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MIS Handout I

MIS provides information to help organizations manage efficiently and effectively. It analyzes strategic and operational activities and facilitates internal controls. MIS involves planning, developing, managing and using IT tools to help process information and manage tasks. It aims to design procedures that generate detailed, accurate and timely reports to create competitive advantages and support decision making.

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Daphnie Lei Guzman Pascua-Salvador
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70 views22 pages

MIS Handout I

MIS provides information to help organizations manage efficiently and effectively. It analyzes strategic and operational activities and facilitates internal controls. MIS involves planning, developing, managing and using IT tools to help process information and manage tasks. It aims to design procedures that generate detailed, accurate and timely reports to create competitive advantages and support decision making.

Uploaded by

Daphnie Lei Guzman Pascua-Salvador
Copyright
© © All Rights Reserved
We take content rights seriously. If you suspect this is your content, claim it here.
Available Formats
Download as PPT, PDF, TXT or read online on Scribd
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Chapter 3

OVERVIEW OF MIS
Chapter 3.Overview of MIS

Learning Objectives:
After studying this section, you will be able
to:
Define MIS;
Discuss the history and evolution of MIS
Explain MIS in small business
MANAGEMENT INFORMATION SYSTEM (MIS)

- provides information that


organizations require to manage
themselves efficiently and effectively
- used to analyze and facilitate strategic
and operational activities
- internal controls procedures in a
business
- deals with the planning for
development, management, and use
of information technology tools to
help people perform all tasks related
to information processing and
management
Objective
• design and implement procedures,
processes, and routines that provide 
suitably  detailed reports in
an accurate, consistent, and timely
manner.
• It generates new evidence in support of
a decision.
• It creates a competitive advantage over
competition.
• It encourages exploration and discovery
on the part of the decision maker.
• It reveals new approaches to thinking
about the problem space.
• It helps automate the Managerial
processes.

6
Benefits of MIS

1. Reduce costs
2. It helps automate the Managerial processes.
3. Raise barriers to market entrance (ne
products)
4. It expedites problem solving(Managerial
process)
5. It promotes learning or training.
6. Establish alliance (lock in suppliers,
competitive)
Role Of MIS

• The role of MIS in an organization can be compared


to the role of heart in the body.
• The information is the blood and MIS is the heart. In
the body the heart plays the role of supplying pure
blood to all the elements of the body including the
brain.
• The MIS plays exactly the same role in the
organization.
• The system ensures that an appropriate data is
collected from the various sources, processed, and
sent further to all the needy destinations.

8
Chapter 4
MIS IN FOCUS
Learning Objectives:

After studying this section, you will be able


to:
•Explain the components of an MIS;
•Enumerate and explain the impacts of an
MIS;
•Explain the features of an MIS;
•Enumerate the limitations of an MIS.
Components of MIS

1.Hardware
2.Software
3.Control
4.Databases and application programs
5.Procedures
6.People
7.Telecommunications and Networks

11
Features of MIS
• Management-oriented: The basic objective of MIS is
to provide information support to the management in
the organization for decision making.
• Management directed: When MIS is management-
oriented, it should be directed by the management
because it is the management who tells their needs
and requirements more effectively than anybody else.
• Integrated: It means a comprehensive or complete
view of all the subsystems in the organization of a
company.

12
• Common data flows: The integration of
different subsystems will lead to a common
data flow which will further help in avoiding
duplicacy and redundancy in data collection,
storage and processing.
• Heavy planning-element: The preparation of
MIS is not a one or two day exercise. It usually
takes 3 to 5 years and sometimes a much
longer period.

13
• Common database: This is the basic feature of MIS
to achieve the objective of using MIS in business
organizations.
• Computerized: MIS can be used without a
computer. But the use of computers increases the
effectiveness and the efficiency of the system.
• User friendly/Flexibility: An MIS should be flexible.
• Information as a resource: Information is the major
ingredient of any MIS.

14
Aim of Management Information System

• The main aim of MIS is to inform management


and help them make informed decisions about
management and the way the business is run.

15
Limitations of MIS

• MIS is sometimes considered a solution


for every bane within an organization.
• While MIS may solve some critical
problems but it is not a solution to all
problems of an organization.
• The MIS is as good as its design-MIS if
designed in an improper manner does not
serve the management and hence is of
little relevance.
• The MIS is as good as its users-if the users do
not know how to leverage the information
available from MIS then MIS is of little use.
• The MIS is no good if the basic data is obsolete
and outdated (for example, MIS will only
facilitate garbage with information and in about
garbage-out-process).
Outputs Of MIS

1. Scheduled reports which are


produced periodically, or on a
Schedule (daily, weekly,
monthly).
2. Key-indicator report which
summarizes the previous day’s
critical activities and also it is
typically available at the
beginning of each day.

18
3. Demand report which gives
certain information at a
manager’s request. Require
immediate access to vital
information
4. Exception report which is
automatically produced when
a situation is unusual or
requires management action.
Produced only when
exceptional conditions occur

19
5. Executive reports – Year end reports, projects,
human resource
6. Inventory reports – products, supplies
7. Payroll (attendance, wages, loans) etc.
MIS for Business Offices

• For business, computers were used for simple


operations such as tracking inventory, billing,
sales, or payroll data, with little detail or structure
• Over time, these computer applications became
more complex, hardware storage
capacities grew, and technologies improved for
connecting previously isolated applications
• As more data was stored and linked, managers
sought greater abstraction as well as greater
detail with the aim of creating significant
management reports from the raw, stored data
• It provide managers information about sales,
inventories, and other data that would help in
managing the enterprise.
• Reports are a traditional form of providing
information to managers via a specified format
designed to provide managers with information
on a regular basis.

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