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VU
Information System (CS507)
Table of Contents
Chapter No.1
Defining Needs
10
1.1
Need for information
10
1.2
Sources of Information
10
1.3
Primary Sources
11
1.4
Secondary Sources
11
1.5
Tertiary Sources
12
1.6
Changing Needs
12
Chapter No.2
Areas Covered
14
2.1
Need for Organization
14
2.2
Data vs. Information
14
2.3
Information Quality Checklist
15
2.4
Organization & Information Requirements
15
Chapter No.3
Organization & Information Requirements
17
3.1 Size of the Organization and Information Requirements
17
3.1.1
Small Organizations
17
3.1.2
Medium Sized Organizations
17
3.1.3
Large Organizations
18
3.2 Nature of Business & Information Requirements
19
Chapter No.4
Unique Attributes of Organization
20
4.1 Organizational Structure Pyramid/Tall/Hierarchical
20
4.1.1
Hierarchical organization
20
4.1.2
Organizational Structure
20
4.1.3
Culture of the Organization
21
4.2 Management Styles
21
4.2.1
Authoritative
21
4.2.2
Participative
22
4.2.3
Mixed
22
4.3 Decision Making Approach
22
4.4 Sources of information in Organizations
22
4.5 Direction of Information Flow
23
Chapter No.5
Effect of Changes in Environment
24
5.1 Elements of Environment
24
5.1.1
Legal
24
5.1.2
Economic
24
5.1.3
Social
25
5.1.4
Technological
25
5.1.5
Corporate social responsibility
26
5.1.6
Ethics
27
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VU
Information System (CS507)
Chapter No.6
Systems vs. Procedures
28
6.1 Purpose of Systems & Procedures
28
6.2 Data & Information
28
6.3 Data & Information
28
6.4 Manual Vs Computerised Information Systems
28
6.5 What is Computer based Information System (CBIS)?
28
6.6 Why Information Systems?
29
6.7 Emerging Global Economies
29
6.8 Transforming Industrial Economies
29
6.9 Transformed Business Enterprise
29
6.10 Emerging Digital Firms
29
Chapter No.7
Types of Systems
30
7.1 What are Systems?
30
7.2 Components of a system
30
7.3 Types of Systems
30
7.3.1
Open-Loop System
30
7.3.2
Closed Loop System
30
7.3.3
Open Systems
31
7.3.4
Closed Systems
31
7.4 Level of Planning
31
7.5 Strategic Planning for Information Resources (SPIR)
32
Chapter No.8
What are Systems?
33
8.1
Components of a system
33
8.2
Types of Systems
33
8.3
Open Loop System
34
8.4
Closed Loop System
35
8.5
Attributes of an IS/CBIS
36
Chapter No.9
Infrastructure
39
9.1 Architecture
39
9.1.1
Information Architecture
39
9.2 Components/Sub-Systems of CBIS
40
9.3 Transaction Processing System
40
9.4 Management Information System
42
Chapter No.10
Support Systems
43
10.1 Support systems can be classified into two categories
43
10.1.1
Office Automation Systems
43
10.1.2
Decision Support Systems
43
10.2 Functionalities of MIS and DSS
44
10.3 Types of DSS
44
10.3.1
Model Driven DSS
44
10.3.2
Data Driven DSS
45
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VU
Information System (CS507)
Chapter No.11
Data Mart
47
11.1 Online Analytical Processing (OLAP)
47
11.2 Data Mining
48
11.3 Types of Models Used in DSS
48
11.3.1
Physical Models
48
11.3.2
Narrative Models
48
11.3.3
Graphic Models
48
11.3.4
Mathematical Models
48
11.4 Knowledge / Intelligent Systems
49
11.5 Knowledge Support Systems (KSS) / Intelligent Systems
49
11.6 Components of an Expert System
50
Chapter No.12
CBIS from Functional View Point
52
12.1
Organizational Information Systems (OIS)
52
12.2
Marketing Information Systems (MKIS)
53
12.3
Benefits of Marketing IS
53
12.4
Management Levels in MKIS
53
12.5
New Dimensions in MKIS
53
12.6
Key CRM Tasks
56
12.7
CRM Issues
56
12.8
Call Center
56
Chapter No.13
Organizational Structure
57
13.1 Financial Sector
57
13.2 Air Line Industry
57
13.3 Manufacturing Information System
58
13.4 Inventory Sub System
59
13.5 Production Sub System
59
13.6 Maintenance & Scheduling Sub System
60
13.7 Quality Sub system
60
13.8 Total Quality Management (TQM)
61
13.9 Planning Productions/Operations52
62
13.10 Materials Requirement Planning (MRP)
62
13.11 Manufacturing Resource Planning (MRP II)
62
13.12 Computer Aided Design (CAD)
63
13.13 Computer Aided Manufacturing (CAM)
63
13.14 Computer Integrated Manufacturing (CIM)
63
13.15 Computer Integrated Manufacturing (CIM) Goals
64
Chapter No.14
Marketing
65
14.1 Accounting & Financial Information Systems
66
14.2 Human Resource Information Systems
66
14.3 IT Department
67
14.3.1  Evolution of the IT Department
67
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VU
Information System (CS507)
Chapter No.15
Decision Making
69
15.1 Types of Problems
69
15.2 Type of Decisions
70
15.3 Decision-making process
71
Chapter No.16
Phases of decision-making
73
16.1
Phases of decision-making process
73
16.2
The Intelligence Phase
73
16.3
The Design Phase
73
16.4
The Choice Phase
74
16.5
The Implementation Phase
75
16.6
Rational Individual Models of Decision Making
75
16.7
Organizational Models in Decision Making
75
Chapter No.17
Planning for System Development
77
17.1
Phases of IT planning
77
17.2
Models Used for System Development
78
17.3
Systems Development Life Cycle
78
17.4
Types of System Development Life-Cycle
78
Chapter No.18
Systems Development Life Cycle
81
18.1
Project lifecycle vs. SDLC
81
18.2
Types of System Development Life-Cycle Model
81
18.3
Costs of Proposed System
83
18.4
Benefits from the proposed system
84
18.5
Classic lifecycle Model / Waterfall Model
84
18.6
Analysis of Existing system
85
18.7
Elicitation of Detailed Requirements
87
Chapter No.19
System Design
88
19.1 Entity Relationship Diagram (ERD)
88
19.2 Design of the information flow
90
19.3 Design of data base
90
19.4 Design of the User Interface
91
19.5 Physical Design
91
19.6 Program Development
91
19.7 Procedures Development
92
19.8 Testing
92
19.9 Operations & Maintenance
92
19.10 Evaluating Waterfall
92
Chapter No.20
Incremental Model
95
20.1
Characteristics of the Incremental Mode l
95
20.2
Incremental Model-Evaluation
95
20.3
Iterative Models ­ Evaluation
96
20.4
Incremental vs. Iterative
97
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Information System (CS507)
Chapter No.21
Spiral Model
98
21.1
Determine Objectives, Alternatives and Constraints.
98
21.2
Prototyping
99
21.3
Advantages of Prototype
100
21.4
Risks of Prototyping
101
Chapter No.22
System Analysis
102
22.1
Computerized vs. Manual environment
102
22.2
Systems Analyst
103
22.3
System Design
103
22.4
Designing user interface
104
Chapter No.23
Benefits of Good System Design
107
23.1 System Analysis & Design Methods
107
23.2 Structured Analysis and Design
107
23.3 Flow Chart
107
Chapter No.24
Symbols used for flow charts
110
24.1 Symbols
110
24.2 Good Practices
114
24.3 Data Flow Diagram
115
Chapter No.25
Rules for DFD's
118
25.1
Entity Relationship Diagram
120
25.2
Entity
123
25.3
Value Sets
124
25.4
Relationships
124
Chapter No.26
Symbols
126
26.1 Why need Object-Orientation?
127
26.2 Object Oriented Analysis
128
Chapter No.27
Object Oriented Analysis and Design
131
27.1
Object
131
27.2
Classes
131
27.3
Inheritance
131
27.4
Encapsulation
132
27.5
Polymorphism
132
27.6
What is Business Process Reengineering?
133
Chapter No.28
Critical Success Factors (CSF)
135
28.1 Sources of Critical Success Factors
135
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Information System (CS507)
28.2
CSF vs. Key Performance Indicator
135
28.3
Centralized vs. Distributed Processing
136
28.4
Web based Environment
137
28.5
Internet
138
Chapter No.29
Security of Information System
139
29.1
Security Issues
139
29.2
Security Objective
139
29.3
Scope of Security
140
29.4
Security Policy
140
29.5
Security Program
141
29.6
Identification of Assets
141
Chapter No.30
Threat Identification
143
30.1
Types of Threats
143
30.2
Control Analysis
143
30.3
Impact analysis
144
30.4
Risk Determination/Exposure Analysis
144
30.5
Occurrence of threat
145
30.6 Computing Expected Loss
146
Chapter No.31
Control Adjustment
147
31.1 Security to be cost effective
147
31.2 Roles & Responsibility
147
31.3 Report Preparation
148
31.4 Types of Threat
148
Chapter No.32
Unauthorized intrusion
149
Physical Access vs. Logical access
149
32.1
Viruses
149
32.2
Sources of Transmissions
150
32.3
Types of Viruses
150
32.4
Management procedural controls
151
32.5
32.6 Technical controls
151
Chapter No.33
Antivirus software
153
Scanners
152
33.1
Active monitors
152
33.2
Behavior blockers
152
33.3
Logical intrusion
152
33.4
Best Password practices
153
33.5
Firewall
154
33.6
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VU
Information System (CS507)
Chapter No.34
Types of Controls
156
34.1 Access Controls
156
34.2 Cryptography
156
34.3 Biometrics
157
Chapter No.35
Audit trails and logs
159
35.1
Documentation
159
35.2
Audit trails and types of errors
160
35.3
Definition of Audit
160
35.4
IS audit
160
35.5
Parameters of IS audit
161
35.6
Risk Based Audit Approach
161
Chapter No.36
Risk Management
162
36.1
Phases of Risk Management
162
36.2
What is focal Point?
162
36.3
System Characterization
162
36.4
Steps in threat identification
163
36.5
Vulnerability Assessment
163
Chapter No.37
Control Analysis
166
37.1
Likelihood Determination
166
37.2
Impact Analysis
166
37.3
Risk Determination
167
37.4
Results Documentation
168
37.5
Implementation
168
37.6
Monitoring and evaluation
168
Chapter No.38
Risk Management
169
38.1 Corporate Culture and Risk Management
169
38.2  Constituents of Risk Management
169
38.3  Risk management
169
38.4 Business Continuity Planning
169
38.5 Components of BCP
170
38.6 Phases of BCP
170
38.7 Incident Management:
171
38.8 Business Impact Analysis (BIA)
171
38.9 Recovery Strategies
171
38.10 Development of Business Continuity and Disaster Recovery Plans
172
38.11 Monitoring
173
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VU
Information System (CS507)
Chapter No.39
Web Security
174
39.1 Web Security Threats
174
39.2 Passive attacks
174
9.3 Active Attacks
174
39.4 Types of Active attacks
174
39.5 Threat Impact
175
39.6 Methods to avoid internet attacks:
175
Chapter No.40
Factors Encouraging Internet Attacks
177
40.1 Internet Security Controls
177
40.2 Firewall Security Systems
177
40.3 Intrusion Detection Systems (IDS)
178
40.4 Components of IDS
179
0.5 Web Server Logs
180
40.6 Web Security audits
180
40.7 Digital Certificates
181
Chapter No.41
E-Commerce
182
41.1
Why E-Commerce?
182
41.2
Commerce vs. E-Business
182
Business to Consumer (B2C)
183
41.3
41.4
Electronic Data Interchange (EDI):
184
41.5
E-Government
185
41.6
Other Forms of E-Commerce
186
41.7
M-Commerce
186
41.8
E-Business Opportunities
187
41.9
E-Business IT Risks
188
Chapter No.42
Supply Chain Management
191
42.1
Integrating systems
192
42.2
Methods of integration
192
42.3
Using SCM Software
193
42.4
Components of Supply Chain
193
42.5
Types of Supply Chains
194
Chapter No.43
Enterprise Resource Planning
195
43.1
Business Objectives and IT
195
43.2
Using ERP Software
195
43.3
ERP Compared to integrated Software
196
43.4
Evolution of ERP
197
43.5
ERP & Customer relationship management
199
Chapter No.44
ERP & E-commerce
200
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Information System (CS507)
44.1
ERP & CRM
200
44.2
Change management
201
44.3
Phases of Change Management
202
44.4
Change agent:
204
204
44.5
ERP­ Ownership and sponsor ship:
Chapter No.45
Importance of ethics in IS
205
45.1 Meaning of Ethics
205
45.2 Ethical Challenges
205
45.3 Privacy and Ethics
206
45.4 Threats to Privacy
207
45.5 Electronic Surveillance
207
45.6 Data Profiling
208
45.7 Online Privacy and E-Commerce
208
45.8 Workplace Monitoring
208
45.9 TRIPS
210
45.10 Privacy Codes and Policies
210
ix
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