Chapter 2 - management Information systems Flashcards
what are the characteristics of good information?
ACCURATE
- Accurate
- Complete
- Cost effective
- Understandable
- Relevant
- Accessible
- Timely
- Easy to use
What is information technology?
describes any equipment concerned with the capture, storage, transmission, or presentation of information.
Supporting hardware that provides the infrastructure to run the information systems.
What is information systems?
refers to the provision and management of information to support the running of the organisation.
valuable strategic source which can help gain an advantage.
What competitive advantage do information systems give?
- links to organization to customers or suppliers
- creates effective integration to develop, produce, market and delivery new products
- gives senior management info to help develop and implement strategy.
What are some initial costs of CBA?
design costs, development costs, purchase costs, costs of testing and implementation of new system, training.
What are some initial running costs?
- the cost of labour time to run the system
- replacement parts
- costs of IT support
- ongoing training costs
What are some benefits of CBA?
- enhances efficiency and capacity
- Better quality of information
- Better access to information
- improved sharing of information
- better decision making
- better customer service
What are the costs of internal information?
- direct data capture costs
- processing costs
- Indirect costs
What are the costs of external information?
- Direct costs
- Indirect costs
- Management costs
- Infrastructure costs
What is a network?
Computers are connected in Local area networks (LAN) to share data and devices. Wide area networks (WAN) are used to connect LAN’s together. Network should facilitate the transfer of information between different parts of the business
What is the intranet?
internal network used to share info. The firewall surrounding an intranet fends off unauthorised access from outside.
What is the extranet?
a collaborative network that uses internet technology to join organizations, e.g., to link businesses with their suppliers.
What is cloud computing?
delivery of different services through the internet, allowing data to be stored, managed and processed using remote servers.
What are application controls?
manual or automated procedures that apply to individual areas within the system to ensure the completeness, accuracy, and validity of the recording and processing of transactions.
Give some examples of application controls?
- batch total checks
- sequence checks
- matching master files to transaction records
