Business Information Systems Chapters 1-2

Computer literacy

skill in using productivity software and having basic computer knowledge

Information literacy

understanding how data is processed and using that to make decisions

Transaction-processing systems (TPSs)

focus on data collection and processing

ex. payroll

Management Information System (MIS)

designed to produce useful information for decision making

Data, database, process, information

Major components of an info system

Data

the input to the system

database

collection of relevant data

Process

generates the most useful type of information for making decisions

Information

facts analyzed by the process component and is an output of an information system

timeliness, relevancy, and accuracy

Most important components of data

Cost leadership, differentiation, and focus

Strategies for competing - michael porters

buyer power, supplier power, threat of substitute products or service, threat of new entrants, rivalry among existing competitors

Porters 5 forces of understanding business environment

Central Processing Unit (CPU)

the heart of the computer containing arithmetic logic unit and control unit

arithmetic logic unit (ALU)

performs arithmetic operations

control unit

tells the computer what to do

speed, storage and retrieval, accuracy

3 powers of computers

input, output, memory

What are the three components of processing data

Main Memory

stores data and information and is volatile

Secondary memory

holds data when the computer is off, nonvolatile

Software System

runs a computer system

Operating System

Controls and manages computer hardware and software