CHAPTER 1 An Introduction to Information Systems (IS) Information Systems are used in almost every imaginable profession, for example: Sales representatives use information systems to advertise products, communicate with customers and analyse sales trends Managers use them to make decisions, such as whether to build a manufacturing plant or research a cancer drug 1. What is an Information System? First we need to break it down to get to the understanding and definition of IS: 1.1 What is a System? It is a set of elements or components that interact to accomplish goals. A system consist of four component: Input - the activity of gathering and capturing data Processing - converting or transforming data into useful outputs Output - production of useful information, often in the form of documents and reports Feedback - output that is used to make changed to input or processing activities 1.2 What is Information? Simply a collection of facts. Characteristics of Valuable Information: Characteristics Definitions Accessible Easily accessible by authorized users Accurate Information that is error free Complete Contains all the important information Economical Cost versus benefit is worthy Flexible Information is useful in different areas Relevant Contains Information that is important to decision makers