Associate Level Material
Appendix C

IT Applications and Hardware/Software Components

In your own words, describe how the following IT applications and hardware/software components are used in business.

Transaction Processing Systems

Collects and stores data about transactions and sometimes controls decisions made as part of a transaction. For example, helps keep track of inventory.

Knowledge Management Systems
 IT system that stores and retrieves knowledge. Helps store useful information regarding your business.
Expert System and Artificial Intelligence
 A computer system that emulates the decision-making ability of a human being. Helps solve complex problems.
Enterprise Resource Planning Systems
 A process management software that allows an organization to use a system of integrated applications to manage the business.
E-Commerce Systems
Is the trade in products or services using computer networks, such as the Internet. Good for buying or selling products related to your business.
Legacy systems

The hardware and software components of an already existing IT system. An outdated system, but a lot of companies prefer to use it, with the attitude “if it’s not broken, don’t fix it”.
Mainframe computers
Used primarily by large organizations for critical applications, bulk data processing such as census, industry and consumer statistics.
Computer chips used to process information like word processing, and spread sheet applications. Think of it as “the engine” in your business.
A compact computer that uses a microprocessor and is designed for individual use. Useful for storing valuable data.
Network computers
A business would use a computer network connected by cables or the Internet in order to gain access to a common server or to share programs, files and other information.

World Wide Web and Internet
A Global data communications system, A hardware and software infrastructure that provides connectivity...