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MB0031 Management Information System

MB0031 Management Information System

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Published by: varsha on Oct 28, 2009
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ASSIGNMENTSubject code: MB0031(3 credits)Set 1Marks 60SUBJECT NAME: MANAGEMENT INFORMATION SYSTEMSAnswer the following questions. Each Question carries 10 marks1.Define MIS? What are the objectives and characteristics of MIS ?Answer
: MIS can be defined as a system that
Provides information to support managerial functions like Planning, organizing, directing,controlling.
Collects information in a systematic and a routine manner which is in accordance with awell defined set of rules.
Includes files, hardware, software and operations research models of Processing, storing,retrieving and transmitting information to the users.
An effective MIS has the following objectives
Facilitate the decision - making process by furnishing information in the proper timeframe. This helps the decision - maker to select the best course of action.
Provide requisite information at each level of management to carry out their functions.
Help in highlighting the critical factors to the closely monitored for successful functioningof the organization.
Support decision-making in both structured and unstructured problem environments.
Provide a system of people, computers, procedures, interactive query facilities, documentsfor collecting, sorting, retrieving and transmitting information to the users.
The system is designed from the top to work downwards. It does not mean that the system isdesigned to provide information directly to the top management. Other levels of management arealso provided with relevant information. For example, in the marketing information system, theactivities such as sales order processing, shipment of goods to customers and billing for the goodsare basically operational control activities. A salesman can also track this information, to knowthe sales territory, size of order, geography and product line, provide the system has beendesigned accordingly. However, if the system is designed keeping in mind the top management,then data on external competition, market and pricing can be created to know the market share of the company's product and to serve as a basis of a new product or market place introduction.
Management Directed
Because of management orientation of MIS, it is necessary that management should activelydirect the system development efforts. In order to ensure the effectiveness of system designed,management should continuously make reviews.
The world "integration" means that the system has to cover all the functional areas of anorganization so as to produce more meaningful management information, with a view toachieving the objectives of the organization. It has to consider various sub-system their objectives, information needs, and recognize the interdependence, that these subsystem haveamongst themselves, so that common areas of information are identified and processed withoutrepetition and overlapping
Common Data Flows
Because of the integration concept of MIS, common data flow concept avoids repetition andoverlapping in data collection and storage combining similar functions, and simplifyingoperations wherever possible.
Heavy Planning Element
A management information system cannot be established overnight. It takes almost 2 to 4 yearsto establish it successfully in an organization. Hence, long-term planning is required for MISdevelopment in order to fulfill the future needs and objectives of the organization. The designer of an information system should therefore ensure that it will not become obsolete before itactually gets into operation.
Flexibility and Ease Of Use
While building an MIS system all types of possible means, which may occur in future, are addedto make it flexible. A feature that often goes with flexibility is the ease of use. The MIS should beable to incorporate all those features that make it readily accessible to the wide range of userswith easy usability.
2.Explain strategic MIS categories in detail. Give illustrations for each category.Answer: Strategic Information System -
A Strategic Information System (SIS) is a system tomanage information and assist in strategic decision making. A strategic information system has been defined as, "The information system to support or change enterprise's strategy."A SIS is a type of Information System that is aligned with business strategy and structure.The alignment increases the capability to respond faster to environmental changes and thuscreates a competitive advantage. An early example was the favorable position afforded Americanand United Airlines by their reservation systems, Sabre and Apollo. For many years these twosystems ensured that the two carriers' flights appeared on the first screens observed by travelagents, thus increasing their bookings relative to competitors. A major source of controversysurrounding SIS is their sustainability.SISs are different from other comparable systems as:
they change the way the firm competes.
they have an external (outward looking) focus.

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