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How Businesses Use Information Systems

In: Business and Management

Submitted By santana0614
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Pages 11
How Businesses Use Information Systems
Objectives:
* Identify the features of a business that are important for an information system * Describe the way in which information systems support business operations * Explain how the information systems improve organizational performance * Assess the role of the information system within a business

Defining the Features of a Business
Four Basic Business Functions * Manufacturing and production – an arrangement of people, machines, and business processes (procedures) that will produce the product * Business Process * Assembling the product * Checking for quality * Producing bills of materials

* Sales and marketing – who will attract customers, sell the product and keep track of after sale issues, such as warranties and maintenance * Business Process * Identifying customers * Making customers aware of the product * Selling the product

* Finance and accounting – once you generate sales, to keep track of financial transactions, such as orders, invoices, disbursements, and payroll. This group will see out sources of credit and finances. * Business Process * Paying creditors * Creating financial statements * Managing cash accounts * * Human resources – group of people to focus on recruiting, hiring training, and retaining employees * Business Process * Hiring employees * Evaluating employees’ job performance * Enrolling employees in benefits plans
Five Basic Business Entities * Suppliers * Customers * Employees * Invoices and payments * Products and services

Information Systems and Business Processes * What tasks do each employee perform, in what order, and on what schedule? * How are raw materials

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