Management Information Systems

The Islamia University of Bahawalpur

Delivered by:
Tasawar Javed
DMS

Management Information
MIS
Systems
IS at the management level of an organization that serve the

functions of planning, controlling, and decision making by

providing routine summary and exception reports.

Serve the management level of the organizations

Providing managers with reports

With online access to the organization performance and records
It serve the functions of planning, controlling, and decision making at the
management level.

Generally, they are dependent on underlying

TPS for their data

ports

Order file

Productio
n master
file

M
Order
processing
system

MRPS

Sales
data

Unit
producti
on cost
MIS

Reports

Product
change
data

Accounti
ng file

General
ledger
system

Managers
Expens
e data

Management Information
Systems
Environment

E
N
V
I
R
O
N
M
E
N
T

Organizational
Problem
Solvers

Report Writing
software

Mathematical
models

Database

Environment

E
N
V
I
R
O
N
M
E
N
T

Management Information
Benefits of MIS
Systems
Core competencies

By building an exceptional management information system into the

enterprise it is possible to push out ahead of the competition.

Supply chain Management

With better information on the production process comes the ability to improve
the management of the supply chain, including everything from the sourcing
of materials to the manufacturing and distribution of the finished product.

Quick reflexes

Better MIS systems enable an enterprise to react more quickly to their

environment, enabling them to push out ahead of the competition and
produce a better service.

Management Information
Characteristics of MIS:
Systems
Timeliness

Accuracy

A sound system of automated and manual internal controls must exist

throughout all information systems processing activities

Consistency

The system should be able to quickly collect and edit data, summarize results,
and be able to adjust and correct errors promptly.

These procedures should be well defined and documented, clearly

communicated to appropriate employees, and should include an effective
monitoring system.

Completeness

MIS must be appropriate to support the management level using it. The
relevance and level of detail provided through MIS systems directly correlate
to what is needed by the board of directors, executive management,
departmental or area mid-level managers, etc.

Competitive Advantage

Firm strive to obtain competitive advantage over

others
By
Providing low prices
High quality
Meet special needs
Firm can also achieve competitive advantage through
the use of its virtual resources
Managers use virtual as well as physical resources in
meeting the strategic objectives of the firm

Porters Value Chain

Micheal porter identified with the topic of CA

He provides guidelines and strategies for firms
attempting to gain an advantage over the
competitors
It includes:

Primary activities
Secondary activities

Porters Value Chain

Primary Activities

Inbound logistics
Operations
Outbound logistics
Marketing and sales
Services

Secondary Activities

Firm infrastructure
HRM
Technology development
Procurement

Porters Value Chain

IS/IT and Porters Five Forces

To analyse the SWOT factors relating to IS/IT, it can be
useful to consider how IS/IT can be used to counter
Porters Five Forces so as to help an organization have
a more comfortable existence than some of its
components
Rivalry: use IT to reduce the effects of tough
competition for example, by building strong relationship
with customers and lowering costs. Cost leadership can
be exploited by IT; IT used to support JIT system
Threat of New Entrant: sophisticated IT applications
are expensive, slow to develop and technically
challenging. All of these are barriers to entry.

Defensively and offensively

IS/IT and Porters Five Forces

Supplier Pressure: Use IT to find new suppliers. Use IT to

automatically rotate orders between suppliers. Compare
prices on the internet.

The degree to which switching costs apply and substitutes are

available
The pressure of one or two dominant suppliers controlling prices
The products offered having a uniqueness of brand, technical
performance or design not available elsewhere.

Customer pressure: use IT to improve customer service,

for example, by allowing on line ordering
Threat of Substitute: use computer aided design and
manufacturing to develop new products first.

IT in Generic Strategies

IT/IS and Porters Generic Strategies

if it is known which strategy an organization is currently using to promote
their products and or services, it should be possible to define a role for IS to
enhance that strategy

Overall cost leadership

Differentiation

Driving down inventory levels, with the assistance of IT for supply

chain planning and scheduling, can reduce costs
Where the differentiation is by customization, CAD can reduce costs
effectively. Online info providing, online ordering process

Focus

IS/IT include providing access to customer information, trends and

competitors so as to maximize competitive thrust and exclude
competitors

IT in Generic Strategies

Consider how an estate agent could use IS/IT

to improve its competitive position?

Thank you!!!
Q&A