Introduction to

Information Systems
DR. SARAH NAIEM
S O U R C E B O O K : 1 S T E D I T I O N [ E A R LY R E L E A S E ]
B Y: P R O F. M A N A L A B D E L - K A D E R A B D E L - FAT TA H
Outline
➢Introduction
➢Why should we study Information Systems?
➢Exploring Career Opportunities in Information Technology
➢Data, Information, and Knowledge
➢The Value of Information
➢Characteristics of Quality Information
➢The importance of Information systems in business
➢The Components of Information Systems
➢Components of Information System
➢Components of Information System
➢Information Systems resources
Introduction
Importance of Information Systems:
The necessity of studying information systems and information technology has transitioned from
a debated topic to a widely accepted principle.
These systems have become integral to daily business functions, comparable to essential areas
such as accounting, finance, operations management, marketing, and human resource
management.
As businesses increasingly rely on technology for success, information systems are not just
supplementary; they are often seen as fundamental prerequisites for effective organizational
performance.
Introduction
Integration into Business Education:
Recognizing their importance, most business degree programs now require courses in
information systems. This integration underscores the value of understanding how technology
influences various business functions.
For future managers, entrepreneurs, and business professionals, grasping the fundamentals of
information systems is crucial. It enables them to navigate the complexities of modern business
environments effectively.
Introduction
Role of Information Technology:
Information technologies, especially Internet-based systems, play pivotal roles in enhancing
business efficiency and effectiveness.
They facilitate improved managerial decision-making and foster collaboration among
workgroups.
By optimizing various business processes—whether related to product development, customer
support, or e-commerce—information technology helps organizations maintain a competitive
edge in rapidly evolving markets. This adaptability is essential for success in today’s dynamic
global economy.
Introduction
Understanding Systems:
To appreciate the role of information systems, it is vital to understand the concept of a system.
A system consists of interconnected components that work together to achieve shared
objectives. This definition is broad, allowing virtually any entity to be viewed as a system.
A system can include other systems (subsystems) or exist within larger systems, creating a
complex web of interactions.
Why should we study Information
Systems
Growing up in the digital age, your familiarity with information technologies is
unparalleled.
The integration of information technologies into your daily life has transformed routines
so significantly that someone from two decades ago would find them almost
unrecognizable.
You engage in "continuous computing," always surrounded by a dynamic information
network. This network comprises your digital devices (laptops, smartphones), various
wired and wireless networks, and web-based tools for information retrieval and
communication.
This interconnectedness allows you to access and share information anytime,
anywhere, enabling activities such as class registration, online courses, banking,
shopping, and social media engagement.
Why should we study Information
Systems
The Importance of Studying Information Systems:
◦ Informed users typically extract greater value from the technologies they use. Understanding the
underlying principles of applications enhances user experience and effectiveness.
◦ Your insights as an informed user can help improve the quality of your organization’s IT applications,
leading to better outcomes.
◦ Even as a recent graduate, your knowledge can empower you to recommend and help select IT
applications that your organization might adopt.
◦ Being informed keeps you aware of emerging technologies and advancements in existing tools, allowing
you to anticipate their impacts and suggest appropriate implementations
◦ Understanding how information technology can boost organizational performance, teamwork, and
personal productivity is key to thriving in a business environment.
◦ For aspiring entrepreneurs, being an informed user equips you with essential skills to effectively
leverage information technology when starting and running a business.
Exploring Career Opportunities in
Information Technology
The field of information technology (IT) presents a wide array of career prospects due to its
integral role in the modern business landscape.
There is a substantial demand for conventional IT professionals, including programmers,
business analysts, systems analysts, and designers.
Employment opportunities abound in emerging domains like the Internet, electronic commerce
(e-commerce), mobile commerce (m-commerce), network security, telecommunications, and
multimedia design.
Exploring Career
Opportunities in
Information
Technology
Data, Information, and Knowledge
Data constitutes the fundamental raw facts, such as an employee's identification number, the
total weekly hours worked, an inventory part's serial number, or the number of units
manufactured on a production line.
Data, Information, and Knowledge
Information represents an assemblage of data that has been systematically organized and
processed, thereby filling it with added value beyond the individual data points.
◦ a sales manager might require a summary of individual sales data to determine the total monthly sales
◦ Offering information to customers can also boost a company's revenues and profits.

Data as the separate items on a grocery list—items like crackers, bread, soup, cereal, coffee,
dishwashing soap, and so forth. However, this grocery list becomes significantly more valuable
when its items are systematically arranged by the aisle in which they are found in the store
Data, Information, and Knowledge
Information is data rendered more valuable through the application of knowledge.
The conversion of data into information is a process involving a sequence of logically connected
tasks aimed at achieving a predefined outcome.
Knowledge plays a crucial role in this process, as it encompasses a deep awareness and
comprehension of specific information and its application to support tasks or informed
decisions.
◦ For instance, a grocery shopper must understand the preferences and requirements of those they are
shopping for to make effective choices, such as selecting a specific product like low-sodium chicken
noodle soup for a diabetic family member.
◦ In this context, individuals may either organize and process data mentally or manually, or they may rely
on computer systems for assistance.
Data, Information, and Knowledge
Data: Think of data as raw facts or figures.
◦ raw facts (numbers, text)

Information: When you take that data and

organize or process it, it becomes information
◦ organized data (contextualized facts)

Knowledge: Knowledge is what you gain when

you understand and can use that information.
◦ understanding and applying information
(insightful use)
The Value of Information
The significance of information is directly tied to its ability to assist decision-makers in
accomplishing their organization's objectives.
Valuable information enhances people's efficiency and effectiveness in performing tasks.
The quality of a decision is fundamentally dependent on the quality of the information utilized
to arrive at that decision.
Any organization that emphasizes the deployment of advanced information systems and
sophisticated data analysis without ensuring information quality is bound to make numerous
erroneous decisions.
Characteristics of
Quality
Information
The importance of Information systems in
business
An information system (IS) is a structured combination of: Individuals, Hardware (physical
devices), Software (instructions and procedures), Communication Networks (pathways), Data
Resources (stored information
“An information system (IS) is a set of interrelated elements or components that collect (input),
manipulate (process), store, and disseminate (output) data and information, and provide a
corrective reaction (feedback mechanism) to meet an objective ”
Information Systems are used to store, retrieve, transform, and distribute information within an
organization.
Information systems have been vital to human society since ancient times, extending beyond
computers to various forms of use today
IS are essential for communication and various tasks in today’s world.
The importance of Information systems in
business
A framework that outlines the major areas of information systems knowledge needed by
business professionals
The Components of Information Systems
Input: This function entails the capture and organization of elements entering the system for
processing. These elements encompass raw materials, energy, data, and human effort, all of
which must be gathered and arranged for subsequent processing.
Processing: The processing function involves the transformation processes that convert inputs
into outputs. These processes can take the form of manufacturing procedures, the physiological
act of human respiration, or mathematical computations, comparison, storing data for future
use .
Output: The output function ensures that finished products, human services, and management
information reach their intended recipients.
Enhancing the System Concept
Cybernetic Systems: A system that includes feedback and control for self-monitoring and self-
regulation.
Feedback: Information from the system that is used to make changes to input or processing
activities. Feedback is also important for managers and decision makers
◦ Examples: Sales data for a sales manager; aircraft speed and altitude for a pilot.

Control:
◦ Involves monitoring and assessing feedback to determine progress toward goals.
◦ Initiates adjustments to inputs and processes to ensure accurate outputs.
◦ Examples: A sales manager reallocating personnel based on performance feedback; an airline pilot or
autopilot making adjustments to maintain the desired course.
System
fundamental elements of a system,
alongside various other characteristics of
systems.
A business is an example of
an organizational system in
which economic resources
(input) are transformed by
various business processes
(processing) into goods
and services (output).
Information systems
provide information
(feedback) about the
operations of the system
to management for the
direction and maintenance
of the system (control) as
it exchanges inputs and
outputs with its
Components of
Information
System
All information systems use people,
hardware, software,
data, and network resources to perform
input, processing, output, storage,
and control activities that transform data
resources into information products
Components of Information System
An information system relies on a variety of resources, including
◦ Individuals (end users and IS specialists)
◦ hardware (machines and media)
◦ software (programs and procedures)
◦ data (data and knowledge bases)
◦ Networks (communications media and network support)

These resources collectively facilitate input, processing, output, storage, and control activities,
resulting in the transformation of data resources into information products.
Components of Information System
An IS furnishes a framework that underscores four key concepts that are universally applicable
across all types of information systems:
1. People, hardware, software, data, and networks constitute the five foundational resources of
information systems.
2. People resources encompass both end users and IS specialists, hardware resources encompass
machinery and media, software resources encompass both programs and procedures, data
resources comprise data and knowledge bases, and network resources encompass communication
media and network infrastructure.
3. Information products for end users are generated through the transformation of data resources by
information processing activities.
4. Information processing encompasses system functions such as input, processing, output, storage,
and control
Information System Resources
(Human Resource and Hardware)
➢These human resources encompass end users and IS specialists.
◦ End users are individuals at all organizational levels—such as customers, sales representatives,
engineers, clerks, accountants, and managers—who utilize information systems and primarily include
knowledge workers engaged in communication, collaboration, and the creation and distribution of
information.
◦ IS specialists are categorized into three main roles: Systems Analysts, who design information systems
based on end-user requirements; Software Developers, who create computer programs from these
specifications; and System Operators, who manage and monitor large computer systems and networks.
➢Hardware resources encompass all physical devices and materials used in information
processing, including machines like computers and data storage media (e.g., paper, magnetic
disks).
o This category includes handheld, laptop, tablet, and desktop computers, as well as midrange systems
and large mainframes, alongside peripherals like keyboards, mice, and storage drives for data input,
output, and storage, printers, scanners, and monitors
Information System Resources (Software)
➢Software resources include all sets of information processing instructions, comprising
operational instructions known as programs that direct computer hardware, as well as
procedures that guide individuals in using the system effectively.
o System software, such as an operating system program, which controls and supports the operations of
a computer system. Microsoft Windows and Unix are two examples of popular computer operating
systems.
o Application software, which are programs that direct processing for a particular use of
computers by end users. Examples are sales analysis, payroll, and word processing programs.
o Procedures, which are operating instructions for the people who will use an information
system. Examples are instructions for filling out a paper form or using a software package.
Information System Resources (Data)
➢Data Resources: The role of data has evolved beyond being just raw material for information
systems. Managers and information systems professionals now recognize that data are valuable
assets for organizations
o Data that previously were captured as a result of a common transaction are now stored, processed, and
analyzed using sophisticated software applications that can reveal complex relationships among sales,
customers, competitors, and markets.
o Data can take many forms, including traditional alphanumeric data, composed of numbers, letters, and
other characters that describe business transactions and other events and entities; text data, consisting
of sentences and paragraphs used in written communications; image data, such as graphic shapes and
figures or photographic and video images; and audio data, including the human voice and other sounds.
o The data resources of information systems are typically organized, stored, and accessed by a variety of
data resource management technologies into:
o Databases that hold processed and organized data.
o Knowledge bases that hold knowledge in a variety of forms, such as facts, rules
Information System Resources (Data)
Data typically undergoes a value-added process, which includes data processing or information
processing, during which:
o Data is aggregated, manipulated, and organized.
o Data content is analyzed and evaluated.
o Data is placed in a suitable context for human users.

To understand the difference between data and information, we need to look at 'context.’
◦ Data is like a list of numbers or names that don’t provide meaning on its own—it lacks context.
◦ The same data can be interpreted differently depending on where it comes from.
◦ To turn data into useful information, we must consider both the context it was collected in, and
the perspective of the person using it.
◦ What one person finds valuable might be irrelevant to someone else. In short, data can be
valuable to anyone, the information's value depends on the user.
Information System Resources (Network)
➢Communications Media: These include twisted-pair wire, coaxial and fiber-optic cables, as well
as microwave, cellular, and satellite wireless technologies.
➢ Network Infrastructure: This broad category highlights the numerous hardware, software, and
data technologies required to support the operation and utilization of a communication
network.
o Examples include communication processors, such as modems and internetwork processors, along with
communication control software like network operating systems and Internet browser packages.
Information System Activities
➢ Basic Tasks of Information Systems: Inputting, Processing, Outputting, Storing, and Controlling
Data
➢Input activities include capturing and preparing data through various methods, ensuring
accuracy via editing.
➢Processing transforms data into meaningful information through calculations and
classifications.
➢ High-quality data is maintained through regular updates.
➢ The systems generate outputs, such as reports and graphics, delivered in multiple formats to
aid users in their daily tasks.