This document discusses Management Information Systems (MIS). It defines MIS as a system that converts data from internal and external sources into meaningful information to help managers make timely decisions. The document outlines the importance of MIS in providing the right information to the right people at the right time. It also discusses the components, characteristics, establishment and performance evaluation of effective MIS.

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CONTENTS
• Introduction
• Importance
• Components of MIS
• Limitations
• Establishment
• Performance Appraisal
• Current practices

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INTRODUCTION
M I S
• Management: What is management?
• Information: What is information?
• Systems: What are systems?

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A. MANAGEMENT:
“Management is group of individuals who does :
1. Planning - Goal setting, Environmental scanning, Forecasting and Data
collection
2. Organizing - Staffing, Coordinating, Delegating, Understanding,
Procedures/ Policies
3. Leading- Authority, Motivating, Directing ( Delegation of
responsibilities ) activating, Supervising, Negotiation and Persuading
4. Controlling - Controlling: Resources- Money (capital), manpower
(people), materials, machines, movement (Distribution, flow), and
Information. Measuring, Evaluating , Reporting, corrective action and
feed back
5. Communicating: Goals/Objectives, standards of desirability.
Informing, Persuading, Negotiation, Corrective action, Listening

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B. INFORMATION:
“ Def: 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.
1. Data (raw material)- Alpha-numeric and Symbolic : Stored facts, inactive
(they exist), technology based and gathered from various places
2. Processed data :meaningful, perceived value, motivating action, HAS
SURPRISE VALUE, HAS NEWS VALUE, Presented facts, active (it enables doing),
business based (Domain based) and transformed form data
3. Model : entity, attribute and relationship
4. Reduces Uncertainty
5. Reduces Equivocal (ambiguity)
6. Knowledge/Power
7. Send/Receive Messages

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• Data vs. Information
– Data
• A “given,” or fact; a number, a statement, or a picture
• Represents something in the real world
• The raw materials in the production of information
– Information
• Data that have meaning within a context
• Data in relationships
• Data after manipulation

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Information
Formal Informal

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Data Inputs Information Outputs
Capture
Manipulation
Storage
Provision of Access
at User Location
External
Data
Internal
Data
Information System
Query Response
Decision Outcome
Expert-System Advice
Transaction Document
Report
Organization
Environment

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C. SYSTEMS
Physical system is a set of components (subsystems or
elementary parts) that operate together to achieve a
common objective (or multiple objective).

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– Subsystem: One part of a system where the
products of more than one system are combined to
reach an ultimate goal
– Closed system: Stand-alone system that has no
contact with other systems
– Open system: System that interfaces with other
systems
– Abstract system: Input-process-output an orderly
arrangement of interdependent ideas or constructs.
– Physical system : A set of elements which operate
together to accomplish an objective

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“A system to covert data from internal and external
sources into information to communicate that
information in an appropriate form to managers at
all levels, in all functions to make timely and
effective decisions for planning, directing and
controlling the activities for which they are
responsible”
Definition of MIS

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1 .An organized approach to the study of the information
needs of an organization's management at every level in
making operational, tactical, and strategic decisions. Its
objective is to design and implement procedures,
processes, and routines that provide suitably detailed
reports in an accurate, consistent, and timely manner.
Meaning of MIS

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• System emphasizing a fair degree of integration and a
holistic view;
• Information stressing on processed data in the context in
which it is used by end users;
• Management focusing on the ultimate use of such
information systems for managerial decision making.

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MIS is the system, which makes available the right
information to the:
 Right Person
 At Right Place
 At right time
 In the right format/form
 At right cost.

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Types of MIS
• --Customer relationship management
--Financial management
--Strategic plan development
--Inventory management systems
--Optimal investing strategy creation
--Projected operating expenses and cost control
• Other types of MIS systems calculate projected tax
revenue for governments; statistical evaluations of all
types for business, researchers and universities;
scientific purposes in all disciplines; and cost/benefit
relationships for decision-making purposes.

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Benefits of MIS
The benefits of MIS systems to businesses, governments, scientists,
universities, students, nonprofits and all other entities are diversified.
Some examples of the most often realized benefits include the
following:
• Implementation of Management by Objectives (MBO) techniques: MIS
allows all participants, both management and staff, to view, analyze,
and interpret useful data to set goals and objectives.
• Generates competitive advantages: MIS, if implemented properly,
provides a wealth of information to allow management to construct
effective plans to meet, and beat, their competition.
• Fast reaction to market changes: MIS can deliver facts, data and
trends to businesses with lightning speed. Having this information
allows companies to react quickly to market changes.

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Importance of MIS
 MIS transforms data input into information output.
 It has application and importance at different level of an
organization.
 Top management level , it is related to the process of
periodic revision of objective of the organization and
identification and material resource necessary for
achieving these objective .
 Performance evaluation.
 To know if organization achieving the objectives.
 To identify problems.
 Comparison.
 Coordination.
 Decision-making and programme planning .

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The objects of MIS
• To make the desired information available in the right form to the
right person and at the right time.
• To supply the required information at a reasonable cost for decision
making, Problem solving, & controlling.
• To use the most efficient methods of processing data.
• To provide necessary security & the secrecy for important and/or
confidential information.
• To keep the information up-to-date.

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The Concept of MIS

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Levels of Management:
In order to understand who the users of an MIS
are and what information they need, To
understand levels of management and the types of
decisions are made at each level.

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Levels of MIS
M I S

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CHARACTERISTICS OF MIS
• Management oriented
• Management directed
• Integrated system
• Avoid redundancy
• Common data flow
• Heavy planning element
• Flexibility
• Computerization
• Relevance
• Periodic evaluation

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STEPS & COMPONENTS
1. Definition of information requirement
The information which is required to be
obtained and made available by MIS has
specific uses ,serving specific management
needs. The information requirements must be
identified and specified by management.
• Criteria of satisfactory information.
 Relevant & Appropriate
 valid.

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 Sufficiently Accurate.
 Capable of being handled analyzed & interpreted.
 Necessary, useful and meaningful
 Minimum but adequate in quantity .
 simple
 Timely
 Complete and Action Oriented
 Operational importance

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2. Identification of data requirement
3. Collection of data from institutions and field levels
4. Conversion of data into information.
5. Time – bound collection, processing and transmission of
data/information.
6. Analysis, regrouping and presentation of information

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7. Interpretation ,Comparison, Evaluation.
8. Feedback , identification of problem.
9. Decision making and activity planning .
10.Monitoring for improvement.
11.Review of MIS.

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Limitations of MIS
• Short coming in the process of Analysing,
data collection etc
• MIS is not an end its just means
• The tool will be as useful as the way it is
used
• Its not panacea for all ills
• By itself its not going to solve the problem
• Interaction wit cultures, lack of adequate
motivation work ethics

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• Lack of assessment of qualitative
performance

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Establishment of MIS
To achieve sound MIS, the
organization's planning process should include
consideration of MIS needs at
both the tactical and strategic levels.
Without the development of
an effective MIS, it is more difficult for
management to measure and monitor
the success of new initiatives and the progress of
ongoing projects.

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Performance Evaluation
• A regular and continuous evaluation of
quantity and quality and styles of
performance and behavior.
• Outcome of MIS is in twofold:
• Evaluate the performance of individual
• Monitor activities of different administrative
units for the individuals are responsible

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• For carrying out a systematic evaluation,
indicators may be used.
• If it performed methodologically achieves
number of objectives

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Risks Associated With MIS
The five elements of a useable MIS system
are:
• Timeliness
• Accuracy
• Consistency
• Completeness
• Relevance

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• Inadequate analysis
• Lack of management involvement in design
• Emphasis on the computer system
• Concentration on low-level data processing
• Lack of knowledge of capability of ICT systems
• Lack of teamwork
• Lack of professional standards

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References
• Epidemiology and management for health care for all by P.V.Sathe
• Ahituv, N., Neumann, S., & Riley, H. N. (1994). Principles of
information systems for management (4th ed.). Dubuque, IA: Wm.
C. Brown Communications.
• Awad, E. M., & Gotterer, M. H. (1992). Database management.
Danvers, MA: Boyd & Fraser.
• Banerjee, U. K., & Sachdeva, R. K. (1995). Management information
system: A new frame work. New Delhi: Vikas Publishing House.
• Imboden, N. (1980). Managing information for rural development
projects. Paris: Organization for Economic Co-operation and
Development.

35. Thank You
“Doubt is better than Over-confidence”