APPLICATIONS OF MANAGEMENT INFORMATION SYSTEM

MIS
Mr. Abdul Rehman

INFORMATION SYSTEM
A set of interrelated components that collect (or retrieve), process, store, and distribute information to support decision making, coordination and control in an organization.

MANAGEMENT INFORMATION SYSTEM (MIS)

Support for effective decision making Provides feedback on daily operations Output, or reports generated through accumulation of transaction processing data Each MIS is an integrated collection of subsystems, which are typically organized along functional lines within an organization

COMPONENTS
Hardware Software Data (Information For Decision Making) Procedures (Design, Development And Documentation) People (Individuals, Groups, Or Organizations)

Employees Corporate databases of internal data

Databases of external data

Corporate intranet Decision support systems Executive support systems

Business transactions

Transaction processing systems

Databases of valid transactions

Management information systems

Application databases

Drill-down reports Exception reports Demand reports

Expert systems

Operational databases

Key-indicator reports

Input and error list

Scheduled reports

OUTPUTS
Scheduled Reports Produced periodically, or on a schedule (daily, weekly, monthly) Key-indicator Report Summarizes the previous days critical activities Typically available at the beginning of each day Demand Report Gives certain information at a managers request Exception Report Automatically produced when a situation is unusual or requires management action

SCHEDULED REPORT EXAMPLE

Daily Sales Detail Report

Prepared: 08/10/xx Order # P12453 P12453 P12453 P12455 P12456 Customer ID C89321 C89321 C03214 C52313 C34123 Sales Rep ID CAR CAR GWA SAK JMW Ship Date 08/12/96 08/12/96 08/13/96 08/12/96 08J/13/96 Quantity 144 288 12 24 144 Item # P1234 P3214 P4902 P4012 P3214 Amount $3,214 $5,660 $1,224 $2,448 $720

KEY INDICATOR REPORT EXAMPLE

Daily Sales Key Indicator Report This Month Total Orders Month to Date $1,808 Last Month $1,694 Last Year $1,014

Forecasted Sales for the Month

$2,406

$2,224

$2,608

DEMAND REPORT EXAMPLE

Daily Sales by Sales Rep Summary Report Prepared: 08/10/xx Sales Rep ID CAR Amount $42,345

GWA
SAK JWN

$38,950
$22,100 $12,350

EXCEPTION REPORT EXAMPLE

Daily Sales Exception Report ORDERS OVER $10,000 Prepared: 08/10/xx

Order # P12453 P12453 P12453 Customer ID C89321 C89321 C03214 Sales Rep ID CAR CAR GWA Ship Date 08/12/96 08/12/96 08/13/96 Quantity 144 288 12 Item # P1234 P3214 P4902 Amount $13,214 $15,660 $11,224

OUTPUTS OF A MANAGEMENT INFORMATION SYSTEM

Earnings by Quarter (Millions) Actual Forecast $11.8 $10.7 $14.5 $13.3 Variance 6.8% 0.9% -1.4% -3.0%

Drill Down Reports Provide detailed data about a situation.

2ND Qtr 1999 1st Qtr 1999 4th Qtr 1998 3rd Qtr 1998

$12.6 $10.8 $14.3 $12.8

HISTORY OF MANAGEMENT INFORMATION SYSTEM

Mainframe And Minicomputer Computing Personal Computers Client/Server Networks Enterprise Computing Cloud Computing.

FUNCTIONS OF MIS
Mr. Khizer Mehtab

SUPPORTING BUSINESS FUNCTIONS IN AN ENTERPRISE

The principal business functions in a business Marketing And Sales Production Accounting And Finance Human Resources

Internet

An Organizations MIS Financial MIS

Business transactions

Transaction processing systems

Databases of valid transactions

Accounting MIS

Drill down reports

Exception reports Demand reports

Marketing MIS

Key-indicator reports Scheduled reports

Business transactions

Databases of external data

Human Resources MIS Etc.

Etc.

Extranet

MARKETING MIS

MARKETING MIX SUBSYSTEMS

Product Subsystem Place Subsystem Promotion Subsystem Price Subsystem Sales Forecasting

Databases of internal data

Databases of external data

Marketing DSS

Business transactions

Transaction processing systems

Databases of valid transactions for each TPS

Marketing MIS

Marketing applications databases

Sales by customer Sales by salesperson

Operational databases

Sales by product Pricing report Total service calls Customer satisfaction

Marketingg ES

INPUTS TO MARKETING MIS

Strategic Plan Corporate Policies The TPS External sources:

The competition The market

OUTPUT TO MARKETING MIS

Marketing research Product development Promotion And Advertising Product Pricing

MANUFACTURING MIS
Mr. ARIF

Databases of internal data

Databases of external data

Manufacturing DSS

Business transactions Transaction processing systems

Databases of valid transactions for each TPS

Manufacturing MIS

Manufacturing applications databases

Business transactions Operational databases

Quality control reports Process control reports JIT reports MRP reports Production schedule CAD output

Manufacturing ES

Internet or Extranet

Business transactions

Customers, Suppliers

INPUTS TO THE MANUFACTURING MIS

Strategic Plan Corporate Policies The TPS:

Order processing Inventory data Receiving and inspecting data Personnel data Production process

External Sources

MANUFACTURING MIS OUTPUTS

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

ACCOUNTING AND FINANCIAL INFORMATION SYSTEMS

Mr. IQBAL

COMPONENTS
Accounts Receivable Records Accounts Payable Records Payroll Records Inventory Control Records General Ledgers

FUNCTIONS
Financial Forecasting And Planning Financial Control Funds Management Internal Auditing

Databases of internal data

Databases of external data

Financial DSS

Business transactions Transaction processing systems

Databases of valid transactions for each TPS

Financial MIS

Financial applications databases

Business transactions Operational databases

Financial statements Uses and management of funds Financial statistics for control

Financial ES

Internet or Extranet

Customers, Suppliers Business transactions

 Strategic

plan Corporate policies

Transaction

INPUTS TO THE FINANCIAL INFORMATION SYSTEM

Contains major financial objectives and often projects financial needs.

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.

FINANCIAL MIS SUBSYSTEMS AND OUTPUTS

Financial subsystems

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

HUMAN RESOURCE INFORMATION SYSTEMS

HUMAN RESOURCE MIS

Concerned with all of the activities related to employees and potential employees of the organization

Databases of internal data

Databases of external data

Human Resource DSS

Business transactions

Transaction processing systems

Databases of valid transactions for each TPS

Human Resource MIS

Human resource applications databases

Benefit reports Salary surveys

Operational databases

Scheduling reports Training test scores Job applicant profiles Needs and planning reports

Human Resource ES

INPUTS TO THE HUMAN RESOURCE MIS

Strategic plan Corporate policies The TPS:

Payroll data Order Processing Data Personnel data

External sources

HUMAN RESOURCE MIS SUBSYSTEMS AND OUTPUTS

Human Resource Planning Personnel Selection And Recruiting Training And Skills Inventory Scheduling And Job Placement Wage And Salary Administration

APPLICATIONS

Enterprise Systems (Enterprise resource planning (ERP) Provide integrated software modules and a unified database that personnel use to plan, manage, and control core business processes across multiple locations. Modules of ERP systems may include finance, accounting, marketing, human resources, production, inventory management, and distribution. Supply Chain Management (SCM) systems enable more efficient management of the supply chain by integrating the links in a supply chain. This may include suppliers, manufacturers, wholesalers, retailers, and final customers. Customer Relationship Management (CRM) systems help businesses manage relationships with potential and current customers and business partners across marketing, sales, and service. Knowledge Management System (KMS) helps organizations facilitate the collection, recording, organization, retrieval, and dissemination of knowledge. This may include documents, accounting records, unrecorded procedures, practices, and skills.

ADVANTAGES

Companies are able to highlight their strengths and weaknesses due to the presence of revenue reports, employees' performance record etc. The identification of these aspects can help the company improve their business processes and operations. Giving an overall picture of the company and acting as a communication and planning tool. The availability of the customer data and feedback can help the company to align their business processes according to the needs of the customers. The effective management of customer data can help the company to perform direct marketing and promotion activities.