1. ASSIGNMENT 1
SUBS YSTEMS OF INFORMATION SYSTEM
SUBMITTED BY:
 NAME SANA RIAZ
 SECTION 1A
 ROLL NO 86117
SUBMITTED TO:
 PROFESSOR AYZED MIRZA

2. System
A system is a group of elements that
are integrated with the common purpose
of achieving objective
Example
He bought a new stereo system. The system consist of a motor and a
small component.
Information system -
System consisting of the network of all
communication channels used within an
organization.
A combination of hardware, software,
infrastructure and trained personnel
organized to facilitate planning, control,
coordination, and decision making in an
organization.

3. Management information system
Meaning of MIS :
M = Management = Practical Use of Power of Decision Making
I = Information = Useful Data
S = System = Technique of Use of Data for Business
Definition of MIS:
Management information system is that system
in which raw data is collected and analyze it.
After making it useful, it is used for decision
making of business.

4. SUB SYSTEMS OF MIS
A Sub system is simply a system .This means that a system exist on more
than one level and can be composed of sub systems or element parts .
Following are the subsystems of MIS:
1. Transaction processing system
2. Management reporting system
3. Decision support system
4. Office information system
5. Integretted information system
EXAMPLE:
Let us look at a simple example of a business transaction. McDonald's, which
sells a large number of hamburgers every day, orders raw materials from its
suppliers. Each time the company places an order with a supplier, a transaction
occurs and a transaction system records relevant information, such as the
supplier's name, address, and credit rating, the kind and quantity of items
purchased,
TRANSACTION PROCESSING SYSTEM
A Transaction Processing System
(TPS) is a type of information system
that collects, stores, modifies and
retrieves the data transactions of an
organization.

5. An informational scheme for the collection,
storage, retrieval and modification of
transactions made by an organization.
MODES OF TRANSACTION PROCESSING SYSTEM
Transaction processing may be accomplished in one of two modes:
1. On-line mode
2. Batch mode
Characteristics of on-line transaction processing:
Each transaction is completely processed immediately upon entry. More costly
than batch processing.Database is always up to data. Require the use of fast
secondary storage such as magnetic disks
Characteristics of batch transaction processing:
Cheaper than on-line processin. Easier to control than on-line processing. Database
is constantly out of date. Batch processing is now being captured using disk files
Transaction Processing Activities
1. Data capture and validation
2. Transaction - dependent processing steps
3. Database maintenance

6. 1. Date Capture
a. Direct data entry.
Transaction processing systems rely on electronic data interchange (EDI). By
replacing paper documents with formatted transaction data sent over
telecommunications networks, these systems provide for computer-to-computer
communication without repeated data entry.
2. Data Validation
Typical validation tests include checking for missing data items, valid codes, and
valid values. More extensive validation may entail authorization of the transaction
based on the customer=s record and available inventory.
2. Processing Steps Dependent on the Transaction
and on Processing Mode
The following processing steps may be performed:
1. Classification
2. Sorting Transaction records are arranged
3. Data Retrieval
4. Calculation
5. Summarization
Database Maintenance
After transactions other than inquiries, system files or databases must be
updated. The data accumulated by TPSs thus serve as a source of detail for
management oriented components of information systems.

7. Components of TPS
1. Input 3. Storage
2. Processing 4. Output
Features OF TPS
 Good data placement
 Short transactions
 Real-time backup
 Archiving of historical data
 Good hardware configuration
Files used by TPS
In a TPS, there are 5 different types of files. The TPS uses the files to store and
organize its transaction data:
 Master file: Contains information about an organization’s business situation.
Most transactions and databases are stored in the master file.
 Transaction file: It is the collection of transaction records. It helps to
update the master file and also serves as audit trails and transaction
history.
 Report file: Contains data that has been formatted for presentation to a
user.
 Work file: Temporary files in the system used during the processing.
 Program file: Contains the instructions for the processing of data

8. MANAGEMENT REPORTING SYSTEM
The History of Management Reporting
In March 1995, the Management Reporting and Financial Operations Project was
created as a result of these recommendations. A major focus of the project has
been the implementation of the SAP R/3 financial system. The first phase of the
implementation was completed in September 1996 when SAP became the system of
record at MIT. At that time the central financial offices (CAO, Purchasing, OSP,
etc.) began to use the software. The second phase - now called Rollout98 - will be
completed when SAP has been distributed to all MIT departments, labs, centers
and offices, and users have been trained and given access full functionality of the
system
A management reporting system is essentially a
mechanism for monitoring the mission of an organization.
In a formal plan it is defined in terms of three distinct
streams.
a. The desired organization structure.
b. The time phased statement of organizational goals
c. The critical variables for success.

9. Characteristics of MRS
Characteristics of MRS include:
1. They are usually developed by information systems professionals, rather than by
end users,
2. These systems are build for situations in which information requirements are
reasonably well known and expected to remain relatively stable.
3. MRSs do not directly support the decision-making process as a search for
alternative solutions to problems and the selection of the solution to be
implemented.
4. MRSs are oriented toward reporting on the past and the present, rather than
projecting the future.
5. MRSs generally have limited analytical capabilities.
6. MRSs largely report on internal company operations rather than spanning the
company=s boundaries by reporting external information.
Functions OF MRS
 Analyze data from virtually any perspective
 Export reports in various formats including XLS and PDF
 Run a group of reports in one step
 Easily access extensive library of standard reports
 Run reports based on a variety of analysis parameters
 Run and profile reports to the Document Management System
(DMS) in one step
 Design customized reports with built-in Report Designer
 Drill down reports for interactive analysis

10. Objectives and Goals
1.New administrative processes are simple and cost-effective.
2.Processes deliver timely, accurate, relevant, consistent, accessible management
information.
3.The new processes facilitate and improve management decisions.
4.The MIT community perceives real and tangible advantages of the new
processes
Reporting by Management Report Systems
.MRSs provide the following types of reports:
Periodic scheduled reports
These reports follow a predetermined format and are used for providing
information to managers on a regular basis. An example of a periodic scheduled
report is the daily sales report.
Exception reports
These reports are not generated on a regular basis but only in exceptional
situations. For example, a report on customers who have taken an overdraft would
need to be prepared if defaulters are to be traced.
Demand reports and responses
These reports are alternatively termed as ad hoc reports. They are generated as
and when the manager requires them. Managers use queries and report generators
for such reporting.

11. Management Function, Level, and Decision Type
It introduced the idea that a manager’s need for information -- quantity,
frequency, level of aggregation -- is affected by the manager’s position in
the organization and the type of decisions he or she makes. This part of the
chapter discusses four categories of planning and control decisions:
• strategic planning decisions made by top-level managers;
• tactical planning decisions made by middle managers to implement
strategic plans;
• management control decisions raise some concerns about
distinguishing between the manager and the unit he or she manages;
and
• operational control decisions which aim to assure that the organization
operates in accord with preestablished criteria.
Problem Structure
It should not be surprising that there are different types of problems. The
text discusses three elements or aspects of problems that determine
whether a problem can be regarded as structure or unstructured. These
elements are :
The data related to the situation;The procedures or decision rules
used in solving the problem and the objectives that the decision
maker has for solving the problem.
A. When all elements are known with certainty, the problem is structured.
B. Unstructured problems involve uncertainty on one or more of those
elements. When this is the case, the solution is not obvious. Judgement is
important.

12. DECISION SUPPORT SYSTEM
A Decision Support System (DSS) is a computerized
system that assists in corporate decision making,
with a decision being a choice between alternatives
based on the estimated values of those alternatives.
Supporting a decision means to assist people working
alone, or in a group, to gather intelligence, generate
alternatives and make choices
A Decision Support System (DSS) is a collection of
integrated software applications and hardware that
form the backbone of an organization’s decision
making process. Companies
Information systems that support your decision-making
activities. Decision Support Systems analyzes
business data and provide interactive information
support to managers and business professionals during
the decision-making process, from problem recognition
to implementing your decision.

13. For example,
A medical decision making often involves making a diagnosis and selecting an
appropriate treatment. The closer we get to completely automating our lives, the
more crucially we depend upon these kinds of decision-making to be correct beyond
a shadow of a doubt! Imagine a wrong decision being made about a medical
diagnosis, or even in terms which we would encounter each and every day, decisions
about money or our own wealth simply cannot be wrong!
COMPONENTS OF DSS
DSS components may be classified as:
1. Inputs: Factors, numbers, and characteristics to analyze
2. User Knowledge and Expertise: Inputs requiring manual analysis by the user
3. Outputs: Transformed data from which DSS "decisions" are generated
4. Decisions: Results generated by the DSS based on user criteria
TYPES OF DSS
There are a number of Decision Support Systems. These can be categorized into
five types:
 Communication-driven DSS
Its purpose are to help conduct a meeting, or for users to collaborate.
Examples: chats and instant messaging software, online collaboration and
net-meeting systems.
 Data-driven DSS
It is used to query a database or data warehouse to seek specific answers
for specific purposes.. Examples: computer-based databases that have a
query system to check
 Document-driven DSS
. The purpose of such a DSS is to search web pages and find documents on a
specific set of keywords or search terms. The usual technology used to set
up such DSSs is via the web or a client/server system. Examples:

14.  Knowledge-driven DSS:
-. It is essentially used to provide management advice or to choose
products/services. For example computer of business .
 Model-driven DSS
Model-driven DSSs are complex systems that help analyze decisions or
choose between different options. These are used by managers and staff
members of a business, or people who interact with the organization,
.CHARACTERISTICS OF DSS
Key DSS characteristics and capabilities are:
 Supports decision makers in semi structured and unstructured problems.
 Supports managers at all levels.
 Supports individuals and groups.
 Supports interdependent or sequential decisions.
 Support intelligence, design, choice, and implementation.
 Supports a variety of decision processes and styles.
 Should be adaptable and flexible.
 Should be interactive and easy to use.
 Benefits exceed cost.
 Complete control by decision-makers.
 Easy modification to suit needs and changing environment.
 Supports modeling and analysis.

15. OFFICE INFORMATION SYSTEM
EXAMPLE
An advanced word processing system in Data
Preparation Division that processes and stores
large volumes of census documents.
An office information system, or OIS, is an
information system that uses hardware,
software and networks to enhance work flow
and facilitate communications among
employees.
With an office information system, for example, a registration department might
post the class schedule on the Internet and e-mail students when the schedule is
updated. In a manual system, the registration department would photocopy the
schedule and mail it to each student’s house.
PURPOSE OF OIS
The primary purpose of the Office of Information Systems (OIS) is to support
each VMH through automation by providing technical support and services in the
development and maintenance of computerized systems for the timely retrieval of
accurate information to enable effective planning, operation and monitoring of
services rendered.

16. OBJECTIVES OF OIS
The Office of Information Services (OIS) at each VMH shall ensure that:
a. All data in computerized systems is protected from unauthorized access
through the use of Role Based Access Permissions;
b. All Protected Healthcare Information (PHI) that is transmitted in
compliance with regulatory reporting is encrypted for transmission using
appropriate transport clients and network protocols;
c. All data is protected from loss through scheduled back-up procedures.
RESPONSIBILITIES OF OIS
1. OIS shall provide computing and information retrieval capabilities to the
VMH’s commensurate with their needs and mission, based on the priorities
established by the DMAVA-DVHS management and each VMH.
2. OIS is required to meet federal and state mandates for the reporting of
resident information.
3. OIS shall apply information systems technology with the goal of providing
improved record keeping and reporting capabilities.
4. OIS shall meet the information needs at each VMH through the
development and implementation of unique systems within specific
departments or integrated systems, which cross departments at the facility
level.
PROCEDURES OF OIS
In order to ensure that the policies and objectives of the Office of Information
Systems are met, and in compliance with the established policies of the DVHS, the
federal government (CMS) and the State government (DHSS), the following
guidelines will be followed:

17. a. Information Systems planning and development is coordinated within
the Office of Information Systems.
b. The Chief Information Officer (CIO) for DMAVA shall approve the
purchase of all computer hardware/software, with the concurrence of
the Office of Information Technology (OIT).
c. An inventory of all computer equipment and programs will be
maintained.
d. The facility OIS Director approves and coordinates all computer
related training, including the use of all outside consultants.
e. All facility employees authorized to use computers will do so in
compliance with the standards established by OIS for ensuring the
appropriate environment and security while maintaining the safety of
the hardware, software, and computer operator.
EXPERT SYSTEM
Artificial intelligence based system that converts the knowledge
of an expert in a specific subject into a software code. This code
can be merged with other such codes (based on the knowledge of
other experts) and used for answering questions (queries)
submitted through a computer/Expert systems .
An expert system is computer software that attempts to act like
a human expert on a particular subject area.

18. EXAMPLE
For example, there are expert systems that can diagnose human illnesses, make
financial forecasts, and schedule routes for delivery vehicles. Providing financial
advice - whether to invest in a business, etc. (the knowledge base would contain
data about the performance of financial markets and businesses in the past)
History of ES
Expert systems were introduced by researchers in the Stanford Heuristic
Programming Project, including the "father of expert systems" with the Dendral
and Macon systems. Principal contributors to the technology were Bruce Buchanan,
Edward Shortliffe, Randall Davis, William vanMell, Carl Scott and others at
Stanford. Expert systems were among the first truly successful forms of AI
software.
How Do Expert Systems Work?
An expert system is made up of three parts:
 A user interface - This is the system that allows a non-expert user to query
(question) the expert system, and to receive advice. The user-interface is
designed to be a simple to use as possible.
 A knowledge base - This is a collection of facts and rules. The knowledge
base is created from information provided by human experts
 An inference engine - This acts rather like a search engine, examining the
knowledge base for information that matches the user's query
Generic Categories of Expert System
Applications
The generic areas of ES applications where ES can be applied. Application areas
include classification, diagnosis, monitoring, process control, design, scheduling and
planning, and generation of options.

19. o Classification - identify an object based on stated characteristics
o Diagnosis Systems - infer malfunction or disease from observable data
o Monitoring - compare data from a continually observed system to prescribe
behaviour
o Process Control - control a physical process based on monitoring
o Design - configure a system according to specifications
o Scheduling & Planning - develop or modify a plan of action
o Generation of Options - generate alternative solutions to a problem
Benefits of Expert Systems
Some of the possible organizational benefits of expert systems are:
1. An Es can complete its part of the tasks much faster than a human expert.
2. The error rate of successful systems is low, sometimes much lower than the
human error rate for the same task.
3. ESs makes consistent recommendations
4. ESs is a convenient vehicle for bringing to the point of application difficult-to-use
sources of knowledge.
5. ESs can capture the scarce expertise of a uniquely qualified expert.
6. ESs can become a vehicle for building up organizational knowledge, as opposed to
the knowledge of individuals in the organization.
Limitations of Expert Systems
No technology offers an easy and total solution. Large systems are costly and
require significant development time and computer resources. ESs also has their
limitations which include:
1. Limitations of the technology. Problems with knowledge acquisition. Operational
domains as the principal area of ES application. Maintaining human expertise in
organizations