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Ch02 mis-imp-concepts

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Ch02 mis-imp-concepts

  1. 1. 1
  2. 2.  Management: What is management? Information: What is information? Systems: What are systems? Information Systems: What are Information Systems? Management Information Systems: What are They? 2
  3. 3.  MIS as an evolving concept Levels of management What do information systems do? MIS and Organizational Fit MIS as a Discipline 3
  4. 4.  A. Management: What is management? › Planning › Organizing › Leading › Controlling 4
  5. 5.  1. Planning  Goal setting  Environmental scanning  Forecasting  Data collection  Communicating 5
  6. 6.  2. Organizing  Staffing  Coordinating  Delegating  Understanding  Procedures/ Policies 6
  7. 7.  3. Leading  Authority  Motivating  Directing: Delegation of responsibilities activating  Supervising  Negotiation  Persuading 7
  8. 8.  4. Controlling: Resources- Money (capital), manpower (people), materials, machines, movement (Distribution, flow), and Information  Measuring  Evaluating  Reporting  corrective action  feed back 8
  9. 9.  5. Communicating: Goals/Objectives, standards of desirability  Informing  Persuading(Influence)  Negotiation  Corrective action  Listening 9
  10. 10.  B. Information: What is information? › 1. Data (raw material) › Alpha-numeric › Symbolic  Stored facts  inactive (they exist)  technology based  gathered from various places 10
  11. 11. › 2. Processed data  meaningful  perceived value  motivating action  HAS SURPRISE VALUE  HAS NEWS VALUE  Presented facts  active (it enables doing)  business based (Domain based)  transformed form data 11
  12. 12. › 3. Model  entity  attribute  relationship› 4. Reduces Uncertainty› 5. Reduces Equivocality (ambiguity) 12
  13. 13. › 6. A definition: Information is data that has been processed into a form that is meaningful to the recipient (USER) and is of real or perceived value in current or prospective actions or decisions. 13
  14. 14. SYSTEM INTERDEPENDENCE INTERDEPENDENCE HARDWARE BUSINESS SOFTWARE DATABASE Strategy Rules TELE- Procedures COMMUNICATIONS ORGANIZATION INFORMATION SYSTEM1.13 14
  15. 15. Information Systems › What are Information Systems?  1. Information (another definition): an increment in knowledge. Information relies  on the context of the question  general knowledge of the recipient.  2. Informal information: interpersonal networking  Note: Informal information and other information may not lend itself to computerization, yet!  3. Formal information: Organized information with a specific purpose following rules and procedures (highly structured) 15
  16. 16.  Zwass, f1.2, p14 16
  17. 17.  Information Processing Systems: › 1. An information system in many respects is a closed system, it is simply the code. › 2. An information processing function frequently needs data collected and processed in a prior period. › 3. The data/information storage is added. 17
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  19. 19. System: What is system 19
  20. 20.  Management Systems › 1. Primary function(s) mediate between the organization and the immediate task environment.  customers  suppliers  processes 20
  21. 21. › 2. What do managers do?  assume responsibility  must balance competing goals  be a conceptual thinker  work with and through other people  be a mediator  must be a politician  must be a diplomat  makes difficult decisions 21
  22. 22. › 3. Management is the work involved in combining and directing the use of resources to achieve  particular purposes  Leading 22
  23. 23. › 4. What distinguishes mgmt from other work is that it focuses on maintaining the organization so that it can accomplish its task POSDCORB  Planning  Organizing  Staffing  Directing  Coordinating  Reporting  Budgeting 23
  24. 24.  H. Management Information Systems › What are They? › 1. Definition: A Management Information system is:  an integrated user-machine system  for providing information  to support the operations, management  With the help of analysis, and decision making functions  in an organization 24
  25. 25. The system utilizes : Computer hardware & software Manual procedures Models of analysis, planning, control, and Database. 25
  26. 26. › Explanation :› Computer based means that the designers of a MIS must have knowledge of computers and of their use in information processing.› The USER-MACHINE means that the systems designer should understand the capabilities of human as system components (as information processors) and the behavior of humans as users of information. 26
  27. 27. › Integration: A plan should eliminate: redundancy, incompatible hardware & software. Achieved through standards and guidelines and procedures.› Data Base: A order system for storing, retrieving and selecting information.› Models: A mathematical representation of an actual system, containing independent variables that influence the value of a dependent variable (text book). Models may be thought of as containing only the essential of the real system. Rapid Application Design, Joint Application Design 27
  28. 28.  I. MIS as an evolving concept › 1. MIS: Many companies are now using their computers to provide information for decision making; that is, they are using a management information system. › 2. MIS can provide managers with information in a usable from.  A MIS is a formal Info network using computers to provide management information for decision making  The goal of MIS is to provide the correct information to the appropriate manager at the right, in a useful form. 28
  29. 29. › 3. Successful MIS must provide info that can be applied:  MIS should know who the users are  MIS should provide the information the user needs  MIS should provide the information in the format the user can understand. 29
  30. 30. NEW OPTIONS FOR ORGANIZATIONAL DESIGN • FLATTENING ORGANIZATIONS • SEPARATING WORK FROM LOCATION • INCREASING FLEXIBILITY • REFINING ORGANIZATIONAL BOUNDARIES • ELECTRONIC COMMERCE • REORGANIZING WORK FLOWS *1.15 30
  31. 31.  Levels of management: In order to understand who the users of an MIS are and what information they need, one must first understand the levels of management and the types of decisions are made at each level. 31
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  33. 33. KINDS OF INFORMATION SYSTEMS KIND OF SYSTEM GROUPS SERVED STRATEGIC LEVEL SENIOR MANAGERS MANAGEMENT LEVEL MIDDLE MANAGERS KNOWLEDGE LEVEL KNOWLEDGE & DATA WORKERSOPERATIONAL OPERATIONALLEVEL MANAGERS SALES & MANUFACTURING FINANCE ACCOUNTING HUMAN MARKETING & ENGINEERING RESOURCES 33
  34. 34. › 1. Lower level management makes decisions that affect day to day operations.  Programmed decisions that are predetermined by rules and procedures. They lead to a desired result.  The information needs of lower-level mgrs. can be met by administrative data processing activities. 34
  35. 35. › 2. Middle-level mgrs. plan working capital, schedule production, formulate budgets, and make short-term forecasts.  Mid-level managers make tactical decisions that usually involve time periods of up to two years.  Many Mid-level mgmt decisions are non- programmed decisions. No specific predetermined steps cab be followed to each solution.  The information needs of Mid-level mgrs. must be specific. 35
  36. 36. › 3. Top-level mgrs. provide direction for the company by planning for the next five years +.  Top-level mgrs. make strategic decisions that involve a great deal of uncertainty.  Top-level mgt. decisions are non-programmed decisions. 36
  37. 37. › TPS, MRS,DSS,EIS,OIS(OAS),BES› 1. Transaction Processing System: Operational data processing  Examples: Manufacturing systems, order processing, accounts receivable, payroll› 2. Management Reporting Systems: Produce reports for specific time periods; designed for managers responsible for specific functions in a firm.  Examples: Departmental expense reports, performance reports • Intra Department • Inter Department 37
  38. 38. › 3. Decision Support Systems (DSS): Designed to support individual and collective decision making. Tailored to specific managerial task, useful for Mgmt control level, Strategic planning level managers.Elements :DB, Model,S/WEconometric Models, Simulation Models DB Model User I/F User 38
  39. 39. › 4. Executive Information Systems (EIS/ESS): A special kind of DSS. Support the work of senior executives (via themselves or an analysts) with access to company data and general information on the industry and economy. Not only requirements but also personality, style of functioning› 5. Office Information Systems (OIS/OAS): Support and coordinate knowledge work in an office environment by handling documents and messages in a variety of forms- text, image, voice, multimedia, video, fax, etc 39
  40. 40. 6. Business Expert system :Artificial Intelligence (Machine as Human)Ex: Medical, Engineering,BusinessAdv: 1. Many Experts 2. Emotionally Independent 3. Multiple Hypothesis 40
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  42. 42. ENVIRONMENT Customers Suppliers ORGANIZATION INFORMATION SYSTEM INPUT PROCESS OUTPUT FEEDBACKRegulatory Stockholders CompetitorsAgencies 1.10 42
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  45. 45. Structure of a Virtual Organizations - Network Organization Firms Acting as Corporate Partners Manu- Info. facturing Systems Core Firm Manu- Management Manu- facturing Mktg & Sales facturing Res. & Dev. Logistics After-Sale Service Virtual Organization Customers 45
  46. 46. MIS as a Discipline 46
  47. 47. LEVELS OF BEHAVIORAL STUDY IN MIS 47
  48. 48. VIRTUAL ORGANIZATION MANUFACTURING DESIGN COMPANY COMPANY CORE LOGISTICSSALES & MARKETING COMPANY COMPANY COMPANY FINANCE COMPANY 1.16 48
  49. 49. CHALLENGE OF INFO SYSTEMS • STRATEGIC: COMPETITIVE & EFFECTIVE • GLOBALIZATION: MULTINATIONAL INFO • INFO ARCHITECTURE: SUPPORT GOALS • INVESTMENT: VALUE OF INFORMATION • RESPONSIBILITY & CONTROL: ETHICS *1.17 49

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