Session :1

Management Information System

Management Information System

Management
Planning Organizing Staffing Directing Controlling

Information
Processed data

System

Four powerful worldwide changes that have altered the business environment:
Globalization Rise of the Information Economy Transformation of the Business Enterprise Emergence of the Digital Firm

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

Function of Information system

Strategic business objectives of Information Systems:

Operational excellence New products, services and Business Models Customer and Supplier intimacy Improved decision making Competitive advantage Survival

Dimensions of Information System

Organization
Key elements of Organization:
People Structure Operating Procedures/ Business Processes Politics Culture

Organizations have structure Organization maintain hierarchy

Organization
Hierarchy
Senior Mgmt

Middle Mgmt

Operational Mgmt

Management
Make sense out of the situations Make decisions Formulate action plan Perceive business challenges Set organizational strategy Allocate human and financial resources Create new products and services Re create organization

Technology
Computer Hardware Computer Software Data Management Technology Networking and telecommunication technology Internet/ intranet/ extranet www

Business perspective on Information System

ROI would be better than other investments in buildings, machines or other assets. Increase in productivity, increase in revenue Decrease the cost by providing information to take better decisions. IS represents Organizational and Managerial solution based on IT.

Contemporary approaches to Information Systems

Characteristics of MIS
System Approach Management Oriented Need Based Exception Based Future Oriented Integrated Common Data Flows Long Term planning Sub-System Concept Central Database