The document provides an overview of management information systems (MIS). It discusses how MIS are integrated collections of subsystems that support decision-making through routine reports. It outlines the key components of MIS including operations support systems, management support systems, and examples of financial and manufacturing MIS.

1. Management Information
System

2. IS vs. IT Payroll
System
INFORMATION
TECHNOLOGY Inventory
System
Hardware
Software are used to build
INFORMATION
Databases SYSTEMS
Networks
Marketing
Other related System
components
Customer
Service
System

3. Classification of IS
Information Systems
Operations Support Management Support
System System
Transaction Office Management Decision Executive
processing Process control automation support information
systems information
systems systems systems systems systems

4. 1. Operations support systems process data generated by business operations
Major categories are:
i) Transaction processing systems
ii) Process control systems
iii) Office automation systems
2. Management Support Systems provide information and support needed for
effective decision making by managers
Major categories are
i) Management Information System
ii) Decision Support Systems
iii) Executive Information System

5. 1. Operations Support System
i) Transaction processing systems
• Process business exchanges
• Maintain records about the exchanges
• Handle routine, yet critical, tasks
• Perform simple calculations
ii) Process control systems monitor and control industrial processes.
iii) Office automation systems automate office procedures and enhance office
communications and productivity.

6. 2. Management support systems provide information and support needed for
effective decision making by managers
Major categories are:
i) Management information systems
 Routine information for routine decisions
 Operational efficiency
 Use transaction data as main input
 Databases integrate MIS in different functional areas

7. • Management information system (MIS)
• An 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

8. ii) Decision Support System
• Interactive support for non-routine decisions or problems
• End-users are more involved in creating a DSS than an MIS
iii) Executive information systems
provides critical information tailored to the information needs of executives

9. Enterprise Resource Planning (ERP)
• Integrated programs that can manage a
company’s entire set of business
operations
• Often coordinate planning, inventory
control, production and ordering

10. Employees
Corporate
Databases Corporate
databases
of intranet
of
external
internal
data
data Decision
support
systems
Transaction Databases Management Executive
Business processing of information Application support
transactions systems valid systems databases systems
transactions
Drill-down reports Expert
Exception reports systems
Demand reports
Operational Key-indicator reports
databases
Input and Scheduled
error list reports

11. Outputs of MIS
• Scheduled reports
• Produced periodically, or on a schedule
(daily, weekly, monthly)
• Key-indicator report
• Summarizes the previous day’s critical activities
• Typically available at the beginning of each day
• Demand report
• Gives certain information at a manager’s request
• Exception report
• Automatically produced when a situation is unusual or
requires management action

12. Scheduled Report Example
Daily Sales Detail Report
Prepared: 03/07/2012
Order Customer Sales Ship
# ID Rep ID Date Quantity Item # Amount
(Rs.)
P12453 C89321 CAR 03/02/96 144 P1234 3,214
P12453 C89321 CAR 03/02/96 288 P3214 5,660
P12453 C03214 GWA 03/04/96 12 P4902 1,224
P12455 C52313 SAK 03/05/96 24 P4012 2,448
P12456 C34123 JMW 03/06/96 144 P3214 720

13. Key Indicator Report Example
Daily Sales Key Indicator Report
This Last Last
Month Month Year
Total Orders Month to Date Rs.1,808 Rs.1,694 Rs.1,014
Forecasted Sales for the Month Rs.2,406 Rs.2,224 Rs.2,608

14. Demand Report Example
Daily Sales by Sales Rep Summary Report
Prepared: 03/08/2012
Sales Rep ID Amount
CAR Rs.42,345
GWA Rs.38,950
SAK Rs.22,100
JWN Rs.12,350

15. Exception Report Example
Daily Sales Exception Report – ORDERS OVER Rs.10,000
Prepared: 03/08/2012
Order Customer Sales Ship
# ID Rep ID Date Quantity Item # Amount
P12453 C89321 CAR 08/12/96 144 P1234 Rs.13,214
P12453 C89321 CAR 08/12/96 288 P3214 Rs.15,660
P12453 C03214 GWA 08/13/96 12 P4902 Rs.11,224
… … … … … … …
… … … … … … …

16. Outputs of a Management
Information System
Earnings by Quarter (Millions)
Actual Forecast Variance
Drill Down Reports 2ND Qtr 1999 Rs.12.6 Rs.11.8 6.8%
Provide detailed data 1st Qtr 1999 Rs.10.8 Rs.10.7 0.9%
about a situation.
4th Qtr 1998 Rs.14.3 Rs.14.5 -1.4%
3rd Qtr 1998 Rs.12.8 Rs.13.3 -3.0%

17. Characteristics of a Management
Information System
• Provides reports with fixed and standard
formats
– Hard-copy and soft-copy reports
• Uses internal data stored in the computer
system
• End users can develop custom reports
• Requires formal requests from users

18. Management Information Systems
for Competitive Advantage
• Provides support to managers as they work
to achieve corporate goals
• Enables managers to compare results to
established company goals and identify
problem areas and opportunities for
improvement

19. MIS and Web Technology
• Data may be made available from
management information systems on a
company’s intranet
• Employees can use browsers and their PC
to gain access to the data

20. Functional Aspects
• MIS is an integrated collection of functional
information systems, each supporting
particular functional areas.

21. Internet An Organization’s
MIS
Financial
MIS
Business
transactions
Drill down reports
Accounting
Transaction Databases MIS Exception reports
processing of
Demand reports
systems valid
transactions Key-indicator reports
Marketing
MIS Scheduled reports
Business
transactions
Databases Human
of
Resources Etc.
external
data MIS
Extranet
Etc.

22. Financial MIS
• Provides financial information to all
financial managers within an organization.

23. Databases of Financial
Databases of
internal data external data DSS
Business
transactions
Transaction Databases
processing Financial
of valid
systems transactions MIS Financial
for each applications
TPS databases
Business
transactions
Financial statements
Financial
Operational Uses and management ES
Internet or databases of funds
Extranet Financial statistics
for control
Business Customers,
transactions Suppliers

24. Inputs to the Financial
Information System
• Strategic plan or corporate policies
– Contains major financial objectives and often projects
financial needs.
• Transaction processing system (TPS)
– Important financial information collected from almost
every TPS - payroll, inventory control, order processing,
accounts payable, accounts receivable, general ledger.
– External sources
– Annual reports and financial statements of competitors
and general news items.

25. Financial MIS Subsystems and
Outputs
• Financial subsystems
– Profit/loss and cost systems
– Auditing
– Internal auditing
– External auditing
– Uses and management of funds

26. Manufacturing MIS
Databases of Manufacturing
Databases of
internal data external data DSS
Business
transactions
Transaction Databases
processing Manufacturing
of valid
systems transactions MIS Manufacturing
for each applications
TPS databases
Business Quality control reports
transactions
Process control reports Manufacturing
Operational ES
JIT reports
Internet or databases
MRP reports
Extranet
Production schedule
CAD output
Business Customers,
transactions Suppliers

27. Inputs to the Manufacturing MIS
• Strategic plan or corporate policies.
• The TPS:
– Order processing
– Inventory data
– Receiving and inspecting data
– Personnel data
– Production process
• External sources

28. Manufacturing MIS Subsystems
and Outputs
• Design and engineering
• Master production scheduling
• Inventory control
• Manufacturing resource planning
• Just-in-time inventory and manufacturing
• Process control
• Computer-integrated manufacturing (CIM)
• Quality control and testing