Chapter 14.1 Flashcards
Information
Knowledge gained from processing those facts and figures.
Data
Consists of raw facts and figures that may or may not be relevant to a business decision.
Information system
Is an organized method for collecting, storing, and communicating past, present, and projected information on internal operations and external intelligence.
Chief information officer (CIO)
Responsible for directing its information systems and related operations to an executive.
A CIO will understand and harness technology so that the company can communicate internally and externally in one seamless operation.
Computer-based information systems
Systems that rely on computer and related technologies to store information electronically in an organized, accessible manner.
Database
The heart of any information system, which is a centralized integrated collection of data resources.
Two types of information systems
Operational support systems & management support systems
Operational support systems
Are designed to produce a variety of information on an organizations activities for both internal and external users.
Transaction processing systems
Record and process data from business transactions.
Process control systems
Monitor and control physical processes.
Ex: A steel mill, may have electronic sensors linked to a computer system monitoring the entire production process. The system makes necessary changes and alerts operators to potential problems.
Management support systems
Information systems that are designed to provide support for effective decision making.
Management information system (MIS)
Is designed to produce reports for managers and other personnel.
Decision support system (DSS)
Gives direct support to business people during the decision-making process.
Ex: Marketing manager using DSS to analyze the impact on sales and profits of a product price change.
Executive support system (ESS)
Let’s senior executives access the firms primary database.
Users can check the firms financial statements and sales figures, as well as stock market trends for the company and for the industry as a whole.
Expert system
Is a computer program that imitates human thinking through complicated sets of if-then rules.
The system applies human knowledge in a specific subject area to solve a problem.
