Dr. Saurabh Dixit s_dixit2001@rediffmail.co.in www.freewebs.

com/dixitsaurabh

Background Objectives

Dr. Saurabh Dixit

Concept of information, concept of system; importance of information and information systems for organizations specially business enterprises; operating elements of a computer based information system; introduction to office automation system (OAS), transaction processing system (TPS), management information system (MIS), decision support system (DSS), executive information system (EIS), knowledge based system (KBS), expert system, etc.
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Decision is making process- stages in decision making, individual and organizational decision making models; information system support for decision making phases; definition, characteristics, subsystem of MIS, MIS and top management, structure of MIS (conceptual and physical structure).

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MIS planning and control; MIS master plan-content and description; Nolan stage model, three stage model of planning process- the strategic planning stage, organizational information requirements analysis and resource allocation stage; myths of MIS, pitfalls of MIS, limitations of MIS; Development and implementation of MIS- system development life cycle, different approaches (waterfall, prototyping,

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evolutionary approaches, and risk based approaches). Resource requirements for information systems- hardware and capacity planning, software needs, and procurement options make or buy decisions, outsourcing as an option.

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Decision support system definition, relationship with MIS, evolution of DSS; characteristics, classification, objectives, components, functions and development of DSS; artificial intelligence for MIS problems- use of expert systems, use of neural networks.

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Emerging concepts and issues in information systems- supply chain management, customer relationship management, ERP; introduction to Data Warehousing, Data Mining and its applications; emerging concepts in information system design and application; Ecommerce, B-to-B, B-to-C transactions; security issues, EDI- format, international protocol etc.

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1. Management Information Systems: Managing the Digital Firm, Tenth Edition, Laudon and Laudon, Prentice-Hall, 2007. 2. Management Information Systems for the

Information Age, Sixth Edition, Haag,

Cummings and Phillips, McGraw-Hill, 2007.

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SESSION OBJECTIVES
What is the role of information systems in todays competitive business environment?
What exactly is an information system? What do managers need to know about information systems?

How are information systems transforming organizations and management?

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M I S

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MIS is a cementing agent in organization e.g. IITTM, Satyam.

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It is like nervous system in human body.

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A Management information System (MIS) is an integrated man-machine system that provides information to support the planning and control functions of managers is an organization.

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The output of MIS sub serves managerial functions. If a system provides information to persons who are not managers we will not consider it as apart of an MIS. E.g. Income tax statement, salary disclosure, excise duty statement. Computer aided design system for engineering purpose. ( Kanter)

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Identify any 10 business functions and classify as MIS and non-MIS functions.

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An MIS deals with information that is systematically and routinely collected in accordance with a well defined set of rules. This implies that MIS is a part of the formal network in an organization. ( Davis)

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The information provided my MIS assist managers to make planning and control decisions. e.g. How many and what types of Cars to make next month or what commission to offer to retailers.

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If the system per se provides only information to support operations and has no managerial decision-making significance. It is not the part of MIS. e.g. A wholesaler has a computer system to send out bills to his retailer.

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An MIS include all the ingredients that are employed in providing information support to managers in making planning and control decisions. Managers often use historical data on an organizations activities as-well-as current status data to make planning and control decisions. Such data comes from a data base which is contained in files (paper or electronics) maintained by the organization. This database is an essential component of MIS.

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Planning tool e.g. Share Market, ORG Mart, JK Tyres

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Management Information System is man-machine system. It provides information support planning and control decisions of managers in an organization. MIS consists of three components: management, information and system respectively.

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Management is an art as well as science. Management is also defined as getting the work done. Management is used to control manpower, machine, and operations according to the requirements. One of fundamental role of management is control of any organization. What is control? How do a manager control the organisation? What is the nature and purpose of control? This module seeks to answer to these queries, particularly to control and information system.
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The MIS is defined as a system dependent on database system of the organization evolved for the purpose of providing information to the people in the organization. The modern MIS is defined as a Computerbased Information System.

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Action Vs Non-Action Current Vs Historical Strategic Vs Routine

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Hardware Software Operational Systems Analysis

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Form Place Time Access/ Rights

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The Management Information System (MIS) is a new concept of the last one or two decades. It has been understood and described in a number of ways. It is popularly known as the Information System, the Information and Decision System, the Computer-based Information System.

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Information has always been the integral part of Managers job in any organisation. Management itself is a series of obtaining, processing, sorting, analysing, synthesizing, retrieving information. So, responsibilities of a manager working in must be:Manager who receive data and information must decide what to do with it. Some part is stored for possible later use and other information is combined to form new information. On the other hand some is used immediately and some is passed on to others. Manager must decide the value of information for organisation.

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Subserve managerial function Collects information systematically Supports planning and control decision Includes files, hardware, software and operations research models. E.g. master data of AICTE, Intel Xeon processor 5500 series, Netlab,Educomp

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Manager must find out data life cycle to delete unwanted information and keep safely the valuable information. manager must classify information in such a way so that it could be available to him at the time of decision making. It is the responsibility of manager to make it available to the top management as and when required. It is the responsibility of manager to make it available to share holders, public, employees at the time of requirement.
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Executive Support Systems (ESS) Decision Support Systems (DSS) Knowledge Work Systems (KWS) Office Automation Systems (OAS) Transaction Processing Systems (TPS)

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Office automation More technology intensive Short term move

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Transaction Processing System Operational changes form of i/p More h/w

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Decision Support System Based on logical programming AI/ Logical Learn by previous exp.

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Executive Information System Facilitate and support information & Decision making For needs of senior mgt. Specialised for of DS Applications: filter data for mgt., improves to track info.
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Knowledge based system Long term system Application: speculative

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Specialized course

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System Analysis System Design Quality Control Feedback

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KEY SYSTEM APPLICATIONS IN THE ORGANIZATION

Types of Information Systems

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TYPES OF INFORMATION SYSTEMS

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Executive Support Systems

Level-I

Decision Support Systems Management Information Systems

Level- II Level- III

Transaction Processing Systems

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Book Keeping

Data Gathering Data Editing Data Manipulation Data Storage Information Documents Turn around Documents Error Reports Control Reports

Issuance

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Increment Pay slip Form 16 Professional tax Other increments Salary statement

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Promotion 2 increments after Ph.D. Transfer of LPC Answer to question put up by emp

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Bonus Incentive Leave encashment ledger

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KEY SYSTEM APPLICATIONS IN THE ORGANIZATION

Payroll TPS

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Design TPS for IITTM Dead line 31/08/2009 Clue: pay slip, salary statement

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KEY SYSTEM APPLICATIONS IN THE ORGANIZATION

Types of TPS Systems

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http://www.mgtamer.com/higher_education_mar ket/services/human_resources_management_and_ salary_studies_service http://en.wikipedia.org/wiki/Payroll http://www.payrollmgt.com/

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http://msexcelatyourfingertips.blogspot.com/ 2008/02/payroll-model-using-excel-2007.html http://msexcelatyourfingertips.blogspot.com/ 2008/02/payroll-model-using-excel-2007.html ( If function, sum function, v lookup function)

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The idea of KM sys. is to enable empl to have ready access to the org documented base of facts, sources of information, and solutions. E.g. typical claim justifying the creation of KM system might run something like this: an engr could know the metallurgical composition of an alloy that

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. reduces sound in gear sys. Sharing this info. Org wide can lead to more effective engine design and it could also lead to ideas for new or improved equipment.

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KEY SYSTEM APPLICATIONS IN THE ORGANIZATION

Knowledge Work Systems (KWS)

Knowledge level Inputs: Design specs Processing: Modeling Outputs: Designs, graphics Users: Technical staff Example: Engineering work station
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PROVIDES INFORMATION On continuous basis and reports like Scheduled Reports: Annual report Exception Reports: Demand Reports: Requirement Analysis

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KEY SYSTEM APPLICATIONS IN THE ORGANIZATION

Management Information System (MIS)

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PROVIDES SUPPORT IN THE DECISION MAKING PROCESS OF MANAGERS

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KEY SYSTEM APPLICATIONS IN THE ORGANIZATION

Decision Support System (DSS)

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KEY SYSTEM APPLICATIONS IN THE ORGANIZATION

Decision Support System (DSS)

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Business Content

Presentation Features

Strategic planning support External environment focus Broad based computing facility

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Drill down Reporting Exceptional reporting Graphic Summary Office automation capabilities Ease of learning and use Customization
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Decision Rule Verbal equivalent of graphical decision tree. If condition1 and condition2 and and then class = classi e.g. Comonly used in medical field. Ottawa Ankle Rule Guide obtaining radiograph for traumatic pain.
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Model for decision Conditional probability

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KEY SYSTEM APPLICATIONS IN THE ORGANIZATION

Executive Support System (ESS): Strategic level Inputs: Aggregate data Processing: Interactive Outputs: Projections Users: Senior managers Example: 5-year operating plan
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KEY SYSTEM APPLICATIONS IN THE ORGANIZATION

Executive Support System (ESS)

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EIS - Business Intelligence

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Perform Problem Solving Represent Knowledge as rules Interact with Humans Builds on the Knowledge base

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