The Modern Organizations in the Digital Economy

Types of Information Systems

Computer-based information systems (CBIS) use computer technology to perform some or all of their tasks (collect, process, stores, analyze and disseminate information) and are composed of:

Hardware: devices such as a processor, monitor, keyboard or printer

Software: program or collection of programs that enable hardware to process

Database: collection of related files or tables containing data

Network: a connecting system (wireline or wireless) that permits different computers to share resources

Procedures: set of instructions about how to combine the above components in  order to process information and generate the desired output

People: individuals who use the hardware and software, interface with it, or uses its output

Capabilities of Information Systems

Perform high-speed, high-volume numerical computations

Provide fast, accurate communication and collaboration within and among organizations

Store huge amounts of information in small space

Allow quick, inexpensive access to  vast amounts of information worldwide

Interpret vast amounts of data quickly and efficiently

Increase effectiveness and efficiency of people working in groups in one place or around the world

Automate semiautomatic business process and manual tasks

Breadth of Support of Information Systems

Functional area information systems

support particular functional areas [HR, Marketing, Manufacturing, Finance] in an organization.

Enterprise resource planning (ERP) systems

tightly integrate the functional area information systems via a common database

Transaction processing systems (TPS)

support the monitoring, collection, storage, and processing of data from the organization’s basic business transactions.

Example: point-of-sale (POS) system at Carrfour

Interorganizational information systems

connect two or more organizations.  Examples are supply chain management systems and electronic commerce systems

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