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Information is a necessary and viral input in any decision making process in an organization
however, it is not available in ready form; rather it base be greeted from data which acts as a raw
material the needs some processing the generation of information.1 Data 2 Processing 3
information
Thus, information in its unprocessed form is called data, which is generated as a byproduct of
transformation taking place in the organization. Information on the other hand is processed data
and has an element of surprise information reduces uncertainty and trigger action.
Management information system
Management information system (MIS) refers to the processing of information through
computers and other intelligent devices to manage and support managerial decisions within an
organization. The concept may include systems termed transaction processing system, decision
support system, expert system, or executive information system. The term is often used in the
academic study of businesses and has connections with other areas, such as information systems,
information technology, informatics, e-commerce and computer science; as a result, the term is
used interchangeably with some of these fresh cut areas.
Management information systems (plural) as an academic discipline studies people, technology,
organizations, and the relationships among them. This definition relates specifically to "MIS" as
a course of study in business schools. Many business schools (or colleges of business
administration within universities) have an MIS department, alongside departments of
accounting, finance, management, marketing, and many award degrees (at undergraduate,
master, and doctoral levels) in Management Information Systems
A management information system (MIS) is a computerized database of financial
information organized and programmed in such a way that it produces regular reports on
operations for every level of management in a company. It is usually also possible to obtain
special reports from the system easily.
CONCEPT
The MIS is an idea which is associated with man, machine, marketing and methods for collecting
informations from the internal and external source and processing this information for the
purpose of facilitating the process of decision-making of the business.
MANAGEMENT: Management has been define in process or activities that describe what
managers do in the operation for their organization plan, organize, initiate and control operations.
They plan by setting strategies and goals and selecting the best course of action to achieve the
goals.
INFORMATION: Data must be distinguished from information and the distinction is clear and
important for present purpose. Data are facts and figures that are not currently being used in a
decision-making process and usually are taken from the historical records that are recorded and
filled without immediate intent to retrieve for decision-making.
SYSTEM: The system can be described as a set of elements joined together for a common
objective. A subsystem is a part of a larger system with which one is concerned. All systems for
our purpose the organization is the system and the parts (divisions, departments, functions, unit
etc) are the subsystem.
MIS CHARACTERISTICS
System approach
The information system follows a systems approach. The system approach implicit a holistic
approach to the study of system and its performed in the light of the objective for which it has
been constitute. This app roach is anti piecemeal in nature in other word, system approach, in the
sense intended here means taking a comprehensive view or a complete look at the interlocking
sub system that operate within an organization.
Storage of data
The capture data is processed to convert it into the required management information .processing
of data is done by such activities as calculator, comparing, sorting ,classification and summering
these activity organized analyzed and manipulator data using various statistical, mathematical,
operations research and or other
Information retrieval (IR)
is the activity of obtaining information resources relevant to an information need from a
collection of information resources. Searches can be based on full-text or other content-based
indexing. Information retrieval is the science of searching for information in a document,
searching for documents themselves, and also searching for metadata that describe data, and for
databases of texts, images or sounds.
Dissemination takes on the theory of the traditional view of communication, which involves a
sender and receiver. The traditional communication view point is broken down into a sender
sending information, and receiver collecting the information processing it and sending
information back, like a telephone line.
Characteristics of MIS:
MIS is mainly designed to take care of the needs of the managers in the organization.
MIS aids in integrating the information generated by various departments of the organization.
OBJECTIVES OF MIS
Managers play a key role in any organization. They are responsible for taking decisions
appropriate to the need of the market. Information systems have become the main tool used by
managers in decision making. Managers perceive information as the driving force to achieve
success in any business. Hence there is a need for MIS as:
The major roles of the business applications of a Management Information System may be
represented in the pyramid form as shown below:
IMPORTANCE OF MIS
It goes without saying that all managerial functions are performed through decision-making; for
taking rational decision, timely and reliable information is essential and is procured through a
logical and well structured method of information collecting, processing and disseminating to
decision makers. Such a method in the field of management is widely known as MIS. In todays
world of ever increasing complexities of business as well as business organization, in order to
service and grow , must have a properly planned, analyzed, designed and maintained MIS so that
it provides timely, reliable and useful information to enable the management to take speedy and
rational decisions.
-MIS has assumed all the more important role in todays environment because a manager has to
take decisions under two main challenges:
-First, because of the liberalization and globalization, in which organizations are required to
compete not locally but globally, a manager has to take quick decisions, otherwise his business
will be taken away by his competitors. This has further enhanced the necessity for such a system.
-Second, in this information age wherein information is doubling up every two or three years, a
manager has to process a large voluminous data; failing which he may end up taking a strong
decision that may prove to be very costly to the company.
-In such a situation managers must be equipped with some tools or a system, which can assist
them in their challenging role of decision-making. It is because of the above cited reasons, that
today MIS is considered to be of permanent importance, sometimes regarded as the name centre
of an organization. Such system assist decision makers in organizations by providing information
at various stages of decision making and thus greatly help the organizations to achieve their
predetermined goals and objectives. On the other hand, the MIS which is not adequately planned
for analyzed, designed, implemented or is poorly maintained may provide developed inaccurate,
irrelevant or obsolete information which may prove fatal for the organization. In other words,
organizations today just cannot survive and grow without properly planned, designed,
implemented and maintained MIS. It has been well understood that MIS enables even small
organizations to more than offset the economies of scale enjoyed by their bigger competitors and
thus helps in providing a competitive edge over other organizations.
Management control system
A management control system (MCS) is a system which gathers and uses information to
evaluate the performance of different organizational resources like human, physical, financial
and also the organization as a whole in light of the organizational strategies pursued.
Horngreen, Datar and Foster define management control system as a means of gathering and
using information to aid and coordinate the process of making planning and control decisions
through- out the organisation and to guide the behaviour of its managers and employees. The
goal of management control system is to improve the collective decisions within an organisation
in an economically feasible way.
(i) Management control systems should be closely aligned to an organisations strategies and
goals.
(ii) Management control systems should be designed to fit the organisations structure and the
decision-making responsibility of individual managers.
(iii) Effective management control systems should motivate managers and employees to exert
efforts toward attaining organisation goals through a variety of rewards tied to the achievement
of those goals.
The management process is executed through a variety of decisions taken at each step of
planning, organizing, staffing, directing coordinating and control. If the management is able to
spell out the decisions required to be taken, the MIS can be designed suitably. The decisions
required to be taken in these steps are tabulated in Table below.
Introduction
Electronic business, commonly referred to as
e Business" or "e-business", or an internet
business, may be defined as the application of
information and communication technologies (ICT)
in support of all the activities of business. Commerce
constitutes the exchange of products and services
between businesses, groups and individuals and can
be seen as one of the essential activities of any
business. Electronic commerce focuses on the use of
ICT to enable the external activities and relationships
of the business with individuals, groups and other
businesses.
Difference between e-Business, ecommerce,
and e-marketing
e-Business is a very broad entity dealing with the
entire complex system that comprises a business that
uses electronic medium to perform or assist its overall
or specialised business activities.
e-Commerce is best described in a transactional
context. So for example an electronic transaction of
funds, information or entertainment falls under the
category handled by principles of e-Commerce.
Technically e-Commerce is a part of e-Business.
Application Server
Business Suite
Another type of e-business application is a business suite offered by a company like Oracle or
IBM.
An enterprise content management system (ECMS) helps a business that needs to manage a large
amount of web content. Content may consist of many types of digital files, including text, audio,
video, graphics, and financial data.
Organizational effectiveness
Decision Making - Ways in which real people make decisions, enabling them real time to
make good decisions, improving quality of decisions by leveraging adjacent disciplines (
for example- Behavioral economics) and replicating relevant experiments, creating new
ones and implementing their results to make organizations effective
Change & Learning Ways in which real people learn, change, adopt and align, get
affected by dynamics in the environment and leveraging this knowledge to create
effective organizations that are pioneers of change and learning
Group Effectiveness Ways in which real people work well together, especially in
bringing new ideas and innovation, working of people to people protocols, impact of
digitization and virtualization in organizations on these protocols
Self-Organizing & Adaptive Systems Ways in which self-organizing systems and highly
networked systems work, learnings from them and the tangible ways by which they can
be put to play to make organizations more effective
Concept of Decision-Making
Decision-making is a cognitive process that results in the selection of a course of action among
several alternative scenarios.
Decision-making is a daily activity for any human being. There is no exception about that. When
it comes to business organizations, decision-making is a habit and a process as well.
Effective and successful decisions result in profits, while unsuccessful ones cause losses.
Therefore, corporate decision-making is the most critical process in any organization.
In a decision-making process, we choose one course of action from a few possible alternatives.
In the process of decision-making, we may use many tools, techniques, and perceptions.
In addition, we may make our own private decisions or may prefer a collective decision.
Decision-Making Process
Following are the important steps of the decision-making process. Each step may be supported
by different tools and techniques.
Identifying Problems
Before making any decision, the organization has to identify exactly what the problem is. Not
identifying the problem could lead to an erroneous decision.
Sometimes using multiple perspective analysis to make a decision is best so a CEO or manager
can force herself out of her usual method of thinking. Professor Hossein Arsham, in an article
titled Leadership Decision Making at the University of Baltimore site, notes this method and
its steps. By wearing six different hats, you can make a decision using different thinking
approaches.
Short-Term Decisions
Another decision method is the short-term method, or operational decisions. These decisions
usually solve a problem in the immediate term through the action of employees.
A decision is choice out of several alternatives (options) made by the decision maker to achieve
some objective s in a given situation. Business decisions are those, which are made in the process
of conducting business to achieve its objective in a given environment. Managerial decision-
making is a control point for every managerial activity may be planning, organizing, staffing,
directing, controlling and communicating. Decision-making is the art of reasoned and judicious
choice out of many alternatives. Once decision is taken, it implies commitment of resources.
The business managers have to take variety of decision. Some are routine and others are long-
term implementation decision. Thus managerial decisions are grouped as:
1. Strategic Decision: these are known as major decision influence whole or major part of the
organization. Such decisions contribute directly to the achievement of common goals of the
organization; have long range effect upon the organization.
Generally, strategic decision is unstructured and thus, a manager has to apply his business
judgment, evaluation and intuition into the definition of the problem. These decisions are based
on partial knowledge of the environmental factors which are uncertain and dynamic, therefore
such decision are taken at the higher level of management.
Traditionally, information has been viewed as a by-product of a computer system or an event. From this
viewpoint, the focus is on designing and delivering computer systems, rather than designing and
delivering information. To increase the quality of information available to information consumers,
organizations need to treat information as a product being intentionally produced for those who will use
that information. This means actively managing information and its quality. Such an information product
(IP) approach focuses attention on information quality, i.e., delivering high-quality information that is fit
for use by information consumers, rather than solely on data quality, i.e., maintaining the quality of the
data stored in databases or data warehouses. While the terms data and information are often used
interchangeably in the information and data quality literature, the term information quality is more often
used in studies that take an IP approach
The concept of the utility of the information is subjective to the individual manager,
at least in terms of the form, time and access. Since in the organization there are
many users of the same information, the subjective ness would vary. Therefore,
the one common key for measuring the quality could be the satisfaction of the
decision maker.
Information Technology Enabled Services
Information Technology Enabled Services are also called as the web enabled
services or the remote services or the Teleworking. The offering of the services
from the remote locations with the help of the harnessing of the power of the
Information Technology with the help of the telecommunications is referred to as
the Information Technology Enabled Services. These services generally include the
whole gamut of the operations by which the information technology for the
improvement of the efficiency of an organization is exploited.
1. Animation
4. Collection services
5. Customer care
6. Interaction services
7. Data digitization
9. Website services
Indirect Benefits.
Whereas direct benefits can be realised immediately, indirect benefits can accrue
over a period of time, and can be harnessed very effectively, if planned well
upfront.
IT Enabled services (ITES), also called web enabled services or remote services or
Tele-working, covers the entire gamut of operations which exploit Information
Technology for improving efficiency of an organization. These services provide a
wide range of career options that include opportunities in call Centres, medical
transcription, medical billing and coding, back office operations, revenue claims
processing, legal databases, content development, payrolls, logistics management
,GIS (Geographical Information System), HR services, web services etc.
Call Centers
Electronic Publishing
Medical Transcription
Data Centers
GIS Mapping
Portals
Technologies involved
Enabling technology
Communication.
Electronic business
Online Business or e-business is a term which can be used for any kind of business or commercial
transaction that includes sharing information across the internet. Commerce constitutes the exchange of
products and services between businesses, groups and individuals and can be seen as one of the essential
activities of any business. Electronic commerce focuses on the use of ICT to enable the external activities
and relationships of the business with individuals, groups and other businesses or e business refers to
business with help of internet i.e. doing business with the help of internet network.[1] The term "e-
business" was coined by IBM's marketing and Internet team in 1996.
E BUSINESS
Business model
When organizations go online, they have to decide which e-business models best
suit their goals. A business model is defined as the organization of product, service
and information flows, and the source of revenues and benefits for suppliers and
customers. Revenue model
A key component of the business model is the revenue model, which is a framework
for generating revenues.
E-commerce
Concerns
Security
E-business systems naturally have greater security risks than traditional business
systems, therefore it is important for e-business systems to be fully protected
against these risks.
WIRELESS TECHNOLOGY
Wireless Communication
In recent days, the wireless communication technology has become an integral part
of several types of communication devices as it allows users to communicate even
from remote areas. The devices used for wireless communication are cordless
telephones, mobiles, GPS units, ZigBee technology, wireless computer parts, and
satellite television, etc.
Satellite
Wireless Networking
Wireless Networking technologies connect multiple computers, systems and devices
together without requiring wires or cables: a wireless local area network or WLAN
comes under Wi-Fi.
WiMAX
There are wireless broadband systems that offer fast Web surfing without being
getting connected through cable or DSL (Example of wireless broadband is WiMAX).
Wireless Networking
Wi-Fi
ADVANTAGES
Ease of Integration and Convenience The wireless nature of such networks allows
users to access network resources from nearly any convenient location.
Mobility With the emergence of public wireless networks, users can access the
internet even outside their normal working environment.
Expandability Wireless networks are capable of serving a suddenly-increased number of clients with the
existing equipment. In a wired network, additional clients require ad
Business Information Systems play a pivotal role in the new economy and enterprise setting
characterized by strategic procurement, global outsourcing, physically distributed operational
environments, and global business alliances. Business Information Systems is a boundary-spanning field
of study relating to how information and communication technologies (ICT) can be deployed to improve
business processes and enhance the organizations value chain networks, which organizations use to
acquire, produce, and deliver goods and services all over the world, through efficient, effective and
competitive use of ICT.
Research project highlights
IT professionals project: In collaboration with the Institute of IT Professionals NZ (IITP), the department
launched a study exploring the critical factors that drive IT professionals today which led them to take
up a career in the field.
Published papers
Our researchers have had papers published in well-regarded journals, including Communications of the
Association for Information Systems, Information & Management, Information Technology for
Development, Information Technology & People, International Journal of Production Economics,
International Journal of Production Research, Journal of the Association for Information Systems,
Journal of Information Technology, Journal of Operations and Production Management, MIS Quarterly,
Organization Studies, among others.
Until the 1990s, before the widespread adoption of personal computers and the
Internet, companies were using information systems to manage data processing
and record-keeping activities associated with business transactions like maintaining
the general ledger (book keeping), payroll, billing, inventory management, etc.
In the past when a company received a customer order, whether it was for a
service requested or for a product purchased, the order needed to go through a
process of paper-based workflow that was passed along to different departments,
inbox-to-inbox. Throughout this process, the order often had to be re-typed as it
passed through various departments, increasing the potential for human error.
Adopting the Global Market
A CBIS is an organised integration of hardware and software technologies and human elements
designed to produce timely, integrated, accurate and useful information for decision making purposes.
Computer(-Based) Information System is essentially an IS using computer technology to carry out some
or all of its planned tasks. The basic components of computer based information system are:
Hardware these are the devices like the monitor, processor, printer and keyboard, all of which work
together to accept, process, show data and information.
Software are the programs that allow the hardware to process the data.
Databases are the gathering of associated files or tables containing related data.
Networks are a connecting system that allows diverse computers to distribute resources.
Procedures are the commands for combining the components above to process information and
produce the preferred output.
The first four components (hardware, software, database and network) make up what is known as the
information technology platform. Information technology workers could then use these components to
create information systems that watch over safety measures, risk and the management of data. These
actions are known as information technology services.
Computer Based IS (CBIS)
COMPUTER BASED INFORMATION SYSTEM.
A CBIS is an organised integration of hardware and software technologies and human elements
designed to produce timely, integrated, accurate and useful information for decision making purposes.
For
Types of Computer Information Systems
DISADVANTAGES
Dominant culture while information technology may have made the world a
global village, it has also contributed to one culture dominating another weaker
one.
Security issues thieves and hackers get access to identities and corporate saboteurs target sensitive
company data. Such data can include vendor information, bank records, intellectual property an
TECHTARGET
Comparison of BI and advanced analytics
Business intelligence is sometimes used interchangeably with business analytics; in
other cases, business analytics is used either more narrowly to refer to advanced
data analytics or more broadly to include both BI and advanced analytics.
Unit 3
What is Systems Engineering?
CONCEPT
Systems Engineering is an interdisciplinary approach and means to enable the realization of successful
systems. It focuses on defining customer needs and required functionality early in the development
cycle, documenting requirements, then proceeding with design synthesis and system validation while
considering the complete problem:
Definition of a System
A system is a construct or collection of different elements that together produce results not obtainable by
the elements alone. The elements, or parts, can include people, hardware, software, facilities, policies, and
documents; that is, all things required to produce systems-level results. The results include system level
qualities, properties, characteristics, functions, behavior and performance. The value added by the system
as a whole, beyond that contributed independently by the parts, is primarily created by the relationship
among the parts; that is, how they are interconnected (Rechtin, 2000)Control
TYPES OF SYSTEM
System Classification
Systems of Systems
Engineered Systems Classifications
Products and Product Systems
Services and Service Systems
Enterprises and Enterprise Systems
System of Systems Capability
GENERAL MODELS OF MIS
Model Classification
Formal versus Informal Models
Physical Models versus Abstract Models
Descriptive Models
Analytical Models
Hybrid Descriptive and Analytical Models
Model Classification
There are many different types of models and associated modeling languages to
address different aspects of a system and different types of systems. Since different
models serve different purposes, a classification of models can be useful for
selecting the right type of model for the intended purpose and scope.
Descriptive Models
A descriptive model describes logical relationships, such as the system's whole-part
relationship that defines its parts tree, the interconnection between its parts, the
functions that its components perform, or the test cases that are used to verify the
system requirements.
Analytical Models
An analytical model describes mathematical relationships, such as differential equations that support
quantifiable analysis about the system parameters. Analytical models can be further classified into
dynamic and static models.
NEED FOR SYSTEMS ANALYSIS AND DESIGN
what humans need to analyze data input or data flow systematically, process or
transform data, store data, and output information in the context of a particular
businesses that can be accomplished through the use of computerized information systems.
and frequently causes the system to fall into disuse. Systems analysis and design
lends structure to the analysis and design of information systems, a costly endeavor
that might otherwise have been done in a haphazard way. It can be thought of as a
working with current and eventual users of information systems to support them
in the organization are discussed next, are the other essential component in developing useful
information systems.
more international in their composition. This means that there is more emphasis
lems, and objectives;and on communicating the analysis and design of the planned
1- System Planning
The Planning phase is the most crucial step in creating a successful system, during this
phase you decide exactly what you want to do and the problems youre trying to solve, by:
Defining the problems, the objectives and the resources such as personnel and costs.
Studying the ability of proposing alternative solutions after meeting with clients, suppliers,
consultants and employees.
Studying how to make your product better than your competitors.
After analyzing this data you will have three choices: develop a new system, improve the
current system or leave the system as it is.
2- System Analysis
The end-users requirements should be determined and documented, what their
expectations are for the system, and how it will perform. A feasibility study will be made for
the project as well, involving determining whether its organizationally, economically,
socially, technologically feasible. its very important to maintain strong communication level
with the clients to make sure you have a clear vision of the finished product and its
function.
3- System Design
The design phase comes after a good understanding of customers requirements, this phase
defines the elements of a system, the components, the security level, modules, architecture
and the different interfaces and type of data that goes through the system.
4- Implementation and Deployment
This phase comes after a complete understanding of system requirements and
specifications, its the actual construction process after having a complete and illustrated
design for the requested system.
5- System Testing and Integration
Bringing different components and subsystems together to create the whole integrated system, and then
Introducing the system to different inputs to obtain and analyze its outputs and behavior and the way it
functions. Testing is becoming more and more import
MIS - DEVELOPMENT PROCESS
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In MIS, the information is recognized as a major resource like capital and time. If
this resource has to be managed well, it calls upon the management to plan for it
and control it, so that the information becomes a vital resource for the system.
-There should be effective communication between the developers and users of the
system.
-Creating a unified MIS covering the entire organization will lead to a more
economical, faster and more integrated system, however it will increase in design
complexity manifold.
-The MIS has to be interacting with the complex environment comprising all other
sub-systems in the overall information system of the organization. So, it is
extremely necessary to understand and define the requirements of MIS in the
context of the organization.
-It should keep pace with changes in environment, changing demands of the
customers and growing competition.
-It should utilize fast developing in IT capabilities in the best possible ways.
BUSINESS PROCESS
A business process or business method is a collection of related, structured activities or tasks that
produce a specific service or product (serve a particular goal) for a particular customer or customers. It
may often be visualized as a flowchart of a sequence of activities with interleaving decision points or as
a process matrix of a sequence of activities with relevance rules based on data in the process.
A business process is an activity or set of activities that will accomplish a specific
organizational goal. Business process management (BPM) is a systematic approach
to improving those processes. If an organization is unable to perform certain
business processes internally due to cost or resources, the company might utilize
business process outsourcing (BPO). Many organizations contract specific business
tasks, such as payroll, human resources (HR) or accounting, to a third-party service
provider.
To measure success of a business process, organizations track successful completion of different steps
within the process, i.e., benchmarks, or reaching the end point of the process. When a business process
is not helping an organization reach a goal within timeline or with the resources at hand, there are a
number of strategies to execute for improvements. Business process mapping is often undertaken as an
exercise during business process re-engineering and process transformation to improve a maybe
unsuccessful business process. Organizations might also focus on business process visibility to identify
issues in process performance or execution
Model Elements
An organizational model includes a number of elements. Organizational units
identify jobs that work together to complete a specific work process. The model
may incorporate multiple physical locations. Reporting structure, also called chain
of command, identifies reporting relationships throughout the organization and
includes span of control the number of employees a manager has reporting to
her.
Organizational Models
Generally, organizational models are classified as functional, product based
(divisional) or matrix structure. Functional organizations are traditional business
hierarchies in which tasks are grouped by functional area, such as sales,
administration, and production, engineering and customer services.
Small Business Model
The small business model is built on teams. Employees are assigned to work on one
or two projects at a time and may serve as a back-up or consultant on other
projects. Small businesses must make best use of employee skills and innovation to
grow the business; the team approach allows them to respond quickly to customer
needs, product and market changes.
Build an Effective Model
Wise business owners and leaders examine the organizational model on a regular basis to ensure that it
supports their strategic goals and mission
Process reengineering is redesigning or reinventing how we perform our daily work, and it is a concept
that is applicable to all industries regardless of size, type, and location.
The first question in process reengineering is: "Why are we doing this at all?" Answering this question is
the beginning of the immediate, dramatic change and the application of supporting technical and
behavioral concepts and tools that are necessary to implement process reengineering. To accomplish
this, organizations must foster an environment that encourages quantum leaps in improvement by
throwing out existing systems and processes and inventing new ones.
The intent of process reengineering is to make organizations significantly more flexible, responsive,
efficient, and effective for their customers, employees and other stakeholders. According to field
experts Michael Hammer and James Champy, process reengineering requires the "fundamental
rethinking and radical redesign of business processes to achieve dramatic improvements in critical,
contemporary measures of performance, such as cost, quality, service, and speed."
If process reengineering is to work, a business's priorities must change in the following ways: (1) from
boss to customer focus; (2) from controlled workers to empowered, involved process owners and
decision makers; (3) from activity-based work to a results orientation; (4) from scorekeeping to leading
and teaching so that people measure their own results; (5) from functional (vertical) to process
(horizontal or cross functional) orientation; (6) from serial to concurrent operations; (7) from complex to
simple, streamlined processes; (8) from empire building and guarding the status quo to inventing new
systems and processes and looking toward the future (i.e., from the caretaker mentality to visionary
leadership).
Whatever the reason for reengineering, managers should ask themselves: What do our customers and
other stakeholders want/require? How must we change the processes to meet customer and other
stakeholder requirements and be more efficient and effective? Once streamlined, should the processes be
computerized (i.e., how can information technology be