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IS312 : information systems theory and applications

IS312 : information systems theory and applications

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IS312 : information systems theory and applications

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  1. IS312: information systems theory and applications LECTURE 2 Cont. : Information Systems and Organizational Systems Information Systems Department

  2. Outlines • Difference between IS & IT. • What is Information Systems (IS)? • Components of IS and their relationships. • IS and Organizational system • The importance of IS in Business (effectiveness, efficiency). Information Systems Department

  3. The importance of IS in business Efficiency Effectiveness Information Systems Department

  4. Efficiency (doing things right) Firm achieve its efficiency by reducing resource waste while maximize productivity Information Systems Department Defined as the ratio of input to output

  5. Efficiency (Doing Things Right) • More output with the same input Case: Imagine a hospital without information system to manage patients’ personal and historical information . How can we solve this problem???

  6. More output with the same input Information Systems Department As an immediate solution, we create a folder for each patient containing his historical information (saves doctor’s time in asking questions)

  7. Efficiency (Doing Things Right) More output with less input • Since no need to search for their files to find specific information Information Systems Department A higher degree of efficiency can be achieved using a computerized IS

  8. Efficiency (Doing Things Right) Grocery Store Example3 CASE1 Information Systems Department Same output with less input Firm become more efficient by cost reductions - through a reduction in excess inventory, or by eliminating mistakes in operations.

  9. Same output with less input Grocery Store Example3 CASE2 Reduce the input (manager’s time) to achieve the same output (restock all items) Information Systems Department

  10. Same output with less input Grocery Store Example3 CASE 3 Information Systems Department

  11. Effectiveness (doing the right thing) Information Systems Department Effectiveness: it is the ability of an organization to achieve its stated goals and objectives Responding better to its requirements A firm makes better decisions & is able to carry them out successfully A firm is more effective

  12. Effectiveness (Doing the Right Thing) Customer aspects

  13. Effectiveness (doing the right thing) 1 2 Information Systems Department Grocery Store Example3

  14. Effectiveness (More Examples) Information Systems Department

  15. Effectiveness Staff aspects Information Systems Department

  16. Effectiveness • Share information between individuals, departments, or organizations Organization aspects Information Systems Department

  17. The difference.. Information Systems Department Efficiency refers to doing things in a right manner. the output to input ratio.. focuses on getting the maximum output with minimum resources. Effectiveness, on the other hand, refers to doing the right things. It constantly measures if the actual output meets the desired input.

  18. To understand faster!!! • Refer to Book_2, chapter (2), p.(23-30) for further reading Information Systems Department

  19. Questions .. Thank you for listening Information Systems Department