Information Systems for Managers

Assessment Details

Class Participation 20%

Case Analysis and 10%
Assignments (Group)

Quiz 25%
End Term 45%
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Case Analysis Group
Submission
 Section_Group no_Title of the case
 C_01_Harrah (Strictly follow the
nomenclature)
 Put the Names of members along
with Roll No. , section and group no,
and Title of case in first slide
 Put on Google drive shared
Why to Study MIS ???
 Digital Transformation
 Cloud Computing
 Analytics
 AI
 Fintech
 Blockchain
 IoT

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Continous…
 New Age Business Models
 Paypal
 Swiggy
 Zerodha
 Startups??
 Business are tightly coupled with technology
 Core processes are enabled by technology
 Analytics is becoming backbone of various
functions: Data driven Marketing , Operations ,
Financial Intelligence

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Brush up the Basics
Need for IT in organization ?

 Internal factors
 Need of efficiency
 Amount of Data
 Processing requirements
 External Factors
 Competitors
 External partners
 Interactions
 Regulatory Requirements
 Data
 Data: symbols (Objects)
Data
 A “given,” or fact; a number, a
statement, or a picture
 Represents something in the real world
 data is raw - It simply exists and has no
significance beyond its existence
 It does not have meaning of itself.
 It can exist in any form, usable or not.
 The raw materials in the production of
information
 Information
 Information: - Processed Data
 Data that have meaning within a context
 Data in relationships
 Data after manipulation
 Data that are processed to be useful;
 provides answers to "who", "what",
"where", and "when" questions
 Information is Subjective
 A relational database makes information
from the data stored within it.
Data Manipulation/Processing

 Example: customer survey

 Reading through data collected
from a customer survey with
questions in various categories
would be time-consuming and not
very helpful.
 When manipulated, the surveys
may provide useful information.
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Data & Information

Raw data from a supermarket checkout counter can

be processed and organized to produce meaningful information,
such as the total unit sales of dish detergent
or the total sales revenue from dish detergent
for a specific store or sales territory.
 Generating Information
 Computer-based IS takes data as raw
material, process it, and produce
information as output.

Input-process-output view of data and information

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 Characteristics of Good
Information

 Relevant
 To context /subject
 Complete
 Accurate
 Timely
 Worth its Cost/Just Barely Sufficient

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 Knowledge and Wisdom
 Knowledge
 is the appropriate collection of information,
such that it's intent is to be useful.
 It answers "how" questions
 Knowledge is a deterministic process.
 Understanding patterns
 Wisdom
 Understanding principles
 Implicit knowledge
 Non–deterministic process
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Characteristics of Good
Information

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 Based on Information, What is it?

 I have a box.
 The box is 3' wide, 3' deep, and 6' high.
 The box is very heavy.
 The box has a door on the front of it.
 When I open the box it has food in it.
 It is colder inside the box than it is outside.
 You usually find the box in the kitchen.
 There is a smaller compartment inside the box with ice
in it.
 When you open the door the light comes on.
 When you move this box you usually find lots of dirt
underneath it.
 Junk has a real habit of collecting on top of this box. 19
Data, Information, and Systems

 What Is a System?

 System: A set of components that work

together to achieve a common goal

 Closed system: Stand-alone system that

has no contact with other systems

 Open system: System that interfaces with

other systems

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 Systems & Sub-systems

Several subsystems make up this corporate accounting system.

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Concept of Information
Technology (IT, technology)

• What do we mean by "IT"?

•A tool for manipulating data, information

•computer software and hardware

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Information System
 System – Collection of interconnected
objects for any specific goal.
 Information system – Any system
which deals with information
 Storage
 Dissemination
 Processing
 IT & IS
 Information system is possible
without IT?
 IT work as enabler
Concept of Information System (IS)

Information Technology (IT)

(Computers, Other)
IS
• Data (organized, Use
meaningful) Procedures
• Representations of Supports
Knowledge
Use
Users
(Organizational members: Task,
Managers, Professionals, Clerks) Business
Process
Perform on

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Management Information
System (MIS)
 MIS
 Technology
 Process
 People

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Why General Managers Need
to Understand IT

• Amount of investment in IT

• If general managers are involved in IT, IT enables:

Gaining a competitive advantage

Streamlining business processes
Expanding markets

• If General Managers are not involved in IT, problems emerge:

Limited RoI from IT investment
In the extreme, businesses can fail
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 The Cost structure

 In-house v/s Outsource

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 Ensuring Value for IT
Spending
General managers must manage IT to ensure value for money:

• Understand the nature of IT

• Strategic Alignment: Help set IT strategy to support business strategy:

KM, BI, CRM, ERP, B2C, B2B, SCM

• Empower CIO to ensure core IT capabilities

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 IT can Create Competitive
Advantage
• IT can differentiate a product or service
(Federal Express vs.. Indian Postal Service)

• IT can streamline business processes:

Dell computer hooks 90% of suppliers to factory floors via

web to reduce inventory to 5 days.
Compaq had 3 weeks of inventory.

IT can change entire industry structures

Napster; Amazon,
Dell-direct marketing to consumers
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 Examples of IT-Enabled
Business Initiatives

IT can be used to improve customer service:

IT can be used to leverage suppliers, such as B2B exchanges:

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 Examples of IT management
failure : creating business failure

•One Tel
•Craven’s BOOks

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