Define an information system. What are the fundamental resources of an information system? Explain.

An Information System (IS) is a structured framework that collects, processes, stores, and distributes information to support decision-making, coordination, analysis, and control within an organization. It integrates hardware, software, data, processes, and people to facilitate efficient business operations and strategic planning.

Fundamentals resources of Information System

1. Hardware

Hardware includes all the physical parts of an information system that help in processing, storing, and sharing information. It consists of computers, servers, storage devices, networking equipment, and input/output devices. Computers and servers process data, while storage devices like hard drives, SSDs, and cloud storage keep important files safe. Networking equipment such as routers and switches allows communication between devices, ensuring smooth data transfer. Input devices like keyboards, mice, and scanners help users enter data, while output devices like monitors, printers, and speakers display or present the processed information. Good-quality hardware improves system performance and efficiency.

2. Software

Software refers to the programs and applications that run on hardware and allow users to perform different tasks. There are two main types of software: system software and application software. System software, like operating systems (Windows, macOS, Linux), helps manage hardware and other software. Application software, such as Microsoft Office, web browsers, and accounting software, is designed to help users complete specific tasks. Without software, hardware cannot function properly. Software makes it easier to store, manage, and process data efficiently.

3. Data

Data is the collection of raw facts, numbers, and figures that an information system processes to create useful information. Data can be structured (organized in tables and databases) or unstructured (emails, documents, images, and videos). Businesses rely on data to make decisions, track progress, and plan for the future. Proper data management ensures accuracy, security, and quick access when needed. Storing data safely in databases or cloud storage helps protect it from loss or misuse.

4. People

People are the users who interact with an information system. This includes IT professionals, system administrators, employees, managers, and customers. IT experts design, maintain, and improve the system, while employees use it to complete their daily tasks. Managers use information systems to analyze data and make decisions, and customers interact with them through websites and applications. Proper training and user-friendly systems help people use information systems effectively and efficiently.

5. Processes (Procedures)

Processes are the steps and rules that guide how an information system works. These include how data is collected, stored, processed, and shared. For example, a company may have procedures for entering customer details, backing up important files, or keeping data secure. Well-organized processes help businesses operate smoothly, reduce errors, and maintain security. Clear guidelines ensure that everyone follows the right steps while using the system.

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