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Information Systems

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Information System (CS507)
Unique Attributes of Organization
Organizations can be distinguished on the basis of various criteria. These are as follows.
Organizational structure
Culture of the Organizations
Management Style
Decision Making Style
4.1 Organizational Structure Pyramid/Tall/Hierarchical
4.1.1 Hierarchical organization
A hierarchical organization is organization structured in a way such that every entity in the
organization, except one, is subordinate to a single other entity. This is the dominant mode of
organization among large organizations; most corporations and governments are hierarchical
Low number of subordinates per supervisor
Long chain of command
Greater number of levels
4.1.2 Organizational Structure
Flat organization refers to an organizational structure with few or no levels of intervening management
between staff and managers. The idea is that well-trained workers will be more productive when they are
more directly involved in the decision making process, rather than closely supervised by many layers of
This structure is generally possible only in smaller organizations or individual units within larger
organizations. When they reach a critical size, organizations can retain a streamlined structure but cannot
keep a completely flat manager-to-staff relationship without impacting productivity. Certain financial
responsibilities may also require a more traditional structure. Some theorize that flat organizations
become more traditionally hierarchical when they begin to be geared towards productivity.
Information System (CS507)
Following are the characteristics of a flat organization.
 High number of subordinates per supervisor
 Short of chain of command
 Less number of levels
 Eliminates middle level managers
Decentralizes authority to low level managers
4.1.3 Culture of the Organization
Organizational culture is the specific collection of values and norms that are shared by people and groups in
an organization and that control the way they interact with each other and with stakeholders outside the
organization. Organizational values are beliefs and ideas about what kinds of goals members of an
organization should pursue and ideas about the appropriate kinds or standards of behavior
organizational members should use to achieve these goals. From organizational values develop
organizational norms, guidelines or expectations that prescribe appropriate kinds of behavior by
employees in particular situations and control the behavior of organizational members towards one
Culture is set of Fundamental Assumptions that exist and grow with the organization. It's not publicly
announced but spoken about within the organization. It is a combination of implicit values that keep the
organization together.  It is essential that the employees understand the culture-What drives the
4.2 Management Styles
4.2.1 Authoritative
 An Autocratic or authoritarian manager makes all the decisions, keeping the information and
decision making among the senior management. Objectives and tasks are set and the workforce is
expected to do exactly as required. The communication involved with this method is mainly
downward, from the leader to the sub-ordinate critics such as Elton Mayo have argued that this
method can lead to a decrease in motivation from the employee's point of view. The main
advantage of this style is that the direction of the business will remain constant, and the decisions
will all be similar, this in turn can project an image of a confident, well managed business. On the
Information System (CS507)
other hand, subordinates may become highly dependent upon the leaders and supervision may be
needed. Decisions are taken centrally by the senior management themselves and are enforced at all
4.2.2 Participative
In a Democratic style, the manager allows the employees to take part in decision-making: therefore
everything is agreed by the majority. The communication is extensive in both directions (from subordinates
to leaders and vice-versa). This style can be particularly useful when complex decisions need to be made
that require a range of specialist skills: for example, when a new computerized system needs to be put in
place and the upper management of the business is computer-illiterate. From the overall business's point of
view, job satisfaction and quality of work will improve. However, the decision-making process is severely
slowed down, and the need of a consensus may avoid taking the 'best' decision for the business.
4.2.3 Mixed
The approach is a combination of both authoritative and participative style. Input from employees is taken
and respected, final decision is taken by the senior management keeping in view the views given by the
4.3 Decision Making Approach
Procedures are predefined for solving routine repetitive problems
When problems require individual judgment, evaluation and insight varying on case-to-case basis
4.4 Sources of information in Organizations
There can be sources of information both internal and external to the organization. Following is a list of
important sources.
 Loan applications
 Staff meetings
Purchasing agreements
Formal reporting systems
Project proposals
Research results
Distribution Contracts
Employee Surveys
Persuasive interviews
Table 4.1
4.5 Direction of Information Flow
Information System (CS507)
Ideal Information Network in an Organization
Periodically updated / continuously updated ­ the information should be updated so that whenever
accessed, the user should be fully informed.
Efficient Processing ­ data should not be kept unprocessed for long. Timely processing helps in
effective decision making.
Value driven ­ the information kept in a computerised system should add value to the user's
Audience Centred ­ every one should receive that part of information that is relevant to the user.
Availability of timely and accurate information helps in proper decision making and meeting the
organizational goals.
Information should be tailored in accordance with the organization's culture and structure.
Table of Contents:
  1. Need for information, Sources of Information: Primary, Secondary, Tertiary Sources
  2. Data vs. Information, Information Quality Checklist
  3. Size of the Organization and Information Requirements
  4. Hierarchical organization, Organizational Structure, Culture of the Organization
  5. Elements of Environment: Legal, Economic, Social, Technological, Corporate social responsibility, Ethics
  6. Manual Vs Computerised Information Systems, Emerging Digital Firms
  7. Open-Loop System, Closed Loop System, Open Systems, Closed Systems, Level of Planning
  8. Components of a system, Types of Systems, Attributes of an IS/CBIS
  9. Infrastructure: Transaction Processing System, Management Information System
  10. Support Systems: Office Automation Systems, Decision Support Systems, Types of DSS
  11. Data Mart: Online Analytical Processing (OLAP), Types of Models Used in DSS
  12. Organizational Information Systems, Marketing Information Systems, Key CRM Tasks
  13. Manufacturing Information System, Inventory Sub System, Production Sub System, Quality Sub system
  14. Accounting & Financial Information Systems, Human Resource Information Systems
  15. Decision Making: Types of Problems, Type of Decisions
  16. Phases of decision-making: Intelligence Phase, Design Phase, Choice Phase, Implementation Phase
  17. Planning for System Development: Models Used for and Types of System Development Life-Cycle
  18. Project lifecycle vs. SDLC, Costs of Proposed System, Classic lifecycle Model
  19. Entity Relationship Diagram (ERD), Design of the information flow, data base, User Interface
  20. Incremental Model: Evaluation, Incremental vs. Iterative
  21. Spiral Model: Determine Objectives, Alternatives and Constraints, Prototyping
  22. System Analysis: Systems Analyst, System Design, Designing user interface
  23. System Analysis & Design Methods, Structured Analysis and Design, Flow Chart
  24. Symbols used for flow charts: Good Practices, Data Flow Diagram
  25. Rules for DFDs: Entity Relationship Diagram
  26. Symbols: Object-Orientation, Object Oriented Analysis
  27. Object Oriented Analysis and Design: Object, Classes, Inheritance, Encapsulation, Polymorphism
  28. Critical Success Factors (CSF): CSF vs. Key Performance Indicator, Centralized vs. Distributed Processing
  29. Security of Information System: Security Issues, Objective, Scope, Policy, Program
  30. Threat Identification: Types of Threats, Control Analysis, Impact analysis, Occurrence of threat
  31. Control Adjustment: cost effective Security, Roles & Responsibility, Report Preparation
  32. Physical vs. Logical access, Viruses, Sources of Transmissions, Technical controls
  33. Antivirus software: Scanners, Active monitors, Behavior blockers, Logical intrusion, Best Password practices, Firewall
  34. Types of Controls: Access Controls, Cryptography, Biometrics
  35. Audit trails and logs: Audit trails and types of errors, IS audit, Parameters of IS audit
  36. Risk Management: Phases, focal Point, System Characterization, Vulnerability Assessment
  37. Control Analysis: Likelihood Determination, Impact Analysis, Risk Determination, Results Documentation
  38. Risk Management: Business Continuity Planning, Components, Phases of BCP, Business Impact Analysis (BIA)
  39. Web Security: Passive attacks, Active Attacks, Methods to avoid internet attacks
  40. Internet Security Controls, Firewall Security SystemsIntrusion Detection Systems, Components of IDS, Digital Certificates
  41. Commerce vs. E-Business, Business to Consumer (B2C), Electronic Data Interchange (EDI), E-Government
  42. Supply Chain Management: Integrating systems, Methods, Using SCM Software
  43. Using ERP Software, Evolution of ERP, Business Objectives and IT
  44. ERP & E-commerce, ERP & CRM, ERP Ownership and sponsor ship
  45. Ethics in IS: Threats to Privacy, Electronic Surveillance, Data Profiling, TRIPS, Workplace Monitoring