Before one can explain management information systems, the terms systems , information ,and management must briefly

be defined. A system is a combination or arrangement of parts to form an integrated wholeaccording to some common principles or rules. A system is a plan or method of doing something. A s ys t e m i s a n a s s e m b l y o f e l e m e n t s a r r a n g e d i n a l o c a l o r d e r t o achieve certain objectives. The organization is also a system of people where people areselected on the basis of number, quality and ability and are placed in hierarchical order plan and execute the business activities to achieve certain goals and objectives.A system is a scientific method of inquiry, that is, observation, the formulation of an idea,t h e t e s t i n g o f t h a t i d e a , a n d t h e a p p l i c a t i o n o f t h e r e s u l t s . T h e s c i e n t i f i c m e t h o d o f problem solving is systems analysis in its broadest sense. Data are facts and figures. H o w e v e r , d a t a h a v e n o v a l u e u n t i l t h e y a r e c o m p i l e d i n t o a s ys t e m a n d c a n p r o v i d e information for decision making. Information is what is used in the act of informing or the state of being i n f o r m e d . Information includes knowledge acquired by some means. It is processed data which inturn is collection of raw facts, observations and figures. Management is usually defined as planning, organizing, directing, staffing andc ontrolling the business operation. This definition, which evolved from the work of HenriF a y o l i n t h e e a r l y 1 9 0 0 s , d e f i n e s w h a t a m a n a g e r d o e s , b u t i t i s probably moreappropriate to define what management is rather than what m anagement does. Management is the process of allocating an organization's inputs, including humanand economic resources, by planning, organizing, directing, and controlling for thepurpose of producing goods or services desired by customers so that organizationalobjectives are accomplished . If management has knowledge of the planning, organizing,directing, and controlling of the business, its decisions can be made on the basis of facts,and decisions are more accurate and timely as a result

Within companies and large organizations, the department responsible for computer s ys t e m s is sometimes called the MIS department. Other names for MIS include IS (Information Services) and IT (Information Technology). 'MIS' is a planned system of collecting, processing, storing and disseminating data in theform of information needed to carry out the functions of management. According toPhillip Kotler "A marketing information system consists of people, equipments, and procedures to gather, sort, analyse, evaluate, and distribute needed, timely, and accurateinformation to marketing decision makers."The terms MIS and information system are often confused. Information systems includesystems that are not intended for decision making. MIS is sometimes referred to, in arestrictive sense, as information technology management. That area of study should not be confused with computer science. IT service management is a practitioner -focuseddiscipline. MIS has also some differences with Enterprise Resource Planning (ERP) as ERP incorporates elements that are not necessarily focused on decision support.M a n a g e m e n t i n f o r m a t i o n s ys t e m w o u l d m e a n a s e t o f c o m p u t e r b a s e d s ys t e m s a n d procedures implemented to help ma nagers in their crucial job of decision making. Theactual process of MIS will involve the collection, organization, distribution and storage of organization-wide information for managerial analysis and control. It is better understoodif these components are understood. Management Information Systems (MIS), sometimesr e f e r r e d t o a s I n f o r m a t i o n M a n a g e m e n t a n d S ys t e m s , i s t h e d i s c i p l i n e c o v e r i n g t h e application of people, technologies, and procedures collectively called informationsystems to solving business problems. Management Information Systems are distinctf r o m r e g u l a r i n f o r m a t i o n s ys t e m s i n t h a t t h e y a r e u s e d t o a n a l yz e o t h e r i n f o r m a t i o n systems applied in operational activities in the organization. Academically, the term iscommonly used to refer to the g roup of information management methods tied to the automation or support of human decision making, Business computers were used for the practical business of computing the payroll and keeping track of accounts payable andreceivable. As applications were developed that provided managers with informationabout sales, inventories, and other data that would help in managing the enterprise, the term "MIS" arose to describe these kinds of applications. Today, the term is used broadlyin a number of contexts and includes (but is not limited to): decision support systems,r e s o u r c e a n d p e o p l e m a n a g e m e n t a p p l i c a t i o n s , p r o j e c t m a n a g e m e n t , a n d d a t a b a s e retrieval application. Management information systems consist of computer resources, people, andp r ocedures used in the modern business enterprise. The term MIS s t a n d s f o r management information systems. MIS also refers to the organization that develops andmaintains most or all of the computer systems in the enterprise so that managers canmake decisions. The goal of the MIS organization is to deliver information systems tothe various levels of corporate managers

. MIS professionals create and support the computer system throughout the company. Trained and educated to work with corporatecomputer systems, these professionals are responsible in some way for nearly all of thecomputers, from the largestmainframeto the desktop and portable PCs.

Components of MIS The three components of MIS are:1 . C o n c e p t o f M a n a g e m e n t 2 . I n f o r m a t i o n 3 . I n f o r m a t i o n system A. Concept of Management Management information Systems (MIS), sometimes referred to as InformationManagement and Systems, are the discipline covering t h e a p p l i c a t i o n o f p e o p l e , technologies, and procedures collectively called information systems to solving b u s i n e s s p r o b l e m s . M a n a g e m e n t I n f o r m a t i o n S y s t e m s a r e d i s t i n c t f r o m r e g u l a r information systems in that they are used to analyze other information systems applied inoperational activities in the organization. Academically, the term is commonly used torefer to the group of information management methods tied to the automation or supporto f h u m a n d e c i s i o n m a k i n g , e . g . D e c i s i o n S u p p o r t S y s t e m s , E x p e r t s y s t e m s , a n d Executive information systems.M I S Management information System a m o n t h l y ( u s u a l l y ) g e n e r a t e d b y b i g companies to find out where they are standing out in the business. For example eachdepartment viz., Production, Marketing, HR, and Finance etc will report & submit their reports according the requirement of the management as below Production: No. of Unitsreduced, Wastages, Target for the month Vs achieved, Reason & justification of anyd o w n f a l l , A t l a s t b a c k l o g & p r o p o s e d d a t e o f s h i p m e n t . M a r k e t i n g : N o . O r d e r s procured/executed/lost - Reason viz price high or Discount could not be extended, Adetailed report on pros & cons of marketability. HR: Monthly Manpower turnout withreasons Finance: Interest recd/paid, Interest Lost due to delayed receipts. Finance chargesincurred and so on B. Information It is other way considered as collection of data. In fact the words are different. Data refersto facts. These facts may be expressed in numerical, text, image or voice. Data usuallytake the form of historical records.As businesses have evolved, the need for both fast access to quality intelligence and i n d e p e n d e n c e a t t h e b u s i n e s s u n i t l e v e l have made it imperative and challenging t o manage information assets more effectively, efficiently and wisely. Developing a ndi m p l e m e n t i n g a c o m p l e t e s t r a t e g y f o r h o w i n f o r m a t i o n a b o u t s u p p l i e r s , customers,competitors and global markets is obtained, validated, stored, m a n a g e d , a c c e s s e d , analyzed and distributed is now central to organizational survival and profitability.To make the most of opportunities, organizations must maximize the business value of information and leverage investments made in all data management technologies. The

rewards will go beyond survival to quickness, compliance, innovation, and in the end,competitive advantage.The following are the several common ideas of information system in MISa . I t i s t h e p r o c e s s e d d a t e b . I t h a s a n e l e m e n t o f s u r p r i s e v a l u e c . I t h a s a v a l u e i n decision making process. C. Information System: The next component of MIS i s i n f o r m a t i o n s ys t e m which is most loosely used inmanagement literature. The information s ys t e m i s a s ys t e m o f g r o u p o f i n t e r r e l a t e d components working together towards a common goal by accepting inputs and producingo u t p u t s i n a n o r g a n i z e d t r a n s f o r m a t i o n p r o c e s s . I n t h i s s ys t e m t h e r e a r e t h r e e b a s i c components or functions are involved. i.e., Input, Processing and Output. Input : It involves capturing and assembling elements that enter the syst e m t o b e processed. In general what ever the date after collection to e n t e r i n t o t h e c o m p u t i n g system for further processing is called input. For example. Raw Material, energy, dataand human efforts must be secured and organized for further processing. Processing: After successful of input and involves transformation processes that convertinto output. Example: Manufacturing process, human breathing process and mathematicalcalculations etc., Output: After successful of the processing and it involves transferring elements that have been produced by transformation process to their ultimate destination. Example: Finished products, human services and management information. Management information systems are those systems that allow managers to make decisions for the successful operation of businesses. MIS refers broadly to a computerb a s e d s ys t e m t h a t p r o v i d e s m a n a g e r s w i t h t h e t o o l s f o r o r g a n i z i n g , e v a l u a t i n g a n d efficiently running their departments. In order to provide past, present and predictioninformation, an MIS can includesoftwarethat helps in decision making, data resourcessuch asdatabases, thehardwareresources of a system,decision support systems, peoplemanagement and project managementapplications,and any computerized processes thatenable the department to run efficiently.