BA ZC471 / BITS ZC471 / POM ZC471 (Merged) :: Management Information Systems

BA ZC471 / BITS ZC471 /
POM ZC471 (Merged):

Management Information
BITS Pilani
Systems
Pilani|Dubai|Goa|Hyderabad J A Gokhale
Your Instructor (Guest
Faculty)
Jayanthi A Gokhale,
Independent IT Consultant, Start-up Mentor,
Corporate Trainer and Coach.
Email:
gjayanti@wilp.bits-pilani.ac.in
Contact: 9820182718 (on group chat)

2 BA ZC471-Management Information Systems Module 1 J A Gokhale
BITS Pilani
Pilani|Dubai|Goa|Hyderabad
0.1 Preliminaries
Example Scenario 1:
• Max Computers sells IT products across 5 regions in

India.
• Sale transaction data is captured in a Sales Accounting
System.
• Country Sales Manager wants the countrywide Sales
Analysis Report. Requests his assistant!
• Assistant pulls out data from the Sales Accounting
System, loads into an excel sheet and generates a report
by next day morning.
• Outcome is :

Example Scenario 1:
• Outcome is :
(crosstab view of summary data)
• MIS report as of 2000 !!

Example Scenario 2:
• Assume you are the Manager of a medium-sized

company's customer service department. Your staff
takes phone calls and emails from over 4000
customers every day. For the most part, they do a very
good job, but recently, customers have started to
complain that it takes too long to get their questions
answered. The Board of your company is concerned
about this and wants to know how you are planning to
fix the problem. But before they make a decision, they
need you to give them more information on the present
situation.
• How will you do this?
Example Scenario 2:
• As Manager, you have decided to report current status on the

performance of customer service call management activity.
• A report (MIS report) for this would likely contain data such as:
KPIs
• The number of calls your staff takes each day
• The number of emails that arrive each day
• The average time it takes to answer a phone call / email
• The number of questions that your staff answers correctly vs.
the number that are answered incorrectly
• Percentage of calls / issues closed
• Percentage of calls abandoned
• ……. And more
• Present this information in an easy to understand manner so that
it is most useful and actionable.

Example: Scenario 2 Outcome
Mr. Vinod Dua

An Example KPI:
KPI :Average Answer Time

How do we go from MIS
Reports to MIS Dashboards?

Towards >>> MIS
• Today, organizations recognize the

importance of managing “resources of
information” and “digital processes” (we
call these soft resources) in addition to the
basic resources such as labor, raw material
and capital. (3Ms – Men, Material & Money)
• Information Technology Assisted Business
Processes & Business Systems
>>> Management Information System
Systems (MIS)
Our course is all about
• Understanding the availability and use of
relevant technologies
• To gather information about business
Build a
• To assist in effective, informed decision
making DIGITAL
ENTERPRISE
• In ensuring business processes are
technology driven
• To assist in empowering business objective
functions for competitive advantage
Systems (MIS)
Using IT & Cloud Technologies
Mobile, Wireless & Telecom
Automation
Social Media
AI
effectively for
Competitive Advantage & Business Gains
Competitive Advantage ?
• Company being in a superior position in

comparison with its competitors
• Produce goods or better and services cheaper than
competitors
• Generate enhanced sales and better margins
compared to market rivals
• Provide goods and services which are not offered by
competitors
• Have a major say in the market (market leader)
• Develop the capacity to innovate and introduce new
products, or bring changes as per the needs of
customers in an agile manner
Business Gains ?
Enhance the Top Line (Revenue) and Bottom

Line (Profits)
https://www.workingpoint.com
Take care of the Bottom Line
IT can
enable
these
https://www.wallstreetmojo.com/bottom-line/

BITS Pilani
0.2 Course Details

Disclaimer
• The slides presented here are obtained /

extracted from the authors of the prescribed
books and from various other subject
contributors.
• I hereby thank and acknowledge all the
contributors for their material and inputs.
• I have added and modified a few slides to
suit the requirements of the course.

Course Objectives
No Objectives
CO1 Examine the role of information in the normal internal

processes of an organization and how to make optimal use of
information to solve problems and achieve an organization's
objectives.
CO2 Examine the applications of computer-based information
systems at the enterprise and functional level of an
organization
CO3 Understand the usage and management of information
technology to revitalize business processes, improve
business decisions and gain competitive advantage

Learning Outcomes
No Learning Outcomes
LO1 Describe the importance of MIS in an organizational setup
L02 Describe the role of IT and IS in enhancing a firms competitive

advantage and apply the same to their work context
LO3 Describe the role of IT and IS in e-business systems, business

systems and e-commerce systems and apply the same to their work
context
LO4 Describe decision support systems and analyse their role in supporting
information needs of managers and business professionals
LO5 Explain the role of planning and business models in the development
of business/IT strategies, architectures and applications
LO6 Identify ethical issues coming from the use of information technology
and multiple security management techniques

Text & Reference Books
Text Book:
T1 James A Obrien, George M Marakas, Ramesh Behl –
‘Management Information Systems’, 10th Edition, Mc Graw
Hill Education(India) edition, 2013
Reference Book:
R1 Kelly Rainer, Brad Prince, Hugh Watson – ‘Management
Information systems – Moving business forward’, 3rd
edition, Wiley India edition, 2016

Evaluation Scheme
EC Name Type Duration Weightage Day, Date, Session, Time
Typically 60
Quiz-I Online 5% Feb 19-28, 2024
min
Typically 60
EC-1 Quiz-II Online
min
5% March 19-28, 2024
Experiential Typically 10
Activity 20% April 19-28, 2024
Learning days
Sunday, March, 17th , 2024 (R)
Mid-Semester Closed
EC-2 2 hours 30% Sunday, March 31st , 2024 (M)
Test Book
FN: 10 AM – 12 Noon
Sunday, May 19th , 2024 (R)
Comprehensive Open
EC-3 2.5 hours 40% Sunday, May 26th, 2024 (M)
Exam Book
FN: 10AM-12 Noon
* EC = Evaluation Component
Syllabus for Mid-Semester Test: Topics in Session Nos. 1 to 16 (contact hours)**
Syllabus for Comprehensive Exam: All topics in Session Nos. 1 to 32 (contact hours)
** typically covers up to module 8 (Chapter 8) from T1. Any change will be notified.
Grading
• Course weightage: 3 credits

• Grading Model: Relative Grading.
• Grading:
• Total marks obtained (out of 100) is used to prepare the
distribution bell curve. Using the class average and the
corresponding spread (standard distribution), grades (A,
A-, B, B-, C, C-, D, and E) are assigned.
• Typically, A is awarded to the top 2.5-3.5 percentile
students of the class.
• An E grade would be a RLE (repeat the course)
No Unfair practices please. It may lead to a
disqualification of the subject/semester
Elearn portal details
Elearn portal: https://elearn.bits-pilani.ac.in

• Participants are expected to visit the Elearn portal on
a regular basis and stay up to date with all the latest
announcements and deadlines.
• Check taxila/elearn portal or the MS teams uploads
for all resources and documents. (session
recordings, ppts, assignments, case studies, pre
reads, add-on material etc)
• WhatsApp Group: An unofficial WhatsApp group
would be used to facilitate course relevant
communication. Joining Link would be announced.
Let’s Get Started !
BITS Pilani
BITS Pilani
Module 1: Fundamentals.
Foundations of IS in Business
Module 1 Topics
Topic 1: Fundamental role of IS in business

Topic 2: Role of e-business in business
Topic 3: Types and Trends in IS
Topic 4: Components of IS
Topic 5: IS Resources & Activities

BITS Pilani
Topic 1: Fundamental Role of IS in

Business
What is common in these
pictures?
1. Smoke signals for communications
2. Paper based accounting ledger
3. Day planner notebook

4. Card catalog in a library
It is about…
Generate Information (an event triggers the generation)

Transmit Information
Record Information
Catalog Information
Search Information,
and allows more Play with Information
It is all about INFORMATION

Our Objective …
Design, Build, Deploy and Manage
INFORMATION
SYSTEMS
For the Enterprise

What is an Information
What is a System?
System?

What is a System?
• A set of interrelated components (sub systems)

• Each having a clearly defined boundary within an
environment
• That interact and work together
• To achieve a common set of objectives for the
users and stakeholders

What is a System?
• A set of interrelated components (sub systems)

• Having a clearly defined boundary within an
environment
• That interact and work together
• To achieve a common set of objectives for the
users and stakeholders

What is an Information
System?
• An organized combination of..
• People
• IT Infrastructure (Hardware and Software)
• Communication Networks
Computer
• Data Resources Based
Information
• Policies & Procedures System
where this system…

• Stores, retrieves, transforms and disseminates
information within the organization and also
across external boundaries of the organization.
A Management Information
System
• Management Information System can be
defined as a formal method of using IT* and
associated technologies for collecting timely
information in a presentable form in order
• to facilitate effective decision making
• to implement organizational strategies
• to carry out enterprise wide operations
for the purpose of achieving the
organizational goal.
*IT: Information Technology
A Management Information
System
• A Management Information System is a
system design to provide selected
decision oriented information needed by
the management to plan, execute, control
and evaluate activities of the enterprise.
• It is designed within the frame work that
emphasizes profit, operational planning,
performance planning, control and
efficiency at all levels.

Fundamental Roles of IS in
Business
Positioned at 3 levels
more less
strategic
# of users
Size of Data
managerial
operational
less more

Trends in Information
Systems
Commerce
Internetworked /
Integrated
Systems
TPS
Transaction MIS
Processing Management
Systems DSS
Information
Decision
Systems EIS/SIS
Support
Strategic
Systems
Information
CIS
Systems
Information Systems in 2000 -
2020
A Digital Enterprise
• Digital Interactions across Connected
Enterprises
• Agile and Responsive
Technology
• Data Driven Assisted
• Ubiquitous Electronic
Businesses at
• Collaboration Centric Scale

Information Systems in 2020 -
A Smart Enterprise
• Data Driven
• Automation Emphasised
• Smart (Intelligence)
Smart &
• AI powered Knowledge
Driven
Businesses at
Scale

Example of a Digital
Enterprise
I wish to buy Sports Shoes. My choices:
a. Visit online site and search for a suitable shoe
from the catalog (2K-6K)
b. Visit a local shop that offers me many options of
shoes from various vendors (5k-8k)
Enterprises are
shifting customers
c. Visit Nike exclusive showroom in a local mall or
into an online
downtown for a broader digital
choice (10k-25k)
interaction
d. Visit https://www.nike.comrather than
/nike-by-you
physical
(15k-75k)
e. Visit a Nike Studio @ Mumbai, Delhi, Dubai,
interaction.
Singapore, Europe, USA .. ($300-$3000)

BITS Pilani
Topic 2: Role of e-Business in

Business
The ‘e’
Let us identify the most important ‘character’

in our lives

The ‘e’
• Refers to ‘electronic’
• Anything that has support of electronics for its
activity
• e-commerce
• e-mailing
• e-procurement
e-anything
• e-business e-everything
• e-governance
• e-learning
46
• e-payment
BA ZC471-Management Information Systems J A Gokhale
Module 1
Basic Support System for e-
Business
Internet
A global network of computer systems linked by
communication channels allowing for dissemination of
information represented in a digital form and stored in
servers.
Communication Technologies
Means and mechanism to exchange data / information
(copper wire, fibre optic, wireless communication
networks)
Ubiquitous Access
Anytime, Anywhere access to information and services
using devices that support mobility
What is Internet Business?
• Using Internet technologies to empower..

• Business processes
• Commerce transactions
• Collaboration within the company
• Collaboration with customers, suppliers and
other business stakeholders.
• Search and Discovery of information
• In essence, an online exchange of value
proposition (transact goods and services)

Digital Economy – “New”
Economy
• E-Business: The use of electronic
technologies to transact business.
• Collaboration: Use of electronic
technologies for People and Organizations
to interact, communicate, collaborate and
search for information
• Information Exchange: Electronic
technologies used for Storing, processing
and transmission of information.
e-Commerce & e-Business
• e-commerce describes the process of buying, selling,

transferring, or exchanging products, services, money and/or
information via computer networks, including the Internet.
• Money is involved (commercial activity).
• e-business refers to a broader definition of e-commerce, not
just the buying and selling of goods and services, but also
servicing customers, collaborating with business partners,
providing information, exchanging electronic documents and
processing electronic transactions.
• It is like conducting all business activities online (pre sales, sales,
customer service, purchases, marketing, negotiations, team
collaborations etc).
• Money may be involved (can have commercial or non-commercial
activity).
3 Levels of Information
Systems in an Organization
Operational, Managerial, Strategic
Executive Information Systems

Strategic (long term strategic planning)
Decision Support Systems
Managerial (short term management control &

tactical planning)
Operational
Transaction Processing Systems
(day to day operational needs)

Organization = Interconnected,
Integrated Business Process Entities
Marketing
Interconnection
Finance communication
Customer Support
Accounting

Intercommunications
Network: Interconnection of devices that communicate and

allow exchange of information
Internet: Global computer network providing a means of

communication of information in electronic form
Intranet: Use the internet to establish communication

between internal information users of the enterprise
Extranet: Use the internet to establish communication

between all stakeholders external to the enterprise with
information users of the enterprise
How E-Business is being
Used
The Internet The Internet
Others, public
Others, public
New Digital Age Business
Models
• Name-Your-Own Price
• Reverse Auctions
• Affiliate Marketing
• E-Marketplaces and Exchanges
• Electronic aggregation (buying in groups)
• Digital Payments
• Pay per Use Subscription based Digital Services
• User Generated Content (Social Media)
• Big Data & Analytics

BITS Pilani
Topic 3: Types and Trends in IS

Types of Information Systems
• Operations Support Systems

• Management Support Systems

Taxonomy of Information
Systems

Operations Support Systems
• What do they do?

• Efficiently process business transactions
• Control Industrial Processes
• Support Communications and collaborations
• Update corporate databases
• Primarily handle all aspects of day-to-day

operations and needs of business
procedures
Types of OSS
• Transaction Processing Systems

• Record and process business transactions
• Ex: sales processing, inventory systems, accounting
system, payroll processing
• Process Control Systems
• Monitor and control physical processes
• Ex: using sensors to monitor chemical process in a
petrochemical refinery
• Enterprise Collaboration Systems
• Enhance team and workgroup communications
• Ex: email, video conferencing
Transaction Processing
Two ways to process Transactions

• Batch Processing
• Accumulate transactions over time and process
periodically
• Ex: bank processes cheques received in a batch
at night. Payroll processes at the end of month
• Online processing (OLTP)
• Process transactions immediately upon recording
• Ex: bank processes an ATM withdrawal
immediately
Management Support
Systems
What do they do?
• Provide information and support for effective
decision making by managers
• Management Information Systems (MIS)
• Decision Support Systems (DSS)
• Executive Information Systems (EIS)
• Provide information as reports and dashboards
• Primarily meant for Managers to assist in

informed strategic decision making activities.
Types of Management Support
Systems
• Management Information Systems (MIS)
• Reports and displays of routine activities
• Ex: daily sales analysis report
• Decision Support Systems (DSS)
• Interactive and ad-hoc querying support
• Ex: a what-if analysis to determine where to spend advertising
budget and how much is its impact
• Executive Information Systems (EIS)
• Critical information for executives and managers
• Ex: easy access to actions of competitors. What should be
the sale price of the product if competitor offers a 10%
discount?
Management Support
Systems
Provide information in a easy-to-use format

Taxonomy of Information Systems:
Other Information Systems

• Expert Systems – provide expert advice using AI

• Ex: credit application advisor
• Knowledge Management Systems – support
creation, organization and dissemination of
business knowledge throughout the company
• Ex: Employee Skill Management
• Ex: Hazard Incidence Management

• Strategic Information Systems – help get a

strategic advantage over customer/ competitor
• Ex: shipment tracking
• Functional Business Systems – focus on

operational and managerial applications of basic
business functions
• Ex: accounting, finance, marketing

IT Challenges and
Opportunities
Goal: Maximise business value using IT
Enhance Top line and Bottom line

Success Metrics in IT
• Efficiency
• Minimize cost, time, and aggressive use of
information resources
• Effectiveness
• Support business strategies
• Enable business processes
• Enhance Organizational structure and culture
• Improve Business value to stakeholders
• Increase customer and business value

Measurement of Success
Metrics in IT
• Measure Benefits
• Tangible
• Measurable, Quantifiable
• Intangible
• Cannot be measured with quantifiable product
metrics
• Measure Return on Investment

• Profitability on an investment

BITS Pilani
How to get the IT system in place ?

Developing IT Systems /
Solutions
• In-house Development
• Outsourced Development
• Cloud model, lease from
providers (IaaS, PaaS,
SaaS)
• IT Development is a
cyclic, multi stage
process

Ethical Challenges
Security of Information Systems & associated

resources
Breach of Corporate Data

BITS Pilani
Topic 4: Components of an IS
Basic Functions of an
Information System
• Input: capturing and assembling data elements that enter
the system to be processed
• Processing: Transformation process that converts input
into output
• Output: Transferring transformed data elements to their
ultimate destination
• Storage: Persist the data for use in the future
• Transport: Exchange data/results with other processes
over communication channels
• All systems have Input, Processing, Output & Storage and

Communication support.
Basic Functions of an
Information System
COMM
NETWORK

Components of an IS

BITS Pilani
Topic 5: IS Resources & Activities

Information Systems
Resources
• People Resources
• IT Specialists and Functional Specialists
• End users
• Hardware Resources
• Computer Systems (Servers, Desktop Machines)
• Peripherals & Media
• Software Resources
• Programs (System Software, Application Software)
• Procedures
• Data Resources
• Product details, customer records, employee files, Databases etc
• Network Resources
• Communication media, communication processors, network access and control software
• Information Management Resources
• Management reports and business documents using txt and graphic displays, audio responses,
Standard Operating Procedures, User manuals etc

Data vs Information
Data – raw facts about physical phenomena of

business transactions
Information – data that has been converted into
meaningful and useful context for end users
Example:
• Sales Data is a record of sales Transactions with
customer names, products sold, their quantities and
value (INR or Dollar amounts)
• Sales Information is result of processing Sales Data
giving % increase in sales by product type, or by
territory, or by a sales team over a given period.

IS Activities
• Input of data resources

• Data entry activities, social media data, sensor based
automatic data capture
• Processing of data into information
• Calculations, comparisons, aggregation, sorting etc
• Output of information products
• Messages, reports, dashboards, forms, graphic images
• Storage of data resources
• Data elements and databases
• Control of system performance
• Monitoring of processes, outcomes and evaluating
feedback
Recognizing IS
• Business professionals should be able to

look at an information system and identify..
• The people, hardware, software, data and
network resources they use
• The type of information products they produce
• The way they perform input, processing, output,
storage and control activities

Summary
• Discussed the importance of IS in an

organization
• Identified the Business roles of an IS
• Studied Information System Model and IS
Components
• Identified IS Resources and IS Activities

Questions?

BA ZC471 / BITS ZC471 / POM ZC471 (Merged) :: Management Information Systems

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BA ZC471 / BITS ZC471 /

POM ZC471 (Merged):

Contact: 9820182718 (on group chat)

• Max Computers sells IT products across 5 regions in

4 BA ZC471-Management Information Systems Module 1 J A Gokhale

(crosstab view of summary data)

• MIS report as of 2000 !!

5 BA ZC471-Management Information Systems Module 1 J A Gokhale

• Assume you are the Manager of a medium-sized

• As Manager, you have decided to report current status on the

7 BA ZC471-Management Information Systems Module 1 J A Gokhale

Mr. Vinod Dua

8 BA ZC471-Management Information Systems Module 1 J A Gokhale

KPI :Average Answer Time

9 BA ZC471-Management Information Systems Module 1 J A Gokhale

11 BA ZC471-Management Information Systems Module 1 J A Gokhale

• Today, organizations recognize the

Mobile, Wireless & Telecom

• Company being in a superior position in

Enhance the Top Line (Revenue) and Bottom

17 BA ZC471-Management Information Systems Module 1 J A Gokhale

0.2 Course Details

• The slides presented here are obtained /

19 BA ZC471-Management Information Systems Module 1 J A Gokhale

CO1 Examine the role of information in the normal internal

20 BA ZC471-Management Information Systems Module 1 J A Gokhale

LO1 Describe the importance of MIS in an organizational setup

L02 Describe the role of IT and IS in enhancing a firms competitive

LO3 Describe the role of IT and IS in e-business systems, business

21 BA ZC471-Management Information Systems Module 1 J A Gokhale

22 BA ZC471-Management Information Systems Module 1 J A Gokhale

• Course weightage: 3 credits

Elearn portal: https://elearn.bits-pilani.ac.in

Topic 1: Fundamental role of IS in business

28 BA ZC471-Management Information Systems Module 1 J A Gokhale

Topic 1: Fundamental Role of IS in

3. Day planner notebook

Generate Information (an event triggers the generation)

It is all about INFORMATION

31 BA ZC471-Management Information Systems Module 1 J A Gokhale

Design, Build, Deploy and Manage

For the Enterprise

33 BA ZC471-Management Information Systems Module 1 J A Gokhale

• A set of interrelated components (sub systems)

34 BA ZC471-Management Information Systems Module 1 J A Gokhale

• A set of interrelated components (sub systems)

35 BA ZC471-Management Information Systems Module 1 J A Gokhale

where this system…

38 BA ZC471-Management Information Systems Module 1 J A Gokhale

39 BA ZC471-Management Information Systems Module 1 J A Gokhale

41 BA ZC471-Management Information Systems Module 1 J A Gokhale

42 BA ZC471-Management Information Systems Module 1 J A Gokhale

43 BA ZC471-Management Information Systems Module 1 J A Gokhale

Topic 2: Role of e-Business in

Let us identify the most important ‘character’

45 BA ZC471-Management Information Systems Module 1 J A Gokhale

• Using Internet technologies to empower..

48 BA ZC471-Management Information Systems Module 1 J A Gokhale

• e-commerce describes the process of buying, selling,

Executive Information Systems

Decision Support Systems

Managerial (short term management control &

51 BA ZC471-Management Information Systems Module 1 J A Gokhale