Features and Functions of information systems

 The Features and Functions

Information is very important in business because you can see where you can make cuts in people’s jobs if you know the input, output and what’s required


The features of information systems are: data; people; hardware; software and telecommunications.

Data
You need data for it to be processed into information. You need information to make business decisions. An example from the insignia scenario would be ideas from the client go to the design team and they process that to come up with a mock up of what the final project will look like. If the client wants to change the look or is not happy with it the process is repeated until the end user is happy with their product


People
People are the process. Everyone has different ways of turning data into information unless they all have the same variable e.g. the number 2004 means different things to different people because they process it differently. People manage the data and without people you would not be able to input process data and get any output back into the business.
Insignia rely on people to get the data from their clients

Hardware
Hardware are the tools that you use to collect and use the information. These are the physical components. These need software to be able to get the job done.       


Software
Software could and is everything. Your brain is software because it tells your body (hardware) what to do. You need a human to collect the data and someone else to process it into information.

Telecommunications
Telecommunication is data, people, hardware and software communicating together. If they did not communicate the business would loose money and you would not be able to get accurate data. E.g. software and hardware needs each other in order to be able to work, if they do not communicate the data could not be processed by the people.


The functions of information systems can be broken down into: input; storage; processing; output; control and closed and open systems.


Input
Input is the data that you collect this data can be anything but it will not mean anything to anybody until it is processed. If processed in different ways it will mean different things to different people.

Storage
The storage of information has to be secure especially if the information is about people then it falls under the data protection act. The storage has to keep the information safe but has to be accessible whenever the organization needs the information so easy access is essential.

Processing
This is where the data gets turned into information so that you can understand it. Data can be processed in different ways such as the number 2010 will mean the year to some people and just a number to others.


Output
Output is what you get out of something.
If you are spending money on input but not getting any output it is not cost efficient.
E.g. spending £500 on research that will only save you £200 in the future.
Output can be different things such as money or feedback about your business.
If you know the input and output of someone’s job you can see if what they do is a value for money. If it isn’t the business should get rid of it. Output comes from processed data.

Control
This manages the behavior of other systems and produce a desired output.
It controls a lot of the business. Its process is check, record, regulate, supervise, authenticate. It is a good management technique.



Feedback loops
Insignia at the moment use this information technique. They get the design off of the client, improve it, run it by the client and make any changes to suit the client’s tastes. They do this process until the client is happy with their end product.
This is a good process to do because you give the client exactly what they want instead of making something that they didn’t.



Closed and open systems
Closed systems means that the business has a internal relationship E.g. they don’t talk about their profits or looses for the past year.
An open system shares its information with the outside world allowing them to look at their profits and/or losses. Both systems have their advantages closed; you are not giving any information away to competitive businesses, Open; letting other people see your profits could create new business opportunities



Types of information systems



Management information systems
This system follows steps and plans a time schedule for the work that needs to be done. They allow the ability to collect vast amount of data for a business.
This system allows for employees to be monitored so managers can see if any cuts to save money can be made.

Marketing (sales performance, competitors)
This information system technique allows it to analyze marketing information. It gathers information all the time from sources inside and outside the business. E.g. from suppliers and from managers. This allows businesses to make decisions based on that information.


Financial
This system is designed to meet the businesses financial obligations as they come near. It is designed to manage everything financial. It will keep a good margin of profit and pay the minimum expenses it can.



Human resources
This manages workers payrolls, work time, benefits, HR management information system, recruiting, training, performance record, employee self service.
This reduces the workload of the management.