An Information System is an organized combination of people, hardware, software, communication networks & data resources that collects, transforms

& disseminates information in an organization. People have relied on information systems to communicate with each other using a variety of physical devices (Hardware), Information Processing Instructions & Procedures (Software), Communication Channels (Networks) & Store Data (Data Resources).

Information Systems are broadly classified into two categories: Operations Support System Management Support System INFORMATION SYSTEMS Support of Managerial Decision Making

Support of Business Operations

OPERATIONS SUPPORT SYSTEMS

MANAGEMENT SUPPORT SYSTEMS

TRANSACTION PROCESSING SYSTEMS PROCESS CONTROL SYSTEMS Control of Industrial Processes

ENTERPRISE COLLABORATION SYSTEMS Team and Workgroup Collaboration

MANAGEMENT INFORMATION SYSTEMS Prespecified Reporting for Managers

EXECUTIVE INFORMATION SYSTEMS DECISION SUPPORT SYSTEMS Interactive Decision Support Information Tailored for Executives

Processing Business Transactions

OPERATION SUPPORT SYSTEM: An operational support system (OSS) is a set of programs that help a communications service provider monitor, control, analyze and manage a telephone or computer network. An OSS supports processes such as maintaining network inventory, provisioning services, configuring network components, and managing faults. Produce a variety of information products for internal & external use. They do not emphasize on producing specific information products that can best be used by managers.

Its role is to efficiently process business transactions, control industrial processes, support enterprise communications & collaboration & update corporate databases.

There are four key elements of OSS:

Processes o the sequence of events Data o the information that is acted upon Applications o the components that implement processes to manage data Technology o how we implement the applications

Functions of an OSS may include the following components:

Order processing, accounting, billing and cost management Network inventory, service provision, design and assign Network discovery and reconciliation, trouble and fault management, capacity management Network elements, asset and equipment management, field service management

OSS can be classified into three categories: 1. Transaction Processing Systems Record & process data resulting from business transactions. Typical examples are information systems that process sales, purchases & inventory changes. The results of such processing are used to update customer, inventory & other organizational databases. These databases then provide the data resources that can be processed & used by Management Information System, Decision Support System & Executive Information System. Also produce a variety of information products for internal or external use. Process transactions in two basic ways: i. Batch Processing. In this, Transaction data is accumulated over a period of time & is processed periodically. ii. Relative (Online Processing). In this, data is processed immediately after a transaction occurs. E.g. Point of scale (POS) system at retail stores may use electronic cash register terminals to capture & transmit sales data over telecommunication links to regional computer centers for immediate (Real Time) or nightly (Batch) Processing.

2. Process Control System Operation support system also makes routine decisions that control operational processes. E.g. of automation are automatic inventory reorder decisions & production control decisions. A system consisting of a computer, process control equipment, and possibly a process interface system. It is a category of information systems, in which decisions adjusting a physical production processes are automatically made by computers. E.g. A petroleum refiner uses electronic sensors linked to computer, to continually monitor chemical processes. The computers monitor a chemical process, capture & process data detected by sensors & make instant (Real Time) adjustments to appropriate refinery processes. 3. Enterprise Collaboration Systems Abbreviated as ECS, Enterprise Collaboration Systems is a type of information system (IS). ECS is a combination of groupware, tools, Internet, extranets and other networks needed to support enterprise-wide communications, such as the sharing of documents and knowledge to specific teams and individuals within the enterprise. ECS are information systems that use a variety of information technologies to help people work together. Some examples of enterprise communication tools include e-mail, videoconferencing, collaborative document sharing, project management tools and others. The objective of an ECS is to provide each user with the tools for managing communications, documents and other information that individuals need to manage their own tasks efficiently in their departments. Help us collaborate to communicate ideas, share resources & coordinate our cooperative work efforts as members of the many formal and informal process & project teams and other workgroups that are a vital part of todays organizations. It uses information technology to enhance the productivity and creativity of teams and workgroups in the modern business enterprise.

MANAGEMENT SUPPORT SYSTEMS (MSS)

When information systems focus on providing information and support for effective decision making by managers, they are called Management Support System. MSS was introduced when the concept of MIS originated in the 1960s. MIS became buzzword of almost all attempts to relate computer technology and systems theory to data processing in organizations. MIS concept is recognized as vital to efficient and effective information systems in organizations for two reasons: 1. It emphasizes management orientation of information technology in business. A major goal of computer based information systems should be the support of management decision-making, not merely the processing of data generated by business operations.

2. It emphasizes that a system framework should be used for organizing information systems applications. Business applications of information technology viewed as interrelated and integrated computer-based information systems and not as independent data processing jobs. Several major types of information systems are needed to support a variety of managerial end user responsibilities: 1. Management Information Systems 2. Decision Support Systems 3. Executive Information Systems 1. Management Information Systems: The most common form of Management Support System Management Information Systems (MIS) is a general name for the academic discipline covering the application of people, technologies, and procedures collectively called information systems to solve business problems. e.g. Decision Support Systems, Expert systems, and Executive information systems. It provides information about business operations. It's also used to refer to the people who manage these systems. Provide managerial end users with information products that support much of their day-to-day decision making needs. Provide a variety of reports and displays to management. Used broadly in a number of contexts and includes (but is not limited to): decision support systems, resource and people management applications, project management, and database retrieval applications. Content of these information products are specified in advance by managers so that they contain information that managers need. Receive information about internal operations from databases that have been updated by transaction processing systems. Obtain data about business environment from external sources. Information products provided to managers include displays and reports that can be furnished on demand, periodically according to a predetermined schedule, or whenever exceptional conditions occur. 2. Decision Support Systems: Are a natural progression from information reporting systems and transaction processing systems. Are interactive, computer based information systems that use decision models and specialized databases to assist the decision making processes of managerial end users. Provide managerial end users with information in an interactive session on an adhoc (as needed) basis. Provides managers with analytical modeling, simulation, data retrieval, and information presentation capabilities. Managers generate the information they need for more unstructured types of decisions in an interactive, simulation-based process. When using a decision support system, managers are simulating and exploring possible alternatives and receiving tentative information based on alternative

sets of assumptions. So, managerial end users donot have to specify their information needs in advance. Decision Support Systems interactively help them find the information they need.

3. Executive Information Systems (EIS) Tailored to the strategic information needs of top management. Top executives get the information they need from many sources including letters, memos, periodicals, and reports produced manually as well as by computer systems. Other sources are meetings, telephone calls, and social activities Goal of computer based executive information systems is to provide top management with immediate and easy access to selective information about key factors that are critical to accomplishing a firms strategic objectives. So EIS are easy to operate and understand. Graphic displays are used extensively, & immediate access to internal and external databases is provided. EIS provide information about the current status and projected trends for key factors selected by top executives. EIS have become so popular in recent years that the use is spreading information ranks of middle management.