Management Information System Essay
MIS: Definition MIS is prevalently demystified as the Information System, the Information and one definition, some of which are given below: The MIS is defined as the system that provides information support for decision making in the organization. The MIS is defined as an integrated system of man and machine for providing the information to support the operations, the management and the decision making function in the organization. The MIS is defines as the system based on the data base of the organization evolved for the purpose of providing information to the people in the organization.
The MIS is defines as a Computer-based Information System. Role of Management Information System The role of MIS is an organization that can be compared to the role of heart in the body. The system ensures that an appropriate data is collected from various sources processed, and then further sent to individuals, group of individuals or the management functionaries: the managers and the top management. It satisfies diverse needs through a variety of systems such as Query Systems, Analysis Systems, Modeling Systems and Decision Support System. MIS contributes to Strategic
Planning, Management Control, Operational Control and Transaction Processing. It helps Clerical personnel in the transaction processing
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It helps Top management in goal setting, strategic planning and evolving the business plans and their implementation. It plays an important role in information generation, communication, problem identification and helps in the process of decision making Thus, MIS plays a vital role in the management, administration and operations of an organization. Impact of Management Information System Management Functions MIS facilitates effective management of marketing, finance, production and personnel. It eases the tracking and monitoring of the functional targets.
The national management is informed about the progress, achievements and shortfalls in the activity and the targets. It helps in forecasting and long-term perspective planning. The manager’s attention is brought to a situation that is in exception in nature, inducing him/her to take an action or a decision in the matter. Understanding Business MIS uses the dictionary of data, entity and attributes. Respectively, designed for information generation in the organization. Since all Information Systems use the organization delivering clarity in the communication and a similar understanding of n event in the organization.
Systemization of business operations MIS leads to streamlining the operations, which complicate the system design. It improves the administration of business by bringing a discipline in its operations, as everybody is required to follow and use systems and procedures. This brings a high notch of professionalism in the business operation. Directing towards goals It helps indirectly to pull the organization in one direction towards the corporate goals and objectives by providing relevant information to the people in the Management Efficiency
The fund of information motivates an enlightened manager to use a variety of tools of the management. It helps him to resort to such exercises as experimentation and modeling. Reduction of manpower overhead Since MIS works on the basic systems such as transaction processing and databases, the drudgery of clerical work is transferred to the computerized system, relieving the human mind for better work. MIS and the User Every person in the organization is the user of MIS. The people in the organization operate at all levels in the hierarchy. MIS caters to the needs of all. Clerk
The main task of a clerk is to search the data, make a statement and submit it to the higher level. A clerk can use the MIS for quick search and reporting the same to the higher level. Assistant Assistant has the task of collecting and organizing data, and conducting a rudimentary analysis of it. MIS offers user tools to perform such tasks. Officer Officer has a role of integrating the data in different systems and disciplines to analyze it and make a critical comment if necessary. Executive Executive plays the role of decision-maker and a planner. He is responsible for achievement of targets and goals of an organization.
MIS provides facility to analyze the data and offers the decision support system to perform the task of execution. MIS provides an action-oriented information. Manager strategist and a long-term planner, a person of foresight and analytical. MIS provides information in a structured or unstructured format to take actions. MIS caters to his changing needs of information. Through MIS, the information can be implemented as a strategic weapon to ledge the threats to business, making business more competitive, bringing about the organizational transformation through integration.
A good MIS also erects an organization seamless by removing communication barriers. Management as a Control System A definition of control is the process through which managers assure that actual activities conform to the planned activities, leading to the achievement of the stated common goals. The control process measures a progress towards those goals, and enables the manager to detect the deviation from the original plan in time to take corrective actions before it is too late.
Robert J Mocker defines the points out the essential elements of the control process. The basic steps of the control process are even in the figure, To set the performance standards in line with the performance objectives To design the information feedback systems To compare the actual performance with the predetermined standards To identify the deviations from the standards To measure its significance and to take corrective actions in case of significant deviations. This systematic effort is undertaken through the management control system.
A reliable and effective control system has the following features. EARLY WARNING MECHANISM This is a mechanism of predicting the possibility of achieving the goals and the tankards before it is too late and the allowing the manager to take corrective actions. PERFORMANCE STANDARDS The performance standard must be measurable and acceptable to all the organization. The system should have meaningful standards relating to the work areas, responsibility, managerial functions and so on.
STRATEGIC CONTROLS In every business these are strategic areas of control known as the critical success factors. The system should recognize them and have controls instituted on them. FEEDBACK The control system would be effective, if it continuously monitors of the performance ND sends the information to the control center for action. ACCURATE AND TIMELY The feedback should be accurate in terms of results and should be communicated in time for corrective action.
REALISTIC The system should be realistic to that the cost of control is far less than benefits. Sufficient incentive and rewards are to be provided to motivate the people. The system should have the information flow aligned with the organization. Structure and the decision-makers should ensure that the right people get the right information for action and decision making. EXCEPTION PRINCIPLE The system should selectively approve some significant deviations from the performance standards on the principle of management by exception.
MIS: A support to the Management The management process is executed through a variety of decisions taken at each step of planning, organizing, staffing, directing, coordinating and control. The MIS aids decision making suitably. Decisions in Management Steps in Management Decision Planning A selection from various alternatives-strategies, resources, methods, etc. , Organization A selection of a combination out of several combinations of the goals, people, resources, method, and authority Staffing
Providing a proper manpower complement Directing Choosing a method from the various methods of directing the efforts in the organization Coordinating Choice of the tools and the techniques for coordinating the efforts for optimum results Controlling A selection of the exceptional conditions and the decision guidelines ‘Enhanced Estates’ provides a good model (Fig a) for the analysis of management effectiveness, which generates an enterprise effectiveness in achieving goals and objectives.
The model is puts a lot of emphasis on the management philosophy and the environment factors on which the effective news is dependent. The environment the management philosophy sets the guidelines for deciding the management practices to run the enterprise. While environment factors are difficult to control, it is left to the management to change its philosophy towards the various players in the business, biz. , the employees, the consumers, the suppliers, the government, the community and the shareholders.
If the attitude is to treat the employees as business partners, we empower them and create a sense of belonging to the organization. Such an attitude will have an impact on the management practices where the employee will play a successive role. It will affect the organization structure by reducing its size and the reporting levels. To a higher satisfaction, then the management practices in the product design, manufacturing and marketing will undergo a significant change.
The product life cycle will be then a short, and more features and functions will be added to the product fulfilling not only the functional needs but also the service needs of the consumer. The management practices therefore emerge out of the management philosophy and the environment in which it operates. The management effectiveness will largely upend on both these factors. The MIS design would, therefore, be different depending upon the management practices followed by several organizations in the same industry.
It has its implications on the business operations and profits. It considers social, technological, political, educational, economical changes expected to occur in five to six years. The setting of goals, objectives and targets helps to pull the resources of the organization in one direction and solve. It helps build strategies, frame policies and set the rules of conducting the business. It provides an effective measure to monitor the managerial process. The people in the organization can have a common understanding of the purpose of managerial process and business operations.
The goals, objectives and targets become reference points for strategic planning and operation planning. It further helps the management to identify key areas of business and management attention. The performance appraisal of the manager become impersonal and unbiased as it is done with reference to achievement of goals, objectives and targets. Its advantage is that it stimulates the development of people and provides motivation Organization as a System Each employee has needs which, if congruent with the goals and objectives of the organization, should lead to high levels of performance and Job satisfaction.
When individual needs and organizational goals are not congruent, poor performance, resistance, and other dysfunctional consequences can result. The introduction of an information system can alter the relationship between individual needs and organizational objectives. This section describes an approach to viewing organizations from both the individual and overall organizational perspective called Socio-technical approach, it is useful for dealing with the effects of new information systems.