Download as pdf or txt
Download as pdf or txt
You are on page 1of 12

Name : I Putu Krisna Adi Berata

Nim : 4122522210242

Task !
Technology-based Management Information System

Question :
1. Distinguish between data and information!
2. What are the differences between strategic, tactical and operational levels of
management activities?
3. What are the major differences in the types of information needed for each level
of management activity?
4. What influences affect the decision-making process of a decision maker?
5. What problems are there in assessing the value of information for decision
making?
6. Outline the main features of a system!
7. What is a management information system?
8. Outline the ways that information may be processed from a database and
presented to management!
9. How is the structure and level of management activity related to the level of
support given by a managemen information system?
10. Give basic guidelines that should be followed in the development of
management information system!

Answer :
1. Data and information are related concepts, but they have distinct meanings:
Data
- Data refers to raw facts, figures, or symbols that represent something but
do not have any inherent meaning on their own. Data can be in the form of
numbers, words, images, sounds, or any other format.
- Data by itself is typically unorganized and lacks context.
- Example: A list of numbers (e.g., 10, 20, 30) without any further context or
explanation is considered data.

Information

- Information is data that has been processed, organized, or interpreted in a


meaningful way, adding context, relevance, and value.
- Information provides meaning or understanding to the data, making it useful
for decision-making or problem-solving.
- Information answers questions, provides insights, or facilitates
understanding of a particular subject or situation.
- Example: By analyzing the list of numbers (e.g., 10, 20, 30) and determining
that they represent the sales figures for a specific period, along with
additional context such as comparing them to previous sales data,
identifying trends, and drawing conclusions, the raw data is transformed into
meaningful information.

In summary, while data represents raw facts or symbols, information is the


processed and meaningful interpretation of that data, providing context and
value for decision-making and understanding.

2. The differences between strategic, tactical, and operational levels of


management activities lie in their scope, focus, time frame, and the level of
detail involved:
(1) Strategic Management
- Scope: Strategic management deals with the overall direction and long-term
goals of an organization.
- Focus: It involves making high-level decisions that affect the entire
organization, such as defining the mission, vision, and strategic objectives.
- Time Frame: Strategic decisions typically have a long-term impact and are
concerned with positioning the organization for future success.
- Detail: Strategic management focuses on broad issues and does not delve
into specific day-to-day operations.
(2) Tactical Management
- Scope: Tactical management focuses on implementing the strategies
developed at the strategic level.
- Focus: It involves medium-term planning and decision-making to achieve
specific objectives and goals outlined in the organization's strategy.
- Time Frame: Tactical decisions have a shorter time horizon compared to
strategic decisions and are concerned with translating strategic goals into
action plans.
- Detail: Tactical management deals with specific departments, projects, or
initiatives within the organization, and involves more detailed planning and
coordination than strategic management.
(3) Operational Management
- Scope: Operational management deals with the day-to-day activities and
processes necessary for running the organization.
- Focus: It involves managing routine tasks, processes, and resources to
ensure the smooth functioning of the organization.
- Time Frame: Operational decisions are short-term and focus on immediate
issues related to production, service delivery, and resource allocation.
- Detail: Operational management deals with specific tasks, procedures, and
activities within the organization, and requires hands-on involvement in
executing plans and solving problems in real-time.

In summary, strategic management focuses on setting the overall direction and


long-term goals, tactical management involves implementing strategies at a
medium-term level, and operational management deals with the day-to-day
activities to support the achievement of strategic and tactical objectives. Each
level of management requires different skills, perspectives, and decision-
making approaches to effectively lead and manage the organization.
3. The types of information needed vary for each level of management activity:
(1) Strategic Management
a. Information Focus: Strategic management requires information that
provides a broad view of the external environment and internal capabilities
of the organization.
b. Types of Information:
- Market trends and industry analysis
- Competitive intelligence
- Economic indicators
- Long-term financial forecasts
- Technological advancements
- Global market conditions
- Legal and regulatory changes
c. Purpose: The purpose of this information is to help top-level executives
formulate the organization's long-term strategies, identify opportunities, and
anticipate potential challenges in the marketplace.
(2) Tactical Management
a. Information Focus: Tactical management needs information that bridges the
gap between the strategic vision and day-to-day operations.
b. Types of Information:
- Operational performance data
- Project status updates
- Budgetary information
- Resource allocation reports
- Market segmentation data
- Customer feedback and satisfaction surveys
c. Purpose: The purpose of this information is to support mid-level managers
in developing action plans, allocating resources effectively, and
implementing initiatives to achieve strategic objectives within a specific
timeframe.
(3) Operational Management
a. Information Focus: Operational management relies on detailed, real-time
information to support the execution of daily tasks and processes
b. Types of Information:
- Production schedules and workflows
- Inventory levels and supply chain logistics
- Workforce scheduling and performance metrics
- Customer orders and service requests
- Quality control data
- Equipment maintenance records
c. Purpose: The purpose of this information is to enable frontline supervisors
and employees to monitor operations, identify bottlenecks, address issues
promptly, and ensure the efficient delivery of products or services to
customers.

In summary, strategic management requires information that provides a broad


understanding of the external environment and internal capabilities, tactical
management needs information that facilitates the translation of strategic goals
into actionable plans, and operational management relies on detailed, real-time
data to support the day-to-day execution of tasks and processes. Each level of
management relies on different types of information to make informed decisions
and achieve organizational objectives.

4. Several factors influence the decision-making process of a decision maker:


(1) Individual Characteristics
- Personal Values: Individual values and beliefs can influence decision-
making by guiding choices that align with personal principles.
- Personality Traits: Personality traits such as risk tolerance, openness to new
experiences, and cognitive biases can impact decision-making styles.
- Cognitive Biases: Cognitive biases, such as confirmation bias, anchoring
bias, and availability heuristic, can distort judgment and lead to suboptimal
decisions.
(2) Organizational Factors
- Organizational Culture: The prevailing culture within an organization can
shape decision-making norms and preferences, influencing the type of
decisions made and the level of risk accepted.
- Organizational Structure: The hierarchical structure and decision-making
processes within an organization can impact how decisions are made, the
level of involvement of various stakeholders, and the speed of decision
implementation.
- Resource Constraints: Factors such as budgetary limitations, time
constraints, and resource availability can influence decision-making by
imposing practical limitations on available options.
(3) External Environment
- Market Conditions: Economic conditions, market trends, competitor actions,
and customer preferences can all influence decision-making by shaping the
context in which decisions are made.
- Regulatory Environment: Legal and regulatory requirements, industry
standards, and government policies can impose constraints on decision-
making and influence the range of available options.
- Technological Changes: Advances in technology can create new
opportunities, disrupt existing business models, and influence decision-
making by requiring organizations to adapt and innovate.
(4) Social and Interpersonal Dynamics
- Stakeholder Interests: The interests, preferences, and expectations of
various stakeholders, including employees, customers, shareholders, and
community members, can influence decision-making by shaping the
perceived importance of different outcomes.
- Group Dynamics: Decision-making within groups or teams can be
influenced by factors such as groupthink, social conformity, and power
dynamics, which can impact the quality and inclusiveness of decision
outcomes.
- Communication and Collaboration: Effective communication and
collaboration among decision-makers can facilitate informed decision-
making by ensuring that relevant information is shared, diverse perspectives
are considered, and consensus is reached where possible.

In summary, the decision-making process of a decision maker is influenced by


a combination of individual characteristics, organizational factors, external
environment, and social dynamics. Recognizing and understanding these
influences is essential for making informed and effective decisions in various
contexts.

5. Assessing the value of information for decision-making can be challenging due


to several inherent problems:
(1) Subjectivity
The perceived value of information can vary among decision-makers based
on their individual perspectives, experiences, and biases. What one person
considers valuable information may not be seen as valuable by another.
(2) Uncertainty
Information may be incomplete, ambiguous, or uncertain, making it difficult
to assess its reliability and relevance for decision-making. Uncertainty about
the future and the potential outcomes of decisions further complicates the
evaluation of information value.
(3) Information Overload
In today's digital age, decision-makers often face an overwhelming amount
of information from various sources. Sorting through this vast amount of
data to identify relevant and valuable information can be daunting and time-
consuming.
(4) Costs and Benefits
Assessing the value of information requires considering the costs
associated with acquiring, processing, and analyzing it relative to the
benefits it provides in terms of improved decision-making outcomes.
However, quantifying these costs and benefits accurately can be
challenging.
(5) Time Constraints
Decision-makers often operate under time constraints, requiring them to
make decisions quickly. This limited time frame may not allow for thorough
evaluation and assessment of the value of information, leading to
suboptimal decision outcomes.
(6) Confirmation Bias
Decision-makers may exhibit confirmation bias, which is the tendency to
favor information that confirms their existing beliefs or preferences while
disregarding contradictory evidence. This bias can distort the assessment
of information value and lead to biased decision-making.
(7) Complexity
Many decisions involve complex, interconnected factors and multiple
stakeholders, making it challenging to assess the value of information
accurately. The complexity of decision contexts can make it difficult to
determine which information is truly valuable and relevant.
(8) Dynamic Environments
Decision contexts are often dynamic, with changing conditions, evolving
risks, and shifting priorities. Assessing the value of information in such
dynamic environments requires adaptability and the ability to quickly update
assessments based on new developments.

Addressing these problems requires careful consideration of information


sources, critical thinking skills, collaboration among decision-makers, and
the use of decision support tools and techniques to facilitate the evaluation
of information value in decision-making processes.

6. The main features of a system can be outlined as follows:


(1) Components
A system consists of interrelated and interconnected components or
elements that work together to achieve specific objectives. These
components can be tangible, such as hardware and software in a computer
system, or intangible, such as processes and procedures in an
organizational system.
(2) Interconnection
The components of a system are connected and interact with each other in
a meaningful way. Changes in one component can affect other components
within the system, leading to feedback loops and dynamic behavior.
(3) Purpose
Every system is designed to fulfill a specific purpose or function. The
purpose of a system defines its goals, objectives, and intended outcomes,
guiding the design and operation of the system.
(4) Boundary
A system has a boundary that separates it from its environment. The
boundary defines what is included within the system and what lies outside
of it. Inputs enter the system through its boundary, and outputs exit the
system through the same boundary.
(5) Environment
The environment surrounds the system and includes everything external to
the system boundary. The environment can influence the behavior and
performance of the system, providing inputs, resources, constraints, and
feedback.
(6) Control
Systems often have mechanisms for controlling and regulating their
behavior to maintain stability, achieve goals, and adapt to changes in the
environment. Control mechanisms can include feedback loops, decision-
making processes, and governance structures.
(7) Emergent Properties
Systems may exhibit emergent properties that arise from the interactions
between their components. These properties are not inherent in any
individual component but emerge from the collective behavior of the system
as a whole.
(8) Hierarchy
Systems can be organized into hierarchical structures, with subsystems
nested within larger systems. Each level of the hierarchy has its own
components, boundaries, and functions, contributing to the overall behavior
and performance of the system.
(9) Adaptability
Systems possess the ability to adapt and evolve in response to changes in
the environment or internal conditions. Adaptability allows systems to
maintain functionality, improve performance, and respond to new
challenges and opportunities over time.
(10) Feedback
Feedback loops are essential for maintaining stability and facilitating self-
regulation within systems. Feedback mechanisms provide information about
the system's performance relative to its goals, allowing for corrective actions
to be taken as needed.
By understanding these main features of a system, analysts and designers
can effectively study, model, and manage various types of systems across
different domains, including engineering, biology, sociology, and information
technology.

7. A Management Information System (MIS) is a computer-based system that


provides managers with the tools and information they need to make informed
decisions and manage organizational activities effectively. MIS collects,
processes, stores, and disseminates data and information within an
organization, facilitating decision-making at different levels of management.

Overall, a Management Information System plays a critical role in supporting


managerial decision-making, enhancing organizational efficiency, and
improving overall performance by providing timely, accurate, and relevant
information to managers across all levels of the organization.

8. Information from a database can be processed and presented to management


in various ways, depending on the specific needs and preferences of the
organization. Here's an outline of some common ways information may be
processed and presented:
(1) Reports
- Standard Reports: Predefined reports generated on a regular basis,
presenting summarized information from the database in a structured
format. Examples include financial reports, sales reports, inventory reports,
and performance reports.
- Ad Hoc Reports: Customizable reports generated on-demand, allowing
managers to specify criteria, filters, and parameters to tailor the information
according to their specific requirements.
(2) Dashboards
- Visual Displays: Interactive dashboards that provide a visual representation
of key performance indicators (KPIs), metrics, and trends. Dashboards
typically include charts, graphs, gauges, and other visual elements to
quickly convey information and insights at a glance.
- Real-Time Updates: Dashboards may offer real-time or near-real-time
updates, allowing managers to monitor performance and track changes as
they occur.
(3) Data Visualization
- Charts and Graphs: Visual representations such as bar charts, line graphs,
pie charts, and scatter plots can be used to illustrate trends, patterns, and
relationships in the data.
- Heatmaps: Heatmaps provide a color-coded representation of data,
highlighting areas of interest or concentration based on intensity or density
(4) Alerts and Notifications
- Automated Alerts: System-generated alerts and notifications that inform
managers of significant events, deviations from targets, or predefined
thresholds being exceeded.
- Email Alerts: Alerts delivered via email to notify managers of important
updates, reminders, or action items requiring attention.
(5) Interactive Tools
- Drill-Down Functionality: Interactive tools that allow managers to drill down
into the data to explore details, identify root causes, and gain deeper
insights into specific issues or areas of interest.
- Filter and Search: Tools that enable managers to filter, sort, and search
through the data based on criteria such as time period, geographic location,
product category, or customer segment.
(6) Decision Support Systems (DSS)
- What-If Analysis: Decision support tools that allow managers to simulate
different scenarios and evaluate the potential outcomes of alternative
courses of action.
- Predictive Analytics: Tools that use statistical algorithms and machine
learning techniques to forecast future trends, identify patterns, and make
predictions based on historical data.
(7) Mobile Acces
- Mobile Apps: Mobile applications that provide access to database
information on smartphones and tablets, allowing managers to view reports,
dashboards, and alerts while on the go.
- Responsive Design: Web-based interfaces with responsive design that
adapt to different screen sizes and devices, ensuring a consistent user
experience across desktop and mobile platforms.
By leveraging these processing and presentation methods, organizations
can effectively translate data from their databases into actionable insights
that support informed decision-making at all levels of management.

9. The structure and level of management activity within an organization are


closely related to the level of support provided by a Management Information
System (MIS). Here's how:
(1) Hierarchical Structure
- Organizations typically have a hierarchical structure with different levels of
management, including top-level executives, middle-level managers, and
frontline supervisors.
- The level of support provided by an MIS may vary depending on the
hierarchical level of management. Top-level executives may require
strategic-level information to support long-term planning and decision-
making, while frontline supervisors may need operational-level information
for day-to-day management.
(2) Scope of Activities
- Different levels of management are responsible for overseeing different
aspects of organizational activities. Top-level executives focus on setting
overall direction and strategic objectives, middle-level managers focus on
implementing strategies and coordinating departments, and frontline
supervisors focus on managing day-to-day operations and ensuring
efficiency.
- An MIS should be designed to support the specific activities and information
needs of each level of management. This may include providing strategic
analysis tools for top-level executives, operational reporting for frontline
supervisors, and tactical decision support for middle-level managers.
(3) Decision-Making Authority
- The level of decision-making authority varies across different levels of
management. Top-level executives make strategic decisions that have a
long-term impact on the organization, middle-level managers make tactical
decisions to implement strategies and achieve objectives, and frontline
supervisors make operational decisions to ensure smooth operations.
- An MIS should provide relevant information and decision support tools that
align with the decision-making authority and responsibilities of each level of
management. This may involve providing access to different types of
reports, dashboards, and analytical tools tailored to the needs of each
management level.
(4) Information Requirements
- The information requirements of different levels of management vary based
on their roles, responsibilities, and decision-making needs. Top-level
executives may require high-level summaries and strategic insights, middle-
level managers may need detailed operational data and performance
metrics, and frontline supervisors may need real-time updates and
transactional data.
- An MIS should be capable of accommodating the diverse information
requirements of each management level by providing customizable reports,
interactive dashboards, and ad hoc query capabilities that enable users to
access the information they need in a timely and relevant manner.

In summary, the structure and level of management activity within an


organization directly influence the level of support required from a Management
Information System. An effective MIS should be designed to align with the
hierarchical structure, scope of activities, decision-making authority, and
information requirements of each level of management to enhance decision-
making, improve operational efficiency, and drive organizational performance.
10. Developing a Management Information System (MIS) requires careful planning,
analysis, design, implementation, and maintenance. Here are some basic
guidelines to follow during the development process:
(1) Understand Organizational Needs
Conduct a thorough needs assessment to understand the specific
information requirements, goals, and challenges of the organization and its
various departments and levels of management.
(2) Define Objectives and Scope
Clearly define the objectives and scope of the MIS project, including the
desired outcomes, target users, functionality requirements, and constraints
such as budget and timeline.
(3) Involve Stakeholders
Engage key stakeholders, including managers, users, IT staff, and other
relevant parties, throughout the development process to ensure alignment
with organizational goals and user needs.
(4) Gather Requirements
Gather and document functional and non-functional requirements for the
MIS, including data sources, data types, processing needs, reporting
requirements, security considerations, and user interface preferences.
(5) Design Architecture and Data Model
Design the architecture and data model of the MIS, including database
schema, data storage and retrieval mechanisms, data integration
approaches, and system interfaces.
(6) Select Technology and Tools
Select appropriate technology platforms, development tools, and software
applications based on the requirements and objectives of the MIS project,
considering factors such as scalability, compatibility, and ease of
maintenance.
(7) Develop Prototypes and Iteratively Build
Develop prototypes or mockups to validate design concepts and gather
feedback from stakeholders. Iteratively build and refine the MIS in
incremental stages, incorporating user feedback and making adjustments
as needed.
(8) Ensure Data Quality and Integrity
Implement data quality controls, validation checks, and data cleansing
processes to ensure the accuracy, consistency, completeness, and
reliability of the data stored and processed by the MIS.
(9) Implement Security Measures
Implement robust security measures to protect sensitive information and
prevent unauthorized access, data breaches, and other security threats.
This may include user authentication, access controls, encryption, and audit
trails.
(10) Provide Training and Support
Provide comprehensive training and support to users to ensure they
understand how to use the MIS effectively and efficiently. Offer ongoing
technical support, documentation, and resources to address user questions
and issues.
(11) Monitor and Evaluate Performance
Monitor the performance of the MIS regularly to ensure it meets the
established objectives, performance targets, and user expectations.
Evaluate the impact of the MIS on organizational processes, decision-
making, and performance outcomes.
(12) Iterate and Improve
Continuously iterate and improve the MIS based on user feedback,
changing business needs, technological advancements, and emerging best
practices. Regularly review and update the MIS to maintain its relevance,
effectiveness, and alignment with organizational goals.

Following these guidelines can help ensure the successful development and
implementation of a Management Information System that meets the needs
of the organization, supports decision-making processes, and enhances
operational efficiency and effectiveness.

You might also like