Management Information

System
An Introduction

Management and Information Systems

Information can be defined as data converted into

something valuable and usable for certain users.
The system can be defined as a group of mutually
related, cooperating elements working on reaching a
common goal by taking inputs and producing outputs
in organized transformation processes.
Management deals with organizational functions.
Managers drive an organization by planning for its
future, organizing and controlling its present and
directing others in the organization to work towards a
common objective.

Meaning of MIS
MIS is an Information system which helps in
providing the management of an
organization with information which is used
by management for decision making.
Management Information System (M.I.S.) is
basically concerned with processing data
into information which is then
communicated to the various Departments
in an organization for appropriate decisionmaking.

Management Information System

A management information system (MIS) provides
information which is needed to manage organizations
efficiently and effectively.
In a management information system, modern,
computerized systems continuously gather relevant data,
both from inside and outside from an organization.
This data is then processed, integrated, and stored in a
centralized database (or data warehouse) where it is
constantly updated and made available to all who have
the authority to access it, in a form that suits their
purpose.
It is an integrated man machine systems that provides
information to support the planning and control function
of manager in an organization. The system provides
information on the past, present and project future and
on relevant events inside and outside the organization.

Working

Impact of MIS
MIS has a major impact on the functions
of any organization. The organization
derives benefits from the systems in the
following form:
Speedy access to information
Interpretation of data
Quick decisions
Speedy actions
Increased productivity and thereby increase
in the profit
Reduced transaction cost

Impact of MIS in Different Areas

Teaching
Methodolo
gy

Better
tourist
informatio
n

Transporta
tion
Planning

MIS
Better
Banking
System

Office
automatio
n

Increased
Production

CHARACTERISTICS OF MIS
In any organization managers will have
varieties of tasks to manage. MIS is mainly
designed to take care of the needs of the
managers in the organization.
Organizations will have different
departments like marketing, production,
sales, inventory, maintenance etc. Each of
these departments function individually and
also in relationship with other departments.
Information is available in abundance. MIS
aids in integrating the information generated
by various departments of the organization.

Characteristics Of MIS

Flexibility
Reliability
Simplicity
Economy
Helpfulness
Consistency
Management Oriented
Management Directed
Integrated

Common Data Flow

Heavy Planning
Element
Common database
Computerized
Relevance
Accuracy

Components Of Information System

FUNCTION OF MIS
The main function of MIS is to help the managers
and the executives in the organization in decisionmaking.
Large quantities of data like customers information,
competitors information, personnel records, sales
data, accounting data etc is collected from internal
sources like the company records and external
sources like annual reports and publications.
The collected data is organized in the form of a
database.
The data from the database is processed and
analyzed by using different tools and techniques.
The result of the analysis is properly presented to
the managers to help them in decision-making.

Functions of MIS

Various types of Information System

Transaction processing systems (TPS)

Office systems
Knowledge Based Systems (KBS)
Decision-support system (DSS)
Management Reporting Systems
(MRS)
Executive support systems

Advantages
It Facilitates planning
MIS improves the quality of plants by providing relevant
information for sound decision making.

In Minimizes information overload

MIS change the larger amount of data in to summarized form
and there by avoids the confusion

MIS Encourages Decentralization

MIS is successfully used for measuring performance and making
necessary change in the organizational plans and procedures .

It brings Co ordination
keeps each department aware of the problem and requirements of
other departments.

It makes control easier

MIS serves as a link between managerial planning and control. It
improves the ability of management to evaluate and improve
performance .

Disadvantages
Highly sensitive requires constant
monitoring.
Budgeting of MIS extremely difficult.
Quality of outputs governed by
quality of inputs.
Effectiveness decreases due to
frequent changes in top
management

Need of MIS
Managers play a key role in any
organization. They are responsible
for taking decisions appropriate to
the need of the market.
Information system has become the
main tool used by managers in
decision making.

ROLE OF INFORMATION SYSTEM IN

BUSINESS

a) Support of its business processes

and operations
b ) Support of decision making by its
employees and managers
c) Support of its strategies for
competitive advantage

Difference Between MIS And Computer Science (CS)

MIS (management
information systems)
Organization

CS (computer
science)
Software

More efficient or
effective business
Problem solving

Reliable computer
program
Logic/procedures

Core task

Determine business
requirements for
information systems

Generic job
title

Analyst/Designer

Deliver information
systems
to meet defined
requirements
Builder

Focus
Objective
Core skill

Conclusion
MIS is an integrated user-machine system
for providing information to support
operations, management and decision
making functions in an organization.
It is a combination of human and
computer based resources, which result
in collection, storage retrieval,
communication and use of data for the
purpose of efficient management of
operations and for business planning.