Chapter 1

Fundamentals of Information Systems

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Summary

An information system typically consists of five key components—people, data, procedures, hardware, and software An information system refers to a set of interconnected components that integrate the collection, processing, storage, and distribution of data, information, and digital products in order to support decision-making… The basic purpose of information systems—processing and sharing information—has been part of our communication practices since the beginning of civilization, evolving from simple cave drawings to the complex technology… Information systems can be categorized into different types based on their scope and functionality, including executive information systems used by an organization’s executive staff, decision support systems used by…

Key terms

information system

set of interconnected components that integrate the collection, processing, storage, and distribution of data, information, and digital products

information

raw data that have been processed and manipulated to give context and meaning

hardware

physical devices such as computers, servers, networks, and storage devices that are used to collect, process, and store data

data

raw facts and figures that are processed and turned into meaningful information

enterprise resource planning (ERP) system

type of information system used by everyone in an organization to integrate various business processes and functions across an organization such as human resource management and…

procedure

set of instructions and rules that governs the use of the hardware, software, and data components in information systems

software

programs and applications that run on computer hardware, enabling users to perform specific tasks

processing

performance of tasks in order to make data useful in a system

Chapter 2

Data Management and Information Systems Business Strategies

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Summary

The four key dimensions of big data—known as the four V s—include volume, variety, velocity, and veracity One important part of data governance is information quality, which covers how accurate, complete, consistent, and readily accessible it is Data governance involves establishing policies, processes, standards, roles, and responsibilities to manage data as a valuable asset. Data management is about figuring out the specific ways that data will be stored, analyzed, protected, and measured

Key terms

big data

large datasets that are complex in volume, variety, veracity, and volume and that require specialized processing techniques to extract valuable insights and make informed decisions

velocity

key dimension of big data that describes the rapid pace at which data are generated and collected, thereby necessitating real-time processing

data governance

policies, procedures, and standards that determine how an organization manages the availability, usability, integrity, and security of an organization’s data throughout the data…

veracity

key dimension of big data that refers to the reliability, accuracy, and trustworthiness of the data, considering factors like data quality and consistency

variety

key dimension of big datathat encompasses the diverse array of data types and formats

volume

key dimension of big data that refers to the vast amount of data generated and stored

information quality

accuracy, completeness, consistency, and timeliness of data

affiliate model

digital business model in which one company earns commissions by promoting and selling other companies’ products or services through websites or social media channels

Chapter 3

Database Management Systems

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Summary

Types of databases include relational, NoSQL, data warehouses, and data lakes Understanding the types of data storage, indexing, and data retrieval techniques is fundamental to understanding database concepts A database management system (DBMS) is a software system that manages, stores, and processes data, ensuring data are organized, accessible, and secure Data can be categorized into structured, semistructured, and unstructured types, requiring different tools and techniques to collect and analyze.

Key terms

data lake

type of database that stores large amounts of raw data in their original format until the data are needed

database management system (DBMS)

software system that manages, stores, and process data, ensuring it is organized, accessible, and secure

data warehouse

type of database that integrates data from various sources and stores them in a combined manner

indexing

technique used to improve the speed of data retrieval operations in a database

data retrieval

process of obtaining specific information from a database or storage system

access control

security-driven restriction of access to ensure that only authenticated users are able to interact with specific resources

NoSQL database management system

type of database that provides a mechanism for storing and retrieving data that is not based on the traditional relational database model

Chapter 4

Systems Analysis, Design, and Development

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Summary

The Manifesto for Agile Software Development maintains the four Agile Manifesto values and describes how Agile development works, including the planning and preparation involved and the importance of sprint planning A systems analyst is a professional whose primary functions are to utilize systems analysis and design techniques to support information systems and solve challenges presented when using information systems Systems design generally involves the following activities: designing the data, interface design, and process design. Agile is an iterative approach to software development that considers uncertainty in changing environments and allows Agile teams to respond to those changes quickly to deliver smaller, consumable work packages.

Key terms

systems analysis

identifies the opportunities discovered by examining business problems and identifying possible solutions the business may undertake

sprint

time-based period, generally between one and six weeks, that represents a delivery cycle during which the specified work is completed and reviewed

systems analyst

professional whose primary functions are to utilize systems analysis and design techniques to support information systems and solve challenges that arise when using information…

iterative

process that is applied repeatedly

Agile

approach of iterative and incremental delivery of quality products and value to stakeholders using team collaboration, flexibility, and continuous planning

Agile software development

adaptive approach to software development that considers uncertainty in rapidly changing environments and allows Agile teams to respond to those changes to deliver smaller…

interface design

design of the visual layout and functional elements of a product or system that involves using an understanding of people and processes to drive the final design outcomes

process design

activity generally used by businesses to further understand its processes and how to improve them

Chapter 5

Information Systems Security Risk Management

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Summary

Routers act as gateways to both internal and external networks, with the capability of blocking unauthorized access and filtering traffic when the router has a firewall installed in it Key principles of network security include confidentiality, integrity, and availability (CIA) along with ensuring authentication, and authorization to track and monitor access Switches allow for network segmentation, and they can provide another layer of security by isolating traffic within VLANs Networks go far beyond basic components and include protocols and services that control how information is transmitted and received.

Key terms

authentication

process of verifying the identity of a user or device, often through credentials such as passwords or digital certificates

information privacy

right and measure of control individuals have over the collection, storage, management, and dissemination of their personal information

information security

practice of protecting information by mitigating information risks and vulnerabilities, which encompasses data privacy, data confidentiality, data integrity, and data…

network security

process of guarding network infrastructure and IT systems from unauthorized access, misuse, malfunction, or improper disclosure to unintended parties

firewall

network security system that uses security rules to monitor and control incoming and outgoing traffic

protocol

fundamental rule or procedure that governs communication between devices in a network

router

device that forwards data packets to the appropriate parts of a computer network

switch

device that connects and segments various components within a local network

Chapter 6

Enterprise Security, Data Privacy, and Risk Management

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Summary

Data privacy and security have transcended being mere IT issues to become crucial elements of strategic planning for businesses, necessitating significant investment in data security measures and privacy protocols to… Data privacy and security involve protecting data from unauthorized access and ensuring confidentiality, integrity, and availability; they are essential for maintaining trust and reputation, preventing financial loss… The growing awareness and concern among consumers about their data privacy means businesses must enhance their data protection efforts, as consumers are increasingly likely to switch away from companies with poor data… Security policies extend to managing risks associated with third parties such as cloud service providers and data analytics firms, requiring regular audits, and secure data handling agreements

Key terms

data privacy

rights and practices around the proper collection, storage, and use of personal information

audit

process of evaluating the adequacy, effectiveness, and adherence to prescribed procedures, protocols, or standards

data security

protection of data from unauthorized access, corruption, or theft

error handling

process in software and systems design where potential errors are systematically managed and addressed to prevent system failures and security breaches, and to provide meaningful…

least privilege principle

cybersecurity practice where users are granted the minimum levels of access, or permissions, needed to perform their job functions, reducing the risk of unauthorized access to…

remote auditing

modern auditing method that uses digital tools and technologies for assessing systems, processes, and policies when in-person visits are not feasible

social responsibility

in a business context, the obligation of companies to act in ways that benefit society and the environment beyond what is legally required

transparency

openness, communication, and accountability, wherein actions and decisions are clear and understandable to stakeholders

Chapter 7

Cloud Computing and Managing the Cloud Infrastructure

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Summary

There are numerous IS positions available in cloud computing, such as network engineers, system administrators, and cybersecurity specialists Cloud computing maximizes resource use through the implementation of virtualization software, which adds scalability and elasticity for the cloud consumer Cloud computing has a deployment model that enables the cloud consumer to build an environment structure that meets business strategies. Cloud computing has introduced a means by which organizations can provide services to their customers through the internet

Key terms

cloud computing

(also, the cloud) information technology resources that are available through the internet on an on-demand or pay-as-you-go basis without the users needing to manage it

infrastructure

facility and system used to support an organization’s operations

cybersecurity specialist

person who identifies and develops security strategies, verifies needed security improvements, and implements security strategies for an organization

system administrator

person who manages and maintains the information technology and information systems resources for an organization

network engineer

person with the skill to design, implement, and manage a network in support of an organization’s mission

virtualization

service in which a physical computer environment creates a simulated computer environment

cloud consumer

entity that uses and maintains access to computing resources of a cloud provider

deployment model

location, method, and entity responsible for controlling the infrastructure

Chapter 8

Data Analytics and Modeling

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Summary

The collection of big data occurs through web scraping, sensor data collection, social media, data marketplaces and APIs, and internal data sources The current era is Analytics 3.0, which uses traditional analytics to analyze big data. Organizations harness BI to gain an edge with tools to aid in marketing, predictive analytics, and financial analysis Analytics 1.0, 2.0, and 3.0 are three distinct eras in the evolution of big data.

Key terms

data analytics

process of examining datasets to draw conclusions and insights, typically using statistical and computational methods to inform decision-making or solve problems

data marketplace

online platform or ecosystem where data providers and consumers can buy, sell, or exchange datasets and related services

predictive analytics

use of statistical algorithms and machine learning techniques to analyze historical data and forecast future outcomes or trends

sensor data collection

gathering data from sensors designed to detect and respond to physical or environmental conditions, such as temperature, pressure, or motion

web scraping

automated extraction of data from websites, typically using software to simulate human browsing behavior and retrieve information from web pages

current era

Analytics 3.0, which uses traditional analytics to analyze big data

application programming interface (API)

means by which software applications communicate and interact with each other for the purpose of exchanging data and functionality

key performance indicator

measurable value that demonstrates how effectively a company is achieving its key business objectives and goals

Chapter 9

Information Systems Project Management

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Summary

Project management is a multidisciplinary way of ensuring that projects are on time, within budget, and in scope, and that deliverables are of good quality and risks are minimal They are (1) project initiation, (2) project planning, (3) project execution, (4) monitoring and control, and (5) project closure There are many different project management methodologies, but three of the most well documented are PMBOK (waterfall), Agile, and PRINCE2 The three most commonly used approaches for project development include predictive, adaptive, and incremental

Key terms

project management

use of specific knowledge, skills, tools, and techniques to provide guidance through each stage of a project

project

temporary initiative or endeavor to create a product, service, or result that has a beginning and end date

project closure

stage at which the project comes to a formal conclusion, ensuring that all project objectives are met and deliverables are handed over

project initiation

stage at which a project is created and involves defining its purpose, objectives, and stakeholders

project development

process of planning a project and ensuring that it has the resources necessary to successfully achieve its goals and objectives

project execution

stage that involves implementing the project plan, managing resources, and monitoring progress

risk

event or condition that has a negative effect should it occur during a project

scope

deliverables, objectives, and requirements of the project

Chapter 10

Emerging Technologies and Frontiers of Information Systems

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Summary

Emerging technology is defined as software or hardware that enhances the user experience by obtaining or using information and data in new and compelling ways. Emerging technology can be found in many areas including education, information technology, and AI, and continues to have great potential to provide synergies with other technologies of similar or different… Characteristics of an emerging technology include its novelty or newness, rapid advancement, and disruptive potential Blockchain, AI, AR, and VR are all real-world applications of emerging technologies

Key terms

emerging technology

software or hardware that enhances the user experience by obtaining or using information and data in new and exciting ways; can be used to describe new technologies or the…

blockchain

shared, immutable ledger that facilitates the process of recording transactions and tracking assets

information economics

branch of microeconomics that analyzes how economic decisions and consumer behaviors are influenced by knowledge and power

enterprise modeling and integration (EMI)

process that uses computer-based tools to model the business structure and facilitate the connection of its technology, work, and information flow across an organization

generative AI

type of artificial intelligence that creates new content or ideas in the form of text, images, videos, music, audio, and other forms of data

information systems frontiers

latest developments in the field of information systems, exploring new research areas, innovative applications, and emerging technologies that have the potential to significantly…

machine learning

use of algorithms and models that enable machines to learn from or make decisions about data without specific programming

mobile computing

strategies, technologies, products, and services that enable users to access information without restricting the user to a single geographic location

Chapter 11

Global Information Systems

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Summary

Anticipating future trends and outcomes, global information systems allow organizations to create scenario models and conduct predictive analysis to assess the potential impacts of various strategies and courses of… The global information system infrastructure relies on a variety of hardware and software components to function, including computers, workstations, routers, and peripherals, such as cables, printers, and scanners, as… Building a robust global information system infrastructure requires understanding the organization’s needs, defining clear objectives, assessing technology needs, selecting the right technologies, designing the… Global information systems support the standardization of business practices and workflows, ensuring consistency and efficiency across global operations.

Key terms

global information system

intricate network of hardware, software, data, and telecommunications infrastructure that enables information collection, storage, management, processing, analysis, and…

global information system infrastructure

foundational framework of hardware, software, data storage, network, and cloud-based services that supports global information system operations within an organization

predictive analysis

use of data, specifically statistical algorithms, to help organizations identify patterns and make predictions that will enhance the operational results

cross-functional enterprise

organization that breaks down departmental silos and fosters collaboration between different functions (such as marketing, finance, and IT) to achieve common goals

global information system team

group of professionals responsible for designing, implementing, managing, and securing the complex systems that enable the flow of information across international borders

global logistics information system (GLIS)

system designed to manage and track the flow of goods across international borders, encompassing all aspects of a global supply chain

global supply chain management (GSCM)

planning, coordinating, and optimizing the flow of goods, information, and finances across international borders to meet customer demands

interoperability standard

guideline, protocol, or specification that enables different systems, technologies, or platforms to communicate, exchange data, or work together seamlessly

Chapter 12

Ethics, Sustainability, and Social Issues in Information Systems

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Summary

Three main normative theories provide frameworks for assessing the ethics of actions: utilitarianism, which focuses on consequences of actions; deontology, which evaluates the action itself; and virtue ethics, which… Systems thinking enhances ethical reasoning by emphasizing holistic analysis of complex situations’ interconnected components and relationships. Sustainability considers the long-term viability of organizational systems in terms of environmental stewardship, economic viability, and social welfare. Information systems practices should align with these sustainability pillars to minimize waste and harsh effects on the environment, increase efficiencies in business, and promote a positive impact on society

Key terms

sustainability

long-term viability of systems, considering their environmental, economic, and social impacts

ethics

values and principles that guide life decisions and experiences

utilitarianism

normative ethical theory holding that the morally correct course of action is the one that maximizes utility and happiness for the greatest number of people

deontology

normative ethical theory that focuses on the inherent rightness or wrongness of actions themselves, as opposed to the consequences of those actions; follows the premise of the…

Green IS

information systems practices designed to minimize ecological impacts through energy efficiency, renewable resourcing, and responsible waste disposal

Lean IS

information systems practices focused on eliminating redundancies and waste to optimize system efficiency and productivity

Sustainable IS

holistic approach that considers the long-term impacts and viability of information systems, focusing on environmental, economic, and social implications

systems thinking

perspective emphasizing the interconnectedness of components within a whole, suggesting that the overall behavior of a system results from these interactions