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Role of Information Technology in Business

Paper Type: Free Essay Subject: Information Technology
Wordcount: 2827 words Published: 6th Sep 2017

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Question 1:

What is a systemA set of detailed methods, procedures, and procedures were created to carry out a specific activity, to perform a duty, or to solve a problem.

An organized, purposeful structure consisting of interconnected and interdependent elements (components, entities, factors, members, parts, etc.). These elements are constantly interacting with each other to maintain their activity and the existence of the system, in order to achieve the goal of the system.

What is Systems Theory: System theory and system science is multidisciplinary research system in general, and found the target mode, and illustrate that it is possible from various fields of research can be discerned, and in all the nesting level is applicable to all types of systems are in principle. It can be considered as a specialized system of thinking or for the goal of system science and system engineering. The focus is on general purpose in a wide range of systems (specific models with individual areas) that are useful.

Who developed Systems Theory:Theoretical biologist L.V. Bertalanffy (L.Von.Bertalanffy) was founded. He put forward the theory of “open system” in 1932, and put forward the idea of system theory. In 1937, the principle of general system theory was put forward, which laid the theoretical foundation of this science.

Question 2

Identify FOUR different types of Information Systems used in business organization:

  1. Transaction Processing Systems: Transaction processing systems meet the data collection, storage, processing and outputting functionalities for the core operations of a business.
  2. Customer Relationship Management Systems: Business owners use customer relationship systems to synchronize sales and marketing efforts. CRM systems accumulate and track customer activities, including purchasing trends, product defects and customer inquiries.
  3. Business Intelligence Systems: Business intelligence systems can be complex as they identify, extract and analyze data for various operational needs, particularly for decision-making purposes. BIS information systems may provide analyses that predict future sales patterns, summarize current costs and forecast sales revenues.
  4. Knowledge Management Systems: Knowledge management systems organize and dissect knowledge and then redistribute or share it with individuals of an organization. The purpose of these information systems is to bring innovation, improve performance, bring integration and retain knowledge within the organization.

Question 3 Choose any three type of information Systems identified earlier and describe them:

Describe the concept of each system and also draw a symbolic representation wherever possible

Transaction Processing Systems: Transaction Processing Systems also known as sales information system, provide to the personnel system, is on business processes for the support of information system can provide a powerful tool support for a job to complete. For example, ERP system, we can be seen as a typical business processing system, it can be related to the production, procurement and other business links, based on some functional modules to provide a good support.

Customer Relationship Management Systems : relationship management (CRM) is an approach to managing a company’s interaction with current and potential future customers. The CRM approach tries to analyse data about customers’ history with a company, to improve business relationships with customers, specifically focusing on customer retention, and ultimately to drive sales growth.

MIS are built on the data provided by Transaction Processing system.   

It generally manages the internal files and summarizing.

The level of management in MIS is mid level; those are responsible for the processing of further processes to the higher management.

Business Intelligence Systems: Business intelligence (BI) can be described as “a set of techniques and tools for the acquisition and transformation of raw data into meaningful and useful information for business analysis purposes”.The term “data surfacing” is also more often associated with BI functionality.

The integration of documents, records, collection of knowledge and its retrieval are included in this system.

Knowledge Management Systems: Knowledge management (KM) is the process of capturing, developing, sharing, and effectively using organizational knowledge. It refers to a multi-disciplinary approach to achieving organizational objectives by making the best use of knowledge.

This usually provided by the front staff or accounting management team, which provide the key data required to support the operation.

Task 2

Question 1 : Identify and explain the purpose and function s of any one computer application most commonly used in any type of business organisation.

Microsoft office products:

It can do all the accounting steps for the purpose of Excel.

It can perform all the accounting calculations is the function of excel.

Question 2: Identify and explain the purpose and functions of any one computer application used in any common functional area within a sub-system of a business organisation.

Office Microsoft is a set of office software package based on Windows operating system developed by Microsoft Corp. Commonly used components are Word, Excel, Access, Power point, FrontPage, etc.

Office Word Microsoft is a text file

Office Access Microsoft is done in the database

Office Excel Microsoft is done with tables and data processing

Office Outlook Microsoft is to send and receive mail

Office PowerPoint Microsoft is making a slide.

I think the Microsoft office make us easy to manage something important.

And It is very user-friendly, can record some useful data whenever and wherever possible.

Question 3 : Identify and explain the purpose and functions of any two computer applications uniquely used for different types of businesses.


Kakaotalk: “Kakao Talk” is a Chinese from South Korea by the second largest shareholder of the Tencent (It is a Chinese company) as a free chat software, similar to WeChat’s QQ chat software, applications for iPhone, Android, WP, blackberry and other smart mobile phone communication. The application to the actual phone number to manage friends, with the push notification service, to quickly send and receive information among friends and colleagues as well as pictures, voice intercom. Similar to the domestic QQ, even if friends are not online, friends can also receive your talk kakao messages, just like texting.

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Skype:Skype is an instant messaging software, which has the function of IM, such as video chat, multiplayer voice conferencing, multiplayer chat, transfer files, text chat and other functions. It can be free of high clear voice dialogue with other users, you can also call the domestic international telephone, either a fixed telephone or mobile phone can be directly dialed, and can achieve call transfer, SMS and other functions.

Difference: Now Skype network phone is very mature, good quality and good, the charge is reasonable, let a person without charges of worry , and it is very easy to use. Kakaotalk is good but some old people cannot use it very well.

Question 4: Explain the effects of information technology on business systems in terms of benefits and costs.

(a) The following two one off benefits of adopting information technology:

The delivery of products and services will be timely and effective.

People’s mistakes will be reduced, and the cost will be reduced.

(b) The following two ongoing benefits of adopting information technology:

This technique can be repeated using more than one purpose, so there will be a large number of uses.

Make this technology can save money in the stock holding area.

(c) The following two ongoing costs of adopting Information Technology:

Upgrade operating system time cost.

The company and the service cost paid to the user.

(d) The following two one off costs of adopting information technology:

Information systems play an important role in a company or an organization. The cost of each character is different. As an information system of a company, in order to promote their company or provide some online platform for their customers, so it costs more money.There are also some software required to pay.

Task 3

Answer A


Data is a collection of specific contextual information, as well as in a business organization, for the maintenance of a specific object data, and information workers.

.There are THREE types of data. These are as follows:

Primary Data: it is first-hand information which we collect by ourselves.

Secondary Data: This data is second hand or it is collected from third party

Quantitative and qualitative data: Qualitative analysis and quantitative analysis should be unified, complement each other, qualitative analysis is the basic premise of quantitative analysis and qualitative not quantitative is a blind, no value for quantitative; quantitative analysis to qualitative analysis more scientific and accurate, it can make qualitative analysis of the extensive and in-depth conclusions.

Answer B


Information can be defined as an organized form of the original data set, in the organization of information plays a very important role in the decision.

Example of three different type of information:

Inspections: It can be defined as a collection of raw data for a particular thing, to prove things to a decision-making layer.

Research: – A collection of data in a particular field or discipline.

Survey: – It is the simplest way to gather information.

Question 2: The three sources where information can be gathered:-

1 social survey

Social survey is an important means to obtain real and reliable information. Social survey refers to the use of observation, inquiry and other methods directly from the community to understand the situation, the activities of the collection of data and data.

2 build intelligence network

Management activities require accurate information, comprehensive, timely. In order to achieve such a request by a single channel to collect information is far from enough. Especially administration and government decision-making. Therefore, it is necessary to collect information in various way, that is to establish the information network of information collection.

3 development of strategic intelligence

Strategic intelligence is designed for high-level decision-makers, only for high-level decision-makers to use more strategic information than general administrative information.

Question 3:

Threats to DATA:

(1)Security of Data

There are three threats that make our information be not safe:

Malware: It’s like a malicious software that is designed to get access to a computer without the owner’s consent. Malicious software is not the same as defective software, but it has a legitimate purpose, but contain harmful errors

Hackers: If the system is not well protected, then the hacker can easily access the file without the owner’s permission. Even if they can copy or delete files. Such a person is called a hacker. In a business environment, because there is a huge network, so hackers can easily break down the system

Virus: It may be considered a software designed to disrupt or stop the system’s work. It can be through a system to another, it can also enter the system through email, Internet, flash drive and other accessories

(2)Integrity of data

The three threats to integrity of data are mentioned below :

  1. Software Attacks
  2. Human Errors
  3. Natural Disasters

A) software attack is the most common threat today, resulting in the change of data or information is disclosed.

B) error in the input data

Natural disasters are also responsible for it. For example: earthquakes, floods, fires, volcanoes, tsunamis, etc.

Question 4:

Answer A

HR & Admin: A human resource management role is the combination of management and human resource It is also known as human resources and personnel It will be to the organization from the organization department to the Department and our own background and talents

Finance: Under the conditions of certainty and uncertainty, with the passage of time, the distribution of assets and liabilities is a field.

Sales: A sales is the exchange of a commodity for money or service in return for money or the action of selling something.

Answer B There are three types of data related with above three sub-systems:

Finance related data: There are number of finance data that specialized in sending and collecting the data to traders and investors.

Sales data: All the data used in sales is known as the sales data Like the Web server log, Internet streaming data.Usually at the time of sale, these data are referred to as big data

HR & ARD The administrator stores data in a place known as the database administrator.

Task 4


Answer A

Principle of Perception

Principle of Reputation

Principle of leadership

[B] Objectives of Principle

There is a verb in Chinese: A great company needs a great leader. But to be a great leader is to learn from the past, look into the future, and look to the future.

The company’s reputation is one of its most valuable assets and needs to be protected.

A company that manages their market perception has achieved great success.

Question 2 A: Three planning and control system used in business.

1. Multi-mode manufacturing applications: It includes planning, production scheduling

2. Supply Chain Management applications: It includes sale performance, purchasing, promotion, inventory management and forecast

3. Configurable enterprise financials: It also includes accounts receivable and payable.

Answer B

The financial allocation of enterprise plays a very important role in the enterprise, which includes all the data and records.It retains all accounts receivable, accounts payable and account payable record

The relationship between strategic planning for multi-mode and product manufacturing application Therefore, in every business, management strategy and plan is a multi-part of manufacturing mode


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