Management Information System

S. Chaudhuri
 What is MIS
MIS are the ICT systems in an enterprise that provides
information about its business operations.
It relates to the organized and systematic:
• Collection
• Organization
• Distribution
• Storage of wide information
• Managerial Control and analysis of data and
information
pertaining to a business operation of an organization.

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 Why MIS
In order to get better grip on activity of information
processing, it is necessary to have a formal system which
should take care of the following:
• Handling of voluminous data
• Confirmation of the validity of data and transaction
• Complex processing of data and multidimensional analysis
• Quick Search and retrieval
• Mass storage
• Communication of IS to the user on time
• Fulfilling the changing need of the organization
• Strategic decision making from data analysis

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 IT, IS and MIS

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 Functional MIS

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 Conceptual View of MIS
Management Information System

Business Goal and Mission

Support Application of pure and social science

Structure
to MIS Applications of principles and Practices of
Management

Use of database and knowledge base

IT and Enterprise Software

Outputs:
Scheduled reports
Demand reports
Exception reports

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 Role of MIS
It can be compared with the heart in the body;
where, information is the blood and MIS is the heart.

Organization-wide information
Decision-making process
Managerial control and analysis
Computer-based system

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 Role of MIS (contd…)
MIS helps in
– Strategic Planning
– Management control
– Operational control
– Transaction processing
Helps middle management
– Short term planning
– Target setting
– Controlling the business functions
Helps top management
– Goal setting
– Strategic planning
– Evolving the business plans and their implementations

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 MIS: A Support to Management Process
Environment

Management

Goal Setting

Planning Organizing Staffing Directing Coordinating Controlling

Information Support

MIS

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 MIS: A Support to Management

Planning
– A selection to various alternatives- strategy, resource and methods etc.
Organization
– A selection of combination out of several combinations of the goals, people, resources,
methods and authority.
Staffing
– Providing proper manpower complement
Directing
– Choosing a method from the various methods of directing the efforts in the
organization.
Coordinating
– Choice of the tools and the techniques for coordinating the efforts for optimum results
Controlling
– A selection of the exceptional conditions and providing the decision guidance to deal
with them.

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 MIS As a Control System

Establish Not OK
Measure Actual Corrective
Standards
Performance vs STD Action
of Performance

OK

No
Action

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 MIS and the User
• Every person in the organization is a user of the MIS.
The MIS caters the needs of the organization.
• The MIS offers the methods and facilities to integrate
the data and report in the same proper format. An
executive plays the role of decision maker.
• The managers has position of responsibility and
accountability for the business results.
• At the level of an officer and an executive, the MIS
does the job of data manipulation and integration.

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 Reliable & Effective Control System
• Early warning mechanism
• Performance standard
• Strategic control
• Feedback
• Realistic
• The information flow
• Exception principle

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 Database in MIS

• Hierarchical databases
• Network databases
• Relational databases
• Object-oriented databases

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 Network Requirement for MIS
• Intranet
• Extranet

Network Types
are:
• LAN
• MAN
• WAN

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 LAN
A local area network (LAN) is a group of
computers and associated devices that share a
common communications line or wireless link to
a server.

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 MAN
A metropolitan area network (MAN) is a
network that interconnects users with computer
resources in a geographic area or region larger
than that covered by even a large LAN but
smaller than a wide area network (WAN).

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 WAN
A wide area network (WAN) is a geographically
dispersed telecommunications network.

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 System Design Requirement for MIS

• Input
• User Interface
• Design of Database
• Processing
• Output
• Control System
• Security
• Documentation

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 MIS Advantages
• Expand Geographical Reach
• 24*7 Open
• Increase Customer Satisfaction (CRM)
• Build Customer Loyalty
• Helps to Create New Relationship Opportunities
• Increase Brand or Product Awareness
• Potential to Increase Overall Business Sales
• Facilitates easy dissemination of Information
• Decision Support
• Enterprise Agility

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 Impact of MIS
• Efficiency in marketing, finance, production, and personnel becomes
more efficient.
• The tracking and monitoring of functional targets becomes easy.
• Understanding of the business itself. (e.g. clarity in communication).
• Systemization of the business operations for an effective system
design. This process brings high degree of professionalism in the
business operations.
• Pulls the whole organization in one direction towards the corporate
goals and objectives.
• Motivates an enlightened manager to use variety of tools of the
management.
• Creates an information-based work culture in the organization.

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 THANK YOU

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