MIS Concepts & Design

1. MIS Concepts & Design by Dr Nisha Kant Ojha

3. Information is Critical The information we haveis not what we want, The information we want is not the information we need, The information we needis not available.

4. Information is a Resource It is scarce It has a cost It has alternative uses There is an opportunity cost factorinvolved if one does not processinformation

5. Why need Information? To ensure effective andefficient decision- makingleading to prosperity of theOrganisation.

6. What is MIS? Short for Management Information System - MIS refers broadly to a computer-basedsystem that provides managers with the toolsfor organizing, evaluating and efficientlyrunning their departments.

7. What is MIS? Right InformationTo the right personAt the right placeAt the right timeIn the right formAt the right cost

8. Management Information System The three sub-components Management, Information and System - together bring out the focus clearly & effectively. System emphasizing a fair degree of integration and a holisticview; Information stressing on processed data in the context inwhich it is used by end users; Management focusing on the ultimate use of such informationsystems for managerial decision making.

9. The Concept of MIS Judgement / Skill / External Processing Logic Intution Experience Environment Decision Computers Choice Intelligence Design Data Infor- Human Beings mation Decision Making Data Database Data Decision Implementation MIS Performance Monitoring / Feedback

10. Why MIS? It’s Role Increased Business & Management Complexities

11. Increased Business Complexities Technological Revolution Research & DevelopmentExplosion of Information

12. Increased Management Complexities Management Science TechnologiesDecision-making Onset of Computers

13. Functional Uses of MIS Enhance : Quality of our operationsQuality of our services We achieve : Efficiency Transparency Speedy Decision making

14. Strategic Uses of MIS Precise development of strategies, planning, forecasting and monitoringProblem solving Decision-making Separate work from location

15. Historic Development The concept of MIS has changed substantially over theyears. In the 50’s and 60’s, the management saw the potential ofcomputers to process large amounts of data speedily andaccurately. The departments that were involved with such activitieswere known as Electronic Data Processing(EDP)departments. The focus of EDP was Record Keeping e.g.accounting data - Payroll data.

16. Historic Development In the 70’s, there was a discernible shift from data toinformation. The focus was not on data but on the analysisof Organisation data. There was a shift in the philosophy. Such a concept came to be widely known as ‘ManagementInformation System’. right information in right time to right people

17. Historic Development In the 70’s the top management relied on the staff of EDP& MIS to supply the necessary information. The 80’s saw the Personal Computer (PC)revolution. The Personal Computer & the desk-top metaphor changedthe picture completely. The biggest pay-off for such direct use was the “what-if”analysis capability. This led to the emerge of Decision Support Systems(DSS).

18. Historic Development The information and decision hungry managers of 80’s saw ahuge potential in the expert systems as a result of spectaculargrowth in the Artificial Intelligence area. Combined with DSS philosophy the expert systems could supplya superior class of managerial information support, known as Knowledge Based Systems (KBS).

19. Historic Development The EDP targeted the operational level of management. The MIS/DSS/KBS target the middle management. Attempts were made to provide information to top managementas well, known as Executive Information System (EIS).

20. Historic Development AI KS/ES ArtificialIntelligence Knowledge/ Expert System ESS Executive Support System DSS Decision Support System MIS Management Information System OAS Office Automation System TPS TransactionProcessing System 1950s 21st Century

21. Historic Development EDP - Focus on Data Focus on CommunicationFocus on Information OAS - MIS - DSS - Focus on DecisionSupport EIS - Focus on Decision Support forTop Management Focus on ConsultationFocus on self-learning /thinking systems ES - AI -

22. Characteristics of MIS Management Computer Accounting Science ManagementScience / Theory MIS OperationsResearch BehaviouralSciences OrganisationTheory A multi-disciplinary Subject

23. Typical MIS Systems Classification through functional disciplines Production Finance Personnel Marketing Strategic New Plant Alternative Welfare Competitor Location Financing Policy Survey Tactical Production Variance Performance Advertising Bottleneck Analysis Appraisal Operational Daily Payroll Leave Sales Scheduling Records Analysis

25. Organisational Systems & MIS Classification of Management Strategic Top decisions Tactical Middle decisions Operational Operational decisions

26. Organisational Systems & MIS right information in right time at right level Operational Level - accuracy & timeliness of informationcollection and dissemination is important Tactical & Strategic Level - relevance is the watch-word Efficiency at Operational level Effectiveness at tactical & strategic level

27. Organisational Systems & MIS Mapping organisational level and structure into the design of any MIS is very important for its successful implementation.

29. The Technology Component Information Technology (IT) has changed the wayorganisations function and carry out their activites. Computers have fundamentally changed MIS from anabstract concept to concrete system that provide efficiencyand transparency in the Oraganisation.

30. The Technology Component Computer Hardware CPU Arithmetic Logic Unit Primary Storage Control Unit Data Bus Address BusControl Bus Input Output Secondary Devices Devices Storage

31. The Technology Component Software Categories Application Software System Software Hardware

32. The Technology Component Data Communication Data Communication consists of Data Processing & Transactions Transaction is a fundamental organisationalfunction Data Transmission Transmission : Media, networks and paths Processing :Getting/delivering the right message tothe right receiver Control : Routing messages, structure maintenance.

34. Database Technology At the heart of the Information Systemsof an Organisation is the centralrepository of Organisation Data.

35. Databases Data - raw facts/details DATABASE- A shared collection of logically related data.Models real-world enterprise. B Entities B students, courses, instructors Relationships B Suman is currently taking MB101 B Vijay is currently taking MB102 B Abhishek is currently taking MB103 buttook MB101 last semester

36. Databases Database Management System (DBMS):large software package designed to store andmanage databases

37. Databases are everywhere: Your wallet is full of DB records Driver’s license Credit cards Gym membershipIndividual checks Rs. 500 notes (w/serial numbers)Maybe even photos (ids on back)

38. Why We Need DBMS? There is an information explosion intoday’s society Need to keep accurate records Advantages of using a DBMS fall into threemain categories: Proper maintenance of the dataProviding access to the dataMaintaining security of the data

39. Traditional Approach Applications developed in an ad-hoc andopportunistic manner Data requirements for applications derivedindependently Data files developed for individualapplications Application programs are data dependent

40. Files Dedicated to ApplicationPrograms overdue reservationdata loan data letters reservationprogram loan overdue loansprogram program book person reservationfile loan file file file

41. Database Approach Centralization of informationmanagement Data shared by different groups of usersand application programs Integrity constraint handling Advanced facilities for backup andrecovery

42. Data Sharing in a DatabaseEnvironment overdue reservationdata loan data letters reservationprogram loan overdue loansprogram program DATABASE MANAGEMENT SYSTEM book reserv loan ation person

43. Interacting with a Database DBMS Database Application Programs End Users

44. Advantages Sharing of data Enforcement of security Enforcement of development andmaintenance standards Reduction of redundancy Avoidance of inconsistency acrossfiles Maintenance of integrityData independence

45. 3-levels Architecture EXTERNAL LEVEL (individual view) VIEW 1 VIEW 2 CONCEPTUAL LEVEL (community view) Structural Properties& Constraints Logical INTERNAL LEVEL (storage view) Representationof Stored Records

46. Complete DBMS Hardware Software Utilities Data Users Procedures

47. Hardware The actual computer system used for keepingand accessing the database. Large organization usually has a networkwith a central server and many clientprograms running on desktops. Smaller organizations may have the DBMSand its clients reside in a single computer.

48. Software The actual DBMS. Allows the users to communicate with thedatabase. Controls accessIncludes utilities Report writers Application development tools Examples of DBMS software Microsoft SQL Server Oracle Corporation Personal Oracle™IBM DB2™

49. Data The database should contain all the dataneeded by the organization. Emphasis is on the relevant data pertainingto one or more objects or entities. Entity: a thing of significance about which information needs to be known.The characteristics that describe or qualifyan entity are called attributes of the entity.

50. Data continued… For each attribute, the set of possible values that theattribute can take is called the domain of the attribute. The domain of the date of birth would be all the dates that might be reasonable in the student body. No date in the 1700s would be expected. Undergraduate class levels would probably berestricted to Part I Part IIPart III No other values would be allowed.