MIS

Session 1

Syllabus coverage
Basic Information Concepts and Definitions

Need for Information and Information

Systems (IS) in an organization

Characteristics of Information and

Organization with respect to organization
form, structure, philosophy, hierarchy etc.

!
One of the great mistakes that organizations make is to
value the technology over the process.
This can lead to organizations investing heavily in
systems that go beyond their needs and then failing to
make use of them effectively.
Information technology, on its own, will not create
better information systems that enable organizations to
function more effectively.
Organizational cultures need to be changed so that the
wider processes information management becomes a
priority.

What is an MIS
A management information system (MIS) provides
information that organizations require to manage
themselves efficiently and effectively.
Management information systems are typically
computer systems used for managing.
The five primary components:
1. Hardware
2. Software
3. Data (information for decision making)
4. Procedures (design, development and documentation)
5. People (individuals, groups, or organizations)

Why Information
Systems?
Today it is widely recognized that information
systems knowledge is essential for managers
because most organizations need information
systems to survive and prosper.
Information systems can help companies
extend their reach to faraway locations, offer
new products and services, reshape jobs and
work flows, and perhaps profoundly change
the way they conduct business.

Why Information
Systems?

Contd
Emergence of the Global Economy
Today, information systems provide the communication
and analytic power that firms need for conducting
trade and managing businesses on a global scale.
Controlling the far-flung global corporation
communicating with distributors and suppliers,
operating 24 hours a day in different national
environments, coordinating global work teams, and
servicing local and international reporting needsis a
major business challenge that requires powerful
information system responses.

The Emerging Digital Firm

The intensive use of information technology in business

firms since the mid-1990s, coupled with equally significant
organizational redesign, has created the conditions for a
new phenomenon in industrial societythe fully digital firm.
A digital firm is one where nearly all of the organization's
significant business relationships with customers, suppliers,
and employees are digitally enabled and mediated.
Core business processes are accomplished through digital
networks spanning the entire organization or linking
multiple organizations. Business processes refer to the
unique manner in which work is organized, coordinated, and
focused to produce a valuable product or service.

Example of Data
transformation

Functions of an information
system

A Business Perspective on
Information Systems
From a business perspective, an information
system is an organizational and
management solution, based on information
technology, to a challenge posed by the
environment.
To fully understand information systems, a
manager must understand the broader
organization, management, and information
technology dimensions of systems

Information systems are more than computers

Organizations
Information systems are an integral part of
organizations. Indeed, for some companies, such as
credit reporting firms, without the information system
there would be no business.
The key elements of an organization are its people,
structure, operating procedures, politics, and culture.
Organizations are composed of different levels and
specialties. Their structures reveal a clear-cut division
of labor.
Experts are employed and trained for different
functions.

Org. - Major Business Functions

Management
Managers perceive business challenges in the
environment, they set the organizational strategy for
responding and allocate the human and financial
resources to achieve the strategy and coordinate the
work.
Management's job is to "make sense" out of the many
situations faced by organizations and formulate action
plans to solve organizational problems.
They must also create new products and services and
even re-create the organization from time to time.

Managerial roles and decisions vary at

different levels of the organization
Senior managers make long-range strategic decisions
about what products and services to produce.
Middle managers carry out the programs and plans of
senior management.
Operational managers are responsible for monitoring
the firm's daily activities.
All levels of management are expected to be creative,
to develop novel solutions to a broad range of problems.

Each level of management has different information

needs and information system requirements.

Technology
Platforms
User Interfaces
Hardware
Internet
Data Storage
Netorking

Contemporary Approaches
to Information Systems

Contemporary Approaches to Information Systems

Technical Approach
The technical approach to information systems emphasizes
mathematically based models to study information systems, as
well as the physical technology and formal capabilities of these
systems.
The disciplines that contribute to the technical approach are
computer science, management science, and operations research.

Computer science is concerned with establishing theories of

computability, methods of computation, and methods of efficient
data storage and access.

Management science emphasizes the development of models for

decision-making and management practices.
Operations research focuses on mathematical techniques for
optimizing selected parameters of organizations, such as
transportation, inventory control, and transaction costs

Contemporary Approaches to Information Systems

Behavioral Approach
An important part of the information systems field is concerned with
behavioral issues that arise in the development and long-term
maintenance of information systems.
Issues such as strategic business integration, design, implementation,
utilization, and management cannot be explored usefully with the
models used in the technical approach.
Other behavioral disciplines contribute important concepts and
methods.
For instance, sociologists study information systems with an eye
toward how groups and organizations shape the development of
systems and also how systems affect individuals, groups, and
organizations.
Psychologists study information systems with an interest in how human
decision makers perceive and use formal information. Economists
study information systems with an interest in what impact systems
have on control and cost structures within the firm and within markets