In the world of information technology, dumpster diving is a technique which is used to retrieve information that could be used to carry out a fraudulent activity. Many people throw away their sensitive documents that contain their personal information without destroying them properly that a fraudster can find in trash cans and as a result use this information to commit a fraud. Dumpster diving is not too meant to probing through the trash for noticeable resources like identity numbers or passwords written down on papers. Apparently useless information like a phone list, calendar, or organizational chart can be used to obtain valuable information. Shopping, can easily memorize your details including name, address and the last three numbers of your credit card during the short time it takes you to write a check. Dumpster Diving in Process There is another type of computer-related “trash” that we might not consider. In the Continue reading
Business Information Systems
ERP Planning
Enterprise Resource Planning (ERP) is an integrated information system to take care of all departments within an enterprise. An ERP system generally includes software for sales, manufacturing, materials management, accounts receivable and payable, general ledger, warehousing, transportation etc. Many ERP systems also offer human resource management module or HRIS. Lot of effort is required for ERP planning and implementation. First step of automating your enterprise is to set up a committee to look into the requirement and feasibility of various ERP systems, which may lead eventually to ERP planning. The first stage is ERP planning and organizing. Two types of questionnaires may be prepared. One questionnaire shall address the needs of the organization to collect the information “as-is” and the second questionnaire to compare various features required in the new system (ERP). This questionnaire helps you to shortlist an ERP vendor. Then you need to define the scope of your Continue reading
11 Types of Information Systems Used in Business
Conceptually, information systems in the real world can be classified in several different ways. For example, several types of information systems can be classified conceptually as either operations or management information systems. 1. Operations Support Systems Information systems have always been needed to process data generated by, and used in, business operations. Such operations support systems produce a variety of information products for internal and external use. However, they do not emphasize producing the specific information products that can best be sued by managers. Further processing by management information systems is usually required. The role of a business firm’s operations support systems is to efficiently process business transactions, control industrial processes, support enterprise communications and collaboration, and update corporate databases. 1. 1. Transaction Processing Systems Operations support systems include the major category of transaction processing systems (TPS). Transaction processing systems record and process data resulting from business transactions. Typically examples Continue reading
Enterprise Resource Planning (ERP) Implementation
Introduction Enterprise Resource Planning (ERP) is the process of integrating all the business functions and processes in an organization to achieve numerous benefits. First, a single point of data entry helps to reduce data redundancy while saving employee’s time in entering data, thereby reducing labor and overhead costs. Second, the centralization of information, decision-making, and control leads to increases in efficiencies of operations and productivity, as well as coordination between departments, divisions, regions, and even countries. This is especially true for multinational corporations (MNC), in which global integration could result in better communications and coordination around the world. The global sourcing and distribution of parts and services could also provide appropriate benchmarks for operations around the world. Third, the sharing of a centralized database provides business managers with accurate and up-to-date information to make well informed business decisions. Further, it reduces data redundancy while improving data integrity at the same time. Fourth, functional integration Continue reading
The Importance of Accounting Information Systems
Generally, the day-to-day running of a business organization comprises several transactions which the firm engages in. As a result, there is a need to always keep the records in a systematic manner for decision-making and for reference. Accounting is a systematic way of recording business transactions. The data of all the transactions are recorded and kept mainly for future use. These data are tracked and recorded in a computer-based system (financial accounting system) to facilitate the accuracy of the data. The main users of the accounting information are the shareholders, creditors, financial analysts, vendors, and government agencies. There are various categories of books and documents in which the accounting information is kept. For instance, the books of original entry which comprises of various journals such as cash journal, general journal, purchase journal, and sales journal; and the source documents like, cash receipts, bank statements, and cash statements. The information from Continue reading
Transaction Process System – Activities, Objectives and Characteristics
Transaction processing system (TPS), an information system (IS) mostly used by managers in operational management to record internal transactions, economic events that occur within an organization and external transactions where the business event took place outside the organization to make operational decision. TPS supports different tasks by setting a set of rules and guidelines that specify the ways to capture or collect, process and store any transaction in a form of data or information. Transaction Process System Activities Processing business transactions was the first application of computer of most firms. Since the 1950s, Transaction processing system (TPS) have evolved from slow, manual systems to advanced computerized system. TPS, a cross-functional information system were among the earliest computerized systems developed to record, process, validate, and store business for future use or retrieval. Transactions are the economic events or exchange between two or more business entities. Basically, TPS is an organized collection Continue reading