This chapter’s objectives are to: Explain how managers use controls to operate organizational performance, describe the different forms and types of information technologies that managers apply, illustrate how managers use information and technology systems to create efficiencies and make more effective decisions,...
MANAGEMENT SECOND EDITION Chapter 16 Information and Operations Learning Objectives § § § § § Explain how managers use controls to operate organizational performance Describe the different forms and types of information technologies that managers apply Illustrate how managers use information and technology systems to create efficiencies and make more effective decisions Identifythetypesofcontrolsandtheprocessesusedby managerstomeasureandadaptorganizationalperformance Describehowmanagerseffectivelyapplycontrolsto influenceperformance,withbothpeopleandresults Copyrightâ2017JohnWiley&Sons,Inc HowControlsMakeaDifference (p.400) Đ Control • • • • • Tool that helps managers use information to influence behavior and affect operational performance through greater efficiencies and effective decision making Permits managers to oversee and direct employees toward achieving organizational goals Regulatesbehaviorandresultsaroundspecificareaswithin theorganization Shouldnotbetoorigid Lackofcontrolcanleadtodemiseoftheorganization Copyrightâ2017JohnWiley&Sons,Inc HowControlsMakeaDifference (cont.) Đ Typesofcontrols(p.401) ã • Standards – models and examples of how items or tasks are expected to be executed Preliminary control (planning control) – control used as a preventative measure to clarify potential deficiencies before they occur § • • Corrective action taken before problems arise Screeningcontrol(realưtimecontrol)controlusedto takecorrectivemeasuresbasedonfeedbackduringa processshouldbarriersarise Postưactioncontrolcontrolusedtoassessresultsaftera processiscompleteinordertoprovideinformationfor futureplanning(p.402) Copyrightâ2017JohnWiley&Sons,Inc Information,Technology,andSystems (p.402) Đ Informationtechnology ã Đ Development,maintenance,anduseofcomputersystems, software,andnetworksfortheprocessinganddistribution ofdata Typesofinformation(p.403) ã Knowledgeinformationgainedbyanindividualorteam thatisinternalized Đ Knowledgeworkeremployeeswhoareknownforthespecific skillstheypossess,suchastechnology Copyrightâ2017JohnWiley&Sons,Inc Information,Technology,andSystems (cont.) Đ Organizinginformationusingtechnologyand systems(p.403) ã ã Firewallsoftwareprogramdesignedtoprotectagainst unauthorizedentryintoaparticularinformationsystemor personalcomputer Extranetsystemthatissimilartotheinternetbutused primarilywithinacompanyforitsemployeesorvendors Copyrightâ2017JohnWiley&Sons,Inc ManagementInformationSystems (p.404) Đ Managementinformationsystem(MIS) ã Đ Toolthataidsorganizationstorunmoreefficientlyby incorporatingpeople,technology,andinformation systematically Enterpriseresourceplanning(ERP) ã ã Systemthatprovidesaflowofinformationtoinclude accounting,manufacturing,customerrelationship management,sales,andservice Everyoneabletoseehowoneactioncarriedoutinonearea canaffectanotherpartoftheorganization Copyrightâ2017JohnWiley&Sons,Inc ManagementInformationSystems (cont.) Đ Executivesupportsystem(ESS;p.405) ã • § Decision support system (DSS) • § Management information system that uses internal and external data to aid the executive staff with their decisionmaking process with regard to organizational performance Executives can view data instantly rather than waiting for monthly reports Computerưbasedinformationsystemthathelpsorganizationswiththeir decisionưmakingprocess Artificialintelligence ã Softwaresystemthatgivescomputerstheabilitytoseeminglypossess humanintelligenceandactaccordinglytoprocessinformation Copyrightâ2017JohnWiley&Sons,Inc InformationandControlsfor Operations(p.406) Đ Types of controls • • • Controller – chief accounting officer within an organization that helps control finances Financial statement – summary that lists the revenue and liabilities for a company during a particular time frame (p. 407) Balance sheet – financial statement that lists revenue, assets,andliabilitiesforacompanyduringaparticular timeframe Copyrightâ2017JohnWiley&Sons,Inc InformationandControlsfor Operations(cont.) Đ Typesofcontrols(cont.) ã ã ã • Income statement – summary of revenue gained during a specific time period, usually listed by month (p. 407) Ratio analysis – quantitative study of a company’s financial statements within a particular collection of data Audit – formal examination of a company, department, or individual’s accounts or financial standing (p. 408) Budget – document used to predict revenues and expenditures during a certain period for financial forecasting Copyright ©2017 John Wiley & Sons, Inc ... Copyrightâ2017JohnWiley&Sons,Inc ManagementInformationSystems (p.404) Đ Managementinformationsystem(MIS) ã Đ Toolthataidsorganizationstorunmoreefficientlyby incorporatingpeople,technology,andinformation systematically... process is complete in order to provide? ?information? ?for future planning (p. 402) Copyright ©2017 John Wiley & Sons, Inc Information, Technology,? ?and? ?Systems (p.402) Đ Informationtechnology ã Đ Development,maintenance,anduseofcomputersystems,... Copyrightâ2017JohnWiley&Sons,Inc Information, Technology,andSystems (cont.) Đ Organizinginformationusingtechnologyand systems(p.403) ã ã Firewallsoftwareprogramdesignedtoprotectagainst unauthorizedentryintoaparticularinformationsystemor