Chapter 1: the modern organization in
the global, web-based environment
Information systems (IS): (also called management information systems) The planning,
development, management, and use of information technology tools to help people perform all tasks
related to information processing and management.
Management information systems (MIS): same as above
Application Portfolios: A prioritized list of existing and potential IT systems, organized by application.
Planning process for new IT applications beings with
Analysis of organizational strategic plan: states organizational overall
mission, the goals that follow from the missions, and the steps needed to
reach these goals
Organizational strategic plan+ existing IT architecture= input for developing
IT strategic plan
IT strategic plan: A set of long-range goals that describe the IT infrastructure and identify the
major IT initiatives needed to achieve the organization's goals.
Must meet three objectives:
1. Must be aligned with organizations strategic plan
2. Must provide for an IT architecture that enables users, applications, and databases to be
seamlessly networked and integrated
3. Must efficiently allocated IS development resources among competing projects so the projects
can be completed on time and within budget and have required functionality
IT steering committeeA committee, composed of a group of managers and staff representing various
organizational units, set up to establish IT priorities and to ensure that the management information
systems function is meeting the needs of the enterprise.
IS operational plan: consists of clear set of projects so that the IS department and the functional area
managers will execute in support of the IT strategic plan, consists of:
Objectives of IS function
The application portfolio
Resource allocation and project management 1.2 business processes and business process management
Business process: A collection of related activities that produce a product or a service of value to
the organization, its business partners, and/or its customers.
Cycle and fulfillment time
Business process reengineering (BPR) is approach that improves effieciency and
effectiveness of an organization’s business processes
Negatives: can overwhelm employees , difficult, too radical
Business process management (BPM): A management technique that includes methods and
tools to support the design, analysis, implementation, management, and optimization of business
1.3 information systems: concepts and definitions
Data items: An elementary description of things, events, activities, and transactions that are
recorded, classified, and stored but are not organized to convey any specific meaning.
Examples: numbers, letters, figures, sounds, images, students grade in a class,
the number of hours an employee worked in certain week, or the price of a
Information: Data that have been organized so that they have meaning and value to the recipient.
Examples: GPA coupled with students name and her GPA information, a list
of ringtones sold stating the frequency of sales
Knowledge: (also called intellectual capital and intellectual asset) Data and/or information that
have been organized and processed to convey understanding, experience, accumulated learning, and
expertise as they apply to a current problem or activity.
Examples: company recruiting wants someone with 3.0, based on sales
ringtone and past history company choose only to market ringtone over 30
seconds in length
Information technology (IT) Architecture: A high-level map or plan of the information assets
in an organization.
Information technology (IT) infrastructure: The physical facilit