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Topic 2
Information & Systems


What's an Organisation?
An organisation is a group of people with a specific purpose.

What's the Division of Labour?
It's where activities and tasks are allocated to staff depending on their roles
and skills. It lets people specialise and develop their own knowledge and
expertise…

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Pyramid Structures
Traditional shape of a structure within a large business. It clearly defines the
roles.




Advantages
Clearly defined authority & responsibility
Effective use of specialist managers
Employees loyal to their department


Disadvantages
Long time to make & implement decisions
Poor communication across sections
Senior staff remote from the lower…

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Specialisation: departments may have little to do with each other
Managers can be responsible for several departments and their role isn't
always clear
Control of top management could be weakened as they may have too
wide a span of control
Fewer levels of management usually mean that there are fewer…

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Types of ICT System

Back Office System
This runs a company's business administration processes. In a retail company, a
back-office system would maintain a record of all sales transactions and
purchases, updating stock records as appropriate and producing hard copies of
invoices and receipts.

Transaction Processing System
Deals with the…

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Uses operational-level data to provide management-level information. The
data can come from both internal and external sources and is combined and
often presented in an easy-to-read format such as tables or graphs.

An MIS aims to provide a manager with all the information needed to make
decisions associated with the…

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