CSE 707: Information Systems Design

Introduction to Information Systems

Lecture 2

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Characteristics of a Information System
A system is an ordered relationship between several subsystems or
components to accomplish particular goals. An example of a subsystem is
the keyboard, monitor, CPU, mouse, etc. of a computer system.

1. Organisation:

This describes a systematic arrangement of elements that cooperate to

accomplish a centralised goal. The placement of subsystems in a certain
structure and sequence aids in the achievement of goals.

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Characteristics of a Information System
2. Interaction: how each subsystem performs, engages in communication with, or interacts with,
other system components. Subcomponents can transfer data and information using special
interfaces.

3. Interdependence: the idea that a system's components depend on one another to achieve its
goals.

4. Integration: a holistic view of the system that describes how various subsystems are connected
to the main goal. A bottom-up strategy is used to integrate the subsystem.

5. Planned approach: A system should operate following a planned strategy to accomplish

consolidated goals. The planned method consists of several previously established policies, rules,
budgets, timelines, and tactics.

6. Central goal: Each system is created to accomplish particular centralised goals. All subsystems
are developed and merged to accomplish centralised goals while preserving their identities.

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Elements of a System
i. Output: One of a system's main goals is to generate an output that is valuable to
the user. The output type could be products, services, information, etc. The output of
a system is the product of processing and the final consequence.
ii. Inputs: Materials, labour, data, information, and other factors that are entered into
the system for processing are considered inputs.
iii. Processor(s): A processor is a system component that transforms the input into
output. It is a part of a system's functioning.
iv. Control: A system is guided by the control element. It is a decision-making
subsystem that regulates a system's input, processing, and output among other
operations. Control is attained by adjusting the output's divergence from the
standard.

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Elements of a System
v. Feedback: Feedback is how control is achieved in a dynamic system. Feedback
measures a system's output against performance benchmarks and communicates
the information as needed for the system to take the appropriate action. This could
lead to changes in the input or processing, which would affect the result.

vi. Environment: An organisation operates within a larger system known as the

environment. It is the origin of outside factors that have an impact on a system.

vii. Boundaries and interface: A system's boundaries, or the limits that characterise
its constituent parts, operational procedures, and interrelationships, distinguish it
from other systems with which it interfaces. Where one system stops and another
begins is marked by a system boundary.

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Four Different Conceptualisations of IS
(a) Technological aspects: which include the handling, storing, and
transformation of data;

(b) Social aspects: which emphasise the fact that IS are fundamentally social
systems;

(c) Socio-technical aspects: which contend that IS contain both social and
technological components that are interconnected;

(d) Process aspects: which conceptualise IS in terms of handling and

supporting tasks and processes.

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Various Definitions of Information System

Source IS Definitions

Buckingham et al A system that gathers, stores, processes, and provides information

(1987, p. 18) important to a company (or to society) in a way that makes it available
and helpful to people who want to utilise it, including managers,
employees, customers, and citizens. A human activity (social) system,
such as an information system, may or may not include computer
systems.

United Kingdom Information systems are the tools used by businesses and individuals to
Academy for collect, process, store, use, and distribute information using information
Information technology.
Systems (1997)

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Types of Information Systems

Systems for Processing Transactions: The fundamental business

systems supporting an organisation's operational level are transaction
processing systems (TPS). A computerised system known as a
transaction processing system executes and records the daily
transactions required for the operation of the firm. The systems used for
transaction processing, which support the company's day-to-day
operations.

Process Control Systems: Systems for process control observe and

manage physical or industrial processes. Examples include systems for
producing steel, electricity, and refining petroleum.

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Types of Information Systems

Management Information Systems: Computer information systems

known as "management information systems" can gather and process
data from various sources for management-level decision-making in an
organisation.

Decision Support Systems: A decision support system is a

computer-based tool designed to assist managers at any organisational
level in selecting the best method for solving a semi-structured problem.
A computer-based information system known as a decision support
system helps managers make a variety of complex decisions.

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Types of Information Systems

Expert Systems: Systems are the branch of AI that has been used most
successfully in creating business applications. Expert systems are
knowledge-based systems that serve as advisors to users and offer them
expert counsel. A computer program called an expert system attempts
to mimic human reasoning. A group of computer programs known as an
expert system can carry out a task at the same level as a human expert.

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Information Systems Assessment
It is possible to quantify and value perceptible benefits. Although
imperceptible advantages, like better customer service or better
decision-making, cannot be measured right away, they can result in
quantifiable long-term gains. Different metrics can be used to assess
system performance.

Efficiency: Efficiency is frequently associated with "doing things well"

or "doing things." The ratio of output to input can be used to determine
efficiency. In other words, a business is more efficient if it generates
more output from a given number of resources, generates the same
amount of product from a given amount of resources invested, or, even
better, generates more output from a given amount of input.

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Information Systems Assessment
Effectiveness: The degree to which system objectives are met is used to
gauge effectiveness. It can be calculated by dividing the goals attained
by the number of goals established. Being effective is defined as "doing
the right thing," "doing what is necessary," or "doing what is right." The
capacity of an organisation to meet its stated goals and objectives can
be used to define effectiveness.

Financial measures of managerial performance: Management will

undoubtedly want to evaluate whether the information system has
accomplished its goals after it is put into place.
Return on capital invested, Productivity, Growth in profits, Client
satisfaction etc.

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Information System Challenges
Security: Today, safety or cybersecurity is one of the biggest issues that
IT must deal with. Given the enormous value of these assets and the
potential harm from getting them wrong, keeping the data, identities,
and personal information we exchange and interact with regularly
secure has become difficult.

Accessibility: Particularly for senior roles within an organisation, data

accessibility and availability are critical. With interoperability, making
data accessible for all parties would be relatively simple. Although the
advantages it can provide are well known, IT still needs to complete
several tasks before it can empower users.

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Information System Challenges
Strong networks: Internal networks need to be secure, robust, resilient,
and scalable, which is both important and extremely difficult. To reduce
obsolescence in the business, solutions must not only address current
needs but also be future-oriented and take into consideration
anticipated technology improvements.

Cost reduction: IT executives are under constant pressure to save

expenses while still delivering innovation and efficiency increases.
Competitive organisations might concentrate their investment on
innovation when they can give the same functionality for less money.
Organisations must ensure they are ahead of the curve on this issue as
IT continues to advance and evolve rapidly, creating new opportunities
to deliver more for less.
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