Intro Comp-Based Info Sys Chapter 1 - Lecture Notes 1

Fact- the confirmation or validation of an object or event. Information age- the age we live in, when infinite quantities of facts are widely available to anyone who can use a computer. -Today, it is normal for college students to start a multimillion-dollar company - You just have to take opportunities by coupling power of information age with tradition business methods. 1.) Internet of Things (IoT)a. a world where interconnected Internet-enabled devices or “things” have the ability to collect and share data without human interference i. various security issues with this such as hacking and data leakage 2.) Machine to Machine (M2M) a. Refers to devices that connect directly to other devices i. Various security issues with this such as hacking and data leakage There are four core drivers of information age 1.) 2.) 3.) 4.) Data Information Business Intelligence Knowledge 1.) Data a. are raw facts that describe the characteristic of an event or object b. Structured data- has defined length, type, and format and includes numbers, dates, or strings such as Customer’s Address. c. Machine generated data- is created by machine without human intervention. Example: sensor data, point of sale data, and web log data d. Human generated data- data that humans, in interaction with computers, generate. Ex: input data, click stream data, or gaming data. e. Unstructured Data- is not defined and does not follow a specific format and is typically free form text such as emails. Example: twitter tweets and text messages f. Big data- collection of large, complex data sets including structured data, which cannot be analyzed using traditional database methods and tools. g. Snapshot- is a view of data at a particular moment in time 2.) Information a. Data converted into meaningful and useful context. b. Difference between data and information is that computers need data and humans need information c. Data is raw building blocks with not shape, process, or has not be analyzed d. Information gives meaning and context to analyzed data making it insightful for humans e. Report- a document containing data organized in table, matrix, or graphical format allowing users to easily comprehend and understand information. i. Static report- created once based on data that doesn’t change ii. Dynamic report- changes automatically during creation. Example: daily stock market prices or calculations of inventory. f. Variable- a data characteristic that stands for a value that chances or varies over time i. Allows managers to create hypothetical scenarios to study future possibilities 3.) Business Intelligence (BI) a. Information collected from multiple sources like suppliers, customers, competitors’ partners, and industries that analyzes patterns, trends, and relationships b. BI manipulates multiple variables such as interest rates, weather conditions, and gas prices c. There are both internal and external variables d. Analytics- the science of fact-based decision making i. Border category than business analy. ii. Used for data-driven or fact-based decision making e. Business analytics- the scientific process of transforming data into insight for making better business decisions. There are three types i. Descriptive analytics- used techniques that describe past performance and history. Ex: creating report including charts and graphs explain data ii. Predictive analytics- uses techniques that extract information from data and use it to predict future trends and identify behavioral displays. Ex: using past sales to predict future sales iii. Prescriptive analytics- uses techniques that create models indicating the best decision to make or course of action to take. Ex: airline using purchasing strategy to recommend the best prices across all flights to maximize revenue 4.) Knowledge Includes the skills, experience, and expertise, coupled with information and intelligence that creates a person’s intellectual resources a. Knowledge workers- individuals valued for their ability to interpret and analyze information b. Knowledge Assets (intellectual capital)- are human, structural, and recorded resources available to the organization i. Resides within the minds of the members, customers, and colleagues, include physical structures and recorded media. ii. Knowledge facilitators- help harness the wealth of the knowledge in the organization. -Data: I have one item  -Information: Item I have is a product that has the most sales during month of December  -Business intelligence: The month of December is the year going to see interest rates rise by 10% and snowstorms expects to cause problems  -Knowledge: Given the unexpected financial issues caused by the storms and the interest rates hike we will offer a discount on purchase in November and December to ensure sales levels increase by 10% 1.) Production a. The process where a business takes raw materials and processes them or converts them into a finished product for its goods or services b. Productivity: rate at which goods and services are produced based on total output given total inputs. Input (Lettuces tomatoes patty, buns) Process (cook ingredients) Output (Hamburger) 2.) Systems Thinking a. A way of monitoring the entire system by viewing multiple inputs being processed or transformed to produce outputs while continuously gathering feedback on each part b. Feedback- information that returns to its original transmitter (input, transform, or output) and modifies the transmitter’s actions. Ex: car’s system monitoring fuel level and turns warning light on for low fuel level i. Helps maintain stability. Input (data that is entered in computer Process (computer program process info.)  Output(the resulting info. From the computer program) FEEDBACK ( controls to ensure correct processing) -Management information Systems (MIS)- business function, like accounting and finance, which moves information about people, product, and process across the company to facilitate decision making and problem solving. a.) MIS is DOES NOT equal business success and innoviation b.) MIS DOES NOT represent business success and innovation c.) MIS is a tool that is the most valuable when it leverages talents of people who know how to use it and manage it effectively d.) There are other forms of MIS. Such as information technology (IT), information systems (IS), or management information systems (MIS)