Data

Data is raw material for data processing.

data relates to fact, event and
transactions.

It can be numbers, words,

measurements, observations or even
just descriptions of things.
 Information

If the observed / collected data is

converted into a useful and meaningful
form, then it becomes Information.

Information is data that has been

processed in such a way as to be
meaningful to the person who receives it
 Knowledge

Knowledge is a collection of facts,

information, and/or skills acquired through
experience or education or the theoretical or
practical understanding of a subject. It can
be implicit (as with practical skill or
expertise) or explicit (as with the theoretical
understanding of a subject); and it can be
more or less formal or systematic.
 Types of Information Systems
Computer-based information systems (CBIS) use computer
technology to perform some or all of their tasks and are composed of:

Hardware: is a device such as a processor, monitor, keyboard or

printer

Software : Is a program or collection of programs that enable

hardware to process data

A Database: is a collection of related files or tables containing data.

A Network : Is a connecting system (wire line or wireless) that

permits different computers to share resources
 Types of Information Systems

Procedures : are the set of instructions about how to combine the

above components in order to process information
and generate the desired output.

People : are those individuals who use the hardware and

software,
interface with it, or uses its output

Continued
 Information System Vs Information
Technology
Payroll
System

INFORMATION
TECHNOLOGY Inventory
Hardware System
are used to build
Software Information
Systems
Databases
Networks
Marketing
Other related System
Components

Customer
Service System
 Classification of IS

Information Systems

Management Support
System
Operations Support System

Transaction Process control Office Executive

processing Management Decision
systems automation information information
systems systems support systems
systems
systems
 Classification of Information Systems
Operations support systems process data generated by
business operations, Major categories are:

i) Transaction Processing System (TPS)

Applications of information systems that
process business transaction data. Its use
at operational level and focuses on the
data.
An example is a computer application for
typing.
 Classification of Information Systems

• Process business exchanges

•Maintain records about the exchanges

•Handle routine, yet critical, tasks

•Perform simple calculations

Continued
 Classification of Information Systems

ii) Process control systems monitor and

control industrial processes.

iii) Office automation systems automate

office procedures and enhance office
communications and productivity.

Continued
 Classification of Information Systems

2. Management support systems provide

information and support needed for
effective decision making by managers

Example: Computer applications is used for hospital services,

pharmacy purchasing, scheduling of production machinery and
others.

Continued
 Classification of Information Systems
Management support systems Major categories are:

i) Management information systems

•Routine information for routine decisions

•Operational efficiency

•Use transaction data as main input

•Databases integrate MIS in different

functional areas
Continued
 Classification of Information Systems
Management support systems Major categories are:

ii) Decision Support System

• Interactive support for non-routine

decisions or problems

•End-users are more involved in

creating a DSS than an MIS

Continued
 Classification of Information Systems
Management support systems Major categories are:

iii) Executive information systems

Provide critical information tailored to the

information needs of executives

Continued
 Classification of Information Systems
Other categories

a) Expert systems

b) End user computing systems

c) Business information systems

d) Strategic information systems

 Classification of Information Systems
Other categories
a) Expert systems:
are knowledge-based systems that provides
expert advice and act as expert consultants
to the users
b) End user computing systems
support the direct, hands on use of
computers by end users for operational
and managerial applications

Continued
 Classification of Information Systems
Other categories
c) Business information systems
support the operational and managerial
applications of the basic business
functions of a firm
d) Strategic information systems

provide a firm with strategic products, services,

and capabilities for competitive advantage

Continued
 Classification of Information Systems Cont’d

3. Decision Support System (DSS)

Applications of information systems that provide
decision-oriented information and especially in
situations where decision-making. At the
executive level often called Executive
Information System.
For example a computer application to determine
the purchase of drug stocks at the hospital, the
determination of sugar distribution system and
others.
Continued
 Classification of Information Systems Cont’d

4. Expert System (ES)

Information system designed to produce a
decision by reproducing knowledge and expertise
of the decision maker and problem solver and
then simulate it. For example advanced
applications of artificial neural networks, face
recognition and so forth.

Continued
 Classification of Information Systems Cont’d

5. Office automation system

Systems that support business activities on a
large scale.

Examples ERP applications for the company.

Continued
 Enterprise Information Systems

An Enterprise Information System is

generally any kind of computing system that is
of "enterprise class”.

This means typically offering high quality of

service, dealing with large volumes of data and
capable of supporting some large organization.
 Enterprise Information Systems

•Enterprise Information Systems provide a technology

platform that enables organizations to integrate and
coordinate their business processes.

•They provide a single system that is central to the

organization and ensure that information can be shared
across all functional levels and management hierarchies.

•Enterprise systems are invaluable in eliminating the

problem of information fragmentation caused by
multiple information systems in an organization, by
creating a standard data structure.

Continued
Four Major Types of Information Systems

1. Transaction Processing
Systems (TPS)

 These are the basic business systems that serve the

operational level.

 A computerized system that performs and records the

daily routine transactions necessary for the conduct of
the business.
 Four Major Types of Information Systems:

2. Management Information
Systems (MIS)

These systems serve at management level.

 Inputs: Transaction level data

 Processing: Interactive

 Users: Process Level

Users: Middle managers

Example: Contract cost analysis

Continued
 Four Major Types of Information Systems:

3. Decision-Support Systems (DSS)

These systems serve at management level.

Inputs: High volume transaction level data

Processing: Simple models

Outputs: Summary reports

Users: Middle managers

Example: Annual budgeting

Continued
 Four Major Types of Information Systems:

4. Executive Support Systems (ESS)

These systems serve at management level.

 Inputs: Aggregate data

 Processing: Interactive

 Outputs: Projections

 Users: Senior managers

Example: 5 year operating plan

Continued
 Information
System
Recap Description

Executive Support Systems An Executive Support System ("ESS") is designed to help senior management make strategic decisions. It
gathers, analyses and summarizes the key internal and external information used in the business.
A good way to think about an ESS is to imagine the senior management team in an aircraft cockpit - with the
instrument panel showing them the status of all the key business activities. ESS typically involves lots of data
analysis and modeling tools such as "what-if" analysis to help strategic decision-making.

Management Information A management information system ("MIS") is mainly concerned with internal sources of information. MIS
Systems usually take data from the transaction processing systems (see below) and summarize it into a series of
management reports.
MIS reports tend to be used by middle management and operational supervisors.

Decision-Support Systems Decision-support systems ("DSS") are specifically designed to help management make decisions in situations
where there is uncertainty about the possible outcomes of those decisions. DSS comprise tools and techniques
to help gather relevant information and analyze the options and alternatives. DSS often involves use of
complex spreadsheet and databases to create "what-if" models.
Knowledge Management
Systems
Recap
Knowledge Management Systems ("KMS") exist to help businesses create and share information. These are
typically used in a business where employees create new knowledge and expertise - which can then be
shared by other people in the organization to create further commercial opportunities. Good examples
include firms of lawyers, accountants and management consultants.
KMS are built around systems which allow efficient categorization and distribution of knowledge. For
example, the knowledge itself might be contained in word processing documents, spreadsheets, PowerPoint
presentations. internet pages or whatever. To share the knowledge, a KMS would use group collaboration
systems such as an intranet.

Transaction Processing Systems As the name implies, Transaction Processing Systems ("TPS") are designed to process routine transactions
efficiently and accurately. A business will have several (sometimes many) TPS; for example:
- Billing systems to send invoices to customers
- Systems to calculate the weekly and monthly payroll and tax payments
- Production and purchasing systems to calculate raw material requirements
- Stock control systems to process all movements into, within and out of the business

Office Automation Systems Office Automation Systems are systems that try to improve the productivity of employees who need to process
data and information. Perhaps the best example is the wide range of software systems that exist to improve
the productivity of employees working in an office (e.g. Microsoft Office XP) or systems that allow employees
to work from home or whilst on the move
 Innovation
• Business innovation is of top priority for entrepreneurs and
CEOs. But why does a business need an Innovation model?
What’s the role of the innovation model?

• As you know, Innovation is part of a successful business

strategy. Most often, Innovators fail when they pursue the
wrong model for the implementation of innovation. Lacking
the required capabilities can also be the reason for failure.

• An Innovation model provides a detailed framework to identify,

advance, and implement ideas. Thus, focusing on adopting
methods to create the needed value.
 Descriptive innovation model

• It represents the different structuring of the

company’s innovation process subject to
market trends.
 Types of Innovation Models

• First-Generation Innovation Model (1G) – Technology

Push
• Technology push in the first Innovation model is the
result of rapid economic growth from 1950. Nasa
developed this as a management tool in the 1960s.
They also termed it as ‘Phase-review-processes’.

• The idea was to break down complex processes of

space projects. It focused on systemizing the work
and gaining control over activities.
• The Phase-review-processes implies consistent monitoring of each
phase. Thus forming a linear sequential process. It focused on
pushing technological innovation through extensive research &
development.

• It was applied at the stage of product research, its engineering,

manufacturing & marketing to invent a successful product. As the
entire focus was on the development of ideas- it ignored the
marketing phase.

• The complete emphasis on R&D had the disadvantage of not

considering customer feedback and expectations. Thus, the
innovations would often get ignored in the market.
• Second-Generation Innovation Model (2G)– Market Pull
• It includes- the cost-benefit analysis of each project &
systematic allocation of resources.
• The process is similar or sequentially linear but
emphasized market needs. Thus reducing the research
time.

• As the market needs are dynamic, the projects would

last for a short for short period. Hence, resulting in
numerous small projects.
• Third-Generation Innovation Model (3G) –
Coupling Method.
• The third-generation model overcomes the
limitations of the previous two linear models.
It gained prominent acceptance during the
inflation and stagflation phase of the
economy.
• It tightly combined R&D and Marketing. The
innovators coupled technological innovation with
market needs. The model was based on the balanced
coupling of Technology Pull and Market Push.

• The core driving factor was reducing the operational

costs during the contraction stage of the economy. So,
the process formed a non-linear feedback loop. But
the stages in the process made the model sequential.
• Fourth-Generation Innovation Model (4G) – Integrated
Model

• The fourth-generation model follows an integrated

model for the business process. It moved away from
the sequential process to follow the parallel process.

• A parallel approach is followed in development,

internal company communication, key suppliers at
upwards, and customers downwards.
• Fifth-Generation Innovation Model(5G) – Network
Model
• The network model focused on the effective distribution
of network processes. It emphasized gaining flexibility
and increasing the development speed.

• The 5G model has integrated network systems to

consolidate external and internal factors. Therefore, the
model considers the external inputs of suppliers,
customers, competitors, government, etc.
• Sixth-Generation Innovation Model (6G) – Open Innovation
Model
• “Open innovation is the use of purposeful inflows and
outflows of knowledge to accelerate innovation internally
while also expanding the markets for the external use of
innovation.”

• It looks out for technological advancements by combining

internal and external ideas. The funnel representation
shows- Initiating with a large pool of ideas to narrow down
later at the best choice of the idea.
 The 4 Main Types of Innovation:

• There are various types of Innovation. Most

often the characteristics of each innovation
type make them overlap. The following types
are the most common and basic forms of
innovation.
• So here goes the 4 main types of innovation
or innovation matrix…
• Incremental Innovation
• As the word says, Incremental innovation is
increasing the current value of the product. It
makes the product a better version than the
previous one.

• So, it can be about improving efficiency while

retaining the core features. It focuses on improving
the experience of the current customer market.
• Disruptive innovation is a market disruptor.
They blow away the existing market or
industries. This innovative power makes a
non-customer into their customer.
• It set forth the failure of traditional business
models which require a new variation for
survival.
• Sustaining Innovation
• Sustaining innovation is more or less like
Incremental innovation. It grows its existing
market while focusing on current customers.
They take small steps of innovation to grow
their business.
• Radical Innovation
• Radical innovation is similar to Disruptive innovation.
This takes an extensive length of time to make disruptive
changes. Thus making it a rare innovation type.

• It brings transformations that were previously unknown

to the world. Innovations for example computers, mobile
phones, and the internet. So, these innovations have
completely changed the way of communication in the
entire world.
 Digital Culture
• A digital culture is a concept that describes
how technology, and the internet are
shaping the way that we interact as
humans.
• It's the way that we behave, think and
communicate within society.
• It's applicable to multiple topics but it comes
down to one overarching theme; the
relationship between humans and technology.
 Importance of Digital Culture
• Encourages innovation – digital
culture enables organizations to foster a
workplace that motivates employees to
try new things whilst enhancing the
learning of your workforce.
• Attracts new age talent and retains current
workforce
 Build a digital culture in your
company
1.Live your values. Leading by example can
be the most effective way when you try to
encourage change within a culture.
2.Set the right goals and communication.
3.Establish leadership.
4.Involve your employees.
5.Monitor progress and measure success.
6.Provide adequate digital tools.
 Digital Disruption
• Digital disruption is the change that
occurs when new digital technologies
and business models affect the value
proposition of existing goods and
services. .
 Cause of Digital Disruption
• In the digital age, disruption usually comes
from new internet-enabled business
models that are shaking up established
industry structures. ... Businesses,
government agencies and even NGOs are
being forced to adopt these new operating
practices, or face going out of business.
• But what businesses can do is embrace digital disruption,
even plan for it. Keeping an eye on the ball and knowing
the signs of digital disruption emerging in your industry
means you can get ahead of the game and work with the
flow rather than against it. Not only does this prevent the
wave of digital disruption from washing away your
success, it can also lead to further growth and new
opportunities for the business.
• Digital disruption typically marks changes in consumer
needs and therefore working with the tide allows you to
fulfil these emerging needs, keeping existing customers
happy and opening up opportunities for new customers to
find what they need from your brand.
 Disruptive Technologies

Disruptive innovation refers to a concept, product,

or a service that either disrupts an existing market
or creates a completely new market segment.
In practice, disruption happens when traditional
value drivers in an existing market are significantly
changed. Typically, a new player enters an existing
market with new technology or business model (or
a combination of these two), providing new kind of
value that differs from the incumbent's offerings.
Disruptive innovation is one of the four types of innovations in the
innovation matrix.
Disruptive innovation is inferior to the existing
products and services in the market measured by
traditional value metrics. When disruptive innovation
first enters the market, it initially caters only to a
small and typically not very profitable customer
segment, while established organizations are focused
on serving more demanding, high-end customers.
• Because the more demanding customer
segment is the one with higher profits,
established companies usually choose to focus
on serving the more profitable customer
segment
• When buying a new phone, for example, rational
consumers often buy a brand they’re familiar with.
Although the new entrant might use significantly
more advanced technology in their product, the
mainstream and high-end customer segments rely
on the established provider.

• The value of disruptive innovation to the

mainstream and high-end customer segments is
minimal at this point.
• Once the disruptive innovation enters the mainstream, the
established companies typically pick up on the new concept or
technology to respond to the competition. At that point, however,
it’s often too late since the new entrant is on the exponential part.

• Responding to the new competition solely with new technology

often isn’t enough as the market entrant has had a lot of time to
refine the offering and business model.

• In addition, product development takes time and requires multiple

iterations, which makes catching up quite unlikely, even with the
additional resources the incumbent has at its disposal.
 Characteristics of Disruptive innovation:
• Lower margins, at least in the beginning
• Higher risks
• Either disrupts an existing market or creates a new market
segment in the existing one
• Sales arguments and measures of value are usually
fundamentally changed
• Often involves new technology and/or a new business model
• Happens slowly at first until reaches the mainstream after which
grows exponentially
1. Customer, partner, or supplier engagement
• Convenience is the name of the game here. How can you
make it easier for your customers or suppliers to engage
with your product?
• For many companies, applications can help them achieve
this goal. Apps that support this goal include advisement
tools, fact-finding assistance for employees, and
customer portals may help.
• Take the insurance industry. Customers are looking for
more digital solutions when interacting with insurance
companies.
• IBM found that 38% of customers want virtual assistants to help
them with self-service tasks, yet only a fraction of insurance
companies (16%) use and support virtual assistants.
• And a staggering 75% of customers want to see new technologies
incorporated into the companies they work with.
• It may not be enough for insurance companies to offer stellar
customer service over the phone or through chat.
• Companies may need to look for new ways to engage with their
customers. That’s what Zurich Insurance did.
• While it already had a multi-channel approach, it developed a
digital innovation strategy that focused on customer centricity.
2. Product and service innovation
• Differentiating your business — whether by enhancing existing products and
services with digital components or even creating net new products or services — is
another keyway to implement a digital innovation strategy.
• Product and service innovation often involves new applications that enable mobile
services, personalized product offerings, and new business models.
• As part of its focus on customer centricity, Zurich created Face Quote, an app that
uses facial recognition technology, to help its customers quickly get an estimate for
a life insurance policy.
• This innovated an existing (and time-consuming) process.
• All customers had to do was take a selfie using the company’s app. Using low-code,
Zurich was able to develop the app in just one week.
• The app was able to estimate a customer’s age, based on their selfie, and could
offer a quote. Once a customer received their estimate, they were also given a link
to a full life application tool.
3. Internal systems processing, reporting, or access
• No matter how good an app is, if the processes aren’t in place to support it,
it may not be as good as it could be.
• Digitizing your back-office processes can improve efficiency, ultimately
reducing the cost of service and support while improving response times
and customer satisfaction.
• Consider how you can automate complex internal workflows, enable faster
reporting and decision making, and empower your workforce through new
applications that enable better access to data and better mobility.
• In Zurich’s case, the company did this using low-code and an agile
workflow with its team, allowing them to move quickly.
• The results speak for themselves: Over the course of a year, Zurich
Insurance processed 63,000 life insurance quotes.
How to kick off your digital innovation initiatives
• More and more organizations are creating
innovation labs, or fast-track teams, that act as
incubators within their enterprises.
• These groups provide a fast lane through the
business to accelerate the delivery of applications
that tie into digital innovation initiatives.
• But accelerating end-to-end results requires the
right people, process, portfolio, and platform.
People
Select two to three people from across business and IT teams who are
passionate about delivering business value.
• No more large-scale teams, just a small group of highly focused
people who can collaborate to find digital solutions to complex
business challenges.
Process
Leverage an agile, iterative process to drive innovation without
disrupting existing operations or development efforts.
• By continuously iterating toward the perfect solution, you can
release new digital functionality more frequently, show progress, and
collect more market feedback (which then can be actioned more
quickly through additional development sprints).
Portfolio
Creating a project portfolio of quick wins and high-value initiatives
allows you to realize immediate success and create a wow factor,
while high-value initiatives justify broader organizational change —
especially when the applications are tied to relevant strategic
initiatives.
Platform
Find the right technology to empower your people and reinforce your
process.
• Look for a unified platform that manages the entire application
lifecycle, including program management, team collaboration,
rapid application development, instant cloud deployment, and
application management.
 Fixed mindset and Growth mindset

• Someone with a growth mindset views

intelligence, abilities, and talents as learnable
and capable of improvement through effort.
• On the other hand, someone with a fixed
mindset views those same traits as inherently
stable and unchangeable over time.
 Characteristics of a fixed mindset
• A growth mindset means that you believe your
intelligence and talents can be developed over time.
• A fixed mindset means that you believe intelligence is
fixed—so if you’re not good at something, you might
believe you’ll never be good at it.
• At Mindset Health, we’re all about growth mindsets and
encouraging people to adopt a positive outlook on
learning.
• So, let’s look at growth vs. fixed mindsets together,
explore the science, and see how people can change
their mindsets over time.
• What is a growth mindset?
• A growth mindset views intelligence and talent as qualities that can be developed over
time.

• This doesn’t mean that people with a growth mindset assume that they could be the
next Einstein—there are still variables in what we can all achieve. A growth mindset
simply means that people believe their intelligence and talents can be improved
through effort and actions.

• A growth mindset also recognizes that setbacks are a necessary part of the learning
process and allows people to ‘bounce back’ by increasing motivational effort.

• This kind of mindset sees ‘failings’ as temporary and changeable, and as such, a growth
mindset is crucial for learning, resilience, motivation, and performance.

• Those who adopt a growth mindset are more likely to:

• Embrace lifelong learning
• Believe intelligence can be improved
• Put in more effort to learn
• Believe effort leads to mastery
• Believe failures are just temporary setbacks
• View feedback as a source of information
• Willingly embraces challenges
• View others’ success as a source of inspiration
• View feedback as an opportunity to learn
 Fixed Mindset
• What is a fixed mindset?
• In a fixed mindset, people believe attributes, such as talent and intelligence, are fixed—
that's to say, they believe they’re born with the level of intelligence and natural talents
they’ll reach in adulthood.

• A fixed-minded person usually avoids challenges in life, gives up easily, and becomes
intimidated or threatened by the success of other people. This is in part because a fixed
mindset doesn't see intelligence and talent as something you develop—it's something you
"are".

• Fixed mindsets can lead to negative thinking. For instance, a person with a fixed mindset
might fail at a task and believe it's because they aren't smart enough to do it. Whereas a
growth mindset person might fail at the same task and believe it's because they need to
spend more time practicing.

• People with a fixed mindset believe individual traits cannot change, no matter how much
effort you put in, and are more likely to:
• Believe intelligence and talent are static
• Avoid challenges to avoid failure
• Ignore feedback from others
• Feel threatened by the success of others
• Hide flaws so as not to be judged by others
• Believe putting in effort is worthless
• View feedback as personal criticism
• Give up easily
• A growth mindset appears to be linked to higher motivation and error
correction. It is also associated with lower activation in response to negative
feedback.

• Additionally, researchers have shown that in growth-minded people, the brain

is most active when a person was told how they could improve — for example,
tips on what to do better next time.
• Meanwhile, in those with a fixed mindset, the brain is active when a person is
being given information about their performance – for example, the results of
a test. This suggests that people with a growth mindset are more focused on
the process, rather than the result.

• However, only a few studies have examined the brain mechanisms

underpinning different mindsets. More research is needed to clarify the
precise brain activity of growth mindsets.
Can a person’s mindset change?
• Just as someone can grow and develop their intellect, a person is also
capable of changing brain functions and their thinking patterns.

• Neuroscience shows us that the brain continues to develop and change,

even as adults. The brain is similar to plastic in that it can be remolded
over time, as new neural pathways form. This has led scientists to identify
the tendency of the brain to change through growth and reorganization as
‘neuroplasticity’.

• Studies have shown the brain can grow new connections, strengthen
existing ones, and improve the speed of pulse transmission. These suggest
that a person with a fixed mindset can slowly develop a growth mindset.
• How to develop a growth mindset
• Researchers have found that it is possible to promote a growth mindset by teaching
students about neuroscience evidence showing the brain is malleable and improves through
effort.

• There are several ways to develop a growth mindset:

• 1. Realize that, scientifically, you can improve

• One of the most direct methods of fostering a growth mindset is by understanding our
brains are built to grow and learn. By challenging yourself with new experiences, you can
form or strengthen neural connections to ‘rewire’ your brain which, in turn, can make you
smarter.

• 2. Remove the ‘fixed mindset’ inner voice

• Many people have a negative inner voice that acts against a growth mindset. Try to flip
thoughts such as ‘I can’t do this’, to ‘I can do this if I keep practicing’ to nurture a growth
mindset.
3. Reward the process
• Although society often rewards those who achieve excellent outcomes, this can work against a growth
mindset. Instead, reward the process and the effort exerted. One study by Dr. Carol Dweck showed
that rewarding effort over results on a maths game improved performance.

4. Get feedback
• Try and seek feedback on your work. When students are provided with progressive feedback about
what they did well and where they can improve, it creates motivation to keep going. Feedback is also
associated with a pleasurable dopamine response and enhances a growth mindset.

5. Get out of your comfort zone

• Being brave enough to leave your comfort zone can help foster a growth mindset. When faced with a
challenge, try to choose the harder option that will allow you to grow.

6. Accept failure as part of the process

• Failure, setbacks, and initial confusion are all part of the learning process! When trying something
new,see occasional ‘failures’ as positive learning opportunities—try to enjoy the discovery process
along the way.