1.1. What are the six primary roles that information systems play in organizations? How are
information systems used in each context?
Information systems play critical roles in (1) operations management, (2) customer
interactions, (3) decision making, (4) collaboration and teamwork, (5) strategic initiatives
and competitive advantage, and (6) individual productivity.
In operations management, information systems are used to manage assets and
inventories; track employee payroll, taxes, benefits, and timesheets; process transactions;
track accounts payable and accounts receivable; procure goods and services and, pay
suppliers. Information systems that support customer interactions include customer
relationship management systems, web-based front offices, online self-service applications,
modern point-of-sale systems and self-service checkouts. Information systems support data-
driven decision making by using both internal organizational data and external data from
partners, suppliers and public sources. Smart managers use aggregated data to identify trends
and patterns rather than rely on gut instincts. Collaboration and teamwork have considerable
support from information systems such as web applications that enable virtual meetings
spaces and social networking sites. Microsoft’s SharePoint is an example of information
technology that supports project teams with document management, shared calendars, and
communication features. The innovative use of an information system can provide a
competitive advantage until competitors jump on the bandwagon. For example, Navigon
enjoyed a brief competitive advantage against its rivals when it used a database of traffic
information from FM radio stations to provide free traffic updates rather than charge a
subscription fee. The selection of information systems and technology to improve personal
productivity ranges from e-mail and smartphones to word processing programs and contact
databases. The challenge for most people is to pick easy-to-use software and devices that
integrate with existing applications.
1.2. How is data different from information? How is information different from knowledge?
What are examples of each?
Data refers to individual facts or pieces of information, and information refers to data or
facts that are assembled and analyzed to add meaning and usefulness. A patient’s temperature
reading is one piece of data; however, when combined with other pieces of data in a patient
records information system, it becomes information that is useful for diagnostic purposes.
Aggregated with data from other patients, it can be further refined and analyzed to become
knowledge of a flu outbreak that is even more useful.
1.3. What are the three characteristics that make information valuable? Why is each a critical
attribute of information?
The three characteristics that make information valuable are timeliness, accuracy and
completeness. Timeliness is a critical attribute for certain kinds of information, such as stock
This study source was downloaded by 100000860007226 from CourseHero.com on 02-06-2023 22:45:59 GMT -06:00
https://www.coursehero.com/file/33739043/MIS-Assignment-Week-1docx/
, prices. Accuracy is a critical attribute for some information, such as a patient’s temperature
reading. On the other hand, extreme accuracy may not be necessary for certain kinds of
information, such as a competitor’s price for a rival product. Completeness is a critical
attribute for some information, such as a patient’s list of current medications. In the context
of a marketing survey, complete information adds value as a means to avoid bias or spin.
1.4. What are the four components of an information sys-tem? Describe each component. What
are the five func-tions that these components provide?
The four components of an information system are (1) people, (2) technology, (3) processes,
and (4) data. People interact with information systems in various roles such as systems
analysis and developers, managers, users, customers, and contributors. Information
technology includes hardware, software, and telecommunications equipment. Business
processes are activities designed to achieve a task, such as automatically generating form
letters to students. Data are facts represented by values, which have meaning in a certain
context. Data may be numbers, character strings, or symbols. These four components are
used to collect, process, manage, analyze, and distribute information.
1.5. How are information systems important to managers in a variety of functional business
units? What are examples of ways that information systems are important to the success of a
marketing department, a human resources department, and a small business owner?
Information systems are important to business managers because they support the
company’s business activities throughout every functional department. Information systems
are used to streamline processes, reduce costs, increase revenue, or support a strategic
initiative. A marketing department uses information systems to develop data-driven
marketing strategies, analyze ROI for marketing campaigns, and leverage social networking
trends to create interest in the company’s products. A human resources department uses
information systems to deliver online learning programs to reach more employees. A small
business owner can take advantage of the decline in cost for many information systems, such
as inexpensive intelligent dialing software that enables call center staff to more efficiently
reach mobile phone customers.
1.6. What are the functional areas that are common to most information technology
departments?
Common functional areas in an information systems department include end-user support
and help desk, systems administration, data center operations, enterprise systems, and
telecommunications and network services.
1.7. What is the role of the chief information officer?
The chief information officer (CIO) oversees the IT department and helps to shape the
organization’s strategic goals and ensure that the information systems support them. The CIO
might report directly to the CEO or the vice president of finance and administration.
This study source was downloaded by 100000860007226 from CourseHero.com on 02-06-2023 22:45:59 GMT -06:00
https://www.coursehero.com/file/33739043/MIS-Assignment-Week-1docx/