Management Information Systems

1. Management Information Systems Chapter 16 Classic Models and New Approaches

2. Classic Management Functions • Historically, managers have had these main functions: • Planning • Organizing • Staffing • Directing • Controlling

3. Planning • Managers devise both short-range and long-range plans for the organization and set goals to achieve those plans.

4. Organizing • Managers must decide how to use resources, such as people and materials.

5. Staffing • Managers must hire and train workers.

6. Directing • Managers guide employees to perform their work in a way that supports the organization’s goals.

7. Controlling • Managers monitor the organization’s progress toward reaching its goals.

8. Classic Management Pyramid Top-level managers Strategic Middle-level managers Tactical Low-level managers Operational

9. Strategic Level Management • This level of management focuses on the planning functions of the organization.

10. Tactical Level Management • At this level, management focuses on organizing and staffing to carry out the visions of top-level managers.

11. Operational Level Management • The focus of this level of management is on directing and controlling workers to perform the planned activities.

12. Management Information Systems (MIS) • MIS is a set of formal business systems designed to provide information for decision making.

13. MIS Manager • The MIS manager runs the MIS department. • The MIS manager must be comfortable with both computer technology and the organization’s business.

14. New Management Model • Many industries are finding that they can do without middle managers. • For these businesses, communication that was once carried out by middle managers has been replaced by computer networks. • The result has been a flattened management pyramid.

15. Flattened Management Pyramid Top-level managers Strategic Low and Middle-level managers Tactical Workers Operational

16. Impact of Groupware • The introduction of groupware has contributed to the flattening of the management pyramid. • Fewer lower- and middle-managers are needed in an organization that is information-driven and supports team-based projects.

17. Impact of Teamwork • Networks and groupware help to organize employees into task-focused teams. • Small-sized teams of highly skilled workers need fewer managers to dispense ideas and make decisions.

18. Top Managers and Computers • Top managers need sophisticated software to help them make decisions.

19. Decision SupportSystem (DSS) • A DSS is a computer system that supports managers in nonroutine decision-making tasks and supplements an MIS. • A DSS uses an interactive computer model to simulate a real-life situation.

20. Executive SupportSystem (ESS) • An ESS is a decision support system especially made for senior-level executives. • Unlike a DSS, this system must take into consideration how decisions will affect the entire organization over a period of time.

21. Managing Personal Computers • Acquiring and managing the personal computers in an organization requires: • A personal computer manager • Acquisition policies • An information center

22. The Personal Computer Manager • This manager is in charge of the personal computers used by an organization and attends to: • Technology overload • Data security and integrity • Computer junkies

23. Technology Overload • The personal computer manager strives to prevent users of these computers from becoming over-whelmed by the technical jargon.

24. Data Security and Integrity • The personal computer manager must also address the use of personal computers to access corporate data.

25. Computer Junkies • The personal computer manager must also respond to workers who cannot resist using the computer for work not related to their job. • Personal computers, especially those networked to the Internet, distract the user from what they should be doing.

26. Acquisition Policies • Acquisition policies should address compatibility with current hardware and software.

27. The Information Center • This center should provide the following services to employees: • Software selection • Data access • Network access • Training • Technical assistance

28. Software Selection • The information center staff helps users determine which software packages suit their needs.

29. Data Access • The staff of the information center helps users get data from the large corporate computer systems for use on the users’ computers.

30. Network Access • Information center staff offers help on using the network system. • This might include password management, security information, and in-house network training.

31. Training • The largest role the information center has is offering training to members of the corporation.

32. Technical Assistance • Information center staff provide technical assistance to the organization’s employees. • This assistance ranges from advice on hardware and software adoptions, system problem-solving, and coordination with the MIS department.

33. Increasing Productivity • To increase productivity, managers must provide: • Training • Worker involvement

34. Training • Ongoing training is now necessary for every aspect of a company’s organization. • However, follow-up support is important if the newly trained personnel are to retain the new skill.

35. Worker Involvement • Rather than simply installing new technology and training workers, management should involve the people who will be working with the technology.

36. Computer Auditing • Accurately tracking information on hardware and software resources is needed to support budgeting for future needs • Special software can count networked computer users and related equipment.

37. Remote User Issues • Security of company data • Adequate training

38. Total Cost of Ownership (TCO) • Includes: • Initial hardware and software costs • Training • Support • Upgrading • Maintenance • Communication networks

39. Conclusion • Today, most presidents and CEOs of business come from legal, financial, or marketing backgrounds. • As the computer industry and its professionals mature, this pattern could change. • Who will lead business in the future?