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Key Concepts in MIS: People, Decentralized Computing, & IT Roles - Prof. Christopher S. To, Study notes of Introduction to Business Management

The importance of people as a key resource in organizations, the concepts of decentralized computing and shared information, and the roles and goals of information technology (it) in increasing productivity, enhancing decision making, improving team collaboration, creating business partnerships, enabling global reach, and facilitating organizational transformation. It also emphasizes the importance of being technology-literate and information-literate knowledge workers and using it ethically.

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Uploaded on 08/07/2009

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Key MIS Concepts
August 24 – August 30
People as a Key Resource :
oThe single most important resource in an organization is not technology, but it is people
(p. 10).
oTechnology is a tool that can help an organization produce and manage information more
efficiently. In the end, the most important thing to an organization is what its people
decide to do with the information.
oPeople’s ability to use information is known as intellectual capacity (p. 15).
oTherefore, it is important that you become a technology-literate knowledge worker. A
technology-literate knowledge worker is a person who knows how and when to apply
technology (p. 11).
oYou cannot apply technology to any given process and expect that process instantly
efficient and effective. In addition, you also must be an information-literate knowledge
worker. Information-knowledge workers (p. 11):
Can define what information they need.
Know how and where to obtain that information.
Understand the information once they receive it.
Can act appropriately based on the information to help the organization achieve
the greatest advantage.
oAlthough you may be both a technology-literate and information-literate knowledge
worker, you must also be resolved to use that information in an ethical manner. Ethics
are the principles and standards that guide our behavior toward other people (p. 13).
Being a good knowledge worker also involves protecting yourself and your
organization from unethical people (p. 13).
Decentralized Computing and Shared Information :
oBecause most organizations have so many different people performing many different
tasks, the concepts of decentralized computing and shared information have become very
important (p. 17).
oShared information is an environment in which an organization’s information is
organized in one central location, allowing anyone to access and use it as he or she needs
it (p. 17).
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Key MIS Concepts August 24 – August 30

 People as a Key Resource:

o The single most important resource in an organization is not technology, but it is people

(p. 10). o Technology is a tool that can help an organization produce and manage information more efficiently. In the end, the most important thing to an organization is what its people decide to do with the information. o People’s ability to use information is known as intellectual capacity (p. 15).

o Therefore, it is important that you become a technology-literate knowledge worker. A

technology-literate knowledge worker is a person who knows how and when to apply technology (p. 11).

o You cannot apply technology to any given process and expect that process instantly

efficient and effective. In addition, you also must be an information-literate knowledge worker. Information-knowledge workers (p. 11):  Can define what information they need.  Know how and where to obtain that information.  Understand the information once they receive it.  Can act appropriately based on the information to help the organization achieve the greatest advantage.

o Although you may be both a technology-literate and information-literate knowledge

worker, you must also be resolved to use that information in an ethical manner. Ethics are the principles and standards that guide our behavior toward other people (p. 13).

 Being a good knowledge worker also involves protecting yourself and your

organization from unethical people (p. 13).

 Decentralized Computing and Shared Information:

o Because most organizations have so many different people performing many different

tasks, the concepts of decentralized computing and shared information have become very important (p. 17).

o Shared information is an environment in which an organization’s information is

organized in one central location, allowing anyone to access and use it as he or she needs it (p. 17).

o Decentralized information is an environment in which an organization splits computing

power and locates it in functional business areas as well as on the desktops of knowledge workers (p. 17).

o The combinations of those two concepts are known as client-server computing. The

computers that store the information in the centralized location are known as servers , and the computers that connect to the servers are known as a client.

 Roles and Goals of Information Technology:

o The textbook identifies six major roles and goals of information technology (p. 21):  Increase employee productivity  Enhance decision making.  Improve team collaboration.  Create business partnerships and alliances.  Enable global reach.  Facilitate organizational transformation.

o Increase employee productivity :

 IT can reduce time, errors, and costs associated with processing information in a

variety of ways.

 To increase productivity, organizations often use a tool called online transaction

processing (OLTP). OLTP is the gathering of input information, processing that information, and updating existing information to reflect the gathered and processed information (p. 22).

 Another way to increase employee productivity is to place more of the

responsibility of processing transactions on the customer. One way to do this is through the use of a customer-integrated system (CIS) which places technology in the hands of an organization’s customers and allows them to process their own transactions (p. 22).

o Enhance decision making :

 IT can help upper management create alternate ways to do business, find solutions to problems, or find the information they need to make a decision (p. 21).  Technology to support decision making falls into two categories:

  1. Those that help you analyze a situation and then that decision entirely up to you.

o Facilitate Organizational Transformation :

 IT can allow you to stay competitive or enter into new markets and transform the way your organization does its business.