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UNIT 1

MANAGEMENT
INFORMATION SYSTEM
What is a System
A system can be broadly defined as an
integrated set of elements that accomplish a
defined objective.
 People from different engineering disciplines
have different perspectives of what a "system"
is. For example, software engineers often refer
to an integrated set of computer programs as a
"system.“
 System with feedback and control is called
Cybernetic System (self regulatory or self
monitoring)e.g. Thermostate Controlled
Heating.
System Components
 Input
 Process
 Output
 Feedback is data about the performance of a system.
 Control monitor and evaluate feedback to determine
whether system is moving towards goal.
 'Input' consists of acquisition of the 'raw data', which is
transformed into more meaningful packets of 'Information'
by means of 'Processing'.
 The processed information now flows to the users or
activities also called as 'Output'.
 The shortcomings are analyzed and the information is sent
back to the appropriate members of the organization to
help them evaluate and refine the input. This is termed as
'feedback'.
Information System
An Information System can be defined
technically as a set of interrelated
components that collect (or retrieve),
process, store and distribute information to
support decision making and control in an
organization.
A system which assembles, stores,
processes, and delivers information relevant
to an organization (or to a society), in such a
way that the information is accessible and
useful to those who wish to use it, including
managers, staff, clients and citizens.
Information System
Information Need

 Senior managers need information to help


with their business planning.
 Middle management need more detailed
information to help them monitor and control
business activities.
 Employees with operational roles need
information to help them carry out their
duties.
Business as an Information
System
 A business is an example of information
system where economic resources are
transformed by various business processes
into goods and services.
 Information System provide feedback on the
operations of the system to management for
the direction and maintenance of the system
Nature of Information System

 In the past, organizations recognized the


importance of managing resources such as
labor, capital, and raw materials. Today, it is
widely accepted that managing the
information resource is very often equally
important.
 Information systems are implemented within
an organization for the purpose of improving
the effectiveness and efficiency of that
organization.
MIS
 Management: Management is the art of getting things
done through and with the people in formally organised
groups.

 Information: Information is data that is processed and is


presented in a form which assists decision-making. It may
contain an element of surprise, reduce uncertainty or
provoke a manager to initiate an action.

 System: A system is an orderly grouping of interdependent


components linked together according to a plan to achieve
a specific goal.
Management Information System
(MIS)
 This is an information system that serves the
function of planning ,controlling and decision
making by providing routine summary and
exception reports.
 These system serves the middle management
and can include on demand ‘standard” reports.
 MIS normally draw data from a TPS and convert
data into information for monitoring
performance and managing an organization.
 Transactions recorded in a TPS are analyzed and
reported by a MIS.
 An MIS provides managers with information and
support for effective decision making, and
provides feedback on daily operations
Characteristics of a
Management Information System

 Provides reports with fixed and standard formats


 Hard-copy and soft-copy reports
 Routine information for routine decisions
 Operational efficiency
 Use transaction data as main input
 Databases integrate MIS in different functional
areas
Management Information
System contd..
 It’s a computer-based system that makes
information available to the users with similar
needs.
 The information describes what has happened in
past, what is happening now and what is likely to
happen in the future.
 The information is made available in the form of
periodic reports, special reports and outputs of
mathematical simulations. The information
output is used by both managers and non
managers as they make decisions to solve the
firm’s problems.
Employees

Corporate
Databases Corporate
databases
of intranet
of
external
internal
data
data Decision
support
systems

Transaction Databases Management Executive


Business processing of information Application support
transactions systems valid systems databases systems
transactions

Drill-down reports Expert


Exception reports systems
Demand reports
Operational Key-indicator reports
databases
Input and Scheduled
error list reports
Outputs of a
Management Information System
 Scheduled reports
 Produced periodically/regularly, or on a schedule (daily,
weekly, monthly).
 Key-indicator report
 A Key Performance Indicator (KPI) is a measurable value that
demonstrates how effectively a company is
achieving key business objectives. for examples;
Revenue,profit margins,sales etc
 Demand report
 Gives certain information at a manager’s request. There is no
fixed criteria or format of the report. The report includes the
requirements of the company and prevailing circumstances.
 Exception report
 Automatically produced when a situation is unusual or requires
management action.
 These are special reports that indicate that some control needs
to be exercised to bring an issue under control.
 An aggregate report of exceptions which are abnormal or
unusual circumstances with in the company.
 Exception reports are used to alert businesses to information
and data that is outside the norm of what is generally accepted
to allow employees to take action on the information.

Regulatory Reports: These reports are created under


the obligation to follow rules and statues.
 They are primarily meant for external consumption for the
information needs of regulatory bodies.
Scheduled Reports: Sales
Report
 A drill down report is a report which allows
users to navigate to a different layer of data
granularity by navigating and clicking a
specific data element on a web page or in an
application. Drill down allows users to
explore multidimensional data by navigating
from one level down to a more detailed level.
TYPES OF MIS REPORT

 Periodic reports are prepared according to a


certain schedule. The information is gathered in
specific schedule from the sources through
which assessment can be done, for example,
feedback about sales from customers.
 Special reports are prepared from those events
which are special in some nature. A special
report can describe some event that is still
happening or just happened, and also it can
address a topic that is of a particular interest to
the user at the present time, for example, an
accident report.
MIS in an organization
INFORMATION REQUIRED BY
DIFFERENT LEVELS
Top Level:
 Requires extensive Knowledge and skills
 Prepare long term plans and soes strategic planning.
 Evaluate performance of various departments .
Middle level
 Carrying out the decisions taken by top level managers
 Analysis of managerial performance and perform promotions.
 Establish departmental policies.
 Skills development, Training activities
 Review Daily and weekly reports
 Selection and Recruitment
 Allocation of resources.
Lower Level
 Review performance of subordinates
 Supervise day to day operations
 Makes task assignments
 Arranging the facilities
Information System Resources
 People Resources :
 IS Specialist: People who develop and
operate an information system: SA,SD,SO
 End users: People who use the information
system or the information it produces.
 Knowledge Workers: People who spend most
of their time in communicating and
collaborating in teams and workgroups and
creating, using and distributing information.
 Hardware Resources: All physical devices and
materials used in information processing:
Machines and Media
 Machines
 Computer Systems, Desktops, Laptops,CPU,
Microprocessor and other equipment's) and
 Computer Peripherals: Input and Output devices:
Keyboard ,mouse,printer etc.

 Media(Tangible objects on which data is


recorded) from paper sheets to magnetic tapes,
disk, pen drive,floppy,hard disk etc.
 Software Resources :Programs and
Procedures
 Programs: Set of operating instructions which
directs and controls computer hardware.
 System Software: operating system, device
drivers which controls and supports the
operations of a computer system.
 Application Software: Payroll software,Word
processors,MS PPT etc
 Data Resources :Data and Knowledge Base:
Product descriptions, customer records,
inventory databases.
 Network Resources : Communication media,
communications processors, network access
and control software's
 Network Resources: Telecommunications
Technologies and Networks like Internet,
Intranets,Extranets.
 Communication Media : Cable, Fibre optic
cable,satellite wireless technologies etc.
MIS: Support to Management
 The management process is executed
through different decisions taken at each
step of management.
Steps in Management Decisions
Planning A selection from various alternatives
like strategies, resources, methods
Organizing A selection for goals, people, resources,
methods
Staffing Providing manpower
Directing Choosing a method from the various
methods of directing the efforts in the
organization.
Coordinating Choice of tools and techniques for
coordinating efforts
Controlling A selection of exceptional conditions
and the decision guidelines
MIS for a Business
Organization
 Support the Business Process : Treats inputs as a request from the
customer and outputs as services to customer. Supports current
operations and use the system to influence further way of working.
 Support Operation of a Business Organization : MIS supports
operations of a business organization by giving timely information,
maintenance and enhancement which provides flexibility in the
operation of an organizations.
 To Support Decision Making : MIS supports the decision making by
employee in their daily operations. MIS also supports managers in
decision making to meet the goals and objectives of the organization.
Different mathematical models and IT tools are used for the purpose
evolving strategies to meet competitive needs.
 Strategies for an Organization : Today each business is running in a
competitive market. MIS supports the organization to evolve
appropriate strategies for the business to assented in a competitive
environment.
Role of Information Systems
in Management
 Information Systems help managers in
effective decision making.
 Organization gain edge in competitive
environment.
 Right decision at right time.
 Innovative ideas for solving critical problems.
Role of MIS

 A management information system (MIS) plays an


important role in business organizations.
 MIS is a system that generates and provides
Information to Management, for the purpose
of managing and improving the business processes.
 The MIS plays the role of information generation,
communication, problem identification and helps in
the process of decision-making.
 Decision making
 Coordination among the department
 Finding out solutions to the Problems
 Comparison of Business Performance
 Strategies for an Organization
 Challenges of MIS
 What is MIS Challenges: There are three major challenges of
MIS: high cost, training of employees and maintenance cost.
These are briefly discussed below:
 High Cost
 Training of Employee
 Maintenance Cost
 High Cost
 Development of new computerized based information system is
a problem for the organization due to the cost factor and it
creates problems because with the change of time there is need
of up-to-date of the information system.
 Training of Employee
 Employees should have the capacity of learning of the
information system with the changing competitive and business
environment; otherwise it will be difficult for the organization to
stay in the market.
 Maintenance Cost
 Sometimes a problem arises due to server crash and website
crash. Sometimes it leads to the loss of information. So,
maintenance cost is needed to tackle the above problem.
Factors on which information
requirement depends
 Operational Function
 Types of decisions making
 Programmed decisions are made with respect to
routine, repetitive ,recurring problems for which well
defined rules and procedures are there.
 Non Programmed decisions are made for the
situations and problems which are non repetitive and
for which little information and knowledge is
available.
 Levels of Management activity
 Strategic-Plant location, raising fund for investment,
launching a new product.
UNIT 2
 What is the difference between Corporate Planning and Strategic
Planning?
Time Factor:
 • Corporate Planning usually comprises of short time periods.
 • Strategic planning comparatively comprises of long time periods.
Scope:
 • Corporate planning deals with the internal aspects of the company.
 • Strategic planning deals with the overall business (i.e. internal and
external) and external environments.
Objectives:
 • Corporate planning sets parameters and objectives within the
company.
 • Strategic planning sets the overall direction of the company.
Response Nature:
 • Corporate planning responds to the market segments which the
company deals with.
 • Strategic planning selects which market segments to deal with.
Interconnection:
 • Corporate plans facilitate or help to achieve strategic plans, and
corporate plans are set according to the motives of the strategic plan.
PLANNING TOOLS
 Planning Tools are a set of tools and techniques used to help
effectively plan and manage various types of business
operations. These tools are intended to guide managers in
the planning, analysis, and decision making processes.
 Affinity Diagram.
 Arrow Diagram.
 Matrix Diagram.
 Nominal Group Technique (NGT)
 SWOT (Strengths, Weaknesses, Opportunities, Threats) analysis.
 PEST Analysis
 Balanced Score Board
 Process Decision Program Chart (PDPC)
 Relations Diagram.
 Tree Diagram.
AFFINITY DIAGRAM

 An Affinity Diagram is a tool that gathers


large amounts of language data (ideas,
opinions, issues) and organizes them into
groupings based on their natural
relationships (Viewgraph 1).
The Affinity process is often used to group
ideas generated by Brainstorming.
Arrow Diagrams

 An arrow diagram is defined as a process


diagramming tool used to determine optimal
sequence of events, and their
interconnectivity. It is used for scheduling and
to determine the critical path through nodes.
 Arrow Diagram (also known as, activity network
diagram, or arrow programming method) is used
to determine the optimal sequence of events and
their interconnectivity. It is often considered as a
variation of PERT (program evaluation and
review technique) chart.
 An arrow diagram is often used for scheduling
and to determine the critical path through nodes
that represents a work plan for identifying
critical operations visually;
 it also lets you calculate the “critical path” of the
project that can affect the timing of the entire
project and where the addition of resources can
speed up the project.
MATRIX DIAGRAM

 A Matrix Diagram is a table that


allows sets of data to be compared in order
to make better decisions. It displays the
existence and strength of relationship
between pairs of items of two or more sets.
The relationship can beindicated by a number
or symbol in each cell where the two items
intersect in the matrix.
 A matrix diagram is defined as a new
management planning tool used for
analyzing, understanding and displaying the
relationship between data sets.
 The matrix diagram shows the relationship
between two, three, or four groups of
information.
 It allows sets of data to be compared in order
to make better decisions.
MATRIX DIAGRAM
NGT
 Nominal group technique (NGT) is defined as a structured
method for group brainstorming that encourages contributions
from everyone and facilitates quick agreement on the relative
importance of issues, problems, or solutions.
 Nominal group technique takes brainstorming a step further by
adding a voting process to rank the ideas that are generated.
However, versus using simple voting, each participant must
provide their input and there is discussion regarding the relative
ranking of that result.
 The Nominal Group Technique (NGT) is designed to
promote group participation in the decision-making process.
 The Nominal Group Technique can be used by small groups to
reach consensus on the identification of key problems or in the
development of solutions that can be tested using rapid-change
cycles.
 Team members begin by writing down their ideas, then selecting
which idea they feel is best.
DECISION MAKING TOOLS
DECISION TREE
 A decision tree is a diagram or chart that helps determine a
course of action or show a statistical probability.
 Each branch of the decision tree represents a possible
decision, outcome, or reaction. The furthest branches on
the tree represent the end results of a certain decision
pathway.
 People use decision trees in a variety of situations, such as
determining a course of action for a complex finance or
business decision.
 In the decision tree, each end result has an assigned risk
and reward weight or number. If a person uses a decision
tree to make a decision, they can look at each final
outcome and assess the benefits and drawbacks.
 A Decision Tree Analysis is a graphic
representation of various alternative
solutions that are available to solve a
problem.
 By using a decision tree, the alternative
solutions and possible choices are illustrated
graphically as a result of which it becomes
easier to make a well-informed choice.
DECISION TREE ANALYSIS
DECISION MATRIX
DECISION MATRIX

 A decision matrix evaluates and prioritizes a


list of options and is a decision-making tool.
The team first establishes a list of weighted
criteria and then evaluates each option
against those criteria. This is a variation of the
L-shaped matrix.
DECISION MATRIX PROCEDURE

 Brainstorm the evaluation criteria appropriate to


the situation.
 Discuss and refine the list of criteria. Tools such
as list reduction and multivoting may be useful.
 Assign a relative weight to each criterion, based
on how important that criterion is to the
situation.
 Draw an L-shaped matrix. Write the criteria and
their weights as labels along one edge and the
list of options along the other edge.
 Evaluate each choice against the criteria.
PARETO ANALYSIS
 Pareto Analysis uses the Pareto Principle – also
known as the "80/20 Rule" – which was coined
by Italian economist, Vilfredo Pareto, in his 1896
book, "Cours d'économie politique."
 The Pareto Principle states that 80 percent of a
project's benefit comes from 20 percent of the
work. Or, conversely, that 80 percent of
problems can be traced back to 20 percent of
causes. Pareto Analysis identifies the problem
areas or tasks that will have the biggest payoff.
 The tool has several benefits, including:
 Identifying and prioritizing problems and
tasks.
 Helping people to organize their workloads
more effectively.
 Improving productivity.
 Improving profitability.
Pareto Analysis Steps
 1. Identify and List Problems
 Write out a list of all of the problems that you need to resolve. Where possible, gather feedback from
clients and team members. This could take the form of customer surveys, formal complaints, or
helpdesk logs.
 2. Identify the Root Cause of Each Problem
 Next, get to the root cause of each problem.
 3. Score Problems
 Now, score each problem that you've listed by importance. The scoring method that you use will depend
on the sort of problem that you're trying to resolve.
 For example, if you want to improve profits, you could score problems by how much they cost. Or, if
you're trying to improve customer satisfaction, you might score them based on the number of
complaints that you've received about each.
 4. Group Problems Together
 Use the root cause analysis that you carried out in Step 3 to group problems together by common cause.
For example, if three of your problems are caused by lack of staff, you could put these into the same
group.
 5. Add up Scores for Each Group
 Now, add up the scores for each group that you've identified. The one with the top score should be your
highest priority, and the group with the lowest score your lowest priority.
 6. Take Action
 Finally, it's time to take action! Your highest scoring problem will likely have the biggest payoff once
fixed, so start brainstorming ideas on how to solve this one first.
MIS and Decision Making

 Management information systems help decision-


makers understand the implications of
their decisions. The systems collate raw data into
reports in a format that enables decision-makers to
quickly identify patterns and trends that would not
have been obvious in the raw data.
 Decision makers also use MIS to understand the
potential effect of change.
 For example:A sales manager can make predictions
about the effect of price change on sales by running
simulations within the system and asking a number
of “What if the price was” questions.
ROLE OF MIS IN DECISION
MAKING
 Rapid Access to Information
 Managers need rapid access to information to
make decisions about strategic, financial,
marketing and operational issues. Companies
collect vast amounts of information, including
customer records, sales data, market research,
financial records, manufacturing and inventory
data and human resource records. A MIS
simplifies and speeds up information retrieval by
storing data in a central location that is
accessible via a network. The result is decisions
that are quicker and more accurate.
 Decisions Based on Latest Information
 Management information systems bring
together data from inside and outside the
organization. By setting up a network that
links a central database to retail outlets,
distributors and members of a supply chain,
companies can collect sales and production
data daily, or more frequently, and make
decisions based on the latest information.
 Teams Can Collaborate
 In situations where decision-making involves
groups, as well as individuals, management
information systems make it easy for teams
to make collaborative decisions. In a project
team, for example, management information
systems enable all members to access the
same essential data, even if they are working
in different locations.
 Interpret Results Efficiently
 Management information systems help decision-makers
understand the implications of their decisions. The systems
collate raw data into reports in a format that enables
decision-makers to quickly identify patterns and trends that
would not have been obvious in the raw data.
 Decision-makers can also use management information
systems to understand the potential effect of change. A
sales manager, for example, can make predictions about
the effect of a price change on sales by running simulations
within the system and asking a number of “what if the price
was” questions.
 UNIT III
 DATA AND INFORMATION
Data
 The word ‘Data’ is derived from the plural
form of latin word ‘Datum’, which means ‘to
give’.
 Originated at mid 17th century.
 Data is a collection of raw facts.
 May or may not be meaningful.
 Input to any system may be treated as Data.
 Understanding is difficult.
 Data must be processed to understand.
 Data may not be in the order.
Information
The word ‘Information’ is derived from latin
word ‘Informare’, which means ‘to instruct’.
 Information is the outcome derived after
processing the data.
 Information is always meaningful.
 Output after processing the system is
Information.
 Understanding is easy.
 Information is already in understandable form, it
may be processed further to make it more
understandable.
 Information should be in the order.
Data and Information
 Data is a collection of details or data remaining in the form of either
figures texts, symbols, description, or mere observations of entities,
events, or things with a potential to be analyzed and drawn inferences
from. They are raw which requires rendering to acquire meaningful
information.
 Data refers to unprocessed information.
 Information is data that has been processed in such a way as to be
meaningful to the person who receives it.
 Information is structured, processed, and presented with assigned
meaning that improves the reliability of the data acquired.

 For example, researchers who conduct market research survey might


ask a member of the public to complete questionnaires about a product
or a service. These completed questionnaires are data; they are
processed and analyze in order to prepare a report on the survey. This
resulting report is information.
 Data is a collection of facts. Information is
how you understand those facts in context.
 Data is unorganized, while information is
Data generally includes the raw forms of
numbers, statements, and characters.
Information doesn’t have to.
 Information depends on data.
 In the world of computers, data is the input,
or what you tell the computer to do or save.
Information is the output,
Information
BASIS
Data

Qualitative/ Quantitative
variables that present Data that is structured and
Description themselves with the potential collated to further its meaning
to be developed into ideas or and contextual usefulness.
analytical conclusions.

Data follows the form of


Information follows the format
Format either letters, numbers or
of either ideas or references
characters.

Information is represented as
Data is structured either in
ideas, thoughts, and languages
Representation graphs, data trees,
after collating the data
flowcharts, or tables.
acquired.
Data when interpreted and
Data doesn’t serve any assigned with some meaning
Meaning
purpose unless given to. derived out of it, gives
information.
Interrelation Data is information collected Information is data processed
Data is raw and doesn’t Information is data collated and
Features contain any meaning unless produced to further a logical
analysed. meaning.
Data doesn’t depend on Information can’t exist without
Interdependence
information. data.
Data is measured in bits and Information if mostly measured
Unit
bytes. in units like quantity, time et al.
Data alone doesn’t pertain to The information contains
Use Case for
the qualities to help derive analytical coherence to help
Decision Making
decisions. derive a decision.

Data acquired by researchers


Information adds value and
Use Case for might become useless if they
usefulness to researchers since
Researchers have no analytical inferences
they are readily available.
to make.
 1-Action vs. non action information: Action information is
active information that causes an activity or operation,
while the information that communicates only when the
status is applied without any operation is called non-action.
 2-Recurring vs. non recurring information: The information
that is generated in regular intervals is called recurring
information, whereas non-repetitive in nature is called non-
recurring information.
 3-Internal vs. external information: all information that
produced from internal sources of any organization is called
internal information, though all information that produced
from external sources of any organization is called external
information.
 Classification by Application
 In terms of applications, information can be categorized as −
 Planning Information − These are the information needed for
establishing standard norms and specifications in an organization. This
information is used in strategic, tactical, and operation planning of any
activity. Examples of such information are time standards, design
standards.
 Control Information − This information is needed for establishing
control over all business activities through feedback mechanism. This
information is used for controlling attainment, nature and utilization of
important processes in a system. When such information reflects a
deviation from the established standards, the system should induce a
decision or an action leading to control.
 Knowledge Information − Knowledge is defined as "information about
information". Knowledge information is acquired through experience
and learning, and collected from archival data and research studies.
Classification by Management
Hierarchy
 Top Level: Strategic Information − Strategic information is
concerned with long term policy decisions that defines the
objectives of a business and checks how well these objectives are
met. For example, acquiring a new plant, a new product,
diversification of business etc, comes under strategic
information.
 Middle Level: Tactical Information − Tactical information is
concerned with the information needed for exercising control
over business resources, like budgeting, quality control, service
level, inventory level, productivity level etc.
 Lower level: Operational Information − Operational information
is concerned with plant/business level information and is used to
ensure proper conduction of specific operational tasks as
planned/intended. Various operator specific, machine specific
and shift specific jobs for quality control checks comes under this
category.
DATA COLLECTION

 Data collection is a systematic method of collecting


and measuring data gathered from different sources
of information in order to provide answers to
relevant questions.
 An accurate evaluation of collected data can help
researchers predict future phenomenon and trends.
 Data collection can be classified into two, namely:
primary and secondary data. Primary data are raw
data i.e. fresh and are collected for the first time.
Secondary data, on the other hand, are data that
were previously collected and tested.
METHODS OF DATA COLLECTION

 1. Literature sources
 This involves the collection of data from already
published text available in the public domain.
Literature sources can include: textbooks,
government or private companies’ reports,
newspapers, magazines, online published papers
and articles.
 This method of data collection is referred to as
secondary data collection. In comparison to
primary data collection, tt is inexpensive and not
time consuming.
 SURVEYS: Information are gathered through
questionnaire, mostly based on individual or
group experiences regarding a particular
phenomenon.
 There are several ways by which this
information can be collected. Most notable
ways are: web-based questionnaire and
paper-based questionnaire (printed form).
The results of this method of data collection
are generally easy to analyse.
 3. Interviews
 Interview is a qualitative method of data
collection whose results are based on intensive
engagement with respondents about a particular
study. Usually, interviews are used in order to
collect in-depth responses from the
professionals being interviewed.
 Interview can be structured (formal), semi-
structured or unstructured (informal). In essence,
an interview method of data collection can be
conducted through face-to-face meeting with
the interviewee(s) or through telephone.
 4. Observations
 Observation method of information gathering is used by
monitoring participants in a specific situation or
environment at a given time and day. Basically, researchers
observe the behaviour of the surrounding environments or
people that are being studied. This type of study can
be controlled, natural or participant.
 Controlled observation is when the researcher uses a
standardised precedure of observing participants or the
environment. Natural observation is when participants are
being observed in their natural conditions. Participant
observation is where the researcher becomes part of the
group being studied.
SYSTEM DEVELOPMENT

 Systems development is systematic process


which includes phases such as planning,
analysis, design, deployment, and
maintenance.
MIS and System Analysis
 Systems analysis is "the process of studying a procedure or
business in order to identify its goals and purposes and
create systems and procedures that will achieve them in an
efficient way".
 It is a process of collecting and interpreting facts,
identifying the problems, and decomposition of a system
into its components.
 System analysis is conducted for the purpose of studying a
system or its parts in order to identify its objectives. It is a
problem solving technique that improves the system and
ensures that all the components of the system work
efficiently to accomplish their purpose.
 Analysis specifies what the system should do.
 Preliminary Investigation basically refers to the
collection of information that guides the
management of an organization to evaluate the
merits and demerits of the project request and
make an informed judgment about the feasibility
of the proposed system. This sort of
investigation provides us with a through picture
of the kind of software and hardware
requirements which are most feasible for the
system, plus the environment in which the entire
project has to be installed and made operational.
SYSTEM ANALYSIS
 Preliminary Investigation
 The purpose of the preliminary investigation
is to determine whether the problem or
deficiency in the current system really exists.
The project team may reexamine some of the
feasibility aspects of the project. At this point,
the purpose is to make a “go” or “no-go”
decision. The end result is a decision to
proceed further or to abandon the project.
 In the requirements analysis phase
 (a) The problem is specified along with the
desired objectives (goals).
 (b) The constraints are identified.
 (c) All information about the functions,
behaviour, and performance are documented
and checked by the customers.
System Analysis Phase

 Fact Finding
 • Understanding the current system
 • Produce data flow diagrams
 • Identify the user requirements
 • Interpret the user requirements
 • Agree the objectives with the user
 • Collect data from the current system
ROLE OF SYSTEM ANALYSIS IN
MIS
 Systems analysis plays a central role in the development of the
MIS.
 The main purpose of the systems analysis stage is to gather
information about the existing system in order to determine the
requirements for an enhanced system or a new system.
 The tools of the systems analysis and the methods of
development enforce a discipline on the designer to follow the
steps strictly and reduces the possibility of any mistake .
 The systems analysis with its structural analysis and design
approach ensures an appropriate coverage of the sub-systems.
 System Analysis tools helps in streamlining the procedures of
the Company to the current needs of the business and
information objectives.
 It also helps in data generation, storage and its management in
terms of quality, status, access and usage.
TOOLS FOR SYSTEM ANALYSIS

 1. Grid Charts:
 Grid charts are a tabular method of representing
relationship between two sets of factors. A grid
chart analysis is useful in eliminating
unnecessary reports or unnecessary data items
from reports. It can also be used for identifying
responsibilities of various managers for a
particular sub-system. Grid chart can be very
effectively used to trace flow of various
transactions and reports in the organisation.
GRID CHART
System Design

 The design phase is concerned with the physical


construction of the system.
 The main objective of this phase is to transform
the previously defined requirements into a
complete and detailed set of specifications.
 Design Phase includes
 the design or configuration of the network (hardware,
operating system, programming, etc.),
 design of user interfaces (forms, reports, etc.),
 design of system interfaces (for communication with
other systems), and security issues.
UNIT 4
Development of Long Range Plans of the MIS
 • The plan for development and its implementation is a basic necessity
for MIS.
 • In MIS the information is recognized as a major resource like capital,
time and capacity.
 • If information (resource) is to be managed well, it calls upon the
management to plan for it and control it for the appropriate use in the
organization.
 • With the advancement of IT, it is possible to recognize information as
a valuable resource like money and capacity.
 • It is necessary to link its acquisition, storage, use and disposal as per
the business needs for meeting the business objectives.
 • So we need MIS flexible enough to deal with the changing information
needs of the organization. It should be open system. The designing of
such an open system is a complex task.
 • It can be achieved if MIS is planned, keeping in view, the plan of the
business management of the organization.
 A long range MIS plan provides direction for the
development of the systems, and provides a basis for
achieving the specific targets or tasks against a time
frame.
 It should provide support for the management planning,
decision making and action. It should provide support to
the changing needs of business management.
MIS PLANNING

1.MIS plan is linked to the Business plan


 • MIS Goals & Objectives • Goals are to consider
management philosophy, policy constraints,
business risks, internal and external environment of
the organization and the business.
 For example:Provide an online information on the
stock, markets and the account balances , The query
processing should not exceed more than 3 sec, The
focus of the system will be on the end user
computing and access facilities ,Information support
will be the first in the strategic areas of management
such as marketing or service or technology.
2.Strategy for the Plan achievement
• Development Strategy: An online, a batch, a real time.
Technology platform.
• System development strategy: SSAD or OOT. Database VS
conventional etc.
• Resources for system development: In house VS external,
customized development VS the use of packages.
• Manpower composition: Analyst, programmer skills and
know-how. •
3.The architecture of the MIS
 It provides a system structure and their input, output and
linkages. It also provides handling of systems & subsystems
by way of simplification, coupling and decoupling of
subsystems
4.The system development schedule
A schedule is made for the development of the system. Unless
the systems are fully developed their integration is not
possible.
5.Hardware and software plan
 Giving due regard to the technical and operational
feasibility, the economics if investment is worked
out. Then the plan of procurement is made after
selecting the hardware and software.
 The selection of the architecture, the approach to
the development and choice of hardware and
software are the strategic decisions and needs to be
taken very carefully.

Following points to consider


 The organization’s strategic plan should be the basis
for the MIS strategic plan
 • The IS development schedule should match with
the implementation schedule of the business plan
 • The choice of information technology is a strategic
business decision and not a financial decision.
Determining the Information
Requirement
 • The sole purpose of the MIS is to produce information
which will reduce uncertainty risk in a given situation.
 • The difficulty to determine a correct and complete set of
information is on account of the factors given below:
 • The capability constraint of the human being as an
information processor, a problem solver and a decision
maker
 • The nature and the variety of information in précised
terms
 • Reluctance(unwillingness) of decision makers to spell out
the information for the political and the behavioral reasons
 • The ability of the decision makers to specify the
information
Methods of determining
information
 • There are four methods of determining the
information requirements.
 They are: –
 Asking or interviewing
 Questionnaires-Structured and Unstructured
 Determining from the existing system
 Analyzing the critical success factors
 Experimentation and modeling
Qualities of Information
 Timeliness: Information must reach the recipients
within the prescribed time frame.
 Accuracy: Information must be free from mistakes
and errors.
 Relevance: It must be useful for managers to take
their decisions
 Adequacy: Information must be sufficient in quantity
because inadequacy leads to crisis and information
overload leads to chaos.
 Completeness: Information provided to a manager
must be complete and should meet all its need.
 Explicitness: It need not to be further analyzed by
the manager for decision making.
MIS DEVELOPMENT AND
IMPLEMENTATION
LIFE CYCLE APPROACH FOR
SYSTEM DEVELOPMENT
Prototype
 A prototype is a working model that is functionally
equivalent to a component of the product.
 Prototyping is used when there is an absence of detailed
information regarding the input to the system, the
processing needs and the output requirements, the
prototyping model may be employed.
 It increases the flexibility of the development process by
allowing the client to interact and experiment with a
working representation of the product.
 The developmental process only continues once the
client is satisfied with the functioning of the prototype.
 At that stage the developer determines the
specifications of the client’s real needs.
 The prototyping model is a systems
development method in which
a prototype is built, tested and then
reworked as necessary until an acceptable
outcome is achieved from which the
complete system or product can
be developed.
Organization for development
of MIS
 Defining and analyzing various types of decisions
made in the organization
 Comparison of costs and benefits of the system
 Development of the System
 Pre-Testing of the systems and training of
operators
 Mechanism for gathering and processing data
 Proper planning for storage of information
 Proper arrangement for dissemination of
information
 Review of MIS at periodical intervals
Reasons/Factors of MIS
failure
 Incomplete analysis – incomplete analysis is the biggest cause of system
failure. An incomplete analysis is due to some common reasons like problem
identification is not properly defined, key requirements and constraints are
not properly understood and identify at the early stages of the MIS design
and development process.
 Lack of management involvement – it is the biggest cause of no-one
understands the system which creates a huge understanding gap and makes
MIS fail. Lack of management involvement have long-lasting consequences
and can impact an entire system. Many executives who are not personally
involved in MIS system design would most likely is a cause of system failure
because the inputs of senior executives are always fruitful for the system to
get the right direction to work on.
 The accent of the computerized system – if someone doesn't understand
the procedures and its need for handling input and output system, hardware
and its usage, and application and its impacts; makes the biggest cause of
MIS failure.
 Lack of user friendly system and the dependence on the system personnel.
 Concentration on low-level data processing – Information must be easily
accessible and understood.
 Lack of management knowledge of ICT systems and capabilities – In the
growth of KM (Knowledge Management) systems, structures, data
processes, and information technologies, the implementation and use of
ICT to enhance and encourage knowledge management have brought to
focus the urgent need to come up with new approaches, resources, and
techniques to promote effective knowledge management for enhanced
service delivery in system development. managers know what they want
from the system but don't understand the technology
 Lack of teamwork – For a variety of reasons, lack of coordination may be a
problem. ... People come together to create relationships that lead to
productive teamwork. By good communication of intent, the team leader
aligns the team, so that individual abilities combine with coordination to
achieve results for the teams. During MIS design, An ICT director must
organize the divisions of accounts, marketing, distribution, etc. to help
everybody understand the benefits of the system.
 Lack of professional standards – The professional requirements have a
purpose. These criteria are for all members of the team who work for an
organization in lifelong learning, defining the abilities, expertise, and
qualities needed for the organization. All systems require simple
documentation that can be understood by all users.
 Lack of administrative discipline in following the standardized systems and
procedures, wrong coding and deviating from the system specifications
result in incomplete and incorrect information.
 MIS does not give perfect information to all users in the organization.
SUCCESS OF MIS
 MIS is integrated into the managerial functions
 ⦿ MIS is developed following strict software engineering
principles.
 ⦿ Appropriate information processing technology is selected.
 ⦿ MIS is oriented, defined and designed in terms of the user's
requirements and its operational viability is ensured.
 ⦿ MIS is kept under continuous surveillance,
 ⦿ MIS focuses on the results and goals
 ⦿ MIS is not allowed to end up generating noise in the
information
 ⦿ MIS must consider all human behavioral factors.
 ⦿ MIS is easy to operate
 ⦿ MIS design, has basic potential to quickly meet new needs of
information
Unit 5
Decision Support System
 Decision Support Systems (DSS) are a specific
class of computerized information system that
supports managers at handling semi-structured
and unstructured decisions.
 The objective of DSS is to provide managers with
a set of capabilities or alternatives to enable
decision making.
 The property of well designed DSS is that it is
flexible to generate immediate responses to a
variety queries with the assistance of inbuilt
formulas , functions , sorts , graphs, models and
other statistical tools.
DSS

 The decision support system refers to a class


of systems which support in the process of
decision making and dos not always give a
decision itself.
 It supports the decision maker in evaluating
various alternatives and selecting one most
optimum alternative and also supports the
decision-makers in what-if analysis
 A decision support system (DSS) is an
information system that aids a business in
decision-making activities that require
judgment, determination, and a sequence of
actions.
 The information system assists the mid- and
high-level management of an organization by
analyzing huge volumes of unstructured data
and accumulating information that can help to
solve problems and help in decision-making.
Applications of DSS

 a DSS is used in sales projection,


for inventory and operations-related data,
and to present information to customers in
an easy-to-understand manner.
Benefits of DSS

 Improves efficiency and speed of decision-


making activities.
 Increases the control, competitiveness and
capability of futuristic decision-making of the
organization.
 Facilitates interpersonal communication.
 Encourages learning or training.
 Since it is mostly used in non-programmed
decisions, it reveals new approaches and sets up
new evidences for an unusual decision.
 Helps automate managerial processes.
Components of DSS
 DSS Database: It contains data from various sources, including
internal data from the organization, the data generated by
different applications, and the external data mined form the
Internet, etc.

 DSS Software System: It consists of various mathematical and


analytical models that are used to analyze the complex data,
thereby producing the required information. A model predicts
the output in the basis of different inputs or different conditions,
or finds out the combination of conditions and input that is
required to produce the desired output.

DSS User Interface: It is an interactive graphical interface which
makes the interaction easier between the DSS and its users. It
displays the results (output) of the analysis in various forms, such
as text, table, charts or graphics. The user can select the
appropriate option to view the output according to his
requirement.
AI

 Artificial Intelligence (AI) is the simulation of


human intelligence processes by machines,
especially computer systems. Specific
applications of AI include expert systems,
natural language processing (NLP), speech
recognition and machine vision.
KBES

 A KBES is a computer program that uses


artificial intelligence to solve problems within
a specialized domain that ordinarily requires
human expertise.
 Typical tasks for expert systems involve
classification, diagnosis, monitoring, design,
scheduling, and planning for specialized
tasks.
 KBS allow this knowledge to be represented
and creates an
 explained solution.
COMPONENTS OF KBES

 Knowledge Base The component of an expert


system that contains the system’s knowledge
organized in collection of facts about the
system’s domain.
 An inference engine tries to derive answers
from a knowledge base.
 It is the brain of the expert systems that
provides a methodology for reasoning about
the information in the knowledge base, and
for formulating conclusions. I
Expert System
 An expert system is computer software that attempts to
act like a human expert on a particular subject area.
 An expert system helps the user make decisions by asking
questions and then, based on the user’s answers and the
knowledge that it holds, offering advice. It can even explain
to the user how it arrived at its conclusions.
 Expert system is a computer system that emulates the
decision-making ability of a human expert.
 Expert systems are designed to solve complex problems by
reasoning about knowledge, like an expert, and not by
following the procedure of a developer as is the case in
conventional programming.
Parts of Expert System

 An expert system is made up of three parts:


A user interface - This is the system that allows a
non-expert user to query (question) the expert
system, and to receive advice. The user-
interface is designed to be a simple to use as
possible.
 A knowledge base - This is a collection of facts
and rules. The knowledge base is created from
information provided by human experts
 An inference engine - This acts rather like a
search engine, examining the knowledge base
for information that matches the user's query
The non-expert user queries the expert system. This is
done by asking a question, or by answering questions
asked by the expert system.

The inference engine uses the query to search the


knowledge base and then provides an answer or some
advice to the user
Applications of Expert
System
Medical diagnosis (the knowledge base would
contain medical information, the symptoms of
the patient would be used as the query, and the
advice would be a diagnose of the patient’s
illness)

Playing strategy games like chess against a


computer (the knowledge base would contain
strategies and moves, the player's moves would
be used as the query, and the output would be
the computer's 'expert' moves)
 Providing financial advice - whether to invest in
a business, etc. (the knowledge base would
contain data about the performance of financial
markets and businesses in the past)
 Helping to identify items such as plants /
animals / rocks / etc. (the knowledge base would
contain characteristics of every item, the details
of an unknown item would be used as the query,
and the advice would be a likely identification)
Helping to discover locations to drill for water /
oil (the knowledge base would contain
characteristics of likely rock formations where
oil / water could be found, the details of a
particular location would be used as the query,
and the advice would be the likelihood of finding
oil / water there)
Problems with Expert System

 However expert systems can some problems:


Can't easily adapt to new circumstances (e.g.
if they are presented with totally unexpected
data, they are unable to process it)
 Can be difficult to use (if the non-expert user
makes mistakes when using the system, the
resulting advice could be very wrong)
 They have no 'common sense' (a human user
tends to notice obvious errors, whereas a
computer wouldn't)
Expert System in Decision
Making
Expert systems are used to help people make decisions in a
whole range of situations.

 In the financial world they are used by people to make


decisions about
investments, risks, and complex projects.
 In hospitals expert systems can help doctors diagnose illnesses
and
suggest treatments.
 In the oil industry they are used in exploration for oil fields.
 In industry expert systems are used to help maintain and repair
equipment.
 In factories they are used to help manage complex production
processes.
Expert systems have the following advantages.
 They make expert knowledge available through a computer
system.
 They combine the knowledge of lots of experts.
 They support people when they have important and complex
decisions
to make.
 People in remote places, for example doctors in remote
hospitals, can
have expert help and advice on hand in the shape of the expert
system.
 People can learn using expert systems by asking questions,
reading the
answers and asking the system to give feedback on the reasons
for the
answers given.
Enterprise resource planning
 ERP software means Enterprise Resource Planning
systems.
 Enterprise resource planning (ERP) refers to a type
of software that organizations use to manage day-to-
day business activities such as accounting,
procurement, project management, risk
management and compliance, and supply chain
operations.
 ERP software contains applications which automates
business functions like production, sales quoting,
accounting, and more.
 An ERP is a “do it all” system that performs
everything from entry of sales orders to customer
service.
 The purpose of ERP is to facilitate the flow of
information between all business functions inside the
boundaries of the organization and manage the
connections to outside stakeholders.
 Enterprise resource planning (ERP) refers to
a type of software that organizations use to
manage day-to-day business activities such as
accounting, procurement, project management,
risk management and compliance, and supply
chain operations.
 Enterprise resource planning software (ERP) is a
handy tool that not only helps you keep track of
all your daily business activities but also
maintains the progress of a multitude of
business processes under a single system.
Scope of ERP

 The scope offered by ERP is to include other


“back-office” functions such as order
management, financial management,
warehousing, distribution production, quality
control, asset management and human
resources management.
 The evolution of extended-ERP systems has
further expanded in recent years to include more
“front-office” functions, such as sales force and
marketing automation, electronic commerce
and supply chain management systems.
Evolution of ERP

 In 1990 Gartner Group first employed the


acronym ERP as an extension of material
requirements planning (MRP), later
manufacturing resource planning and
computer-integrated manufacturing.
 ERP systems initially focused on automating
back office functions that did not directly
affect customers and the general public.
History of ERP
 Inventory Management & Control :
Inventory Management and control
focuses on appropriate level of stock in
a warehouse.
 Material Requirement Planning (MRP)
: Materials Requirement Planning (MRP)
utilizes software applications for
scheduling production processes. MRP
generates schedules for the operations
and raw material purchases based on
the production requirements of finished
goods, the current inventories levels and
the lot sizing procedure for each
operation.
 Manufacturing Requirements Planning (MRP
II) : MRPII focused on the manufacturing process.
Manufacturing Requirements Planning or MRP
utilizes software applications for coordinating
manufacturing processes, from product
planning, parts purchasing, inventory control to
product distribution. A major purpose of MRPII is
to integrate primary functions (i.e. production,
marketing and finance).

 Enterprise Resource Planning (ERP) : Enterprise


Resource Planning or ERP uses multi-module
application software for improving the
performance of the internal business processes.
ERP systems often integrates business activities
across functional departments, from product
planning, parts purchasing, inventory control,
product distribution, fulfillment, to order
tracking.
ERP Software Modules

 ERP software consists of many enterprise


software modules that are individually
purchased, based on what best meets the
specific needs and technical capabilities of the
organization.
 Each ERP module is focused on one area of
business processes, such as product
development or marketing.
 Some of the more common ERP modules include
those for product planning, material purchasing,
inventory control, distribution, accounting,
marketing, finance and HR.
ERP Model
ERP Vendors
Depending on your organization's size and needs there are a number
of enterprise resource planning software vendors to choose from
in the large enterprise, midmarket and small business ERP
markets.
The ERP vendors are continuously expanding the capabilities of their
packages by adding functionality for new business functions such
as sales force automation, supply-chain, order management,
data warehousing, maintenance repair-and-overhaul, etc. SAP-
AG, Oracle, JD Edwards,PeopleSoft and Baan – collectively called
the “Big Five” of ERP software vendors coovering 70 percent of
ERP market share.
 Large Enterprise ERP (ERP Tier I)
The ERP market for large enterprises is dominated by three
companies: SAP, Oracle and Microsoft.
 Midmarket ERP (ERP Tier II)
For the midmarket vendors include Infor, QAD, Lawson, Epicor, Sage
and IFS.
 Small Business ERP (ERP Tier III)
Exact Globe, Syspro, NetSuite, Visibility, Consona, CDC Software and
Activant Solutions.
Advantages and Disadvantages

 ERP systems have certain advantages such as


low operating cost and improving customer
service.
 Tight Integration, Huge storage needs,
networking requirements and training overheads
are frequently mentioned ERP problems.
 ERP projects are large, costly and difficult and
that they require large investment in capital and
staff and management time. ERP systems are
complex, and implementing one can be a
difficult, time-consuming and expensive project
for a company
Transaction Processing
System
 TPS records and process the data resulting from
routine business transactions.
 A transaction processing system collects, store,
modify, and retrieve the transactions data.
 A transaction is an event that generates or
modifies data that is eventually stored in an
information system such as sales, purchases,
withdrawals,refunds and payments.
 Typical examples of such systems would be
Airline Reservation Systems, Banking Systems,
or the Accounting System of almost any large
company.
Features of TPS
 Rapid Response: The response time of a
transaction processing system (TPS) is important
because a business cannot afford to have their
customers waiting for long periods of time
before making a transaction.
 Inflexibility: The TPS must work the same way for
every transaction as long as the TPS is being
used. The formality and structure should never
change.
 Controlled processing: The TPS must be able to
allow authorized employees to be able to access
it at any time.
 Standardisation
Transactions must be processed in the same way
each time to maximise efficiency. To ensure this,
TPS interfaces are designed to acquire identical
data for each transaction, regardless of the
customer.
Types of TPS

 Batch processing: Processes several


transactions at the same time, with a time
delay.
 Real-time processing: Deals with one
transaction at a time and does not have a
time delay.

Real Time Processing

 Data is processed immediately after a


transaction occurs.
 Real time processing is where all details of
the transaction are recorded and changed at
the time as it occurs.
 Real Time Processing requires interaction
with a user.
 Examples of real time processing are ATM’s.
Batch Processing
 Batch of requests is stored and then executed all at one
time.
 Batch processing is useful for enterprises that need to
process large amounts of data using limited resources.
 Processing occurs without user interaction.
 Examples of batch processing include credit card
transactions. credit card transactions need only be
processed once a month in order to produce a statement
for the customer, so batch processing saves IT resources
from having to process each transaction individually.
 Occupy much of the network capacity.
 Data errors will stop a batch process E.g. Payroll, cheques,
billing for electricity, E-way and telephone.
Difference between Real Time
Processing and Batch Processing
 Each transaction in real-time is unique . Transaction
are stand-alone both in the entry to the system and
also in the handling of output.
 Real-time processing requires the master file to be
available at all time while database is not required
all the time for batch processing.
 Real-time processing has fewer errors than batch
processing : data is validated and entered
immediately. With batch , data is organised and
stored before the master file is updated. Errors can
stop processing
 More operators required in real-time processing
compared to batch processing .
 Difficult to maintain real-time system than batch
processing system.
ACID properties of TPS
 In order to qualify as a TPS, transactions made by the
system must pass the ACID test. The ACID tests refers to
the following four pre-requisites:

 Atomicity :- means that a transaction is either completed


in full or not at all. If one account is debited, then another
account has to be credited.
 Consistency :- ensure that at the end of any transaction the
system is in a valid state. If the transaction completes
successfully, then all changes to the system will have been
properly made, and the system will be in a valid state.
 If any error occurs in a transaction, then any changes
already made will be automatically rolled back. This will
return the system to its state before the transaction was
started. Since the system was in a consistent state when
the transaction was started, it will once again be in a
consistent state.
ACID Properties
 For example in case of account transfer system, the system
is consistent if the total of all accounts is constant. If an
error occurs and the money is removed from account A and
not added to account B, then the total in all accounts would
have changed. The system would no longer be consistent.
By rolling back the removal from account A, the total will
again be what it should be, and the system back in a
consistent state.
 Isolation :- transactions must be independent of each
other. The Isolation property requires that the behaviour of
a transaction is not impacted by the presence of other
transactions that may be accessing the same data items
concurrently.
 Durability :- Once transactions are completed they cannot
be undone. the effects of a completed transaction should
be lasting.
EMS:Enterprise Management
System
 Enterprise Management Systems (EMS) Are
Large- scale Application Software Packages That
Support Business Processes, Information Flows,
Reporting, And Data Analytics In Complex
Organizations.
 It is considered to be an essential part of a
computer-based information system, and it
provides business-oriented tools such as online
payment processing and automated billing
systems. Enterprise software is also referred to
as enterprise application software.
 Enterprise Management System (EMS) is
made up of integrated Enterprise Resource
Planning (ERP), Supply Chain Management
(SCM), and Customer Relationship
Management (CRM).
 The crucial component of EMS is the ERP
which controls the support systems like;
 EDI:-Electronic Data Interchange-Electronic
Data Interchange (EDI) Electronic Data
Interchange is the structured transmission of
data between organizations by electronic
media.
 AMS:-Attendance Management System-
Attendance Management System keeps track
of the employee related information for
personnel planning, availability and
scheduling.
 DMS:-Document Management System :The
document management system is designed to
keep important documents in the database for
viewing, sending messages, and for
documenting support in the transactions
handled.
 CMS:-Communication management
Communication Management System is the
proper planning, implementing, supervising, and
revision of all channels of communication within
organization and between organizations.
 SMS-Security management system handles the
security, entry access requirement of the
business operations. it may be a person, a
vehicle, or material, its movement, availability
and access if tracked, monitored, and guarded
for security and safety.
ERP

 Enterprise Resource Planning Software It


helps an organization to integrate
information flows, operations and processes
all resources accessible, for example,
materials, work force, machine and money.
The focus of ERP is on resource management
within constraints to maximize the return on
investment. These data are then stored in a
unified database, which are the key for the
success of this software solution.
Supply Chain

 Supply Chain : A supply chain is the system of


organizations, people, activities, information
and resources involved in moving a product
or service from supplier to customer. Supply
chain activities transform raw materials and
components into a finished product that is
delivered to the end customer.
CRM

 Customer Relationship Management is a


strategy for managing all your company’s
interactions with current and prospective
customers. CRM formation of bonds between
a company and its customers. CRM enables
your company to increase productivity, close
more business, and improve customer
satisfaction and retention.

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