Unit I Mis Edu
Unit I Mis Edu
for decision making – The role of system analyst – Data base Management system,
INTRODUCTION
The term Management Information System (MIS) is of relatively recent origin
and is widely adopted following the accelerated use of computers in the
early 1960's. The Management Information System to business what is the
nervous system is to the human body. It is described as "informational blood
stream" of an organisation. It encompasses a wide range of subject matters
like management theory, communication theory, human processing of data
and information technology. Often the concept of Management Information
System is splintered and confused by' touting new ideas like decision support
system, management reporting system, office information system,
transaction processing systems, office automation, information resource
management and database management system as replacements for
Management Information System. However, a brood interpretation of the
concept of Management Information System includes all the above.
Management Information System has something significantly to do with two
important management functions (or elements of management) namely,
planning and controlling. The basis for Management Information System is
that computers, in addition to data processing, can serve as fine tools to
improve the planning and control of operations by providing better
information for decision making. As library and information professionals, we
provide information support for research, education, planning, business,
decision making and so on and so forth. By and large, libraries are providing
information from public domain published information and to a limited
extend public domain semi-published information. The critical requirements
in a decision making situation in business is the classified and unpublished
information as well as the crucial dynamic internally generated information.
Each business enterprise will design and maintain its own Management
Information System for the purpose and library and information professionals
with their techniques and tools can play vital role in this endeavour.
Meaning and Definitions of MIS
Management
Information
Information, in MIS, means the processed data that helps the management in
planning, controlling and operations. Data means all the facts arising out of
the operations of the concern. Data is processed i.e. recorded, summarized,
compared and finally presented to the management in the form of MIS
report.
System
Thus MIS means a system for processing data in order to give proper
information to the management for performing its functions.
Definition 1
Management Information System or 'MIS' is a planned system of collecting,
storing, and disseminating data in the form of information needed to carry
out the functions of management.
Definition 2
Management Information System can be defined as a collection of data
processing equipment, procedures, software and people that integrates the
sub-systems of the organisation and provides information for decision
making on planning and control operations.
In other words, Management Information System is an integrated user-
machine system that monitors and retrieves data from the environment,
captures data from transactions and operations within the firm, filters,
organises and selects data and presents them as information to managers,
and also provides the means for managers to generate information as
desired.
Objectives of MIS
(iii) Producing reports - one of the major jobs of the information system is
to generate and provide reports to the user at various levels of management.
(c) Output for users: The output provided by an information system to the
end-user may take any of the following forms:
(v) Ad hoc reports and enquiry responses - which occur at regular intervals
and receive data for analyses whose format cannot be preplanned.
Marketing Subsystem
Transactions in marketing subsystem are sales orders, promotion orders
etc. The operational control of the marketing subsystem performs hiring
and training of sales force, day- to-day scheduling of sales and promotion
efforts, etc.
The managerial level compares overall performance against the standard
marketing plan.
Strategic planning considers the problem"s of new markets and new
marketing strategies. The information required at this level relates to
customer analysis, competitor analysis, income projection, etc.
Personnel Subsystem This subsystem is concerned with employment
requisitions, job description, training specification, personnel data, pay rate
changes, hours worked, benefits, termination notices, etc.
Operational control level requires decision procedures for actions, such
as hiring, training, termination, etc.
Management control level requires information about cost of recruiting,
composition of skills, cost of training, salary paid, wage rates, etc.
Strategic planning requires information about alternative strategies for
recruiting, salary, training, and benefits and about retaining personnel.
Application of a DSS
Decision problems can be divided into three categories, such as
independent, interrelated and organizational.
Independent problems are those problems, the solutions to which are
independent of the others. The purpose of such decisions is simply to find
the best solution to the specific problem.
For interrelated problems, the solutions are also interrelated. The purpose
of decisions in such a problem is to find out the best solution to the entire
set and not just to individual problems and it requires a team effort.
Organizational problems are problems, which affect the entire
organization. Such problems also require a team effort.
Components of a DSS
There are 3 components of DSS
a) Knowledge base/DSS database
The data required to solve a problem may come from internal or external
databases. Internal data are obtained by way of TPS and MIS. External data
comes from a variety of ways such as periodicals, journals, etc., and include
government policy, economic indicators, inflation rates, etc. The data in a
DSS are managed by DBMS, Model Management System and support tools.
c) Support Tools
This is the third component of a decision support system. It involves
graphical analysis, error correction mechanism, user interfaces, etc.
Interfaces are an important support tool because middle and top managers
have neither the time nor the inclination to learn difficult and complicated
procedures; in order to run a system.
It displays the output of various analysis in different forms such as text,
charts, graphs.
Functions of a DSS
The DSS has five major functions facilitating managerial decision-making.
They are:
1. Model building: The function helps the managers to identify and
develop decision-making models, by considering input variables and their
interrelationships, model assumptions and constraints. A model builder uses
a structured framework to identify all the variables in the forecasting of the
model, to analyse the relationship among these variables, to identify the
assumptions, if any and to identify constraints. The system then integrates
all this information into a decision-making model, which can be updated and
modified whenever necessary.
2. What-if analysis: It involves the process of assessing the impact of
changes in model variation of these.
For example, how much is the profit if 10 per cent increase in raw materials
cost and 5 per cent reduction in,sales effected?
3. Goal seeking: It allows the decision-maker to identify the course of
action to be undertaken to achieve a specific goal. The system addresses
the question: what should be the value of the input variables if a certain
goal is to be achieved.
4. Risk analysis: It helps to calculate the risk associated with various
alternatives with the help of probabilities and various other statistical
techniques. If the decision-maker prefers high risk; then the
recommendations of the system are likely to be high risk- oriented.
5. Graphical analysis: It is a display of data in an easy-to-understand
format, using graphs, charts, tables and figures. It helps managers to
quickly digest large volume of data and visualize the impact of various
courses of action.
SYSTEM ANALYST
2. Prioritizing requirements
3. Problem analysis
4. Drawing specifications
Communication
Critical thinking
Systems analysts go through a lot of analytical tasks. They need good critical
thinking abilities in order to help them in problem analyses, system
development, and implementation.
Business analytics
Technical analysis
What is DBMS?
Characteristics of DBMS
Users of DBMS
Following are the various category of users of DBMS