Management Information System

What is MIS? Discuss in detail?
Describe the three words of MIS: Management, Information, System.
Discuss the objectives and characteristics of MIS.

Ans.: Management Information Systems (MIS), referred to as Information Management and Systems, is the discipline covering the application of people, technologies, and procedures collectively called information systems, to solving business problems.
“'MIS' is a planned system of collecting, storing and disseminating data in the form of information needed to carry out the functions of management.”
Academically, the term is commonly used to refer to the group of information management methods tied to the automation or support for human decision making, e.g. Decision Support Systems, Expert Systems, and Executive Information Systems.
Management : Management is art of getting things done through and with the people in formally organized groups. The basic functions performed by a manager in an organization are: Planning, controlling, staffing, organizing, and directing.
Information : Information is considered as valuable component of an organization. Information is data that is processed and is presented in a form which assists decision maker.

System : A system is defined as a set of elements which are joined together to achieve a common objective. The elements are interrelated and interdependent. Thus every system is said to be composed of subsystems. A system has one or multiple inputs, these inputs are processed through a transformation process to convert these input( s) to output.
These subsystems are interrelated through a process of

Objectives of MIS :
Data Capturing : MIS capture data from various internal and external sources of organization. Data capturing may be manual or through computer terminals.
Processing of Data : The captured data is processed to convert into required information. Processing of data is done by such activities as calculating, sorting, classifying, and summarizing.
Storage of Information : MIS stores the processed or unprocessed data for future use. If any information is not immediately required, it is saved as an organization record, for later use.
Retrieval of Information : MIS retrieves information from its stores as and when required by various users.
Dissemination of Information : Information, which is a finished product of MIS, is disseminated to the users in the organization. It is periodic or online through computer terminal.

Characteristics of MIS :
Systems Approach
: The information system follows a systems approach. Systems approach means taking a comprehensive view or a complete look at the interlocking sub-systems that operate within an organization.
Management Oriented : Management oriented characteristic of MIS implies that the management actively directs the system development efforts. For planning of MIS, top-down approach should be followed. Top down approach suggests that the system development starts from the determination of management‘s needs and overall business objective. To ensure that the implementation of system‘s polices meet the specification of the system, continued review and participation of the manager is necessary.
Need Based : MIS design should be as per the information needs of managers at different levels.
Exception Based : MIS should be developed on the exception based also, which means that in an abnormal situation, there should be immediate reporting about the exceptional situation to the decision –makers at the required level.

Future Oriented : MIS should not merely provide past of historical information; rather it should provide information, on the basis of future projections on the actions to be initiated.
Integrated : Integration is significant because of its ability to produce more meaningful information. Integration means taking a comprehensive view or looking at the complete picture of the interlocking subsystems that operate within the company.
Common Data Flow : Common data flow includes avoiding duplication, combining similar functions and simplifying operations wherever possible. The development of common data flow is an economically sound and logical concept, but it must be viewed from a practical angle.
Long Term Planning : MIS is developed over relatively long periods. A heavy element of planning should be involved.
Sub System Concept : The MIS should be viewed as a single entity, but it must be broken down into digestible sub-systems which are more meaningful.
Central database : In the MIS there should be common data base for whole system

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Important Topics

System and its types
Types of System
Types of Information System
Information and its Charcteristics
Level of Business Activity
Information System
Value of Information
Data processing vs Information Processing
Data Collection Methods
Types of Information System
Sub System of MIS
Management Information System
Computerized MIS
Organizational Need for MIS
Factors Responsible for Development of MIS
Effective MIS
Decision Making
Decision Support System
Hebert Simon Model
MIS Planning
Development of MIS
Approaches in Development of MIS
System Analysis
System Analysis and design
Feasibility and Cost- Benefit Analysis
Steps in System Implementation
Evaluation of MIS
Pitfalls in MIS Development
System Documentation
MIS for Finance Marketing Production HRM
Objective Questions
Assignment Questions
Objective Questions with answers