1.What is MIS? Define the characteristics of MIS? What are the basic Functions of MIS?

Give some Disadvantage of MIS?

Management Information System (MIS) is a subset of the overall internal controls of a business covering the application of people, documents, technologies, and procedures by management accountants to solving business problems such as costing a product, service or a business-wide strategy. Management Information Systems are distinct from regular information systems in that they are used to analyze other information systems applied in operational activities in the organization.[1] Academically, the term is commonly used to refer to the group of information management methods tied to the automation or support of human decision making, e.g. Decision Support Systems, Expert systems, and Executive information systems. This is an emerging science which sets its the main task of it is to strengthen the information management of enterprises by taking advantage of modern computer and network communication technology to the largest extent, and set up the correct data based on the research of human resource, financial resource, equipments, technology, etc. owned by enterprises, and provide timely various of processed and systemized information data to the manager so as to make correct decisions and improve continuously the management level and economic benefits of enterprises. MIS is generally used for system decision-making. For instance, enterprise employee can make use of MIS to find out problems that need to be solved urgently and feedback in time to the upper managers in order to make them understand the current progress and its shortages. Some of the functions can be listed as below, 1. data processing It includes the collection, transmission, storage, processing and output of data. It simplifies the statistics and reduces to the lowest cost by supplying an unified format. 2. function of prediction It predicts the future situation by applying modern mathematics, statistics or simulation. 3. function of plan It arranges reasonably the plans of each functional department in accordance with the restrictions afforded by enterprises and provides the appropriate planning reports according to different management. 4. function of control It monitors and inspects the operation of plans and comprises with the differences between operation and plan in accordance with the data afforded by every functional department, and be assistant to managers to control timely each method by analyzing the reasons why the differences comes into being. 5. function of assistance It derives instantly the best answers of related problems by applying to various of mathematics' mode and analyzing a plentiful data stored in computers in the hope of using rationally human resource, financial resource, material resource and information resource for relative abundant economic benefits. MIS characteristics 1. It supports transaction handling and record keeping. 2. It is also called as integrated database Management System which supports in major functional areas. 3. It provides operational, tactical, and strategic level managers with east access to timely but, for the most, structured information. 4. It supports decision making function which is a vital role of MIS. 5. It is flexible which is needed to adapt to the changing needs of the organization. 6. It promotes security system by providing only access to authorized users. 7. MIS not only provides statistical and data analysis but also works on the basis on MBO (management by objectives). MIS is successfully used for measuring performance and making necessary change in the organizational plans and procedures. It helps to build relevant and measurable objectives, monitor results, and send alerts. 8. Coordination: MIS provides integrated information so that all the departments are aware of the problem and requirements of the other departments. This helps in equal interaction of the different centers and connects decision centers of the organization. 9. Duplication of data is reduced since data is stored in the central part and same data can be used by all the related departments. 10. MIS eliminates redundant data.

11. It helps in maintaining consistency of data. It is divided into subsystems. Handlings with small systems are much easier than an entire system. This helps in giving easy access of data, accuracy and better information production. 12. MIS assembles, process, stores, Retrieves, evaluates and disseminates the information.

LIMITATIONS:
1.MIS incorporates a wide variety of knowledge areas. 2.Both technology and technology-related products are evolving at an extremely fast and unpredictable pace, 3.Many of the terma used in MIS environments ate imprecise and controversial, 4.MIS problems often are not east to define or structure, 5.The body of knowledge in MIS is relatively recent and scarce 6.A lack of rapport often exists between MIS personnel and management and also between MIS personnel and users.

2. Explain Knowledge based system? Explain DSS and OLAP with example?
Knowledge based systems are artificial intelligent tools working in a narrow domain to provide intelligent decisions with justification. Knowledge is acquired and represented using various knowledge representation techniques rules, frames and scripts. The basic advantages offered by such system are documentation of knowledge, intelligent decision support, self learning, reasoning [1] and explanation. Knowledge-based systems are systems based on the methods and techniques of Artificial Intelligence. Their core components are: knowledge base acquisition mechanisms inference mechanisms

Knowledge Base Systems (KBS) goes beyond the decision support philosophy to indicate the expert system technology into the decision making framework. Expert Systems (ES) have been the tools and techniques perfected by artificial intelligence (AI) researchers to deduce decision influences based on codification of knowledge. The codification of knowledge use the principles of knowledge representation (part of the large theoretical ideas of knowledge engineering). Typically such codification uses rules like IF-THEN rules to represent logical implications. While for some authors expert systems, case-based reasoning systems and neural networks are all particular types of knowledge-based systems, there are others who consider that neural networks are different, and exclude it from this category. KBS is a frequently used abbreviation for knowledge-based system.

A decision support system (DSS) is a computer-based information system that supports business or organizationaldecision-making activities. DSSs serve the management, operations, and planning levels of an organization and help to make decisions, which may be rapidly changing and not easily specified in advance. DSSs include knowledge-based systems. A properly designed DSS is an interactive software-based system intended to help decision makers compile useful information from a combination of raw data, documents, personal knowledge, or business models to identify and solve problems and make decisions.

Typical information that a decision support application might gather and present are: inventories of information assets (including legacy and relational data sources, cubes, data warehouses, and data marts), comparative sales figures between one period and the next, projected revenue figures based on product sales assumptions.

On-Line Analytical Processing (OLAP) is a category of software technology that enables analysts, managers and executives to gain insight into data through fast, consistent, interactive access to a wide variety of possible views of information that has been transformed from raw data to reflect the real dimensionality of the enterprise as understood by the user. OLAP functionality is characterized by dynamic multi-dimensional analysis of consolidated enterprise data supporting end user analytical and navigational activities including:

calculations and modeling applied across dimensions, through hierarchies and/or across members trend analysis over sequential time periods slicing subsets for on-screen viewing drill-down to deeper levels of consolidation reach-through to underlying detail data rotation to new dimensional comparisons in the viewing area

OLAP is implemented in a multi-user client/server mode and offers consistently rapid response to queries, regardless of database size and complexity. OLAP helps the user synthesize enterprise information through comparative, personalized viewing, as well as through analysis of historical and projected data in various "what-if" data model scenarios. This is achieved through use of an OLAP Server.

3. What are Value Chain Analysis & describe its significance in MIS? Explain what is meant by BPR? What is its significance? How Data warehousing & Data Mining is useful in terms of MIS?
The connection between the producers and buyers may be reinforced, at least to the level of customer loyalty, and perhaps to the point of establishing a partnership between them. Such a relationship imposes Switching casts on the buyer, because its internal process becomes adapted to the beneficial peculiarities of the particular factor of production, and use of an alternative would force internal changes. Hence product differentiation also serves as an entry barrier. In addition, a continuous process of product differentiation may produce and additional cost advantage over competitors and potential entrants, through intellectual property protections, such as potent, and the cost of imitation. The activities performed by a particular enterprise can be analyzed into primary activities, which

directly adds value to the enterprises factors of production, which are together referred to as the value chain, and supporting activities. There is always a mention about what IT contributes to corporate strategy. It was recognized that corporation achieved a significant competitive advantage by adopting suitable IT concepts in building up their strategy. It quickly become incumbent on its competitors to neutralize that advantage, and hence to avoid competitive disadvantage (Vitate 1986, warner 1987, Brouns eau 1990). The notion of competitive advantage and contestable competitive advantage came in light (Clemons 1986, Feeny andlves 1989, clborra 1992). Though many kinds of advantages which can possibly be derived from innovative use of IT, it is possible to quickly neutralize by others. A distinction needs to be made between the sustainable of the original advantage, and of any derived advantage. An enhancement to the porter framework of competitive strategy was the notion of alliance (Barrett and Konsyanski 1982, Gummesson 1987, EDP Analyzed 1987, Johnston and vitale 1988, Rockart and short 1989 Wiseman 1989, Konsyanski and Mcfarian 1990 ford 1990, Bowersox 1990). This referred to chains or clusters of organizations which collaborate in order to gain competitive advantage over others, similar organizations, or to neutralize the advantage of one or more competitor organizations. The innovation in IT and its strategies importance to enterprise is compatible with the companys existing characteristics and advantages (Beath and Ives 1986, Clemons and Row 1987, Ives a and Vitale 1988, Hopper 1990). Any excersie towards building design of the management information system will be processed by an excersie of business re-engineering. Building the MIS is a long term project.It is, therefors, essential to have a relook at the organizational where the mission and goals of the organisation are likely to be replaced. The business itself would indergo a qualitative chamge in terms of the change the platform of business calling for different MIS. The MIS will be concentrater more on the performance parameter evalution which is different in the prameter evaluation which is different in the re-engineered organisation. The data capture, processing, analysis and reporting would be process central and performance effeciency would be evaluated in relation to the value generated by the processes. The decision support systems will be integrated in the businmess process itself, where triggers are used to move the process. The triggers could be business rules and stored procedures, enabling the process to become automation in its execution. The MIS in the re-engineered organisation would be more of a performance monitering tool to start with and thenm a control for the performance. The traditional MIS in function-centered like finace, production, material, etc. The Management Information System in a re-engineered organisation would be process centered, evaluating customer stisfaction, expectation and perceptions. The role of Managemnant Information Systemswill be raised to a level where the following activities would be viewed for the management action: 1>Control of process cycle time 2>Work froup efficiency 3>Customer satisfaction index 4>Process efficiency and effectivness 5>Effectiveness of the Management in enterprise management and not in enterprise resource 6>The strength of the organisation in terms of knowledge, learning and strategic effectiveness The traditional role of the MIS as a decision supporter will continue, however. Management Information System Data Warehouse (MISDW) serves as a common shared service by collecting and storing point-in-time data from management information systems across the enterprise,

allowing analysts, managers and executives to perform data analysis, trend identification, performance monitoring, planning and forecasting by providing the following capabilities: Data Collection; Data Transformation (ETL); Data Presentation (Reporting). MISDW uses enterprise solutions to capitalize on enterprise investments, such as SQL*Server 2005 to house the data warehouse, Informatica for ETL and BusinessObjects XI for the business intelligence presentation layer. Data is available to designated users on-line via the business intelligence front-end ensuring security, access control and access auditing, or available to accredited internal systems via data feed over Enterprise File Transfer Utility (EFTU).

Data mining (the analysis step of the knowledge discovery in databases process, or KDD), a relatively young and interdisciplinary field of computer science is the process of discovering new patterns from large data sets involving methods at the intersection of artificial intelligence, machine learning, statistics and database systems. The goal of data mining is to extract knowledge from a data set in a human-understandable structure and involves database and data management, data preprocessing, model and inference considerations, interestingness metrics, complexity considerations, post-processing of found structure, visualization and online updating

4. Explain DFD & Data Dictionary? Explain in detail how the information requirement is determined for an organization?
A Data Flow Diagram (DFD) is a diagrammatic representation of the information flows within a system, showing: how information enters and leaves the system, what changes the information, Where information is stored. In SSADM a DFD model includes supporting documentation describing the information shown in the diagram. DFDs are used not only in structured system analysis and design, but also as a general process modeling tool. There are a number of commercial tools in the market today which are based on DFD modeling. SSADM uses DFDs in three stages of the development process: o Current Physical DFDs. These record the results of conventional fact finding. o Current Logical DFDs. The logical information processing of the current system o Required Logical DFDs. The logical information processing requirements of the proposed system. The DFD conventions:DFDs show the passage of data through the system by using 5 basic constructs: Data flows, Processes, Data Stores, External Entities, and Physical Resources. 1. 1. Data Flows A data flow shows the flow of data from a source to a destination. The flow is shown as an arrowed line with the arrowhead showing the direction of flow. Each data flow should be uniquely identified by a meaningful descriptive name (caption). Flow may move from an external entity to a process, from a process to another process, into and out of a store from a process, and from a process to an external entity. Flows are not permitted to move directly from an external entity to a store or from a store directly to an external entity. 1. 2. Processes

Processes are transformations, changing incoming data flows into outgoing data flows. Processes are drawn as rectangular boxes with a descriptive name occupying the middle of the box. The box has a top stripe that contains an identification number in the left, and the location (or the role carrying out the work) on the right (this is optional and used only in the current physical DFD). The numbering generally follows a left to right convention. This does not indicate priority or sequence. The identification number is purely an identifier. It also helps to associate a high level process with its decomposed sub processes. The name of the process should describe what happens to the data as it passes through it. An active verb (verify, compute, extract, create, retrieve, store, determine, etc.) followed by an object or object clause is a suggested notation. 1. 3. Data Stores A store is a repository of data; it may be a card index, a database file, a temporary pile of sales orders awaiting processing, or a folder in a filing cabinet. The store may contain permanent data or temporary accumulations (pending documents, daily movements). A store is represented by an open-ended box and is given a meaningful descriptive name. Each store is also given a reference number prefixed by a letter. In logical and required system DFD, data stores are regarded as computerized and hence only a D will be used. Some transient stores may remain and retain the T. To prevent a DFD becoming spiders web of crossing lines, the same data store may be included more than once on a DFD. Such duplication is shown by an additional vertical line within the store symbol. 1. 4. External Entities (Source or Sink) The external entity represents a person or a part of an organization which sends or receives data from the system but considered to be outside the system boundary (scope of the project). As with the data stores these may be duplicated on a DFD to simplify presentation. External entities may be further referenced by the use of an alpha character, and this is particularly recommended if at a lower level the entity is being decomposed. Sometimes external entities are referred to as sources and sinks. An External entity either supplies data to the system, which makes it a source and /or receives data from the system, which makes it a sink. 1. 5. Physical Resources A physical flow represents the flow of material (as opposed to data flows representing the flow of information), the movement of some resources or goods which are relevant to the information system, from source to destination. They are included to aid communication. A physical flow is represented by a broad arrow. The resource store is represented by a closed rectangle.

5. What is ERP? Explain its existence before and its future after? What are the advantages & Disadvantages of ERP? What is Artificial Intelligence? How is it different from Neural Networks?
Enterprise Resource Planning Manufacturing management systems have evolved in stages over the few decades from a simple means of calculating materials requirements to the automation of an entire enterprise. Around 1980, over-frequent changes in sales forecasts, entailing continual readjustments in production, as well as the unsuitability of the parameters fixed by the system, led MRP (Material Requirement Planning) to evolve into a new concept : Manufacturing Resource Planning (or MRP2) and finally the generic concept Enterprise Resource Planning (ERP) The initials ERP originated as an extension of MRP (material requirements planning then manufacturing resource planning). ERP systems now attempt to cover all basic functions of an enterprise, regardless of the organizations business or charter. Non-manufacturing businesses, non-profit organizations and governments now all utilize ERP systems. To be considered an ERP system, a software package must provide the function of at least two systems. For example, a software package that provides both payroll and accounting functions could technically be considered an ERP software package.

1. 2. 3. 4. 5. 6. 7.

1. 2. 3. 4. 5.

Examples of modules in an ERP which formerly would have been stand-alone applications include: Manufacturing, Supply Chain, Financials, Customer Relationship Management (CRM), Human Resources, Warehouse Management and Decision Support System. ERP Advantages and Disadvantages Advantages In the absence of an ERP system, a large manufacturer may find itself with many software applications that do not talk to each other and do not effectively interface. Tasks that need to interface with one another may involve: A totally integrated system The ability to streamline different processes and workflows The ability to easily share data across various departments in an organization Improved efficiency and productivity levels Better tracking and forecasting Lower costs Improved customer service Change how a product is made, in the engineering details, and that is how it will now be made. Effective dates can be used to control when the switch over will occur from an old version to the next one, both the date that some ingredients go into effect, and date that some are discontinued. Part of the change can include labeling to identify version numbers. Some security features are included within an ERP system to protect against both outsider crime, such as industrial espionage, and insider crime, such as embezzlement. A data tampering scenario might involve a disgruntled employee intentionally modifying prices to below the breakeven point in order to attempt to take down the company, or other sabotage Disadvantages Many problems organizations have with ERP systems are due to inadequate investment in ongoing training for involved personnel, including those implementing and testing changes, as well as a lack of corporate policy protecting the integrity of the data in the ERP systems and how it is used. While advantages usually outweigh disadvantages for most organizations implementing an ERP system, here are some of the most common obstacles experienced: Usually many obstacles can be prevented if adequate investment is made and adequate training is involved, however, success does depend on skills and the experience of the workforce to quickly adapt to the new system. Customization in many situations is limited The need to reengineer business processes ERP systems can be cost prohibitive to install and run Technical support can be shoddy ERPs may be too rigid for specific organizations that are either new or want to move in a new direction in the near future. Artificial Intelligence and Neural Networks Artificial intelligence is a field of science and technology based on disciplines such as computer science, biology, psychology, linguistics, mathematics and engineering. The goal of AI is to develop computers that can simulate the ability to think, see, hear, walk, talk and feel. In other words, simulation of computer functions normally associated with human intelligence, such as reasoning, learning and problem solving. Neural network software can learn by processing sample problems and their solutions. As neural nets start to recognize patterns, they can begin to program themselves to solve such problems on their own. Neural networks are computing systems modeled after the human brains mesh like network of interconnected processing elements, called neurons. The human brain is estimated to have over 100 billion neuron brain cells. The neural networks are lot simpler in architecture. Like the brain, the interconnected processors in a neural network operate in parallel and interact dynamically with each other. This enables the network to operate and learn from the data it processes, similar to the human brain. That is, it learns to recognize patterns and relationships in the data. The more data examples it receives as input, the better it can learn to duplicate the results of the examples it processes. Thus, the neural networks will change the strengths of the interconnections between

the processing elements in response to changing patterns in the data it receives and results that occur. For example, neural network can be trained to learn which credit characteristics result in good or bad loans. The neural network would continue to be trained until it demonstrated a high degree of accuracy in correctly duplicating the results of recent cases. At that point it would be trained enough to begin making credit evaluations of its own. A neural network is designed to simulate a set of neurons, usually connected by synapses. Each neuron makes a simple decision based on its other input synapses, and places the decision on its output synapses. This model mimics the behavior of a brain, and is considered vital to create a true learning system, though modern computers (barring super-computers) do not have the computational resources to execute a neural network with a sufficient number of nodes to be useful (you would need at least a few million neurons firing in unison to be useful). Artificial intelligence, of course, is software that is designed to pretend like its a living, thinking creature. Older implementations were not learning systems, but rather would take input and offer a conditioned response provided by the programmer ahead of time. These systems seemed to be highly intelligent, so long as you did not leave its realm of preplanned responses. Newer AI systems learn by interacting with the user (for example, remembering their favorite color or music artist), and can sometimes even figure out correlated data based on this information. However, current AI systems tend to still have limited spheres of knowledge, and without external learning sources, cannot make any intelligent responses or decisions outside this realm of information. The missing component, of course, is a system that is capable of learning information and incorporating what it learns into its current knowledge base. Neural networks hold the promise of bridging this gap in the learning curve that AI systems have by allowing the AI to actually learn topics that were not covered during its original training or programming. The relationship between these two technologies could be said to be symbiotic in nature; both of these can be implemented without the other (i.e. a NN could be used inside a coffee maker for some advanced coffee-making logic, and an AI can certainly use other sources of information to make valid responses), but the combination of the two would allow for a more realistic AI that would be capable of learning data by making correlations between seemingly unrelated data (which is how humans learn, coincidentally).

6. Distinguish between closed decision making system & open decision making system? What is What if analysis? Why is more time spend in problem analysis & problem definition as compared to the time spends on decision analysis?

The decision making systems can be classified in a number of ways. There are two types of systems based on the managers knowledge about the environment.

A. Closed decision making system:

If the manager operates in a known environment then it is a closed decision making system. The conditions of the closed decision making system are: (a) The manager has a known set of decision alternatives and knows their outcomes fully in terms of value, if implemented. (b) The manager has a model, a method or a rule whereby the decision alternatives can be generated, tested, and ranked. (c) The manager can choose one of them, based on some goal or objective.

A few examples are:

1. 2. 3.

a product mix problem, an examination system to declare pass or fail, or an acceptance of the fixed deposits.

B. Open decision making system:

If the manager operates in an environment not known to him, then the decision making system is termed as an open decision making system. The conditions of this system are: (a) The manager does not know all the decision alternatives. (b) The outcome of the decision is also not known fully. The knowledge of the outcome may be a probabilistic one. (c) No method, rule or model is available to study and finalize one decision among the set of decision alternatives. (d) It is difficult to decide an objective or a goal and, therefore, the manager resorts to that decision, where his aspirations or desires are met best. Deciding on the possible product diversification lines, the pricing of a new product, and the plant location, are some decision making situations which fall in the category of the open decision making systems. The MIS tries to convert every open system to a closed decision making system by providing information support for the best decision. The MIS gives the information support, whereby the manager knows more and more about the environment and the outcomes, he is able to generate the decision alternatives, test them and select one of them. A good MIS achieves this.
What if analysis is the study of how the variation (uncertainty) in the output of a statistical model can [1] be attributed to different variations in the inputs of the model. Put another way, it is a technique for systematically changing variables in a model to determine the effects of such changes. In any budgeting process there are always variables that are uncertain. Future tax rates, interest rates, inflation rates, headcount, operating expenses and other variables may not be known with great precision. Sensitivity analysis answers the question, "if these variables deviate from expectations, what will the effect be (on the business, model, system, or whatever is being analyzed)?" In more general terms uncertainty and sensitivity analysis investigate the robustness of a study when the study includes some form of statistical modelling. Sensitivity analysis can be useful to computer [2] modelers for a range of purposes, including: Support decision making or the development of recommendations for decision makers (e.g. testing the robustness of a result);

Enhancing communication from modellers to decision makers (e.g. by making recommendations more credible, understandable, compelling or persuasive); Increased understanding or quantification of the system (e.g. understanding relationships between input and output variables); and Model development (e.g. searching for errors in the model)