INF1505
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, INF1505ExamPack:
INF1505May/June2014,INF1505Oct/Nov2013,INF1505May/June2013
INFORMATIONSYSTEMS:ANOVERVIEW
1.3TheBeginning:Transaction-ProcessingSystems
Forthepast60years,transaction-processingsystems(TPSs)havebeenappliedtostructuredtaskssuchas
recordkeeping,simpleclericaloperations,andinventorycontrol.Payroll,forexample,wasoneofthefirst
applicationstobeautomated.TPSsfocusondatacollectionandprocessing,andtheyhaveprovidedenormous
reductionsincosts.
Computersaremostbeneficialintransaction-processingoperations.Theseoperationsarerepetitive,suchas
printingnumerouschecks,orinvolveenormousvolumesofdata,suchasinventorycontrolinamultinational
textilecompany.Whenthesesystemsareautomated,humaninvolvementisminimal.Forexample,inan
automatedpayrollsystem,thereislittleneedformanagerialjudgmentinthetaskofprintingandsendingchecks,
whichreducespersonnelcosts.
QUESTION1.3.1
WhichoneofthefollowingisNOTanapplicationofTransactionProcessingSystems(TPS)?
1.Payrollsystem
2.Inventorycontrol
3.Recordkeeping
4.Gradingtests
Answer: 4. Gradingtests
1.4ManagementInformationSystems
Amanagementinformationsystem(MIS)isanorganizedintegrationofhardwareandsoftwaretechnologies,data,
processes,andhumanelementsdesignedtoproducetimely,integrated,relevant,accurate,andusefulinformation
fordecision-makingpurposes.
Thehardwarecomponents,whicharediscussedinmoredetailinChapter2,includeinput,output,andmemory
devicesandvarydependingontheapplicationandtheorganization.MISsoftware,alsocoveredinChapter2,can
includecommercialprograms,softwaredevelopedin-house,orboth.Theapplicationororganizationdetermines
thetypeofsoftwareused.ProcessesareusuallymethodsforperformingataskinanMISapplication.Thehuman
elementincludesusers,programmers,systemsanalysts,andothertechnicalpersonnel.Thisbookemphasizes
usersofMISs.
IndesigninganMIS,thefirsttaskistoclearlydefinethesystem'sobjectives.Second,datamustbecollectedand
analyzed.Finally,informationmustbeprovidedinausefulformatfordecision-makingpurposes.
ManyMISapplicationsareusedinboththeprivateandpublicsectors.Forexample,anMISforinventorycontrol
providesdata(suchashowmuchofeachproductisonhand),whatitemshavebeenordered,andwhatitemsare
back-ordered.AnotherMISmightforecastsalesvolumeforthenextfiscalperiod.Thistypeofsystemusesrecent
historicaldataandmathematicalorstatisticalmodelstogeneratethemostaccurateforecast,andsalesmanagers
canusethisinformationforplanningpurposes.Inthepublicsector,anMISforapolicedepartment,forexample,
couldprovideinformationsuchascrimestatistics,crimeforecasts,andallocationofpoliceunits.Managementcan
examinethesestatisticstospotincreasesanddecreasesincrimeratesortypesofcrimesandanalyzethisdatato
determinefuturedeploymentoflawenforcementpersonnel.
Asyouwillseeinthisbook,manyorganizationsuseinformationsystemstogainacompetitiveadvantage.The
informationboxonHertzdescribesoneexampleofthis.(Note:MISsareoftenreferredtoasjustinformation
systems,andthesetermsareusedinterchangeablyinthisbook.)
QUESTION1.4.1
The_____________componentofthemanagementinformationsystem(MIS)includesinput,output,and
memorydevices.
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, 1.Hardware
2.Software
3.Processing
4.Data
Answer: 1. Hardware
1.5MajorComponentsofanInformationSystem
Inadditiontohardware,software,andhumanelements,aninformationsystemincludesfourmajorcomponents,
whicharediscussedinthefollowingsections:data,adatabase,aprocess,andinformation(seeExhibit1.3).
QUESTION1.5.1
Atypicalinformationsystemincludeswhichofthefollowingcomponents?
a.Dataentrysystem
b.Database
c.Process
d.Information
1.A,B,C,D
2.B,C,D
3.C,D
4.A,B,C
Answer: 2. B,C,D
1.5.aData:
Thedatacomponentofaninformationsystemisconsideredtheinputtothesystem.Theinformationthatusers
needaffectsthetypeofdatathatiscollectedandused.
Generally,therearetwosourcesofdata:externalandinternal.Aninformationsystemshouldcollectdatafrom
bothsources,althoughorganizationalobjectivesandthetypeofapplicationalsodeterminewhatsourcestouse.
Internaldataincludessalesrecords,personnelrecords,andsoforth.Thefollowinglistshowssomeexamplesof
externaldatasources:
Customers,competitors,andsuppliers
Governmentagenciesandfinancialinstitutions
Laborandpopulationstatistics
Economicconditions
Typically,datahasatimeorientation,too.Forexample,pastdataiscollectedforperformancereports,andcurrent
dataiscollectedforoperationalreports.Inaddition,futuredataispredictedforbudgetsorcashflowreports.Data
canalsobecollectedindifferentforms,suchasaggregated(e.g.,subtotalsforcategoriesofinformation)or
disaggregated(e.g.,itemizedlists).Anorganizationmightwantdisaggregateddatatoanalyzesalesbyproduct,
territory,orsalesperson.Aggregateddatacanbeusefulforreportingoverallperformanceduringaparticularsales
quarter,forexample,butitlimitstheabilityofdecisionmakerstofocusonspecificfactors.
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