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Introduction to MIS

Introduction to MIS. Minder Chen, Ph.D. Associate Professor Martin V. Smith School of Business and economics CSU Channel Islands Email: Minder.Chen@csuci.edu. What is MIS? . M: Management Management, Organization, Business Function, Business Process, Organization and Human Behaviors

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Introduction to MIS

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  1. Introduction to MIS Minder Chen, Ph.D. Associate Professor Martin V. Smith School of Business and economics CSU Channel Islands Email: Minder.Chen@csuci.edu

  2. What is MIS? • M: Management • Management, Organization, Business Function, Business Process, Organization and Human Behaviors • I: Information • Data, Information, Knowledge • Creation, Gathering, Storing, Organizing, Consolidating& Condensing, Filtering, Delivery, and Sharing of Information • S: System • General Systems Theory (GST) • Input-Process-Output and Storage • Creative Problem Solving Process • http://en.wikipedia.org/wiki/Management_information_system • http://en.wikipedia.org/wiki/Systems_thinking • http://en.wikipedia.org/wiki/Systems_theory

  3. A System View of an Information System Information System Boundary Environments Information Producer Data Providers Input Process Output Data Sources Information Destinations Information Consumers Data storage Control Procedure What are the Hardware for Inputs, Outputs, Processing, and Storages?

  4. Characteristics of Good Information Figure 1-6 here Information overloading Source: Using MIS 3e Deliver just enough accurate, relevant, and timely information to the right persons to make better decisions. How much energy does a Google search consume?

  5. Information Quality (IA) and Categories Source: http://sloanreview.mit.edu/files/2008/12/3947-ex3-lo7.png http://sloanreview.mit.edu/article/manage-your-information-as-a-product/

  6. Presentation of Information

  7. Another Version

  8. Managing Information as a Resource • The resources of the industrial age were tangible things that could be mined, processes, bought, sold, managed, and easily understood. • In the emerging post-industrial society, there is little understanding of the characteristics of information – the basic yet abstract, resource. Harland Cleveland, "Information as Resource," The Futurist, December 1982, 34-39.

  9. Information as Products/Services • CarFax: CARFAX - Vehicle History Reports and VIN number check - http://www.carfax.com • Britannica: • http://www.britannica.com/ • Blown to Bits: How the New Economics of Information Transforms Strategy • The printed version was blown away by ??? Three strikes out. • A comeback act? • Why Britannica matter? No printed version, 2010/2012. • Information as services • Google: Searching for information (Google would provide “access to the world's information in one click”) • Facebook: Sharing information Source: http://www.hbr.org/products/877X/877Xp4.pdf

  10. CD-ROM based Encyclopedia • Encarta, Grolier, and Compton, list for $50 to $70; usually bundled with a new PC for free. • Content • Distribution channel • Cost: • With a marginal manufacturing cost of $1.50 per copy, the CD-ROM as freebie makes good economic sense. • The marginal cost of Britannica, in contrast, is about $250 for production plus about $500 to $600 for the salesperson’s commission.

  11. Britannica Sales

  12. Britannica vs. Wikipedia Wiki vs. Wikipedia

  13. Information Life Cycle Information Data Decision • Intelligence • Design • Choice Action http://faculty.csuci.edu/minder.chen/MIS310/Reading/20000905cleveland.pdf

  14. Even the Caveman Needs Knowledge to Survive The information-knowledge-wisdom hierarchy. The caveman has lots of information; he selects and organizes useful information into knowledge, but he does not achieve wisdom until he has integrated his knowledge into a whole that is more than useful than the sum of its parts. Source: Harlan Cleveland, "Information as a Resource," The Futurist, December 1982, 34-39.

  15. DIKW (Information) Hierarchy Know why Wisdom Knowledge Know how Learning: Integration into strategic policy through experience Information Know what Analysis: Application to decision making Know nothing Data Observation: Description of events Happening/Doing Event

  16. Moving Up the Knowledge Hierarchy • Where is the knowledge we have lost in information? • Where is the wisdom we have lost in knowledge? • Where is the life we have lost in living? T.S. Eliot, Choruses from "The Rocks," 1934

  17. Information Systems Components • Computer • Server • PC • Mobile • Networking Individuals, Groups, Departments, Enterprise-wide, Customers, Trading partners System SW, Application SW Data, Information, Knowledge Manual Procedures and Business Process Source: adapted from Using MIS 3e

  18. Information as Product vs. By-Product

  19. Information as: Product vs. By-Product http://sloanreview.mit.edu/article/manage-your-information-as-a-product/ http://sloanreview.mit.edu/files/2008/12/3947-ex1-lo7.png

  20. huMan, Market, Money, Method, Machine, Material, Message • Business environments • Market demands • Technology development • Social trends • Locations/Localization Man: Human Resource, Employees Market: Customers People $$$   Message: Information Money: Accounting, Finance, Investment Processes Things Machine: Property, Facility, Technology Material: Raw material, Product Method: Technique, Process, Project, Task

  21. MIS • Management BY Information Systems • Management OF Information Systems Resources Other Resources: HR, Money, Material, etc. Information Information Systems Manages As Products or Services Managing Information as Resource (Inventory Information System) Selling Information as Products (eBook) Offering Information as Services (Facebook)

  22. IT, IS and IM Competing with Information: A Manager's Guide to Creating Business Value with Information Content

  23. The Extended Enterprise Buy Make/Add Value Sell Back Office Front Office Customers Suppliers E-Business: Virtual and Dynamic Enterprise Manufacturing Finance Engineering Sales Support/Service Marketing Demand Chain Supply Chain Back Office Integration Supply Chain Management Customer Relationship Management Enterprise Resource Planning © Minder Chen, 2001-2002

  24. A Federation of Information Systems Customer Relationship Management (CRM)

  25. Information Systems Triad Operational Database Data Warehouse Data Mart Enterprise Workflow BIDSS EIS OLAP Online Analytical Processing OLTP Online Transaction Processing Business Process Workflow Data Information Messaging Systems Knowledge Workflow, Collaboration, Groupware

  26. Information Systems • Transaction Processing System • Online transaction processing system (OLTP) • Batch, Online, real-time • Management support system • Decision support system (DSS), Executive information system (EIS), Digital Dashboard • Data warehouse, Business intelligence (BI) • Units involved • Individual, group, and departmental, enterprise-wide, inter-organizational information, social network system • Strategic Information Systems • IT Platforms • Traditional desktop/client-server application • Web-based applications (Electronic Commerce) • Mobile applications

  27. Information System Applications

  28. COBIT’s Information Criteria (I) • Effectiveness deals with information being relevant and pertinent to the business process as well as being delivered in a timely, correct, consistent and usable manner. • Efficiency concerns the provision of information through the optimal (most productive and economical) use of resources. • Confidentiality concerns the protection of sensitive information from unauthorized disclosure. (Sony PlayStation Network hacked) • Integrity relates to the accuracy and completeness of information as well as to its validity in accordance with business values and expectations.

  29. COBIT’s Information Criteria (II) • Availability relates to information being available when required by the business process now and in the future. It also concerns the safeguarding of necessary resources and associated capabilities. • Compliance deals with complying with the laws, regulations and contractual arrangements to which the business process is subject, i.e., externally imposed business criteria as well as internal policies. (Sarbanes–Oxley Act) • Reliability relates to the provision of appropriate information for management to operate the entity and exercise its fiduciary and governance responsibilities.

  30. Exercise – 20-minute break and 5-minute presentation • Describe your background and experiences • Company name and the industry it belongs to • Position and general responsibility • Three major decisions • Pick the most important decision involved in this position and find out the following: • Characteristic of the decision: Operational vs. Strategic; Structured vs. Unstructured; Routine vs. Non-routine • What information is current used to support the decision • What kind of source data should be collected to generate the information needed • Under which task is this decision performed • What is the broader business process that this task belongs. • What additional improvements can be made from the perspectives of information systems and decision making

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