INFORMATION

TECHNOLOGY
IN BUSINESS

Objectives

1. Explain information technology's role in business.

2. Understand how information is managed.

3. Describe various types of software and hardware.

4. Discuss challenges in information technology.

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Section (1) : The Role of Information Technology in Business

Section Outline:-
A. Brief History of Information Technology.
B. Time and Place with Information Technology .
C. Information Technology and Independence of Location .
D. E-Business and E-Commerce.

A. Brief History of Information Technology.

i. Data Processing (DP) :- The name for business technology in the 1070s.
Its primary purpose was to improve the flow of financial information.
ii. Data :- Raw unanalyzed and unorganized facts and figures .

iii. Information :- The processed and organized data that can be used for
managerial decision making .

iv. Information Systems :- The name for business technology in the 1980s.
Its role changed from supporting the business to doing business.
Technology such as ATMs and voice mail are example .

v. Information Technology (IT) :- The name given to business technology in

the 1990s. Its role become the way of doing business rather just using
technology to help with business functions.

B. Time and Place with Information Technology .

C. Information Technology and Independence of Location .

i. Virtualization: - Accessibility through technology that allows business to

be conducted independent of location.
ii. Instant messaging (IM) :- Allows business to communicate in real time
for free , via computer .
iii. E-business: - Any electronic business data exchange using any electronic
device .
iv. E- commerce :- Selling products or services online through E-business .
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 Section (2) : MANAGING INFORMATION

Section Outline:-
MANAGING INFORMATION
Managing Information

We have to know what is useful and what is not useful "Usefulness is based
on these Four characteristics:-
1. Quality :- means the information is accurate and reliable
2. Completeness :- thete must be enough information to allow
individuals to make a decision but not so much as to confuse .
3. Timeliness :- Information must reach business owners and managers
quickly .
4. Relevance :- Information systems often provide us with too much
data . so managers need to learn the right question .in order to get the
relevant data they need
Infoglut :- The phenomenon of information overload in business

Data Warehouse :- An electronic storage place for data on a specific subject

(such as sales ) over a period of time.

Data mining :- looking for hidden patterns in the data in adata

warwhouse and discovering relationships among the data.

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 Section (3) : THE BACKBONE OF KNOWLEDGE:
HARDWARE AND SOFTWARE

Section Outline :-
Hardware
Software

Wireless networking :- Refers to the ability of a computer or device to

transport signals through the air

Wireless fidelity ( Wi Fi ) :- the technology used to obtain an internet

connection without having to connect a phone line or cable line .

Intranet :- A companywide network . closed to public access . that uses

internet-type technology .

Extranet: - Semiprivate network that uses internet technology and allows

more than one company to access the same information or allows people on
different servers to collaborate.

Firewall :- Can consist of hardware or software : prevents outsiders from

accessing information the user does not want other to see.

Hackers :- People who unlawfully break into computer systems .

Virtual Private Network (VPN) :- A private data network that creates secure
connections or "tunnels " over regular internet lines .

Portal :- An entry point into a Web site .

Software :- The product that tells your computer what to do .

Shareware:- Software that is copyrighted but distributed to potential

customers free of charge .

Public domain software :- Software that is free for the taking for Ex:-
tucows.com - topshareware.com

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 Section (4) : INFORMATION TECHNONLGY CHALLRNGES

Section Outline :-
A. Hackers and viruses
B. Governmental Security .
C. Privacy
D. Stability
E. Reliability of Data

A. Hackers and viruses

One ongoing problem with computer technology which is likely to persist

in the future is "Hackers". For example according to Information week,
hackers broke into computers Of TJX .

Virus: - Programming codes inserted into other programming to cause

unexpected events.

B. Governmental Security

C. Privacy

Unencrypted: - An encryption is a secret code given to information when

it is passing through the internet. An unencrypted piece of data means
anyone can see it and it is less secure .

Cookies :- Pieces of information , such as registration data or user preferences

, sent by a WEB site over the internet to your Web browser is expected to
save and send back to the server whenever the user returns to that Web site.

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D. Stability

E. Reliability of Data

When evaluating data on the Internet consider the following:-

Accuracy: - How reliable and free from error is the information ?
Authority: - What is the authority or expertise of the individual
or group that created this site? .
Objectivity: - To what extent is the information trying to sway the
opinion of the audience?.
Current: - Is the content of the work up to date?
Coverage :- Are the topics explored in depth ? What is the overall value
of the content ?