FEDERAL UNIVSERSITY DUSTSIN-MA,

FACULTY OF PHYSICAL SCIENCE

DEPARTMENT OF COMPUTER SCIENCE & IT

CMP 361: MANAGEMENT INFORMATION SYSTEM

(2 CREDIT UNITS)
 INTRODUCTION
• Management, Information, and System
What is Management?
• Planning, control, and administration of an organization.
• Management is generally hierarchical:
• Top managers handle planning;
• Mid – career managers control;
• And, junior managers administer.

What is Information?
• Processed data to support management functions
• Processing – record, summarize, store, and retrieve.
• Present in the required reporting format.

What is a System? (in the context of MIS)

• An inputs – processing - output and feedback matrix.
• Supports the processing of data into information
 MIS DEFINITIONS
Management Information Systems (MIS) is the study of people, technology, organizations, and the
relationships among them. MIS professionals help firms realize maximum benefit from investment
in personnel, equipment, and business processes. MIS is a people-oriented field with an emphasis on
service through technology.

MIS is also knows as Information Systems/ Information and Decision Systems/ Computer-Based
Information Systems.
Definitions of MIS1. MIS is defined as a system which provides information support for decision-
making in the organization.
2. MIS is defined as an integrated system of man and machine for providing information to the
operations, management & decision-making function in the organization.
3. MIS is defined as a system based on the database of the organization for the purpose of providing
information to people in organization.
4. MIS is defined as a Computer-based Information System.
 TASKS OF MIS
Following are activities performed during information System processing:
 Handling of voluminous data

 Confirmation of the validity of data & transaction

 Complex processing of data & multidimensional analysis

 Quick search & retrieval

 Mass storage

 Communication of information system to the user on time

 Fulfilling the changing needs of information Formal system should exist to handle all above
mentioned things. Hence, MIS uses computer technology to deal with information.
 MIS AND COMPUTER
 MIS relies on the computer and its ability to store, process, retrieve and
communicate with no limitations.

 Ability of the computer to sort and merge helps to organize the data in a
particular manner.

 Ability of a computer system to provide security of data brings confidence in

the management.

 The computer system being able to configure to the specific needs helps to
design a flexible MIS.
 PURPOSE OF MIS
 Management Information Systems are primarily concerned with the delivery
of information (both internal and external) to organizational members from the
shop floor workers to the management.
 The purpose of MIS is to help the smooth running of the business by providing
information on the firms data (such as accounting figures) employees from
different levels will then evaluate this information so that decisions can be
made to ensure that the business remains competitive and successful.
 MIS have been created to support the whole range of business administration
and regulatory activities and can be seen in all parts of the world and in all
types of industries both public and private sector.
 In the US, for example, the National Drivers Register has MIS facilities to
report on driver license details, such as all those within a given state whose
license has been revoked or suspended
 CHARACTERISTICS OF AN EFFECTIVE MIS
Management Information Systems (MIS) provide companies with a method of
storing and organizing data into useful information. Management and board
executives rely on MIS to measure institutional performances, resource
management and risk assessment. Management can also use MIS to
communicate with employees and customers. An effective MIS will provide
timely, accurate, consistent, complete and relevant information as needed.

Accuracy: Effective MIS may be electronic or manual, but, above all, the data
contained within the system must be accurate. Accurate data allow managers and
board executives to analyze the information for possible risks to the company.
Decisions made on accurate data provide for timely decisions to steer the
direction of the company. Inaccurate data waste management's time chasing red-
herring problems and incompetency.
 CHARACTERISTICS OF AN EFFECTIVE
MIS
Consistency: MIS must disseminate complex information throughout the
company. An effective MIS will be used to make relevant decisions at all
managerial levels so long as the information contained is consistently added.
Companies need to establish input and data collection procedures that all
relevant employees follow to ensure uniformity. Establishing a data collection
monitoring system will reduce inconsistencies. Communicate all changes in
data collection procedures to appropriate compilers.
Objectivity: The information collected and entered into the MIS must be
consistent, accurate and objective. Data compilers cannot selectively input
information that purposely skews managerial decisions one way or another. The
effective MIS contains a methodology for objective recording and assemblage
of information.
Completeness: All data recorded in an MIS must be complete. All angles of an
issue need to have corresponding data to provide decision-makers with a full
view of complex issues and problems. Where reports can be generated,
information summaries must not be myopic in scope, to effect positive results.
 CONCEPTUAL DESIGN MODELS OF MIS
 The Process Model

 The Logical Model of MIS

 The Physical Model of MIS

 THE PROCESS MODEL
In this model, the information system is depicted as a collection of processes that are
put together and occur in pre-determined sequences to gather , capture, format, and
present information.
A process is something that converts inputs into output.
A process needs the following entities to function:
 Methods or Procedures

 Trained Operators

 Knowledge of methods and Machinery

 Materials

 Machinery
 THE LOGICAL MODEL OF MIS
 MIS

 Science & Technology

 Management Science

 Data Information Technology

PHYSICAL MODEL OF MIS

DATA CAPTURING

DATA STORAGE &

RETRIEVAL

DATA PROCESSING

REPORTING

DECISION SUPPORT

CONTROL SUPPORT

MODELLING AND
SIMULATION
 PHYSICAL MODEL OF MIS
1. THE DATA CAPTURING MODEL
The data capturing model is responsible for the collection and capture of data
that needed to produce the information. This module will vary according to the
volume of data and the complexity of data that needs to be captured. E.g. Bar
Code.
2. DATA STORAGE (RETRIEVAL) MODULE
This module is responsible for storing the data capture in the previous module.
The data must be stored such that it remains intact and it is easily retrievable for
processing.
3. DATA PROCESSING MODULE
This module is responsible for storing the data captured into usable information.
A variety of processes may be used to combine the data into information. For
E.g. in small organizations, manual processes may be used notebooks, register,
calculators. In large organizations, it may take an entire department to process
the information.
 PHYSICAL MODEL OF MIS
4. INFORMATION REPORTING MODULE
This module is responsible for converting the output from the Data Processing
Module into meaningful information. This module thus take the processed data
and lays it out in a readable or usable form. Computer may be used for both, the
Data processing and the Information Reporting modules, or for either one of
them, or for neither, depending on the size of organizations.
5. DECISION SUPPORT MODULE
This module is designed to help the manager make a decision based on the
information presented.
6. CONTROL SUPPORT MODULE
It enables the manager to keep control; over various facets of the business.
This module is generally based on a feedback mechanism, which provides
information to the manager on what is happening within the system and allows
the manager to make change during the process to achieve the desired result
 PHYSICAL MODEL OF MIS
7. MODELING AND SIMULATION MODULE
This module makes it possible for a manager to see the future of consequence of
present actions. Thus, a marketing manager may desire to know what would
happen if he dropped the price of a product by a certain amount.
Past data is used for forecasting the future data.
This module is used basically to enhance the growth of the business, If a manger
had no such model or simulator, he may be forced to actually take the action after
which it would be too late to take corrective action.
 ROLE OF MIS
 Ensures that appropriate data is collected from valid sources, processed and
passed to needy destinations.

 Satisfies the needs through Query Systems, Analysis Systems, Modeling

systems.

 Helps in strategic planning, Management control, Operational control &

Transaction Processing. Hence, MIS plays a vital role in management,
administration & operations of an organization.

MIS

Business Computer
Science
 IMPACT OF MIS
With a good support of MIS, marketing, finance, production & personnel
management becomes more efficient.
MIS gives better understanding of business.
A two-way communication flow is greatly enhanced by MIS. The management
freely tells its employees their jobs, and the ways and means in which they are to
accomplish the tasks entrusted to them. The employees also in turn discuss their
doubts, concerns and problems.
INFORMATION SYSTEM (IS)

IS can be any organized combination of people, hardware, software,

communications networks, data resources, policies and procedures that stores,
retrieves, transforms, and disseminates information in an organization.

Information system describes all of the components and resources necessary to

deliver its information and functions to the organization.

Components of an Information System

• People resources

• Hardware resources

• Software resources

• Data resources

• Network resources
 TYPES OF INFORMATION SYSTEMS
Management Information Systems is one out of several information systems that are used in business.
To better understand Management Information Systems, let’s look at the different types of information
systems available in business.
Transaction Processing Systems: These systems have been designed to collect, process and store
transactions that occur in the day to day operations of a company. The system can also be used to
cancel or modify transactions done in the past if the need arises. One property of this system that
enables them to work effectively is the ability to accurately record multiple transactions even if the
different transactions take place simultaneously. They are built to be able to handle large volumes of
transactions. Examples include stock control systems, payroll systems, order processing systems etc.
Decision Support Systems: These systems help decision makers to make the best decisions by
generating statistical projections from analyzed data. Although it does not eliminate the need for the
manager’s judgment, it significantly improves the quality of the decision by offering forecasts that
help determine the best course of action. These systems compile information from several sources for
purposes of aiding in decision making. Examples of these systems include computer supported
cooperative work, group decision support systems, logistics systems and financial planning systems.
Executive Information Systems: Also known as Executive Support System, this is a tool used for
reporting enterprise-wide data to top executives. These systems provide quick and easy to use reports
that are presented in graphical displays that are easy to compare. They can be taken as specialized
decision support systems because they provide information necessary to help improve the quality of
decisions. Owing to the high expectations from such a system, these systems need to be highly
individualized hence they are usually custom made for specific clients. They are also customizable to
fit the specific needs of the clients.
 TYPES OF INFORMATION SYSTEMS
Management Information Systems. These systems make use of information
technology to help managers ensure a smooth and efficient running of the
organization. Information collected by these systems is structured so that the
managers can easily evaluate the company’s current performance vis-à-vis
previous outputs. Some of the common types of Management Information
Systems include process control systems, human resource management systems,
sales and marketing systems, inventory control systems, office automation
systems, enterprise resource planning systems, accounting and finance systems
and management reporting systems.
 INFORMATION MODEL
The Information model is the ultimate content-management tool. An Information model
provides the framework for organizing your content so that it can be delivered and reused in a
variety of innovative ways.

An Information Model is an organizational framework that you use to categorize your

information resources. For example, your Information Model might provide a framework for
categorizing your corporate training materials or the technical and sales information that
accompanies your products.

The three-tiered structure of an Information Model

The information model you build will have a three-tiered structure. At base, the first tier of the
Information Model consists of the dimensions that identify how your information will be
categorized and labeled for both internal and external use in your organization. The second
tier sorts your information assets into information types. The third tier provides structure for
each information type, outlining the content units that authors use to build information types.
 INFORMATION MODEL
The first tier of the Information Model consists of the dimensions that identify
how your information will be categorized and labeled for both internal and
external use in your organization. The second tier sorts your information assets
into information types. The third tier provides structure for each information type,
outlining the content units that authors use to build information types.

The three-tiered structure of an Information Model

The need for Information Model

A strong, effective Information Model solves the problems described when it is designed in the
context of a content-management system. The model labels information according to the ways it
will be accessed. In fact, the information can be reorganized in many ways, depending upon who is
doing the looking. Most important, the model provides the framework needed to make information
accessible to experienced and inexperienced seekers alike. It reduces frustration and enhances
productivity. It means that people spend less time searching and more time using information
resources. It helps to ensure that resources are not rewritten or recreated through an author's sheer
frustration at not being able to find them.

Types of Information Model

The two types of information model are; Static and dynamic information model.

Static Information Model: It does not change as the user’s needs changes.

Dynamic Information Model: The solution to a static representation of your information

resources is a dynamic Information Model, one that changes in response to the needs of the users.
 Information System Activities

Input: is the activity of gathering and capturing raw data.

Processing: is the activity of converting or transforming data into useful outputs

Output: the production of useful information usually in form of documents or reports

Feedback: is the output that is used to make changes to input or processing activities.

Data Processing Information

Fig. 1: The basic information system model

Data Storage

Inputs Processing Outputs

Fig. 2: Basic Information model with data storage

INFORMATION SYSTEMS THAT ENHANCE VALUE OF INFORMATION

Data warehouse (DW): A data warehouse stores data that have been extracted
from the various operational, external and other databases of an organization. It is a
central source of the data that have been cleaned, transformed and catalogued so
they can be used by managers and other business professionals for data mining,
online analytical processing and other forms of business analysis, market research
and decision support.
Data mining (DM): Data mining is a major use of DW databases and the static
data they contain. In data mining, the data in a DW are analysed to reveal hidden
patterns and trends in historical business activity. This can be used to help
managers make decisions about strategic changes in business operations to gain
competitive advantages in the marketplace.
Online analytical processing (OLAP): Online analytical processing enables
managers and analysts to interactively examine and manipulate large amounts of
detailed and consolidated data from many perspectives.
HISTORY: EVOLUTION OF INFORMATION SYSTEM
The summarized history of information system
MOTIVATION FOR INFORMATION SYSTEM
Any business can be successful only when there is a consistent management of
organizational and financial data with efficient information systems. Most of the
companies have seen a drift in the process of workflow due to the accuracy and
reliability. There is no alternative for the right information at the required time in the
world of business where every industry revolves round the "Internet of Things"

This raised the need to innovate and develop the systems that can be implemented to
make information accurate, that can be quickly accessed on demand. An effective
information system can entitle an organization with better planning, decision-making
and hence desired results.

With the constant change and evolution of customer preferences and requirements –
businesses that can bring about new methods and innovative techniques can survive the
market and continue to function as per the customer demands. The implementation of
information system can benefit a lot in businesses and helps in controlling the internal
and external processes.
INFORMATION STORAGE AND RETRIEVAL

Information storage and retrieval is the systematic process of collecting and

cataloging data so that they can be located and displayed on request.

Information storage is a general term for archiving data in electromagnetic or other

forms for use by a computer or device. Different types of information storage play
different roles in a computing environment. In addition to forms of hard information
storage, there are now new options for remote information storage, such as cloud
computing, that can revolutionize the ways that users access data.

Information Retrieval means obtaining data from a database management. In this

case, it is considered that data is represented in a structured way, and there is no
ambiguity in data.

Automated information retrieval systems are used to reduce what has been called
information overload.
IMPORTANCE OF INFORMATION STORAGE AND RETRIEVAL
Some importance of information storage and retrieval are;

Efficiency and Productivity: A good information storage and retrieval system,

including an effective indexing system, not only decreases the chances information will
be misfiled but also speeds up the storing and retrieval of information. The resulting
time-saving benefit increases office efficiency and productivity while decreasing stress
and anxiety.

Improve Working Environment: A good information storage and retrieval system

eliminates stacking up of file cabinets or boxes within the office thus creating a good
working environments. It also creates positive customer perception about the business.

Electronic vs. Manual System: Although a very small business may choose to institute
a manual system, the importance of electronic information storage and retrieval systems
lie in the fact that electronic systems reduce storage space requirements and decrease
equipment and labor costs.
 INFORMATION MANAGEMENT: CONCEPTS AND APPLICATIONS

Concept:

Information management (IM) is the collection and management of information

from one or more sources and the distribution of that information to one or more

audiences.

Management means the organization of and control over the structure, processing and

delivery of information.

Information management is a corporate responsibility that needs to be addressed and

followed from the upper most senior levels of management to the front line worker.
Applications
Some application areas of Information management include;

Finance: IM provides financial information for managers to make daily decisions on

operations within the organization. A financial system often has a number of subsystems,
depending on the type of organization. These include systems to analyze revenues, costs and
profits, auditing systems for both internal and external purposes and systems to manage funds.
It can also be used to prepare reports for third parties, such as external auditors or
shareholders.

Marketing: IM supports activities throughout the many activities of marketing departments.

One of the most common uses of a IM in marketing is to produce sales reports. These are
typically produced on a regular schedule, such as by week, month and quarter

Manufacturing: Manufacturing is one of the areas where information systems have made a
major impact. A typical manufacturing MIS is used to monitor the flow of materials and
products throughout the organization.
 INFORMATION CAPTURING AND REPRESENTATION

Information Capturing
Several methods are available for the information capturing of data. The choice of method will have an impact on the
quality of information. Some methods of information capturing are;

Interview: Analysts use interviews to collect information from individuals or from groups. The respondents are
generally current users of the existing system or potential users of the proposed system. It is important to remember
that respondents and analysts converse during an interview – the respondents are not being interrogated.

Questionnaire: The use of questionnaires allows analysts to collect information about various aspects of a system
from a large number of persons. The use of standardized question formats can yield more reliable data than other fact
– finding techniques, and the wide distribution ensures greater anonymity for respondents, which can lead to more
honest responses.

Record Review: In record reviews, analysts examine information that has been recorded about the system and user.
Records include written policy manuals, regulations and standard operating procedures used by most organizations
and a guide for managers and employees.

Observation: observation allows analysts to gain information they cannot obtain by any other fact – finding method.
Through observation, analysts can obtain firsthand information about how activities are carried out.
Information Representation
Computer does not understand human language. Any data, viz., letters, symbols, pictures, audio, videos, etc., fed to
computer should be converted to machine language first. Computers represent data in the following three forms;
number system, Bits and Bytes and Text Code.

Number System:

We are introduced to concept of numbers from a very early age. To a computer, everything is a number, i.e.,
alphabets, pictures, sounds, etc., are numbers. Number system is categorized into four types;

• Binary number system consists of only two values, either 0 or 1

• Octal number system represents values in 8 digits.

• Decimal number system represents values in 10 digits.

• Hexadecimal number system represents values in 16 digits

Bits and Bytes

• Bits − A bit is a smallest possible unit of data that a computer can recognize or use. Computer usually uses bits
in groups.

• Bytes − group of eight bits is called a byte. Half a byte is called a nibble.
Text Code

Text code is format used commonly to represent alphabets, punctuation marks and
other symbols. Four most popular text code systems are −

• EBCDIC: Extended Binary Coded Decimal Interchange Code is an 8-bit code

that defines 256 symbols. Given below is the EBCDIC Tabular column

• ASCII: American Standard Code for Information Interchange is an 8-bit code

that specifies character values from 0 to 127.

• Extended ASCII: Extended American Standard Code for Information

Interchange is an 8-bit code that specifies character values from 128 to 255.

• Unicode: Unicode Worldwide Character Standard uses 4 to 32 bits to represent

letters, numbers and symbol.
INFORMATION ANALYSIS AND INDEXING

Information Analysis

Information Analysis is a process of determining and isolating the most salient information conveyed by a
given information source and separating this information source into its constituent elements on the basis
of predetermined evaluative criteria”.

Information Indexing

Indexing is regarded as the process of describing and identifying documents in terms of their subject
contents. In general, indexing refers to the organization of data according to a specific schema or plan. In
IT, the term has various similar uses including, among other things, making information more presentable
and accessible.

One common type of indexing in IT is called "search engine indexing." Here, IT tools aggregate and
interpret search engine data, again, to streamline data retrieval. This type of indexing is also sometimes
called Web indexing. IT experts explain that indexing helps to make searches less labor intensive —
without an index, the search engine would have to search every document at its disposal equally, whereas
with an index, much of this work is eliminated.
 INFORMATION SEARCH
Information searching, also referred to as querying, refers to well-defined, targeted information
seeking for a clearly articulated information need, that is, when you have a fairly clear idea of
the kind of information you need. However, information searching can also encompass
searching when you do not yet have specific items to find but have clearly identified your
information needs and are relatively certain about the type of information that you require.

The three different types of searches that fall into the category of information searching are;

Known-item search: When you have sufficient details about an item to be able to identify and
locate it, for example, author’s name, title, ISBN, journal title, volume, and issue number.

Factual search: When you require information about concrete facts, for example, the
population size of Iceland or the year in which the Empire State Building was constructed.

Subject search: This involves searching for information on a topic that you might not be able
to define fully. This is the most challenging type of search because you cannot specify
precisely what you need and what you can safely reject.
INFORMATION LINKING AND NAVIGATION

Information Linking

Information linking develops models which allow for linking heterogenous types of information

through semantic web technologies. Information retrieval develops models which improve digital

information search. Data linking is used to bring together information from different sources in

order to create a new, richer information store.

This involves identifying and combining information from corresponding records on each of the

different sources. Most linking techniques combine records from different sources if they refer to

the same entity. (An entity may be a person, organisation, household or even a geographic region.)

However, some linking techniques combine records that refer to a similar, but not necessarily the

same, person or organization.

Information linking is also known as ‘data linkage’ or ‘data matching’. Notably, data linking has

the advantage of utilising information that already exists.

 CONCEPT OF MANAGEMENT INFORMATION SYSTEM (MIS)
Information System

An Information System (IS) is a set of interrelated components that collect, manipulate,

store and disseminate data and information and provide a feedback mechanism to an

objective. The feedback mechanism helps organization to achieve their goals such as

increasing profits or improving customer service.

The difference between Information System (IS), Management Information System
(MIS), and Information System Management (ISM)

Information System (IS) is a set of inter-related components that collects, process, store and

distribute information to support decision making in an organization. Organizations use

information systems at all levels of operation to collect, process and store data. The three

activities of IS (Input, Process and Output) are used to produce the information that an

organization required for its decision making.

Information Navigation
It’s the collection of different components with the primary goal to aid users in

finding information, functionality, and encouraging them to take actions that are

desirable.

When the navigation components are being made, there are three things to take

into consideration:

• Usage priority

• Placement

• Pattern