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Republic of the Philippines

OSMEÑA COLLEGES
City of Masbate
GRADUATE SCHOOL

NAME: JOHN LOUIS A. NG


(Section 2551) - PA 266 Management Information System
1st Semester 2023-2024

What is strategic management information system and


its characteristics?

Answer: A Strategic Management Information System (SMIS) is a specialized type of


information system that is designed to support an organization's strategic planning and
decision-making processes. It integrates various types of data and information to help
senior management and executives make informed, long-term decisions that align with
the organization's strategic goals and objectives. Here are some of the key characteristics
of a Strategic Management Information System:

1. Focus on Strategic Goals: An SMIS is primarily designed to support the


strategic objectives of an organization. It provides information and data that is
directly related to the organization's long-term goals and helps management
align their decisions with these objectives.
2. Data Integration: SMIS integrates data from various sources, both internal
and external. This includes financial data, market data, competitive
intelligence, and other relevant information. The system can analyze and
present this data in a coherent manner.
3. Decision Support: SMIS provides decision support tools and features that
allow senior management to analyze data, model scenarios, and make
informed strategic decisions. This might include tools for forecasting, trend
analysis, and "what-if" analysis.
4. User-Friendly Interfaces: SMIS typically features user-friendly interfaces
that make it accessible to non-technical decision-makers. Dashboards, reports,
and visualization tools are often used to present data in a comprehensible way.
5. Real-Time or Near-Real-Time Data: Many SMIS aim to provide real-time
or near-real-time data, enabling executives to make timely decisions and
respond to changing conditions in the business environment.
6. Customization: SMIS can often be customized to meet the specific needs of
an organization. Different industries and businesses have different strategic
requirements, and an effective SMIS can adapt to these unique needs.
7. Security and Privacy: Given the sensitive nature of strategic data, security
and data privacy are critical aspects of an SMIS. Access to the system should
be controlled and secure to protect the confidentiality and integrity of the
information.
8. Reporting and Analysis: SMIS provides reporting and analytical capabilities
that help management monitor progress toward strategic goals, assess the
impact of various decisions, and identify areas for improvement.
9. Long-Term Perspective: Unlike operational information systems that focus
on day-to-day activities, SMIS takes a long-term perspective. It helps
organizations plan for the future, set priorities, and allocate resources
effectively.
10. Alignment with Organizational Goals: The information and insights
provided by the SMIS should be directly related to the organization's strategic
plan. It should help management assess the progress and alignment of various
activities with the strategic goals.
11. Scalability: As an organization grows or its strategic focus evolves, the SMIS
should be scalable to accommodate changing needs and requirements.
12. Feedback Loop: SMIS often includes mechanisms for feedback and
performance evaluation. This allows organizations to review and adjust their
strategies based on actual outcomes.
A well-implemented Strategic Management Information System can be a valuable tool
for organizations looking to gain a competitive advantage by making informed, forward-
looking decisions that support their long-term objectives.

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