1. Chapter One The Importance of MIS a.

. Moores Law the number of transistors per square inch on an integrated chip doubles every 18 months. b. Four skills i. Abstract reasoning ability to make and manipulate models ii. Systems Thinking ability to model the components of the system iii. Collaboration activity of two or more people working together to achieve a common goal, result, or work product iv. Ability to Experiment making a reasoned analysis of an opportunity, envisioning potential solutions, evaluating those possibilities, and developing the most promising ones c. This class will: i. Give you background to assess, evaluate, and apply emerging information systems technology to business ii. Give you job security by developing marketable skills d. What is an Information System? i. System group of components that interact to achieve some purpose ii. Information System group of components that interact to produce information iii. Five-component framework make up an information system computer hardware, software, data, procedures, and people iv. Management Information Systems (MIS) development and use of information systems that help businesses achieve their goals and objectives v. Information Technology products, methods, inventions, and standards that are used for the purpose of producing information 1. Hardware, software, and data components e. Strong Password i. Seven or more characters ii. Does not contain your user name, real name, or company name iii. Does not contain a dictionary word in any language iv. Different from previous passwords you have used v. Contains upper and lowercase letters, numbers, and special characters 2. Chapter Two Business Processes, Information, and Information Systems a. Business Process network of activities, roles, resources, repositories, and data flows that interact to accomplish a business function i. Activities collections of related tasks that receive inputs and process those inputs to produce outputs 1. Manual people following procedures 2. Automated hardware directed by software ii. Decision question that can be answered with a yes or no iii. Roles set of procedures iv. Resources people, facilities, or computer programs that are assigned to roles v. Repository collection of business records 1. Anything from a cardboard box, a notebook, list, or spreadsheet vi. Data flow - movement of a data item from one activity to another activity or to a repository b. Information knowledge derived from data, where data is defined as recorded facts or figures c. Characteristics of good information

i. Accurate information based on correct and complete data, and it has been processed correctly as expected ii. Timely information produced in time for its intended use iii. Relevant information that directly pertains to both the context and to the subject it references iv. Just barely sufficient information sufficient for the purpose for which it is generated v. Worth its cost appropriate relationship between the cost of the information and its value d. Two main benefits of an information system i. Labor savings ii. More data that can be processed for more information e. Data is a stimulus; information is a response to that stimulus 3. Chapter Three Organizational Strategy, Information Systems, Competitive Advantage a. Five forces model model developed to determine the potential profitability of an industry i. Competitive forces dangers of customers taking business elsewhere 1. Competition from vendors of substitutes 2. Competition from new competitors 3. Competition from existing rivals ii. Bargaining Power forces availability of substitutes and the relative size of the firm 1. Bargaining power of suppliers 2. Bargaining power of customers b. Competitive Strategy i. Provide lowest cost of products in the market ii. Differentiate products from competition c. Competitive Strategy and Chain Structure i. Value amount of money that a customer is willing to pay for a resource, product, or service ii. Margin difference between the value an activity generates and the cost of the activity iii. Value chain network of value-creating activities iv. Primary activities business functions that relate directly to the production of the organizations products or services v. Support activities business functions that assist and facilitate primary activities 1. Inbound logistics receiving, storing, and disseminating inputs to the product 2. Operations/Manufacturing transforming inputs into the final product 3. Outbound Logistics collecting, storing, and physically distributing the product to buyers 4. Sales and Marketing Inducing buyers to purchase the product and providing means for them to do so 5. Customer Service assisting customers use of the product and thus maintaining and enhancing the products value vi. Linkages interactions across value activities vii. Product Implementations 1. Create a new product or service 2. Enhance products or services 3. Differentiate products or services viii. Process Implementations 1. Lock in customers and buyers 2. Lock in suppliers 3. Raise barriers to market entry

4. Establish alliances 5. Reduce costs ix. Switching costs organizations lock in customers by making it expensive to switch to another product 4. Chapter Four Hardware and Software a. Hardware electronic components and related gadgetry that input, process, output, and store data according to instruction encoded in computer software i. Keyboard, mouse, document scanners, and bar code scanners b. Central Processing Unit (CPU) selects instructions, processes, them, performs arithmetic and logical comparisons, and stores results of operations in memory. i. Brains of the computer ii. Dual processor has two CPUs iii. Quad processor has four CPUs c. Main memory consists of circuitry for storing data and instructions that are acted upon by the CPU i. Sometimes called RAM (random access memory) d. Special function cards electronic components on thin fiberglass backing that can be added to the computer to augment its basic capabilities e. Output hardware video displays, printers, audio speakers, overhead projectors, and other special-purpose devices f. Storage hardware saves data and programs g. Binary digits what computers use to represent data i. Bits either a one or a zero, easy to represent electronically ii. Bytes group of eight bits. Represents one character of data iii. Kilobyte (K) 1024 bytes iv. Megabyte (MB) 1024 kilobytes v. Gigabyte (GB) 1024 megabytes vi. Terabyte (TB) 1024 gigabytes h. How a computer works? i. Computer transfers the program or data from disk to main memory ii. Moves the instruction from main memory to the CPU via the data channel 1. Cache very fast memory computer has little of iii. Operating system (OS) program that controls the computers resources iv. Memory swapping switching out older memory to meet the needs of new memory i. CPU i. 32-bit CPU can effectively utilize up to 4GB of main memory ii. 64-bit CPU can use basically an unlimited amount of memory iii. CPU speed expressed in Hertz. 1.5 or 3+ (higher the faster) j. Volatile contents of the cache and main memory are lost when the power is off k. Nonvolatile contents survive when the power is turned off l. Client individual computers that do basic processing on software. i. Can be connected up to a network m. Server provide many functions for a number of different computers i. Need to be very fast, lots of memory, very large disks ii. Server farm large collection of servers n. Instruction set commands that a CPU can process o. Four major Operating systems i. Windows basic system. Microsoft Office ii. Mac OS graphic artists. Easy to use. Run both windows and Mac OS

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iii. Unix Scientific and engineering. Arcane language for manipulating files. Sun Microsystems iv. Linux version of Unix developed by the open source community. Volunteers develop and maintain Own vs. License i. License right to use a certain number of copies of a program, subject to limits on the venders liability ii. Site license flat fee payment for the right to install the system on all of the companys computers Cloud computing form of hardware/software leasing in which organizations obtain server resources from vendors that specialize in server processing Virtualization process whereby multiple operating systems share the same hardware Application Software performs a service or a function i. Horizontal-market application provide capabilities common across all organizations and industries 1. Microsoft Word, Excel, Adobes Acrobat, etc. ii. Vertical-market application software serves the needs of a specific industry. Coach Manager iii. One-of-a-kind application developed for a specific, unique need. Firmware computer software that is installed into devices such as printers, print servers, and various types of communication devices Desktop programs do not need to connect to any server to run Client-server applications applications process code on both the client and the server i. Thick-client application program that must be preinstalled on the client ii. Thin-client runs within a browser (IE, Firefox, Safari, Chrome) General Public License Agreement (GPL) standard license agreements for open source software Source code computer code written by humans and understood by humans Machine code processed by a computer Closed source source code is highly protected. Only available to a certain number of people