OF MANAGEMENT

INFORMATION
SYSTEM
NOWELL S. SILLA
MARIA CRISTINA D. RAMIREZ
BASIC CONCEPTS

• Data- plural form of datum which means a raw

fact or figure from which conclusion can be
drawn.
• Information-data that have been processed
and is meaningful and useful to users.
 SYSTEM
Entity consisting of interacting parts that
are coordinated to achieve one or more
common objectives or output or
information.

INPUT PROCESS OUTPUT

FEEDBACK
 INFORMATION SYSTEM
Is a framework in which the data are collected,
processed, controlled and managed through
stages in order to provide information to users.

DATA INFORMATION
INPUT PROCESS OUTPUT

FEEDBACK
WHAT IS MANAGEMENT
INFORMATION SYSTEM?
A Management Information System(MIS)-the means by
which information is provided for decision makers to
allow them to make and implement the necessary
decisions to optimize the interrelationships of the
available resources to most effectively reach the
organization’s goals.
OBJECTIVE OF MIS
To provide accurate, timely and meaningful
data for management planning, analysis,
control and decision making to optimize
performance of the organization. In short,
it must enhance the management of the
organization.
 VALUE ADDED THROUGH
IMPROVED MIS
• 1. Better integration of information-producing
activities leads to information that is more complete
and relevant.
• 2. Managers are freed from lower-level decisions and
moved to higher-level problems.
• 3. Decisions are made more timely due to prompt
availability of information.
• 4. Decisions are made with increased confidence
derived from improved integrity of underlying data.
• 5. Information technology and resources are focused
where it will do the most good.
PROPERTIES OF AN EFFECTIVE AND
EFFICIENT MIS
1. Relevance
2. Accuracy
3. Completeness
4. Timeliness
5. Conciseness
6. Flexibility
7. Economy
GUIDELINES IN DESIGNING AN EFFICIENT
MANAGEMENT INFORMATION SYSTEM
1. Apply resources to only those problems
that have been identified.
2. Work with facts, not opinion.
3. Work on causes, not effects.
4. Activities should be as simple as possible.
5. Capture data as close to the source as
possible.
GUIDELINES IN DESIGNING AN EFFICIENT
MANAGEMENT INFORMATION SYSTEM
6. Keep the user in mind.
7. Involve people who will be affected by any
changes.
8. Select equipment compatible to job
requirements and design the system to
maximize the use of this equipment.
9. Always follow up, evaluate and take corrective
measures, if necessary.
MIS DEVELOPMENT
1. Define the main secondary goals and their priorities.
2. Identify those factors that are critical to the success of each goal

Who? What?
Top Executives Strategic planning, overall policy making
Personnel Managers Recruiting, selection, compensation policies
Marketing Managers Market research, advertising, distribution logistics, pricing policies
Manufacturing Managers Purchasing, product transformation logistics, production policies
Research and Development Product development research thrust
Finance Managers Funds procurement, investment, accounting policies, and practices
MIS DEVELOPMENT

3.Design a systems structure to achieved the desired

goals and priorities.
4.Implement the system.
5.Monitor and control the system.
BUSINESS INFORMATION
SYSTEM

Primary Management Information

Subsystems

1. Logistics Information System

2. Financial Information System
3. Personnel Information System
BUSINESS INFORMATION SYSTEM
Secondary Management Information Subsystems
A. Logistics Information System
1. Purchasing Subsystems
a) Vendor selection
b) Ordering
c) Transportation
d) Receiving
e) Inspection
f) Control
BUSINESS INFORMATION
SYSTEM
2. Production Subsystems
a) Scheduling
b) Dispatching
c) Operation
d) Inspection
e) Packaging
f) Shipping
g) Control
BUSINESS INFORMATION SYSTEM
2. Marketing Subsystems
a) Product Statistics
b) Customer Histories
c) Product planning
d) Customer Service
e) Product delivery
f) Pricing
g) Forecasting
h) Control
BUSINESS INFORMATION
SYSTEM
2. Order-processing Subsystem
a) Originating
b) Editing
c) Pricing
d) Billing
e) Credit and collection
f) Control
BUSINESS INFORMATION SYSTEM
Secondary Management Information Subsystems
B. Financial Information System
Financial Subsystems
1. Treasury
2. Financial accounting
3. Managerial/Cost accounting
4. Tax accounting
5. Payroll
6. Planning
7. Control
BUSINESS INFORMATION SYSTEM
Secondary Management Information Subsystems
B. Personnel Information System
Personnel Subsystems
1. Candidate selection
2. Employee histories
3. Manpower distribution
4. Regulatory compliance
5. Training
6. Welfare and safety
7. Compensation
8. Control
OTHER IMPORTANT SECONDARY
SUBSYSTEMS:

1. Research and development

information subsystem
2. Strategic planning and policy
making subsystem.