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Introduction to Information Technology
2nd Edition
Turban, Rainer & Potter
© 2003 John Wiley & Sons, Inc.
Introduction: Business and Information Technology
(continue...)
Prepared by:
Roberta M. Roth, Ph.D.
University of Northern Iowa
Introduction to Information Technology, 2nd Edition
Turban, Rainer & Potter
© 2003 John Wiley & Sons, Inc.
1-1
What is an Information System?
 A system that collects, processes, stores,
analyzes, and disseminates information.
Calculations
Data
Instructions
Collect
Inputs
Process
And
Transform
Produce
Outputs
Reports
Store
Introduction to Information Technology, 2nd Edition
Turban, Rainer & Potter
© 2003 John Wiley & Sons, Inc.
1-2
What Makes Information Useful?
 It is accurate
 Free of errors
 It is complete
 Includes everything needed
 It is flexible
 Can be viewed in various
ways
 It is reliable
 Results are always
consistent
 It is relevant
 Applies to the issue under
study
 It is timely
 Available when needed
 It is verifiable
 Basis for results can be
traced
 It is accessible
 All those who need the
information can get to it
 It is secure
 Free from contamination
(accidental or deliberate)
Introduction to Information Technology, 2nd Edition
Turban, Rainer & Potter
© 2003 John Wiley & Sons, Inc.
1-3
What is Meant by a
“Computer-Based Information System”?
 An information system using computer and
telecommunications technology to perform
its intended tasks.
Employs some combination of hardware,
software, database, network, procedures, and
people.
 An information system developed to
provide a solution to a business problem.
Introduction to Information Technology, 2nd Edition
Turban, Rainer & Potter
© 2003 John Wiley & Sons, Inc.
1-4
Organizations Have High Expectations of
Their Information Systems
 Fast, accurate processing of business transactions.
 Storage, retrieval, analysis, and data sharing to
 Increase communication
 Reduce overload
 Span organizational boundaries
 Support and improve decision making.
 Distinctive capabilities providing competitive
advantage.
Introduction to Information Technology, 2nd Edition
Turban, Rainer & Potter
© 2003 John Wiley & Sons, Inc.
1-5
Key Technical Trends to Monitor
 Constantly improving







cost-performance ratio
Increasing storage and
memory
User friendly interfaces
Client/server architecture
Network computers
Enterprisewide computers
Intranets and extranets
Data warehousing
Introduction to Information Technology, 2nd Edition
Turban, Rainer & Potter
© 2003 John Wiley & Sons, Inc.
 Data mining
 Object-oriented







environment
Electronic document
management
Multimedia
Intelligent systems
Portable computing
Internet expansion
Electronic commerce
Integrated home
computing
1-6
Using IT Strategically
 Businesses today must understand how IT can
shape and refine business strategy
 Porter’s Strategic Analysis Model
• Helps in understanding strategic forces affecting
organizations in particular industries
• IT can be applied to strengthen and support a specific
business strategy
 Value Chain
• Helps in identifying ways IT can improve the quality and
efficiency of organizational processes
Introduction to Information Technology, 2nd Edition
Turban, Rainer & Potter
© 2003 John Wiley & Sons, Inc.
1-7
Chapter Summary
 Today’s businesses face myriad pressures.
 Information technology provides tools and
capabilities to respond to those pressures.
 Knowledge of IT and its applications helps
businesspeople develop business strategies
that effectively employ IT.
Introduction to Information Technology, 2nd Edition
Turban, Rainer & Potter
© 2003 John Wiley & Sons, Inc.
1-8
Copyright © 2003 John Wiley & Sons, Inc. All rights reserved. Reproduction
or translation of this work beyond that permitted in Section 117 of the 1976
United Stated Copyright Act without the express written permission of the
copyright owner is unlawful. Request for further information should be
addressed to the Permissions Department, John Wiley & Sons, Inc. The
purchaser may make back-up copies for his/her own use only and not for
distribution or resale. The Publisher assumes no responsibility for errors,
omissions, or damages, caused by the use of these programs or from the
use of the information herein.
Introduction to Information Technology, 2nd Edition
Turban, Rainer & Potter
© 2003 John Wiley & Sons, Inc.
1-9
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