management and information systems buad 600
DESCRIPTION
Management and Information Systems BUAD 600. Jesse Role, Ph. D. TM – Electronics and Information Technology Chairman, Department of Technology University of Eastern Africa, Baraton. Website www.roletech.net. Forum Site http://roletech.net/BUAD600. Requirements. Lecture Participation - PowerPoint PPT PresentationTRANSCRIPT
1.1 Prof Jess Role @ UEAB 2012
Management and Information Systems
BUAD 600
Jesse Role, Ph. D. TM – Electronics and Information Technology
Chairman, Department of TechnologyUniversity of Eastern Africa, Baraton
1.2 Prof Jess Role @ UEAB 2012
Websitewww.roletech.net
Forum Sitehttp://roletech.net/BUAD600
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Requirements• Lecture• Participation• Group Reporting• Case analysis report• Final Examination
– Thursday May 24, 2012
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Why are information systems so essential for running and
managing a business today?• Information systems are a foundation for
conducting business today. In many industries, survival and the ability to achieve strategic business goals are difficult without extensive use of information technology. Businesses today use information systems to achieve six major objectives: operational excellence; new products, services, and business models; customer/supplier intimacy; improved decision making; competitive advantage; and day-to-day survival.
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1MANAGING
THE DIGITAL
INSTITUTION
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What Is an Information System?
An information system can be defined technically as a set of interrelated components
that collect (or retrieve), process, store, and distribute information to support decision making and control in an organization. In addition to supporting decision making,
coordination, and control, information systems may also help managers and workers analyze
problems, visualize complex subjects, and create new products.
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• ANALYZE ROLE OF INFORMATION SYSTEMS IN BUSINESS ENVIRONMENT
• DEFINE INFORMATION SYSTEM, COMPUTER LITERACY, INFORMATION SYSTEMS LITERACY
• EXPLAIN HOW INFORMATION SYSTEMS TRANSFORM ORGANIZATION & MANAGEMENT
*
LEARNING OBJECTIVES
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LEARNING OBJECTIVES• ASSESS DIGITAL FIRM, ELECTRONIC
COMMERCE, ELECTRONIC BUSINESS, INTERNET TECHNOLOGY
• IDENTIFY MANAGEMENT CHALLENGES TO BUILDING, USING
INFORMATION SYSTEMS*
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MANAGEMENT CHALLENGES• WHY INFORMATION SYSTEMS?• CONTEMPORARY APPROACHES TO
INFORMATION SYSTEMS• ROLE OF INFORMATION SYSTEMS• USING INFORMATION SYSTEMS
*
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MANAGEMENT CHALLENGES1. DESIGN COMPETITIVE & EFFICIENT
SYSTEMS2. UNDERSTAND SYSTEM REQUIREMENTS
OF GLOBAL BUSINESS ENVIRONMENT3. CREATE INFORMATION ARCHITECTURE
THAT SUPPORTS ORGANIZATION’S GOALS
*
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MANAGEMENT CHALLENGES4. DETERMINE BUSINESS VALUE OF
INFORMATION SYSTEMS5. DESIGN SYSTEMS PEOPLE CAN
CONTROL, UNDERSTAND & USE IN A SOCIALLY, ETHICALLY RESPONSIBLE MANNER
*
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THE CHANGING BUSINESS ENVIRONMENT
• GLOBALIZATION• INDUSTRIAL ECONOMIES• TRANSFORMATION OF
THE ENTERPRISE*
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GLOBALIZATION• MANAGEMENT & CONTROL• COMPETITION IN WORLD MARKETS• GLOBAL WORK GROUPS• GLOBAL DELIVERY
SYSTEMS
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INDUSTRIAL ECONOMIES• KNOWLEDGE-BASED ECONOMIES• PRODUCTIVITY• NEW PRODUCTS & SERVICES• KNOWLEDGE AS AN ASSET• TIME-BASED COMPETITION• SHORTER PRODUCT LIFE• TURBULENT ENVIRONMENT• LIMITED EMPLOYEE KNOWLEDGE
BASE*
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TRANSFORMATION OF ENTERPRISE• FLATTENING• DECENTRALIZATION• FLEXIBILITY• LOCATION INDEPENDENCE• LOW TRANSACTION COSTS• EMPOWERMENT• COLLABORATIVE WORK
*
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EMERGENCE OF THE DIGITAL FIRM
• DIGITALLY-ENABLED RELATIONSHIPS WITH CUSTOMERS, SUPPLIERS, EMPLOYEES
• CORE BUSINESS PROCESSES VIA DIGITAL NETWORKS
• DIGITAL MANAGEMENT OF KEY ASSETS
• RAPID SENSING & RESPONDING TO CHANGE
*
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Why IT Now? Digital Convergence and the Changing
Business EnvironmentThere are five factors to consider when assessing
the growing impact of IT in business firms both today and over the next ten years.
• Internet growth and technology convergence
• l Transformation of the business enterprise
• l Growth of a globally connected economy• l Growth of knowledge and information-
based economies• l Emergence of the digital firm
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0%
10%20%
30%
40%
50%60%
70%
1900
1910
1920
1930
1940
1950
1960
1970
1980
1997
YEAR
% SERVICE% WHITE COLLAR% BLUE COLLAR% FARMING
LABOR FORCE COMPOSITION 1900-2008
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SYSTEM
INPUT OUTPUTPROCESS
FEEDBACK
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FUNCTIONS OF AN INFORMATION SYSTEM
INPUT OUTPUTPROCESS
FEEDBACK
INFORMATION SYSTEM
ENVIRONMENTCustomers Suppliers
Regulatory Stockholders Competitors
Agencies
ORGANIZATION
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DATA & INFORMATION• DATA: STREAMS OF RAW FACTS
REPRESENTING EVENTS SUCH AS BUSINESS TRANSACTIONS
• INFORMATION: CLUSTERS OF FACTS MEANINGFUL & USEFUL TO HUMAN BEINGS IN PROCESSES SUCH AS
MAKING DECISIONS*
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COMPUTER-BASED INFORMATION SYSTEMS (CBIS)
• FORMAL SYSTEMS• FIXED DEFINITIONS OF DATA,
PROCEDURES• COLLECTING, STORING,
PROCESSING, DISSEMINATING, USING DATA
*
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INFORMATION SYSTEMS
ORGANIZATIONS TECHNOLOGY
MANAGEMENT
INFORMATION SYSTEMS
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ORGANIZATIONS• PEOPLE: Managers, knowledge
workers, data workers, production or service workers
• STRUCTURE: Organization chart, groups of specialists, products, geography
*
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ORGANIZATIONS• OPERATING PROCEDURES:
Standard Operating Procedures (SOP), rules for action
• POLITICS: Power to persuade, get things done
• CULTURE: Customs of behavior*
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MAJOR BUSINESS FUNCTIONS
• SALES & MARKETING• MANUFACTURING• FINANCE• ACCOUNTING• HUMAN RESOURCES
*
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COMPUTER TECHNOLOGY• HARDWARE• SOFTWARE• STORAGE• COMMUNICATIONS• NETWORKS
*
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SOCIOLOGY
POLITICAL SCIENCE
PSYCHOLOGY
COMPUTER SCIENCE OPERATIONS
RESEARCH
MANAGEMENTSCIENCE
TECHNICAL APPROACHES
APPROACHES TO INFO SYSTEMS
MIS
BEHAVIORAL APPROACHES
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SOCIOTECHNICAL PERSPECTIVE
OPTIMIZE SYSTEM PERFORMANCE:TECHNOLOGY & ORGANIZATION
MUTUALLY ADJUST TO ONE ANOTHER
UNTIL FIT IS SATISFACTORY*
SOURCE: Liker, et al, 1987
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SYSTEM INTERDEPENDENCE
BUSINESS Strategy Rules Procedures
ORGANIZATION INFORMATION SYSTEM
HARDWARE
SOFTWARE DATABASE
TELE-COMMUNICATIONS
INTERDEPENDENCE
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• 1950s: TECHNICAL CHANGES• 60s-70s: MANAGERIAL CONTROL• 80s-90s: INSTITUTIONAL
CORE ACTIVITIES
GROWING IMPORTANCE*
SCOPE OF INFO SYSTEMS
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WHAT YOU CAN DO ON THE INTERNET
• COMMUNICATE & COLLABORATE• ACCESS INFORMATION• DISCUSS• OBTAIN INFORMATION• ENTERTAIN• TRANSACT BUSINESS
*
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NEW OPTIONS FOR ORGANIZATIONAL DESIGN
• FLATTENING ORGANIZATIONS• SEPARATING WORK FROM LOCATION• REORGANIZING WORK-FLOWS• INCREASING FLEXIBILITY• REDEFINING ORGANIZATIONAL
BOUNDARIES
*
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THE DIGITAL FIRM• ELECTRONIC COMMERCE• ELECTRONIC BUSINESS• ELECTRONIC MARKET: Information
system links buyers & sellers to exchange information, products, services, payments
*
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ELECTRONIC COMMERCE• INTERNET LINKS BUYERS, SELLERS• LOWERS TRANSACTION COSTS• GOODS & SERVICES
ADVERTISED, BOUGHT, EXCHANGED WORLDWIDE
• BUSINESS-TO-BUSINESS TRANSACTIONS INCREASING
*
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ELECTRONIC BUSINESS• INTRANET: Business builds private, secure
network• E-MAIL, WEB DOCUMENTS, GROUP
SOFTWARE: Extends effective communication & control
• EXTRANET: Extension of Intranet to authorized external users
*
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Approach of This Text: Sociotechnical Systems
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How are information systems transforming business and what is their relationship to globalization?
• E-mail, online conferencing, and cell phones have become essential tools for conducting business. Information systems are the foundation of fast-paced supply chains. The Internet allows many businesses to buy, sell, advertise, and solicit customer feedback online. Organizations are trying to become more competitive and efficient by digitally enabling their core business processes and evolving into digital firms. The Internet has stimulated globalization by dramatically reducing the costs of producing, buying, and selling goods on a global scale. New information system trends include the emerging mobile digital platform, online software as a service, and cloud computing.
1.46 Prof Jess Role @ UEAB 2012
MANAGING THE
DIGITAL FIRM