Raymond McLeod Jr. and George P.
Schell
2007 by Prentice Hall
Management Information Systems, 10/e
Raymond McLeod and George Schell
Introduction to Information Systems
2007 by Prentice Hall
Management Information Systems, 10/e
Raymond McLeod and George Schell
Learning Objectives
Understand how computer hardware has
evolved to its present level of
sophistication.
Know the basics of computer and
communications architectures.
Understand the distinction between
physical and virtual systems.
Describe how business applications have
evolved from an initial emphasis on
accounting data to the current emphasis
on information for problem solving.
2007 by Prentice Hall
Management Information Systems, 10/e
Raymond McLeod and George Schell
Learning Objectives
(Contd)
Understand what enterprise resource planning
systems are and the reasons for their
popularity.
Know how to tailor information systems to
managers based on where they are located in
the organizational structure and what they do.
Understand the relationship between problem
solving and decision making and know the
basic problem-solving steps.
Know what innovations to expect in
information technology.
2007 by Prentice Hall
Management Information Systems, 10/e
Raymond McLeod and George Schell
History of Information
Systems
Evolution in Computer Hardware
Mainframe
Multitasking
Smaller Computers
Minicomputers
Microcomputers
Personal computers (PC)
2007 by Prentice Hall
Management Information Systems, 10/e
Raymond McLeod and George Schell
Introduction to Computer
Architecture
Hardware-processor, keyboard, monitor,
mouse, printer, etc.
Software-application, operating, etc.
Used to support managerial decision making.
2007 by Prentice Hall
Management Information Systems, 10/e
Raymond McLeod and George Schell
Introduction to Computer
Architecture (Contd)
Modem-hardware device that modulates the
digital signals from a computer into analog
signals (telephone system), and vice versa.
Direct communication standards
Between computers is much faster.
Wireless networks
2007 by Prentice Hall
Management Information Systems, 10/e
Raymond McLeod and George Schell
Figure 1.5 Communications
Architecture
2007 by Prentice Hall
Management Information Systems, 10/e
Raymond McLeod and George Schell
The Evolution in Computer
Applications
Information systems are virtual systems
that enable management to control the
operations of the physical system of the firm.
Physical system-tangible resources such as
materials, personnel, machines, and money.
Virtual system-information resources that
are used to represent the physical system.
2007 by Prentice Hall
Management Information Systems, 10/e
Raymond McLeod and George Schell
Figure 1.6 The Physical System of
the Firm
2007 by Prentice Hall
Management Information Systems, 10/e
Raymond McLeod and George Schell
10
The Evolution of Computer
Applications (Contd)
Open system is a firms physical system that
interacts with its environment by means of
physical resource flows.
Closed system is one that does not
communicate with its environment.
2007 by Prentice Hall
Management Information Systems, 10/e
Raymond McLeod and George Schell
11
Transaction Processing
Systems
Data-facts and figures that are generally
unusable due to their large volume and
unrefined nature.
Information-processed data that is
meaningful; tells users something.
Transaction Processing System (TPS)
processes data that reflects the activities of
the firm.
2007 by Prentice Hall
Management Information Systems, 10/e
Raymond McLeod and George Schell
12
Figure 1.7 A Model of a
Transaction Processing System
2007 by Prentice Hall
Management Information Systems, 10/e
Raymond McLeod and George Schell
13
Management Information
Systems
Management Information System (MIS) is
a computer-based system that makes
information available to users with similar
needs.
Report-writing software produces both
periodic and special reports.
Mathematical models produces information
as a simulation of the firms operations.
2007 by Prentice Hall
Management Information Systems, 10/e
Raymond McLeod and George Schell
14
Figure 1.8 A MIS Model
2007 by Prentice Hall
Management Information Systems, 10/e
Raymond McLeod and George Schell
15
Management Information
Systems (Contd)
Information provided by MIS describes the
firm or one of its major systems.
What has happened in the
past.
What is happening now.
What is likely to happen in the
future.
Interorganizational information system
(IOS)is formed when a firm interacts with
others, such as suppliers.
2007 by Prentice Hall
Management Information Systems, 10/e
Raymond McLeod and George Schell
16
Virtual Office Systems
Office automation-use of electronics to
facilitate communication.
Personal productivity systems-use
technology to self-manage clerical tasks such
as calendars, address books, etc.
Virtual office-performing office activities
independent of a particular physical location.
2007 by Prentice Hall
Management Information Systems, 10/e
Raymond McLeod and George Schell
17
Decision Support
Systems
Decision Support System (DSS)assists
management in solving a problem.
Groupwaregroup-oriented software.
Group decision support system (GDSS)
combines groupware and the DSS.
Artificial intelligence (AI)the science of
providing computers with human intelligence.
2007 by Prentice Hall
Management Information Systems, 10/e
Raymond McLeod and George Schell
18
Figure 1.9 A DSS Model
2007 by Prentice Hall
Management Information Systems, 10/e
Raymond McLeod and George Schell
19
Enterprise Resource
Planning
Systems
Enterprise Resource
Planning System
(ERP) is a computer-based system that
enables the management of all of the firms
resources on an organization-wide basis.
Y2K complaint
SAPERP Provider
2007 by Prentice Hall
Management Information Systems, 10/e
Raymond McLeod and George Schell
20
Information System
Users
First users were clerical users on TPSs.
MISs added problem-solvers as users.
Managerial Levels
Strategic planning level
Management control level
Operational control level
2007 by Prentice Hall
Management Information Systems, 10/e
Raymond McLeod and George Schell
21
Figure 1.10 Management Levels
Can Influence Both the Source and
Presentation Form of Information
2007 by Prentice Hall
Management Information Systems, 10/e
Raymond McLeod and George Schell
22
Figure 1.11 Managers
Can Be Found on All Business Areas of the
Firm
2007 by Prentice Hall
Management Information Systems, 10/e
Raymond McLeod and George Schell
23
Figure 1.12
Management Level
May Influence the Relative Emphasis on
the Management Function
2007 by Prentice Hall
Management Information Systems, 10/e
Raymond McLeod and George Schell
24
Table 1.2 Mintzbergs
Managerial Roles
2007 by Prentice Hall
Management Information Systems, 10/e
Raymond McLeod and George Schell
25
Problem Solving and
Decision
Making
Problem condition
or event that is harmful
or potentially harmful to a firm or that is
beneficial or potentially beneficial.
Solutionoutcome of the problem-solving
activity.
Decisiona particular selected course of
action.
2007 by Prentice Hall
Management Information Systems, 10/e
Raymond McLeod and George Schell
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Problem-Solving Phases
The four phases are:
Intelligence activity. Search the
environment for conditions calling for a
solution.
Design activity. Invent, develop, and
analyze possible courses of action.
Choice activity. Select a particular course of
action from those available.
Review activity. Assess past choices.
2007 by Prentice Hall
Management Information Systems, 10/e
Raymond McLeod and George Schell
27
Figure 1.13 Information
Supports Each Problem-Solving
Phase
2007 by Prentice Hall
Management Information Systems, 10/e
Raymond McLeod and George Schell
28
The Future of Information
Technology
Reduced cost and increased power of both
computers and communications.
Computers and communications are
converging, i.e., cell phones with browsers.
Future computing will be low cost, small in
size, mobile, and connected.
2007 by Prentice Hall
Management Information Systems, 10/e
Raymond McLeod and George Schell
29