Q. No.

The managing of an organization and leadership method has a huge effect on the working
atmosphere and the employees' inspiration. The progress of a finest leadership style and executive
skills that is the most proper to an organization is vital, having a key effect on its life duration. A
Manager's leadership style contributes frankly to the subordinates' incentive and work fulfilment, and
the work growth in the organization.
There are two types of leadership styles, one that is task-oriented and the other that is employeeoriented. A manager with a task-oriented style will have work results as his major concerns; and
therefore, he will enlarge rigid policy that would lead the subordinates into working their errands to
reach his preferred results. On the other hand, the manager with an employee-oriented behaviour will
be troubled with the employees' condition. This manager's objective is to improve the employees'
confidence and influence them on working jointly to help him in management and on ways to resolve
problems. There are three main types of leadership styles that shape all kinds of leaders. The three
types are the repressive, self-governing, and free-reign styles of leadership. The repressive style of
leadership would be measured the most task-oriented type, in which the manager carry out all the
management process without any consultations from subordinates. The self-governing leadership
style is more of a participative type of leadership. It is a two-way message leadership, in which
employees are allowed to add in the decision-making; however, the manager makes the final
conclusion. The handing over of power in this style of leadership is less federal and more
decentralized than in the repressive style. Employees feel more elastic, since they are allowed to alter
in the methods of accomplishing the errands and to donate in the decision-making. This changes the
working situation; making it an atmosphere with a lot of panel working. The free-reign style of
leadership is the most relaxed style, in which the employees have the complete liberty by having the
exactly of making the final management. When assigned tasks, they finish them using their preferred
method, making the final decision and addition any innovations. Model leaders follow the motivational
theories to improve the working atmosphere and to make the employees not only pleased, but also
highly forced.

Q. No.3
Discuss in detail the contribution of Taylor to the development of Management thought.

Scientific management concept
Scientific management concept is one of the principles of management and is also
known as classical theory. This principle is propounded by Fredrick Winslow Taylor
(F.W Taylor) – the father of management. He was born in USA in 1856. He joined
Midvale steel company where he worked as a machine shop worker for two years as
gang boss for some years and as chief engineer at the age of 28.he also joined
Bethlehem steel company where he served for a long time. Later he devoted his
time to develop the concept of scientific management.

He noticed that there were much disorder and wastage of human as well as other resources
at work place. The managers and staffs had no concept about systematic and efficient
performance of task. And all were following traditional ways of doing work. So he tried to
remove these problems through the development of new concept. Thus the scientific
management concept was developed.
Contributions of F.W Taylor
While working in Midvale Company as a manager Taylor observed that employees were not
performing as per their capacity of productivity. And he considered that this condition was
occurring because of no care towards the waste. Taylor worked towards the experiments at
his work place to increase the worker’s efficiency so that maximum output could be
achieved by utilizing effort at maximum level.
1. Scientific task setting:- Taylor observed that the management does not know exactly
the works – pieces of work- volume of works- which are to be performed by the workers
during a fixed period of time- which is called working day. In a working day how much work
is to be dome by a worker but be fixed by a manager and the task should be set every day.
The process of task setting requires scientific technique. To make a worker do a quantity of
work in a working day is called scientific task setting
2. Differential payment system:- under this system, a worker received the piece rate
benefit which will attract the workers to work more for more amount of wages and
more incentives would be created to raise the standardization of output to promote
the workers to produce more and perform more task than before and utilize waste
time to earn more wages.

3. Reorganization of supervision:- concepts of separation of planning and doing and
functional foremanship were developed. Taylor opines that the workers should only
emphasize in planning or in doing. There should be 8 foreman in which 4 are for planning
and 4for doing. For planning they were route clerk, instruction cord clerk, time and cost
clerk and disciplinarian. And for doing they were speed boss, gang boss, repair boss and
4. Scientific recruiting and training:-staffs and workers should be selected and employed
on scientific basis. Management should develop and train every workers by providing
proper knowledge and training to increase their skills and make them effective
5. Economy:- efficient cost accounting system should be followed to control cost which can
minimize the wastages and thoroughly reduced and thus eliminated.
6. Mental revolution:- Taylor argued that both management and workers should try to
understand each other instead of quarrelling for profits and benefits which would increase
production, profit and benefits.

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Taylor also suggested that tasks need to be planned. a true science should be developed in all fields of work activity.Q. The second principle states that management must carry out a scientific selection of theirworkers and develop them through proper management. “scientific management means knowing exactly what you want men to do and seeing that they do it in the best and cheapest way. According to Taylor .” • Principles of scientific management. The fourth and finalprinciple states that there should be an elimination on conflicts betweenmethods and men.W. His ideas were developed and used for decades after the concept was created. In order forworkers to carry out this task every day. . One was the introduction of the standard task which every worker is expected to complete within a day. management must carry out a scientific approach. This selection and training will contribute towards the production activities. It is the task of finding the best method for achieving the objectives of a given job. 3 F. He was one of the founders of management thought theory and is considered the father of scientific management. His suggested principles and features have helpedmodel the scientific approach to management.No. That is. Taylor contributed a number of principles and features of management thought that adhered to his new concept of approaching management thought scientifically. • Features of scientific management. Taylor believed that scientific management consists of a philosophy that results in a combination of four main principles. it will need to be planned actively. A scientific selection and training of workers is another feature of scientific management put forward by Taylor. Thirdly. Workers are likely to resist new methods and this can be avoided by using it as an opportunity to offer more wages. The first principle suggests that management need to develop the best way to complete a job. Taylor is renowned for his research and work into management thought and scientific management. Taylor put forward a huge number of features of scientific management. This task should be calculated through scientific investigation and work study is essential.

Power vs Authority Although power and authority stem from the same concept. on the other hand. In order to understand how one can have the influence to affect others. . to take decisions and give orders and get obedience from them. Power is the possession or the ability or the right to control the actions and performances of others either by authority or by other means. Power has a wider scope and enables one to do what they want instead of looking out to see if they are doing it the right way. When we talk about leadership and influence. While authority is the sanctioned right given to a person to get things done in an official capacity. It comes from the duties and responsibilities awarded to a position holder in any official structure. The main difference between power and authority is the degree of control and influence they offer to the possessor. it becomes necessary to differentiate power and authority in order to comprehend their true meanings and application. they are both very different as they contain deeper meanings. Definitions Power can be defined as the ability of a person or a group to influence the beliefs and actions of other people. Authority is the right given to a person or a post to achieve particular objectives. Authority. Whether it is in a personal capacity or in a professional one. it is necessary to comprehend what power and authority actually are and how they work.No 8 There are many ways to control and affect people. movements and behaviors of others. power is the ownership of authority and control to influence the opinions. but it comes to people who are experts in their field or have a significant amount of money and do not look up to anyone. It might not always be given. An official cannot perform his duties without adequate authority. It is the right to get things done by others. and power and authority are two ways which are commonly used to influence and manipulate others. and to influence or control actions or events. power and authority are exerted to make others respond accordingly.Q. is the right given to a person to give orders to subordinates and get things done by them.

While a person will get authority only with some kind of position. even if he has no designation to support him. either official or non-official. control and domination as it can be both personal as well as official. A company president can order a change in design or a police officer might arrest an offender because they have the authority to do so. power is something that comes with personality. Power is the personal ability of a person to control or influence others. his or her authority comes to an end. Power does not come with rank or designation. while authority is restricted to formal use only in official organizations and offices. It comes from a higher level than authority and has an extensive approach. but a person can exert his power of knowledge to influence the thoughts and ideas of others and that person could just as easily be a middle school teacher or a debater too. Authority can be taken away as it is official and not personal and once a person is stripped of his title or designation. a person is either powerful or not. However. Power is a further-reaching concept than authority and offers much more influence. A manager will get his authority from the higher authorities who will outline what he must do and how he does it. Power is not dependant on levels as it is broader in context and has a more extensive approach. charisma or personal attributes too. power cannot be taken away easily because it is personal and a person remains powerful if he has money. Authority comes from hierarchy and designation while power is all-encompassing and broad and does not depend on anyone. Either a person has power or either he has no power. Comparison Chart Power Power comes from knowledge and expertise. . for example. The scope of power cannot be written down or explained because it is too broad a concept.

Communication is fruitful if and only if the messages sent by the sender is interpreted with same meaning by the receiver. A same event may be taken differently by different individuals. These barriers interrupt the flow of communication from the sender to the reciever. the immediate manager might think of replacement because his teams productivity is being hampered. managers in an organization face severe problems. For example : A person is on leave for a month due to personal reasons (family member being critical). For example: . There are several barriers that affects the flow of communication in an organization. Due to such disturbances. the family members might take him as an emotional support. If any kind of disturbance blocks any step of communication. The HR Manager might be in confusion whether to retain that employee or not. But any message which is against their values is not accepted. All generally want to receive messages which are significant to them. Thus the managers must locate such barriers and take steps to get rid of them. thus making communication ineffective. Same word may mean different to different individuals.Reasons for Communication Breakdown Communication is a process beginning with a sender who encodes the message and passes it through some channel to the receiver who decodes the message. Following are the main communication barriers: 1. The linguistic differences also lead to communication breakdown. Perceptual and Language Differences: Perception is generally how each individual interprets the world around him.Communication Barriers . The main barriers of communication are summarized below. the message will be destroyed. It is essential for managers to overcome these barriers.

poor lightning.e. Emotions: Emotional state at a particular point of time also affects communication.consider a word “value”. but only hear. not completely transferred. but if such sign is put all over the city. a. Distraction/Noise: Communication is also affected a lot by noise to distractions. 2. I value our relation? c. Communication breakdown occurs if there is wrong perception by the receiver. Inattention: At times we just not listen. uncomfortable sitting. Thus. Poor retention: Human memory cannot function beyond a limit. 7. the failure of which has adverse consequences. more is the chances of communication getting destroyed. Physical distractions are also there such as. Only the people at the top level can see the overall picture while the people at low level just have knowledge about their own area and a little knowledge about other areas. As a result communication is less effective. Information Overload: Managers are surrounded with a pool of information. the formal channels of communication are shortened. 4. In a haste to meet deadlines. One cant always retain what is being told specially if he is not interested or not attentive. It is essential to control this information flow else the information is likely to be misinterpreted or forgotten or overlooked. repetitive messages should be ignored for effective communication. What is the value of this Laptop? b. 3. While he takes it differently if the communicator is happy and jovial (in that case the message is interpreted to be good and interesting). What is the value of learning technical skills? “Value” means different in different sentences. 8. Thus sufficient time should be given for effective communication. If the receiver feels that communicator is angry he interprets that the information being sent is very bad. Complexity in Organizational Structure: Greater the hierarchy in an organization (i.. Similarly use of loud speakers interferes with communication. the superior may not get what he is saying and it leads to disappointment of subordinate. unhygienic room also affects communication in a meeting. more the number of managerial levels). Similarly if a superior is engrossed in his paper work and his subordinate explains him his problem. i. 5. This leads to . he no longer listens to it. or messages are partially given.e. 6. For example a traveler may pay attention to one “NO PARKING” sign. Time Pressures: Often in organization the targets have to be achieved within a specified time period.

No. the main issue when using quantitative analysis is the collection of quality data to be used as an input to the designed model. or for simulating real world situations. performance evaluation and valuation of a financial instrument. The main focus in which quantitative analysis has changed the current managerial world is the way in which it is used to simulate real world eventsby use of a model. More recently. It uses complex mathematical and statistical modeling for such purposes as measurement. When approaching quantitative analysis there are 7 steps to be taken. +++++++++++++++++++++++++++++++++++++++++++++++++++++++++++ Question 1: How has quantitative analysis changed the current scenario in the management world today? . quantitative analysis has become a common method in businesses as it allows decisions to be made based on predictions and simulations created by the quantitative analysis models. as follows: •Define the problem •Develop a model •Acquire data for input •Develop a solution to the problem •Test the solution •Analyze the results taken from this •Implement the solution based on the results taken Obviously. This allows a scientific approach to making managerial decisions.communication breakdown. Quantitative Techniques in Management Q. This takes some ofthe risk factor away from the decision being made.1 Quantitative analysis is a technique used in order to analyze and understand the behavior of certain financial instruments.

Mathematical modeling is a critical part of the quantitative approach to decision making. Examples of these changes can be seen. of the given data or if frequency distribution of one set of data to be compared with another.Answer : Quantitative analysis requires the representation of the problem using a mathematical model. and initial outlay. Examples are incremental revenue. if you start measuring increase in cost of living. seasonal requirement of items. (2) relationship with and commitments to suppliers. impact of floods. they should be classified and converted into a frequency distribution. . Quantitative factors can be measured in terms of money or quantitative units. you can isolate and measure the separate effects of these forces on the variables. increase of population over a period of time. If you want to know any specific characteristics. Qualitative factors may include: (1) effect on employee morale. and wars so on. added cost. Time Series Analysis: With time series analysis. schedule and other internal elements. strikes. In some decisionmaking situations. growth of agricultural food production in India over the last fifteen years. then it is necessary that the frequency distribution itself must be summarized and condensed in such a manner that it must help us to make useful inferences about the data and also provide yardstick for comparing different sets of data real personal disposable income and relative weighted price index of scooters were used as independent variable. This type of condensation of data reduces their bulk and gives a clear picture of their structure. qualitative aspects are more important than immediate financial benefit from a decision. and (4) long-term future effect on profitability. (3) effect on present and future customers. Qualitative factors in decision making are the factors relevant to a decision that are difficult to measure in terms of money. Different Statistical Techniques Measures of Central Tendency: For proper understanding of quantitative data.

if a commodity costs twice as much in 1970 as it did in 1960.e.Corporate Income Tax Rates 3.Sales Tax Rates 4. Quantitative Factors 1. and employment. Index numbers are used especially to compare business activity. and the process of selections such a section (or past) is called sampling. office). research & technology. and (b) determine the reliability of the estimates. This small part or section selected from the universe is called the sample.Property Tax Rates 2. Below is a summary of the most important quantitative and qualitative factors considered by companies. For example. the cost of living. What are the most important quantitative and qualitative factors evaluated by site selection advisors and companies when making a decision regarding the location of a new or expanded operation? The list will vary depending on type of facility (i. The base usually equals 100 and the index number is usually expressed as 100 times the ratio to the base value. Sampling and Statistical Inference: In many cases due to shortage of time.Index Numbers: An index number is an economic data figure reflecting price or quantity compared with a standard or base value.Real Estate Costs . only limited part or section of the universe (or population) is examined to (a) get information about the universe as clearly and precisely as possible. cost or non availability of data. Example: Site selection process (quantitative and qualitative factors) While quantitative factors have been and will continue to be very important in the site selection process. qualitative factors are also critical in order to ensure that the company makes the best decision. but most factors apply to all forms of projects. its index number would be 200 relative to 1960. They enable economists to reduce unwieldy business data into easily understood terms. logistics. manufacturing.

5. Personal Income Tax Rates 11. Crime Statistics . Industry Sector Labor Pool Size 12.Utility Rates 6.Construction Costs 8.Average Wage/Salary Levels 7.Unemployment Compensation Rates 10. Education Achievement Levels 14. Worker’s Compensation Rates 9. Infrastructure Development Costs 13.

Number of Commercial Flights to Key Markets 18. Unionization Rate/Right to Work versus Non-Right to Work State 20.Sports. Frequency of Natural Disasters 16. Educational and Utility Officials 2.15. Population of Geographic Area Qualitative Factors 1. Cost of Living Index 17. Recreational and Cultural Amenities 3.Level of Collaboration with Government. . Proximity to Major Key Geographic Markets 19.

real estate costs. By contract. Answer: . for a new office facility factors such as real estate costs.Predictability of Long-term Operational Costs 10. Perception of Quality of Professional Services Firms to Meet the Company’s Needs 9. issues such as utility rates.Climate 6. and average hourly wage rates may be weighted more heavily. number of commercial flights. crime statistics. climate and industry sector labor pool size may be more important. Depending on the type of project.Confidence in Ability of All Parties to Meet Company’s Deadlines 4. Question 2: What are sampling techniques? Briefly explain the cluster sampling technique. collaboration with governmental entities.Chemistry of Project Team with Local and State Officials 8. property tax rates. Every project is unique and must be evaluated based upon its own individual set of circumstances. As an example. Ability to Complete Real Estate Due Diligence Process Quickly Another important part of the site selection evaluation process relates to the weighting of the key quantitative and qualitative factors.Availability of Quality Healthcare 7. for a new manufacturing facility project.Political Stability of Location 5. factors will be weighted differently.

This is often best achieved by random sampling. it is important that one carefully and completely defines the population. there are small" clusters" of employees in field offices scattered about the country. the cost of checking records for each item might be high enough to cancel the benefit of having the information. since the measurements for a sample from the inventory will produce only an estimate of the value we want. A sample is generally selected for study because the population is too large to study in its entirety. The sample should be representative of the general population. If the inventory is large. before collecting the sample. By studying the sample. in the insurance industry. Also. but at substantial savings. a random sampling of employee work habits might not required travel to many of the" clusters" or field offices in order to get the data. This means we must arrive at a compromise that involves selecting a small number of items and calculating an average shelf life as an estimate of the average shelf life of all items in inventory. a hunch about the average shelf life might not be good enough for decision-making purposes. For instance.A sample is a group of units selected from a larger group (the population). one hopes to draw valid conclusions about the larger group. Question 3: . In many applications the partitioning is a result of physical distance. This is a compromise. including a description of the members to be included. A common problem in business statistical decision-making arises when we need information about a collection called a population but find that the cost of obtaining the information is prohibitive. suppose we need to know the average shelf life of current inventory. For instance. Cluster sampling can be used whenever the population is homogeneous but can be partitioned. Information of this type is intimately related to sampling techniques . In such a case. What we would like to know is how "good" the estimate is and how much more will it cost to make it "better". On the other hand. Totally sampling each one of a small number of clusters chosen at random can eliminate much of the cost associated with the data requirements of management.

. the variables are often more numerous and more difficult to measure and control. .e. Summarizing relationships among the variables by the most appropriate equation (i.. output. decision variables). the steps are the same.Building a decision model 3. performance measure) and independent variables (i.Testing the model 4. Unlike the deterministic decision-making process. factors. They are: 1. such as linear optimization by solving systems of equations.Using the model to find the solution: Ø It is a simplified representation of the actual situation Ø It need not be complete or exact in all respects Ø It concentrates on the most essential relationships and ignores the less essential ones..e. inputs.e. modeling) allows us to predict or identify the most influential factors and study their impacts on the output for any changes in their current values. However. Parametric systems of equations and in decision making under pure uncertainty.Simplification 2.What is the significance of Regression Analysis? How does it help a manager in the decision making process? Answer: Regression analysis is a powerful technique for studying relationship between dependent variables (i.

observed) situation. Ø A plant manager can use statistical quality control techniques to assure the quality of his production with a minimum of testing or inspection. Fortunately the probabilistic and statistical methods for analysis and decision making under uncertainty are more numerous and powerful today than ever before. 5.. Case study .Ø It is more easily understood than the empirical (i. Ø A financial analyst may use regression and correlation to help understand the relationship of a financial ratio to a set of other variables in business. Ø A market researcher may use test of significace to accept or reject the hypotheses about a group of buyers to which the firm wishes to sell a particular product. It can be used again and again for similar problems or can be modified.e. Ø A sales manager may use statistical techniques to forecast sales for the coming year. A few examples of business applications are the following: Ø An auditor can use random sampling techniques to audit the accounts receivable for clients. The computer makes possible many practical applications. and hence permits the problem to be solved more readily with minimum time and effort.

25 108.40 crore of rupees) Price ( in 12 13 19 12 6.67 Conclusion: There is a positive correlation for the above set of data +++++++++++++++++++++++++++++++++++++++++++++++++++++++++++++++ . is doing a study of companies going public for the first time.5) 2 [] 6(20592.2) 2 = 0. a second year MBA student.08 6(3799.4 17.40 51 10.6 42. Kushal Arora.5 10.8 876.(66.40 4.56 4 12 51 612 144 2601 5 6.Please read the case study given below and answer questions given at the end.(281.(66.16 6 4 4.5)(281.8) .36 TOTALS 66. He is curious to see whether or not there is a significant relationship between the sizes of the offering (in crores of rupees) and the price per share after the issue. The data are given below: Size (in 108 39 68.2) r = [ 6(876.25 20592.6 361 4678.5 281.4 67. Answer: N X Y XY X 2 Y 2 1 12 108 1296 144 11664 2 13 39 507 169 1521 3 19 68.25) .4 1299.6 16 19.2 3799.08) .50 4 rupees) Question You are required to calculate the coefficient of correlation for the above data set and comment what conclusion Kushal should draw from the sample.

In particular. The inherent business process orientation changes the perspective of international management from a structural to that of a process view. and customer needs. If on the other hand. does it go on to decide how best to do it. a . IT has to be monitored constantly to determine whether it can generate new process designs or contribute to the performance of a business process. Business Process Re-engineering has rapidly developed towards a new management philosophy based upon predecessors like Total Quality Management. the top management sets off the change process. Reengineering starts with a high-level assessment of the organization's mission. because the multi-faceted structure of multinational corporations increases the complexity of business processes. Only after the organization rethinks what it should be doing. The role of IT is discussed in contradictory way. then the process will be first restructured and later optimized through IT. Overhead Value Analysis. by changing the logical and temporal sequence of the steps. Business processes can be re-engineered by redesigning the steps. such as "Does our mission need to be redefined? Are our strategic goals aligned with our mission? Who are our customers?" An organization may find that it is operating on questionable assumptions. strategic goals. the re-engineering of international business processes needs special attention. those who take the initiative in process improvement/redesign. BPR and Information Technology Business Process Re-engineering has rapidly developed towards a new management philosophy. then IT will have more of a generator function for new process redesigns. Moreover. Advocates of information systems favor the view that the new technology is an enabler of process re-engineering. there by influencing the options for redesign. re-engineering focuses on the organization's business processes—the steps and procedures that govern how resources are used to create products and services that meet the needs of particular customers or markets. Business process reengineering (BPR) is the practice of rethinking and redesigning the way work is done to better support an organization's mission and reduce costs.1. As a structured ordering of work steps across time and place. The re-engineering of business processes is only one aspect of the management of business processes. or by changing any other characteristics of the process. which opens new dimensions of process reorganization.What strategic role can information technology play in business process reengineering and total quality management? A.[1] Within the framework of this basic assessment of mission and goals. If the data processing department initiates the process change. influence the role of IT. Basic questions are asked. particularly in terms of the wants and needs of its customers. Kanban or Just-In-Time-Management. The breakthrough of BPR is closely connected with IT.

no one is responsible for the overall performance of the entire process.[1] Re-engineering recognizes that an organization's business processes are usually fragmented into sub-processes and tasks that are carried out by several specialized functional areas within the organization. allowing generalists to perform specialist tasks Telecommunication networks. and re-designs an organization's core business processes with the aim of achieving dramatic improvements in critical performance measures. but cannot yield dramatic improvements if the process itself is fundamentally inefficient and outmoded.business process can be decomposed into specific activities. allowing field personnel to work office independent .[1] The role of Information Technology Information technology (IT) has historically played an important role in the reengineering concept. BPR literature[11] identified several so called disruptive technologies that were supposed to challenge traditional wisdom about how work should be performed. and improved. and speed. Often. such as cost. For that reason. Reengineering maintains that optimizing the performance of sub-processes can result in some benefits. analyzes. Shared databases. quality. service. Re-engineering identifies. modeled. allowing decision-making to be a part of everybody's job Wireless data communication and portable computers. allowing organizations to be centralized and decentralized at the same time Decision-support tools. measured.[10] It is considered by some as a major enabler for new forms of working and collaborating within an organization and across organizational borders[citation needed]. This drive for realizing dramatic improvements by fundamentally re-thinking how the organization's work should be done distinguishes the re-engineering from process improvement efforts that focus on functional or incremental improvement. re-engineering focuses on re-designing the process as a whole in order to achieve the greatest possible benefits to the organization and their customers. making information available at many places Expert systems. It can also be completely redesigned or eliminated altogether.

instead of requiring to be found High performance computing. PeopleSoft. .Interactive videodisk. such as SAP. JD Edwards. ERP (enterprise resource planning) vendors. Also. to get in immediate contact with potential buyers Automatic identification and tracking. Oracle. positioned their solutions as vehicles for business process redesign and improvement. especially workflow management systems were considered as a significant contributor to improved process efficiency. allowing things to tell where they are. allowing on-the-fly planning and revisioning In the mid-1990s.

Each sub±system comprises of variousmodules. Managers other than those at top levels have little role in planning.various information sub-systems may be defined.No. The examples of life stream systems include payroll. By using the model of information flow.Q.This approach develops a model of information flow in the organization. The development of information system for each life stream system starts after identifying its basic transactions. inventory control and purchasing etc. Life stream systems are those systems. The selection of a module for developing system is made on the basis of the priority assigned to it. viz. Each of these is described below: (i) Top down approach : The development of MIS under top down approach starts with thedefining of the objectives of the organisation. (ii) Bottom-up approach: The development of information system under this approach starts from the identification of life stream systems. files requirement and processing programs for each life stream system. the kind of business it is in. which are essential for the day±to±day business activities. The crucial strategic and tactical decisions are alsodefined and the decisions necessary to operate the activities are specified. Bottom upapproach and Integrative approach. which acts as aguide for designing the information system. the major information requirementsare ascertained. policies and plans in a comprehensive manner and communicates them down the line to middle and supervisory management levels for translating them into performance results. and theconstraints under which it operates. information file requirements and information processing programs. sales order.The various sub±systems and their modules are coordinated to achieve the objective of integration. It is also evident from the nomenclature that top management takes the initiative in formulating major objectives.2 For developing MIS.. rather than as a collection of loosely coordinated sub±systems. The information system so developed is viewed as a total system. which is fully integrated. the information system for each is developed. three approaches are used. After ascertaining the data/information requirements. The activities or functions for which informationwould be required are also identified. From theactivities or functions and the decisions to be made. Top down approach. The next step is towards the integration of data kept in . they have to only concentrate on implementation and day±to±daycontrol.

By using the model of information flow. After identifying the basic transactions. Integrated data also provides added capability for inquiry processing and ad±hoc requests for reports. 2. informationfile requirements and information processing programs we developinformation system for each life stream system. Bottom-up approachA bottom-up approach starts with the lowest-level management of thehierarchy and proceeds progressively through higher levels of themanagement. The integrated data enhances the shareability and evolvability of the database. There are 3 different approaches ofMISA.Integrative approach 3. It also ensures that all programs are using uniform data.Top-down approachB. They are useful for analysing different factors. Each sub– system comprises of various modules.In Top down approach management takes the initiative in formulatingmajor objectives.In Top down approach crucial strategic and tactical decisions are defined& necessary decisions to operate the activities are specified. The next step under bottom up approach may be the addition of decision model and various planning models for supporting the planning activities involved in management control.The information system developed is viewed as a total system. rather than as a collection of loosely coordinated sub–systems.Top down approach develops a model of information flow in theorganization which acts as a guide for designing the information system. which is 4.The selection of a module for developing system is made on the basis ofthe priority assigned to it. Top-down approachUnder Top down approach we define the activities of the organization. these models are integrated to evolve model base.different data files of each information system. various information sub-systems can be defined. to understand difficult situations and to formulate alternative strategies and options to deal them. The various sub–systems and their modulesare coordinated to achieve the objective of integration. 5. which are essential for the day–to–daybusiness activities. The models in the model base facilitate and support higher management activities. 1. policies and plans in a comprehensive manner andcommunicates them down the line to middle and supervisorymanagement levels for translating them into performance results. Life streamsystems are those systems. theyhave to only concentrate on implementation and day–to–day control.Bottom-up approachC. Approaches of ManagementInformation System {MIS}By Jatin Chhabra. Further.what kind of business it is in & under what constraints they it operates. Then we move towardsthe integration of data kept in different data files of . The data is integrated only after thoroughly examining various applications. files and records. fully integrated.Managers other than those at top levels have little role in planning. Here we identify the life stream systems.

Further. Top managementidentifies the structure and design of MIS suitable to the concern. Integrative approach permitsmanagers at all levels to influence the design of MIS.The revised design is drawn and evaluated by the top level and sent downagain in a modified form for further consideration if required. that is suitable for all levels. the 3 approaches ofManagement information system.RegardsJatin ChhabraStudent . to understand difficult situations and to formulate alternativestrategies and options to deal them. modification and approval process continues until a finaldesign is achieved. Ifthis slide is useful. factors. So there it is. the please shareit on your network. these models areintegrated to evolve model base. Thisdesign is further presented to lower level managers for their views andmodifications.each informationsystem. or deletions and return the design with theirsuggestions to the top level for approval. 7. Thisevaluation. additions.MBA . Integrative approachUnder Integrative approach we can overcome the limitations of the abovetwo approaches when used objectively. They are useful for analysing different 6. 8.The next step under bottom up approach may be the addition of decisionmodel and various planning models for supporting the planningactivities involved in management control. The managers at the lower level are permitted to suggestchanges.