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48 Part One Organizations, Management, and the Networked Enterprise

you must understand the problems they are designed to solve, their architec-
tural and design elements, and the organizational processes that lead to these
solutions.

DIMENSIONS OF INFORMATION SYSTEMS
To fully understand information systems, you must understand the broader
organization, management, and information technology dimensions
of systems (see Figure 1.5) and their power to provide solutions to chal-
lenges and problems in the business environment. We refer to this broader
understanding of information systems, which encompasses an understand-
ing of the management and organizational dimensions of systems as well
as the technical dimensions of systems, as information systems liter-
acy. Computer literacy, in contrast, focuses primarily on knowledge of
information technology.
The field of management information systems (MIS) tries to achieve this
broader information systems literacy. MIS deals with behavioral issues as well
as technical issues surrounding the development, use, and impact of informa-
tion systems used by managers and employees in the firm.
Let’s examine each of the dimensions of information systems—organizations,
management, and information technology.

Organizations
Information systems are an integral part of organizations. Indeed, for some
companies, such as credit reporting firms, there would be no business without
an information system. The key elements of an organization are its people,
structure, business processes, politics, and culture. We introduce these compo-
nents of organizations here and describe them in greater detail in Chapters 2
and 3.

FIGURE 1.5 INFORMATION SYSTEMS ARE MORE THAN COMPUTERS

Using information systems effectively requires an understanding of the organization, management,
and information technology shaping the systems. An information system creates value for the firm as
an organizational and management solution to challenges posed by the environment.

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