Business management tools

PRESENTATION BY:
Malalai Faizy & HUSAIN AHMAD
MBA-FOU 2020
CMCIIUI@GMAIL.COM
What is BM tools?

Business management tools are all

the systems, applications, controls,
calculating solutions, methodologies, etc.
used by organizations to be able to cope
with changing markets, ensure a
competitive position in them and improve
business performance.
Management tools

There are tools related to each organization's department

which can be classified for each aspect of management. 
For example:
 Planning tools
 Process tools
 Records tools
 Employee related tools
 Decision making tools
 Control tools
General aspects

A classification by function would consider these

general aspects:
 Tools used for data input and validation in any
department.
 Tools used for controlling and improving business
processes.
 Tools used for data consolidation and decision
making.
More Details…
Nowadays, management tools have evolve dramatically in
last decade thanks to fast technology advances, so fast
that it is difficult to select the best business tools for any
situation in any company.
This is caused by a never ending fight for lower costs and
increase sales, the willing for understanding the
customers' needs and the fight for delivering the products
that meets their need in the way they require.
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Under this scenario managers should take a
strategic attitude to business management
tools instead of going for latest tool. Usually
managers rely on the tools without any
adaptation which leads to an unstable
situation. Business management tools should
be selected carefully, and then adapted to
the organization needs and not the other way
around.
Business tools are used around the globe
These tools reflect how their outcomes contribute to each region's needs,
considering the downfall and companies' market situation. The top ten includes:
 Strategic Planning
 Customer relationship management
 Employee engagement surveys
 Benchmarking
 Balanced scorecard
 Core competency
 Outsourcing
 Change management programs
 Supply chain management
 Mission statement and vision statement
 Market segmentation
 Total quality management
 Operation Management

ASSIGNMENT BY:
Malalai Faizy & HUSAIN AHMAD
MBA-FOU 2020
CMCIIUI@GMAIL.COM
What is Operation Management?

 Operations management is an area of management

 concerned with designing and controlling the process
of production and redesigning business operations in
the production of goods or services.
 It involves the responsibility of ensuring that business
 operations are efficient in terms of using as few
resources as needed and effective in terms of meeting
customer requirements.
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 Operations management is primarily concerned with

planning, organizing and supervising in the contexts of
production, manufacturing or the provision of services.
Ford Motor car assembly line: the classical
example of a manufacturing production system.
Continue…
Itis concerned with managing an entire production or service
system which is the process that converts inputs (in the forms of 
raw materials, labor, consumers, and energy) into outputs (in the
form of goods and/or services for consumers). 
Operations produce products, manage quality and create
services. Operation management covers sectors like banking
systems, hospitals, companies, working with suppliers,
customers, and using technology.
Operations is one of the major functions in an organization along
with supply chains, marketing, finance and human resources. The
operations function requires management of both the strategic
and day-to-day production of goods and services.
Operations several types of decisions
In managing manufacturing or service operations several types of
decisions are made including:
 operations strategy
 product design
 process design
 quality management
 capacity
 facilities planning
 production planning
 inventory control.
Each of these requires an ability to analyze the current situation
and find better solutions to improve the effectiveness and
efficiency of manufacturing or service operations.  
Information Management

PRESENTATION BY:
Malalai Faizy & HUSAIN AHMAD
MBA-FOU 2020

CMCIIUI@GMAIL.COM
What is IM?
Information management is closely related to, and overlaps
with, the management of data, systems, technology, 
processes and – where the availability of information is
critical to organizational success – strategy.
This broad view of the realm of information management
contrasts with the earlier, more traditional view, that the 
life cycle of managing information is an operational matter
that requires specific procedures, organizational capabilities
and standards that deal with information as a product or a
service.
Information Management Lifecycle
Management Information System
(MIS)
 Interrelated components that collect, process, store
and disseminate information to support decision
making and Problem Solving
 Information that rely on computer hardware and
software for processing and disseminating information
Information System within
an Organization
Hardware

Business Database
Strategy Rules Software
Ddd
Procedures
Tele-
Interdependence Communications

Organization Information System

Functions of an Information System
Functions of an Information System

Input – the collection of raw data for

processing information system
Processing – the conversion of data into
information for more meaningful
Output – the distribution of processed
information
Feedback – output that is returned to help
evaluate or correct input
MIS Activities

MIS is activities to manage information for problem

solving and decision making in an entity by managed the
following activities:
 Acquiring information by gathering data and
processed the data to be the valuable information
efficiently
 Using the information in the most effective way
 Discarding the information at the proper time
Differences between Data
and Information
 Data consists of facts and figures that are relatively
meaningless to user. E.g. the number of hours worked
for each employee in the company
 Information is processed data that are more
meaningfully. E.g. the hours works for each employee
multiplied by the hourly rate, the out put information
is the gross earning
Skills required in MIS

1. Computer literacy
 understanding of computer terminology
 a recognition of the strength and weakness of the computer
 an ability to use the computer
2. Information literacy
 Understanding how to use information at each step of
problem solving process
 Understanding where information can be obtained
 Understanding how to share information with other
Computer-based information
Subsystem

 Electronic data processing (EDP) – produces some

information as by product of the accounting process
called Accounting Information System (AIS)

 Management information system (MIS) – the computer

application should be implemented for the primary
purpose of producing management information.
Computer-based information
Subsystem
 Decision support system (DDS) – an information
producing system aimed at a particular problem that a
manager must solve and decision.
 Office automation (OA) – facilities of computer and
communication that increase productivities for
manager and office worker in conducting their
activities
 Expert System (ES) – computer application that can be
used by managers in problem solving and decision
making
Functional Information Subsystem

 Human Resources Information System

 Manufacturing Information System
 Manufacturing Intelligence Subsystem
 Industrial Engineering Subsystem
 Financial Information System
 Marketing Information System
 Marketing Research Subsystem
 Marketing Intelligence Subsystem
Information Specialists

 System forecaster is an expert who works with user

in developing system at defining problems and in
preparing written documentation of how the
computer will assist in solving the problem.

 Database administrator works with user and system

forecaster in creating the data needed to produce
the information needed by users.
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Information Specialists
 Network specialist works with user and system
forecaster in establishing the data communication
network that ties together widespread computing
resources
 Programmers use the documentation prepared by the
system forecaster to create the software program that
lead the computer to transform data into information
needed by users
 Operators operates the computing equipment and
using software program
Financial Management

PRESENTATION BY:
Malalai Faizy & HUSAIN AHMAD
MBA-FOU 2020

CMCIIUI@GMAIL.COM
What is financial management ?
Financial management is the process of planning funds,
organizing available funds and controlling financial activities
to achieve the goal of an organization.
It includes three important decisions which are investment
decisions, financing decision and dividend decision for a
specified period of time.
Investment decision includes working capital decision and
capital budgeting decision.
Financing decision involves identifying sources of financing,
determining the duration and cost of financing and managing
investment return.
Continue…
Financial Management
Example:
Company X is willing to introduce a new product. For
this, the CEO employs a financial manager to perform
all financial activities. Now the manager has to identify
the sources of funds needed for producing the new
product. Then he should determine and evaluate the
cost of financing. He will allocate the fund using
financial planning. And after gaining profit he will
distribute the profit to the designated stakeholders.
Financial management functions
There are some core functions in the process of financial management which are
shown in a diagram below:
Importance Financial Management

The importance of financial management is vital to an

organization. It is a pathway to attain goals and
objectives. The financial manager measures
organizational efficiency through proper allocation,
acquisition, and management. It improves operational
efficiency by providing a timely supply of fund.
The following noticeable importance is found from
financial management

 Provides guidance in financial planning

 Assist in acquiring funds from different sources
 Helps in investing the appropriate amount of funds
 Increase organizational efficiency
 Reduces delay production
 Cut down financial costs
 Reduces cost of fund
Continue…
Noticeable importance is found from financial management

 Ensures proper use of fund

 Helps business firm to take financial decisions
 Makes a guideline of earning maximum profits incurring
minimum cost
 Increase shareholder’s wealth
 Control the financial aspects of the business
 Provide information through financial reporting
 Makes the employees aware of saving funds.
Some significant features of Financial
Management 
Details…
Proper financial Management improves the transparency
and speediness of payable and receivable management.
Hence, a faithful relationship is build up with supplier
and customer. It helps to minimize organizational
expenses. Financial management doesn’t support
maximizing prepaid expenses. It helps you how to
reduce prepaid expenses.
This management helps you to determine a value of
assets and management of those assets. When the
procurement of fund reduces costs, the efficiency of
production will increase. It will enhance organizational
profitability. Timely management of funds helps you to
reduce the costs of a fund and increase the value of the
organization.
Details…
Financial management is a process of utilizing resources.
This management doesn’t support you to keep excess
money on hand. It focuses on the proper uses of funds for
reducing the cost of fund. It reduces organizational
expenses. Thus it increases organizational value.  Finally,
we can say that in a startup business management
especially financial managers are very much responsible for
the financial strength of the business organization.
They prepare all the reports including investment plans and
strategies for the long-term achievements of their business
organizations. So we can conclude that financial
management is very vital for any start-up business to plan,
organize, operate, control and monitor financial resources
for achieving the ultimate goals as well as objectives.
THANK YOU
RRESENTAION BY:
Malalai Faizy & HUSAIN AHMAD
MBA-FOU 2020

CMCIIUI@GMAIL.COM