Software
Software refers to the programs that control the
hardware and produce the desired information or results.
Software consists of system software and application
software.
System software manages the hardware components,
which can include a single workstation or a global network
with many thousands of clients. Either the hardware manufacturer supplies the system software or a company purchases it from a vendor. Examples of system software
include the operating system, security software that protects
the computer from intrusion, device drivers that communicate with hardware such as printers, and utility programs
that handle specific tasks such as data backup and disk
management. System software also controls the flow of data, provides data security,
and manages network operations. In today’s interconnected business world, network
software is vitally important.
Application software consists of programs that support day-to-day business functions and provide users with the information they require. Application software can
serve one user or thousands of people throughout an organization. Examples of company-wide applications, called enterprise applications, include order processing systems,
payroll systems, and company communications networks. On a smaller scale, individual
users increase their productivity with tools such as spreadsheets, word processors, and
database management systems.
Application software includes horizontal and vertical systems. A horizontal system
is a system, such as an inventory or payroll application, that can be adapted for use in
many different types of companies. A vertical system is designed to meet the unique
requirements of a specific business or industry, such as a Web-based retailer, a medical
practice, or a video chain.