Chapter 1

INFORMATION TECHNOLOGY'S ROLE IN BUSINESS

• Information technology is everywhere in business

INFORMATION TECHNOLOGY'S IMPACT ON BUSINESS OPERATIONS

• Customer service  60%
• Finance 70%
• Sales and Marketing 50%
• IT Operations 35%
• Operations Management 29%
• Human Resources  15%
• Security 12%

• Organizations typically operate by functional areas or functional silos 
• Functional areas are independent 

INFORMATION TECHNOLOGY BASICS

Informations Technology (IT)

• a field concerned with the use of technology in managing and processing informations
• an important enabler of business succes and innovation
• Eg : software ,android, application

Management Information System (MIS)

• a general name for the business functions and academic discipline covering the applications of people , technologies 
• produces to solve business problems 
• business function , simillar to accounting ,finance , operations and human resources 

Data, Informations and Business intelligence

DATA

• raw facts that describe the characteristics of an event
• no context
• just number and text
• Example :

INFORMATION

• data converted into a meaningful and useful context
• process data
• value added to data   > summarized  , Organized , analyzed

BUSINESS INTELLIGENT

• Application and technologies that are used to support decision-making efforts

IT RESOURCES

• People use
• Information technology to work with
• Information

IT CULTURES

Organizational informations cultures include :

1. Information- Functional Cultures
2. Information-Sharing Cultures
3. Information-Inquiring Culture
4. Information-Discovery Culture 

Information- Functional Cultures

• use information as a means exercising influence or power over others
• Example : a manager in sales refuses to share information with marketing. This causes marketing to need the sales manager's input each time a new sales strategy.

Information -Sharing Culture

• departments trust each other to use information (especially about problems and failures )to improve performance .

Information-Inquiring Culture

• departments search for information to better understand the future and align themselves with current trends and new directions.

Information-Discovery Culture 

• open to new insight about crisis and radical changes and seek ways to create competitive advantages