JOMO KENYATTA UNIVERSITY OF AGRICULTURE AND

TECHNOLOGY

THE DEGREE IN BACHELOR OF PROCUREMENT AND CONTRACT

MANAGEMENT

UNIT CODE-BIT 2119 : MANAGEMENT INFORMATION SYSTEM

INDIVIDUAL ASIGNMENT

LECTURER - MR. COLLINS SANG

STUDENT - JOHN ONDIEKI NYAMAMBA

ADM NO - HDE222-C004-0241/2019

2021 AUGUST
 QUESTION ONE [30 MARKS]
(a) Explain the following terms:

Input and output

i. Input Device Definition: A piece of equipment/hardware which helps us enter data into a
computer is called an input device. It allows people to supply information to computers
without any input devices, a computer would only be a display device and not allow users to
interact with it, Examples of input devices include keyboards, mouse, scanners, digital
cameras and Light pen, joysticks, Touch-screen, OMR, OBR,OCR.
ii. Output Device : A piece of equipment/hardware which gives out the result of the entered
input, once it is processed (i.e. converts data from machine language to a human-
understandable language), is called an output device. It Allows people to receive information
from computers. An output device is any peripheral that receives or displays output from a
computer.

Data and information

i. Data is a representation of facts, concepts, or instructions in a formalized manner, which
should be suitable for communication, interpretation, or processing by human or electronic
machine. Data is represented with the help of characters such as alphabets (A-Z, a-z), digits
(0-9) or special characters.
ii. Information: Information is data that has been converted into a more useful or intelligible
form. It is the set of data that has been organized for direct utilization of mankind, as
information helps human beings in their decision making process.

Open system and closed system

i. An open system is one that interacts with its environment and thus exchanges information,
material, or energy with the environment, including random and undefined inputs. Open
systems are adaptive in nature as they tend to react with the environment in such a way
organizing’, in the sense that they change their continued existence.
ii. Closed system- This is a system that doesn’t interact with the environment at all, which
means the system doesn’t communicate from (no inputs) or to (no outputs) its environment.
Whatever happens in the system doesn’t affect the environment and vice versa. It corrects
and controls itself. Is isolated from its environment.

Hardware and software

i. Hardware- The term hardware refers to mechanical device that makes up computer that
consists of interconnected electronic devices that we can use to control computer’s
operation, input and output. Examples of hardware are CPU, keyboard, mouse, hard disk,
etc.

ii. Software- A set of instructions that drives computer to do stipulated tasks is called a
program. Software instructions are programmed in a computer language, translated into
machine language, and executed by computer.

Information system and management information systems

i. Information system is formalized system where collected and sorted out by several
processes, reports, data from various sources to provide information necessary and important
to obtain important management decisions.information system as formalized system that
collects, stores, processes and reports data from various sources to provide information
needed to manage the process of making decisions

ii. A management information system (MIS) is a computerized database of financial

information organized and programmed in such a way that it produces regular reports on
operations for every level of management in a company.

Explain components of information systems

i. People resource- people are the essential ingredient for the successful operation of all
information system. it includes end users and is specialist. end users are people who use an
information system or the information it produces. they can be customers , sales person are
found at all levels. is specialist are people who develop and operate information system. it
includes system analysts, software developers etc.
ii. Hardware resources -It includes all physical devices and material used in information
processing. It includes not only machines, such as computers but also all data media, i.e.
tangible objects on which data is recorded. ex- computer system : consist of central
processing units containing micro processors and a variety of interconnected devices such as
printers , scanners etc. computer peripherals: are devices such as keyboard, electronic mouse
for the input of data and commands , a video screen or printers for the output of the
information.
iii. Software resources- It includes all sets of information processing instructions. This generic
concept includes not only the sets of operating instructions called programs which direct and
 control computer hardware but also the set of information processing instruction called
procedure that people need. Example:System software,Application software procedures.

iv. Data resources -This concept has been broadened by managers and information system
professionals. They realize the data constitute valuable organizational resources. It resulted
in variety of changes in modern organization. Under this data can take many forms including
traditional numeric data composed of numbers etc. The data resources of information system
are typically organized, stored, accessed by a variety of data resource management
technologies into: Data base that hold processed and organize data and Knowledge bases
that hold knowledge in a variety of forms such as facts.

v. Network resources- It emphasizes that communications technologies and networks are

fundamental resource components of all information system. It includes: Communication
Media- includes twisted pair wire, microwave, cellular wireless technologies.

Information systems are categorized differently. Discuss five computer based information
systems.
i. Transaction Processing Systems A transaction processing system is a computer based
system that captures, classifies, stores, maintains, updates and retrieves transaction data for
record keeping and for input to other types of CBIS. Substitutes computer-based processing
for manual processes. Includes record-keeping applications.
ii. Management Information System- Provides input to be used in the managerial decision
process. Deals with supporting well structured decision situations. Typical information
requirements can be anticipated
iii. Decision Support Systems- It is an information system that offers the kind of information
that may not be predictable, the kind that business professionals may need only once. These
systems do not produce regularly scheduled management reports. Instead, they are designed
to respond to a wide range of requests.
iv. Office Automation System-It is a multi-function, integrated computer based system, that
allows many office activities to be performed in an electronic mode.

Identify any (4) four elements of system.

i. Outputs and inputs - Inputs are the elements (material, human resources, and information)
that enter the system for processing. Output is the outcome of processing.
ii. Processor(s) -Involves the actual transformation of input into output. It is the operational
component of a system. Processors may modify the input totally or partially, depending on
the specifications of the output.
iii. Controls -In a computer system, the operating system and accompanying software influence
the behavior of the system. Output specifications determine what and how much input is
needed to keep the system in balance.
iv. Feedback - Feedback may be positive or negative, routing or informational. Positive
feedback reinforces the performance of the system. It is routine in nature. Negative feedback
generally provides the controller with information for action. In systems analysis, feedback
is important in different ways.

QUESTION TWO [20 MARKS]

(a) Organizations develop systems to solve a certain problem. Briefly explain some
tasks it performs. [8 marks]

i. Communication between Employees, Suppliers and Customers- For many companies,

email is the principal means of communication between employees, suppliers and
customers.

ii. Inventory Management Systems- Inventory management systems track the quantity of
each item a company maintains, triggering an order of additional stock when the quantities
fall below a pre-determined amount.

iii. Data Management Systems- Companies are able to store and maintain a tremendous
amount of historical data economically, and employees benefit from immediate access to the
documents they need.

iv. Management Information Systems- Management Information Systems (MIS) enable

companies to track sales data, expenses and productivity levels. The information can be used
to track profitability over time, maximize return on investment and identify areas of
improvement
v. Customer Relationship Management- Customer Relationship Management (CRM)
systems capture every interaction a company has with a customer, so that a more enriching
experience is possible.
 (b) Giving examples, describe impacts of management systems (MLS) to a business.
[12 marks]

i. Impact on Operating Costs- Basic enterprise software enables a firm to automate back
office functions, such as record keeping, accounting and payroll. Mobile tech allows home
offices and field reps to interact in real time.
ii. Securing Sensitive Information- Business owners can also use technology to create secure
environments for maintaining sensitive business or consumer information
iii. Improved Communication Processes- Business technology helps small businesses
improve their communication processes. Emails, texting, websites and apps, for example,
facilitate improved communication with consumers.
iv. Increased Employee Productivity- Computer programs and business software usually
allow employees to process more information than manual methods.
v. Broaden Customer Bases- Technology allows small businesses to reach new economic
markets. Rather than just selling consumer goods or services in the local market, small
businesses can reach regional, national and international markets.
vi. Collaboration and Outsourcing- Business technology allows companies to outsource
business functions to other businesses in the national and international business
environment.

QUESTION THREE [20 MARKS]

(a) Describe structure of management information system
[15 marks]

i. Hardware -All physical components of a computer system compose the computer

hardware. Important components include the central processing unit, input/output
devices, storage units and communication devices. Communication can be over fiber-
optic cables or wireless networks.
ii. Software- Software is a broad term given to the instructions or programs that direct the
operating of the hardware. Software could be of two types, i.e. system software and
application software.Software provides the interface between users and the information
system. Software can be divided into two generic types: system software and
applications. The system software comprises of the operating system, utility programs
and special purpose programs. Applications are developed to accomplish a specific task.
For users of MIS it is much more important to understand the software than the hardware
iii. Database-A database is a centrally controlled collection of organized data. Central
control reduces redundancy and duplication of data. Data is stored in an organized and
structured way to facilitate sharing and improve availability to those who need it. The
 database improves efficiency of storage by elimination of redundant files and improves
efficiency of processing by providing all required data in a single file rather than
separate files. This also improves efficiency of information retrieval.

iv. Procedures- Three types of procedures are required for an MIS to operate effectively:
user instructions, instructions for input preparation and operating instructions for MIS
personnel who maintain the MIS.
v. Operating Personnel- The personnel in the MIS function include computer operators,
programmers, systems analysts and managers. Human resource requirements should be
assessed by considering both the present system needs and the future system growth. The
quality of MIS personnel is a key factor in its effectiveness. An MIS manager needs a
combination of both managerial and technical skills.

(b) Illustrate levels of management and the functions in an organization.

[5 marks]

i. Top Level Management/Administrative/ Managerial Level- Top-Level Management is

also referred to as the administrative level. They coordinate services and are keen on
planning. The Top-level management controls the management of goals and policies and the
ultimate source of authority of the organization. They apply control and coordination of all
the activities of the firm as they organize the several departments of the enterprise which
would include their budget, techniques, and agendas.

There are several functions performed by the top-level management, but three of them are
the most important, and they are:

i. Laying down the objectives and broad policies of the business enterprise.
ii. Issuing necessary instructions for the preparation of department-specific budgets,
schedules, procedures, etc.
iii. Preparing strategic plans and policies for the organization.
iv. Appointing the executives for middle-level management, i.e. departmental managers.
v. Establishing controls of all organizational departments.
vi. Since it consists of the Board of Directors, the top management level is also responsible
for communicating with the outside world and is held accountable towards an
shareholders for the performance of the enterprise.
vii. Providing overall guidance, direction, and encouraging harmony and collaboration.
2. Middle Level of Management- Middle-level Management is also referred to as the executory
level, they are subordinates of the top-level management and are responsible for the organization
and direction of the low-level management. They account for the top-level management for the
activities of their departments. They coordinate the responsibilities of the sub-unit of the firm
and access the efficiency of lower-level managers. The middle-level managers are in charge of
the employment and training of the lower levels. They are also the communicators between the
top level and the lower level as they transfer information, reports, and other data of the enterprise
to the top-level.

Functions performed

i. Middle level management interprets the policies of the company.

ii. It is the responsibility of the Middle Management to prepare organizational set up in their
department.
iii. They issue orders to the subordinates and others in their department,
iv. Middle level management motivate the personnel for higher productivity.
v. Collecting reports and other information about the work turned out in their respective
departments, and
vi. Providing information and assisting the top management in revising the plans to secure
better performance.

3. Lower Level of Management/supervisory or the operative level of Management- The

lower level of Management is also referred to as the supervisory or the operative level of
managers. They oversee and direct the operative employees. They spend most of their time
addressing the functions of the firm, as instructed by the managers above them. This
management level is made up of the foreman, the line boss, the shift boss, the section chief, the
head nurse, superintendents, and sergeants. The lower level managers represent the management
to the operative workers as they ensure discipline and efficiency in the organization. The duty of
inspiration and encouragement falls to them, as they strengthened the workforce. They also
organize the essential machines, tools, and other materials required by the employees to get their
job done.

Functions of lower-level management:

i. To allocate tasks and responsibilities to the operative employees.

ii. To ensure quality and be responsible for the production quantity.
iii. To communicate the goals and objective of the firm laid down by the higher level
managers to the employees and also the suggestions, recommendations, appeals, and
information concerning employee problems to the higher-level managers.
iv. To give instruction and guided direction to workers on their day to day jobs.
v. To give periodic reports of the workers to the higher-level managers.

QUESTION FOUR [20 MARKS]

There are different phases of system development that help in establishing a system
project plan. Discuss.

i. Planning- This is the first phase in the systems development process. It identifies whether or
not there is the need for a new system to achieve a business"s strategic objectives. This is a
preliminary plan (or a feasibility study) for a company"s business initiative to acquire the
resources to build on an infrastructure to modify or improve a service. The company might
be trying to meet or exceed expectations for their employees, customers and stakeholders
too. The purpose of this step is to find out the scope of the problem and determine solutions.
Resources, costs, time, benefits and other items should be considered at this stage.

ii. Systems Analysis and Requirements- The second phase is where businesses will work on
the source of their problem or the need for a change. In the event of a problem, possible
solutions are submitted and analyzed to identify the best fit for the ultimate goal(s) of the
project. This is where teams consider the functional requirements of the project or solution.
It is also where system analysis takes place—or analyzing the needs of the end users to
ensure the new system can meet their expectations.

iii. Systems Design- The third phase describes, in detail, the necessary specifications, features
and operations that will satisfy the functional requirements of the proposed system which
will be in place. This is the step for end users to discuss and determine their specific
business information needs for the proposed system. It"s during this phase that they will
consider the essential components (hardware and/or software) structure (networking
capabilities), processing and procedures for the system to accomplish its objectives.
iv. Development- The fourth phase is when the real work begins—in particular, when a
programmer, network engineer and/or database developer are brought on to do the major
work on the project. This work includes using a flow chart to ensure that the process of the
system is properly organized. development stage is also characterized by instillation and
change. Focusing on training can be a huge benefit during this phase.
v. Integration and Testing- The fifth phase involves systems integration and system testing
(of programs and procedures)—normally carried out by a Quality Assurance (QA)
professional—to determine if the proposed design meets the initial set of business goals.
 Testing may be repeated, specifically to check for errors, bugs and interoperability. This
testing will be performed until the end user finds it acceptable. Another part of this phase is
verification and validation, both of which will help ensure the program"s successful
completion.
vi. Implementation- The sixth phase is when the majority of the code for the program is
written. Additionally, this phase involves the actual installation of the newly-developed
system. This step puts the project into production by moving the data and components from
the old system and placing them in the new system via a direct cut over.
vii. Operations and Maintenance- The seventh and final phase involves maintenance and
regular required updates. This step is when end users can fine-tune the system, if they wish,
to boost performance, add new capabilities or meet additional user requirements.

Explain different methods that can be used to introduce system developed in the company.

i. Waterfall- The waterfall approach is one of the oldest SDLC models, but it has fallen out of
favor in recent years. This model involves a rigid structure that demands all system
requirements be defined at the very start of a project. Only then can the design and development
stages begin.
ii. Iterative -The iterative methodology takes the waterfall model and cycles through it several
times in small increments. Rather than stretching the entire project across the phases of the
SDLC, each step is turned into several mini-projects that can add value as the product evolves.
iii. DevOps- DevOps - is one of the newest SDLC methodologies and is being adopted by many
software companies and IT organizations. As its name suggests, the premise of DevOps is to
bring development teams together with operational teams in order to streamline delivery and
support.
iv. V-Model- An evolution of the classic waterfall methodology, the v-model SDLC process steps
are flipped upwards after the coding phase. The v-model has a very strict approach, with the
next phase beginning only when the previous phase is complete.
v. Spiral- spiral methodology allows teams to adopt multiple SDLC models based on the risk
patterns of the given project. A blend of the iterative and waterfall approaches, the challenge
with the spiral model is knowing when is the right moment to move onto the next phase.
vi. Lean -The agile and lean approaches are closely interconnected, as they both focus on delivery
speed and continuous improvement. In contrast, the lean model is rooted in manufacturing best
practices where excess waste and effort are seen as the largest risk to an organization.
vii. Agile- The agile methodology is the opposite of the waterfall approach. Rather than treating
requirements, design, and testing as large sequential steps, an agile model makes them all
ongoing processes that require involvement from developers, management, and customers.

viii. Prototyping- In the prototyping methodology, the design team's focus is to produce an early
model of the new system, software, or application. This prototype won’t have full functionality
or be thoroughly tested, but it will give external customers a sense of what’s to come.

QUESTION FIVE [20 MARKS]

(a) Technology advancement has enabled change in many sectors. How does it
support:-. [10 marks]

(i) management

i. Changing the way businesses communicate- Communication among the employees, or

management to subordinates, or management to management has become fast,
instantaneous, more deliberate, collaborative, and unified.

ii. Keeping it fully organized- Employers and managers can easily supervise workplace
activities that help in keeping everything on track. It fixes the responsibility, accountability,
efficiency, and timed delivery of tasks assigned to people.

iii. Making business operations more productive- It enables managers to more easily track
progress during every phase of goal completion and offer immediate reinforcement or
coaching to keep performance and deadlines on track.

iv. Helping in cost management- Improving profitability is the ultimate goal of every
company. Due to innovative technological software, companies are now becoming fiscally
healthy as these innovations are proving to be more cost-effective.
v. Keeping the business secure- Technology plays a vital part in doing so. It provides an end-
to-end hardware and software-based data encryption so that only authorized parties are able
to retrieve and read it.
vi. Giving Customizing Options- Technology has made it possible to customize any software
according to the variable business needs.
vii. Increasing collaboration- This increased collaboration has brought a high level of
flexibility in communication that allows employees, co-workers, and managers to connect
with each other easily.
viii. Reducing the risk of security breaches- Stealing critical and important information was
easy in the past, but now with the use of technology, the threat of data thefts and leaks have
been reduced. Proper security measures are being implemented in the workplace that helps
in keeping important information safe.
ix. Improving efficiency of employees- Time management has now become easier with the
help of modern technological tools. These tools have helped in optimizing the daily working
routine and enabling the employees to focus on the most important task.
x. Enabling remote working- New technology has enabled remote working, teleconferencing
and co-working space which has completely reshaped the modern workplace. Mobile and
cloud technology has allowed instant and remote access which enables internet-based
service models.

(ii) customer.

i. Increased choice and accessibility to products and services- Technological innovations

such as the internet have profoundly eased the effort needed by customers to gain access to
products and services. Through platforms such as e-commerce stores, customers no longer
have to stick with products they don’t like. They have the power to shift subscriptions at will
and try out new vendors until they find products that fit their preferences.
ii. Technology has made products cheaper- The interaction of supply and demand is one of
the biggest determinants of the prices of products and services. Due to the increasing supply
of products- made possible by technology- businesses are forced to reduce their prices or
else their customers may rush to cheaper alternatives.
iii. Increased self-service giving customers more control- Today, customers no longer have
to queue. They can buy any product from the comfort of their homes. The adoption of self-
service technology by many companies has made buying hustle-free. These businesses have
given the customers the power to control when they buy, what they buy and how they want
to buy it.
iv. An increase in convenience through mobile technology- Technology is making life more
convenient for everyone. By removing the constraints of location and time, technology is
quickly becoming a ‘basic human need’ that will continue empowering customers and
making life easier.
v. Information access is helping customers make more informed decisions- Customers can
quickly get the information they need when they are researching a product or vendor. This is
leading to more informed decisions since the information is just a mouse click away.
vi. Increased automation saves time and improves customer satisfaction-Today,
automation has extended to customer relationships, with most businesses automating most
 parts of their interactions with their customers. Introducing technologies like chatbots,
artificial intelligence, and behavior-triggered tasks are now the norm and are ensuring that
customer relationships run smoothly with minimal human intervention.

(b) Briefly explain factors that lead to management information system to fail.
[10 marks]

i. Incomplete analysis – incomplete analysis is the biggest cause of system failure. An

incomplete analysis is due to some common reasons like problem identification is not
properly defined, key requirements and constraints are not properly understood and
identify at the early stages of the MIS design and development process.
ii. Lack of management involvement – it is the biggest cause of no-one understands the
system which creates a huge understanding gap and makes MIS fail. Lack of
management involvement have long-lasting consequences and can impact an entire
system.
iii. The accent of the computerized system – if someone doesn't understand the procedures
and its need for handling input and output system, hardware and its usage, and
application and its impacts; makes the biggest cause of MIS failure.
iv. Concentration on low-level data processing – Information must be easily accessible
and understood.
v. Lack of management knowledge of ICT systems and capabilities – In the growth of
KM (Knowledge Management) systems, structures, data processes, and information
technologies, the implementation and use of ICT to enhance and encourage knowledge
management have brought to focus the urgent need to come up with new approaches,
resources, and techniques to promote effective knowledge management for enhanced
service delivery in system development. managers know what they want from the system
but don't understand the technology
vi. Lack of teamwork – For a variety of reasons, lack of coordination may be a problem.
People come together to create relationships that lead to productive teamwork. By good
communication of intent, the team leader aligns the team, so that individual
abilities combine with coordination to achieve results for the teams. During MIS design,
An ICT director must organize the divisions of accounts, marketing, distribution, etc. to
help everybody understand the benefits of the system.
vii. Lack of professional standards – The professional requirements have a purpose. These
criteria are for all members of the team who work for an organization in lifelong
learning, defining the abilities, expertise, and qualities needed for the organization.