Module 1 Flashcards
What is an information system?
An information system is the set of formal procedures by which data are collected, stored, processed into information and distributed ot users
What is the relationship between data and information?
Information is data that has been processed so that it is useful to a decision-maker
What is a transaction?
Transactions are data inputs that feed into an info system
What are the two different types of transactions?
- Financial Transactions
- Nonfinancial Transaction
What are Financial Transactions?
Economic events that affect the assets and equities of the organization
What are nonfinancial transactions?
Noneconomic events that are still processed by the info system
e.g., an airline reservation, tracking customer complaints
What are the subsystems of AIS?
- Accounting Information System
- Management Information System
What is an Accounting Information System?
Collects, stores, and processes financial transactions and nonfinancial transactions that directly affect the processing of financial transactions
What is a Management Information System?
Nonfinancial transactions that traditional AIS does not normally process
What are the differences between an AIS and a MIS?
AIS processes financial transactions and non-financial transactions directly affecting financial transactions while MIS processes a broader range of data, including operational, strategic, and non-financial data to support decision-making across various management levels
What kind of subsystems make up the AIS?
Typically include subsystems like transaction processing, financial reporting, and internal controls which focus on accounting data and compliance
* General Ledger
* Management Reporting System
* Transaction Processing System
What kind of subsystems make up the MIS?
Typically includes subsystems such as decision support systems (DSS), executive information systems (EIS), and knowledge management systems (KMS) that provide information and support for managerial decision-making
* Finance
* Marketing
* Production
* HRs
* Distribution
What are the 3 transaction processing subsystems?
- Revenue Cycle
- Expenditure Cycle
- Conversion Cycle
What are the 4 major subsystems of the expenditure cycle?
- Purchasing/Accounts Payable
- Cash Disbursement
- Payroll
- Fixed Assets
What are the 2 major subsystems of the Conversion Cycle?
- Production Planning and Control
- Cost Accounting
What are the 2 major subsystems of the Revenue Cycle?
- Sales Order Processing
- Cash Receipts
What 2 subsystems have a physical and financial component?
- Purchase order processing
- Sales order processing
What are the 3 main evolutions stages?
- manual processing
- Flat-File Data Storage and Legacy Systems
- Relational Databases and Enterprise Systems
What are the data redundancy problems associated with the Flat-File Model?
- Data Storage - excessive storage costs when storing duplicate information
- Data Updating - changes must be performed multiple times
- Currency of Information - a potential problem of failing to update all affected files
- Task-Data Dependency - user’s inability to obtain additional information as needs change
- Data Integration - separate files are difficult to integrate across different functions
How does the database model solve the data redundancy problems with the flat-file model?
- no data redundancy - except for primary keys, data is only stored once
- single updates
- current values
- task-data independence - users have access to the full domain of data available to the firm
Who are the 5 largest ERP Vendors?
- SAP
- Oracle
- Sage Group
- Workday
- Infor
What are the 5 main modules in SAP?
- PLM
- CRM
- SCM
- SRM
- ERP
PLM
Product Lifecycle Management
CRM
Customer Relationship Management