Management Information Systems:

Presented by:WAJAHAT ALI

Management Support Systems

The support of management tasks by the application of technologies

Sometimes called Decision Support Systems or Business Intelligence

Learning Objectives

Understand how management uses computer technologies. Learn basic concepts of decision-making. Understands decision support systems. Recognize different types of decision support systems used in the workplace. Determine which type of decision support system is applicable in specific situations.

Factors Affecting Decision-Making

New technologies and better information distribution have resulted in more alternatives for management. Complex operations have increased the costs of errors, causing a chain reaction throughout the organization. Rapidly changing global economies and markets are producing greater uncertainty and requiring faster response in order to maintain competitive advantages. Increasing governmental regulation coupled with political destabilization have caused great uncertainty.

What do Management Support Systems Offer?

Quick computations at a lower cost Group collaboration and communication Increased productivity Ready access to information stored in multiple databases and data warehouse Ability to analyze multiple alternatives and apply risk management Enterprise resource management Tools to obtain and maintain competitive advantage

Cognitive Limits

The human mind has limited processing and storage capabilities. Any single person is therefore limited in their decision making abilities. Collaboration with others allows for a wider range of possible answers, but will often be faced with communications problems. Computers improve the coordination of these activities. This knowledge sharing is enhanced through the use of GSS, KMS, and EIS

Management Support Systems Tools

Decision support system (DSS) Management Science Business Analytics Data Mining Data Warehouse Business Intelligence Online analytical processing (OLAP) Computer-assisted systems engineering (CASE) Group support systems (GSS) Geography information system (GIS)

Enterprise information system (EIS) Enterprise resource management(ERM) Enterprise resource planning(ERP) Customer resource management(CRM) Supply chain management (SCM) Knowledge management system (KMS) Expert system(ES) Artificial neural networks (ANN) Intelligent Agents E-commerce DSS

Decision Support Frameworks

Type of Control

Type of Decision:
Structured
(Programmed)

Operational Control
Accounts receivable, accounts payable, order entry

Managerial Control
Budget analysis, short-term forecasting, personnel reports

Strategic Planning
Investments, warehouse locations, distribution centers

Semistructured

Production scheduling, inventory control

Credit evaluation, budget preparation, project scheduling, rewards systems

Mergers and acquisitions, new product planning, compensation, QA, HR policy planning

Unstructured (Unprogrammed)

Buying software, approving loans, help desk

Negotiations, recruitment, hardware purchasing

R&D planning, technology development, social responsibility plans

Technology Support
Type of Control

Operational Control

Managerial Control

Strategic Planning

Technology Support Needed

MIS, Management Science

Management Science, DSS, ES, EIS, SCM, CRM, GSS, SCM

GSS, CRM, EIS, ES, neural networks, KMS

Six Major Types Of Systems

TPS - Computerized system that perform and record the daily routine transaction necessary to conduct the business. OS - Computer systems, such as word processing ,e-mail, scheduling, that are designed to increase the productivity of data workers in office. KWS - Information system that aid knowledge workers in the creation and integration of new knowledge in the organization.

MIS - Information systems at management level to serve the function of planning, controlling, and decision making by providing routine summary and expectation reports. DSS - Information systems at management level to combine data and sophisticated analysis model to support non routine decision making. ESS - Information systems at strategic level designed to address non routine decision making through advanced graphics and communication

Basic Six MSS

Type of system ESS Information Input Processing Information output Users Aggregate data; Internal, external Graphics; simulation Projections; responses to queries Senior manager

DSS

Low-volume data ; analytic models & tools

Interactive ; simulation

Special reports ; decision analysis

Professionals ; staff managers

MIS

Summary transaction data ; High volume data ; simple models Design specification ; Knowledge base

Routine reports ; low level analysis

Summary and exception reports

Middle manager

KWS

Modeling ; simulation

Models; graphics

Professionals ; technical staff

OS

Documents ; schedules

Document management ; scheduling; communication Sorting; listing ; merging ;updating

Documents ; Schedules ;mails

Clerical workers

TPS

Transaction ; events

Detailed reports ; lists; summaries

Operation personnel; supervisors

References

DSS and IS by Turban, Aronson, Liang , 7th edition, page no:-34,35,36,37 MIS by Laudon & Laudon , 7th edition, page no:-40,41,42,43

Thank you

Questions ? Please