AIS
Terms
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- A set of two or more interralated components that interact to achieve a goal.
- System
- Used in sytems development, changes in subsystems cannot be made without considering the effect on other subsystems and the sytem as a whole
- System concept
- elimination of duplicate recording, storage, reporting and other processing
- Integration
- These are collected, recorded, stored, and process by an information system
- Data
- Benefit produced by information less the cost of generating it
- Information value
- Six components of AIS
- People, procedures, data, information technology infrastructure, software, internal controls
- Three important business functions
- Collect and store data, transform data into information, provide adequate controls
- Inbound logistics, Operations, outbound logistics, marketing and sales, service
- Primary Activities
- Firm infrastructure, human resources, technology, purchasing
- Support activities
- Raw materials - Manufacturer - distributor - retailor - consumer
- Supply chain
- Decisions that are Repetitive, routine and understood well
- Structured decision
- Inocmplete decision making rules and need for subjective assessment
- Semi-structured decisions
- Nonrecurring and nonroutine.
- Unstructured decisions
- The entire system of organizational activities is greater than the sum of each individual part
- synergy