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MANAGEMENT INFORMATION SYSTEM ASSIGNMENT ON HILTON HOTEL PLC ACTIVITIES

MANAGEMENT INFORMATION SYSTEM

ASSIGNMENT

QUESTIONS AND ANSWERS

A. Describe the major activities of HILTON HOTEL, and explain

the linkages that may exist between these various activities.

Mission of Hilton Hotel Plc.

Hilton Hotel PLC owns and manages a network of 10 major hotels in Cameroon, and
licenses its brands to franchisees, with a view to providing high-quality hospitality
services to individual, and group consumers, and commercial customers.

Customer Relationships

Hilton Hotel provides a self-service reservation portal to its customers, through which
they are able to arch for availability across all of the Company’s branded hotels and
resorts and make bookings, without interacting with members of the Company’s sales
and marketing teams.

Hilton Hotel provides more personalized services to consumers through its telephone
booking teams, and through its in-hotel staff, who are available to guests at all times to
answer queries and respond to complaints. The Company works closely on an ongoing
basis with commercial customers, particularly developers and hotel owners to which it
provides management services, with a view to establishing lasting relationships.

Customers are able to access additional assistance through Hilton Hotel dedicated
customer support team, which can be contacted over the phone. The Company also
provides a range of online resources such as FAQs, and operates social media accounts

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with Twitter, Facebook, LinkedIn, Flickr, YouTube, and Instagram, through which it
can interact directly with consumers.

Major Activities of Hilton Hotel Plc

Hilton Hotel is a hospitality company and hotel operator. The Company is engaged
primarily in the ownership, leasing, management, development and franchising of
hotels, resorts and timeshare properties, as well as the licensing of its brands to third
parties.

Hilton Hotel activities are divided into three business segments: Ownership, which
owns and manages more than 150 hotels worldwide with approximately 59,460 rooms;
Management and Franchise, which manages hotels, resorts and timeshare properties
owned by third parties and licenses its brands to franchisees; and Timeshare, which
markets and sells timeshare properties across the world. Hilton Worldwide currently
owns or manages around 4,610 hotels, resorts and timeshare properties in
approximately 100 countries and territories.

Hilton Hotel collaborates with various partner companies and organizations across its
three operating segments. These partners include:

 Marketing and Distribution Partners, comprising online and physical travel


agencies, marketing affiliates, and online booking portals, that assist in extending the
Company’s own sales and marketing reach;

 Travel Partners, comprising airline, rail, and cruise operators, as well as car rental
companies;

 Joint Venture Partners, comprising a range of property developers and hospitality


companies with which the Company collaborates on projects through mutually-owned
vehicles;

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 Loyalty and Reward Program Partners, comprising a range of commercial partners


that participate in the Company’s rewards program, providing various discounted
products and services to frequent Hilton Worldwide customers.

Revenue Streams

Hilton Hotel generates revenue through its hotel management, franchising, and
timeshare sales operations. The Company derives its revenue from several streams:

 Hotel fees, charged to transient and group guests in relation to room bookings and
related hotel services;

 Management fees, charged to hotel owners and to homeowners’ associations at


timeshare properties; and

 Franchise fees, including initial application and initiation fees, charged to new hotels
entering the franchise system and monthly royalty fees, generally calculated as a
percentage of room revenues.

Hotel Management Definition


A nailed down definition of hotel management is that it’s ‘a field of business and a
study that tends itself to the operational aspects of a hotel as well as a wide range of
affiliated topics. Such as: Accounting, administration, finance, information systems,
human resource management, public relations, strategy, marketing, revenue
management, sales, change management, leadership, gastronomy and more.’
Clearly there’s a lot to be aware of and many of these functions do require specialists.
However not all properties have the luxury of hiring a full team of staff, so it’s certainly
not impossible to run a successful small hotel business without a range of degrees.

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 Pricing
By driving prices up during high peak periods and knowing how much to discount
prices by to ensure rooms are rented during low peak periods, hotels can maximise their
return. Through dynamic pricing, businesses can provide discounts and incentives in a
controlled way during different seasons.

 Distribution
Hotels generally advertise their rooms through multiple channels, such as online travel
agencies, to optimize reach and promote sales. Distribution management is essential
and this involves calculating the minimum numbers of rooms needing to be sold for any
given period by each channel. In doing so, you then have the ability to make informed
choices regarding reallocation from cancellations or where to list spare rooms to
maximize sales.

 Market segmentation

Being aware of your market and the variable preferences, demands and affordability of
different demographics are paramount to understanding how to price and distribute your
room sales across the various channels. Not only does this help in managing your
existing rooms, but it can also allow you to capture more of the market and increase
sales and revenue. Flexibility is an important virtue required of hoteliers and being able
to understand your clientele and adapt to their needs is vital to building loyalty and
guaranteeing profitability.

Smart revenue management and pricing strategies are needed if you want to optimise
your Average Daily Rate but here are some handy tips…
1. Packages, promotions and extras
Packages are any rate that pairs the accommodation with an add-on; it could be free
breakfast, free parking, or a ticket to a local event or attraction.
Take a look at these methods to make sure your packages offer a unique experience.
Promotions are special rates that can change depending on:

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 The season or holiday period;


 If the guest is a VIP; or,
 You want to capitalise on an event.
You can get even more specific by offering things like mobile-only promotions.
Extras are an added expenditure that guests will only realise they want during the
booking process.
This might include items like champagne and chocolate stocked in their room, shuttle
services from the airport, or activities like exercise classes.
Extras are an added expenditure that guests will only realise they want during the
booking process.
This might include items like champagne and chocolate stocked in their room, shuttle
services from the airport, or activities like exercise classes.
2. Events and tours
Selling tickets to local events, tours, or offering car rental is a good point-of-sale
opportunity to increase your revenue per customer as well as providing a more
satisfying experience for your guest.
3. Sell your hotel products
If you offer your guests the chance to buy your shampoo, bath and beach towels, art
pieces, linen and so on, it can provide you with extra revenue and might even save you
from the cost of replacing items that guests ‘accidentally’ pack with their own luggage
when they depart.
4. Referrals and return business
If your guests give you positive feedback on completion of their stay, encourage them
to share their experience with family and friends, and on social media to drive more
bookings and brand awareness.
You could also set guests up with a promotion code to get a discount the next time they
stay. This encourages return business and helps you keep a consistent occupancy rate.
5. Accommodate flexible travelers
Some travelers don’t have a set itinerary or allow themselves flexibility with their

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schedule, so take the opportunity to raise your occupancy and incremental revenue by
offering guests a discount for an additional night’s stay.
Hotel management and operations: Mistakes to avoid
Everyone, by virtue of being human, makes mistakes.
Some mistakes have worse consequences than others and depending on the industry,
backlash can range from minor to cataclysmic. The type of mistake you make will also
have an impact on this. Did it just affect you, or did it also affect your customers?
In the hospitality industry almost everything revolves around the customer, and they’re
the quickest party to point out any flaws. There’s also plenty of times where you might
simply self-sabotage and fail to get the most out of your business.
Human fallibility prevents us from eliminating all our mistakes, but you can certainly
look out for some common errors to avoid which are...
1. Failing to provide basic contact information
A beautiful looking website with a fancy design and stunning features means nothing to
the customer if they can’t find your address or phone number on the homepage. The
basics are something every hotel must get right before anything else.
Travelers have all kinds of queries and many of them want to call to get instant
clarification, and often people will be calling to make a booking so your phone number
is an absolutely essential piece of information.
2. Website scarecrows – auto play videos and music
Many people book holidays between the hours of 9am – 5pm, i.e work hours. The last
thing they need is for their computer to start blasting commercials or ditties around the
office. The first thing they’ll do is close your website and it’s unlikely they’ll return.
3. Incorrect use of social media
It’s great to use social media as a marketing avenue but it’s important you use it in the
right way. You want traffic to be directed to your website and booking pages, not away
from them. A common mistake hoteliers make is sending website visitors away to their
social media channels immediately after a visitor has landed on the homepage.

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How many people are going to be coming back once they’ve been redirected to
YouTube for instance?
4. Poor quality photos
There’s really no point in investing in a great website design if the photos you integrate
into the theme are lacking quality. Travelers want to see what they’re paying for and if
what they see is a grainy, blurry, or poorly framed image they won’t be racing to open
their wallets.
Paying for high quality photography is worth every penny and you should update your
images every couple of years, or every time you refurbish.
5. Downloads for simple information
Does anyone actually enjoy downloading a PDF to their phone or computer? The
answer is probably no so why would you make a prospective guest do this? If a traveller
wants to view the menu of your hotel restaurant for example, they should be able to do
it on your website. Making them download documents is a conversion killer.
6. Connecting to the wrong distribution channels
When you connect to online travel agents manually or via a channel manager, it’s still
important to do some research. You have to look beyond the four or five biggest
channels and find partners that most suit your target market.
7. Ignoring the potential of the local area
Guests are simply buying a hotel room when they come to stay at your hotel. For them,
they’re paying for an experience delivered by the destination. It would be silly for you
not to take advantage of this.
Make sure you partner with local businesses and run promotions and packages around
local events and attractions.
8. Closing your ears (and mouth) to feedback
Reviews are one of the most important aspects to get right for your hotel. Customer
satisfaction and brand reputation are vital if you want to keep the bookings coming in.

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The worst thing you can do is stay silent online when people leave reviews and
feedback on sites like TripAdvisor or your social media pages. You need to respond
diligently to both positive and negative reviews.
9. Not paying close attention to seasonality
The price people are prepared to pay for their hotel room will depend on the supply and
demand trends over time. Seasonality matters, and you’ll have to change rates a number
of times during the year to reflect buying behavior and market conditions. This, together
with the date and timing release of packages and promotions forms an integral part of
your sales and marketing plan.
10. Lacking attention to detail in housekeeping
One of the most common complaints from guests is about dirty rooms or general
uncleanliness of the hotel. There should never be any shortcutting when it comes to
housekeeping and cleaning. Not only is it a healthy and safety issue, but you open
yourself up to a flood of negative reviews.
Of course, there are plenty of other pitfalls that could hit your hotel so you have to be
constantly diligent and find ways to optimize your processes, reducing the risk of
mistakes that could cost you money.
Proposed Hotel management styles
To improve the way you manage your hotel, you have to think about everything and
look for ways to save time and money, or increase efficiency. Even small changes can
reap big rewards over the course of a financial year.
Sticking with the theme of food, there’s a big opportunity here.
As humans, food represents our most essential connection to the planet and its
resources. Yet environmental researchers often surmise that we place less value on food
than we used to. You only have to look at numbers from Hotel Kitchen around food
waste to understand their perspective:
Let’s see how great customer service in restaurants translates to achieving guest
satisfaction in hotels.

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 A great first step is turning ‘service’ into ‘hospitality’

Service is basically about performing a task; doing something for someone. It denotes a
mechanical action. On the other hand, hospitality is about making an impression on
someone and going the extra mile to make their experience a memorable one. The
interaction involved in hospitality is a genuine one and should be based on a caring
attitude.
Hospitality is something the best restaurants do extremely well. Customers will
generally be served by one waiter their entire visit and will be made to feel like close
friends or family, constantly attended to and conversed with warmly. Any requests will
be responded to immediately. By the end of the meal, customers will look forward to
coming back and seeing their waiter again.
In hotels, guests might interact with many different staff members throughout their stay,
meaning they don’t always get this personal connection. They may have to wait longer
for services and might get frustrated when the staff member doesn’t remember their
preferences.
The attentiveness of restaurants is certainly something hotels can try to replicate. Some
things to try is to greet guests by name, get to know their interests, and don’t delay
when they want attention.

 Giving guests a personalized experience at your hotel

A recent report shows full-service and fast food restaurants are revamping their menus
and establishing more mobile ordering options, to the delight of customers.
Restaurants are adapting their menus and technology to align with shifting consumer
preferences. This looks at millennial tastes for fresh food, mobile ordering, and
automated kiosks. The bottom line is that restaurants are working hard to please
consumers in a way the customers are dictating, resulting in higher satisfaction.

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Hotels need to do the same. New technology, both front and backend, needs to be
explored if customer service is to improve. Again this comes back to hospitality and
personalization.
Give each specific guest what they need. Even if you look at mobile check-in, it’s not
something everyone wants. Obviously some guests will be in a rush or tired from travel
and simply want to get to their room as fast as possible. Others will be craving some
human interaction. It’s about what’s convenient for the individual hotel guest.
Technology should be able to help hotels in every regard. Think about how technology
can improve the in-room experience, especially when it comes to speeding up room
service or cleaning processes. Conversely, if backend tech that makes it easier to
manage reservations and distribution is used, more time can be dedicated to guest
experience.

 Empower staff to solve their own problems

Nothing will frustrate a customer more than a staff member always needing to clear
something with their manager. Not only does this take more time, but it makes the staff
member look incompetent.
Quality restaurants will take difficult or specific requests in their stride and provide
customers with any special needs they require. If something goes wrong, their constant
hands-on experience allows them to solve it, without the intervention of a manager.
Again, it’s done with a smile on their face because nothing is too much trouble for a
valued customer.
Hotels need to train and empower their staff this way too. A great example is The Azam
Hotel Company, where even hourly employees have permission to spend up to 2,000
FCFA per guest to solve any problem or dissatisfaction that may arise, without needing
to ask for approval or involve management. And it’s not the amount of money that’s the
point; it’s the instant no-need-for-approval empowerment, which enables quick
solutions for guests.

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 Hire the right traits in staff at your hotel

The very best restaurant staff show a passion for their job and authentic desire to make
people happy. While the hospitality industry is one where skills can be learned on the
job and thus standards may be lax, the approach taken to hiring staff must be taken very
seriously. How is a grumpy, sullen staff member supposed to placate a grumpy, sullen
guest?

The purpose of management systems for hotels


Management systems serve several purposes for both hotel operators who manage large
chains as well as independent hoteliers. These include:

1. Managing bookings
Your property management system should help you efficiently and effectively manage
your bookings. Neither you, nor your staff, should be tasked with manually inputting
bookings and managing those across all your distribution channels. A property
management system should automate the booking process for you, allowing you to
escape the back office and focus more on interacting with your guests.
In addition, it significantly reduces the risk of overbooking your rooms, which directly
improves the guest experience at your property.

2. Direct bookings
It should allow you to actively drive direct bookings to your website. Travellers today
are more apt to book online than they are to call to finalise bookings or partner with a
travel agent.

Direct bookings allow you to maximise the revenue that you generate per booking. You
should only consider software that integrates with an online booking engine.

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3. Channel management
Hotel management technology should allow you to easily implement your distribution
strategy. Creating partnerships with different types of agents in the industry, such as
OTAs and GDSs, is necessary to survive in a competitive, global climate.
Managing hotel with software that offers a channel manager will allow you to create
and implement a diverse distribution strategy that continually drives bookings.
4. Hotel website
Your software should help enhance your online presence. Your hotel management
system is only effective if your guests can reach your brand.
Choosing a program that offers a web editor or website creator will allow you to create
a clean, appealing and user-friendly website that will encourage guests to book a stay at
your property.
Benefits of hotel management technology
When you are selecting hotel management technology for your property, you should
consider the many benefits that this system will offer you, including:
1. Reduce time spent on administrative tasks
You can minimise the amount of time spent on administrative tasks. The right hotel
management system will do a lot of the work for you, allowing you to focus your efforts
and your energy on the big picture. The technology should also provide you with
valuable data on how your employees perform their duties and how this affects
employee retention, satisfaction and productivity.
In today’s fast-paced travel environment, it’s critical that you automate as many tasks as
possible. A property management system can help you tremendously with that.
2. Increase your online presence
You can increase your brand presence online. Management software that is integrated
with your website builder will allow you to accept direct online bookings and develop a
user-friendly website. Naturally, this will increase your relevance in the search engine
results and allow more travellers to discover your property during their online booking
journey.

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3. Build relationships with guests


You will develop a better rapport with your target market segment, while also
identifying new markets to tap into. The types of travellers who have always loved
staying at your property will appreciate the improved experience. In addition, your new
technology will allow you to reach out to new markets that would not have otherwise
discovered your brand.
4. Manage your distribution
You will improve your reach throughout the industry. With a property management
system in place that integrates with a channel manager, you will be able to advertise
across many channels whilst maintaining rate parity. From the large OTAs and GDSs to
individual retail travel agents, you can provide real-time booking information to your
agents that will drive bookings.
5. Manage your revenue
You can implement a beneficial revenue management strategy. Using innovative
pricing tools that allow you to create a flexible room pricing strategy, you can maximise
the revenue that you generate per room at any given moment.
Pricing your rooms right is the key to succeeding in this competitive industry, and
having these tools available can help you significantly.
6. Increase bookings
You will ultimately increase your bookings. At the end of the day, the point of every
feature within your hotel management business solution is to boost the bookings that
you get at your hotel.
Whether you want to increase your off-season bookings or you want to expand your
offerings to new market segments, you will be successful if you select the right hotel
management software for your property.
Hotel property management: Maintaining your reputation
Managing a hotel isn’t all about managing the physical property, it’s also about
managing intangible things like reputation.

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It’s very simple. Hospitality businesses such as hotels are at risk if they don’t focus
attention on their online reviews and take control of their reputation management.
As more and more guests turn to one another for advice on where to stay in cities
around the world, the effectiveness of traditional hotel advertising is declining – while
the impact of online hotel reviews is on the rise.
Failure to monitor, manage and respond to feedback will skew your hotel management
strategy to issues that are unimportant to customers, as well as provide unhappy
customers with ammunition for negative feedback on travel and social media sites.
Ultimately, we live in a social age.
It can be difficult for an individual to get through their lives without significant
episodes being recorded on social media channels, let alone a hotel to exist without the
blemish of social media complaints.
As the impact of online bookings and digital feedback continues to rise, the importance
of reputation management rises with it.
Yet while online reputation management is a trend across the hospitality sector, it is still
considered an indulgence by some independent hoteliers. Part of this rationale is driven
by the confusion around how to deal with both positive and negative feedback online.

The most feared of all feedback online is a negative review


However, audiences are particularly savvy in determining the value of feedback, not
just because the “voice” of the author is on display, but because audiences often apply a
filter to their reading of any review.
Consciously or subconsciously, they consider the value of any commentary, as well as
the relevance of a comment to their own experiences and preferences.
So a comment on the convenience of a hotel location to an equestrian events venue will
be of potential importance to horse-lovers, yet entirely irrelevant to many other
potential guests.
Where a rational negative comment is posted, hotels do have options on how to
respond.

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Acknowledge and Action


For a genuine, reasoned negative comment on customer experience, it is best for hotels
to respond in a timely manner (within 72 hours of posting), acknowledging the issue
and describing how it will be addressed. Ideally, a follow up post will occur after
actioning the issue, and showing how the experience will not be repeated.
This is by far the best possible response to negative feedback, because online audiences
are far more willing to value action and positive changes in behaviour, than think poorly
of the initial negative experience.
Apologize and Compensate
For a negative comment which illustrates an experience that was difficult or impossible
to avoid, an appropriate response is to apologise for the poor experience and to privately
offer either monetary compensation, or discounts on future bookings.
While this is unlikely to totally satisfy the customer with the stated poor experience, it
will indicate to other customers, the prioritisation of customer experiences at the hotel.
It’s important to take compensation offline where possible to avoid inviting those like
to complain for free stuff.
Apologize and Thank
For negative comments that focus on pedantic details, the most appropriate response is
an apology for the experience and an acknowledgement that this feedback will help
shape your hotel’s future guest experience strategy.
This is far more useful than a response which states that the comment will be passed to
a customer service team, because the customer already believes that service is the
problem at the property.
How to thank hotel guests for their positive feedback
While most organizations are thrilled with the prospect of positive reviews, an
abundance of rave reviews can be just as suspicious to audiences as a series of negative
reviews.
Therefore, positive reviews also need a response.

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Be Humble
Where a positive review is excessive and perhaps gushing, it is wise for firms to thank
the guest for their enthusiasm, but to also acknowledge areas where you are attempting
to improve. This reinforces commitment to customer service.
Be Delighted
Where positive feedback is sincere and reasoned, the best response for hotels is to
express delight and appreciation for the feedback and the desire to serve again in future.
This is the easiest response to deliver, but is often the least fulfilled.
Be Appreciative
Where feedback is predominantly neutral, but some aspects are highlighted as being of
particular value, it is advisable for hotel managers to express thanks for the feedback
and to request further advice on how the organisation could improve in specific areas.
Again, try to take this conversation offline with an email or personal phone call. This
enables more considered feedback to follow the initial post.
Reputation management is often considered difficult or time-consuming. Yet the results
of research into the importance of reputation management are unarguable: the value of
reputation management is substantial and growing.
Understanding how to respond to feedback is not just a competitive advantage, but
potentially a means of ensuring your hotel stays in business.
You can easily turn complaints around and win hotel guests back – and these basic
reputation management responses are your first line of defence.
Hotel property management software: Questions you should ask provider
Selecting the right hotel software is critical, particularly in a world where consumers are
relying more heavily on their devices with each passing day. An investment this
important to your overall success as a hotel operator requires you to do some research.
These are seven questions that you should ask your hotel tech provider as soon as
possible:
1. How does your product maintain its relevance in the hospitality industry?
While the core of a technology system may remain the same over time, the reality is

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that any product geared specifically towards the hospitality industry will need to adapt
to changing trends and preferences from travellers. You need to ask this question so you
have an understanding of how your technology will help you grow along with the
industry.
2. How often can I expect upgrades for your platform?
No piece of technology is perfect, and the best hotel technology providers will make
sure that regular updates and upgrades are available for their clients. It’s important to
have an understanding of how often these upgrades will be available, and how you will
be able to successfully implement the upgrades.
3. What level of customer service will I receive from your company?
Unfortunately, far too many hotel technology providers focus on hard sales tactics
without much support after the purchase is complete. You will want to verify with your
provider that there will be ways to contact and work with staff after the technology has
been installed at your hotel.
4. Is your hotel platform secure?
Security should be a top priority of your hotel technology provider. You will want to
ask about the details regarding their security features, as it’s imperative that both your
data and your guests’ data is secure.
5. How easily can I personalize your systems?
Hotel technology providers need to offer you a versatile system that includes not only
the generic features that are necessary for any hotel, but also the adaptable features that
allow you to personalize the platform for your particular brand. Ultimately, your
investment in technology needs to result in a system that works specifically for your
hotel.
6. What reporting features are available?
When you begin your search for the right hotel technology, you will likely focus first on
the property management system. However, you will want to discuss additional features
that also are available, with some of the most important being the reporting features.

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Verify that you’ll be able to run detailed reports using live data, as this is the only way
to ensure that you can grow your brand.
7. How can I access the hotel technology system once implemented?
Be sure that you are investing in a system that allows you to run your hotel from
anywhere. You need hotel technology that is optimized for all devices, including
smartphones and tablets.

Hotel management system


Benefits of a hotel management system
When you are selecting hotel management systems for your property, you should
consider the many benefits they’ll offer you, including:
1. Reduce time spent on administrative tasks
You can minimize the amount of time spent on administrative tasks. The right hotel
management system will do a lot of the work for you, allowing you to focus your efforts
and your energy on the big picture. The technology should also provide you with
valuable data on how your employees perform their duties and how this affects
employee retention, satisfaction and productivity.
In today’s fast-paced travel environment, it’s critical that you automate as many tasks as
possible. A property management system can help you tremendously with that.
2. Increase your online presence
You can increase your brand presence online. Management software that is integrated
with your website builder will allow you to accept direct online bookings and develop a
user-friendly website. Naturally, this will increase your relevance in the search engine
results and allow more travelers to discover your property during their online booking
journey.
3. Build relationships with guests
You will develop a better rapport with your target market segment, while also
identifying new markets to tap into. The types of travelers who have always loved
staying at your property will appreciate the improved experience. In addition, your new

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technology will allow you to reach out to new markets that would not have otherwise
discovered your brand.
4. Manage your distribution
You will improve your reach throughout the industry. With a property management
system in place that integrates with a channel manager, you will be able to advertise
across many channels whilst maintaining rate parity. From the large OTAs and GDSs to
individual retail travel agents, you can provide real-time booking information to your
agents that will drive bookings.
5. Manage your revenue
You can implement a beneficial revenue management strategy. Using innovative
pricing tools that allow you to create a flexible room pricing strategy, you can maximize
the revenue that you generate per room at any given moment.
Pricing your rooms right is the key to succeeding in this competitive industry, and
having these tools available can help you significantly.
6. Increase bookings
You will ultimately increase your bookings. At the end of the day, the point of every
feature within your hotel management business solution is to boost the bookings that
you get at your hotel.

 Application of Management Information Systems in Business

Enterprise Resource Planning (ERP)


Usually, large companies often use reliable ERP management information systems.
However, this system can also be used on a small scale. ERP is generally used in
management and in integrated monitoring between business units.

Transaction Processing System (TPS) 

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TPS is a management information valuable system for processing large amounts of data
or multiple and routine transactions. This program is widely used in payroll and
inventory management. 

Office Automation System (OAS)


This application helps facilitate communication between departments within a company
by integrating computer servers for each company user.
For example, the use of email for various activities in the office every day.

Informatics Management System (IMS)


IMS helps support various tasks within the organization and analyses decision making.
This system can also integrate various information functions with computer programs
such as electronic shopping…

B. Suggest a system that may capture method that would

improve the accuracy of charging for series and

distinguished between MIS and Personal Information

System.

The Difference between Information System & Management Information System

If you consume information in your daily life, such as reading a blog online, an
information system was involved in processing and delivering that information.
Information systems are sets of interconnected components that collect, process and
store raw data that is subsequently delivered to users as information. For example, 0's

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and 1's in a binary code are raw data converted into text and images. Information
system is a generic term that includes a wide variety of different information systems.
A management information system is a type of information system used in business
and commerce to improve the productivity of workers and management.

Components of Information Systems

You might picture an information system as simply consisting of the physical


hardware, data and software that allow it to function. However, an information system
also requires interaction with users and a set of rules to ensure secure and timely
access is possible. The six components of typical information systems and their
definitions are:

1. Data: the raw input required to generate information.


2. Hardware: computers, storage devices and other peripheral equipment.
3. Software: the rules, algorithms and instructions that tell the hardware how to
process, store and display the data.
4. Communication: the telecommunication devices that transmit the data in the form
of text, pictures and sound. Communication includes the mode of transmitting the
information, such as the Internet.
5. People: the producers and consumers of information. Information producers are
systems analysts, computer programmers, computer operators and maintenance
personnel.
6. Procedures: the rules and processes required to optimize the security of the
information system, including prioritizing the timeliness of the information
generated.

Management Information Systems

A management information system, or MIS, is one of any type of computerized


information systems used in business organizations. The components of an MIS are

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essentially the same as all other information systems. An effective MIS generates
information that informs users about a business's current situation and the probable
reasons for it.

Functional Areas

The diverse services of an MIS address the specific information needs of the
departments, or functional areas, found in most organizations:

 Sales
 Marketing
 Finance
 Accounting
 Operations
 Human resources
 Information technology services

Each department has distinctive information needs. For example, the sales department
needs sales reports; the accounting department needs updated financial statements; the
marketing department needs a customer relations management system, or CRM, to
manage all touch points where prospects and customers interact with the business.

As the information needs of business departments change, the business's information


technology services provider — in-house or outsourced — should respond with new,
or reformatted, information that addresses the new needs.

Consumers of MIS services are not the same, even within the same functional areas.
The machine operator on the production floor needs process-control information that's
entirely different from the process-control information needs of the production
manager. As such, an MIS commonly generates information on a need-to-know basis
to address the specific needs of specific types of business consumers. MIS pundits

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commonly place MIS users in three categories based on the type of information they
need:

 Operational users: reports that serve the needs of front-line people charged with
running the daily operations of a business
 Managerial users: reports for middle managers
 Strategic users: reports for top level executives

Ensure you get as much value as possible out of your booking engine by following
these tips.
1. Prioritise booking engine and website integration
Seamless integration between booking engine and website will make a guests booking
experience so much easier. It will be more responsive to mobile, put less pressure on
you to design the look of your booking engine, and will maintain your branding
throughout the entire booking process. All of this will enhance the trust your customers
have in your hotel.
2. Create a strong foundation for search engine optimisation
While not directly related to your booking engine, SEO is vital. If your website isn’t
optimised for SEO it won’t matter how amazing your booking engine is, you won’t be
attracting sufficient traffic to drive bookings.
3. Implement urgency messages
Urgency messages do exactly what they imply; invoke urgency in the shopper. By
drawing attention to rates through urgency messages you can make your guests think
they are in danger of missing out, or else getting something other customers aren’t.
They’re a great way of speeding up the booking process and increasing conversions.
Examples include ‘Book now, pay later!’ or ‘Only two rooms left!’.
4. Use promo code banners
If you’re running a promotion, you want guests to notice it. Display a prominent promo

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banner on your website using your booking engine so guests can easily view and select
applicable dates and benefit from the promotion.
5. Set up an early-bird rate
By selling discounted early-bird rates you can improve your short-term cash flow by
collecting full prepayment from the booker. You can control when to flag an early-bird
rate via your booking engine extranet.
6. Introduce last-minute rates
Setting attractive last minute rates are good for increasing your short-term occupancy or
filling any remaining rooms. Offset the rate by taking a high deposit to limit the amount
of cancelled bookings or no-shows. Clearly display these and use them in conjunction
with urgency messages.
7. Entice guests with a stay pay deal
Maintain your occupancy by increasing the length of your guests stay. Offer them a
discount for one or more of their dates, clearly indicating the price difference and
encourage them to book additional nights. Make sure you have control over what night
is to be discounted; first, last, cheapest etc.
8. Interest guests in package deals
Packaging up extras like entry to events, attractions, or restaurants gives guests a one-
stop shopping experience that they enjoy. Offer options guests can’t find on OTAs and
again entice them to stay longer.
If used intelligently a booking engine can be a hotel marketing and branding tool that
will incentivise guests to become loyal to your hotel, further increasing your direct
bookings and revenue in the future.

Hotel room management software: Channel managers


Definition of a channel manager for your hotel:
A channel manager is a tool that will allow you to sell all your rooms on all your
connected booking sites at the same time. It will automatically update your availability

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in real-time on all sites when a booking is made, when you close a room to sale, or
when you want to make bulk changes to your inventory.
There’s a lot more to a channel manager than simply making life easier for when
updating your rates and availability.
You can use it to perform many tasks when managing your hotel and its benefits are
two-fold in how it can increase bookings and revenue, and enable long term business
planning.
Take a look at this comprehensive list of how a channel manager can be used to benefit
a hotel.
1. Increase online bookings
With telephone and walk-in bookings on the decline and online bookings on the rise, a
channel manager places you in the best position to take advantage of this new traveller
booking habit. Connect to more online channels, where more travellers than ever are
locking in their stays.
2. Increase hotel revenue.
Given a channel manager displays live rates and availability across all your channels at
the same time, and updates automatically you can accept bookings faster and almost
eliminate the chance of double bookings. In addition, the data you can analyse from
your channel manager can ensure your rates are always optimised and you’re using the
most lucrative channels.
3. Reduce the risk of overbookings.
Without a channel manager, you’re forced to split your inventory between channels and
risk double-bookings or failing to reach full occupancy. Pooled inventory and
automated updates of availability and rates in real time means guests can only ever
book a room that is actually available.
4. Improve brand recognition
A powerful channel manager will provide two-way unrestricted access to hundreds of
booking channels where travellers who would never hear of you can now make

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reservations at your property. It also makes OTAs more likely to accept your listing
because they can be sure your inventory will always be accurate.
5. Boost direct bookings
It may seem illogical but it’s true! Many travellers will discover your property first on
an OTA, but they want to learn more about you before they book. Often they will visit
your website and then make the decision to book their stay. So you get a direct sale, but
it was born on the OTA site – resulting in greater profit for your hotel. This is known as
the billboard effect.
6. Remove manual processes
Manual data entry is time-consuming and frustrating, we all know that. If you were to
use a channel manager and remove this friction, you’d realise just how much more
productive you can be. Anything that has to be put on hold can now be prioritised to
improve your business.
7. Create a seamless, integrated tech stack
Instead of being required to update information in multiple extranets, a channel
manager can integrate with your property management system, central reservation
system, or revenue management system as well as your booking engine to create a
central control system for the entirety of your hotel’s operations.
Some channel managers, like SiteMinder, also have a unique connection to Airbnb.
Although boutique hotels have already been using Airbnb for some time, there hasn’t
been a solution for them to manage this channel in conjunction with other partners such
as online travel agents – until SiteMinder’s partnership.
8. Transform into a powerful business platform
A good channel allows complete transparency of data across all systems and channels,
meaning you can use the received information to see which channels or rooms are
performing the best. This means you can constantly update your business strategy. Look
at reports such as channel yield and channel analysis and your reservation trends to see
where things are going right – or wrong!

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9. Reduce reliance on traditional booking channels


There’s certainly no suggestion that you should leave behind traditional methods such
as taking reservations over the phone or via walk-ins. It can be very profitable to save
some of your inventory for these methods. However, using a channel manager will
ensure you don’t have to worry about filling your rooms in this manner. Connecting to a
significant number of online booking sites will ensure your occupancy always remains
steady.
10. Keep everyone on the same page
Quality channel managers are very easy to use and hotels will regularly have multiple
staff members using the system. If the main user is going away or won’t be available to
make updates they can easily mark important dates in the system so everyone is aware
if they need to change a rate or a close a room etc. For example, they may mark school
holiday periods so rates can be increased during these peak times.
Hotel management apps
In order to enhance productivity at your hotel, you must first ensure you and your team
are as organised as possible. This may be easier said than done when you have emails
arriving non-stop, content to post and people to manage – all at the same time!
Fortunately, technology has evolved to solve almost any problem. There are many apps
in the market to help with everyday challenges. Organised teams get more done and
having everything under control also gives you a better grip on the overall success of
the business.
Hotels can adapt to this growing need by prioritising data, technology, and connectivity.
It’s important to know what guests want, and also how to provide the appropriate
services through hotel systems and applications. The tradition of limiting service and
interaction to just your hotel staff and physical property is being outgrown by the ability
of technology to automate and make many processes easier for guests.
Where travellers once expected to be greeted by a front desk operator, they might now
prefer the self-service experience that mobile check-in offers. Given the average person

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wastes an hour each week waiting in line, it’s no surprise that self-service is catching
on.
The self-service approach allows staff to be less transactional and focus on establishing
genuine connections with guests. With technology in place, hotel employees will no
longer be confined to stationary positions within the lobby or left to guess what guest
expectations might be.
For a better idea of the trends in this area and the enabling power of technology and
connectivity, we spoke to four hotel applications to get their perspective. They are:
Oaky
A tool that drives incremental revenue and enhances the guest experience through
targeted pre-arrival upselling.
OpenKey
A company that specialises in mobile and keyless hotel access.
GuestJoy
An easy-to-use solution that allows hotels to promote offers, gather feedback, and
personalise guest experience.
HotelFlex
An automation service to produce more revenue for each hotel room by allowing guests
to check-in early and check-out late for set fees.
Here are their thoughts on the current hotel guest service landscape….
What are some noticeable hotel service trends in the industry right now?

 Oaky believes that adaptation is key:


“Travellers of today are diverse and want to stay in a place which lets them live out
their individuality. They want a hotel which adapts to them, not the other way around.
The quest for individualised experiences sets them apart from older generations and
has created a challenge for many hoteliers.”

 OpenKey urges hotels to pay attention to delays:


“Guests expect convenience, simplicity and the same instant gratification they enjoy in

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other areas of their lives. However, hotel and resort staff face the daunting task of
handling an endless array of guest issues with a limited team. No matter how well
trained front desk staff might be, there are always occasions where long lines form and
waiting guests become frustrated. Even a five-minute wait in a check-in line can result
in a 50% reduction in guest satisfaction scores.”

 GuestJoy suggests that increased flexibility is important:


“Guests have become accustomed to the Airbnbs of the world where everything
offered to them is extremely relevant and guest has the option to tweak the experience
themselves. A similar trend is seen among major hotel chains, where they are using
loyalty solutions to promote offers and services based on the guests’ preferences and
guests have the ability to check-in using mobile. Independent hotels are slowly but
steadily starting to embrace such solutions.”

 HotelFlex says a personal service is no longer a nice-to-have option:


“Personalisation of guest service is no longer a trend, but an obligation for hotels. For
example, traditional check-in times were designed for a guest that no longer exists.
With long haul travel now very much mainstream, 40% of guests are either arriving on
flights before 7am or leaving on flights that take off after 6pm. Tailoring
check-in/check out times to your guest’s travel plans is the next battleground of
personalisation.”

What’s the power of automation for hotels and guests?

 Oaky advises that hotels pay close attention to segmentation:


“By combining powerful segmentation with a high-conversion platform, upselling can
really help deliver the five R’s of revenue management: Selling the right room on the
right channel to the right customer at the right time at the right price.

“Using segmentation properly allows you to target and market to a variety of potential
buyers with varying needs, behaviors and budgets. Doing this well will provide you

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data needed to understand the success of your current revenue strategies and adjust
them to maximise your topline in the future.
“Software providers can take most of that work off your hands. Setting up your
segments is done in a matter of minutes, and the software handles the rest, like making
sure the segments you choose are offered attractive deals in automatically sent
emails.”

 OpenKey says hotels shouldn’t be afraid to experiment with AI:


“Artificial Intelligence (AI) platforms or chatbots can be used to answer simple guest
questions and requests freeing up hotel staff to focus on the most complicated guest
issues. With mobile keys, bluetooth technology allows mobile devices to communicate
directly with the door lock on a guest room.

“Automation technology can also be leveraged to enhance communication between the


hotel staff and guest. Platforms like ours at OpenKey also gives hotels the ability to
offer mobile dining, valet requests, concierge, and other guest services – in addition to
a digital key – from a mobile app.”

 GuestJoy recommends using hotel tech to boost your brand perception:


“Automating guest communication opens up a tremendous potential for the hotel.
Typically pre-arrival or confirmation emails have been seen as just a system-generated
message verifying that a reservation has been made. But this is the first time guest
hears about you. “Wouldn’t it be nice, if you could delight the guest with a warm
greeting, in their own language, with offers that are specific to their profile or
segment? With proper tools, this can be easily achieved.

“If a guest booked a standard room, the system may automatically offer the deluxe
room. Or if the airport is far away, offer them a fully arranged taxi service. If targeted
properly, upsell and cross-sell efforts can significantly improve guest satisfaction as
offers are more relevant.”

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 HotelFlex says the key to using automation is timing and targeting:


“When should you send the offer and who should you send it to? Hotels often send
their upsell offers too early when the pain point the hotel is looking to solve is not
front of mind for the guest. How should you change your offer depending on the
nature of the guest? We’ll change how we target and what we offer guests depending
on nationality and travel time.”

How are hoteliers reacting to the pivotal role of technology?

 OpenKey says its technology is helping hotels to be more efficient:


From the perspective of our customers, like The Clarendon Hotel and Spa in Phoenix,
Arizona, it’s a real positive. The hotel’s general manager, Charles Morman, said: “As
we look to elevate our service, mobile technology will help us deliver a simplified and
efficient guest experience. Today’s traveller wants to save time and enjoy their travel,
not wait in check-in lines. We couldn’t be happier about adding a tech solution that
will ultimately benefit our guests.”

 GuestJoy says hotels are striving for a balance between human and tech:
“Hoteliers are slowly beginning to understand that technology is not here to replace
the human touch but to complement it. Historically guest-facing technology was seen
as a toy they can live without. But more and more guests expect these types of
convenience services and hotels are realising, this is the new norm. Most guests are
not overly expressive about their wants and needs. This means, without tech, it will
become extremely difficult to deliver superior guest experience.”

How important is connectivity for hoteliers and the platforms they use?

 Oaky says integration is always important:


“As a minimum we need the reservation data from hotel guests, which can be gleaned
from the PMS, channel manager, or OTA. So it’s important these systems are able to
integrate easily with each other.”

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 HotelFlex goes even further to say integration is everything:


“Connectivity is our holy grail. Without it we can’t automate our services for our
clients, which means adding manual work to the hotel’s front desk, which simply
doesn’t work. The ability for technology to continue to help hotels run their
businesses, hinges on the providers ability to connect into the hotel’s tech stack.

“Hoteliers completely understand the pivotal role of tech, but their hands have been tied
by the lack of connectivity offered by their incumbent technology systems.”

With a sophisticated listening tool, your team can set up queries to monitor specific
topics and keywords, as well as sentiments toward your brand and others. These
insights might just reveal a gap in the market or new opportunity to create something
new for your customers.
Using social to drive marketing creative:

For folks who aren’t as motivated by the promise of a clean room, Hilton went a layer
deeper with this campaign by appealing to the emotions of their audience. In order to do
that, they first had to find out how their audience was feeling.

While Hilton used an actual customer survey to glean insights around travel sentiment,
not every brand has similar resources. That’s the beauty of social listening. You don’t
need a lot of time or money to discover what your audience is feeling at any given time.
People are telling us everything we need to know on a daily basis through their social
activity. We just need to make sure we’re listening.

And when it comes to marketing campaigns, that emotional insight and connection is
what will lead to messaging and creative that resonates deeply enough to inspire your
audience to take action. It’s the difference between selling them on what you’re offering
—and why you’re offering it. The “why” is always more impactful.

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C. Discuss the benefits of a MIS in respect to an organization.

A management information system (MIS) is a series or group of processes that process,


analyse, and display data to be used in decision making. This system is a planning
system that is part of the company’s internal control and consists of documents, human
resources, technology, and management accounting processes.

The primary goal of this system is to collect and organise all data from various levels of
business, summaries and then facilitate decision making, and improve quality to
increase the company’s productivity and profitability.

 Four Benefits of a Management Information System


Here are some of the advantages or benefits of using a MIS for management and a
company as a whole.

1. Improving data accuracy 


Accurate data is needed in a company because it is related to strategic decisions. MIS is
a tool that provides accurate data needed by the company. 
The system automatically processes incoming data to make administrative tasks more
effective and efficient. And with the support of internet technology, you can also
retrieve the required data in the system in real-time. 

2. Facilitate coordination 
This system also provides information services that you can use for planning,
monitoring and administrative control. From the resulting information, data can be used
by other departments or departments in need. 
Information systems also help management to delegate tasks to other parties easily.
Coordination between departments can also take place quickly without having to meet
in person.
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3. Improving the quality of human resources 


What is a management information system for executives? Of course, when information
data is available accurately and quickly, this will affect the performance of the
company’s human resources. Like it or not, HR who use this system must adapt their
work system to technological advances. Quality resources will undoubtedly affect the
progress of your business development in the future. Use the help only of your trusted
HR software.

4. Reduce operational costs 


If MIS has worked for your company, this system will help minimise human error. With
a minimal number of errors, the productivity of existing human resources will also
increase. Then at the same time, conditions like this certainly reduce the company’s
operational costs.

Disadvantages of not implementing information system in business


 The following are the disadvantages of not having a business information system:

 Piracy and cybercrime are typical examples of technological crimes.

 Individual liberty and competence do not grow.


 Due to a lack of progress in IT, it does not strengthen the economy.
 Media offers will present a limited range of interests and tastes.
 The formation of community ties and relationships will be hampered.
 An agency’s operations become inefficient.

D. Describe a system view of MIS and its components.

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Components & Role of MIS (Management Information System)


Facebook is one of the most profitable businesses in the world, and its entire existence
depends on the use of information technology and information systems.

Other successful companies such as Google, Amazon, eBay, and Financial Institutions-
most of their success is due to technology.

Definition of data and information and characteristics of good information

Data refers to raw basic facts i.e. price of a product, the number of products purchased,
etc. that haven’t yet been processed.

Good information should be timely and available when it is needed.


The following are the characteristics of good information.

 Accurate – information must be free from errors and mistakes. This is achieved by
following strict set standards for processing data into information. For example,
adding $6 + 10 would give us inaccurate information. Accurate information for our
example is multiplying $6 by 10.
 Complete – all the information needed to make a good decision must be available.
Nothing should be missing. If TAX is an application to the computation of the total
amount that the customer should pay then, it should be included as well. Leaving it
out can mislead the customer to think they should pay $60 only when in actual fact,
they must pay tax as well.
 Cost Effective – the cost of obtaining information must not exceed the benefit of
the information in monetary terms.
 User-focused – the information must be presented in such a way that it should
address the information requirements of the target user. For example, operational
managers required very detailed information, and this should be considered when
presenting information to operational managers. The same information would not be

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appropriate for senior managers because they would have to process it again. To
them, it would be data and not information.
 Relevant – the information must be relevant to the recipient. The information must
be directly related to the problem that the intended recipient is facing. If the ICT
department wants to buy a new server, information that talks about a 35% discount
on laptops would not be relevant in such a scenario.
 Authoritative – the information must come from a reliable source. Let’s say you
have a bank account and you would like to transfer money to another bank account
that uses a different currency from yours. Using the exchange rate from a bureau de
change would not be considered authoritative compared to getting the exchange rate
directly from your bank.
 Timely – information should be available when it is needed. Let’s say your
company wants to merge with another company. Information that evaluates the
other company that you want to merge with must be provided before the merger,
and you must have sufficient time to verify the information.

Competitive advantage of information and MIS

Competitive advantage is a position that makes a business more profitable than its
competitors. For example, producing products at a lower cost than your competitors
makes you more profitable.

Information systems have the capacity to help an organization into such a position.
They do so in the following ways

Operational excellence – operational excellence seeks to improve the operations of the


business. Let’s take an example of a retail store. A retail store can use information
systems to automatically place an order with a supplier once the inventory level reaches
the re-order limit. This ensures that the retail store never runs out of inventory and
customers can always count on it to find what they need.

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New business models, products, and services – let’s continue with the example of a
retail store. The retail store can develop a web based order system or smartphone
application that clients can use to buy items from the comfort of their homes or
wherever they are. The order system can be linked to a delivery business and have
support for online payments. This is a new business model compared to customers
walking in to make purchases vs doing it from web based or smartphone apps.

Improved supplier and customer relations – historical data is used to understand the
needs of the customers and suppliers. This data is then used to create services and
products that address the needs. This leads to long-term relationships with customers
and business which puts an organization in a more profitable position.

Improved decision making – information is critical when making decisions.


Information systems if designed and operated efficiently, output information that has all
the characteristic of good information described in the above section. This enables an
organization to make decisions that will profit the organizations.

Components of MIS and their relationship

A management information system is made up of five major components namely


people, business processes, data, hardware, and software. All of these components must
work together to achieve business objects.

People – these are the users who use the information system to record the day to day
business transactions. The users are usually qualified professionals such as accountants,
human resource managers, etc. The ICT department usually has the support staff who
ensure that the system is running properly.

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Business Procedures – these are agreed upon best practices that guide the users and all
other components on how to work efficiently. Business procedures are developed by the
people i.e. users, consultants, etc.

Data – the recorded day to day business transactions. For a bank, data is collected from
activities such as deposits, withdrawals, etc.

Hardware – hardware is made up of the computers, printers, networking devices, etc.


The hardware provides the computing power for processing data. It also provides
networking and printing capabilities. The hardware speeds up the processing of data
into information.

Software – these are programs that run on the hardware. The software is broken down
into two major categories namely system software and applications software. System
software refers to the operating system i.e. Windows, Mac OS, and Ubuntu, etc.
Applications software refers to specialized software for accomplishing business tasks
such as a Payroll program, banking system, point of sale system, etc.

Porter’s Value chain

Think of a company such as Apple Inc. Why are they successful? Why do customers
love and buy the iPhone? It is because the iPhone adds value to their lives. This is why
Apple Inc. is a successful business. Value chain refers to activities that a company
performs to create value for its customers.

The concept of a value chain was developed by Michael Porter. Porter’s value chain has
two activities namely;

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 Primary activities – these are activities that are related to the creating
products/services, marketing and sales, and support. Primary activities consist of
inbound logistics, operations, outbound logistics, marketing and sales, and
service.
 Support activities – these are activities that support the primary activities.
Support activities consist of procurement (purchasing), human resource
management, technological development and infrastructure.

The overall goal of the value chain is to help a business gain competitive advantage.
Competitive advantage is a business’s position in a market that makes it to be more
profitable than its direct competitors.

Summary:

Business entities exist to make profits. Not for profit organizations exist to deliver
quality services or products cost effectively.

Regardless of the type of organization, MIS has a major role to play in achieving the
objectives.

MIS enables organizations to make sound decisions by providing decision makers with
information.

E. In your view, what is decision support system?

Decision Support System (DSS)

A decision support system (DSS) is a computerized program used to support


determinations, judgments, and courses of action in an organization or a business. A
DSS sifts through and analyzes massive amounts of data, compiling comprehensive
information that can be used to solve problems and in decision-making

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Typical information used by a DSS includes target or projected revenue, sales figures
or past ones from different time periods, and other inventory- or operations-related
data.

Keys to Note

 A decision support system (DSS) is a computerized system that gathers and


analyzes data, synthesizing it to produce comprehensive information reports.
 A decision support system differs from an ordinary operations application,
whose function is just to collect data.
 Decision support systems allow for more informed decision-making, timely
problem-solving, and improved efficiency in dealing with issues or operations,
planning, and even management.

Understanding a Decision Support System (DSS)

A decision support system gathers and analyzes data, synthesizing it to produce


comprehensive information reports. In this way, as an informational application, a DSS
differs from an ordinary operations application, whose function is just to collect data.

The DSS can either be completely computerized or powered by humans. In some


cases, it may combine both. The ideal systems analyze information and actually make
decisions for the user. At the very least, they allow human users to make more
informed decisions at a quicker pace.

Using a DSS

The DSS can be employed by operations management and other planning departments
in an organization to compile information and data and synthesize it into actionable
intelligence. In fact, these systems are primarily used by mid- to upper-level
management.

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For example, a DSS may be used to project a company's revenue over the upcoming


six months based on new assumptions about product sales. Due to a large number of
factors that surround projected revenue figures, this is not a straightforward calculation
that can be done manually. However, a DSS can integrate all the multiple variables and
generate an outcome and alternate outcomes, all based on the company's past product
sales data and current variables.

A DSS can be tailored for any industry, profession, or domain including the medical
field, government agencies, agricultural concerns, and corporate operations.

Characteristics of a DSS

The primary purpose of using a DSS is to present information to the customer in an


easy-to-understand way. A DSS system is beneficial because it can be programmed to
generate many types of reports, all based on user specifications. For example, the DSS
can generate information and output its information graphically, as in a bar chart that
represents projected revenue or as a written report.

As technology continues to advance, data analysis is no longer limited to large, bulky


mainframe computers. Since a DSS is essentially an application, it can be loaded on
most computer systems, whether on desktops or laptops. Certain DSS applications are
also available through mobile devices.

The flexibility of the DSS is extremely beneficial for users who travel frequently. This
gives them the opportunity to be well-informed at all times, providing them the ability
to make the best decisions for their company and customers on the go or even on the
spot.

What Is a Decision Support System Used for?

In organizations, a decision support system (DSS) analyzes and synthesizes vast


amounts of data to assist in decision-making. With this information, it produces reports
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that may project revenue, sales, or manage inventory. Through the integration of
multiple variables, a DSS can produce a number of different outcomes based on the
company’s previous data and current inputs. 

What Is an Example of a Decision Support System?

Many different industries, from medicine to agriculture, use decision support systems.
To help diagnose a patient, a medical clinician may use a computerized decision
support system for diagnostics and prescriptions. Combining clinician inputs and
previous electronic health records, a decision support system may assist a doctor in
diagnosing a patient.1

What Are the Benefits of a Decision Support System?

Broadly speaking, decision support systems help in making more informed decisions.
Often used by upper and mid-level management, decision support systems are used to
make actionable decisions, or produce multiple possible outcomes based on current and
historical company data. At the same time, decision support systems can be used to
produce reports for customers that are easily digestible and can be adjusted based on
user specifications. 

Expert System (ES) and Artificial Intelligent (AI)

Both systems use artificial intelligence, which helps analyse a problem using expert
energy knowledge.

Group Decision Support System (GDSS)

If the previous system was to analyse problems, this system is to find solutions to a
problem through gathering knowledge in a group, not per individual. Usually in the
form of questionnaires, consultations and scenarios. Examples such as e-government.

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Computer-Support Collaborative Work System (CSCWS)

This system is a group of users who design a system to help work as a group and
understand the impact of technology on their work patterns.

Executive Support System (ESS)

This system helps managers to interact with the corporate environment through graphics
and other communication tools.

Conclusion

Management information systems provide several advantages and functions that are
especially useful in business. As a result, this system can make work and decision-
making more effective and efficient. However, reliable personnel must support the
management information system, and involvement in the system’s design is required.

ERP in MIS is one such system that can assist in streamlining business operations by
automating the most data-driven processes, performing extensive data analysis, as well
as providing accurate data management, all within an intuitive and integrated
framework.

F. Evaluation of MIS performances means evaluation of

what?

Evaluation of MIS (Management Information System)

The information system is a well-structured collection of people, computer system and


its components, communications network, various sources that collect, transforms, and
disseminates data in an organization.

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Evaluation of MIS

Evaluation of MIS is a process in which the performance of an organizational MIS is


determined. According to the performance results, the organization evaluates and
implements the necessary modifications in MIS. Various terms related to the evaluation
of MIS are,

1. Evaluation approaches
2. Evaluation classes
3. Product-based MIS evaluation
4. Cost/benefit-based evaluation

1) Evaluation Approaches

Various approaches are used to evaluate the organizational MIS performance. The most
common approaches are,

 Quality Assurance Review: The quality assurance review is also known as a


technical review. It determines the technical quality performance of MIS. The quality
assurance review determines the data transmission rate, main or secondary storage,
and CPU capacity.
 Reliability and Accuracy: Reliability and accuracy is a key indicator of measuring
the performance of an MIS. The usefulness of the resulting information is usually
determined by the precision of the data, it uses some parameters to find reliability
and accuracy.
 Timeliness of Information: The results of MIS must be recent. And when evaluating
patterns, management must make assumptions about the organization's future, based
on MIS data. A more recent on MIS, decision making always reflects on current
reality and correctly predict their impact on the business. If the data collection and
processing delay its availability, the MIS must take into account its potential age-

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related inaccuracies and present the resulting information accordingly, with probable
error ranges.

The MIS development personnel or a quality assurance group performs the quality
assurance review.

2) Evaluation Classes

To evaluate the performance of MIS, the following two classes are used,

 Effectiveness: The effectiveness class determines the quality of the MIS output.
MIS is effective if the quality of its output is good and the process of producing
output is right.
 Efficiency: The efficiency class specifies the total amount of resources required
by MIS to obtain the output.
 Completeness of Information: For a specific decision, a successful MIS
provides all the most important and valuable information completely. If any
information is not available due to missing data, the gaps are highlighted and
potential possibilities are either shown or possible implications arising from
missing data are addressed.

The relationship between effectiveness and efficiency can be defined as effectiveness is


a measure of the quality of an MIS output, while efficiency is a measure of the
resources required to achieve the output. 

3) Product-based MIS evaluation

The product-based MIS evaluation is also known as effectiveness evaluation.


Determines the effectiveness of an MIS output. For assessing the effectiveness of MIS
output, a model structure may be used.

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 Model Structure: A model structure is a structure that contains various


information attributes such as timeliness and relevance. To determine the MIS
effectiveness in an organization, we need to determine the information attributes
for the MIS output.
Some of commonly used attributes are,
o Timeliness: Real-time information may be called information that is evaluated in a
very short period.
o Relevance: Questions such as timeliness, authority or novelty of the outcome may
include significance.
o Accuracy: The accuracy of information or measurements is their consistency,
even in small details, of being accurate or correct.
o Completeness: Completeness' refers to how comprehensive the data is.
o Adequacy: The ability to obtain the information required for decision making in a
timely and reliable manner.
o Explicitness: The degree to which the MIS is consistent with the particular
organization.
o Exception-based: MIS should be built based on the exception-based reporting
concept, which implies an irregular condition where the maximum, minimum, or
predicted values differ outside the limits. Exception reporting should be given to
the decision-maker at the appropriate level in such cases.

4) Cost/benefit-based evaluation

Cost-based evaluation of the MIS system determines the benefits expected from the
developed system. Different approaches are used to measure the cost and evaluate the
various benefits to organizations. The approaches of cost-benefit analysis are used to
find out the feasible solution. The benefits to be expected from the system and expected
benefits are carried out in the cost/benefit calculation of the different expected costs.
The measurement of cost/benefit decides the system's cost-effectiveness.

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G. What are the responsibilities of a manager in respect to

MIS?

What does an Information Systems Manager do?


An information systems manager is also often called an information technology (IT)
manager. The primary role is to manage, design, and monitor information systems in a
variety of settings. They oversee staff that plan, install, and maintain hardware and
software upgrades. They must be effective communicators and have the ability to multi-
task.

Job Description for Computer and Information Systems Managers : Plan, direct, or
coordinate activities in such fields as electronic data processing, information systems,
systems analysis, and computer programming.

Information systems managers (IS Manager) implement information technology in an


organization, overseeing a team of IT professionals. The role encompasses information
systems planning, installation, and maintenance, including hardware and software
upgrades. IS managers may focus on a specific issue such as network security or
Internet services, or they may coordinate all technology operations.

An information systems manager sets up the computer systems and networks in an


organization and manages its team of IT professionals

You'll need experience in the sector, in areas such as technical support or operations,
before becoming a manager.

You could work in any organisation in the industry and service sector and will oversee
the work of technicians, programmers and database administrators.

You may also be known as a functional manager, service delivery manager or systems
manager.
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Responsibilities

As an information systems manager, you'll need to:

 research and install new systems and networks


 implement technology, directing the work of systems and business analysts,
developers, support specialists and other computer-related workers
 evaluate user needs and system functionality, ensuring that IT facilities meet
these needs
 plan, develop and implement the IT budget and obtain competitive prices from
suppliers to ensure cost-effectiveness
 organize the purchase of hardware and software
 schedule upgrades and security backups of hardware and software systems
 guarantee the smooth running of all IT systems, including anti-virus software,
print services and email provision
 ensure that users adhere to software licensing laws
 provide secure access to the network for remote users
 secure data from internal and external attack
 offer users appropriate support and advice
 manage crisis situations, which may involve complex technical hardware or
software problems
 mentor and train new IT support staff
 keep up to date with the latest technologies
 Contribute to organizational policy regarding quality standards and strategic
planning.

Skills

You'll need to demonstrate:

 leadership

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 co-operation and the ability to work as part of a team


 the ability to contribute to and implement organisational strategy
 a capacity to work with people at all levels in an organisation
 the ability to manage a team of individuals, each a specialist in their own area.

Professional development

There are no widely-recognised training courses for this management role. However,
you'll find regular training in specific technical products, offered by product suppliers
and IT training providers on operating systems such as Oracle and Microsoft - essential
to your career development.

Most of your training is likely to be technical in nature to ensure that you're up to speed
with developments, but you'll also need to develop your soft skills, including:

 communication
 customer service skills
 project management
 teamwork and team leadership
 time management.

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