MANAGEMENT INFORMATION SYSTEM
• MIS is a System or Process that Information can be classified into facts ,
provides the information necessary
to manage an organization
effectively.
• MIS should have a clearly defined
framework of guidelines, policies or
practices, standards, and
procedures for the organization.
These should be followed
throughout any of the organization in
their development, maintenance and
use.
GOALS OF MIS
An Organization’s MIS should be designed
to achieve the following goals :
• Enhance communication among
employees.
• Deliver complex material throughout the
organization.
• Provide an objective system for recording
and aggregating information.
• Reduce expenses related to labor
intensive manual activities.
• Support the organization’s strategic goals
and direction.
USE OF MIS
• MIS supplies decision makers with
facts and enhances the overall
decision making process.
• MIS also enhances job performance
throughout the organization as data
and information availability and
processing done on time, this helps
the board and management in taking
strategic decisions.
EXAMPLES OF MIS
•Bank Information System
• Railways Information System
•Educational Information System etc.
CLASSIFICATION OF INFORMATION
opinions, concepts, procedures , processes,
principles, primary and secondary
information
TYPES OF DATA
In order to present the information in a
proper manner to user , the data can be
collected through two main methods –
primary & secondary.
• PRIMARY DATA COLLECTION - refers to
collecting original data or collecting data
directly from the source.
• SECONDARY DATA COLLECTION -
refers to collecting data from secondary
sources such as books , journals,
researches reports, online databases,
internet etc.
TYPES OF INFORMATION
• Primary Information: Original material
that has not been interpreted or analyzed.
Examples: Direct Market Survey Results,
Compiled Questionnaires, etc.
• Secondary Information: Created from
primary material or by the interpretation of
original material. Examples: Textbooks,
Research articles, websites, etc.
• Tertiary Information: Acts as a tool in
understanding and locating information
Examples: Outputs from Databases queries,
Dictionaries, Bibliographies, References,
etc.
INFORMATION TRANSMISSION
The transmission of information between
people takes place with the help of the
communication system. Summarization and
Message routing are the two methods that
increase the sending and receiving
efficiency of the system.
BENEFITS OF INFORMATION
The benefits of information in organization
are:
▪ It helps in Management Control, Decision
Making and Build Models.
▪ Quality of information is also vital issue.
The various parameters of quality are
validity, consistency, reliability. Errors occur
as result of giving too much importance and
preference to the quantity of information
rather than quality.
MANAGEMENT ORGANIZATION AND
STRUCTURE
An internal organizational structure is the
particular manner in which an organization
such as a business, charity group, or school
is arranged in order to achieve its goals
The word organization originated from the
word ‘Organism’ which implies the
structure of interrelated parts.
The organizational structure is designed
to clarify who is to do what and who is
responsible for the work in the Organization.
A. Effects of Internal Organization
and Management
An internal organization structure
refers to the construct of an organization
with regards to how tasks are assigned,
communication flows, hierarchy levels are
maintained and other operations that help
an organization achieve its goals.
An organizational change process
is inevitable, and reasons for change can be
attributed to an organization's external
environment, as well as its internal
environment.
An organizational structure change may
have to take place when the factors
determining the demand of its goods and
services changes.
External factors include keeping up with the
competition, adjusting to new market
trends or technologies, mergers,
restructuring, technological advancements,
process enhancements, changing customer
demands, and new product lines in the
market.
Internal change which occurs to due
factors internally in the organization's
environment involves people, processes,
and softer factors like motivation.
Organizational Change Examples
- are primarily of four types and are
classified as:
1. Structural Change - This involves revision
of the organization's mission and overall
goal.
2. Strategic Change - This involves
changes in the management structure and
hierarchy, as well as communication and
reporting flow.
3. People Changes - This involves
improving employee motivation, productivity,
and retention.
4. Process Change- This involves
changing daily tasks, so as to increase
efficiency and contribute to a better
functioning.
Why do organizations change their What makes companies invest a
structure? tremendous amount in research and
development?
Organizations need to change their
structure to remain competitive in the
Product development- refers to the
market and ensure their sustenance. These
creation of a new product which has
structural changes may need to be
some utility; or up-gradation of the
implemented in response to new goods and
existing product; or enhancement of the
services having been introduced in the
production process, method or system.
market, increased competition, new
technology, improving employee retention,
enhancing process efficiency, and worker
productivity, etc.

What is organizational structural

change?

Organizational structural change

refers to the change in an organization's
management, hierarchy levels, flow of
communication and reporting structure,
daily operations, and may also involve the -is a strategic approach. It should be
manner in which employees are told to well planned and systematically executed to
behave individually or as a team. achieve desired results and avoid loss.

Idea Generation: The first step is knowing

B. Major Functions of the Industrial
Enterprise
1.Product Development
Identifying the Need for Product
Development Have you ever wondered;
Why is the change needed in
organizations? Why do the
companies keep on modifying their ways?
customer’s requirement through market
research by taking feedback, conducting
surveys and going through the competitor’s
product. From this research, a product idea
is developed.
Idea Screening: The product idea is to be
well studied and investigated to find out the
need for introducing the new product, the
requirement of additional machinery,
selection of marketing channel and its
break-even point.
Concept Testing: The next stage is
enquiring about the product feasibility by
conducting concept testing. The new
product idea is revealed to a group of
consumers, and they are asked to share
their response over it. If the majority is in
favour of the product, then further steps are
to be taken.
Business Analysis: In this step, the Conclusion
organization decides whether the product is
Product development is essential for the
financially viable for it or not. Product’s
growth of all; the business, the consumers
demand, cost, competitiveness, profitability,
and the economy. No business can survive
expected sales, overheads, etc. are
analyzed. the competition without adding the element
of innovation to its product line.
Product Development: At this stage, the
Developing a successful product for the
manufacturing of a new product, it’s
consumers require a lot of brainstorming,
financing, marketing and distribution as well
planning, research, trials and rectification.
as advertisement and promotion takes
place. However, initially, a small quantity is
produced as a test batch.
Test Marketing: The product is then
launched in the market on a small scale. If it
attains success and can generate
customers, the large-scale production is
planned.
Commercialization: At this point, the
company executes large-scale production
and distribution of the successful new
product. It advertises and markets the
product on a massive scale to acquire a
considerable customer base. Manufacturing
The term manufacturing refers to the
Review Market Performance: Lastly, the
processing ofraw materialsor parts into
company keeps track of the product’s
finished goods through the use of tools,
performance in the market to know
human labor, machinery, and chemical
customer satisfaction level, demand,
processing. Manufacturing allows
profitability, sales volume, competitor’s
businesses to sell finished products at a
strategy, the satisfaction of the middlemen
higher cost than the value of the raw
involved, etc.
materials used.

Marketing
- is the process of exploring, creating, and
delivering value to meet the needs of a
target market in terms of goods and
services;
Internal Finance and Office services
Internal finance is money that comes
from within a company, rather than from
external sources. Companies may use
it for investments in lieu of arranging
external financing.
C. Management Structure
Management Structure- A
Management structure describes
how a company organizes its
management hierarchy. In almost
all organizations, a hierarchy exists.
This hierarchy determines the lines
of authority, communications, rights and
duties of that organization.
1. Lines of Authority Clear lines of
authority are when the roles and
responsibilities of each person in
the organization are defined.
2. Authority and Responsibility
Authority is the power, right to
command, decision-making
power, and the responsibility is to
be answerable or being obliged
for one’s own actions, and
decisions, these are the two
interrelated terms of principles of
management.
3. “Decentralisation is the
systematic effort to delegate
to the lowest levels of
authority except that which
can be exercised at central
points.
4. Available Personnel.
Where applicable for the
offered services, Customer
shall make available personnel
responsible for sign off on the
completion of the services on a
timely basis and when
reasonably requested.
D. Types of Organization Structures
1.Line organization-A line organization is
the oldest and traditional form of
organizational structure
2. Line and Staff Organization Line and
staff organization is a modification of line
organization and it is more complex than
line organization.
3. Functional organization is a type
of organizational structure that uses
the principle of specialization based
on function or role. It allows decisions
to be decentralized since issues are
delegated to specialized persons or
units, leaving them the responsibility
of implementing, evaluating, or
controlling the given procedures or
goals.
4. Line and Functional staff
organization is the organization structure,
in which there is a normal
departmentation of the regular business
operations, and there is the functional
specialist to perform specialised activities.
While line authority relies on command,
line and staff authority is based on
command and advise.