MANAGE

MENT
INFORMA
TION
STUDIES
SUBMITED TO – MR RAHUL
CHAUHAN

SUBMITED BY – ABHISHEK VERMA

RO LL N O – 2304 [ BC A 5 TH SEM ]
 A management information system (MIS) is a system used
Management for decision making and for the coordination, control, analysis,
information system and visualization of information in an organization and
marketing. The study of the management information systems
involves people, processes and technology in an organizational
context.
In a corporate setting, the ultimate goal of the use of a
management information system is to increase the value and
profits of the business. This is done by providing managers with
timely and appropriate information allowing them to make
effective decisions within a shorter period of time
 Management Information system (MIS) is an integrated
man/machine system for providing information to hold up the
MIS DEFINITION operations, management and decision making functions in an
organization .
_ GB.
Davis
A formal method of collecting timely information in a presentable
form in order to facilitate effective decision making and
implementation, in order to carry out organizational operations for
the purpose of achieving the organizational goals .

_ Walter I .
Kennevan

A management information system is an organized portfolio of

formal systems for obtaining, processing, and delivering information
in support of the business operations and management of an
organization .

_
MANAGEMENT While management information systems can be used by any
and every level of management, the decision of which systems
to implement generally falls upon the chief information
officers (CIO) and chief technology officers (CTO). These
officers are generally responsible for the overall technology
strategy of an organization including evaluating how new
technology can help their organization. They act as decision-
makers in the implement Once decisions have been made, IT
directors, including MIS directors, are in charge of the technical
implementation of the system. They are also in charge of
implementing the policies affecting the MIS (either new
specific policies passed down by the CIOs or CTOs or policies
that align the new systems with the organization's overall IT
policy). It is also their role to ensure the availability of data and
network services as well as the security of the data involved by
coordinating IT activities.
 Management Information Systems (MIS) is the
MEANING OF MIS study of people, technology, organizations, and
the relationships among them. MIS
professionals help firms realize maximum
benefit from investment in personnel,
equipment, and business processes. MIS is a
people-oriented field with an emphasis on
service through technology. If you have an
interest in technology and have the desire to
use technology to improve people’s lives, a
degree in MIS may be for you.
Management requires complete information relating to a
problem or issue in right time in order to make effective
decisions. The proper collection, handling and providing the
right information to the right manager in right time not
only reduce the risk of wrong decisions but also work as an
effective controlling technique. Complexities involved in
business and economic activities and voluminous
government regulations create the need for supply of right
information to the right manager in the right time.

Management Information System (MIS) is defined as, “a

formal method of making available to management
accurate and timely information necessary to facilitate the
decision-making process and enable the organisation’s
planning, control and operational functions to be carried
out effectively.”15 “The system provides information on the
past, present and projected future and on relevant events
inside and outside the organisation.”
Components of MIS

Components of MIS
•People Resources: People are required for the operation of all information system.
•Data Resources: Database holds processed and organized data.
•Software Resources: It includes all sets of information processing instruction.
•Hardware Resources: Include all physical devices and materials used in information processing.
•Process: is a step undertaken to achieve a goal.
Objectives of MIS
Characteristics of MIS
System Approach
The information system follows a System’s approach. The system’s approach implies a holistic approach to the study of system and
its performance in the light for the objective for which it has been constituted.

Management Oriented
The top-down approach must be followed while designing the MIS. The top-down approach suggests that the system
development starts from the determination of management needs and overall business objectives. The MIS
development plan should be derived from the overall business plan. Management oriented characteristic of MIS also
implies that the management actively directs the system development efforts.

Need-Based
MIS design and development should be as per the information needs of managers at different levels, strategic
planning level, management control level and operational control level. In other words, MIS should cater to the
specific needs of managers in an organization’s hierarchy.

Exception Based
reporting principle, which means an abnormal situation, i.e. the maximum; minimum or expected values
vary beyond tolerance limits. In such situations, there should BE exception reporting to the decision-maker
at the required level.
Future Oriented
Besides exception-based reporting, MIS should also look at the future. In other words, MIS should not merely provide past
or historical information; rather it should provide information, on the basis of projections based on which actions may be
initiated.

Integrated
Integration is a necessary characteristic of a management information system. Integration is significant because of its ability
to produce more meaningful information.

For example, in order to develop an effective production scheduling system, it is necessary to balance such factors as setup
costs, Workforce, Overtime rates, Production capacity, Inventory level, Capital requirements and Customer services.

Long Term Planning

MIS is developed over relatively long periods. Such a system does not develop overnight. A heavy element of planning is
involved. The MIS designer must have the future objectives and needs of the company in mind.

Sub-System Concept
The process of MIS development is quite complex and one is likely to lose insight frequently. Thus, the system, though
viewed as a single entity, must be broken down into digestible sub-systems which are more meaningful at the planning
stage.
 Advantages of MIS System :-

The following are some of the benefits that can be

attained using MIS .
Improve an organization's operational efficiency, add value to
existing products, engender innovation and new product
development, and help managers make better decisions .
 Companies are able to identify their strengths and weaknesses due to the presence of revenue
reports, employee performance records etc. Identifying these aspects can help a company improve
its business processes and operations.
 Giving an overall picture of the company.
 Acting as a communication and planning tool.
 The availability of customer data and feedback can help the company to align its business
process according to the needs of its customers. The effective management of customer data can
help the company to perform direct marketing and promotion activities.
 MIS can help a company to get competitive advantage.
 MIS reports can help with decision-making as well as reduce downtime for actionable items.
Disadvantages of MIS systems:
 Retrieval and dissemination are dependent on technology
hardware and software.
. Potential for inaccurate information

. Highly sensitive requires constant monitoring.

. Budgeting of MIS extremely difficult.
. Quality of outputs governed by quality of inputs.
. Lack of flexibility to update it.
. Effectiveness decreases due to frequent changes in top
management
. Takes into account only qualitative factors and ignores non-
qualitative factors like morale of worker, attitude of worker etc...
Role of MIS :-
. A management information system (MIS) plays an important role in business organizations.
There are many roles of MIS and some of the important MIS role are discussed below:

Decision making
Coordination among the department
Finding out Problems
Comparison of Business Performance
Strategies for an Organization

Decision making
Management Information System (MIS) plays a
significant role in the decision-making process of
any organization. In any organization, a decision is
made on the basis of relevant information which
can be retrieved from the MIS
Coordination among the department
Management Information System satisfy multiple need of an organization across the different
functional department.

Finding out Problems

As we know that MIS provides relevant information about every aspect of activities. Hence, if
any mistake is made by the management then MIS, information will help in finding out the
solution to that problem.

Comparison of Business Performance

MIS store all past data and information in its Database. That why the management information
system is very useful to compare business organization performance.
Strategies for an Organization
Today each business is running in a competitive market. An MIS supports the organization to
evolve appropriate strategies for the business to assent in a competitive environment.