Prof.

Dakshata Gadiya

INFORMATION SYSTEM
An Information system is a set of people, procedures, and resources that collects, transforms, and disseminates information in an organization. An information system (IS) is typically considered to be a set of interrelated elements or components that collect (input), manipulate (processes), and Produce (output) data and information and provide a feedback mechanism to meet an objective.

For example: Todays end users rely on many types of Information Systems (IS). Some are simple manual information systems, where people use tools such as pencils and paper, or machines such as calculators and typewriters. A computer based information system uses the resources of people (end users and IS specialists), hardware (machines and media), and software (programs and procedures), to perform input, processing, output, storage, and control activities that convert data resources into information products

MANAGEMENT INFORMATION SYSTEM (MIS)

The MIS is defined as an integrated system of man and machine for providing the information to support the operations, the management, and the decision-making function in the organization. Management Information System (M.I.S.) is basically concerned with processing data into information, which is then communicated to the various Departments in an organization for appropriate decision-making.

COMPONENTS OF I S

Fig. 13.1: The Components of an Information System

DIFFERENT RESOURCES OF INFORMATION SYSTEMS

computer based information system consists of four major resources:
People Hardware Software and Data.

CONTINUED
People Resources: Specialists systems analysts, programmers, and computer operators. End users anyone else who uses information systems. Hardware Resources: Machines computers, video monitors, magnetic disk drives, printers, and optical scanners. Software Resources: Programs operating system programs, spreadsheet programs, word processing programs, and payroll programs. Procedures data entry procedures, error correction procedures, and paycheck distribution procedures. Data Resources: Product descriptions, customer records, employee files, and inventory databases.

Information Products: Management reports and business documents using text and graphics displays, audio responses, and paper forms.

ATTRIBUTES OF INFORMATION
Usability

Quality
Accurate Verifiable Complete Reliable

Delivery

Relevant Simple Flexible Economical

Timely Accessible Secure

OPEN AND CLOSED SYSTEMS

A system is commonly defined as a group of interacting units or elements that have a common purpose. Systems are generally classified as open systems and closed systems and they can take the form of mechanical, biological, or social systems. Open systems refer to systems that interact with other systems or the outside environment whereas closed systems refer to systems having relatively little interaction with other systems or the outside environment . For example, living organisms are considered open systems because they take in substances from their environment such as food and air and return other substances to their environment. , a watch is an example of a closed system in that it is a relatively self-contained, self-maintaining unit that has little interacts or exchange with its environment.

An open system is one that interacts with its environment and thus exchanges information, material, or energy with the environment, including random and undefined inputs. Open systems are adaptive in nature as they tend to react with the environment in such a way organizing', in the sense that they change their continued existence. Such systems are self organizing, because they change their organization in response to changing conditions. A closed system is one, which doesnt interact with its environment. Such systems, in business world, are rare. Thus the systems that are relatively isolated from the environment but not completely closed are termed closed systems.

TYPES OF INFORMATION SYSTEM

Information Systems

Operations Support System

Management Support System

Transaction processing systems

Process control systems

Office automation systems

Management information systems

Decision support systems

Executive information systems

TRANSACTION PROCESSING SYSTEM

A transaction processing system (TPS) collects, stores, modifies and retrieves the transactions of an organization. Examples of such systems are automatic telling machines (ATMs), electronic funds transfer at point of sale (EFTPOS also referred to as POS). There are two types of transaction of processing:

Batch processing: where all of the transactions are collected and processed as one group or batch at a later stage.

Real-time processing: where the transaction is processed immediately

Transaction Processing System

Sales and Marketing

Manufacturing & Production

Finance & Accounting

Human Resource System

Order Processing. Advertising Sales

Statistical Analysis

Accounting Budgeting General Ledger

Wage System Attendance Application

Ordering Raw Material

PROCESS CONTROL SYSTEM

1)

Process control systems monitor and control industrial processes. Establish management information needs and formulate broad systems objectives so as to delineate important decision areas (e.g., general management, financial management or human resources management). Within these decision areas there will be factors relevant to the management decision areas, e.g., general management will be concerned about its relationship with the managing board, institute-client relationships and information to be provided to the staff. This will then lead the design team to ask what information units will be needed to monitor the identified factors of concern. Positions or managers needing information for decision making will be identified. Develop a general description of a possible MIS as a unpolished design. This design will have to be further refined by more precise specifications. For efficient management of information processing, the MIS should be based on a few databases related to different sub-systems of the organization.

2)

PROCESS CONTROL SYSTEM

3) Once the information units needed have been determined and a systems design developed, decide how information will be collected. Positions will be allocated responsibility for generating and packaging the information. 4) Develop a network showing information flows.

5) Test the system until it meets the operational requirements, considering the specifications stipulated for performance and the specified organizational constraints.
6) Re-check that all the critical data pertaining to various sub-systems and for the organization as a whole are fully captured. Ensure that information is generated in a timely manner. 7) Monitor actual implementation of the MIS and its functioning from time to time.

OFFICE AUTOMATION SYSTEMS

The term office automation refers to all tools and methods that are applied to office activities which make it possible to process written, visual, and sound data in a computer-aided manner.
An office automation system (OAS) facilitates everyday information processing tasks in offices and business organizations. These systems include a wide range of tools such as spreadsheets, word processors, and presentation packages. Office Automation Systems are software packages such as MS Office which include word processors, spreadsheets, databases, presentation software, email, internet, desktop publishing programs and project management software.

CONTINUED
A Continuum (scale) of Human Control and Automation

Fig: Human Control and Automation

MANAGEMENT INFORMATION SYSTEM (MIS)

The MIS is defined as an integrated system of man and machine for providing the information to support the operations, the management, and the decision-making function in the organization. Management Information System (M.I.S.) is basically concerned with processing data into information, which is then communicated to the various Departments in an organization for appropriate decision-making.

FEATURES OF MIS
An MIS must have the following features:

It must be capable of handling voluminous data. The data as well as transactions must be validated. It must be able to perform operations on the data irrespective of the complexity of the operations. Often time multi-dimensional analysis is required. An MIS should facilitate quick search and retrieval of information. An MIS must support mass storage of data and information. The information must be communicated to the recipient in time. Moreover, the communicated information must be relevant.

NEED OF MIS

To store and manage data Management and organizations facing constantly changing problems, diverse managerial styles, and ever present information needs offer a challenging context for developing computer based information systems. MIS uses computer technology to provide information and decision support to managers, helping them becomes more effective. Developments in the young computer industry are changing corporate management style. Managers at all levels use similar data. Operating managers require data which is timely, precise, detailed, internal and historical. Upper level managers need data which is aggregated, external as well as internal, future oriented as well as historical and covering a longer span time. An effective MIS cannot be built without viable data management tools. Such tools were not generally available previously. Moreover, most organizations did not effectively use DBMS technology until two decades before. An important key to a successful MIS is the effective management of an organization's data resources.

DECISION SUPPORT SYSTEM

A DSS can be defined as a computer based information system that aids a decision maker in taking decisions for semi-structured problems. A DSS is an interactive, flexible and adaptable computer based information system that utilizes decision rules, models and model base coupled with comprehensive database and the decision makers own insights, leading to specific, implementable decisions in solving problems.

EXECUTIVE INFORMATION SYSTEM (EIS)

An EIS, executive Information System is a form of MIS designed for upper management and provides information which might help them make decisions on a strategic level about future directions or issues concerning managers. An executive information system (EIS) is a highly interactive system that provides managers and executives flexible access to information for monitoring operating results and general business conditions. These systems are sometimes called executive support systems (ESS). EIS attempts to take over where the traditional MIS approach falls short. EISs provide executives with internal and competitive information through user-friendly interfaces that can be used by someone with little computerrelated knowledge. EISs are designed to help executives find the information they need whenever they need it and in whatever form is most useful.