2. Executive Information System (EIS)
An executive information system (EIS), also known as an executive support
system (ESS), is a type of management information system that facilitates
and supports senior executive information and decision-making needs.
It provides easy access to internal and external information relevant to
organizational goals.
It is commonly considered a specialized form of decision support system
(DSS).
EIS emphasizes graphical displays and easy-to-use user interfaces.
They offer strong reporting and drill-down capabilities.
Helps top-level executives analyze, compare, and highlight.
3.
4. History of EIS
The term EIS was first coined at MIT in 1970s.
EIS was first developed as mainframe computer based programs.
The first EIS were developed by large firms willing to gain competitive
advantage.
By mid of 1980s several vendors had developed broad computer bases and
support for EIS technology continues today.
5. Types of Data
Data are divided into four type:
Nominal
Ordinal
Interval
Ratio
6. Nominal Data
Nominal data are categorized without order or direction.
Nominal data is of restricted or limited use.
Example: Gender, marital status or any alphabetic or numeric code without
intrinsic order or ranking.
7. Ordinal Data
Ordinal means rank or order.
Ordinal data place events in order; They are categories like rankings or scaling.
Has no absolute value(only relative position in the inequality)
Example: Ranks or Grades of students, Quality rating of service or product.
8. Interval Data
Interval data are more powerful than ordinal scale due to equality of intervals.
For interval data there is no absolute zero; unique origin does not exists.
Example: Temperature in Fahrenheit, Standardized scores.
9. Ratio Data
Ratio can have an absolute or true zero and represent the actual amount/value.
The most precise data and allow for application of all statistical techniques.
All mathematical operations are possible on ratio data.
Example: Height, Weight, age.
10. Application Area of EIS
• Monitor Company’s Performance
• provide information about a company’s critical success
factors to executives
• supports their planning and control responsibilities.
• An information system that provides strategic information
to the needs of executives and other decision makers.
• Spot and analyze Problem
• Exception reporting
• Trend Analysis
11. Application Area of EIS
• Track Competitors Activities
• Keep informed with competitors strategy and policy to take
competitive advantage in market
• Forecasting
• Forecast future according to the analysis and report
• Identify Opportunities
• Major objectives
• Match strength of company with the opportunity in market
12. Examples
• The customer is a governing body of the Singapore Government that plans and
manages the public transport infrastructure of Singapore and controls the
functioning of bus and rail operators.
13. Example…
Help the users in decision making on new services; change of routes, and in
making on new services, and in general improvement in services.
Provide formatted data as inputs to the network analysis tools.
Process Control to manage data loading and maintain the multi terabyte
warehouse with minimal or no manual intervention.
Propose and provide data mining and other advanced analysis .
To provide high security of data as the people accessing are often from
competing corporates and operators.
Design a scalable and high performance system that provides response in
seconds to the end user.
15. Examples
The Punjab Government has proposed to install an Internet based Executive
Information System (EIS) in all its offices for better connectivity and speedy
disposal of its offices work.
The EIS was launched on May 15.The application work save the Punjab
Government from spending an enormous amount of time to collect, compile and
communicate information.
16. Why Are Top Executives So Different ?
They are enterprise oriented in thinking.
The possess the broadest span of control
They are responsible for establishing policy.
They represent the organization to the external environment external
environment
Their actions have considerable financial and human consequences and human
consequence
22. EIS in Supply Chain Management
• Helps making effective decision .
• Provides evaluation of vendors and buyers.
• Analysis of purchasing materials and decision.
• To improve production planning and controlling.
24. Information
• Reduce Cost
• High Responsiveness
• Less Efficiency
• Make transaction visible
• Support decision making
25. Sourcing
• Inhouse or Outsourcing
• Support decision making
• Helps to maximize profit
• Helps for supplier selection
26. Pricing
• To understand and study customer behavior
• Helps for making pricing strategy
• Helps to know loyal customer
• Helps to balance demand and supply
27. Advantage of EIS
Understanding of the corporation and the business environment as a whole, to
make their decisions.
It provides timely delivery of company summary information.
It provides better understanding of information.
It filters data for management.
It provides system for improvement in information tracking.
It offers efficiency to decision makers.
28. Disadvantage of EIS
Functions are limited, cannot perform complex calculations.
Hard to quantify benefits and to justify implementation of an EIS.
Executives may encounter information overload.
System may become slow, large, and hard to manage.
Difficult to keep current data.
May lead to less reliable and insecure data.
Small companies may encounter excessive costs for implementation.
Highly skilled personnel requirement can not be fulfilled by the small business.
29. Conclusion…
• Helps by providing easy access to internal and external information required for
the fulfillment of organizational goals and objectives along with increase in
overall product value for both supplier and customer.