P2 - 12. Information Systems Flashcards
What is a Business Information Strategy?
The overall plan a business has to create and develop it’s information systems, focusing on information that the board requires
What are the 3 elements to an effective information strategy?
- Information Systems strategy
- Information Technology strategy
- Information Management strategy
What is Information Systems strategy?
The long term plan to exploit an entity’s information systems in order to support business strategy, ensuring information is acquired, retained and shared effectively
What is Information Technology strategy?
The specific systems that are required to satisfy the information needs of the organisation, including the hardware, software and operating systems, with adequate processing power and storage
What is Information Management strategy?
Methods by which information is stored and how that is collected and provided to users, as well as protection and backup
What are the 5 major costs of investment in information systems?
- Hardware and software
- Installation
- Development
- Personnel
- Intangible costs (e.g. incompatibilities)
What are the 3 major financial benefits of investment in information systems?
- Efficiency savings (better cost control)
- The ability to provide better goods or services
- Staff time and cost saved reducing manual input
What are the 4 main intangible benefits of investment in information systems?
- Better management information and decision making
- Better staff morale
- Less time spent on routine tasks
- Better relationships with stakeholders
What are the 4 levels of the strategic framework that information systems are employed at?
- Operational
- Business
- Corporate
What are the 5 ISs used at operational level?
- Transaction processing systems
- Expert systems
- Computer Aided Manufacturing
- Computer Integrated Manufacturing
- Flexible Manufacturing Systems
What are the 3 ISs used at business level?
- Strategic Enterprise Management Systems
- Management Information Systems
- Decision Support Systems
What is a Strategic Enterprise Management System?
A system which provides data in formats that assist managers in setting strategic goals, measuring performance in light of these goals and measuring and managing human resources
What KPI system is a strategic enterprise management system linked to?
The balanced scorecard
Where does a Strategic Enterprise Management System store data?
In a data warehouse
What is a Management Information System?
A system that draws data from the underlying TPS and summarises it to provide more useful information for middle management decisions
What it the draw back of management information systems?
Not always useful for planning or decision making as they do not provide a holistic view
What is a Decision Support System?
One that contains data analysis models that allow managers to simulate different scenarios and then form conclusions on the results e.g. what if analysis
What is the IS used at corporate level?
Executive Information Systems
What does an Executive Information system do?
Provides high level overviews of an organisation by aggregating data from various internal and external sources
What is a major useful feature of EIS?
Graphs
What is an Enterprise Resource Planning System?
A system that captures accounting, operational, customer and supplier data in a data warehouse for use in reporting
What are the 3 uses of balanced scorecards that are formed from ERP systems?
- Strategic planning
- Customer relationship management
- Supply chain management
What is an Electric Data Interchange?
System for exchanging data electronically with suppliers directly
What is an extranet?
A secure link from an organisation’s computer to an authorised external system
When is having an extranet/using EDI particularly useful?
When operating with JIT inventory systems
What are the 5 main risks in IS/IT systems?
- Obsolescence
- Physical threat
- Hacking
- Human Error
- Infrastructure failure
What is big data?
Capturing and processing bot structured and unstructured data on a vast scale and converting it into information that is able to be utilised by the organisation
What are the 4 Vs of big data?
- Volume
- Velocity
- Variety
- Veracity
What are the 5 main benefits/uses of big data?
- Identifying opportunities to increase revenue
- Building a more complete picture of customers
- Building a more complete picture of competitions
- Uncovering unexpected relationships
- Insights into business performance
OVERALL = COMPETITIVE ADVANTAGE
