Functional Aspects of the MIS

MIS is an integrated collection of functional information systems, each supporting particular functional areas.

Most organizations are structural along functional lines of areas. This functional structure is usually apparent from an organization chart, which typically shows a hierarchy in roles or positions. Some traditional functional areas include finance, manufacturing, marketing, human resources and other specialized information system. The MIS can also be divided along those functional lines to produce reports tailored to individual functions.

An Organizations MIS
Business Transactions

Financial MIS
Database of Valid Transactions

Business Transactions

ERP Systems And Transaction Processing Systems

Drill down Reports Accounting MIS Exception Report Demand Report Key-indicator Report Scheduled Reports

Business Transactions Database of External Data

Marketing MIS

Human Resource MIS etc.

Financial Management Information Systems

Financial MIS: It performs following activities: 1. 2. 3. 4. Provides financial information to all financial managers within an organization Profit/loss and cost systems Auditing Uses and management of funds

a. b. c. d. e.

Account Receivable Account Payable Asset Management Invoicing General Ledger

Additional Corporate database of internal data

Database of external Data

Financial DSS

Supply Chain and Business Transactions

ERP System and Transaction Processing Systems

Database of Valid Transaction s

Financial MIS

Financial application databases

Financial GSS

Internet or extranet Operational Databases

Specialized Financial information System a. Profit Loss and cost system b. Auditing c. Uses and management of funds

Supply Chain and Business Transactions

Customers, Suppliers

Financial Statements Uses and Management of funds Financial Statistics for control

INPUTS TO THE FINANCIAL MIS

Strategic plan or corporate policies Contains major financial objectives and often projects financial needs. Transaction processing system (TPS) Important financial information collected from almost every TPS - payroll, inventory control, order processing, accounts payable, accounts receivable, general ledger. External sources Annual reports and financial statements of competitors and general news items. Payments to suppliers, employees, other institutions. Receipt from customers, employees, financial institutions and others. Shares information from stock exchange

FINANCIAL M I S SUBSYSTEMS Financial subsystems

Profit/loss and cost systems Auditing Internal auditing External auditing Uses and management of funds

OUTPUTS Statutory reports:

Sales tax, excise and tax returns or any other tax details. Providing reports to other financial institutions. Giving reports to the shareholders annually. Break even analysis for cost and price decision. ROI for choice investment. Trend analysis to make decision for alternative material or suppliers. Sources and usage of funds. Stock valuation. Monthly trial balance, balance sheet and profit and loss account. Cash position. Expenses on major accounts. Overall business achievements in major links of business. Statutory payments such as Advance Tax, Sales Tax etc. Filling of statutory returns and reports. Transactions executed and accounted in the systems. Reports on finished goods, dispatches and invoicing.

Decisional reports:

Knowledge updates:

Operations updates:

Manufacturing Management Information Systems

The manufacturing MIS subsystems and outputs monitor and control the flow of materials, products, and services through the organization It performs the following activities: Design and engineering Production scheduling Inventory control Master production scheduling and inventory control Process control Quality control and testing

Receiving and inspecting a. inventory b. Personnel c. Production d. Order processing

Database of internal data

Database of external Data

Manufacturing DSS

Supply Chain and Business Transactions

ERP System and Transaction Processing Systems

Database of Valid Transactions From each TPS

Manufacturing MIS

Manufacturing application databases

Manufacturing ESS

Supply Chain and Business Transactions

Operational Databases

Internet or extranet

Design and engineering Product and scheduling Inventory control MRP and MRP II Just in time Process control Quality control Quality control reports Process control reports JIT Reports

Specialized Manufacturing information System

Customers, Suppliers

MRP Reports Production Schedule CAD Output

INPUTS TO THE MANUFACTURING MIS Strategic plan or corporate policies The TPS: Order processing Inventory data Receiving and inspecting data Personnel data Production process External sources

MANUFACTURING MIS SUBSYSTEMS Design and engineering Master production scheduling Inventory control Manufacturing resource planning Just-in-time inventory and manufacturing Process control Computer-integrated manufacturing (CIM) Quality control and testing

OUTPUTS Machine Master Work Center Definition Capacity Planning Bill of Material (BOM) Product Costing (on Items as well as Machine cost basis) Work Order Generation WIP Status

Marketing Management Information Systems

Marketing MIS: supports managerial activities in product development, distribution, pricing decisions, promotional effectiveness, and sales forecasting a. b. c. d. e. Marketing research Product development Promotion and advertising Product pricing It also deals with development of new product and services for new market to potential customers f. MIS plays important role by providing managers with many functional information systems. Actually marketing was the first functional area to exhibit an interest in MIS. g. For example, for interactive marketing- MIS can provide information about prospectus customers who can become partners for making and improving the product and services.

Database of internal data

Database of external Data

Order processing Inventory

Marketing DSS

Supply Chain and Business Transactions

ERP System and Transaction Processing Systems

Database of Valid Transactions From each TPS

Marketing MIS

Marketing application databases

Marketing ESS

Operational Databases

Marketing Research Product Development Promotion and advertising Product pricing

Specialized Marketing information System

Quality control reports Process control reports JIT Reports MRP Reports Production Schedule CAD Output

INPUTS OF MARKETING MIS Strategic plan and corporate policies The TPS External sources: The competition The market

MARKETING MIS SUBSYSTEMS Market research Product development Promotion and advertising Product pricing

MARKETING MIS - OUTPUTS Customer Master Product Family Product Master Generate Quotation Pending Quotation Status Sales Order Orders in Hand & Status Sales Invoicing Sales Forecasting