Management Information Systems (MIS)
- By Ashwin Dedhia
Everyone knows ‘MIS’ is a planned system of collecting, storing and disseminating data in the form of information needed to carry out various functions of management. Management Information System (M.I.S.) is basically concerned with processing data into information which is then communicated to the various departments in an organization for appropriate decision-making.
Data à Information à Communication à Decisions
Data collection involves the use of Information Technology (IT) comprising: computers and telecommunications networks (E-Mail, Voice Mail, Internet, telephone, etc.) Computers are important for more quantitative, than qualitative, data collection, storage and retrieval; Special features are speed and accuracy, and storage of large amount of data.
Telecommunications provide the means for one-way or two-way communication and for the transmission of messages. A combination of IT is used: telephone, computer, processor, printer, etc. A lot of time and money are saved and the security of data and messages is ensured. MIS provides several benefits to the business organization: the means of effective and efficient coordination between Departments; quick and reliable referencing; access to relevant data and documents; use of less labor; improvement in organizational and departmental techniques; management of day-to-day activities (as accounts, stock control, payroll, etc.); day-to-day assistance in a Department and closer contact with the rest of the world. It is important to note that whatever IT is installed must be appropriate to the organization, and to each department (Ref. to ‘Functional Areas’).
- MIS provides managers with information and support for effective decision making, and provides feedback on daily operations
- Output, or reports, are usually generated through accumulation of transaction processing data
- Each MIS is an integrated collection of subsystems, which are typically organized along functional lines within an organization
Intended benefits of MIS
MIS investments pay off for a company in many ways…….
- Core competency support
- Enhanced distribution channel management.
- Increased brand equity
- Boost production processes
- Impact mass customization production processes
- Leverage learning curve advantages
- Leverage IT investment in computer aided design
- Leverage stability
- Expand E-commerce
- Improve B2B commerce
Five Elements of usable MIS
- Timeliness
- Accuracy
- Consistency
- Completeness
- Relevance
Sources of MIS
Posted on April 8th, 2008 by Ashwin Dedhia
Filed under: Business Intelligence, View Points & Perspective
Ashwin,
MIS is a desired output in any information system that provides clear and relevant direction to decision makers in assessing what is happening in the business. The fact that this information is based on historic transaction data, mapping and linking external available data pertaining to markets, competition and innovation in the business areas is something missing in most forms of MIS generated within organizations. The biggest problem encountered by CIOs in any large organization is how much data is sufficient to predict a market scenario? This issue of over information / insufficiency of information is a challenge not addressed in many BI tools. Startegy based on MIS always tends to be reactive and rarely it has enabled creation of proactive strategies. If businesses have to be ahead of Market- a contant market research endeavour has to be in place in every organization. Without that you will be only reacting to market and never be able to drive the market.
Srini