Which one of business information systems are a set of interrelated components?

- • “Information systems are combinations of hardware, software, and telecommunications networks that people build and use to collect, create, and distribute useful data, typically in organizational settings.” 2 • “Information systems are interrelated components working together to collect, process, store, and disseminate information to support decision making, coordination, control, analysis, and visualization in an organization.” 3 • “An information system (IS) can be defined technically as a set of interrelated components that collect, process, store, and distribute information to support decision making and control in an organization.” 1 information system provides you with a solid start to this course and the content you are about to encounter. Defining Information Systems Many programs in business require students to take a course in information systems . Various authors have attempted to define the term in different ways. Read the following definitions, then see if you can detect some variances. As you can see these definitions focus on two different ways of describing information systems: the components that make up an information system and the role those components play in an organization. Each of these need to be examined.

Information Systems for Business and Beyond (2019) pg. 3

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The computer age introduced a new element to businesses, universities, and a multitude of other organizations: a set of components called the information system, which deals with collecting and organizing data and information. An information system is described as having five components.

  • Computer hardware

    This is the physical technology that works with information. Hardware can be as small as a smartphone that fits in a pocket or as large as a supercomputer that fills a building. Hardware also includes the peripheral devices that work with computers, such as keyboards, external disk drives, and routers. With the rise of the Internet of things, in which anything from home appliances to cars to clothes will be able to receive and transmit data, sensors that interact with computers are permeating the human environment.

  • Computer software

    The hardware needs to know what to do, and that is the role of software. Software can be divided into two types: system software and application software. The primary piece of system software is the operating system, such as Windows or iOS, which manages the hardware’s operation. Application software is designed for specific tasks, such as handling a spreadsheet, creating a document, or designing a Web page.

  • Telecommunications

    This component connects the hardware together to form a network. Connections can be through wires, such as Ethernet cables or fibre optics, or wireless, such as through Wi-Fi. A network can be designed to tie together computers in a specific area, such as an office or a school, through a local area network (LAN). If computers are more dispersed, the network is called a wide area network (WAN). The Internet itself can be considered a network of networks.

  • Databases and data warehouses

    This component is where the “material” that the other components work with resides. A database is a place where data is collected and from which it can be retrieved by querying it using one or more specific criteria. A data warehouse contains all of the data in whatever form that an organization needs. Databases and data warehouses have assumed even greater importance in information systems with the emergence of “big data,” a term for the truly massive amounts of data that can be collected and analyzed.

  • Human resources and procedures

    The final, and possibly most important, component of information systems is the human element: the people that are needed to run the system and the procedures they follow so that the knowledge in the huge databases and data warehouses can be turned into learning that can interpret what has happened in the past and guide future action.

    General-purpose and specialized systems: convert raw data into useful information for decision-making

    An Information System (IS) is a set of interrelated components that work together to collect, process, store and disseminate information to support decision-making. They also support the coordination, supervision, analysis and visualization of an organization.

    Furthermore, IT technology describes any technology that drives or enables the storage, processing and flow of communication within an organization. Everything related to computers—software, networks, intranets, websites, servers, databases and telecommunications—falls under the IT paradigm.

    Most modern-day companies depend to a great extent on these systems for the management of their operations and decision-making, from email to database and website administration.

    Information starts out as raw data, representing events that occur in organizations or in the physical environment; it has not yet been organized in a way that people can understand and use. This is the raw material for processing and refers to facts, events and transactions. Therefore, the purpose of an IS is to convert raw resources into useful information that can be used to make decisions in an organization.

    For example, hospitals have large patient databases to be able to efficiently track medical histories. Universities have systems for the management of staff, students, and payments, as well as expanding networks for campus administration. Even a small business for home delivery of food needs a system for order management and tracking.

    While Information Systems may differ in the way they are used within an organization, they all have the following components:

    • Hardware: systems use local hardware such as a computer or Cloud services for their execution.
    •  Software: these are the programs used for administration, processing and analysis.
    • Databases: systems work with resources organized in tables and files.
    • Network: different resources must be connected to each other, especially if many different people in an organization use the same system.
    • Procedures: they describe how specific data and resources are processed and analyzed to obtain the responses for which the system is designed (“business logic”).

    Types of information systems

    A database management system (DBMS) is a combination of software that allows for the administration and analysis of data. There are some general types of information systems.

    An electronic spreadsheet is a tool for basic analysis; it is based on formulas that define relationships between resources. It can be used to calculate averages for a set of values or to see how a value changes over time.

    In contrast, there are a number of specialized systems that have been specifically designed to support a particular process within an organization or to carry out very specific analysis tasks such as Enterprise Resource Planning (ERP): a system used to integrate management of the entire internal and external supply chain throughout an organization.

    Another example is a Geographic Information System (GIS) which is used to manage and analyze all kinds of geographic data.

    Decision Support Systems (DSS) are software applications used by senior and middle management to gather information from a wide range of sources and processes to support problem-solving and decision-making. A DSS is used primarily for unstructured and semi-structured decision problems.

    Executive Information Systems (EIS) are reporting tools that provide quick access to reports and summarized processes, coming from all levels and departments of the company, such as accounting, human resources and operations.

    There are more specialized systems, designed specifically to manage marketing, accounting systems and human resource management systems, to name a few.

    Remember that having a technology partner with the necessary experience and knowledge will help you achieve your business goals. We invite you to visit https://www.kionetworks.com/es-mx/

    References:

    Salem Al-Mamary, Yaser Hasan & Shamsuddin, Alina & Aziati, A. ResearchGate. (2014). The Role of Different Types of Information Systems In Business Organizations

    https://www.researchgate.net/publication/264556488_The_Role_of_Different_Types_of_Information_Systems_In_Business_Organizations_A_Review accessed September 2019.

    What are the interrelated components of an information system?

    An information system is essentially made up of five components hardware, software, database, network and people. These five components integrate to perform input, process, output, feedback and control.

    What are the 5 components of information systems?

    5 Components of Information Systems.
    Computer hardware. This is the physical technology that works with information. ... .
    Computer software. The hardware needs to know what to do, and that is the role of software. ... .
    Telecommunications. ... .
    Databases and data warehouses. ... .
    Human resources and procedures..

    What are the components of a business management information system?

    A management information system is made up of five major components namely people, business processes, data, hardware, and software. All of these components must work together to achieve business objects.

    What are the 6 main components of an information system?

    Components of the information system are as follows:.
    Computer Hardware: Physical equipment used for input, output and processing. ... .
    Computer Software: The programs/ application program used to control and coordinate the hardware components. ... .
    Databases: ... .
    Network:.