MANAGEMENT INFORMATION

SYSTEM:OVERVIEW
(MIS)
Presented by:(SLIDE NO.)
Viveka.(8-12)
Pranali.(25-30)
Azhar.(13-19)
Vinayak.(1-7)
Bhanudhas.(20-25)
 Definition:
• It’s a computer-based system that makes information available to
the users with similar needs. The users usually comprise of an
organizational entity.

• The information describes the firm or one of the major systems in

terms of what has happened in past, what is happening now and
what is likely to happen in the future.

• The information is made available in the form of periodic reports,

special reports and outputs of mathematical simulations.

• The information output is used by both managers and non

managers as they make decisions to solve the firm’s problems.
 A View Of MIS Model.
Organizational
problem
solver

Report
Mathematical
writing
models
software

Data Base
 The MIS Model
• The database contains the data provided by the
Accounting Information System. In addition, both
data and information are entered from the
environment.
• The database contents are used by software that
produces periodic and special reports and its used
by the mathematical models that simulate various
aspects of the firm’s operations.
• The software’s output are used by persons who are
responsible for solving the firm’s problems.
 Modeling
• Modeling is a management skill for managers, using
various models to represent various events or to
predict certain happening.
• A model is an abstraction of something, it represents
some phenomenon i.e. an Object or an Activity, and
this phenomenon is called an entity.
• For example, if a model represents a firm then the
firm is an entity, or if it represents a fluctuation in the
firm’s sales volume then the sales volume becomes an
entity.
There are four types of models Physical, Narrative,
Graphic and mathematical.

The Physical model: is that exists in a three dimensional

form, usually smaller than the real entity. For example,
a clay model of a building.

The Narrative model :is created by verbal or written

description. And as these can be created any where
with out much resources hence they are most popular.
The Graphic model: is diagram usually two
dimensional which make extensive use of graphical
entities like graphs and charts.

The Mathematical model :are created using

mathematical formulas where the symbols used in
the formula represent parts of a phenomenon. A
mathematical model can be classified in to three
dimensions – the Influence of Time, the Degree of
Certainty, ability to achieve Optimization.
CBIS consists of following applications:

1) Management Information Systems.

2) Decision Support Systems.
3) The Virtual Office.
4) Knowledge Based Systems.

The fundamental work of CBIS is to manage

information in an efficient way such that it can
be utilized by the managers effectively to solve
problems.
Information is the method of efficiently manage the Resources.
There are basically five types of resources that need to
be managed by the managers.
1. Personnel
2. Material
3. Machines (includes energy and facilities)
4. Money
5. Information (includes data)
The first four resources are tangible i.e. they exist physically,
they are also known as physical resources. The fifth
resource type is not tangible hence called as conceptual
resource.
Managers use conceptual resources to manage physical
resources.
Management of resources.
1) Resources are acquired and assembled to make it available for use any time.
2) The manager always tries to maximize the usage of the assembled resources by
minimizing the idle time and functioning at peak of efficiency.
3) Finally the manager replaces those resources which have become obsolete or
inefficient.
Management of Information
1) The manager ensures that all the necessary data is gathered and then the process
of conversion of data to information is done.
2) The manager ensures that the information is received to proper individuals at
proper time and in proper form.
3) Finally the manager discards all those information which have become obsolete
and replaces those with the latest and useful information.
This entire process of gathering information, using it in the most effective manner and
discarding it in proper time is called Information Management.
The users of computer based information are
1. Managers.
2. Non managers.
3. Persons and organizations included in the firm.

• In the early years of development of computers in

information management the users of the computers were
clerical employees who used computers in accounting area,
billing, etc.
• When the concept of MIS was developed then computers
were implemented for management support. Among other users
were the users outside the firm, like customers received receipts,
stock holders receiving dividend checks etc.
A system is a group of elements that are integrated with a common
purpose of achieving a common objective. An organization contains
resources, they work hard towards achieving particular objectives
that are specified by the management.
System Elements: The basic elements of a system is as follows
1) Input element.
2) Transformation element.
3) Output element.
4) Control mechanism.
5) Objectives.
 Objectives

Control
Mechanism

Input Transformation Output

• The resources flow from the input element, through the
transformation element and to the output element.
• A control mechanism monitors the transformation process to
ensure that the system meets the objectives laid down by the
management.
• The control mechanism is connected with the resource flow by
the means of the feedback loop from output.
• The control mechanism compares the output with the objectives
and accordingly directs the input system to make the necessary
changes ( if required).
• The various category of systems are
1. Open loop & Closed loop System.
2. Open Systems & Closed System.
3. Sub Systems & Super Systems.
4. Physical Systems & Conceptual Systems.
 Input Output
Transformation

An open loop system does not have a feedback or control

mechanism. These are very simple systems that do not require
monitoring. For example simple space heaters.
In case of closed loop systems there is a feedback mechanism
that monitors the output with respect to objectives. For
example room air conditioners.
Open systems are connected to their environment through
resource flows. These systems require the help of systems in
the environment to accomplish their completion.
For example, a centralized air conditioning system requires a
cooling plant for it to cool the entire building, here the
centralized air conditioning system is an open system.
A closed system does not have connection with the
environment with which its connected. Closed systems exist in
controlled laboratory conditions. They are kept in ideal
conditions which are not possible in actual environment.
A sub-system is a system that exists in another system. Its existence depends
up on the existence of its super-system. The sub-system contributes in the
proper working of the entire system. The proper functioning of the sub-systems
ensure proper functioning of the entire system.
For example an Automobile system, it consists of many sub-systems like
acceleration system, fuel injection system, breaking system etc., every sub-
system is responsible for the proper functioning of the entire automobile
system.
A super-system is a system which contains many sub-systems. The super-
system is responsible for monitoring the overall working of its sub-systems.
The super-system decides the constrains and resources to be put on its sub-
systems.
For example, a Central government system, it is a super-system which has
under its control the state government systems which form the sub-systems.
Physical Systems use physical resources or tangible resources. A
physical system represents a working model for any conceptual
system. A physical system is completely practical oriented and
interacts continuously with the environment.
For example, a computer is a physical system which has practical
implementations and inter acts a lot with the users.
Conceptual Systems use abstract and conceptual resources.
Conceptual systems can make the physical resources work in a
proper manner. They basically consist of data, information and
mental concepts.
Both Physical and Conceptual systems require each other for
proper functioning and effective practical implementation
respectively.
 The Initial Focus on Data
During the first half of twentieth century, when punch cards were used, firms generally
ignored the information needs of managers. The first computers were only used for
accounting applications. The name given to these early computer based applications
was Electronic Data Processing (EDP). Now a days the term Accounting Information
System (AIS) is used to describe those applications.
The New Focus on Information
In 1964, a new generation of computing equipment was introduced that influenced
strongly on the manner in which computers were employed. They were the computers
using the silicon technology. The concept of using computers as Management
Information System was promoted. The MIS initiated that the computers should be
applied for the management of information. This concept was adopted slowly by larger
firms.
The revised focus on Decision Support
A Decision Support System (DSS) is an information-producing system aimed at a
particular problem that a manager must solve and the decisions the manager must take.
The manager can be located any where, at any level in the organization. These DSS
were used widely in the organizations.
 The Current Focus on Communication
• During the time DSS evolved, interest was focused on another
computer application called Office Automation (OA) which facilitates
communication and increases productivity among the managers and
office workers through the use of electronic devices.

• OA got started in 1964, when IBM announced its Magnetic tape and
electronic typewriter (called Selectric typewriter). The selectric
typewriter could type the information stored in the magnetic tapes.
This lead to an OA application called word processing.

• The Office Automation grew to such levels that applications such as

video conferencing, e-mail, desktop publishing etc started. In a
collective term it was given the name Virtual Office.
Problem

Decisions Information

Problem
Solution
•Managers make decisions to solve problems, and decisions are
made based on the available information.
•Information is presented both in oral as well as in written form
using information processors.
•The computer portion of the information processors contain each of
the computer based application areas :- AIS ( Accounting
Information System), MIS (Management Information System), DSS
(Decision Support System), Virtual Office and Knowledge Based
Systems. They are collectively called CBIS ( Computer Based
Information System).
•The CBIS collectively provides necessary information for problem
solving.
 The firms using computers realized that there was a need to form separate
organizational units of specialists who would be responsible for
implementing the systems. These specialists were known as Information
Specialists.
Information Specialists
Information specialists have the complete responsibility of developing and
managing the computer based systems in the firm.
There are five main categories of information specialists:
1) System Analyst.
2) Database Administrators.
3) Network Specialists.
4) Programmers.
5) Operators.
 Database
Administrator

System
User Programmer Operator Computer
Analyst

Network
Specialist
There are two basic ways through which problems can be solved
using MIS.

1. Organizational wise Information Resources.

The MIS provides problem-solving information that is created
by the efforts of the entire organization. The MIS incorporates
Decision Support Systems, Virtual Office and Knowledge-
based Systems for the entire organization.

2. Problem Identification and Understanding.

The MIS keeps a continuous supply of information to the
managers. The managers use MIS for primary identification of
problems and possible solutions. It helps the managers to
pinpoint the location of problems and causes.
THANK YOU….