Information System Governance
Business Information system:
It’s a group of interrelated components that work collectively to carry out input, processing, output, storage and
control actions to convert data into information products that can be used to support forecasting, planning,
control, coordination, decision making and operational activities in an organization
It’s divided into two categories:
1- Operation information system (OIS): it supports an organization’s business activities
2- Management information system (MIS) : support managerial decision making
Types of operations information systems:
1- Transaction processing systems (TPS): used to manage the exchange of information between a company
and third parties (customer, suppliers, distributors)
These systems record and process data from business transactions in an organization.
Example: Real-time processing of balance inquiries in an ATM system.
Typically handle frequent and routine transactions at the operational level.
2- Office automation systems (OAS): used to manage the administrative functions in an office environment
and are often critical (essential) to service based industries
3- Process Control Systems: important in manufacturing industries for controlling the manufacture of goods
(biens)
4- Executive Information Systems (EIS):
• Provide senior managers with information to assist in making strategic decisions
• Offer summary information on key performance indicators
• Integrate data from various sources, including competitor data and market information.
Resources that support BIS:
1- People resources: include the users of information system and those who develop, maintain and
operate the system
2- Hardware resources: refers to all types of machines, not just computer hardware
3- Software resources: refers to computer program, media on which they are stored and describe also
the procedures used by people
4- Communication resources
5- Data resources: describe all the data that an organisation has access to regardless (independamment)
of its form (P67)
Enterprise systems:
• It supports business processes across different department in an organization
• They use internet technology to integrate information within the business
• They also connect with external stakeholders like customers, suppliers and partners
• Four main elements of an enterprise system are the following:
1- Enterprise resource planning (ERP): concerned with internal production, distribution and
financial processes
2- Customer relationship management (CRM): concerned with marketing and sales processes
3- Supply chain management (SCM): concerned with the flow of materials, information and
customers through the supply chain (chaine d’approvisionnement)
4- Supplier relationship management (SRM): concerned with sourcing (appro), purchasing (achat)
and the warehousing of goods and services (P69)
Advantages of ES: removes information island (separate applications and data in different parts of the
company.)
Disadvantages of ES: include high cost, need to change working methods to software
The value chain model:
Databases:
• Collection of related information
• stored in an organized way for quick selection and retrieval of specific items
advantages:
• Multi-user access: Allows multiple people to access the same data at the same time.
• Distributed access: Users in different departments can easily access data.
• Speed: Databases provide fast access to large volumes of information, like customer data.
• Security: Access to data can be restricted for different staff members.
• Data quality: Validation checks ensure data integrity during entry.
• Space efficiency: Databases use less space by splitting data into different tables.
Types of databases:
Flat-file database: Contains a single type of record and cannot access data from other files.
Free-form database: Stores unstructured notes or text, organized by categories or keywords.
Hypertext database: Stores information as linked objects, including text, graphics, and multimedia.
Relational database management system (RDBMS): An extension of a DBMS that allows data to be
combined from a variety of sources.
Pulling it all together: IT governance and COBIT:
• Very few models and texts embrace (adoptent) an overall methodology for determining the relationship
between IS/IT processes, IS/IT resources and information to organizational strategies and goals.
• COBIT (Control Objectives for Information and related Technology) is a framework designed to
address these connections
• It includes best practices for:
o Planning and organizing IT
o Acquiring and implementing IT
o Delivering and supporting IT services
o Monitoring (suivi) IT performance
• Goals: ensure (garantir) IT supports business objectives.
Common threats (menaces) to information systems:
• Accidents
• Natural disasters
• Theft
• Sabotage
• Unauthorised use (hacking)
• Computer viruses and malware
Management issues:
• Managers face moral, ethical, professional, and legal conflicts
• Organizations must address employee and public concerns such as employee monitoring
• Understanding legislation is essential to operate legally (p80)
