Chapter 1- Overview Flashcards
What is information?
When data becomes meaningful
Ex: like putting data into a sales invoice
What is Data
Facts stores in the system
Ex: number date name etc
What makes information useful 1-4
Relevant
Reliable
Complete
Timely
What makes information useful 5-7
Understandable
Verifiable
Accessible
What is an internal stakeholder
Stakeholders are employees in the organization ex: employees and managers
What is an external stakeholder
Trading partners like banks and governmenent or customers and vendors
What are the basic business processes?
Revenue Expenditure Production Payroll Financing
Explain revenue
Give good or service = GET CASH ha
Explain expenditure
Get goods/service =GIVE CASH
Explain production
Give labor/materials = FINISHED GOODS
Explain payroll
Give cash
Get labor
Explain financing
Give cash
Get cash
How does AIS add value
Having effective decisions /quality
Having efficient decisions/ reducing costs of decision making
What is value chain?
Shows how the different activities within an organization provide value to the customer
What are Primary activities
Provide direct value to the customer