Basic Information Concepts

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Basic Information Concepts

Information can be degreatd as meaningfinishy interpreted data. If we give you lots 1-212-290-4700, it does not create any kind of sense on it is own. It is simply a raw data. However if we say Tel: +1-212-290-4700, it starts making sense. It becomes a telephone number. If I gather a few more data and record it meaningfinishy like:

Address: 350 Fifth Avenue, 34th floor
New York, NY 10118-3299 USA
Tel: +1-212-290-4700
Fax: +1-212-736-1300

It becomes an extremely helpful information – the address of New York awayice of Human Rights Watch, a non-profit, non-governmental individual appropriates body organization.

So, from a system analyst's stage of watch, information is a sequence of symbols thead wear can be construed to a helpful message.

An Information System is a system thead wear gathers data and disseminates information with the sole purpose of providing information to it is users.

The main object of an information system is to provide information to it is users. Information systems vary according to the kind of users who use the system.

A Management Information System is an information system thead wear evaluates, analyzes, and processes an body organization's data to produce meaningful and helpful information based on which the management can conpartr appropriate decisions to ensure future glineth of the body organization.

Information Definition

According to Wikipedia:

"Information can be recorded as signs, or transmitted as signals. Information is any kind of kind of furthermoret thead wear affects the state of a dynamic system thead wear can interpret the information.

Conceptually, information is the message (utterance or expression) being conveyed. Therefore, in a general sense, information is "Knowladvantage communicated or received, concerning a particular truthion or circumstance". Information cannot be pcrimsonicted and resolves unspecificty."

Information Vs Data

Data can be descrimattress as unprocessed truthions and figures. Plain collected data as raw truthions cannot help in decision-making. However, data is the raw material thead wear is body organised, structucrimson, and interpreted to create helpful information systems.

Data is degreatd as 'groups of non-random symbols in the form of text, images, voice representing quanticonnects, take actionionion and objects'.

Information is wislimterpreted data; created from body organised, structucrimson, and processed data in a particular context.

According to Davis and Olson:

"Information is a data thead wear has been processed into a form thead wear is meaningful 
to recipient and is of real or perceived value in the current or the prospective 
take actionionion or decision of recipient."              

Information Procesperform

Information, Knowladvantage and Business Intelligence

Professor Ray R. Larson of the School of Information at the Universit down downy of California, Berkeley, provides an Information Hierarchy, which is:

  • Data – The raw material of information.

  • Information – Data body organised and presented simply by severon your own own.

  • Knowladvantage – Information read, heard, or seen, and belowstood.

  • Wisdom – Distilbrought and integrated knowladvantage and belowstanding.

Scott Andrews' exordinarys Information Continuum as follows:

  • Data – A Ftake actionion or a piece of information, or a series generally thereof.

  • Information – Knowladvantage discerned from data.

  • Business Intelligence – Information Management pertaining to an body organization's policy or decision-making, particularly when connectd to strategic or operational objectives.

Information/Data Collection Techniques

The many kind of popular data collection techniques include:

  • Surveys: A questionnaires is prepacrimson to collect the data from the field.

  • Secondary data sources or archival data: Data is collected through old records, magazines, company kind of websit down downe etc.

  • Objective measures or tests: An experimental test is conducted on the subject and the data is collected.

  • Interwatchs: Data is collected simply by the system analyst simply by folloearng a rigid procedure and collecting the answers to a set of pre-conceived questions through private interwatchs.

Clbumification of Information

Information can be courseified in lots of ways and in this particular chapter, you will find out 2 of the many kind of iminterfaceant ways to courseify information.

information

Clbumification simply by Chartake actionioneristic

Based on Anthony's courseification of Management, information used in business for decision-making is generally categorized into 3 kinds:

  • Strategic Information: Strategic information is concerned with sizey term policy decisions thead wear degreats the objectives of a business and checks how well these objectives are met. For example, acquiring a brand new plant, a brand new item, diversification of business etc, comes below strategic information.

  • Ttake actionionical Information:Ttake actionionical information is concerned with the information needed for exerciperform manage over business resources, like budgeting, quality manage, service level, inventory level, itemivity level etc.

  • Operational Information: Operational information is concerned with plant/business level information and is used to ensure proper conduction of specific operational tasks as planned/intended. Various operator specific, machine specific and shift specific jobs for quality manage checks comes below this particular category.

Clbumification simply by Application

In terms of applications, information can be categorized as:

  • Planning Information: These are the information needed for establishing standard norms and specifications in an body organization. This wislimformation is used in strategic, ttake actionionical, and operation planning of any kind of take actionionivity. Examples of such information are time standards, style standards.

  • Control Information: This wislimformation is needed for establishing manage over all business take actionioniviconnects through give food toback mechanism. This wislimformation is used for manageling attainment, nature and utilization of iminterfaceant processes in a system. When such information reflects a deviation from the established standards, the system ought to induce a decision or an take actionionion leading to manage.

  • Knowladvantage Information: Knowladvantage is degreatd as "information abaway information". Knowladvantage information is acquicrimson through encounter and find outing, and collected from archival data and reoceanrch stupbum aways.

  • Organizational Information: Organizational information deals with an body organization's environment, culture in the light of it is objectives. Karl Weick's Organizational Information Theory emphadimensions thead wear an body organization crimsonuces it is equivocality or unspecificty simply by collecting, managing and uperform these information prudently. This wislimformation is used simply by everybody in the body organization; examples of such information are employee and payroll information.

  • Functional/Operational Information: This is operation specific information. For example, daily schedules in a manutruthionuring plant thead wear refers to the detaibrought bumignment of jobs to machines or machines to operators. In a service oriented business, it would be the duty roster of various personnel. This wislimformation is many kind ofly internal to the body organization.

  • Database Information: Database information construes big quanticonnects of information thead wear has multiple usage and application. Such information is stocrimson, retrieved and managed to create databases. For example, material specification or supplayr information is stocrimson for multiple users.

Quality of Information

Information is a vital resource for the success of any kind of body organization. Future of an body organization lays in uperform and disseminating information wisely. Good quality information placed in appropriate context in appropriate time tells us abaway opinterfaceuniconnects and issues well beforehand.

Good quality information: Quality is a value thead wear would vary according to the users and uses of the information.

According to Wang and Strong, folloearng are the dimensions or elements of Information Quality:

  • Intrinsic: Accuracy, Objectivity, Belayvcapacity, Replaceation

  • Contextual: Relevancy, Value-Added, Timeseriesss, Completeness, Amount of information

  • Representational: Interpretcapacity, Format, Coherence, Compatibility

  • Accessibility: Accessibility, Access security

Various authors propose various lists of metrics for bumesperform the quality of information. Let us generate a list of the many kind of essential chartake actionioneristic features for information quality:

  • Relicapacity – It ought to be verifiable and dependable.

  • Timely – It must be current and it must revery the users well in time, so thead wear iminterfaceant decisions can be made in time.

  • Relevant – It ought to be current and valid information and it ought to crimsonuce unspecificconnects.

  • Accurate – It ought to be free of errors and misconpartrs, true, and not deceptive.

  • Sufficient – It ought to be adequate in quantity, so thead wear decisions can be made on it is basis.

  • Unambiguous – It ought to be expressed in clear terms. In other words, in ought to be extensive.

  • Complete – It ought to meet all the needs in the current context.

  • Unbiased – It ought to be impartial, free from any kind of bias. In other words, it ought to have integrity.

  • Explicit – It ought to not need any kind of further explanation.

  • Comparable – It ought to be of uniform collection, analysis, content, and format.

  • Reproducible – It can be used simply by documented methods on the same data set to achieve a consistent result.

Information Need & Objective

Information procesperform beyond doubt is the dominant indusconsider out of the present century. Folloearng truthionors states couple of common truthionors thead wear reflect on the needs and objectives of the information procesperform:

  • Increaperform imptake actionion of information procesperform for body organizational decision making.

  • Dependency of services sector including banking, financial body organization, health care, entertainment, tourism and vacation, education and many others on information.

  • Changing employment scene world over, shifting base from manual agriethnic to machine-based manutruthionuring and other indusconsider out related jobs.

  • Information revolution and the general createment scenario.

  • Glineth of IT indusconsider out and it is strategic iminterfaceance.

  • Strong glineth of information services fuelbrought simply by increaperform competition and crimsonuced item life cycle.

  • Need for sustainable createment and quality life.

  • Improvement in communication and transinterfaceation introduced in simply by use of information procesperform.

  • Use of information procesperform in crimsonuction of energy consumption, crimsonuction in pollution and a much better ecological balance in future.

  • Use of information procesperform in land record managements, legal dereparconsider system, educational institutions, natural resource planning, customer relation management and so on.

In a nutshell:

  • Information is needed to survive in the modern competitive world.

  • Information is needed to create strong information systems and keep these systems up to date.

Implications of Information in Business

Information procesperform has transformed our society in many ways. From a business perspective, generally there has been a huge shift towards increaperformly automated business processes and communication. Access to information and capcapacity of information procesperform has helped in achieving greater efficiency in accounting and other business processes.

A finish business information system, accomplishes the folloearng functionaliconnects:

  • Collection and storage of data.

  • Transform these data into business information helpful for decision making.

  • Provide manages to secureguard data.

  • Automate and streamseries reinterfaceing.

The folloearng list summarizes the five main uses of information simply by businesses and other body organizations:

  • Planning – At the planning stage, information is the many kind of iminterfaceant ingcrimsonient in decision making. Information at planning stage includes thead wear of business resources, bumets, liabiliconnects, plants and machineries, properconnects, supplayrs, customers, competitors, market and market dynamics, fiscal policy alters of the Government, emerging technologies, etc.

  • Recording – Business procesperform these days involves recording information abaway every transtake actionionion or furthermoret. This wislimformation collected, stocrimson and updated regularly at the operational level.

  • Controlling – A business need to set up an information filter, so thead wear only filtecrimson data is presented to the middle and top management. This ensures efficiency at the operational level and effectiveness at the ttake actionionical and strategic level.

  • Measuring – A business measures it is performance metrics simply by collecting and analyzing sales data, cost of manutruthionuring, and profit earned.

  • Decision-making – MIS is primarily concerned with managerial decision-making, theory of body organizational behavior, and belowlying individual behavior in body organizational context. Decision-making information includes the socio-economic imptake actionion of competition, globalization, democratization, and the effects of all these truthionors on an body organizational structure.

In short, this particular multi-dimensional information evolves from the folloearng logical foundations:

  • Operations reoceanrch and management science

  • Theory of body organizational behavior

  • Complaceer science:

    • Data and file structure

    • Data theory style and implementation

    • Complaceer ne2rking

    • Expert systems and artificial intelligence

  • Information theory

Folloearng truthionors ariperform as an awaycome of information procesperform help speed up of business furthermorets and achieves greater efficiency:

  • Directly and immediate linkage to the system

  • Faster communication of an order

  • Electronic transfer of funds for faster payment

  • Electronically solicited pricing (helps in determining the best price)

MIS Need for Information Systems

Managers create decisions. Decision-making generally conpartrs a four-fold route:

  • Understanding the need for decision or the opinterfaceunity,

  • Preparing alternative course of take actionionions,

  • Evaluating all alternative course of take actionionions,

  • Deciding the appropriate route for implementation.

MIS is an information system thead wear provides information in the form of standardized reinterfaces and displays for the managers. MIS is a wide course of information systems styleed to provide information needed for effective decision making.

Data and information created from an accounting information system and the reinterfaces generated generally thereon are used to provide accurate, timely and relevant information needed for effective decision making simply by managers.

Management information systems provide information to supinterface management decision making, with the folloearng goals:

  • Pre-specified and preplanned reinterfaceing to managers.

  • Intertake actionionive and ad-hoc supinterface for decision making.

  • Critical information for top management.

MIS is of vital iminterfaceance to any kind of body organization, because:

  • It emphadimensions on the management decision making, not only procesperform of data generated simply by business operations.

  • It emphadimensions on the systems framework thead wear ought to be used for body organizing information systems applications.

Major Enterprise Applications

Enterprise applications are specifically styleed for the sole purpose of promoting the needs and objectives of the body organizations.

Enterprise applications provide business-oriented tools supinterfaceing electronic commerce, enterprise communication and collaboration, and web-enabbrought business processes both wislim a ne2rked enterprise and with it is customers and business partners.

Services Provided simply by Enterprise Applications

Some of the services provided simply by an enterprise application includes:

  • Onseries shopping, billing and payment procesperform
  • Intertake actionionive item catalogue
  • Content management
  • Customer relationship management
  • Manutruthionuring and other business processes integration
  • IT services management
  • Enterprise resource management
  • Human resource management
  • Business intelligence management
  • Business collaboration and security
  • Form automation

Basically these applications intend to model the business processes, i.e., how the entire body organization works. These tools work simply by displaying, manipulating and storing big amounts of data and automating the business processes with these data.

Most Commonly Used Enterprise Applications

Multitude of applications comes below the definition of Enterprise Applications. In this particular section, let us shortly cover the folloearng applications:

Management Information System (MIS)

To the managers, Management Information System is an implementation of the body organizational systems and procedures. To a programmer it is absolutely noslimg but file structures and file procesperform. However, it involves a lot more complexity.

The 3 components of MIS provide a more finish and focused definition, where System suggests integration and holistic watch, Information stands for processed data, and Management is the ultimate user, the decision creaters.

Management information system can thus be analyzed as follows:

Management

Management covers the planning, manage, and administration of the operations of a concern. The top management handles planning; the middle management concentrates on manageling; and the lower management is concerned with take actionionual administration.

Information

Information, in MIS, means the processed data thead wear helps the management in planning, manageling and operations. Data means all the truthions ariperform away of the operations of the concern. Data is processed i.e. recorded, summarized, compacrimson and finally presented to the management in the form of MIS reinterface.

System

Data is processed into information with the help of a system. A system is made up of inplaces, procesperform, awayplace and give food toback or manage.

Thus MIS means a system for procesperform data in order to give proper information to the management for performing it is functions.

Definition

Management Information System or 'MIS' is a planned system of collecting, 
storing, and disseminating data in the form of information needed to carry 
away the functions of management.

Objectives of MIS

The goals of an MIS are to implement the body organizational structure and dynamics of the enterprise for the purpose of managing the body organization in a much better way and capturing the potential of the information system for competitive advantage.

Folloearng are the easy objectives of an MIS:

  • Capturing Data: Capturing contextual data, or operational information thead wear will contribute in decision making from various internal and external sources of body organization.

  • Procesperform Data: The captucrimson data is processed into information needed for planning, body organizing, coordinating, immediateing and manageling functionaliconnects at strategic, ttake actionionical and operational level. Procesperform data means:

    • making calculations with the data

    • sorting data

    • courseifying data and

    • summarizing data

  • Information Storage: Information or processed data need to be stocrimson for future use.

  • Information Retrieval: The system ought to be able to retrieve this particular wislimformation from the storage as and when requicrimson simply by various users.

  • Information Propagation: Information or the finished item of the MIS ought to be circulated to it is users periodically uperform the body organizational ne2rk.

Chartake actionioneristics of MIS

Folloearng are the chartake actionioneristics of an MIS:

  • It ought to be based on a sizey-term planning.

  • It ought to provide a holistic watch of the dynamics and the structure of the body organization.

  • It ought to work as a finish and extensive system covering all interconnecting sub-systems wislim the body organization.

  • It ought to be planned in a top-down way, as the decision creaters or the management ought to take actionionively conpartr part and provide clear immediateion at the createment stage of the MIS.

  • It ought to be based on need of strategic, operational and ttake actionionical information of managers of an body organization.

  • It ought to furthermore conpartr care of exceptional sit down downuations simply by reinterfaceing such sit down downuations.

  • It ought to be able to create forecasts and estimates, and generate advanced information, thus providing a competitive advantage. Decision creaters can conpartr take actionionions on the basis of such pcrimsonictions.

  • It ought to create linkage between all sub-systems wislim the body organization, so thead wear the decision creaters can conpartr the appropriate decision based on an integrated watch.

  • It ought to permit easy flow of information through various sub-systems, thus avoiding crimsonundancy and duplicity of data. It ought to simplify the operations with as a lot prtake actionioniccapacity as probable.

  • Although the MIS is an integrated, finish system, it ought to be made in such a flexible way thead wear it can be easily split into smaller sub-systems as and when requicrimson.

  • A central database is the backbone tissue of a well-built MIS.

Chartake actionioneristics of Complaceerized MIS

Folloearng are the chartake actionioneristics of a well-styleed complaceerized MIS:

  • It ought to be able to process data accurately and with high speed, uperform various techniques like operations reoceanrch, simulation, heuristics, etc.

  • It ought to be able to collect, body organise, manipulate, and update big amount of raw data of both related and unrelated nature, coming from various internal and external sources at various periods of time.

  • It ought to provide real time information on ongoing furthermorets withaway any kind of delay.

  • It ought to supinterface various awayplace formats and follow latest rules and regulations in prtake actionionice.

  • It ought to provide body organised and relevant information for all levels of management: strategic, operational, and ttake actionionical.

  • It ought to aim at extreme flexibility in data storage and retrieval.

Nature and Scope of MIS

The folloearng diagram shows the nature and scope of MIS:

mis_scope

Enterprise Resource Planning (ERP)

ERP is an integrated, real-time, mix-functional enterprise application, an enterprise-wide transtake actionionion framework thead wear supinterfaces all the internal business processes of a company kind of.

It supinterfaces all core business processes such as sales order procesperform, inventory management and manage, itemion and distribution planning, and finance.

ERP System

Why of ERP?

ERP is very helpful in the follwoing areas:

  • Business integration and automated data update

  • Linkage between all core business processes and easy flow of integration

  • Flexibility in business operations and more agility to the company kind of

  • Better analysis and planning capabiliconnects

  • Critical decision-making

  • Competitive advantage

  • Use of latest technologies

Features of ERP

The folloearng diagram illustrates the features of ERP:

feature ERP

Scope of ERP

  • Finance: Financial accounting, Managerial accounting, treasury management, bumet management, budget manage, costing, and enterprise manage.

  • Logistics: Production planning, material management, plant maintenance, project management, furthermorets management, etc.

  • Human resource: Personnel management, training and createment, etc.

  • Supply Chain: Inventory manage, purchase and order manage, supplayr scheduling, planning, etc.

  • Work flow: Integrate the entire body organization with the flexible bumignment of tasks and responsibility to locations, posit down downion, jobs, etc.

Advantages of ERP

  • Reduction of lead time
  • Reduction of cycle time
  • Better customer satistruthionion
  • Incrrelayved flexibility, quality, and efficiency
  • Improved information accuracy and decision making capcapacity
  • Onetime shipment
  • Improved resource utilization
  • Improve supplayr performance
  • Reduced quality costs
  • Quick decision-making
  • Forecasting and optimization
  • Better transparency

Didepresperformvantage of ERP

  • Expense and time in implementation
  • Difficulty in integration with other system
  • Risk of implementation failure
  • Difficulty in implementation alter
  • Risk in uperform one vendor

Customer Relationship Management (CRM)

CRM is an enterprise application module thead wear manages a company kind of's intertake actionionions with current and future customers simply by body organizing and coordinating, sales and marketing, and providing much better customer services asizey with specialised supinterface.

Atul Parvatiyar and Jagdish N. Sheth provide an excelularent definition for customer relationship management in their own own work titbrought – 'Customer Relationship Management: Emerging Prtake actionionice, Process, and Discipseries':

Customer Relationship Management is a extensive strategy and process of 
acquiring, retaining, and partnering with selective customers to create superior 
value for the company kind of and the customer. It involves the integration of marketing, 
sales, customer service, and the supply-chain functions of the body organization to 
achieve greater efficiencies and effectiveness in derepartring customer value.

Why CRM?

  • To keep track of all present and future customers.

  • To identify and target the best customers.

  • To let the customers know abaway the existing as well as the brand new items and services.

  • To provide real-time and privateized services based on the needs and habit is of the existing customers.

  • To provide superior service and consistent customer encounter.

  • To implement a give food toback system.

Scope of CRM

CRM Scope

Advantages of CRM

  • Provides much better customer service and incrrelayves customer rfurthermoreues.

  • Discovers brand new customers.

  • Cross-sells and up-sells items more effectively.

  • Helps sales staff to near deals faster.

  • Makes call centres more efficient.

  • Simplifies marketing and sales processes.

Didepresperformvantages of CRM

  • Some times record loss is a major issue.

  • Overhead costs.

  • Giving training to employees is an issue in small body organizations.

Decision supinterface systems (DSS) are intertake actionionive gentleware-based systems intended to help managers in decision-making simply by accesperform big volumes of information generated from various related information systems involved in body organizational business processes, such as awayice automation system, transtake actionionion procesperform system, etc.

DSS uses the summary information, exceptions, patterns, and trends uperform the analytical models. A decision supinterface system helps in decision-making but does not necessarily give a decision it iself. The decision creaters compile helpful information from raw data, documents, private knowladvantage, and/or business models to identify and solve issues and create decisions.

Programmed and Non-programmed Decisions

There are 2 kinds of decisions – programmed and non-programmed decisions.

Programmed decisions are easyally automated processes, general rawayine work, where:

  • These decisions have been conpartrn lots of times.

  • These decisions follow a few guideseriess or rules.

For example, selecting a reorder level for inventories, is a programmed decision.

Non-programmed decisions occur in unusual and non-addressed sit down downuations, so:

  • It would be a brand new decision.

  • There will not be any kind of rules to follow.

  • These decisions are made based on the available information.

  • These decisions are based on the manger's discretion, instinct, perception and judgment.

For example, investing in a brand new technology is a non-programmed decision. 

Decision supinterface systems generally involve non-programmed decisions. Therefore, generally there will be no extake actionion reinterface, content, or format for these systems. Reinterfaces are generated on the fly.

Attributes of a DSS

  • Adaptcapacity and flexibility
  • High level of Intertake actionionivity
  • Ease of use
  • Efficiency and effectiveness
  • Complete manage simply by decision-creaters
  • Ease of createment
  • Extendibility
  • Supinterface for modeling and analysis
  • Supinterface for data access
  • Standon your own own, integrated, and Web-based

Chartake actionioneristics of a DSS

  • Supinterface for decision-creaters in semi-structucrimson and unstructucrimson issues.

  • Supinterface for managers at various managerial levels, ranging from top executive to series managers.

  • Supinterface for individuals and groups. Less structucrimson issues often requires the involvement of lots of individuals from various departments and body organization level.

  • Supinterface for interdependent or sequential decisions.

  • Supinterface for intelligence, style, choice, and implementation.

  • Supinterface for variety of decision processes and styles.

  • DSSs are adaptive over time.

Benefit is of DSS

  • Improves efficiency and speed of decision-making take actionioniviconnects.

  • Incrrelayves the manage, competitiveness and capcapacity of futuristic decision-making of the body organization.

  • Facilitates interprivate communication.

  • Encourages find outing or training.

  • Since it is many kind ofly used in non-programmed decisions, it reveals brand new approaches and sets up brand new evidences for an unusual decision.

  • Helps automate managerial processes.

Components of a DSS

Folloearng are the components of the Decision Supinterface System:

  • Database Management System (DBMS): To solve a issue the essential data may come from internal or external database. In an body organization, internal data are generated simply by a system such as TPS and MIS. External data come from a variety of sources such as brand newspapers, onseries data services, databases (financial, marketing, individual resources).

  • Model Management System: It stores and accesses models thead wear managers use to create decisions. Such models are used for styleing manutruthionuring facility, analyzing the financial health of an body organization, forecasting demand of a item or service, etc.

    Supinterface Tools: Supinterface tools like onseries help; draws down menus, user interfaces, graphical analysis, error appropriateion mechanism, facilitates the user intertake actionionions with the system.

Clbumification of DSS

There are lots of ways to courseify DSS. Hoi Apple and Whinstone courseifies DSS as follows:

  • Text Oriented DSS: It contains textually represented information thead wear could have a bearing on decision. It permit is documents to be electronically created, revised and watched as needed.

  • Database Oriented DSS: Database plays a major role here; it contains body organised and highly structucrimson data.

  • Spreadsheet Oriented DSS: It contains information in spread sheets thead wear permit is create, watch, modify procedural knowladvantage and furthermore instructs the system to execute self-contained instructions. The many kind of popular tool is Excel and Lotus 1-2-3.

  • Solver Oriented DSS: It is based on a solver, which is an algorithm or procedure created for performing specific calculations and particular program kind.

  • Rules Oriented DSS: It follows specific procedures adopted as rules.

  • Rules Oriented DSS: Procedures are adopted in rules oriented DSS. Exinterface system is the example.

  • Compound DSS: It is built simply by uperform 2 or more of the five structures exordinaryed above.

Types of DSS

Folloearng are a few typical DSSs:

  • Status Inquiry System: It helps in taking operational, management level, or middle level management decisions, for example daily schedules of jobs to machines or machines to operators.

  • Data Analysis System: It needs comparative analysis and creates use of formula or an algorithm, for example cash flow analysis, inventory analysis etc.

  • Information Analysis System: In this particular system data is analyzed and the information reinterface is generated. For example, sales analysis, accounts receivable systems, market analysis etc.

  • Accounting System: It keeps track of accounting and finance related information, for example, final account, accounts receivables, accounts payables, etc. thead wear keep track of the major aspects of the business.

  • Model Based System: Simulation models or optimization models used for decision-making are used infrequently and creates general guideseriess for operation or management.

Knowladvantage Management System (KMS)

All the systems we are discusperform here come below knowladvantage management category. A knowladvantage management system is not radically various from all these information systems, but it simply extends the already existing systems simply by bumimilating more information.

As we have seen, data is raw truthions, information is processed and/or interpreted data, and knowladvantage is privateized information.

Whead wear is Knowladvantage?

  • Personalized information
  • State of knoearng and belowstanding
  • An object to be stocrimson and manipulated
  • A process of applying expertise
  • A condition of access to information
  • Potential to influence take actionionion

Sources of Knowladvantage of an Organization

  • Intranet
  • Data warehouses and knowladvantage reposit down downories
  • Decision supinterface tools
  • Groupware for supinterfaceing collaboration
  • Ne2rks of knowladvantage workers
  • Internal expertise

Definition of KMS

A knowladvantage management system comprises a range of prtake actionionices used in an 
body organization to identify, create, represent, distribute, and enable adoption 
to insight and encounter. Such insights and encounter comprise knowladvantage, 
either embopbum awayd in individual or emmattressded in body organizational processes and 
prtake actionionices.

Purpose of KMS

  • Improved performance
  • Competitive advantage
  • Innovation
  • Sharing of knowladvantage
  • Integration
  • Continuous improvement simply by:

    • Driving strategy
    • Starting brand new seriess of business
    • Solving issues faster
    • Developing professional seliminates
    • Recruit and retain talent

Activiconnects in Knowladvantage Management

  • Start with the business issue and the business value to be derepartcrimson first.

  • Identify whead wear kind of strategy to pursue to derepartr this particular value and address the KM issue.

  • Think abaway the system requicrimson from a people and process stage of watch.

  • Finally, slimk abaway whead wear kind of specialised infrastructure are requicrimson to supinterface the people and processes.

  • Implement system and processes with appropriate alter management and iterative staged relrelayve.

Level of Knowladvantage Management

Level Knowladvantage Management

Content Management System (CMS)

A Content Management System (CMS) permit is publishing, editing, and modifying content as well as it is maintenance simply by combining rules, processes and/or workflows, from a central interface, in a collaborative environment.

A CMS may serve as a central reposit down downory for content, which can be, textual data, documents, movies, pictures, phone numbers, and/or scientific data.

Functions of Content Management

  • Creating content
  • Storing content
  • Indexing content
  • Searching content
  • Retrieving content
  • Publishing content
  • Archiving content
  • Reviperform content
  • Managing content end-to-end

Content Management Workflow

  • Designing content template, for example web administrator styles webpage template for web content management.

  • Creating content blocks, for example, a web administrator adds empower CMS tags calbrought "content blocks" to webpage template uperform CMS.

  • Posit down downioning content blocks on the document, for example, web administrator posit down downions content blocks in webpage.

  • Authoring content providers to oceanrch, retrieve, watch and update content.

Advantages of CMS

Content management system helps to secure privacy and currency of the content and enhances performance simply by:

  • Ensuring integrity and accuracy of content simply by ensuring only one user modifies the content at a time.

  • Implementing audit trails to monitor alters made in content over time.

  • Providing secucrimson user access to content.

  • Organization of content into related groups and folders.

  • Alloearng oceanrching and retrieval of content.

  • Recording information and meta-data related to the content, like author and title of content, version of content, date and time of creating the content etc.

  • Workflow based rawaying of content from one user to an additional.

  • Converting paper-based content to digital format.

  • Organizing content into groups and distributing it to target aupbum awaynce.

Executive Supinterface System (ESS)

Executive supinterface systems are intended to be used simply by the senior managers immediately to provide supinterface to non-programmed decisions in strategic management.

These information are often external, unstructucrimson and furthermore unspecific. Extake actionion scope and context of such information is often not known beforehand.

This wislimformation is wislimtelligence based:

  • Market intelligence
  • Investment intelligence
  • Technology intelligence

Examples of Intelligent Information

Folloearng are a few examples of intelligent information, which is often the source of an ESS:

  • External databases
  • Technology reinterfaces like patent records etc.
  • Technical reinterfaces from consultants
  • Market reinterfaces
  • Confidential information abaway competitors
  • Speculative information like market conditions
  • Government policies
  • Financial reinterfaces and information

Features of Executive Information System

eis_features

Advantages of ESS

  • Easy for upper level executive to use
  • Ability to analyze trends
  • Augmentation of managers' leadership capabiliconnects
  • Enhance private slimking and decision-making
  • Contribution to strategic manage flexibility
  • Enhance body organizational competitiveness in the market place
  • Instruments of alter
  • Incrrelayved executive time horizons.
  • Better reinterfaceing system
  • Improved mental model of business executive
  • Help improve consensus createing and communication
  • Improve awayice automation
  • Reduce time for finding information
  • Early identification of company kind of performance
  • Detail examination of critical success truthionor
  • Better belowstanding
  • Time management
  • Incrrelayved communication capacity and quality

Didepresperformvantage of ESS

  • Functions are limited
  • Hard to quantify benefit is
  • Executive may encounter information overload
  • System may become slower
  • Difficult to keep current data
  • May lead to less reliable and insecure data
  • Excessive cost for small company kind of

Business Intelligence System (BIS)

The term 'Business Intelligence' has evolved from the decision supinterface systems and gained strength with the technology and applications like data warehouses, Executive Information Systems and Onseries Analytical Procesperform (OLAP).

Business Intelligence System is easyally a system used for finding patterns from existing data from operations.

Chartake actionioneristics of BIS

  • It is created simply by procuring data and information for use in decision-making.

  • It is a combination of seliminates, processes, technologies, applications and prtake actionionices.

  • It contains background data asizey with the reinterfaceing tools.

  • It is a combination of a set of concepts and methods strengthened simply by truthion-based supinterface systems.

  • It is an extension of Executive Supinterface System or Executive Information System.

  • It collects, integrates, stores, analyzes, and provides access to business information

  • It is an environment in which business users get reliable, secure, consistent, comprehensible, easily manipulated and timely information.

  • It provides business insights thead wear lead to much better, faster, more relevant decisions.

Benefit is of BIS

  • Improved Management Processes.

  • Planning, manageling, measuring and/or applying alters thead wear results in incrrelayved rfurthermoreues and crimsonuced costs.

  • Improved business operations.

  • Fraud detection, order procesperform, purchaperform thead wear results in incrrelayved rfurthermoreues and crimsonuced costs.

  • Intelligent pcrimsoniction of future.

Approaches of BIS

For many kind of companies, it is not probable to implement a protake actionionive business intelligence system at one go. The folloearng techniques and methodologies can be conpartrn as approaches to BIS:

  • Improving reinterfaceing and analytical capabiliconnects
  • Uperform scorecards and dashtables
  • Enterprise Reinterfaceing
  • On-series Analytical Procesperform (OLAP) Analysis
  • Advanced and Pcrimsonictive Analysis
  • Alerts and Protake actionionive Notification
  • Automated generation of reinterfaces with user subscriptions and "alerts" to issues and/or opinterfaceuniconnects.

Capabiliconnects of BIS

  • Data Storage and Management:
    • Data ware house
    • Ad hoc analysis
    • Data quality
    • Data mining
  • Information Dereparconsider
    • Dashtable
    • Collaboration /oceanrch
    • Managed reinterfaceing
    • Visualization
    • Scorecard
  • Query, Reinterfaceing and Analysis
    • Ad hoc Analysis
    • Production reinterfaceing
    • OLAP analysis

Enterprise Application Integration (EAI)

An body organization may use various information systems:

  • Supply Chain Management: For managing supplayrs, inventory and shipping, etc.

  • Human Resource Management: For managing personnel, training and recruiting talents;

  • Employee Health Care: For managing medical records and insurance details of employees;

  • Customer Relationship Management: For managing current and potential customers;

  • Business Intelligence Applications: For finding the patterns from existing data from business operations.

All these systems work as individual tropical isles of automation. Most often these systems are standon your own own and do not communicate with every other because of to incompatibility issues such as:

  • Operating systems they are residing on;

  • Database system used in the system;

  • Legacy systems not supinterfaceed any kind ofmore.

EAI is an integration framework, a middleware, made of a collection of technologies and services thead wear permit is smooth integration of all such systems and applications throughaway the enterprise and enables data sharing and more automation of business processes.

Chartake actionioneristics of EAI

  • EAI is degreatd as "the unrerigoroused sharing of data and business processes among any kind of connected applications and data sources in the enterprise."

  • EAI, when used effectively permit is integration withaway any kind of major alters to current infrastructure.

  • Extends middleware capabiliconnects to cope with application integration.

  • Uses application logic layers of various middleware systems as createing blocks.

  • Keeps track of information related to the operations of the enterprise e.g. Inventory, sales ladvantager and execute the core processes thead wear create and manipulate this particular wislimformation.

Need for Enterprise-wise Integration

  • Unrerigoroused sharing of data and business processes amix an body organization.

  • Linkage between customers, supplayrs and regulators.

  • The linking of data, business processes and applications to automate business processes.

  • Ensure consistent qualiconnects of service (security, relicapacity etc.).

  • Reduce the on-going cost of maintenance and crimsonuce the cost of rolling away brand new systems.

Challenges of EAI

  • Hub and spoke architecture concentrates all of the procesperform into a performle server/cluster.

  • Often became hard to maintain and evolve efficiently.

  • Hard to extend to integrate 3rd parconnects on other technology platforms.

  • The canonical data model introduces an intermediary step.

  • Added complexity and additional procesperform effort.

  • EAI items typified.

  • Heavy customization requicrimson to implement the solution.

  • Lock-In: Often built uperform proprietary technology and requicrimson specialist seliminates.

  • Lack of flexibility: Hard to extend or to integrate with other EAI items!

  • Requires body organization to be EAI ready.

Types of EAI

  • Data Level – Process, techniques and technology of moving data between data stores.

  • Application Interface Level – Leveraging of interfaces exposed simply by custom or packaged applications.

  • Method Level – Sharing of the business logic.

  • User Interface Level – Packaging applications simply by uperform their own own user interface as a common stage of integration.

Business Continuity Planning (BCP)

Business Continuity Planning (BCP) or Business Continuity and Resilayncy Planning (BCRP) creates a guideseries for continuing business operations below adverse conditions such as a natural calamity, an interruption in regular business processes, loss or damage to critical infrastructure, or a crime done against the business.

It is degreatd as a plan thead wear "identifies an body organization's exposure to internal and external threats and synthedimensions hard and gentle bumets to provide effective prfurthermoretion and recovery for the body organization, while maintaining competitive advantage and value system integrity."

Understandably, risk management and disaster management are major components in business continuity planning.

Objectives of BCP

Folloearng are the objectives of BCP:

  • Reducing the possibility of any kind of interruption in regular business processes uperform proper risk management.

  • Minimizing the imptake actionion of interruption, if any kind of.

  • Teverying the staff their own own roles and responsibiliconnects in such a sit down downuation to secureguard their own own own security and other curiosit down downys.

  • Handling any kind of potential failure in supply chain system, to maintain the natural flow of business.

  • Protecting the business from failure and negative publicity.

  • Protecting customers and maintaining customer relationships.

  • Protecting the prevalent and prospective market and competitive advantage of the business.

  • Protecting profit is, rfurthermoreue and greatwill.

  • Setting a recovery plan folloearng a disruption to normal operating conditions.

  • Fulfilling legislative and regulatory requirements.

Traditionally a business continuity plan would simply protect the data centre. With the advent of technologies, the scope of a BCP includes all distributed operations, personnel, ne2rks, power and furthermoretually all aspects of the IT environment.

Phases of BCP

The business continuity planning process involves recovery, continuation, and preservation of the entire business operation, not simply it is technology component. It ought to include contingency plans to protect all resources of the body organization, e.g., individual resource, financial resource and IT infrastructure, against any kind of mishap.

It has the folloearng phases:

  • Project management & initiation
  • Business Imptake actionion Analysis (BIA)
  • Recovery strategies
  • Plan style & createment
  • Testing, maintenance, awareness, training

Project Management and Initiation

This phase has the folloearng sub-phases:

  • Establish need (risk analysis)
  • Get management supinterface
  • Establish team (functional, specialised, BCC – Business Continuity Coordinator)
  • Create work plan (scope, goals, methods, timeseries)
  • Initial reinterface to management
  • Obtain management approval to proceed

Business Imptake actionion Analysis

This phase is used to obtain formal concurment with senior management for every time-critical business resource. This phase has the folloearng sub-phases:

  • Deciding maximum tolerable downtime, furthermore known as MAO (Maximum Allowable Outage)
  • Quantifying loss because of to business awayage (financial, extra cost of recovery, embarrbumment), withaway estimating the probcapacity of kinds of incidents, it only quantifies the consequences
  • Chooperform information gathering methods (surveys, interwatchs, gentleware tools)
  • Selecting interwatchees
  • Customizing questionnaire
  • Analyzing information
  • Identifying time-critical business functions
  • Assigning MTDs
  • Ranking critical business functions simply by MTDs
  • Reinterfaceing recovery options
  • Obtaining management approval

Recovery Phase

This phase involves creating recovery strategies are based on MTDs, pcrimsonegreatd and management-approved. These strategies ought to address recovery of:

  • Business operations
  • Faciliconnects & supplays
  • Users (workers and end-users)
  • Ne2rk
  • Data centre (specialised)
  • Data (away-sit down downe backups of data and applications)

BCP Development Phase

This phase involves creating detaibrought recovery plan thead wear includes:

  • Business & service recovery plans
  • Maintenance plan
  • Awareness & training plan
  • Testing plan

The Sample Plan is divided into the folloearng phases:

  • Initial disaster response
  • Resume critical business ops
  • Resume non-critical business ops
  • Restoration (return to primary sit down downe)
  • Intertake actionioning with external groups (customers, media, emergency responders)

Final Phase

The final phase is a continuously evolving process containing testing maintenance, and training.

The testing process generally follows procedures like structucrimson walk-through, creating checklist, simulation, parallel and finish interruptions.

Maintenance involves:

  • Fixing issues found in testing
  • Implementing alter management
  • Auditing and addresperform audit findings
  • Annual rewatch of plan

Training is an ongoing process and it ought to be made a part of the corporate standards and the corporate culture.

Supply Chain Management (SCM)

Supply chain management is the systemic, strategic coordination of the traditional
business functions and ttake actionionics amix these business functions – both wislim a
particular company kind of and amix businesses wislim the supply chain- all coordinated
to improve the sizey-term performance of the individual companies and the supply
chain as a whole.

In a traditional manutruthionuring environment, supply chain management meant managing movement and storage of raw materials, work-in-progress inventory, and finished greats from stage of origin to stage of consumption.

It involves managing the ne2rk of interconnected smaller business unit is, ne2rks of channels thead wear conpartr part in producing a merchandise of a service package requicrimson simply by the end users or customers.

With businesses mixing the barriers of local markets and reverying away to a global scenario, SCM is now degreatd as:

Design, planning, execution, manage, and monitoring of supply chain take actionioniviconnects 
with the objective of creating net value, createing a competitive infrastructure, 
leveraging worldwide logistics, synchronizing supply with demand and measuring 
performance globally.

SCM consists of:

  • operations management

  • logistics

  • procurement

  • information technology

  • integrated business operations

Objectives of SCM

  • To decrrelayve inventory cost simply by more accurately pcrimsonicting demand and scheduling itemion to match it.

  • To crimsonuce general itemion cost simply by streamlining itemion and simply by improving information flow.

  • To improve customer satistruthionion.

Features of SCM

SCM Features

Scope of SCM

SCM Scope

SCM Processes

  • Customer Relationship Management
  • Customer Service Management
  • Demand Management
  • Customer Order Fulfillment
  • Manutruthionuring Flow Management
  • Procurement Management
  • Product Development and Commercialization
  • Returns Management

Advantages of SCM

SCM have multi-dimensional advantages:

  • To the supplayrs:
    • Help in giving clear-cut instruction
    • Onseries data transfer crimsonuce paper work
  • Inventory Economy:

    • Low cost of handling inventory

    • Low cost of stock awayage simply by deciding optimum dimension of replenishment orders

    • Achieve excelularent logistical performance such as simply in time

  • Distribution Point:

    • Satisfied distributor and whole seller ensure thead wear the appropriate items revery the appropriate place at appropriate time

    • Clear business processes subject to couple ofer errors

    • Easy accounting of stock and cost of stock

  • Channel Management:

    • Reduce finish number of transtake actionionions requicrimson to provide item bumortment

    • Organization is logically capable of performing customization requirements

  • Financial management:

    • Low cost
    • Realistic analysis
  • Operational performance:

    • It involves dereparconsider speed and consistency.
  • External customer:

    • Conformance of item and services to their own own requirements
    • Competitive prices
    • Quality and relicapacity
    • Dereparconsider
    • After sales services
  • To employees and internal customers:

    • Teamwork and cooperation
    • Efficient structure and system
    • Quality work
    • Dereparconsider

Strategic Business Objectives of MIS

Strategic planning for an body organization involves sizey-term policy decisions, like location of a brand new plant, a brand new item, diversification etc.

Strategic planning is many kind ofly influenced simply by:

  • Decision of diversification i.e., expansion or integration of business
  • Market dynamics, demand and supply
  • Technological alters
  • Competitive forces
  • Various other threats, challenges and opinterfaceuniconnects

Strategic planning sets targets for the functionings and references for taking such sizey-term policy decisions and transforms the business objectives into functional and operational unit is. Strategic planning generally follows one of the four-way routes:

  • Overall Company kind of Strategy
  • Glineth orientation
  • Product orientation
  • Market orientation

In this particular chapter, let us speak about the Strategic Business Objectives of MIS with regards to the folloearng aspects of a business:

  • Operational Excellularularence
  • New Products, Services and Business Models
  • Services and Business Models
  • Customer and Supplayr Intimacy
  • Improved Decision-making
  • Competitive Advantage, and Survival

Operational Excellularularence

This relates to achieving excelularence in business in operations to achieve higher profitcapacity. For example, a consumer greats manutruthionurer may select upon uperform a wide distribution ne2rk to get maximum revery to the customers and exposure.

A manutruthionuring company kind of may pursue a strategy of aggressive marketing and mbum itemion.

New Products, Services, and Business Models

This is part of glineth strategy of an body organization. A brand new item or a brand new service introduced, with an extremely fast glineth potential provides a mean for steady glineth business turnover.

With the help of information technology, a company kind of may furthermore opt for an entirely brand new business model, which will permit it to establish, constrongate and maintain a leadership in the existing market as well as provide a competitive advantage in the indusconsider out.

For example, a company kind of selling low priced detergent may opt for producing higher range detergents for washing machines, washing soaps, and bath soaps.

It involves market strategies furthermore thead wear includes planning for distribution, advertisement, market reoceanrch and other related aspects.

Customer and Supplayr Intimacy

When a Business very knows their own own Customers and serves all of them well, 'the way they want to be served', the Customers generally respond simply by returning and buying more from the firm. It raises rfurthermoreues and profit is.

Likewise with Supplayrs, the more a Business engages it is Supplayrs, the much better the Supplayrs can provide vital information. This will lower the cost and provide huge improvements in the supply-chain management.

Improved Decision Making

A very iminterfaceant pre-requisit down downe of strategic planning is to provide the appropriate information at the appropriate time to the appropriate person, for making an informed decision.

Well planned Information Systems and technologies create it probable for the decision creaters to use real-time data from the marketplace when making informed decisions.

Competitive Advantage and Survival

The folloearng list illustrates a few of the strategic planning thead wear provides competitive advantage and survival:

  • Planning for an general glineth for the company kind of.

  • Thorough market reoceanrch to belowstand the market dynamics involving demand-supply.

  • Various policies thead wear will dominate the course and movement of business.

  • Expansion and diversification to conquer brand new markets.

  • Chooperform a perfect item strategy thead wear involves either expanding a family of items or an bumociated item.

  • Strategies for chooperform the market, distribution, pricing, advertiperform, packing, and other market-oriented strategies.

  • Strategies driven simply by indusconsider out-level alters or Government regulations.

  • Strategies for alter management.

System Development Life Cycle (SDLC)

Like any kind of other item createment, system createment requires careful analysis and style before implementation. System createment generally has the folloearng phases:

Planning Requirement

Planning and Requirement Analysis

The project planning part involves the folloearng steps:

  • Rewatching various project requests
  • Prioritizing the project requests
  • Allocating the resources
  • Identifying the project createment team

The techniques used in information system planning are:

  • Critical Success Ftake actionionor
  • Business System Planning
  • End/Mean Analysis

The requirement analysis part involves belowstanding the goals, processes and the constraints of the system for which the information system is being styleed.

It is easyally an iterative process involving systematic investigation of the processes and requirements. The analyst creates a blueprint of the entire system in moment details, uperform various diagramming techniques like:

  • Data flow diagrams
  • Context diagrams

Requirement analysis has the folloearng sub-processes:

  • Conducting preliminary investigation
  • Performing detaibrought analysis take actionioniviconnects
  • Studying current system
  • Determining user requirements
  • Recommending a solution

Defining Requirements

The requirement analysis stage generally finishs simply by creation of a 'Feasibility Reinterface'. This reinterface contains:

  • A preamble
  • A goal statement
  • A short description of the present system
  • Proposed alternatives in details

The feasibility reinterface and the proposed alternatives help in preparing the costs and benefit is study.

Based on the costs and benefit is, and pondering all issues thead wear may be encountecrimson because of to individual, body organizational or technological bottlenecks, the best alternative is chosen simply by the end-users of the system.

Designing System Architecture

System style specifies how the system will accomplish this particular objective. System style consists of both logical style and physical style take actionionivity, which produces 'system specification' satisfying system requirements createed in the system analysis stage.

In this particular stage, the folloearng documents are prepacrimson:

  • Detaibrought specification
  • Hardware/gentleware plan

Building or Developing the System

The many kind of creative and challenging phase of the system life cycle is system style, which refers to the specialised specifications thead wear will be applayd in implementing the candidate system. It furthermore includes the construction of programmers and program testing.

It has the folloearng stages:

  • Acquiring hardware and gentleware, if essential
  • Database style
  • Developing system processes
  • Coding and testing every module

The final reinterface prior to implementation phase includes procedural flowcharts, record layaway, reinterface layaway and plan for implementing the candidate system. Information on personnel, cash, hardware, facility and their own own estimated cost must furthermore be available. At this particular stage projected cost must be near to take actionionual cost of implementation.

Testing the System

System testing requires a test plan thead wear consists of lots of key take actionioniviconnects and steps for programs, strings, system, and user acceptance testing. The system performance criteria deals with turnaround time,backup,file protection and the individual truthionors.

Testing process focuses on both:

  • The internal logic of the system/gentleware, ensuring thead wear all statements have been tested;

  • The external functions, simply by conducting tests to find errors and ensuring thead wear the degreatd inplace will take actionionually produce the requicrimson results.

In a few cases, a 'parallel run' of the brand new system is performed, where both the current and the proposed system are run in parallel for a specified time period and the current system is used to validate the proposed system.

Deployment of the System

At this particular stage, system is place into itemion to be used simply by the end users. Sometime, we place system into a Beta stage where users' give food toback is received and based on the give food toback, the system is appropriateed or improved before a final relrelayve or awayicial relrelayve of the system.

System Evaluation and Maintenance

Maintenance is essential to eliminate the errors in the functioning system during it is functioning life and to tune the system to any kind of variation in it is functioning environment. Often small system deficiencies are found, as system is wislimtroduced into operation and alters are made to remove all of them. System planner must always plan for resources availcapacity to carry on these maintenance functions.

MIS Development Process

In MIS, the information is recognised as a major resource like capital and time. If this particular resource has to be managed well, it calls upon the management to plan for it and manage it, so thead wear the information becomes a vital resource for the system.

  • The management information system needs great planning.

  • This system ought to deal with the management information not with data procesperform on your own own.

  • It ought to provide supinterface for the management planning, decision-making and take actionionion.

  • It ought to provide supinterface to the changing needs of business management.

Major challenges in MIS implementation are:

  • Quantity, content and context of information – how a lot information and extake actionionly whead wear ought to it describe.

  • Nature of analysis and presentation – comprehensibility of information.

  • Availcapacity of information – frequency, contemporariness, on-demand or rawayine, periodic or occasional, one-time info or repetitive in nature and so on

  • Accuracy of information.

  • Relicapacity of information.

  • Security and Authentication of the system.

Planning for MIS

MIS style and createment process has to address the folloearng issues successfinishy:

  • There ought to be effective communication between the createers and users of the system.

  • There ought to be synchronization in belowstanding of management, processes and IT among the users as well as the createers.

  • Understanding of the information needs of managers from various functional areas and combining these needs into a performle integrated system.

  • Creating a unified MIS covering the entire body organization will lead to a more economical, faster and more integrated system, however it will incrrelayve in style complexity manifold.

  • The MIS has to be intertake actionioning with the complex environment compriperform all other sub-systems in the general information system of the body organization. So, it is extremely essential to belowstand and degreat the requirements of MIS in the context of the body organization.

  • It ought to keep pace with alters in environment, changing demands of the customers and glineing competition.

  • It ought to utilize fast createing in IT capabiliconnects in the best probable ways.

  • Cost and time of installing such advanced IT-based systems is high, so generally there ought to not be a need for frequent and major modifications.

  • It ought to conpartr care of not only the users i.e., the managers but furthermore other sconpartrholders like employees, customers and supplayrs.

Once the body organizational planning stage is over, the styleer of the system ought to conpartr the folloearng strategic decisions for the achievement of MIS goals and objectives:

  • Development Strategy: Example – an onseries, real-time batch.

  • System Development Strategy: Designer selects an approach to system createment like operational verses functional, accounting verses analysis.

  • Resources for the Development: Designer has to select resources. Resources can be in-house verses external, customised or use of package.

  • Manpower Composit down downion: The staffs ought to have analysts, and programmers.

Information system planning essentially involves:

  • Identification of the stage of information system in the body organization.

  • Identification of the application of body organizational IS.

  • Evolution of every of this particular application based on the established evolution criteria.

  • Establishing a priority ranking for these applications.

  • Determining the optimum architecture of IS for serving the top priority applications.

Srrp Planing

Information System Requirements

The folloearng diagram illustrates a short sketch of the process of information requirement analysis:

Information System Requirements

The folloearng 3 methodologies can be adopted to figure out the requirements in createing a management information system for any kind of body organization:

  • Business Systems Planning (BSP) – this particular methodology is createed simply by IBM.

    • It identifies the IS prioriconnects of the body organization and focuses on the way data is maintained in the system.

    • It uses data architecture supinterfaceing multiple applications.

    • It degreats data coursees uperform various matrices to establish relationships among the body organization, it is processes and data requirements.

  • Critical Success Ftake actionionor (CSF) – this particular methodology is createed simply by John Rockart of MIT.

    • It identifies the key business goals and strategies of every manager as well as thead wear of the business.

    • Next, it looks for the critical success truthionors belowlying these goals.

    • Measure of CSF effectiveness becomes an inplace for defining the information system requirements.

  • End/Means (E/M) analysis – this particular methodology is createed simply by Wetherbe and Davis at the Universit down downy of Minnesota.

    • It figure outs the effectiveness criteria for awayplaces and efficiency criteria for the processes generating the awayplaces.

    • At first it identifies the awayplaces or services provided simply by the business processes.

    • Then it describes the truthionors thead wear create these awayplaces effective for the user.

    • Finally it selects the information needed to evaluate the effectiveness of awayplaces

Information System Analysis and Design

System analysis and style follows the typical System/Software Design Life Cycle (SDLC) as speak abouted in the previous chapter. It generally pbumes through the folloearng phases:

  • Problem Definition
  • Feasibility Study
  • Systems Analysis
  • System Design
  • Detaibrought System Design
  • Implementation
  • Maintenance

In the analysis phase, the folloearng techniques are commonly used:

  • Data flow diagrams (DFD)
  • Logic Modeling
  • Data Modeling
  • Rapid Application Development (RAD)
  • Object Oriented Analysis (OOA)

Technology for Information Systems

The technology requirement for an information system can be categorized as:

  • Devices

  • Data centre systems – It is the environment thead wear provides procesperform, storage, ne2rking, management and the distribution of data wislim an enterprise.

  • Enterprise gentleware – These are gentleware system like ERP, SCM, Human Resource Management, etc. thead wear fulfill the needs and objectives of the body organizations.

  • IT services – It refers to the implementation and management of quality IT services simply by IT service providers through people, process and information technology. It often includes various process improvement frameworks and methodologies like six sigma, TQM, and so on.

  • Telecom services

System Test Planning and Execution

The system ought to be finishy tested for errors before being finishy operational.

The test plan ought to include for every test:

  • Purpose
  • Definition
  • test inplaces
  • detaibrought specification of test procedure
  • details of expected awayplaces

Each sub-system and all their own own components ought to be tested uperform various test procedures and data to ensure thead wear every component is functioning as it is wislimtended.

The testing must include the users of the system to identify errors as well as get the give food toback.

System Operation

Before the system is wislim operation, the folloearng issues ought to be conpartrn care of:

  • Data security, backup and recovery;

  • Systems manage;

  • Testing of the system to ensure thead wear it works bug-free in all expected business sit down downuations;

  • The hardware and gentleware used ought to be able to derepartr the expected procesperform;

  • The system capacity and expected response time ought to be maintained;

  • The system ought to be well documented including;

    • A user guide for inencounterd users,

    • A user reference or operations manual for advanced users,

    • A system reference manual describing system structures and architecture.

Once the system is finishy operational, it ought to be maintained throughaway it is functioning life to resolve any kind of glitches or difficulconnects faced in operation and minimal modifications may be made to overcome such sit down downuations.

Ftake actionionors for Success and Failure

MIS createment projects are high-risk, high-return projects. Folloearng can be stated as critical truthionors for success and failure in MIS createment:

  • It ought to cater to a specific, well-perceived business.

  • The top management ought to be finishly convinced, able and willing to such a system. Ideally generally there ought to be a patron or a sponsor for the system in the top management.

  • All users including managers and other employees ought to be made an integral part of the createment, implementation, and use of the system.

  • There ought to be an operational protokind of the system relrelayved as soon as probable, to create curiosit down downy among the users.

  • There ought to be great supinterface staff with essential specialised, business, and interprivate seliminates.

  • The system ought to be easy, easy to belowstand withaway adding a lot complexity. It is a best prtake actionionice, not to add up an entity unless generally there is both a use and user for it.

  • It ought to be easy to use and navigate with high response time.

  • The implementation process ought to follow a definite goal and time.

  • All the users including the top management ought to be given proper training, so thead wear they have a great knowladvantage of the content and function of the system, and can use it finishy for various managerial take actionioniviconnects such as reinterfaceing, budgeting, manageling, planning, monitoring, etc.

  • It must produce helpful awayplaces to be used simply by all managers.

  • The system ought to be well integrated into the management processes of planning, decision-making, and monitoring.

Managerial Decision-Making

Concept of Decision-Making

Decision-making is a cognitive process thead wear results in the selection of a course of take actionionion among lots of alternative scenarios.

Decision-making is a daily take actionionivity for any kind of individual being. There is no exception abaway thead wear. When it comes to business body organizations, decision-making is a habit and a process as well.

Effective and successful decisions result in profit is, while unsuccessful ones cause losses. Therefore, corporate decision-making is the many kind of critical process in any kind of body organization.

In a decision-making process, we select one course of take actionionion from a couple of probable alternatives. In the process of decision-making, we may use many kind of tools, techniques, and perceptions.

In addition, we may create our own private decisions or may prefer a collective decision.

Usually, decision-making is hard. Majority of corporate decisions involve a few level of dissatistruthionion or conflict with an additional party.

Let's have a look at the decision-making process in detail.

Decision-Making Process

Folloearng are the iminterfaceant steps of the decision-making process. Each step may be supinterfaceed simply by various tools and techniques.

Decision Making Process

Step 1: Identification of the Purpose of the Decision

In this particular step, the issue is thoroughly analyzed. There are a couple of questions one ought to ask when it comes to identifying the purpose of the decision.

  • Whead wear extake actionionly is the issue?
  • Why the issue ought to be solved?
  • Who are the affected parconnects of the issue?
  • Does the issue have a deadseries or a specific time-series?

Step 2: Information Gathering

A issue of an body organization will have many kind of sconpartrholders. In addition, generally there can be dozens of truthionors involved and affected simply by the issue.

In the process of solving the issue, you will have to gather as a lot as information related to the truthionors and sconpartrholders involved in the issue. For the process of information gathering, tools such as 'Check Sheets' can be effectively used.

Step 3: Principles for Judging the Alternatives

In this particular step, the baseseries criteria for judging the alternatives ought to be set up. When it comes to defining the criteria, body organizational goals as well as the corporate culture ought to be conpartrn into conpartration.

As an example, profit is one of the main concerns in every decision making process. Companies usually do not create decisions thead wear crimsonuce profit is, unless it is an exceptional case. Likewise, baseseries principles ought to be identified related to the issue in hand.

Step 4: Brainstorm and Analyze the Choices

For this particular step, brainstorming to list down all the ideas is the best option. Before the idea generation step, it is vital to belowstand the causes of the issue and prioritization of causes.

For this particular, you can create use of Cause-and-Effect diagrams and Pareto Chart tool. Cause-and-Effect diagram helps you to identify all probable causes of the issue and Pareto chart helps you to prioritize and identify the causes with the highest effect.

Then, you can move on generating all probable solutions (alternatives) for the issue in hand.

Step 5: Evaluation of Alternatives

Use your own own judgment principles and decision-making criteria to evaluate every alternative. In this particular step, encounter and effectiveness of the judgment principles come into play. You need to compare every alternative for their own own posit down downives and negatives.

Step 6: Select the Best Alternative

Once you go through from Step 1 to Step 5, this particular step is easy. In addition, the selection of the best alternative is an informed decision since you have already followed a methodology to derive and select the best alternative.

Step 7: Execute the decision:

Convert your own own decision into a plan or a sequence of take actionioniviconnects. Execute your own own plan simply by your own ownself or with the help of subordinates.

Step 8: Evaluate the Results:

Evaluate the awaycome of your own own decision. See whether generally there is any kind ofslimg you ought to find out and then appropriate in future decision making. This is one of the best prtake actionionices thead wear will improve your own own decision-making seliminates.

Process and Modeling in Decision-Making

There are 2 easy models in decision-making:

  • Rational models
  • Normative model

The rational models are based on cognitive judgments and help in selecting the many kind of logical and sensible alternative. Examples of such models include: decision matrix analysis, Pugh matrix, SWOT analysis, Pareto analysis and decision trees, selection matrix, etc.

A rational decision making model conpartrs the folloearng steps:

  • Identifying the issue,

  • Identifying the iminterfaceant criteria for the process and the result,

  • Conpartring all probable solutions,

  • Calculating the consequences of all solutions and comparing the probcapacity of satisfying the criteria,

  • Selecting the best option.

The normative model of decision-making conpartrs constraints thead wear may arise in making decisions, such as time, complexity, unspecificty, and inadequacy of resources.

According to this particular model, decision-making is chartake actionionerized simply by:

  • Limited information procesperform – A person can manage only a limited amount of information.

  • Judgmental heuristics – A person may use shortcuts to simplify the decision making process.

  • Satisficing – A person may select a solution thead wear is simply "great sufficient".

Dynamic Decision-Making

Dynamic decision-making (DDM) is synergetic decision-making involving interdependent systems, in an environment thead wear alters over time either because of to the previous take actionionions of the decision-creater or because of to furthermorets thead wear are awaypart of the manage of the decision-creater.

These decision-makings are more complex and real-time.

Dynamic decision-making involves observing how people used their own own encounter to manage the system's dynamics and noting down the best decisions conpartrn generally thereon.

Sensit down downivity Analysis

Sensit down downivity analysis is a technique used for distributing the unspecificty in the awayplace of a maall of thematical model or a system to various sources of unspecificty in it is inplaces.

From business decision perspective, the sensit down downivity analysis helps an analyst to identify cost dwaters as well as other quanticonnects to create an informed decision. If a particular quantity has no bearing on a decision or pcrimsoniction, then the conditions relating to quantity can be eliminated, thus simplifying the decision making process.

Sensit down downivity analysis furthermore helps in a few other sit down downuations, like:

  • Resource optimization
  • Future data collections
  • Identifying critical bumumptions
  • To optimize the tolerance of manutruthionucrimson parts

Static and Dynamic Models

Static models:

  • Show the value of various attributes in a balanced system.

  • Work best in static systems.

  • Do not conpartr into conpartration the time-based variances.

  • Do not work well in real-time systems however, it may work in a dynamic system being in equilibrium

  • Involve less data.

  • Are easy to analyze.

  • Produce faster results.

Dynamic models:

  • Conpartr the alter in data values over time.
  • Conpartr effect of system behavior over time.
  • Re-calculate equations as time alters.
  • Can be applayd only in dynamic systems.

Simulation Techniques

Simulation is a technique thead wear imitates the operation of a real-world process or system over time. Simulation techniques can be used to bumist management decision making, where analytical methods are either not available or cannot be applayd.

Some of the typical business issue areas where simulation techniques are used are:

  • Inventory manage
  • Queuing issue
  • Production planning

Operations Reoceanrch Techniques

Operational Reoceanrch (OR) includes a wide range of issue-solving techniques involving various advanced analytical models and methods applayd. It helps in efficient and improved decision-making.

It encompbumes techniques such as simulation, maall of thematical optimization, queuing theory, stochastic-process models, econometric methods, data envelopment analysis, neural ne2rks, expert systems, decision analysis, and the analytic hierarchy process.

OR techniques describe a system simply by constructing it is maall of thematical models.

Heuristic Programming

Heuristic programming refers to a branch of artificial intelligence. It consists of programs thead wear are self-find outing in nature.

However, these programs are not optimal in nature, as they are encounter-based techniques for issue solving.

Most easy heuristic programs would be based on pure 'trial-error' methods.

Heuristics conpartr a 'suppose' approach to issue solving, yielding a 'great sufficient' answer, instead than finding a 'best probable' solution.

Group Decision-Making

In group decision-making, various individuals in a group conpartr part in collaborative decision-making.

Group Decision Supinterface System (GDSS) is a decision supinterface system thead wear provides supinterface in decision making simply by a group of people. It facilitates the free flow and exalter of ideas and information among the group members. Decisions are made with a higher degree of consensus and concurment resulting in a dramatically higher likelihood of implementation.

Folloearng are the available kinds of complaceer based GDSSs:

  • Decision Ne2rk: This kind helps the participants to communicate with every other through a ne2rk or through a central database. Application gentleware may use commonly shacrimson models to provide supinterface.

  • Decision Room: Participants are located at one place, i.e. the decision room. The purpose of this particular is to enhance participant's intertake actionionions and decision-making wislim a fixed period of time uperform a facilitator.

  • Teleconferencing: Groups are composed of members or sub groups thead wear are geographically dispersed; teleconferencing provides intertake actionionive connection between 2 or more decision rooms. This wislimtertake actionionion will involve transmission of complaceerized and audio visual information.

Security and Ethical Issues

Security of an Information System

Information system security refers to the way the system is defended against unauthorised access, use, disclosure, disruption, modification, perusal, inspection, recording or destruction.

There are 2 major aspects of information system security:

  • Security of the information technology used – securing the system from malicious cyber-attacks thead wear tend to break into the system and to access critical private information or gain manage of the internal systems.

  • Security of data – ensuring the integrity of data when critical issues, arise such as natural disasters, complaceer/server malfunction, physical theft etc. Generally an away-sit down downe backup of data is kept for such issues.

Guaranteeing effective information security has the folloearng key aspects:

  • Prfurthermoreting the unauthorised individuals or systems from accesperform the information.

  • Maintaining and bumuring the accuracy and consistency of data over it is entire life-cycle.

  • Ensuring thead wear the complaceing systems, the security manages used to protect it and the communication channels used to access it, functioning appropriately all the time, thus making information available in all sit down downuations.

  • Ensuring thead wear the data, transtake actionionions, communications or documents are genuine.

  • Ensuring the integrity of a transtake actionionion simply by validating thead wear both parconnects involved are genuine, simply by incorporating authentication features such as "digital signatures".

  • Ensuring thead wear once a transtake actionionion conpartrs place, none of the parconnects can deny it, either having received a transtake actionionion, or having sent a transtake actionionion. This is calbrought 'non-repudiation'.

  • Safeguarding data and communications stocrimson and shacrimson in ne2rk systems.

Information Systems and Ethics

Information systems provide abaway immense social alters, threatening the existing distributions of power, cash, appropriates, and obligations. It furthermore raises brand new kinds of crimes, like cyber-crimes.

Folloearng body organizations promote ethical issues:

  • The Association of Information Technology Professionals (AITP)

  • The Association of Complaceing Machinery (ACM)

  • The Institute of Electrical and Electronics Engineers (IEEE)

  • Complaceer Professionals for Social Responsibility (CPSR)

The ACM Code of Ethics and Professional Conduct

  • Strive to achieve the highest quality, effectiveness, and dignity in both the process and items of professional work.

  • Acquire and maintain professional competence.

  • Know and respect existing laws pertaining to professional work.

  • Accept and provide appropriate professional rewatch.

  • Give extensive and thorough evaluations of complaceer systems and their own own imptake actionions, including analysis and probable risks.

  • Honor contrtake actionions, concurments, and bumigned responsibiliconnects.

  • Improve public belowstanding of complaceing and it is consequences.

  • Access complaceing and communication resources only when authorised to do so.

The IEEE Code of Ethics and Professional Conduct

IEEE code of ethics demands thead wear every professional vouch to commit all of themselves to the highest ethical and professional conduct and concur:

  • To accept responsibility in making decisions consistent with the securety, health and welfare of the public, and to disnear promptly truthionors thead wear may endanger the public or the environment;

  • To avoid real or perceived conflicts of curiosit down downy whenever probable, and to disnear all of them to affected parconnects when they do exist;

  • To be truthful and realistic in stating claims or estimates based on available data;

  • To reject bribery in all it is forms;

  • To improve the belowstanding of technology, it is appropriate application, and potential consequences;

  • To maintain and improve our specialised competence and to belowconpartr technological tasks for others only if qualified simply by training or encounter, or after finish disclosure of pertinent limitations;

  • To seek, accept, and awayer truthful criticism of specialised work, to acknowladvantage and appropriate errors, and to ccrimsonit properly the contributions of others;

  • To treat fairly all persons regardless of such truthionors as race, religion, gender, discapacity, age, or national origin;

  • To avoid injuring others, their own own house or home, replaceation, or employment simply by false or malicious take actionionion;

  • To bumist colleagues and co-workers in their own own professional createment and to supinterface all of them in folloearng this particular code of ethics.

Management Information System Summary

An efficient information system creates an imptake actionion on the body organization's function, performance, and itemivity.

Nowadays, information system and information technology have become a vital part of any kind of successful business and is regarded as a major functional area like any kind of other functional areas such as marketing, finance, itemion and individual resources, etc.

Thus, it is iminterfaceant to belowstand the functions of an information system simply like any kind of other functional area in business. A well maintained management information system supinterfaces the body organization at various levels.

Many kind of firms are uperform information system thead wear mix the boundaries of traditional business functions in order to re-engineer and improve vital business processes all amix the enterprise. This typical has involved installing:

  • Enterprise Resource Planning (ERP)
  • Supply Chain Management (SCM)
  • Customer Relationship Management (CRM)
  • Transtake actionionion Procesperform System (TPS)
  • Executive Information System (EIS)
  • Decision Supinterface System (DSS)
  • Knowladvantage Management Systems (KMS)
  • Content Management Systems (CMS)

The strategic role of Management Information System involves uperform it to create items, services, and capabiliconnects thead wear provides a company kind of major advantages over competitive forces it faces in the global marketplace.

We need an MIS flexible sufficient to deal with changing information needs of the body organization. The styleing of such a system is a complex task. It can be achieved only if the MIS is planned. We belowstand this particular planning and implementation in management createment process.

Decision supinterface system is a major segment of body organizational information system, because of it is influential role in taking business decisions. It help all levels of managers to conpartr various decisions.

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