MIS

COMPONENTS OF MIS

 People: These are the system users who utilize it to keep track of daily
business transactions. The users have typically educated professionals,
such as human resource managers and accountants.

 Business procedures: These are generally accepted best practices that

instruct users and every other component on how to operate effectively.
Users, consultants, and other people create business procedures.

 Data: The daily business transactions that were documented. Data is

gathered for banks via transactions like deposits and withdrawals.

 Hardware: Computers, printers, networking equipment, and other items

make up hardware. The hardware provides the ability to process data.
Additionally, networking and printing capabilities are provided.

 Software: These are applications that use hardware to function. System

software and applications software are the two main divisions of the
software. The operating system is referred to as system software.
Applications software describes specialized software used to carry out
business operations.
OBJECTIVE OF MIS

 Data Capturing: Data is collected by MIS from various

organizational internal and external sources. Data might be
captured manually or via computer terminals.

 Processing of Data: The recorded data is processed to create the

necessary information. Data processing includes tasks including
calculating, sorting, categorizing, and summarizing.

 Storage of Information: The processed or unprocessed data is

kept in the MIS for further use. Any information that is not
immediately needed is preserved as a record for the organization to
use later.

 Retrieval of Information: As and when needed, the management

information system gets data from its databases for various users.

 Dissemination of Information: The organization's users receive

information, a finished product of the management information
system. It occurs regularly or online via a computer terminal.
CHARACTERISTICS OF MIS

 System approach: MIS adheres to the system approach, which

denotes a step-by-step procedure for examining a system's
operation in the context of the goal for which it was created. It
entails having a comprehensive perspective on how
organizational subsystems function.
 Management-oriented: The management-oriented nature of
MIS suggests that a top-down MIS design methodology must be
used. According to a top-down approach, management needs
and business objectives are decided upon at the start of system
development. MIS suggests management that works dynamically
with system development to reach management decision
completeness.
 According to requirements: The MIS should be designed and
developed based on the data that managers need. Strategic
planning, management control, and operational control are three
separate levels at which the necessary design and development
information is found. Accordingly, MIS should address the unique
requirements of managers at various levels of an organization's
hierarchy.
 Future-focused: MIS should be designed and developed with the future
in mind so that it is not limited to providing only historical data.
 Integrated: A full MIS combines all its sub-components to deliver the
pertinent data to make a wise decision. An essential element of MIS is an
integrated system that combines data from several operating domains.
 Common data flows: This idea underpins several fundamental
perspectives on system analysis, including reducing duplication, merging
related tasks, and streamlining processes. The increase of common data
flow is a sensible and cost-effective idea.
 Long-term planning: Since MIS entails logical planning for an
organization's success, it should always be developed as a long-term plan.
The analyst should consider the demands of the business and future-
focused analyses when creating MIS.
 Relevant relationship between subsystem planning: The
development of the MIS should be broken down into its associated
subsystems. These supporting systems must be useful with careful
planning.
 Central database: Data are presented in tabular form in the central
database. This database contains data related to inventories, employees,
clients, and other sources of information. The database is responsible for
record insertion, deletion, and updating processes.
MANAGEMENT REPORTING
SYSTEM

 1. Management Reporting System-It is a

database that tracks all the finances and
business activities at various management
levels.
 1)Middle-level managers
 2) intermediate-level managers
 3)senior-level managers
TYPES OF MANAGEMENT
REPORTING SYSTEM
 1)Middle-level managers-typically utilize a
management reporting system to produce frequent
reports by comparing past and present financial
performance to assess financial growth.
 2) intermediate-level managers-The
intermediate-level managers can also use it to
analyze their performance.
 3)senior-level managers -The senior-level
managers compare the company's present financial
situation and operational effectiveness against the
company's established goals using data supplied by the
reporting system.
PROCESS CONTROL
SYSTEM
 . The process control system continuously collects data
and produces a report on the system's performance. The
report helps the management assess how well the process
is working and provides information on when a specific
event occurred.
SALES AND MARKETING SYSTEM

 Managers can monitor a company's sales

and advertising effectiveness through sales
and marketing systems.
 Through client reviews and comments,
marketing systems can generate reports
that assist managers in raising the caliber
of their products.
 Marketing managers that utilize sales
systems can use reports to learn more
about expected sales and assess how they
compare to present earnings.
INVENTORY CONTROL
SYSTEM
It keeps track of every inventory-related
event, such as theft, spoilage, and
inventory on hand, enabling
management to see which products are
selling out more quickly and require
restocking, either in specific retail
locations or the business warehouse.
The movement of inventory into the
warehouse, from the warehouse to the
stores, sales, and returns are all tracked
by the inventory control system.
ACCOUNTING AND FINANCE SYSTEMS

 It keeps track of an organization's assets and

investments.
 It compiles all the information relevant to the
financial reports required by law for federal, state,
and local taxes, payroll, and pension funds.
 If the institution publishes yearly reports, the
accounting and finance system delivers the reports
required for such audits.
 It also makes it easier to post daily transactions,
such as sales revenue, returns, and bank deposits.
 This method is the foundation for monthly
statements like the profit and loss and balance
sheets.
HUMAN RESOURCES

 With the use of this information

management system, management may
regulate how information is distributed
throughout the company.
 The office automation information system
includes electronic tools that managers use
to communicate with other departmental
managers, their staff, or even with other
employees. Payroll, benefits, and
retirement are all financial components of
the accounting and financial systems that
are tracked by this system
DECISION SUPPORT
SYSTEM
 Decision support systems collect information
from both internal and external sources to
assist managers in making business choices.
 internal sources- Data from other
departments, such as financial data, inventory
data, or current sales margins for a quarter,
are examples of data from internal sources.
 External data sources- include industry
developments, interest rates, and costs with
rival businesses or suppliers. When making
judgments on building growth, annual work
quotas, or new policy creation, a manager
may employ a decision support system.
EXECUTIVE INFORMATION SYSTEM

 The executive information system is

made to help executive management
oversee executives.
 By providing information in tables and
charts, this system makes it simple for
managers to analyze data and make
informed judgments.
MARKETING INFORMATION SYSTEMS

 The Marketing Information System

refers to the systematic gathering,
analysis, interpretation, storage, and
presentation of market information to
marketers regularly and continuously
from internal and external sources.
 It gives marketers important details to
decide how best to carry out marketing
operations, such as pricing, packaging,
new product development, distribution,
media, and promotion.
TRANSACTION PROCESS
SYSTEMS
 Transaction process systems capture
data during an organization's daily
transactional activity.
 They can also keep an eye on other
regular operations like queues of goods
or reservations for various commodities.
 Payroll and other corporate operations
involving deposits can be automated
with transaction systems.