Sunteți pe pagina 1din 40

(Hailey College of Commerce)

ABSTRACT
This repot is about the Management information system of
Salman Noman Enterprises Limited. It is basically the
manufacturing concern. The Chairperson of the mill is the
final authority in the organization. She controls all the
departments of the enterprise. The reports of all the
departments are submitted to the Chairperson to check the
efficiency and effectiveness of departments.
The enterprise adopted computer based and non- computer
based management information system.
There are nine departments in the company, Purchase
department, Sale department, Finance Department, six
Production departments, (Blow room Department, Carding
Department, Simplex Department, Ring Department, Auto-
cone Department, and Maintenance Department), air-
condition department Storeroom and a laboratory.
Purchase department, Sale Department, and Finance
Department are computerized but all the Production
departments are non-computerized. All the departments
having their own information system, they individually
collect the information within and outside the enterprise
and maintains the records of that information and at the
time of the need they deliver it to the other departments.
Information transfers among the departments, which are
computer based through proper network. Among the
production departments, which are non-computerized, the
information transfers through telephone, fax, written
documents and verbally. There are also some deficiencies
in the management information system of the organization
that affects the efficiency and effectiveness of the company
affairs. In the end of the report we suggest the
recommendation for the improvement of management
information system of the organization.

1
(Hailey College of Commerce)

ACKNOWLEDGEMENT
In the name of THY LORD Who has created man from clot.
And THY LORD is the most Bounteous who thought man
that he knew nothing. About all we are indebted to
ALMIGHTY ALLAH, Lord of our life and of every thing in the
universe and His HOLY PROPHET MUHAMMAD [PBUH]
whose blessings enabled us to perceive and pursuit higher
ideas of life.

We are also thankful to our teacher

Dr. Liaqat Ali


Who taught us in such a manner that we were able to
complete this report successfully? We are also grateful to
him for providing us guideline to complete our report
efficiently. Further we are thankful especially to Mr.
Nauman Almas Shiekh (Chief Executive), Mr. Abdul Qadir
Bajwa (Chief Accountant), Mr. Muhammad Akram (Account
Officer) and to all the staff of the Salman Noman
Enterprises, Bhaipheru at Balloki road district Kasur.
.

2
(Hailey College of Commerce)

MUHAMMAD AWAIS AFZAL 368


MUHAMMAD ADEEL AKRAM 404
MUHAMMAD AMJAD 407

INTRODUCTION TO THE REPORT


Information is a valuable asset for any organization and in
all the organizations there is a system by which they get
information. Information is used in decision-making.
Management information system plays a vital role in the
success or failure of any organization. This report is about
the management information system of the Salman
Noman Enterprises. In this report the management
information system of the enterprises, is discussed in
detail. How information is received and delivered within
and outside the organization. Report shows the working of
the management information system in all the departments
and the role of the management information system in the
growth of the organization. This report also shows the brief
history of the organization, the reason of selection, the
structure of the mill and the current management
information system, which is adopted by all the
departments. The current management information system

3
(Hailey College of Commerce)

of the organization is computer-based and non-computer-


based. The examples show that how decisions are taken in
the organization with the help of the formal and informal
source of information. The flow of information in each
department is shown with the help of the diagrams. We
discussed the current management information system
critically. We also pointed out some deficiencies as well as
have given recommendations for the improvement of
current management information system. At the end we
give the conclusion.

THE REASON OF SELECTING THE


ORGANIZATION
We selected this organization due to some reasons, which are
given as follows:
⇒ The organization has a comprehensive MIS for getting the
valuable information.
⇒ There is one of our fast RELATIVE in the top-level
management.
⇒ The enterprise had won the first prize in quality export
competition held in Japan.
⇒ The management is so much cooperative in providing the
information about the project.
⇒ We are much interested in the textile field.

4
(Hailey College of Commerce)

Considering these above-mentioned reasons our group selected


Salman Noman Enterprises.

BRIEF HISTORY OF THE ORGANIZATION


Salman Noman Enterprises was established in 1989. It is
situated 3 KM away from Bhaipheru at Balloki road district Kasur. It
is a public limited company, listed in Lahore Stock Exchange and it
is engaged in the production of thread. When the Mill was
established the management information system of organization
was completely non-computer based. Due to changes in the
technology & to achieve the efficiency and effectiveness in the
work, the company introduces the computer-based management
information system in some departments of the organization. It
purchases ginned cotton, polyester from local market and viscose

5
(Hailey College of Commerce)

from abroad. It exported its products to the Japan and different


other countries. In 1994 a quality competition was held in Japan of
imported Spinning goods. Salman Noman Enterprises has won
the first prize in that competition. After 1996 due to increase in
local demand the company has stopped its exports. After that the
company has been selling their products in local market. The mill
comprises of 37 frames and each frame consists of 480 spindles, so
the mill is wholly consists of 17760 spindles. The company is
producing four types of yarn (32pv, 28cv, 24pc, 17pp) according to
the market demand. The daily contractual sale of mill is 300 bags.
Each bag of the yarn is of 100 pounds. Each bag contains 40 cones
of the yarn, and the net weight of a cone is 2.5 pounds. The
enterprise has installed three new imported machines in carding
and auto-cone departments.

6
(Hailey College of Commerce)

STRUCTURE OF THE ORGANIZATION

Chair Person

Chief
Executive
Administrativ General
e Officer Manager

Productio
Purchase Technical Account Officer
n
Manager Manager of the Mill Manager

Sales
Manager Senior Clerk

Finance
Junior Clerk
Manager
Assistant
Manager

Internal Auditor

Accountant

Figure # (1)

7
(Hailey College of Commerce)

CURRENT MIS IN ALL THE DEPATMENTS


Salman Noman Enterprises has both computer-based and non-
computer based management information system. The company is
using the computer-based management information system in
three departments (finance department, purchase department and
sale department), which are in the HEAD OFFICE. On the other
hand, the production departments have the non computer-based
management information system. For example the purchase of the
new machines and import of viscose is made through Internet. The
quotations for the purchase of the machinery and other tools are
received with the help of Internet and order is also made through
Internet. All the transactions are completed with the help of
Internet and their record is maintained in the computer for the
future decisions. They receive the inquiry letter about their
product through computer based information system and in reply,
they issue the quotations to the applicant through Internet. This
shows that the purchase of machinery and sale of goods is made
with the help of computer based information system. The Purchase
department, Sale department and finance department maintain
their records with the computers but rest of the departments are
non-computer based and maintain their records manually on the
documents. The information travels in all departments through
telephone, fax, written document and verbally, among the
departments which have non computer-based information system.
Before describing all the departments in detail we can make two
groups of all the departments of the organization.

8
(Hailey College of Commerce)

COMPUTER BASED MIS DEPARTMENTS


There are three computer based MIS departments in the
enterprises.
⇒ Purchase department
⇒ Sales department
⇒ Finance department

COMPONENTS OF COMPUTER BASED MIS


Computer based management information system comprise the
following components.

 Server
 Personal computers
 Terminals
 Fax
 Printers

SERVER
There is one server of computer based management information
system has computer of Intel Celeron with the latest processor.

PERSONAL COMPUTER/PCs
The computer based information system has 12 PCs in the three-
computer management information system (purchase department,
sales department and the finance department) and there are 5
other PCs (Personal Computers) in the different departments for
small or large calculations.

TERMINALS
There are 3 terminals in the computer based management
information system departments. These terminals are connected to

9
(Hailey College of Commerce)

the server. The data can be sent through these terminals to the
main server for processing.

FAX
Every manager is provided a fax machine facility to transfer the
information from one manager to another manager within
minimum time.

PRINTERS
Every PC (personal computer) has a laser jet printer to get the
printout of the required information promptly and to communicate
the information in the shape of printed documents.

NON-COMPUTER BASED MIS DEPARTMENTS


All the production departments, storeroom and laboratory are non-
computer based management information system departments.

 Blow room Department


 Carding Department
 Simplex Department
 Ring Department
 Auto-cone Department
 Maintenance Department
 Air-condition department
 Storeroom
 Laboratory

COMPUTER BASED MIS DEPARTMENTS

PURCHASE DEPARTMENT AND MIS

10
(Hailey College of Commerce)

In the Purchase department the management information system


is the computerized. The purchase department makes the
purchase of the raw material, machinery, tools, and viscose,
polyester and cotton bales for the production department.
Purchase manager receives the information about the purchases of
the raw material from the general manager of the mill with the
permission of the chief executive of the organization. He sends it to
his assistant purchase manager who collects the information and
different quotations from the market and informs the purchase
manager about the quality and prices. When the purchases
becomes confirm then the record keeper records the descriptions
of the purchase with computer and send copies of the purchases
invoice to the general manager of the mill and the finance
manager for the payment of that purchases.

PURCHASE DEPARTMENT

Purchase
Manager

Assistant Purchase
Manager
Record Record
Keeper Keeper
Office Office
boy boy

Figure # (2) Hierarchy of the Purchase Department.

11
(Hailey College of Commerce)

SALES DEPARTMENT AND MIS


Sales department is also one of the computer based management
information system departments. The sales manager controls all
the activities of the department. There two assistant sales
managers in the department, one is dealing in wholesale and the
other is dealing in retail. The assistant sales managers collect the
information about market demand and receive the orders from
different interested parties. When the sales are being made then
the record keepers record the sale descriptions with computers and
send one copy to the finance manger either it is wholesale or retail
sale.

SALES DEPARTMENT

Sales
Manager
Assistant sales Assistant sale
Manager Manager for retail
For whole sale sale
Record Record
Keeper Keeper
Office Office
boy boy

Figure # (3) Hierarchy of the Sales Department.

12
(Hailey College of Commerce)

FINANCE DEPARTMENT AND MIS

The finance department is also computer bases MIS department.


The finance manager takes decisions to enhance the profit of the
mill. There is one assistant manager, one accountant, and one
cashier having one office boy each.
The assistant manager receives all the information about the cash
payments and cash receipts. The accountant maintains the
information regarding all kinds of accounts. Cashier deals with daily
cash payments and cash receipts of the business.

FINANCE DEPARTMENT

Finance Manager

Assistant
Finance
Manager

Account Officer

Assistant
Accountant
Cashier

Office
Boy

Figure # (4) Hierarchy of the Finance Department.

NON-COMPUTER BASED MIS DEPARTMENTS

13
(Hailey College of Commerce)

All the production departments, air-condition department,


storeroom and laboratory are non-computer based departments.
The general manager is the head of all the production departments
and one technical manager assists him to handle all the issues in
the mill. And to assist the technical manager a production incharge
is working for overall look after of all the production departments. If
there is any problem in any of production departments the
technical manager or general manager will be informed and he will
report to the top-level management regarding that problem. All the
employees of the production departments inform to their heads
through telephone or personally about any matter. Because these
are non-computer based MIS departments, so there is no any
system of emailing or networking in the mill.
The production departments are:

PRODUCTION DEPARTMENTS

14
(Hailey College of Commerce)

General
Manager

Technical
Manager Factory Account
Production Officer
Incharge
Supervisors of all the Senior
Production Accountant
departments Junior
Accountant
Store Officer
Assistant
Laboratory Incharge

Figure # (5) Hierarchy of the Production Department.

BLOW ROOM DEPARTMENT AND MIS


The blow room department is the first production department and
supervisor controls all the matters, which can be taken, place in
the blow room department. In this department the raw material is
plucked through plucking machines either it is cotton, polyester or
viscose. After plucking the machines automatically make role (of
different weights according to demand) of raw material and send
them to the next department. The plucking machines work
automatically and if there are any problems in the performance of
machines the workers check it and inform the assistant supervisor
then he approaches to the supervisor of the department.
Eventually the supervisor of the department contacts to the

15
(Hailey College of Commerce)

foreman of the maintenance department. The information


regarding daily production and consumption of raw material is
reported to the supervisor and supervisor reports the production
Incharge.

BLOW ROOM DEPARTMENT

Supervisor

Assistant
Supervisor

Machine
Jobber
Operator

Help Helpe
er r

Figure # (6) Hierarchy of the Blow Room Department.

CARDING DEPARTMENT AND MIS


The carding department is the second production department and
the supervisor controls it. There is one assistant supervisor in the
department to assist the supervisor. The work of the carding
department is to spin the cotton and to put the spin cotton into the
containers. If there is any technical problem in the performance of
the machines the machine operators inform the assistant

16
(Hailey College of Commerce)

supervisor of the department to hire the maintenance staff, so the


assistant supervisor contact to the foreman of the maintenance
department. After spinning the cotton the container of the spin
cotton are put into the next department for the next procedure.
The daily production and consumption of the material is reported
to the supervisor of the carding department.

THE CARDING DEPARTMENT

Superviso
r
Assistant
Supervisor

Machine
Jobber
Operator

Help Helper
er

Figure # (7) Hierarchy of the Carding Department.

SIMPLEX DEPARTMENT AND MIS

17
(Hailey College of Commerce)

In this department the spin cotton is again processed to mix the


polyester, cotton and viscose. There are different machines, some
are newly installed and these new machines are imported from
Japan. The cotton, polyester and viscose are mixed with different
ratio to get different types of the yarn according to market
demand. The supervisor also controls this department and all the
results regarding production are reported to the production
incharge of the production departments. The information about all
the technical matters of the machines is reported to the foreman of
the maintenance staff through assistant supervisor of the simplex
department.

THE SIMPLEX DEPARTMENT

Superviso
r
Assistant
Supervisor

Machine
Jobber
Operator

Help Helper
er

Figure # (8) Hierarchy of the Simplex Department.

18
(Hailey College of Commerce)

RING DEPARTMENT AND MIS

In this department the yarn is factually made. The cotton, polyester


and viscose mixed thread are processed to make the yarn on the
spindle and there are 480 spindles in each machine. The
processed thread is rolled round the spindles. The supervisor also
controls this department and an assistant supervisor is helping
him. The machine operators run the machines and if there is any
break throws in the production of the yarn the machine operators
inform the assistant supervisor of the department and he
approaches to the foreman of the maintenance department. The
yarn is sent to the supervisor of the department and he reports to
the production incharge. Auto-cone department and the daily
report

RING DEPARTMENT

Superviso
r
Assistant
Supervisor

Machine
Jobber
Operator
Help Help
er er

19
(Hailey College of Commerce)

Figure # (9) Ring Department

AUTO-CONE DEPARTMENT AND MIS


The last stage of the production is to make the cones of the yarn in
the final shape and all the machines are working automatically.
When four or five spindles are put into the machine, the machines
automatically take the spindles one by one and role the yarn on
the cones. A supervisor, who looks after the performance of the
machines and takes the results to send to the production incharge
of the mill, also controls this department. The production incharge
reports to the technical manager. The assistant supervisor is
informed in the case of any technical problem in the performance
of the machines and he informed foreman of the maintenance
department. Finally the cones of the yarn are transferred to the
store room.

THE AUTO-CONE DEPARTMENT

20
(Hailey College of Commerce)

Superviso
r
Assistant
Supervisor

Machine
Jobber
Operator
Helpe Help
r er

Figure # (10) Auto-Cone Department.

MAINTENANCE DEPARTMENT AND MIS

The mill is consists of totally 37 machines. This is the responsibility


of maintenance department to maintain hundred percent
performances of all the machines in all departments. For the best
performance a foreman is working in the maintenance department.
An assistant foreman, head fitter, fitter, assistant fitter and some
workers are assisting to the foreman. Assistant foreman receive
the complaints from all the production departments and report to
the foreman of the maintenance department. The maintenance
staff is working in all the production departments and maintaining
the performance of all the machines.

THE MAINTENANCE DEPARTMENT

21
(Hailey College of Commerce)

Foreman

Assistant
Foreman

Head Fitter

Fitter

Assistant Fitter

Workers

Figure # (11) Maintenance Department.

AIR-CONDITION DEPARTMENT AND MIS


In all the production departments, different level of temperature is
required to maintain the accuracy of the machines. For this
purpose an air-condition department is working. Different level of
temperature is required in different departments such like in
simplex department 37 degree centigrade is suitable for working
condition and in auto-cone department 40 degree centigrade is
required. This department is controlled by the engineer and there
is one head electrician, electrician, assistant electrician and helpers
assisting the engineer. If there is any abnormal change in the
temperature the helpers contact to the electrician or assistant
electrician and they report to the engineer about the problem.

22
(Hailey College of Commerce)

AIR-CONDITION DEPARTMENT

Electric
Engineer

Head
Electrician

Electrician

Assistant
Electrician

Helpers

Figure # (12) Air Condition Department.

STORE ROOM AND MIS


There is one storeroom in the enterprises, which keeps all the
finished goods, raw material and other maintaining tools. To avoid
the problem in storing the different kinds of the material the
storeroom is divided into the three again branches. One is for
storing the raw material and another is for storage of the finished
goods or manufactured goods. And the third braches is to store the
different tools & repairing appliances. The store officer is the head
of the department and there are three storekeepers for each
branch of the storage department and there are many workers to

23
(Hailey College of Commerce)

help the storekeepers. The storekeepers maintain the all the


records regarding issuance and storage of the material.

THE STORE ROOM

Store
Officer

Store Keeper Store Keeper Store Keeper

Store Store Store


Workers Workers Workers

Figure # (13) Store Room Department.

LABORATORY AND MIS

There is one laboratory of the mill to check the standard of the


finished material either it is according to the demand or not. If
there is any problem in the quality of the production the laboratory
incharge inform the production incharge of the production
departments. There are many kinds of the machines in the
laboratory to check the standard of the material. Due to this

24
(Hailey College of Commerce)

checking they maintain the quality of production in such a way that


the goods can easily be sold.

LABORATORY

Laboratory
Incharge

Quality Quality
Checker Checker

Assistant Assistant
Checker Checker

Helpe
Helper
r

Figure # (14) Hierarchy of the Laboratory.

TYPES OF INFORMATION DEPARTMENTS ARE


RECEIVING WITH THE HELP OF MANAGEMENT
INFORMATION SYSTEM

EXTERNAL AND INTERNAL INFORMATION

25
(Hailey College of Commerce)

They receive the internal and external information with the help of
the management information system such as information of the
daily production report, weekly payroll within the organization.
They also receive the information about the demand of their
product and market trend about the kinds of yarn from outside the
organization known as external information.

DOCUMENTED AND NON-DOCUMENTED INFORMATION


The sale department receives written report of the daily production
from the production department known as the documented
information. The purchase department receives the verbal
information from the production department that they need bulk
amount of raw cotton today known as non-documented
information.

FORMAL AND INFORMAL INFORMATION

The general manager receives information from the chief executive


to increase the production of the yarn known as formal information.
The general manager receives information from newspaper that
price of yarn increases and increase the production known as
informal information. The company is using both the information
for decision-making.

PAST AND FUTURE INFORMATION

The forecaster in the budget department receive the past


information about the expenses of the factory overhead for the
past five years and on the basis of that information, they forecast

26
(Hailey College of Commerce)

the coming year factory overhead and transfer this information to


the production department, which is future information for that
department.

TABULAR AND GRAPHICAL INFORMATION

The chief executive receives the tabular information from the


purchase department to see the purchase of the month when it
was occurred. The graphical information is also given to the chief
executive to show the production of the month on the daily basis.

CATEGORIES OF INFORMATION RECEIVED


Figure # (15)

INFORMATION USERS

Information about Shareholders and


market share Management
27
(Hailey College of Commerce)

Production Information General Manager

Information about Technical


maintenance Manager

Market demand of Sales Manager


product

Cotton, Viscose and Purchase


polyester’s price Manager

About Inventory control Store Officer

Payroll and Investment Finance Manager

Information about Sale of


wastage Account Officer

EXAMPLES OF DECISION TAKEN THROUGH INFORMAL


AND FORMAL

28
(Hailey College of Commerce)

An example of a decision taken by management through FORMAL SOURCE


of information
1
If any of the production departments needs more raw materials for
more production in the future than the routine basis, it reports to
the stock keeper about their requirement of cotton, polyester or
viscose. The stock keeper checks the stock and if the material
could not fulfill the requirements of the requisition, received from
the production department then he informs to general manager of
the mill. The general manager informs in the head office to
purchase department manager about the requisition. The manager
of the purchase department sends the requisition to the finance
department. After checking the records of accounts, the manager
of the finance department gives the permission to the purchase
manager. On receiving the permission order with the signature of
Administrative Manager, the Purchase Manager purchases the
required material according to the needs of the production
department.

Figure which shows process of decision through formal source of


information

29
(Hailey College of Commerce)

Production department needs more raw


Material than routine basis for future
Production they repot to stock keeper.

If there is need of
purchase the stock, store
keeper reports to the
general manager of the
mill.

For the purchase of raw


material the general
manager of the mill informs
the purchase manager in
the head office through fax

After checking the


accounts the finance
department gives the
permission to the purchase
department.

On receiving the permission


the purchase manager
makes decision and gives
the order for the purchase.

Fig (16): Decision made through formal source of information

An example of a decision taken by management through INFORMAL


SOURCE of information

30
(Hailey College of Commerce)

In 1998-99 the purchase department decided to purchase the


reserve stock of cotton bales of a month in any production tenor.
This decision was supported by an informal source of information,
which they got from newspapers and television that there would be
a shortage of cotton in home country. Because there was an attack
of cotton virus and as well as the huge rainfall in cotton growing
regions and was possibility of reduction in the yield of cotton.

Figure which shows process of decision making through informal source


of information
Information received from
Newspapers & television that
the yield of the cotton can be
decline.

Purchase department manager


took the decision for the
purchase of the raw cotton.

Fig (17): Decision through the informal source of information

31
(Hailey College of Commerce)

CRITICAL APRAISEL

The current MIS of Salman Noman Enterprises is working very


well in most areas but there are some areas in which current
management information system are not properly working.
There is manual link between all the production departments,
which is poor, so much time consuming and expensive. If there is
need to transfer the production report from the production
department to the sale department the employee is required to do
so. In this way the cost of the particular department increases.
The General Manager is not 100% informed about the production
process which going on the production site. When they have to
make to visit the site, the office work is disturbed and much time is
consumed
Mostly the sale of finished goods is made according to the order of
chief executive due to which some times orders delayed, which
negatively affect the overall efficiency of the business.
Management information system is only used inside the
organization except the purchase department and there is no
proper MIS externally. If the other departments (like production
department and sales department) use MIS externally as well as
internally, then they can improve their product quality and can
enhance their market share.
In the mill the accountant is working manually which records the
raw material received and final products issued from the mill on
the order of high-level management. Due to this manual working
there are more chances of errors

32
(Hailey College of Commerce)

In those departments where computer is not installed the records


are maintained manually and stored manually which is very
expensive and need much time to complete that job to the record
keeper. When there is need of that particular record much time is
required to find out the specific records.
The link between store room and production departments is very
poor due to which production decreases, which affects the overall
efficiency of the mill.
There is no proper MIS department in the organization due to which
the information is not properly handled either it is computer based
MIS department or non-computer based MIS department.

DECISION THAT COULD BE SUPPORTED BY MIS BUT IS NOT


SUPPORTED CURRENTLY BY MIS OF THE ORGANIZATION

The purchase manager has taken the decision to purchase the raw
material (cotton) from Ibrahim & Co. on the basis of low prices and
availability of preferable discount. Due to which inventory of cotton
in the store increased as their maximum required level. This
decision could be supported by current management information
system in the way that he contact with store officer and asked
about inventory requirement. The store officer could contact the
production manager of the mill about the requirement of future
usage of material. After confirmation of the requirement the
production manager have to discuss the finance manager about
the availability of finance in accordance with their need.
The purchase manager should also inform the higher-level
management about the above-discussed opportunity. Then a
meeting should be called and final decision should be taken.

33
(Hailey College of Commerce)

DEFICIENCIES IN THE CURRENT MANAGEMENT


INFORMATION SYSTEM OF THE ORGANIZATION

The overall management information system of the Salman

Noman Enterprises is satisfactory in comparison of other


spinning mills but there are still the following deficiencies
prevailing in the current management information system which
are as under: -

EMPLOYEES TRAINING
There is lack of training to the employees of computer based
departments relating to the nature of work and the computers are
not optimally used because the employees are not well aware
about the use of the computer that how to maintain the records on
the computers. So that the benefit is less than the cost spent to
purchase the computers.

MAINTENANCE DEPARTMENT
If there is any problem in production departments relating to
maintenance much time is wasted in informing to the maintenance
department due to lack of information technology and this effects
to the overall production of the mill.

LABORATORY

34
(Hailey College of Commerce)

The laboratory contains different type of machines to check the


flexibility of the thread. Some of the machines are very old which
affects the quality of production of the mill. Owing to which the top
management is not informed accurately about the quality of
production.

PRODUCTION DEPARTMENT
The management information system is not computer-based in the
production departments, due to which the information takes a lot
of time in transferring from one place to another place, so many
decisions are delayed and overall efficiency of the enterprise is
reduced.
One of the deficiencies is that the General Manager is not fully
informed about the production process, which is going on the
production site. The cameras should be installed on the production
sites so that the general manager of the mill can easily check and
control the overall production process.
The production waste of the mill is not reprocessed and is sold out
as scrap but this wastage can be reused in the production of yarn.

35
(Hailey College of Commerce)

RECOMMENDATION FOR THE IMPROVEMENT IN THE


CURRENT MANAGEMENT INFORMATION SYSTEM

According to our research on the management information system


of the Salman Noman Enterprises we suggest the following
recommendation to improve the management information system
of the organization. They are as under: -
1. There should be computerized link between all the
department so that the information is electronically
transferred from one department to the other department
which reduces the cost of information travel from one
department to another department, it also save the time
which is consumed on transferring the information from one
department to another department and this time is used to
do the other activities so that in this way the efficiency of this
department can be increased. Due to the computerized link
between all the departments the efficiency and effectiveness
of whole the organization can be increased.

36
(Hailey College of Commerce)

2. The appropriate computer training should be given to


the employees so that they should optimally use the
computer and take the optimum level of the benefit from the
computer. So that in this way the cost of that department
can be reduced because there is more work in the less time.
3. There is need to install the computers in the production
departments because in this department there is much need
of the computer. In these departments all the information
about production, consumption, wastage, maintenance and
installation is transferred manually which consume more
time and money. When computer is installed in these
departments all the work is done through the computer. The
worker has only to feed the correct data in the computer the
computers do rest of the work. So that in this way the cost of
the departments can be reduced, the worker time is saved
and that time is used to do the others works so that much
work is done in less time.
4. There is needed to make the networking within the
department also so that his supervisor on the computer
checks the work of the subordinate. Due to this the
subordinate time is saved, he has no need to submit there
report to the supervisor he can access his subordinate work
through the networking.
5. The company has to install the computer in those
departments where the records are maintained manually. In
this way the cost of the department can be reduced by
saving money spent on the maintained of the manually
records. Much of time is consumed in checking the manually

37
(Hailey College of Commerce)

maintained records this time can also by checking the


records electronically. The workers use this saved time to do
the other activities and in this way the efficiency of the
department can be increased.
6. The company has to install the cameras on the
production sites so that the General Manager of the mill is
100% informed that what is going on at production site. So
that there is no need to GM to take the round of the
production site in this the expensive time of the GM of the
mill is saved and this time is used to do the other
management activities to make the work more effective and
efficient.
7. The store room should be computer based so that the
material and other supplies can easily be transfers to the
production departments in time.
8. There should be a proper MIS department to handle all
kind of information and transfer the information in time to
the relevant recipient.

CONCLUSION
We conclude that the Salman Noman Enterprises has adopted
computer based and non-computer based management
information system. The Enterprises is using computer based
information system in the sale department, purchase department,

38
(Hailey College of Commerce)

and finance department. In the rest of the department the


management information system is the non-computer based. The
links between all the departments is manually and the information
takes much time to pass from one department to another
department. The efficiency and the effectiveness of the
computerized department is more than the non-computer based
departments. We also conclude that there are some deficiencies in
the management information system of the Enterprise and we had
given some recommendations to improve the quality and to save
the time. If the company adopts the recommendations, which are
given up, the organization can increase the efficiency and
effectiveness of the work. It can also increase its profits due to
decreases in the cost and time spent on the delivery and reception
of the information.

REFERENCES

1. Annual Report of Salman Noman Enterprises of 2003

39
(Hailey College of Commerce)

APPENDIX

Photocopy of the annual report is attached with the report.

40

S-ar putea să vă placă și