Subject: Intro.

to Management Information System

Lecturer: Zaipul Anwar Bin Zainu
Tel:019-3262427
E-mail:zaipulanwar@iprom.unikl.edu.my, zaipul@gmail.com
Room: 2211
Website: http://www.zaipul.com
Facebook: Zaipul Anwar
Consultation: By Appointment (or through email, chat or
Facebook). In the future hopefully through eLearning.
http://eLearning.zaipul.com
Teaching materials:
Lectures, Websites, Softwares, Videos, Movies and Music(?)
Assignment/project/class discussion/case study
Lab activity
 Ease the managing task
Guide for problem solving & decision making
Advance in carrier. Realise opportunities and
meet personal and company goals.
In Business: used in all functional areas.
CBIS important for type of job.
 SUBJECT OBJECTIVE
To enable students to understand basic information technology
concepts and participate in developing information systems
solutions to business problems.
To assist students to understand the fundamental concepts of real-
world information systems and to demonstrate the potential
advantages of state-of-the-art information technology applications
in organizational.
SUBJECT SYNOPSIS
The foundations of information systems. Information management
and its strategic role in organizations. The technical foundations of
information systems; elements of information processing and the
telecommunication. The contemporary tools, techniques and
approaches used to build information systems.
COURSE CONTENT

Management information systems (MIS); challenges and opportunities, the

strategic role of information systems in organizations, and business processes
Management of information and decision making; ethical and social impact
of information systems.
Computers and information processing; information systems software, and
managing data resources
Telecommunications and the internet networking, redesigning the
organization with information systems and ensuring quality with information
systems. Managing knowledge and enhancing management decision making.
Controlling information systems and managing international information
systems.
REFERENCE BOOKS
Ralph M. Stair, G.W Reynolds, 2008, Principles of Information System, A
Managerial Approach, Thomson Learning (Text Book).
Kenneth C.L. and Jane P.L., 1998. Management Information Systems: New
Approaches to Organization and Technology, Fifth Edition, Prentice Hall.
Sarah, E., Sawyer and Stacey, C., 1998, Management Information Systems for
the Information Age, Irwin/McGraw-Hill, Boston, Massachusetts, ISBN: 0-07-
025465-6.
Post, G.V. and David L.A., 1997, Management Information Systems: Solving
Business Problems with Information Technology, Irwin/McGraw Hill, Illinois.
Introduction to
Management Information
Systems
 Data vs. Information
Data
Raw facts
Distinct pieces of information, usually formatted in a
special way
Information
A collection of facts organized in such a way that they
have additional value beyond the value of the facts
themselves
 Data thermometer readings of temperature
taken every hour:
16.0, 17.0, 16.0, 18.5, 17.0,15.5.

Transformation
Information todays high: 18.5
todays low: 15.5
Data Represented by
Alphanumeric data Numbers, letters, and other characters

Image data Graphic images or pictures

Audio data Sound, noise, tones

Video data Moving images or pictures
Data Transformation Information
 accurate,
complete,
economical,
flexible,
reliable,
relevant,
simple,
timely,
verifiable,
accessible,
secure
 You want the information about you in a health
information system to be:
As accurate as possible (e.g. your age, sex)
As complete as possible
Relevant
To be reliable
Should be available in a timely manner (e.g. information
about your drug allergies are available before your
operation!)
 Definition
A set of elements or components that interact to
accomplish goals
A combination of components working together
Customer Order Entry
Maintenance Component
Component

Customer Support System

Catalog
Order Fulfillment
Maintenance
Component
Component
(1) Refers to a combination of components working together. For
example, a computer system includes both hardware and
software. A Windows system is a personal computer running
the Windows operating system. A desktop publishing system is
a computer running desktop publishing software.
(2) Short for computer system.
(3) Short for operating system.
(4) An organization or methodology. The binary numbering system,
for instance, is a way to count using only two digits
 Inputs
Processing mechanisms
Outputs
 Elements
System Goal
Processing
Inputs Outputs
elements
Actors, director, Filming, Finished film Entertaining
staff, sets, editing, delivered to movie, film
Movie equipment special movie studio awards,
effects, profits
distribution
 System boundary
Defines the system and distinguishes it from everything
else
System types
Simple vs. complex
Open vs. closed
Stable vs. dynamic
Adaptive vs. non-adaptive
Permanent vs. temporary
 Efficiency
A measure of what is produced divided by what is
consumed (eg. Efficiency of a motor is the energy
produced divided by what is consumed)
Effectiveness
A measure of the extent to which a system achieves its
goals
System performance standard
A specific objective of the system
Figure 1
Figure 1.5b
 System variable
A quantity or item that can be controlled by the
decision maker
E.g. the price a company charges for a product
System parameter
A value or quantity that cannot be controlled by
the decision maker
E.g., cost of a raw material
 Model
An abstraction or an approximation that is used
to represent reality
Types of models
Narrative (aka descriptive)
Physical
Schematic
Mathematical
Next slide
 Make understanding complex systems easier
(simplifies)
Can be used to design make models of new
systems so can refine them
Makes communication about systems easier
(e.g. a picture can communicate a thousand
words)
 Definition
A set of interrelated elements or components that collect (input),
manipulate (process), and disseminate (output) data and
information and provide a feedback mechanism to meet an
objective
(IS) Pronounced as separate letters, and short for Information
Systems or Information Services. For many companies, IS is the
name of the department responsible for computers, networking
and data management. Other companies refer to the department
as IT (Information Technology) and MIS (Management
Information Services).
 Environment

Organisation

Input Processing Output

Feedback
External Environment

People Organisation

Information
System

Technology
 Input
The activity of gathering and capturing data
Whatever goes into the computer
Processing
Converting or transforming data into useful outputs
Output
Useful information, usually in the form of documents
and/or reports
Anything that comes out of a computer
(n) Whatever goes into the computer. Input can take a
variety of forms, from commands you enter on a
keyboard to data from another computer or device. A
device that feeds data into a computer, such as a
keyboard or mouse, is called an input device.
(v) The act of entering data into a computer
(n) Anything that comes out of a computer. Output can
be meaningful information or gibberish, and it can
appear in a variety of forms -- as binary numbers, as
characters, as pictures, and as printed pages.
Output devices include display screens,
loudspeakers, and printers.
(v) To give out. For example, display screens output
images, printers output print, and loudspeakers
output sounds.
 Feedback
Output that is used to make changes to input or
processing activities
Forecasting
A proactive approach to feedback
Use for estimating future sales or inventory needs
 Manual systems still widely used
E.g., some investment analysts manual draw charts and
trend lines to assist them in making investment decisions
Computerized systems
E.g., the above trends lines can be drawn by computer
Evolution
Many computerized system began as manual systems
E.g., directory assistance (911)
 A CBIS is composed of
Hardware
Software
Databases
Telecommunications
People
Procedures
Together they are
Configured to collect, manipulate, store, and process
data into information
 Five parts
Hardware
Software
Database
Telecommunications
Networks
 Five parts
Hardware
Software
Database
Telecommunications
Networks
 Hardware
Computer equipment used to perform input,
processing, and output activities
The objects that you can actually touch, like disks,
disk drives, display screens, keyboards, printers,
boards, and chips.
 Hardware refers to objects that you can actually touch, like
disks, disk drives, display screens, keyboards, printers, boards,
and chips. In contrast, software is untouchable. Software exists
as ideas, concepts, and symbols, but it has no substance.
Books provide a useful analogy. The pages and the ink are
the hardware, while the words, sentences, paragraphs, and the
overall meaning are the software. A computer without software
is like a book full of blank pages -- you need software to make
the computer useful just as you need words to make a book
meaningful.
 Five parts
Hardware
Software
Database
Telecommunications
Networks
 Software
Computer programs that
govern/determine/control the operation of the
computer
Computer instructions or data
 Software is computer instructions or data.
Anything that can be stored electronically is software.
The storage devices and display devices are hardware.
The terms software and hardware are used as both
nouns and adjectives. For example, you can say: "The
problem lies in the software," meaning that there is a
problem with the program or data, not with the
computer itself. You can also say: "It's a software
problem.
 The distinction between software and hardware is
sometimes confusing because they are so integrally linked.
Clearly, when you purchase a program, you are buying software.
But to buy the software, you need to buy the disk (hardware) on
which the software is recorded.
Software is often divided into two categories. Systems
software includes the operating system and all the utilities that
enable the computer to function. Applications software
includes programs that do real work for users. For example,
word processors, spreadsheets, and database management
systems fall under the category of applications software.
 Five parts
Hardware
Software
Database
Telecommunications
Networks
 Database
An organized collection of facts and information
A collection of information organized in such a
way that a computer program can quickly select
desired pieces of data
 A database is a collection of information organized in such a
way that a computer program can quickly select desired pieces
of data.
You can think of a database as an electronic filing system.
Traditional databases are organized by fields, records, and files.
A field is a single piece of information; a record is one complete
set of fields; and a file is a collection of records. For example, a
telephone book is analogous to a file. It contains a list of records,
each of which consists of three fields: name, address, and
telephone number.
 An alternative concept in database design is known as
Hypertext. In a Hypertext database, any object, whether it be a
piece of text, a picture, or a film, can be linked to any other
object. Hypertext databases are particularly useful for
organizing large amounts of disparate information, but they are
not designed for numerical analysis.
To access information from a database, you need a
database management system (DBMS). This is a collection of
programs that enables you to enter, organize, and select data in
a database.
 Five parts
Hardware
Software
Database
Telecommunications
Networks
 Telecommunications
The electronic transmission of signals for
communications; enables organizations to link
computer systems into effective networks
Refers to all types of data transmission, from
voice to video
 Five parts
Hardware
Software
Database
Telecommunications
Networks
 Network
Used to connect computers and computer
equipment in a building, around the country,
across the world, to enable electronic
communications
A group of two or more computer systems linked
together
There are many types of computer networks,
including:
local-area networks (LANs) : The computers are
geographically close together (that is, in the same
building).
wide-area networks (WANs) : The computers are
farther apart and are connected by telephone lines
or radio waves.
In addition to these types, the following characteristics are also used
to categorize different types of networks:
topology : The geometric arrangement of a computer system.
Common topologies include a bus, star, and ring.
protocol : The protocol defines a common set of rules and signals
that computers on the network use to communicate. One of the
most popular protocols for LANs is called Ethernet. Another
popular LAN protocol for PCs is the IBM token-ring network .
architecture : Networks can be broadly classified as using either a
peer-to-peer or client/server architecture.
Computers on a network are sometimes called nodes.
Computers and devices that allocate resources for a network
are called servers.
 Internet
The worlds largest telecommunications network
A network of networks
Free exchange of information
A global network connecting millions of computers.
Intranet
A network that uses Internet technology within an
organization
A network belonging to an organization
 People
The most important element in most computer-
based information systems
Includes people who manage, run, program, and
maintain the system
E.g., IT professionals (you!)
Procedures
Includes the strategies, policies, methods, and
rules for using the CBIS
 Types
Transaction processing systems
E-commerce systems
Management information systems
Decision support systems
Expert systems
 Transaction
Any business-related exchange
E.g., generating a weekly payroll
Transaction processing system (TPS)
An organized collection of people, procedures,
software, databases, and devices used to record
completed for for business related exchanges
Hours
worked
Payroll
Payroll
transaction
checks
processing
Pay
rate
 Types
Transaction processing systems
E-commerce systems
Management information systems
Decision support systems
Expert systems
 E-commerce
Involves any business transaction executed electronically
Conducting business on-line
For example, between
Companies
Companies and consumers
Business and the public sector
Consumers and the public sector
Example for placing a purchase order
 Types
Transaction processing systems
E-commerce systems
Management information systems
Decision support systems
Expert systems
 An MIS is
An organized collection of people, procedures,
software, databases, and devices used to routine
information to managers and decision makers
 Marketing Manufacturing
management management
information Information
system system

Common
databases
Financial Order
management management
Information information
system system
TPS
MIS is short for management information system or
management information services, and pronounced as
separate letters
MIS refers to a class of software that provides managers with
tools for organizing and evaluating their department.
Typically, MIS systems are written in COBOL and run on
mainframes or minicomputers.
Within companies and large organizations, the department
responsible for computer systems is sometimes called the
MIS department. Other names for MIS include IS
(Information Services) and IT (Information Technology).
 Types
Transaction processing systems
E-commerce systems
Management information systems
Decision support systems
Expert systems
 A DSS is
An organized collection of people, procedures,
software, databases, and devices used to support
problem-specific decision making
A DSS helps a manger do the right thing
 Types
Transaction processing systems
E-commerce systems
Management information systems
Decision support systems
Expert systems
 An expert system is
A computer application that performs a task that would
otherwise be performed by a human expert
gives the computer the ability to make suggestions and
to act like an expert in a particular field
Examples: diagnose human illnesses, make financial
forecasts, schedule routes for delivery vehicles
Expert systems typically include artificial
intelligence (next slide)
 AI is
A branch of computer science concerned with
making computers behave like humans
Term was coined in 1956 by John McCarthy at the
Massachusetts Institute of Technology
Draws from many areas, including cognitive
psychology
Artificial intelligence includes games playing: programming computers to
play games such as chess and checkers
expert systems : programming computers to make decisions in real-life
situations (for example, some expert systems help doctors diagnose
diseases based on symptoms)
natural language : programming computers to understand
natural human languages
neural networks : Systems that simulate intelligence by
attempting to reproduce the types of physical connections
that occur in animal brains
robotics : programming computers to see and hear and react
to other sensory stimuli
 Attempted to replace humans in decision
making
However did not take into account
How humans actually reason
Human information needs (doctors do not want
their decision making replaced, but rather want it
supported)
 Systems development
The activity of creating or modifying an existing business
system
Systems investigation and analysis
Defines the problems and opportunities of an existing
system
Systems design
Determine how a new system will work to meet business
needs
 Systems implementation
Creating and acquiring system components
defined in the design
Systems maintenance and review
Checks a modifies the system so that it continues
to meet changing business needs