1. Types, Purposes and Applications
of Information Systems

2. Hardware +software +people +procedures +
data = Information System

3. Information System
• Generic reference to a computer based system
that provides data processing capabilities for
department or, perhaps, an entire company;
information that people need to make
better, more informed decisions.

4. • Data processing capability
system’s capability to handle and process
data.

5. Types of Information Systems
1. Data processing systems
2. Management information systems
3. Decision support systems
4. Executive information systems
5. Expert systems

6. 1. Data Processing Systems (DP)
• are concerned with transaction handling and
record-keeping,

7. • data are entered and stored in a file
format, and stored files are updated during
routine processing.

8. • Periodic outputs include action documents
(invoices) and scheduled reports, primarily for
operational-level managers.

9. Drawback of Data Processing Systems
• Inflexible
• cannot accommodate data processing or
information needs that are not already built
into system

10. 2. Management Information Systems
(MIS)
• Method, a function, an approach, a
process, an organization, a system, and a
subsystem.

11. • An MIS is an integrated structure of databases
and information flow that optimizes the
collection, transfer, and presentation of
information throughout the multilevel
organization

12. The MIS versus DP System
• The integrated database of an MIS enables
greater flexibility in meeting the information
needs of management than the traditional file
environment of DP systems.

13. • An MIS integrates the information flow
between functional areas where DP systems
tend to support a single functional area.

14. • An MIS caters to the information needs of all
levels of management where DP systems focus
on operational-level support.

15. • Management’s information needs are
supported on a more timely basis with an MIS
(on-line inquiry capability) than with DP
system (usually scheduled reports).

16. Characteristics of Management
Information Systems
• supports the data processing functions of
transaction handling and record keeping.
• uses an integrated database and supports a
variety of functional areas.

17. • Provides operational, tactical and strategic-
level managers with easy access to timely
but, for the most part, structured information.

18. • is somewhat flexible and can be adapted to
meet changing information needs of
organization
• provides envelop of system security that limits
access to authorized personnel.

19. 3. Decision Support Systems
• Decision support system (DSS) are interactive
information systems that rely on an integrated
set of user-friendly hardware and software
tools to produce and present information
targeted to support management in the
decision making process.

20. • A decision support system can help close the
information gap and allow managers to
improve the quality of their decisions.

21. • To do this, DSS data support system hardware
and software employ the latest technological
innovations.
Ex. (color graphics and database management
system) planning and forecasting
models, user- oriented 4GLs, and even
artificial intelligence.

22. The DSS versus MIS
• management information systems are
oriented to supporting decisions that involved
structured problems,
• In contrast, decision support systems are
design to support decision-making processes
involving semistructured and unstructured
problems

23. • an MIS is designed and created to support a
specific application (accounting, inventory
control) or a set of applications
• a DSS is a set of decision support tools that
can be adapted to any decision environment.

24. Characteristics of Decision Support
Systems
• A DSS makes general-purpose
models, simulation capabilities, and other
analytical tools available to the decision
maker.
• A DSS can be readily adapted to meet the
information requirements of any decision
environment.

25. The DSS Tool Box

26. 4. Executive Information Systems (EIS)