Management Information Systems- 11

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Management Information Systems:

Management Information Systems

What is MIS?:

What is MIS? Short for Management Information System – MIS refers broadly to a computer-based system that provides managers with the tools for organizing, evaluating and efficiently running their departments.

What is MIS ???:

What is MIS ??? Right Information To the right person At the right place At the right time In the right form At the right cost

Management Information System is:

Management Information System is A set of interrelated components which Collect, retrieve, process, store and distribute information To support decision making Of managers In an organization.

Management Information System:

Management Information System According to Philip Kotler "A marketing information system consists of people, equipment, and procedures to gather, sort, analyze, evaluate, and distribute needed, timely, and accurate information to marketing decision makers."

Management Information System:

Management Information System The three sub-components Management, Information and System - together bring out the focus clearly & effectively. System emphasizing a fair degree of integration and a holistic view; Information stressing on processed data in the context in which it is used by end users; Management focusing on the ultimate use of such information systems for managerial decision making.

Management Information System:

MIS utilizes Computer H/w and S/w Databases Model bases Operating procedures People Management Information System

Components of MIS:

Components of MIS MIS is based on four major components : Data Gathering: Data pertinent to the operations of the organization are gathered from both external and internal sources. Data Entry: The above data is inputted and stored in databases as the information processing core of the system. Data Transformation: Data is transferred in to useful information through the application of computer software programs and judgments made by technical support staff and other system user. Information Utilization: This useful information is retrieved as needed by the management and technical personnel and applied to a wide variety of decisions related to the conduct of organizational operations.

MIS Characteristics:

MIS Characteristics System Approach Management Oriented Need Based Exception Based Future Oriented Integrated Common Data Flows Long Term Planning Sub-System Concept Central Database

MIS Functions:

MIS Functions Data Capturing Processing Of Data Storage of Information Retrieval Of Information Dissemination of Information

Information System processing functions:

Information System processing functions To process Transactions To Maintain Master Files To Produce Reports To Process Enquiries To Process Interactive Support Applications

Decision-Making Levels of an Organization:

Decision-Making Levels of an Organization Organizations are composed of levels, with each using Information Technology to automate activities or assist in Decision Making.

Management Hierarchy:

Management Hierarchy Levels of Management Strategic Planning Level: make long-range strategic decisions about products and services Management Control Level: Carry out the programs and plans of senior management Operational Control Level: monitor the firm’s daily activities

Management Level Functions:

Management Level Functions

Decision-Making Levels of an Organization:

Decision-Making Levels of an Organization Executive level (top) Long-term decisions Unstructured decisions Managerial level (middle) Decisions covering weeks and months Semi-structured decisions Operational level (bottom) Day-to-day decisions Structured decisions

Information Needs of Different Level Managers :

Information Needs of Different Level Managers Strategic Planning Level Operational Control Level Structured Programmed Historical Exact Internal Unstructured Non-programmed Futuristic Inexact External

Slide 18:

CLASSIFICATION OF INFORMATION SYSTEMS DATA WORKERS KIND OF SYSTEM GROUPS SERVED STRATEGIC LEVEL SENIOR MANAGERS MANAGEMENT LEVEL MIDDLE MANAGERS OPERATIONAL OPERATIONAL LEVEL MANAGERS KNOWLEDGE LEVEL KNOWLEDGE & SALES & MANUFACTURING FINANCE ACCOUNTING HUMAN RESOURCES MARKETING

IS CLASSIFICATION:

IS CLASSIFICATION Operations Support System Management Support Systems

Operations Support System:

Operations Support System Transaction Processing System Process Control Systems Office Automation Systems

Transaction Processing System:

Transaction Processing System Records and processes data and produces reports. Represents automation of the fundamental, routine processing used to support business operations. Does not provide nay information to user for his/her decision – making Also known as Data Processing System Exist at Lower Management Hierarchy

Transaction Processing System:

Transaction Processing System Book Keeping Issuance Data Gathering Data Editing Data Manipulation Data Storage Information Documents Error Reports Control Reports

Process Control Systems:

Process Control Systems The systems which monitor and control physical processes are known as Process Control Systems. They deals with architectures, mechanisms, and algorithms for controlling the output of a specific process.

Office Automation Systems:

Office Automation Systems Office Work Data Manipulation Document Handling Communication Storage

Office Automation Systems:

Office Automation Systems Refers to application of computer and communication technology to office functions Grouped under 2 classes:- activities performed by Clerical Personnel activities performed by Executives

Activities performed by Clerical Personnel:

Activities performed by Clerical Personnel Typing Mailing Schedule of Meetings and Conferences Calendar Keeping Retrieving documents

Activities performed by Executives:

Activities performed by Executives Conferencing Production of Information (messages, memos, reports etc) Controlling Performance

Types of Information Systems:

Types of Information Systems Transaction Processing Systems Decision Support Systems Management Information Systems Executive Support Systems Expert Systems Decision Support Systems Office Automation Systems Level-I Level- II Level- III

Management Support Systems:

Management Support Systems Management Information System (MIS) Decision Support System (DSS) Executive Support System (ESS)

Management Information Systems:

Management Information Systems PROVIDES INFORMATION On continuous basis and reports like Scheduled Reports Exception Reports Demand Reports

Management Information Systems:

Management Information Systems IS which processes data and converts it into information. Uses TPS for as data inputs

Difference b/w TPS and MIS:

Difference b/w TPS and MIS MIS is more comprehensive than TPS ( MIS deals with wide range of organizational functions and mgmt processes. ) MIS is capable of providing analysis, planning and decision- making support.

Information can be passed through- :

Information can be passed through- Hierarchical Horizontal Cross- functional

Decision Support Systems:

Decision Support Systems PROVIDES SUPPORT IN THE DECISION MAKING OF MANAGERS

Decision Support System (DSS):

Decision Support System (DSS) Designed to support organizational decision making “What-if” analysis Example of a DSS tool: Microsoft Excel Text and graphs Models for each of the functional areas Accounting, finance, personnel, etc.

Decision Support System (DSS):

Decision Support System (DSS) DSS is related with specific managerial task or specific problem It is specifically designed to serve management control level and strategic planning level managers.

Elements of DSS:

Elements of DSS Database – combination of master files and data from external sources Model base- models to analyze data in desired ways. E.g.- Econometric Models, Simulation models. Software proving user interface

Decision Support System:

Decision Support System

Difference b/w DSS and MIS:

Difference b/w DSS and MIS MIS processes data into information whereas DSS processes information into decision- making process of manager DSS provides interactive dialogue environment, through which user can interact with system. Interactive Financial Planning System (IFPSs) and Simplan are two well known DSS.

Executive Support Systems (ESS):

Executive Support Systems (ESS) Extension of MIS Special kind of DSS Provides critical information from inter and intra sources in easy way. Specially for CEO for decision - making

Executive Support Systems:

Executive Support Systems ESS is more comprehensive than DSS. More specific and person oriented

Executive Information Systems:

Executive Information Systems Business Content Strategic planning support External environment focus Broad based computing facility Presentation Features Drill down Reporting Exceptional reporting Graphic Summary Office automation capabilities Ease of learning and use Customization

Executive Support System:

Executive Support System Strategic level Inputs: Aggregate data Processing: Interactive Outputs: Projections Users: Senior managers Example: 5-year operating plan

Information Systems that Span Organizational Boundaries:

Information Systems that Span Organizational Boundaries

Functional Business Systems:

Functional Business Systems Financial Information Systems Marketing Information System Production and Operations System Human Resource Information Systems

Functional Area Information System:

Functional Area Information System