Decision Support System

A decision support system (DSS) is an information system that is computer-based and supports business/organizational decision-making activities (1). They serve in many parts of a business, assisting in management as well as operations, and help make decisions. Decision support systems include knowledge-based systems and are designed as interactive software-based systems, which serve to help decision makers collect useful information from raw data, documents, personal knowledge, or business models (1). These help workers identify/solve problems and make decisions, which is greatly important in any business. Decision support systems may access all of a business’s information benefits, such as legacy and relational data sources, cubes, data warehouses, and data marts (2). In addition, they may gather sales and revenue information between one week and the next, helping organizations compare their sales figures and projected revenue figures (2). This helps businesses evaluate how their sales are doing. A decision support system is different from a typical information system or management information system due to the fact that it not only provide users with information, databases, and reports, but also provides users with answers to queries such as decisions through its models (3). Decision-making is extremely important within businesses. Making the right decision in these circumstances is based on the quality of the business’s data and its ability to go through and analyze this data to find the trends in which they can create solutions and strategies for, depending on the information that was collected (4). Organizations should not be without a DSS because they collect, analyze and shape the data that is collected in which they make key decisions and construct strategies from. They help make important decisions and solve problems for businesses and are useful in any organization.

(1) http://en.wikipedia.org/wiki/Decision_support_system
(2) http://www.informationbuilders.com/decision-support-systems-dss.html
(3) http://www.bit.vt.edu/academics/dss_index.html
(4) http://www.tech-faq.com/decision-support-system.html

Electronic Business

Electronic business refers to the application of information and communication technologies (ICT) in support of all the actions of business (1). It is any process that a business conducts over a computer network. This can help businesses by allowing companies to link their internal and external data processing systems more capably. This results in more customer satisfaction (1). Many companies use electronic business for production, customer-focused processes, or management-focused processes (2). This can include electronic selling, customer management, employee training, and more. Electronic business includes e-commerce, which is “any transaction completed over a computer-mediated network that involves the transfer of ownership or rights to use goods and services” (2). The buying and selling of products online, which is an example of e-commerce, has become very popular for businesses as well as customers, since there are many advantages for both. First of all, the customers can order their products no matter what time of the day. Sometimes they may even obtain their order right away, such as electronic books or computer software that downloads right to their computer. This way, they do not need to leave their home or office in order to buy the product and they can order it on their own time without having to worry about when the store closes. As for the sellers, e-business helps cut costs and expand their markets. For instance, since the buying and selling is done electronically, the company does not need to build staff, maintain a physical store, or print and distribute mail order catalogs (3). “Automated order tracking and billing systems cut additional labor costs, and if the product or service can be downloaded then e-commerce firms have no distribution costs involved” (3). These businesses are not limited by the physical location of a store (3). Some examples of e-commerce businesses include Amazon and EBay, which are both extremely popular for their electronic buying and selling.

(1) http://en.wikipedia.org/wiki/Electronic_business
(2) http://www.census.gov/epcd/www/ebusines.htm
(3) http://ezinearticles.com/?What-is-e-Commerce---Advantages-and-Drawbacks!&id=241542

Cloud Computing

Cloud computing has changed the computer industry and the way businesses and people use hardware and software. Cloud computing uses a giant collection of computers to serve has a host to run applications. Therefore, local computers do not have to do all of the work when it comes to running applications and the network of computers that make up “the cloud” handles them instead (1). Almost everybody has had experience with cloud computing considering e-mail communication, which is cloud computing, has become a big part of peoples’ lives. Big companies that offer online e-mail include Microsoft, Google, and Yahoo. Almost everywhere you go, your e-mail can be available to you since you just have to log-on to a web e-mail account, which is possible to do on any computer (2). “The software and storage for your account does not exist on your computer – it’s on the service’s computer cloud (1). When you first log in to your user account on your chosen e-mail service provider, the system verifies your identity through a series of verification and authentication procedures (3). Once you log on, you are given different options of services and applications. After you decide what you want to do, the middleware on the main server processes your request and forwards it to another set of verification and authentication procedures (3). As soon as identity is established, the main server requests the services you wanted from a series of application servers running different application software, followed by returning it to the main server for delivery to your computer as web applications (3). Your data is saved in the cloud’s database storage system. This is how e-mail works as cloud computing, showing that cloud computing has become a useful and effective part of our lives.

(1) http://communication.howstuffworks.com/cloud-computing.htm
(2) http://www.technobuffalo.com/blog/guides/five-examples-of-cloud-computing/
(3) http://ezinearticles.com/?Cloud-Computing---How-Does-it-Work?&id=3400843

Hardware and Software

One way a small company can extend the use of information systems into mobile regime of work is the use of hardware such as portable computers. There are many different types of these computers and they range from being touch screen or having a miniature keyboard. One significant reason businesses would excel by the use of these personal digital assistants is because they are capable of doing everything a regular desktop computer does. This way, employees would not have to be at work in order to perform their work tasks, giving the company a mobile management of work. “Users have found PDAs [personal digital assistants] to be particularly helpful tools for organizing and maintaining personal data, such as address books, appointment calendars, project lists, and expense reports. Later incarnations of the technology have also offered users mobile access to electronic mail, news, and entertainment through connectivity to the Internet” (1).

Additionally, businesses could purchase any of Apple’s gadgets, which use the mobile operating system iOS, derived from Mac OS X . Being an owner of an Apple iPhone, iPad, iPod, and MacBook, I know how resourceful the company has made these hardware devices to use when on the go. The operating system was originally made for just the iPhone, but the iPod Touch, iPad, and Apple TV were soon added to the list of devices containing iOS (2). Since Apple has made more devices compatible with iOS, it gives businesses a broader choice as to which they would want to purchase for mobile working.

Each of these Apple gadgets includes an App store. “Apple's App store contains more than 300,000 iOS applications, which have collectively been downloaded more than 7.5 billion times” (2). With this software, people can even video chat right on their phones. Each gadget with iOS can even multitask, so one does not need to stop what they are doing in order to take a call or use another convenient application. A great business application that can be purchased on these Apple products is WorldCard Mobile, where one can scan and organize business cards and keep co-workers’ information right in their phonebooks. MeetMe is another great business app, giving colleagues places in the middle of their locations in which they could meet (3). These are just two of the numerous applications one can purchase to keep their work organized and easy.

(1) http://www.referenceforbusiness.com/management/Gr-Int/Handheld-Computers.html

(2) http://en.wikipedia.org/wiki/IOS_(Apple)

(3) http://mashable.com/2010/06/20/iphone-business-apps/

Systems Theory

Systems theory can be defined as the transdisciplinary study of systems in general, with the goal of elucidating principles that can be applied to all types of systems in all fields of research (1). Therefore, instead of focusing on one part of a system, the system is viewed as a group of interconnected parts. An example from chapter one would include the value chain since it includes eight activities and are viewed as a group. Each part of the value chain is important and interconnected. In order for an organization to be successful, it must follow this system. The systems theory is linked to many applications due to the importance of systems in the world.

One field in which systems theory can be applied is in education. A school must look at the students as a whole, since they want every student to learn and not just certain individuals. The system in education consists of high expectations, purposeful support, and a caring environment (2). In order for a school to be successful and accomplishing its goal of educating all students, it must consist of these things within the system. Also, the way in which the students are considered a group, the teachers must also be viewed as a group. Just one teacher cannot educate every student; so they must work as a group in order to reach their goal of educating every student.

Systems theory can also be applied to families. “Families are systems of interconnected and interdependent individuals, none of whom can be understood in isolation from the system” (3). Each person in a family has a role and is expected to treat the others in the family a certain way due to relationship agreements. If these roles are not followed through, it could lead to dysfunction of a family. So each member of a family has an important position in the group, which is how systems theory can also be linked to families.

(1) http://en.wikipedia.org/wiki/Systems_theory#Living_systems_theory

(2) http://www.inparaeducators.org/workingasateam/systems_educ.html

(3) http://www.genopro.com/genogram/family-systems-theory/

Analyzing the Value of an Information System

Transaction processing systems (TPS) are organized collections of people, procedures, software, databases, and devices used to record completed business transactions. These systems are computer-based. A transaction is any business-related exchange such as payments to employees, sales to customers, or payments to suppliers. Therefore, transaction processing systems collect, store, adjust, and reclaim these exchanges of an organization. Processing these transactions was the first computer application made for most organizations. There are different stages that transaction processing systems go through, each having a huge level of importance within an organization. The collection, processing, and storage of data that transaction processing systems are accountable for can be incorporated into the upstream management of the organization. Before storing the data, TPSs must edit and correct any data if needed. The TPS then stores the data in order to produce documents or reports if needed. This data can be used to serve customers through a computer or machine.

An example of a transaction processing system is automatic teller machines at banks (ATMs) since a person can withdraw money from the bank with just the use of a computer. The storage in this case would be the money stored in the bank accounts as well as in the machine that a person is going to withdraw. Storage within a TPS is extremely important since it may be dealing with a person’s money or any other personal and important information. When a person wants to draw money from their account, they simply work through the machine and the money is deducted from their bank account and is ejected from the machine. ATMs will work anywhere as long as a person has their card and it is acceptable to the machine. This serves as customer service since ATMs are basically in all places. Each ATM is interconnected to banks by electronic means, serving the bank customers everywhere they go. The finished product storage of this TPS would be the customer receiving the money they withdrew and having their bank account accessed through the machine to keep their money accounted for.