for the same entity, such as employees. Each row is one record, and the fields of each record are arranged in the table's columns |
| batch processing | the process of sequentially executing operations on each record in a large batch |
| database | an integrated collection of information that is logically related and stored in such a way as to minimize duplication and facilitate rapid retrieval |
| database management software (DBMS) | software used to create and manage a database and that also provides tools for ensuring security, replication, retrieval, and other administrative and housekeeping talks. |
| hierarchical database | an early database approach that linked records based on hierarchical relationships, such as those in the organizational chart. |
| network database | an early database approach that allowed flexible links to support M:M relationships |
| relational database | the widely used database model that organizes information into tables of records that are related to one another by linking a field in one table to a field in another table with matching data. |
| data model | a model used for planning the organization’s database that identifies what kind of information is needed, what entities will be created, and how they are related to one another. |
| primary key | a field, or a group of fields, that makes each record unique in a table. |
| autonumbering | process that assigns incremental numbers to records as they are created to ensure that each record has a unique primary key. |
| normalization | a process that refines entities and their relationships to help minimize duplication of information in tables. |
| functionally dependent | for each value of the table’s primary key, there should be just one value for each of the attributes in the record, and that the primary key determines that value; the attribute should be functionally dependent on the value of the primary key. |
| foreign key | primary keys that appear as an attribute in a different table are a foreign key in that table. They can be used to link the records in two tables together. |
| Structured Query Language (SQL) | a standard query language, widely used to manipulate information in relational databases. |
| Interactive voice response (IVR) | a technology that facilitates access to the database from signals transmitted by telephone, to receive information and enter data. |
| Scalability | a system’s ability to handle rapidly increasing demand. |
| Referential integrity | a rule enforced by the database management system that ensures that every foreign key entry actually exists as a primary key entry in its main table. |
| Database schema | a graphic that documents the data model and shows the tables, attributes, keys, and logical relationships for a database. |
| Data dictionary | documentation that contains the details of each field in every table, including user-friendly descriptions of the field’s meaning. |
| shadow system | smaller databases developed by individuals outside of the IT department that focus on their creator’s specific information requirements. |
| Master data management | an approach that addresses the underlying inconsistencies in the way employees use data by attempting to achieve consistent and uniform definitions for entities and their attributes across all business units. |
| data steward | a combination of watchdog and bridge builder, a person who ensures that people adhere to the definitions for the master data in their organizational units. |
| data warehouse | a central data repository containing information drawn from multiple sources that can be used for analysis, intelligence gathering, and strategic planning. |
| Extract, transform, and load (ETL) | a common strategy for drawing information from multiple sources by extracting data from its home database, transforming and cleansing it to adhere to common data definitions, and then loading it into the data warehouse |
| data mining | a type of intelligence gathering that uses statistical techniques to explore records in a data warehouse, hunting for hidden patterns and relationships that are undetectable in routine reports. |
Created by:
macdclan
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