MIS

Activities Subsystem
Activity Subsystem
Transaction Processing Operational control

Some Typical Uses

Processing of orders, shipments, and receipts Scheduling of activities and performance reports

Management control
Strategic Planning

Formulation of budgets and resource allocation

Formulation of objectives and strategic plans

Relation of activities to functional subsystems

Mktg Prod. Logistic fin.&acc Inf.Proc.Personal Top Mgmt.

Strategic Planning Management Control

Operational Control
Transaction Processing Database Management Systems

MIS AS SEEN BY USER User

Clerical Personnel

Uses
Handle transactions,process input data and answer inquires Obtain operations data, Assistance with planning, scheduling, identifying Information for analysis,Assistance with analysis,planning,and reporting reporting. Regular reports, Ad hoc retrieval requests,Ad hoc analyses,Ad hoc reports,Assistance in identifying problems and opportunities. Assistance in decision making.

First-Level Managers Staff specialists

Management

The MIS Professional

An organization typically has a separate MIS function which is responsible for acquiring and operating system h/w,acquiring or developing software, and managing the overall MIS resource. MIS professionals with a diverse array of skills are required to staff the MIS function. MIS professional whose primary role is to adequately service the needs of a diverse user community.

Organization of Text

Concept
The decision making process

Comments
MIS design should reflect not only rational approaches for optimization in making decisions but also the behavioral theory of organizational decision making. Information is that which adds to a representation. It has attributes of age and quality. It also has value in that it changes decisions. The capabilities of humans as Information processors impose limitations on information systems and suggest principles of their design.

Concepts of information Humans as Information Processors System concepts

Because a management information system is a system, and also part of an organizational system, the concepts of systems are useful in designing approaches to information system developments.

Concepts of planning and Control Organizational structure and management concepts

Information processing is a significant part of the important organizational activities of planning and control. An information system exists within an organization and is designed to support management functions, information is an important determinant of organizational form

IS Technology and Information System Process

Program and Data Structure Computer concepts System Concepts

Data Management

Information Analysis

Data Communication Modeling decision

system

System design

Policy

Projects

Processing functions and Comments

Processing function
Process transactions

Comments
A transaction is an activity such as making a purchase or a sale or manufacturing a product. It may be internal to the organization or may involve the organization and an external entity. Performance of a transaction requires records 1. Direct transaction to take place 2) report, confirm , or explain its performance, or 3) communicate the transaction to those needing a record for background information or references. Many processing activities require creation and files maintenance of master files, which store relatively permanent or historical data about organizational entities. Reports are significant products of an information system. Scheduled reports are produced on a regular basis. An information system should also be able to produce special reports quickly based on ad hoc requests. Other outputs of the information system are responses to inquiries using the database. These may be regular inquiries with a present format . The information system contains applications designed to support system for planning, analysis, and decision making.The computer performs processing based on a planning model, decision model.etc.;the mode of operation is interactive with the user responding to questions and requests for data .

Maintain master files Produce reports

Process inquiries Process interactive support applications

OUTPUTS FOR USERS

Transaction documents or screens Preplanned reports Preplanned inquiry responses Ad hoc reports and inquiry responses User-machine dialog results

Transaction Document Type

TYPE
Informational

Explanation and Example

Reports or confirms that action will be or has been taken.

Action

Request or instructions for action. A purchase order initiates a purchase, a check instructs the bank to pay, a production order instructs production actions. Reports exceptions, errors, or other conditions that may require investigation. Used for control and future reference.

Investigational

Management Information System Structure Based on Management Activity

Level
Strategic Planning

Comments
Definition of goals,policies,and general guidelines charting courses for organization. Determination of organizational objectives.
Acquisition of resources. Acquisition tactics,plant location, new products. Establishment and monitoring for budgets. Effective and efficient use of existing facilities and resources to carry out activities within budget constraints.

Management control and tactical planning

Operational planning and control

MIS : Conceptual Structure

Strategic Planning Unique to application Common to many application

Model base
Management Control

Operational Control

Transaction Proce. Unique subsystem file

Common applications software

DBMS Common Data Base

The organizational MIS

prod

logi

Per

Fin

IS

Top

Common prog.

process mgmt

Application s/w
Strategic plan

Management ctrl

Operational Ctrl

Transaction proce.

Unique Files Common data files

Physical Structure
Integrated Processing Use of Common modules

Example for integrated system MIS

Step
Order Entry

New Data Entered

Sales representative identification Customer identification Items ordered,qty of each item

Documents Produced
Order acknowledgement Credit exception notice Picking document items out of stock

Shipping Invoicing Collection

Actual quantity shipped Freight Cost

Amounts received,Returns and Allowances

Shipping document, invoice register Sales journal,Back-order register

Customer Statements , Returns and allowances register,cash receipts journal, Accounts receivable aging inventory status

Analysis

Sales by representative , district, customer, or

other category.

New Chapter

The Decision- Making Process

PHASES IN DECISION MAKING PROCESS

Phases of decision-making process Intelligence

Explanation
Searching the environment for conditions calling for decisions. Data inputs are obtained, processed, and examined for clues that may identify problems or opportunities Inventing,developing, and analyzing possible courses of action. This involves processes to understand the problem,to generate solutions, and to test solutions for feasibility. Selecting an alternative or course of action from those available. A choice is made and implement.

Design

Choice