This document discusses different types of management information systems (MIS) used in business functions like accounting, finance, manufacturing, marketing, and human resources. It provides details on the purpose and components of accounting information systems, financial MIS, manufacturing MIS, marketing MIS, and human resource MIS. These systems collect internal transaction data and external data to generate reports that support decision making, routine activities, planning, and control within each business function.

1. Information System in Business Functions

2. Internet An Organization’sMIS FinancialMIS Businesstransactions Databasesofvalidtransactions Drill down reports AccountingMIS Transactionprocessingsystems Exception reports Demand reports Key-indicator reports MarketingMIS Scheduled reports Businesstransactions Databasesofexternaldata HumanResourcesMIS Etc. Extranet Etc. Management Information System

3. Accounting Information System An AIS is a subset of an organization’s MIS that provides: accounting and financial information other information obtained in the routine processing of accounting transactions aggregated information on accounts payable, accounts receivable, payroll, and other applications.

4. Accounting Information System General Ledger Accounts payable/ Accounts receivable Cost Accounting Accounting Information System Accounting Information System Accounting Information System Accounting Information System Financial Reports Sales information from TPS Other Accounting Functions

5. Uses of Accounting Information Systems Producing external reports Supporting routine activities Decision support Planning and control Implementing internal control

6. Financial MIS Provides financial information to all financial managers within an organization.

7. Databases ofexternal data Databases ofinternal data FinancialDSS Businesstransactions Databasesof validtransactionsfor eachTPS Financialapplicationsdatabases Transactionprocessingsystems FinancialMIS Businesstransactions Operationaldatabases Financial statements FinancialES Uses and managementof funds Internet orExtranet Financial statisticsfor control Businesstransactions Customers,Suppliers

8. Inputs to the Financial Information System Strategic plan or corporate policies Contains major financial objectives and often projects financial needs. Transaction processing system (TPS) Important financial information collected from almost every TPS - payroll, inventory control, order processing, accounts payable, accounts receivable, general ledger. External sources Annual reports and financial statements of competitors and general news items.

9. Financial MIS Subsystems and Outputs Financial subsystems Profit/loss and cost systems Auditing Internal auditing External auditing Uses and management of funds

10. Databases ofexternal data Databases ofinternal data ManufacturingDSS Manufacturing MIS Businesstransactions Databasesof validtransactionsfor eachTPS Manufacturingapplicationsdatabases Transactionprocessingsystems ManufacturingMIS Businesstransactions Quality control reports Operational databases ManufacturingES Process control reports JIT reports Internet orExtranet MRP reports Production schedule CAD output Businesstransactions Customers,Suppliers

11. Inputs to the Manufacturing MIS Strategic plan or corporate policies. The TPS: Order processing Inventory data Receiving and inspecting data Personnel data Production process External sources

12. Manufacturing MIS Subsystems and Outputs Design and engineering Master production scheduling Inventory control Manufacturing resource planning Just-in-time inventory and manufacturing Process control Computer-integrated manufacturing (CIM) Quality control and testing

13. Support Activities by IT in Manufacturing Scheduling plant activities Optimized used of machines, personnel, tooling Planning material requirement based on current and forecasted demand Reallocating material rapidly Inventory control in real time Grouping work orders by characteristics

14. Marketing MIS Supports managerial activities in product development, distribution, pricing decisions, and promotional effectiveness

15. Databases ofexternal data Databases ofinternal data ManufacturingDSS Databasesof validtransactionsfor eachTPS Marketingapplicationsdatabases Transactionprocessingsystems MarketingMIS Businesstransactions Sales by customer Operational databases ManufacturingES Sales by salesperson Sales by product Pricing report Total service calls Customer satisfaction

16. Inputs to Marketing MIS Strategic plan and corporate policies The TPS External sources: The competition The market

17. Marketing MIS Subsystems and Outputs Marketing research Product development Promotion and advertising Product pricing

18. Human Resource MIS Concerned with all of the activities related to employees and potential employees of the organization

19. Databases ofexternal data Databases ofinternal data ManufacturingDSS Databasesof validtransactionsfor eachTPS Humanresourceapplicationsdatabases Transactionprocessingsystems HumanResourceMIS Businesstransactions Benefit reports Operational databases ManufacturingES Salary surveys Scheduling reports Training test scores Job applicant profiles Needs and planningreports Figure 9.12

20. Inputs to the Human Resource MIS Strategic plan or corporate policies The TPS: Payroll data Order processing data Personnel data External sources

21. Human Resource MIS Subsystems and Outputs Human resource planning Personnel selection and recruiting Training and skills inventory Scheduling and job placement Wage and salary administration