INFORMATION SYSTEMS

It is a set of interrelated components working together to collect, retrieve, process, store and
disseminate information for the purpose of facilitating planning, controlling, coordination and
decision making.
It can also be defined as a combination of hardware, software, infrastructure and trained
personnel organized to facilitate planning, control, coordination, and decision making in an
organization.
Information systems typically include an ICT component but are not purely concerned with
ICT, focusing instead on the end use of information technology.
We depend on information systems to help us create, control, store, find and access
information.
COMPONENTS OF INFORMATION SYSTEM
1. Hardware
Hardware is the physical embodiment of an information system. It is one of the main
elements which create the information system cycle.
Information system's hardware refers to all types of hardware and the media used for input,
processing, managing, distributing and saving information that are being used in an
organization.
Examples of the hardware are the physical computers, networks, communication equipment,
scanners, digital drives, and so on.
2. Software
Software is the intangible parts of the Information System. It consists of two categories.
These are the system software and the application software.
a. System Software controls the computer and contains the operating system and device
drivers, which can communicate with the hardware.
b. Application Software contains programs which can help users and enable companies to
perform business functions. Users can increase productivity with the presence of application
Software such as spreadsheets, word processing, ordering systems, and accounts receivable.
3. Data
Data refers to the raw facts on anything or entities like student names, courses and marks.
The raw data that has not yet been provided can be processed to become more useful
information.
Information is an organized, meaningful and useful interpretation of data such as a
company’s performance or a student's academic performance. Information systems change
data into information, which is useful and capable of giving a certain meaning to its users.
Every data or record is a raw fact. After going through processes such as addition, ordering,
combining, manipulating and so on, many kinds of information can be produced. The
information generated is not limited to a certain form. It can be interpreted in many ways
according to the needs and wills of customers.
 4. Procedure
Process or procedure explains the activities carried out by users, managers and staff. Process
is important for supporting a certain business model available as written documents or as
reference materials on-line.
The procedure for using a certain matter is very wide and very important to ensure that it can
be implemented with success. All the information system components contain management
and implementation procedures on their own, and they are different from each other.
5. Human
It is associated with the manpower required to run and manage the system. People are the end
user of the information system, end-users use information produced for their own purpose,
the main purpose of the information system is to benefit the end user.
The end user can be accountants, engineers, salespersons, customers, clerks, or managers etc.
People are also responsible to develop and operate information systems. They include
systems analysts, computer operators, programmers, and other clerical IS personnel, and
managerial techniques.
MEDIA TYPES IN PRESENTING INFORMATION
1. Text
2. pictures – both still and moving
3. sound
4. graphics
5. statistics
6. animation
CATEGORIES OF INFORMATION SYSTEM
• Manual Information System
It is a system that is wholly managed by humans with the help of paper and other documents.
Examples; class register, telephone directory, class time table, etc.
• Computerized Information System
This system uses computers and other technology to carry out its operations.
Examples; databases,
A manual-based information system is one that does not rely on any computerized systems.
Information can be recorded and kept in different ways such as in files in paper form.
Computer-based information system on the other hand, will record information using various
computer programs such as databases, Word documents, Excel etc.
Both types of information system are designed to help a business carry out its day-to-day
running and operations. In recent times, computer-based systems are generally considered to
be more popular as more businesses are choosing to keep up with the developments in
information technology. There are still those who continue to use manual systems though,
perhaps as a matter of financial constraints or it may simply be more suitable for their type of
business.
A manual based information system is generally considered to be cheaper than a computer-
based system; however, it may contribute to lower levels of staff productivity.
In addition, having data stored manually in boxes or files is not very environmentally-friendly
and this could be risky if a fire broke out for example as there would be no back up.
A computer-based information system may be considered to be more cost effective and
efficient than a manual system. It speeds up operations and can back up important
information at the touch of a button. It is however very expensive to set up and may need to
be maintained by IT technical support advisors on a regular basis.
There are many advantages to computer-based information systems over its manual
counterpart; the most notable of which are the following:
• The superior speed with which data can be accessed
• The additional confidentiality afforded by techniques such as encryption
• Data redundancy
• The reduction in space needed to store information
QUESTIONS
1. IN YOUR OWN WORDS, EXPLAIN INFORMATON SYSTEM
2. EXPLAIN MANUAL AND COMPTARISED INFORMATION SYSTEM AND
GIVE TWO EXAMPLES EACH
3. GIVE TWO ADVANTAGES AND TWO DISADVANTAGES OF
A. MANUAL INFORMATION SYSTEM
B. COMPUTARISED INFORMATION SYSTEM

ASSIGNMENT
LIST FOUR (4) DIFFERENCES BETWEEN MANUAL AND COMPUTARISED
INFORMATION SYSTEMS

TYPES OF INFORMATION SYSTEMS

1. Transaction Processing Systems (TPS)
A transaction processing system is also known as data processing system. Every time you
buy an item in a supermarket, withdraw some cash from your bank account, make a hospital
appointment or sign up for school course, a transaction has occurred.
Transactions are all the events that are recorded when goods and services are bought, sold,
distributed or dealt with in some manner. There are two kinds of transactions:
• Batch system, whereby transactions are collected over a period of time (say a day or a
week) and processed together;
• Real time / On-line systems, where the data is processed as soon as it is collected.
When there is no immediate urgency for a response or up-to-the minute information, a batch
processing system is often suitable. The TV licensing authority, for example may collect
requests for TV licenses and process them in batches of 50 or 100 at a time. An airline
reservation system, on the other hand, requires up-to-date information on what seats are
available, so a real time system must be used. Such a system is also known as ‘pseudo real
time’ system. The word ‘pseudo’ indicates that processing takes place effectively but not
absolutely immediately: a delay of a couple of minutes is normally acceptable
Exercise: WRITE TWO EXAMPLES EACH UNDER THE FOLLOWING TYPES OF TPS
A. BATCH
B. REAL TIME
C. PSEUDO REAL TIME

2. Office Automation Systems (OAS)

Office Automation is the use of any computer technology to aid in common office routine.
This information system covers activities in the office, which can improve work flow and
communication among workers, whether inside or outside the office. Office automation is
wider than word processing and form processing. It performs clerical activities such as
typesetting, printing, mailing, scheduling meetings, creating reports, conferencing and many
more.
The focus of this system is on the collection of information for whoever needs it. It involves
the use of computers in conjunction with other electronic equipment and software as well as
people and procedure.
3. Knowledge Work Systems (KWS)
It is used to promote the creation of knowledge and to make sure the knowledge and technical
skills are properly integrated into business. It is used to store knowledge and make logical
suggestions for the user. It is sometimes referred to as expert systems.
The main features of an expert system are:
• It is limited to a specific domain (area of expertise);
• It is typically rule-based;
• It can reason with uncertain data (the user can respond “don’t know” to a question);
• It delivers advice;
• It explains its reasoning to the user
Examples of KWS are;
a. Computer Aided Design (CAD)
b. Virtual Reality System (VRS)
c. Professional Support System (PSS)

4. Decision Support Systems (DSS)

Decision Support Systems provide managers with information to make the best decisions. It
helps to analyse information, recognise problems and making decisions.
Most Decision Supports Systems reports are in the form of charts and diagrams.
DSS cannot make a decision for a manager, but can offer access to information that will help
make the correct decision. For example, this system might help a manager to spot that the
sales of umbrella go up when there is a long spell of wet weather and therefore to adjust the
formula in the system which calculates the reorder quantities.
5. Management Information Systems (MIS)
MIS are designed to help managers monitor and control organisational performance and plan
for the future. This system takes the information extracted from TPS
It provides aid to managers by automating different processes that were initially done
manually. Business activities like business performance tracking and analysis, making
business decisions, making a business plan, and defining workflow. It also provides feedback
to the managers by analysing the roles and responsibilities.
An MIS is considered a significant application that helps managers immensely. Here are
some of the advantages of the information system:

 It enhances the efficiency and productivity of the company

 It provides a clear picture of the organization’s performance
 It adds value to the existing products, introduces innovation and improves product
development
 It assists in communication and planning for business processes
 It helps the organization provide a competitive advantage

6. Executive Support Systems (ESS)

ESS helps top-level executives to plan and control workflow and make business decisions. It
is very similar to Management Information System or MIS.
Here are some of the unique characteristics of ESS:

 It provides great telecommunication, better computing capabilities, and effective

display options to executives.
 It enables them with information through static reports, graphs, and textual
information on demand.
 It helps monitor performances, track competitors’ strategies, and forecast future
trends, among others.

ATTRIBUTES OF A GOOD INFORMATION SYSTEM

1. Completeness and Timeliness
2. Accuracy
3. Clarity and concise
4. Relevance
5. Trustworthiness
6. Cost
7. Relevant for its purpose
Processes (building blocks) for the development and presentation of information
1. Creating
2. Collecting
 3. Organising
4. Manipulating
5. storing (saving)
6. retrieving
7. communicating
Types of Information
1. By framework within which data is used
- International
- National
- Corporate
- Departmental
- Individual
2. By Business categorisation
- Strategic
- Tactical
- Operational
3. By Time
- Past
- Present
– Future
4. By Quantifiable
- Quantitative
- Qualitative
The Role of Information in the Society
Information is an essential resource for any organization. It helps create competitive
strategies, make decisions, and plan for the future. Without proper information management,
organizations can experience financial losses, missed opportunities and a lack of efficiency.
1. Information in Organisation Gives a Competitive Edge
With the right data at hand, your organisation can acquire a competitive advantage over its
rivals. It allows you to stay ahead of trends and make better decisions, which can lead to
improved performance and profitability
2. Information Improves Decision Making

Organisations have access to vast amounts of data that they can use to make informed
decisions. By analysing large volumes of data, managers can uncover trends and patterns that
would otherwise be difficult to observe.

3. Information Drives Growth

By collecting and analysing data, organizations can identify new ways to increase their
customer base, improve their products and services, and develop better strategies for success.
They can use data to develop new products and services that will further their growth.

4. Information Promotes Efficiency

With accurate data, managers can develop strategies for optimizing operations, which can
lead to cost savings and improved productivity. Through data analysis, organizations can also
identify potential problems and take steps to address them before they become costly. In this
way, data can help ensure that operations run more smoothly and effectively.

5. Information Enhances Communication

Information can be used to improve internal communication among different departments of

an organisation. By giving all stakeholders access to the same data, communication is
improved, which helps ensure that everyone is on the same page when it comes to decision-
making and strategy development.

Data can be used to facilitate communication between an organisation and its customers.

6. Information Improves Planning

Information can be used to inform the planning process of an organisation. By collecting and
analysing data, organizations can develop better strategies for success. They can also identify
opportunities that they may have missed, allowing them to make more informed decisions
and plan accordingly.

7. Information Facilitates Collaboration

Information can be used to foster collaboration both within and outside of an organisation. By
making data available to all stakeholders, organizations can ensure that everyone is on the
same page and working towards common goals.

Data can also be used to facilitate collaboration with external parties

8. Information Reduces Risk

Data can help identify potential risks before they become costly. It can also provide insights
into how the organisation is performing and help managers make decisions that are well-
informed. This helps ensure that the organisation is taking steps to mitigate risks and
maximize its chances of success.

9. Information Creates Value

By understanding customer needs, organisations can develop products and services that meet
those needs and generate more revenue.
Additionally, by leveraging data, organisations can better understand the markets they
operate and identify opportunities for growth.

10. Information Enables Innovation

organizations can gain insights into customer needs and develop products and services that
meet those needs. This helps foster a culture of innovation within the organization, which can
lead to new breakthroughs and improved operations.