Introduction to

Information Systems
Supporting and Transforming Business

Fifth Canadian Edition

R. KELLY RA INER, JR.

BRA D PRINCE

CRISTÓBAL SÁNCHEZ-RODRÍGUEZ

INGRID SPLETTSTOESSER H OGETERP

SEPIDEH E BRAHIMI
Contents

PREFACE iii
4 Information Security and
1 Introduction to Information Controls 89

Systems 1 Case 4.1 89

Introduction 92
Case 1.1 1
4.1 Introduction to Information Security 93
Introduction 2 4.2 Unintentional Threats to Information Systems 94
1.1 Why Should I Study Information Systems? 3 4.3 Deliberate Threats to Information Systems 97
1.2 Overview of Computer-Based Information 4.4 What Organizations Are Doing to Protect
Systems 10 Information Resources 107
1.3 How Does IT Impact Organizations? 18 4.5 Information Security Controls 110
1.4 Importance of Information Systems to Society 23 4.6 Personal Information Asset Protection 121
Summary / Chapter Glossary / Discussion Questions / Summary / Chapter Glossary / Discussion Questions /
Problem-Solving Activities / Chapter Closing Case Problem-Solving Activities / Chapter Closing Case
Case 1.2 30 Case 4.2 126

2 Organizational Strategy, 5 Data and Knowledge

Competitive Advantage,
Management 129
and Information Systems 33
Case 5.1 129
Case 2.1 33
Introduction 130
Introduction 34 5.1 Managing Data 131
2.1 Business Processes 35 5.2 The Database Approach 133
2.2 Business Process Reengineering, Business 5.3 Big Data 137
Process Improvement, and Business Process 5.4 Data Warehouses and Data Marts 147
Management 41 5.5 Knowledge Management 156
2.3 Business Pressures, Organizational Responses, and 5.6 Appendix: Fundamentals of Relational Database
Information Technology Support 45 Operations 158
2.4 Competitive Advantage and Strategic Information Summary / Chapter Glossary / Discussion Questions /
Systems 53 Problem-Solving Activities / Chapter Closing Case
Summary / Chapter Glossary / Discussion Questions / Case 5.2 169
Problem-Solving Activities / Chapter Closing Case
Case 2.2 65
6 Telecommunications and
3 Ethics and Privacy 67 Networking 171

Case 3.1 67 Case 6.1 171

Introduction 68 Introduction 173
3.1 Ethical Issues 68 6.1 What Is a Computer Network? 173
3.2 Privacy 74 6.2 Network Fundamentals 176
Summary / Chapter Glossary / Discussion Questions / 6.3 The Internet and the World Wide Web 181
Problem-Solving Activities / Chapter Closing Case 6.4 Network Applications: Discovery 188
Case 3.2 87 6.5 Network Applications: Communication 191

vi
 Contents vii

6.6 Network Applications: Collaboration 194

6.7 Network Applications: Education 198
10 Information Systems within the
Summary / Chapter Glossary / Discussion Questions / Organization 300
Problem-Solving Activities / Chapter Closing Case
Case 6.2 204 Case 10.1 300
Introduction 301

7 E-Business and E-Commerce 206

10.1 Transaction Processing Systems 301
10.2 Functional Area Information Systems 303
10.3 Enterprise Resource Planning Systems 310
Case 7.1 206
10.4 ERP Support for Business Processes 317
Introduction 209 Summary / Chapter Glossary / Discussion Questions /
7.1 Overview of E-Business and E-Commerce 210 Problem-Solving Activities / Chapter Closing Case
7.2 Business-to-Consumer (B2C) Electronic Case 10.2 324
Commerce 215
7.3 Business-to-Business (B2B) Electronic
Commerce 224
7.4 Ethical and Legal Issues in E-Business 228 11 Customer Relationship
Summary / Chapter Glossary / Discussion Questions / Management and Supply
Problem-Solving Activities / Chapter Closing Case
Case 7.2 235
Chain Management 326
Case 11.1 326
8 Wireless, Mobile Computing, and Introduction 328
Mobile Commerce 237 11.1 Defining Customer Relationship
Management 328
Case 8.1 237 11.2 Operational Customer Relationship Management
Introduction 238 Systems 333
8.1 Wireless Technologies 239 11.3 Other Types of Customer Relationship
8.2 Wireless Computer Networks and Internet Management Systems 338
Access 248 11.4 Supply Chains 341
8.3 Mobile Computing and Mobile Commerce 255 11.5 Supply Chain Management 343
8.4 The Internet of Things 259 11.6 Information Technology Support for Supply Chain
Summary / Chapter Glossary / Discussion Questions / Management 350
Problem-Solving Activities / Chapter Closing Case Summary / Chapter Glossary / Discussion Questions /
Case 8.2 266 Problem-Solving Activities / Chapter Closing Case
Case 11.2 360

9 Social Computing 268

Case 9.1 268 12 Business Analytics 362

Introduction 271
9.1 Web 2.0 272 Case 12.1 362
9.2 Fundamentals of Social Computing in Business 278 Introduction 364
9.3 Social Computing in Business: Shopping 280 12.1 Managers and Decision Making 365
9.4 Social Computing in Business: Marketing 286 12.2 The Business Analytics Process 369
9.5 Social Computing in Business: Customer 12.3 Descriptive Analytics 372
Relationship Management 290 12.4 Predictive Analytics 375
9.6 Social Computing in Business: Human Resource 12.5 Prescriptive Analytics 383
Management 293 12.6 Presentation Tools 386
Summary / Chapter Glossary / Discussion Questions / Summary / Chapter Glossary / Discussion Questions /
Problem-Solving Activities / Chapter Closing Case Exercises / Data-Driven Exercise / Chapter Closing Case
Case 9.2 298 Case 12.2 393
viii Contents

13 Acquiring Information Systems and TG 2.3 Application Software 436

Summary / Technology Guide Glossary/ Discussion
Applications 395 Questions / Problem-Solving Activities

Case 13.1 395

Introduction 396 Technology Guide 3 Cloud
13.1 Planning for and Justifying IT Applications 396
13.2 Strategies for Acquiring IT Applications 400
Computing 440
13.3 Traditional Systems Development Life Cycle 406
Introduction 440
13.4 Alternative Methods and Tools for Systems
TG 3.1 Evolution of IT Infrastructure 441
Development 410
TG 3.2 What Is Cloud Computing? 442
Summary / Chapter Glossary / Discussion Questions /
TG 3.3 Different Types of Clouds 446
Problem-Solving Activities / Chapter Closing Case
TG 3.4 Cloud Computing Services 448
Case 13.2 419
TG 3.5 The Benefits of Cloud Computing 452
TG 3.6 Concerns and Risks with Cloud
Technology Guide 1 Computing 454
Hardware 420 TG 3.7 Web Services and Service-Oriented
Architecture 457
Introduction 420 Summary / Technology Guide Glossary / Discussion
TG 1.1 Introduction to Hardware 421 Questions / Problem-Solving Activities
TG 1.2 Strategic Hardware Issues 421
TG 1.3 Computer Hierarchy 422
TG 1.4 Input and Output Technologies 424 Technology Guide 4 Artificial
TG 1.5 The Central Processing Unit 425
Summary / Technology Guide Glossary/ Discussion
Intelligence 462
Questions / Problem-Solving Activities
TG 4.1 Introduction to Artificial
Intelligence 462
Technology Guide 2 TG 4.2 Artificial Intelligence Technologies 465
Software 433 TG 4.3 Artificial Intelligence Applications 468
Summary / Technology Guide Glossary / Discussion
Introduction 433 Questions / Problem-Solving Activities
TG 2.1 Software Issues 434
TG 2.2 Systems Software 436 INDEX 475