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McGraw-Hill/Irwin Copyright © 2009 by The McGraw-Hill Companies, Inc. All rights reserved. Chapter 13 Communication and Information Technology Management McGraw-Hill/Irwin Copyright © 2009 by The McGraw-Hill Companies, Inc. All rights reserved. Information and the Manager’s Job • Data –Raw, unsummarized, and unanalyzed facts. • Information –Data that is organized in a meaningful fashion. 13-3 Information Systems and Technology • Management Information System –An information system that managers plan and design to provide themselves with the specific information they need 13-4 Information Systems and Technology • Information Technology –The means by which information is acquired, organized, stored, manipulated, and transmitted 13-5 Communication, Information and Management • Communication –The sharing of information between two or more individuals or groups to reach a common understanding. 13-6 The Communication Process • Sender – person or group wishing to share information • Message – information that a sender wants to share • Encoding – translating a message into understandable symbols or language • Noise – anything that hampers any stage of the communication process 13-7 The Communication Process • Receiver – person or group for which a message is intended • Medium – pathway through which an encoded message is transmitted to a receiver • Decoding – interpreting and trying to make sense of a message 13-8 Verbal & Nonverbal Communication • Verbal Communication –The encoding of messages into words, either written or spoken. • Nonverbal Communication –The encoding of messages by means of facial expressions, body language, and styles of dress. 13-9 Information Richness • Information Richness –The amount of information that a communication medium can carry and the extent to which the medium enables the sender and receiver to reach a common understanding 13-10 Communication Media • Face-to-Face –Has highest information richness –Can take advantage of verbal and nonverbal signals –Provides for instant feedback 13-11 Communication Media • Spoken Communication Electronically Transmitted –Has the second highest information richness. –Telephone conversations are information rich with tone of voice, sender’s emphasis, and quick feedback, but provide no visual nonverbal cues. 13-12 Communication Media • Personally Addressed Written Communication –Has a lower richness than the verbal forms of communication, but still is directed at a given person. –Excellent media for complex messages requesting follow-up actions by receiver. 13-13 Communication Media • Impersonal Written Communication –Has the lowest information richness. –Good for messages to many receivers where little or feedback is expected (e.g., newsletters, reports). 13-14 Advances in Information Technology • Wireless communications –Cellular service has grown rapidly to over 110 million users. –Wireless access now connects laptops to networks. –There are more than 15,000 Wi-Fi enabled restaurants around the world. 13-15 Advances in Information Technology • Networking –The exchange of information through a group or network of interlinked computers. –Servers are powerful computers that relay information to client computers connected on a Local Area Network (LAN). 13-16 Software Developments • Operating system software –software that tells computer hardware how to run • Applications software –software designed for a specific task or use • Artificial intelligence –behavior performed by a machine that, if performed by a human being, would be called intelligent 13-17 The Organizational Hierarchy • Information distortion –changes in meaning that occur as information passes through a series of senders and receivers 13-18 Types of Information Systems • Transaction Processing Systems (TPS) –Systems designed to handle large volumes of routine transactions. –First computer-based information systems handling billing, payroll, and supplier payments. 13-19 Types of Information Systems • Operations Information Systems (OIS) –Systems that gather, organize, and summarize comprehensive data in a form of value to managers. –Can help managers with non-routine decisions such as customer service and productivity. 13-20 Types of Information Systems • Decision Support Systems (DSS) –An interactive computer-based management information system with model-building capability that managers can use when they must make non-routine decisions 13-21