Management Information Systems-0109 PDF
Management Information Systems-0109 PDF
1.
Using advanced graphics and communications to address unstructured decision making is an example of an
information system at
(a)
(b)
(c)
(d)
(e)
2.
What level of decision is appropriate for a manufacturing industry if it involves rearranging the work area,
altering production schedules, changing inventory methods, or expanding quality control measures?
(a)
(b)
(c)
(d)
(e)
6.
Which of the following is not one of the four major classes of information systems?
(a)
(b)
(c)
(d)
(e)
5.
What is the interactive, computer-based information system that collects data on transactions and operations?
(a)
(b)
(c)
(d)
(e)
4.
Drawing on diverse yet predictable data resources to aggregate and summarize data is characteristic of:
(a)
(b)
(c)
(d)
(e)
3.
Operational
Tactical
Strategic
Both (a) and (c) above
(a), (b) and (c) above.
(a)
(b)
(c)
(d)
(e)
7.
Comparisons between enterprise data and internal standards industry averages or data on competitors this
example is related to which type of information?
(a)
(b)
(c)
(d)
(e)
8.
Decision support
Monitoring information
Problem finding information
Action information
Analysis information.
Information systems at the management level of an organization that serve the functions of planning,
controlling, and decision making by providing routine summary and exception reports best describes:
(a)
(b)
(c)
(d)
(e)
9.
10.
11.
12.
Operational-level systems:
(a)
(b)
(c)
(d)
(e)
(a)
(b)
(c)
(d)
(e)
(a)
(b)
(c)
(d)
(e)
(a)
(b)
(c)
(d)
(e)
13.
Integrated enterprise-wide information systems that coordinate key internal processes of the firm best describes:
(a)
(b)
(c)
(d)
(e)
Knowledge systems
Integrated systems
Enterprise systems
Extranets
Intranets.
14.
(a)
(b)
(c)
(d)
(e)
15.
Management-level systems:
(a)
(b)
(c)
(d)
(e)
16.
GIS
Data visualization
DSS
An optimization model
MIS.
The process of buying and selling goods and services electronically involving transactions using internet and
networks is defined as
(a)
(b)
(c)
(d)
(e)
20.
CRM Systems
Enterprise Systems
Computer- based information systems
Knowledge Management systems
Database Management Systems.
The process of helping users see patterns and relationship in large amounts of data by presenting the data in
graphical form is called.
(a)
(b)
(c)
(d)
(e)
19.
KS
PPS
LS
DDS
DSS.
Information systems that rely on computer hardware and software for processing and distributing information
are called.
(a)
(b)
(c)
(d)
(e)
18.
(a)
(b)
(c)
(d)
(e)
17.
SDLC
ROMC
Functional analysis
JAD
RAD.
Electronic process
Digital process
E- commerce
Relational database management systems
E- goods.
(a)
(b)
(c)
(d)
(e)
Describes the functional features of the system chosen for development in the previous
phase
studies the organizations current procedures and the information systems used to perform
organizational tasks
Determines the scope of the proposed systems and produces a specific plan for the proposed
project
Codes, tests, and installs the new system
Both (a) and (b) above.
21.
(a)
(b)
(c)
(d)
(e)
22.
Information system that automate the relationship between a firm and its suppliers are called
(a)
(b)
(c)
(d)
(e)
23.
(b)
(c)
(d)
(e)
(c)
(d)
(e)
(a)
(b)
(c)
(d)
(e)
27.
(a)
(b)
26.
Growth strategy
Product strategy
Both (a) and (b) above
Designing
Multiple strategy.
(a)
25.
(a)
(b)
(c)
(d)
(e)
24.
Knowledge variation
Knowledge manipulation
Knowledge transfer
Knowledge representation
Knowledge formulae.
(a)
(b)
(c)
(d)
(e)
28.
(a)
(b)
(c)
(d)
(e)
29.
(a)
(b)
(c)
(d)
(e)
30.
(a)
(b)
(c)
(d)
(e)
Strategic planning
Management control
Task control
Both (a) and (b) above
(a), (b) and (c) above.
END OF SECTION A
1.
<Answer>
List the decisions involved in each phase of the management process, starting
from planning to control?
( 10 marks)
2.
Describe the common method of identifying key variables. What are key input
variables?
( 10 marks)
<Answer>
Caselet 1
Read the caselet carefully and answer the following question:
3.
What are the adverse affects of the cost reduction programme implemented at
Mr. Pereras jam factory?
( 10 marks)
Mr. Perera was the Managing Director of a Jam factory built in the early 1990s
at Homagama, a fast developing town. The factory was situated in a beautiful
rural surrounding. The factory itself was surrounded by cultivable land and
many of the factory workers owned ancestral property there.
Mr. Perera felt that production of his factory had never come up to
managements expectations for several reasons. One of these was heavy
absenteeism, for during the agricultural season, the factory workers stayed at
home to cultivate their own land. Since the workers were also farmers, there was
no dearth of food, and their factory jobs only provided them with an additional
source of income. Since they did not depend on factory wages alone, they were
at ease as factory workers. This attitude resulted in an unusually high rate of
absenteeism.
In 1998, the company set up a fresh fruit drink processing unit in the same
<Answer>
compound where the Jam factory is situated. The jobs in this unit were seasonal.
The plant could operate at full capacity only during the fruit seasons. It
employed 50 semi-skilled workers in Grade III category. The peak-time work
included bottling of fruit drink and storing of fruit juice in wooden casks to be
used for bottling during lean periods. The jobs in the units were pealing fruit,
extracting juice, boiling juice with other ingredients into syrups or jams,
bottling, capping, labeling, storing and cleaning the premises.
Soft drinks are a seasonal product and therefore, each month has a varied sales
and production target to be met. Depending on the promotional effort put in to
market the 7 varieties of drinks, the demand fluctuates and the sales targets get
adjusted.
However, because of the entry of new competitors into the market, the sales
targets and production targets do not seem very practical or achievable.
Therefore, some varieties get over produced whereas some varieties do not get
produced enough to satisfy the demand in the market.
During the lean periods, a large part of all these jobs come to an end and
therefore, part of the workforce is transferred to the jam plant in order to meet
labour shortages there. Others remain to attend to light jobs like cleaning and
packing. There were only two types of workers employed in the two regular job
categories; bottle fillers and cappers. These bottle fillers and cappers who
continued in their regular jobs were unhappy because, while they contributed
eight hours of hard work daily, others had lighter duties. They requested higher
wages or job rotation. Mr. Perera found that these categories of workers could
not be given higher wages because the other workers in the same category in the
jam factory would demand higher wages as well.
On the other hand, the employees in these two categories were well experienced
in their jobs and therefore, job rotation would result in inefficiency. Mr. Perera
noticed that a few competitors entered into the fresh fruit drink market at this
time and the customers were being attracted to these companies as well. By the
year 2002, the market share of this company dropped and profits decreased. Mr.
Perera initiated a cost cutting programme. Strict rules and regulations were laid
down for cost reductions to increase company profits. After another year, a
market analysis showed that the market share of the company has gone down
further.
Due to this situation, additional internal problems such as lack of discipline,
unbalanced workloads, demotivation, high absenteeism, unsatisfaction among
the executive staff and the workers developed. Mr. Perera was worried about
what was happening and looked into the matters more carefully. He understood
that the cost reduction programme has worked adversely and has resulted in
poor quality fruit drink production and reduction of some staff members, which
was leading to trade union action. There was also de-motivation of staff
members due to strict controls, leading to low productivity and low budgets for
advertising and promotional campaigns.
Caselet 2
Read the caselet carefully and answer the following question:
4.
Explain in detail the Critical control path (ccp) process implemented at Kates
cake and state the benefits obtained from it?
( 10 marks)
Another, more successful innovation was developed in the run up to Christmas
2007. This product was produced for M&S who wanted a white, chilled
Christmas cake that would sell for 13. This was a new category of cake for
Kate's who normally do not produce chilled desserts. The result was a White
Belgium Chocolate Cheesecake.
To come up with the ideas for the cake Mark gathered his team for a
brainstorming session. Since their brief was quite vague, they created a mood
board to try and understand what M&S wanted. Thereafter they went into the
kitchen to play. After many prototypes and many trips back and forth to the
account manager responsible for M&S before they finally settled on one
product.
<Answer>
Production started in August 2007. The cake was featured in M & S Christmas
commercial where it was served with champagne. Kates produced 43,000 cakes
which all sold out. Mark and his team celebrated the huge success of the
Christmas cake by watching the cake fly off the shelf on Christmas eve at their
local M&S in Shoreham.
To enable such a high number of new product developments Kate's Cake has
implemented a process called Critical Control Path (CCP). This process involves
weekly meetings with everyone involved in the product development including:
Mark and his team, the operations department, the technical team,
manufacturing and other relevant departments. The role of the group is to
discuss all new products that are in the pipeline. The meetings allow the group
to address any challenges or problems that may occur. Repeated mistakes are
avoided as the groups has a broad range of skills and experience to deal with
any upcoming issues. At one meeting a discussion emerged about replacing the
use of lemon zest with lemon pulp. One of the CCP members pointed out that
this discussion had taken place five years earlier when it was established that
pulp was not a suitable alternative. A mistake could thus be avoided.
Factory trials are an important part of the CCP process. Whilst the equipment
used in Marks product development kitchen is identical to factory equipment
(except for ovens), the transition to mass production of a cake can be tricky.
Often a product has to be passed back and forth between product development
team and factory trials three times before it is ready for production. Where there
are problems with mirroring a new product in factory trials, Mark gets the
technical and operations teams to look at every detail of the product and
production process to identify the problem. It can often be something minor.
Mark gives an example of a lemon cake that baked well in the kitchen but boiled
over in its factory trial. It was discovered that the mixture was left to stand for
longer in the factory giving the raising agent more time to activate. Once this
cause was discovered, the product was reworked and sent back to the factory for
another trial.
Mark uses the analogy of a jigsaw to describe the workings of Kate's Cakes. As
the company is growing, new areas for innovation are being considered which
must be integrated into the everyday functioning of the company. One example
is the companys new focus on waste management. A focus group has been set
up to minimise the amount of waste the company produces. The group has
identified twenty waste producing areas and ways to tackle these.
Packaging is another innovation area under consideration. Mark is working
together with other departments to develop new and innovative ways of
packaging. Similarly, a group has been set up to predict the type of products
M&S and other customers may be interested in.
Most people at Kate's Cakes would probably agree that it is people that make the
business so successful. The atmosphere is relaxed and informal but yet
professional. The staff work hard but have fun while they do it. Everyone helps
each other out and relationships are open and honest. Staff are often promoted
from within and staff expertise is taken
Kate's Cakes has, what may be considered, an almost perfect example of an
innovative culture. One of the company's four core values is to put innovation
and product development at the forefront of the business. Helen, the HR
director, says that Kate's Cakes is driven by innovation. Everyone in the
company works closely together to make sure new and innovative products are
constantly developed.
Structures and processes developed to promote innovation only work because
communication channels are open. The organisational hierarchy is flat and staff
members communicate easily across traditional management boundaries. In
some instances, recruiting new staff members can be difficult, because the
company needs to be sure that these new recruits can function within the
innovative paradigm.
Change management is built into structures and processes at Kate's. There is
regular review of manufacturing and other processes and tweaks are constantly
made. The company is very flexible and can focus on hand crafted products
5.
What is the purpose of the management control systems? Explain the domain of
management control systems.
( 10 marks)
<Answer>
END OF SECTION B
6.
<Answer>
7.
<Answer>
( 10 marks)
END OF SECTION C
Suggested Answers
Management Information Systems (MC261): January 2009
Section A : Basic Concepts
Answer
Reason
< TOP >
1.
2.
Drawing on diverse yet predictable data resources to aggregate and summarize data is < TOP >
characteristic of decision support systems.
3.
Transaction processing system is the interactive, computer-based information system < TOP >
that collects data on transactions and operations.
4.
collaboration system is not one of the four major classes of information systems
5.
Operational level of decision is appropriate for a manufacturing industry if it involves < TOP >
rearranging the work area, altering production schedules, changing inventory
methods, or expanding quality control measures.
6.
Strategic changes often involve Implementing new technology before any of your
competitors.
7.
Comparisons between enterprise data and internal standards industry averages or data < TOP >
on competitors this example is related to Problem finding information.
8.
9.
What kind of problem do you expect this system to solve is the first question to ask in < TOP >
any evaluation of a DSS.
10.
11.
Libraries of statistical models are the most common models in a DSS software
system.
12.
13.
Integrated enterprise-wide information systems that coordinate key internal processes < TOP >
of the firm best describes intranets
14.
15.
Management-level systems support the monitoring, controlling, decision-making and < TOP >
administrative activities of middle management.
16.
17.
Information systems that rely on computer hardware and software for processing and < TOP >
distributing information are called computer- based information systems.
18.
Data Visualization is a process which helps the users to see patterns and relationship
in large amounts of data in a graphical form .
19.
E-commerce is the process of buying and selling goods and services using an internet < TOP >
as the medium of transactions.
20.
During logical design the project team determines the scope of the proposed systems
and produces a specific plan for the proposed project.
21.
22.
Information system, that automate the relationship between a firm and its suppliers < TOP >
are called supply chain management systems.
23.
In an organization, the strategy can be classified into growth strategy and product < TOP >
strategy.
24.
Planning, organizing, coordinating, making decisions, controlling describes the role < TOP >
of a manager.
25.
For the manager to take a unstructured decision, the manager has to use judgement
based on previous experience, insight and careful evaluation.
26.
27.
28.
a, b and c.
29.
30.
The domain of the management control systems includes strategic planning, < TOP >
management control and task control.
Section B : Problems
management process is executed through a variety of decisions taken at each step of planning, organizing, <
1.The
staffing, directing, coordinating and control and the MIS aids decision making. The objective of the MIS is toTOP
provide information for a decision support in the process of management. The decisions required to be taken >
through the above mentioned steps are tabulated as under:
Management Steps
Decision to be taken
A selection from the following various alternatives such as strategies,
Planning
resources, methods etc.
A selection of a combination out of several combinations of the goals,
Organization
people, resources, method and authority.
Staffing
To provide a proper manpower complement.
To choose a method from the various methods of directing the efforts
Directing
in the organization.
To make a choice of the tools and the techniques for coordinating the
Coordinating
efforts for optimum results.
To make a selection of the exceptional conditions and the decision
Controlling
guidelines.
2. Input-through-output-model is the most common method of identifying key variables. The input variables are <
related to raw material, the throughput variables to production, processing and manufacturing and the outputTOP
variables to marketing. We mention the key input variables now. However every organization will have to >
identify the key variables relevant to its success. Key input variables could include the following:
Raw material availability: Its absence will lead to lower capacity utilization. When raw materials are not readily
available, organizations will find it difficult to recover their fixed costs and inability to procure the raw material
may even close the organization.
Raw material quality: The quality of raw materials is tested through simple sampling techniques. When the
payment for a product is made on the basis of quality, the maintenance of quality becomes crucial.
Raw material costs: The management needs to keep a close watch on raw material costs, particularly when they
constitute a large percentage of the total cost.
We can classify key variables broadly into the following categories such as strategy, structural, process and
environmental. If there is similarity between the different variables, performance of an organization will be
improved.
Strategy variables refer to the long-term choices concerning the programs, goals, policies and action plans
that are formulated by an organization.
Structural variables can be studied in terms of the structure of the organization: centralized or decentralized
form of organization and the organizational autonomy. Thus they represent the organizational arrangements
and the distribution of authority and relationships.
Process variables refer to processes that influence the behavior of the employees towards the achievement of
organizational goals. Some examples of process variables are the participation, monitoring and control,
human resource development and motivation.
Environmental variables help in understanding the scope, diversity and uncertainty relating to an
organization.
When all these variables are perfectly aligned then can organization can achieve congruence of its performance
with its goals. The following steps will help in the identification of the key variables:
Identification of decision variables
3. Mr. Perera initiated a cost cutting programme. Strict rules and regulations were laid down for cost reductions to <
increase company profits. After another year, a market analysis showed that the market share of the company hasTOP
>
gone down further.
Due to this situation, additional internal problems such as lack of discipline, unbalanced workloads,
demotivation, high absenteeism, unsatisfaction among the executive staff and the workers developed.
Mr. Perera was worried about what was happening and looked into the matters more carefully. He understood that
the cost reduction programme has worked adversely and has resulted in poor quality fruit drink production and
reduction of some staff members, which was leading to trade union action. There was also de-motivation of staff
members due to strict controls, leading to low productivity and low budgets for advertising and promotional
campaigns.
4. Kate's Cake has implemented a process called Critical Control Path (CCP). This process involves weekly <
meetings with everyone involved in the product development including: Mark and his team, the operationsTOP
department, the technical team, manufacturing and other relevant departments. The role of the group is to discuss >
all new products that are in the pipeline. The meetings allow the group to address any challenges or problems that
may occur. Repeated mistakes are avoided as the groups has a broad range of skills and experience to deal with
any upcoming issues. At one meeting a discussion emerged about replacing the use of lemon zest with lemon
pulp. One of the CCP members pointed out that this discussion had taken place five years earlier when it was
established that pulp was not a suitable alternative. A mistake could thus be avoided.
Factory trials are an important part of the CCP process. Whilst the equipment used in Marks product
development kitchen is identical to factory equipment (except for ovens), the transition to mass production of a
cake can be tricky. Often a product has to be passed back and forth between product development team and
factory trials three times before it is ready for production. Where there are problems with mirroring a new
product in factory trials, Mark gets the technical and operations teams to look at every detail of the product and
production process to identify the problem. It can often be something minor. Mark gives an example of a lemon
cake that baked well in the kitchen but boiled over in its factory trial. It was discovered that the mixture was left
to stand for longer in the factory giving the raising agent more time to activate. Once this cause was discovered,
the product was reworked and sent back to the factory for another trial.
5. A management control system assists the management in the synchronization of the activities of the organization <
and steering them in the proper direction in order for the organization to achieve its goals and objectives. It TOP
involves the following functions in an organization such as planning, coordinating, communicating, evaluating >
and influencing. It helps in planning the activities of an organization and further synchronizes the activities. It
communicates information to all the different levels of the hierarchical structure. Further it evaluates the
information and would decide on the action to be taken. It influences people to change their behavior.
During the planning the stage, the management of an organization decides on the activities of an organization and
a management control system ensures that the management adopts the right strategies in order for the
organization to achieve its goals and objectives. Management control systems foresee future conditions and are
not self-regulating in nature. They help the management in taking better and well-timed decisions and in the
management control process according to procedures and timetables decisions are made.
Management control systems assist the management in the synchronization of the activities of the organization
and steering them in the proper direction in order for the organization to achieve its goals and objectives. The
domain of management control systems includes the following such as strategic planning, management control,
task control, control of strategy and control of operations. Top management does the strategic planning and it is a
long term planning.
PPS is a computer which generates useful answers for the decisional process, handling the < TOP >
information of the KS. Its made up of 3 parts:
1. Data Base Management System (DBMS)
2. Model Base Management System (MBMS)
3. Inferential Machine ( MOT.INF)
Data Base Management System (DBMS)
It is a software package to make the management of the database easier:
Definition of the database structure (vertical lists,)
Data acquirement from inner and outer sources
Changes to acquired data
Access to DB and query formulation
Integration of data from different DB
Model Base Management System (MBMS)
It is 2a software package to make the management of the model base easier:
Model list
Quick update and changing of the MB
Creation of a directory with all the information about available models
Access to MB
Recovery of the necessary data for elaboration
Generation, drawing and update of the required parameters
Creation of new models
Clear and logic explanation of the relationship between inputs and outputs that is often
difficult to understand because of the complex information used.
A system of representation must be expressed in a means that the PPS can understand and
process (LS). Likewise the PPS must be able to express output in a manner that can be
understood by the user (PS) or another DSS (human or computer). Additionally, knowledge
in the KS must be represented in a manner that the PPS can understand. Representation
systems are not software, but may contain software as part of the system.
A system of processing is software that reacts to user requests and drives the problem solving
process toward a corresponding response. It draws on LS, PS and the KS to execute its
purpose.
7.