What is Management Information System (MIS)?

Management Information
Management information refers to information that is timely, accurate and relevant in relation to a particular situation. Management information helps mangers decide what to do in a particular situation. For example, the actual age of the accounts receivable of a company may be 45 days whereas company policy is to keep the age to a maximum of 30 days. This information calls for action to reduce the age of the accounts receivable.

System
A system is made up of interdependent components that form a whole. Each component of the system serves a specific purpose but at the same time interacts and links with other components to pursue a common goal. A business enterprise is an example of a system. Each department (for example, human resources, finance) has its own function and objectives but all are aligned toward the overall mission of the organization.

Management Information System

An MIS can be defined as a combination of people, computers and procedures for collecting and organizing information to facilitate decision making. In any organization a reasonable amount of time and effort is devoted to data collection, documenting, processing and communication. Every individual looks for information that is relevant to her duties. Thus, information is people oriented and varies with the nature of people's work in the organization. MIS is an (Electronics & Computer Science / Computer Science) an arrangement of equipment and procedures, often computerized, that is designed to provide managers with information MIS A computer system designed to help managers plan and direct business and organizational operations. An organized approach to the study of the information needs of an organization's management at every level in making operational, tactical, and strategic decisions. Its objective is to design and implement procedures, processes, and routines that provide suitably detailed reports in an accurate, consistent, and timely manner. In a management information system, modern, computerized systems continuously gather relevant data, both from inside and outside an organization. This data is then processed, integrated, and stored in a centralized database (or data warehouse) where it is constantly updated and made available to all who have the authority to access it, in a form that suits their purpose.

Importance of Management Information System (MIS)

MIS aids the organization in effective and efficient decision making. The organizational data, like information on the processes, standard operating procedures and audit preparation methodology, are all tabulated and presented in the forms of reports. Also the internal controls for each department that list the flow of work between employees, the authority-responsibility relationships, all are listed by the MIS. The overall purpose of MIS is to provide profitability and related information to help managers and staff understand business performance and plan its future direction.

IMPORTANCE OF MIS:
1. MIS is always management oriented and keeps in view every level of management and gets the desired information. 2. Integrated - refers to how diff components(sub systems) are actually tied up together. eg: diff departments of organization linked together. 3. Useful for planning - as every organization makes log-term and short-term plans with the help of information like sales & production, capital investments, stocks etc management can easily plan.. 4. Effective MIS helps the management to know deviations of actual performance from pre-set targets and control things. 5. its important for increasing efficiency. 6.MIS provides updated results of various departments to management. 7.MIS is highly computerized so it provides accurate results. 8.MIS adds to the intelligence, alertness, awareness of managers by providing them information in the form of progress and review reports of an ongoing activity. 9.Helps managers in decision- making.

Importance of Internet in Business

As the 21st century continues, it becomes increasingly difficult to imagine how business can be conducted without the Internet. The Internet has transformed many areas of the business arena, and especially communication. By drastically reducing the time required to transmit information over both long and short distances, the Internet has made itself indispensable for commercial endeavors.

1. Marketing and Advertising

The Internet has become an essential marketing and advertising tool for businesses. Some businesses do not exist in bricks-and-mortar form, and therefore the Internet, in the form of a website and online advertising, represents the entire storefront they present to the buying public. Other businesses use Internet advertising to supplement newspaper and radio advertising or in store promotions, especially when targeting younger potential customers.

2. Image Building
Most savvy business owners of both large and small ventures recognize the importance of establishing a Web presence through a website. Along with their own websites, some businesses have attempted to engage themselves in the social networking phenomenon (called Web 2.0), which began to escalate in the late 20th century. By establishing profiles on platforms such as Facebook and LinkedIn, businesses attempt to execute "soft" marketing to enhance their image with potential customers or clients as well as the general public.

3. Communication and Interaction

Although telephone communication is far from dead, much business communication takes place through email. Companies use email to communicate with the public and to transmit messages within the company. Additionally, real-time communication such as instant messaging (IM), Internet telephony (through services such as Skype) and even virtual meetings and conferences have become increasingly important in the day-to-day workings of business in the 21st century.

4. Information Gathering
Whether the searches take place on the Web or through specialized databases such as LexisNexis or Hoovers, Internet searching has become an absolutely essential research tool for businesses in nearly every industry. Libraries have been transformed by the Internet explosion, with much of their collections being converted to electronic records, which are made available to patrons through the Internet. In addition to accessing library records online, businesses access breaking news and stock exchange information in real time via the Internet. Businesses also conduct research online.

5. Remote Services
Many companies employ workers, contractors and consultants as telecommuters. Telecommuters can be located locally or very far away from a company's base of operations. Companies with an international presence use the Internet to facilitate communications between their offices in varied locations.

6. Transactions
Additionally, the Internet has made it easier, faster and less expensive to process payments and other transactions essential to businesses.

What is Database Management System?

A Database Management System (DBMS) is a set of programs that enables storing, modifying, and extracting information from a database, it also provides users with tools to add, delete, access, modify, and analyze data stored in one location. A group can access the data by using query and reporting tools that are part of the DBMS or by using application programs specifically written to access the data. DBMSs also provide the method for maintaining the integrity of stored data, running security and users access, and recovering information if the system fails. The information from a database can be presented in a variety of formats. Most DBMSs include a report writer program that enables you to output data in the form of a report. Many DBMSs also include a graphics component that enables you to output information in the form of graphs and charts. Database and database management system are essential to all areas of business, they must be carefully managed. There are many different types of DBMSs, ranging from small systems that run on personal computers to huge systems that run on mainframes. The following are examples of database applications: computerized library systems, flight reservation systems, and computerized parts inventory systems. It typically supports query languages, which are in fact high-level programming languages, dedicated database languages that considerably simplify writing database application programs. Database languages also simplify the database organization as well as retrieving and presenting information from it. A DBMS provides facilities for controlling data access, enforcing data integrity, managing concurrency control, and recovering the database after failures and restoring it from backup files, as well as maintaining database security.

The functions of Database Management System(DBMS) are as follows Data Definition - The DBMS must be able to accept data definitions in the source form and convert them to appropriate object form . In other words , the DBMS must include DDL processor or DDL compiler components for each of the various data definition languages (DDLs) . Data Manipulation - The DBMS must be able to handle requests to retrieve , update, or delete existing data in the database or to add new data to the database . In other words , the DBMS must include a DML processor or DML compiler component to deal with the data manipulation language (DML) . Optimization and Execution - DML requests , planned or unplanned , must be processed by the optimizer component whose purpose is to determine an efficient way of implementing the requests . The optimized requests are then executed under the control of the run-time manager . Data Security and Integrity - The DBMS must monitor user requests and rejects any attempts to violate the security constraints defined by the DBA (Database Administrator) .These tasks can be carried out at compile time or run-time or some mixture of the two . Data Recovery and Concurrency - The DBMS ,some other related software component , called the transaction manager or transaction processing monitor must enforce certain recovery and concurrency controls . Data Dictionary - The DBMS must provide a data dictionary function . The data dictionary is a database which contains "data about data" (called meta data or descriptor) . In particular , all of the various schema's and mappings and all of the various security and integrity constraints will be stored in both source and object form , in the dictionary . Performance - The DBMS should perform all of the tasks identified above as efficiently as possible .

Importance of DBMS
Without a database management system organizing, controlling and cataloging data, an information system would be an organized conglomeration of data. The ultimate role of a database management system is to implement controls and provide maintenance to data files using data security to ensure integrity of data. 1. It helps make data management more efficient and effective. 2. TS query language allows quick answers to ad hoc queries. 3. It provides end users better access to more and better-managed data. 4. It promotes an integrated view of the organizations operations big picture. 5. It reduces the probability of inconsistent data. 6. A well-designed database facilitates data management and becomes a valuable information generator. 7. A poorly designed database is a breeding ground for uncontrolled data redundancies. 8. A poorly designed database generates errors that lead to bad decisions. 9. Poorly Designed databases are self-correcting. Organization fails!

Other Functions & Importance: 1. Cataloging of File Structures

The process of cataloging files in a database management system (DBMS) is extremely important. There are various file types, which range from actual computer code and query programs (which extract information) to system utility and record maintenance programs. All of these programs have a unique file structure, which is identified by a system schematic or "schema." Without the process of a file structure, files would be hard to access and operate. A file structure within a (DBMS) provides an orderly structure for file access and management.

2. Identification of Database Types

A DBMS system can consist of various database types. A database holds the record structure of information. Databases within a DBMS can be an indexed, sequential or relational database. An index database is based on a primary key and can be indexed

on any unique field within the database structure. A sequential database is accessed by starting at the very first record in the database and a relational database consists of records, which can be joined to other existing records in another database based on unique identifiers. The DBMS allows for partitioning, cataloging and access for these database types.

3. Data Security
Data security is an important feature for any information system. A DBMS provides security tables, which are records designated for user information, identification and passwords. The security system is constructed from relational database tables and each condition (user access codes) must be met in each table for a user to access the system. DBMS systems can have built-in security applications, which assign user rights and privileges by using a table of authorities in the system utility applications.

4. Tables and Records

Within a DBMS, all databases have assigned records. Records are classified as item or detail records. Item records are general information records and detail records focus on a field identifier within the item record and provide extra "detailed" information on the field and generated its record from the item record. Tables are structures on which item and detail records exist. An example of an item and detail record is a description of furniture on a database consisting of general data fields for shipping, payment, etc., and a corresponding detail record, which further breaks down the furniture into various colors.

5. Integrity of Data Sets

If an information system is a transaction based processing system, data sets are created to catalog changes in data initiated by users to the system with all changes reporting on a transaction exception report. Data is collected, distributed and processed using batch or real-time methods. If it is a batch routine, most organizations will update their systems once a day while, with a real-time system, updates can be added immediately.