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Impact of Information Technology on Business Operations

Explore the impact of information technology on business operations, the components and characteristics of information systems, and the different types of information systems used. Learn about systems development techniques and tools, the systems development life cycle, and the role of the information technology department and systems analysts.

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Impact of Information Technology on Business Operations

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  1. Shelly Cashman Rosenblatt Introduction to Systems Analysis and Design

  2. Chapter 1 Introduction to Systems Analysis and Design Systems Analysis and Design 4e

  3. Objectives • Discuss the impact of information technology on business operations • Describe an information system and explain its components and characteristics • Identify common types of information systems and explain who uses them • Distinguish between structured analysis and object-oriented methodology Systems Analysis and Design 4e

  4. Objectives • Explain systems development techniques and tools, including modeling, prototyping, and CASE tools • Describe the systems development life cycle • Discuss the role of the information technology department and the systems analysts who work there Systems Analysis and Design 4e

  5. Introduction • Why do businesses depend on information more than ever? • Global competition • Intense pressure for quality • Information technology can mean the difference between survival and failure Systems Analysis and Design 4e

  6. Introduction • What is required for successful business information systems? • The right hardware and software • A team of talented, motivated people who use information technology to achieve business goals Systems Analysis and Design 4e

  7. Introduction • IBM summed it up this way: • “Information system professionals need to work closely with managers and users to create a shared business model…” Systems Analysis and Design 4e

  8. Business Process Modeling • Business process modeling is used to represent a company’s operations and information needs Systems Analysis and Design 4e

  9. Systems and Procedures • Business process modeling is used to represent a company’s operations and information needs • Business profiles, models, and processes • Business profile • Business model • Business process reengineering Systems Analysis and Design 4e

  10. Information System Components • Hardware • Software • Data • Processes • People Systems Analysis and Design 4e

  11. Information System Components Systems Analysis and Design 4e

  12. Information System Components • Hardware is the physical layer of the information system Systems Analysis and Design 4e

  13. Information System Components • Software • System software controls the hardware and software environment and includes the operating system • Application software consists of programs that that process data to produce information Systems Analysis and Design 4e

  14. Information System Components • Data stored in files and databases is a vital component of every system Systems Analysis and Design 4e

  15. Information System Components • Processes define the tasks that must be performed by users, managers, and IS staff Systems Analysis and Design 4e

  16. Information System Components • People who use the system are called users, or end users, and include employees, customers, vendors, or others who interact with the system Systems Analysis and Design 4e

  17. Business Information Systems • Companies are classified based on their main activities: • Production-oriented (industrial ) companies that manufacture & sell goods • Service companies that mainly offer information, services, or sell goods made by others • Internet-dependent firms – dot-com (.com) Systems Analysis and Design 4e

  18. Business Information Systems • The growth of e-commerce • B2C (Business-to-Consumer) • B2B (Business-to-Business) • New roles and opportunities for systems analysts Systems Analysis and Design 4e

  19. Business Information Systems • Characteristics of business information systems • 4 main characteristics affect a business information system’s complexity • Relationships with other systems • Boundaries • Specialized business needs • Size of the company Systems Analysis and Design 4e

  20. Types of Information Systems • Traditional categories • Operational systems • Management information systems • Decision support systems • Executive information systems • Expert systems • Office systems Systems Analysis and Design 4e

  21. Types of Information Systems • Enterprise computing systems • Support company-wide data management requirements • Enterprise resource planning (ERP) Systems Analysis and Design 4e

  22. Types of Information Systems • Transaction processing systems • Transaction processing (TP) and online transaction processing (OLTP) • TP captures data and triggers updates • Data integrity Systems Analysis and Design 4e

  23. Types of Information Systems • Business support systems • Provide job-related information to users at all levels in the company • Management information systems (MIS) • What-if analysis • Decision support Systems Analysis and Design 4e

  24. Types of Information Systems • Knowledge management systems • Expert systems • Simulate human reasoning by combining data with inference rules • Fuzzy logic Systems Analysis and Design 4e

  25. Types of Information Systems • User productivity systems • Tools to improve quality and job performance • Word processing is an example • Information systems integration • Important that all information systems can communicate intelligently Systems Analysis and Design 4e

  26. Organizational Structure • Four organizational levels • Operational employees • Empowerment • Lower management • Operational plans • Middle management • Tactical planning • Top management • Strategic planning Systems Analysis and Design 4e

  27. Organizational Structure Systems Analysis and Design 4e

  28. Systems Development Techniques and Tools Systems Analysis and Design 4e

  29. Systems Development Techniques and Tools • Modeling • Graphical representation of a concept or process • Business model • Requirements model • Data model • Object model • Network model • Process model Systems Analysis and Design 4e

  30. Systems Development Techniques and Tools • Prototyping • Early working version of the system • Allows analysis before final decisions are made Systems Analysis and Design 4e

  31. Systems Development Techniques and Tools • Computer-aided systems engineering (CASE) • Framework for systems design and analysis • Upper CASE tools • Lower CASE tools Systems Analysis and Design 4e

  32. Systems Development Techniques and Tools • Joint application development and rapid application development • JAD – Team based fact finding techniques • RAD – Condense development process Systems Analysis and Design 4e

  33. Systems Development Techniques and Tools • Other systems development tools • Word processing • Spreadsheets • Presentation software Systems Analysis and Design 4e

  34. Overview of Systems Development Methodologies • Structured Analysis • Process-centered • Uses systems development life cycle (SDLC) • Developing into a technique known as information engineering Systems Analysis and Design 4e

  35. Systems Development Life Cycle • Systems planning • Systems analysis • Systems design • Systems implementation • Systems operation and support • Waterfall model Systems Analysis and Design 4e

  36. Systems Development Life Cycle Systems Analysis and Design 4e

  37. Systems Development Life Cycle • Systems planning • Systems analysis • Systems design • Systems implementation • Systems operation and support • Waterfall model • Interactive model Systems Analysis and Design 4e

  38. Systems Development Life Cycle Systems Analysis and Design 4e

  39. Systems Development Life Cycle • Systems planning • Purpose – identify problem’s nature/scope • Systems request – begins the process & describes desired changes/improvements • Systems planning – includes preliminary investigation or feasibility study • End product – preliminary investigation report Systems Analysis and Design 4e

  40. Systems Development Life Cycle • Systems analysis • Purpose is to learn exactly how the current system operates • Fact-finding or requirements determination is used to define all functions of the current system Systems Analysis and Design 4e

  41. Systems Development Life Cycle • Options • Develop a system in-house • Purchase a commercial package • Modify an existing system • Stop development • The end product for this phase is the systems requirements document Systems Analysis and Design 4e

  42. Systems Development Life Cycle • Systems design • Purpose is to satisfy all documented requirements • Identify all outputs, inputs, files, manual procedures, & application programs • Avoid misunderstanding through manager and user involvement • End product is system design specification Systems Analysis and Design 4e

  43. Systems Development Life Cycle • Systems implementation • Construct/deliver information system • Prepares functioning, documented system • Write, test, document application programs • User and manager approval obtained • File conversion occurs • Users, managers, IS staff trained to operate and support the system • Post-implementation evaluation performed Systems Analysis and Design 4e

  44. Systems Development Life Cycle • Systems operation and support • New system supports business operations • Maintenance changes correct errors or meet requirements • Enhancements increase system capability • After several years of operation, systems experience need for extensive changes • Systems development life cycle ends with system replacement Systems Analysis and Design 4e

  45. Systems Development Life Cycle • Systems development guidelines • Stick to a plan • Involve users • Identify milestones • Establish checkpoints • Be flexible • Provide accurate and reliable cost and benefit information Systems Analysis and Design 4e

  46. Information Technology Department • Operations group responsible for centralized computers and processing • Technical support group installs and supports systems software and serves in an advisory and support capacity to other groups in the IS department Systems Analysis and Design 4e

  47. Information Technology Department Systems Analysis and Design 4e

  48. Information Technology Department • Application development • Systems support • User support • Database administration • Network administration • Web support Systems Analysis and Design 4e

  49. The Systems Analyst Position • Responsibilities • Required skills and background • Certification issues • Career opportunities Systems Analysis and Design 4e

  50. SOFTWEAR, LIMITED • Background and history • Company organization chart • IT department structure Systems Analysis and Design 4e

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