SEMESTER II

ASSIGNMENT

Hema K
Roll No.MMBA/JUN10/7013

ASSIGNMENT FOR SECOND SEMESTER

(Should be minimum 4-5 pages)
As a business man, how does MIS come handy to you for providing
information at various stages of decision making in today’s world of ever
increasing complexities of business management. Also mention the use of
computer in MIS (Take any business as an example).

(100 Marks)

“Whenever you see a successful business,

Someone once made a courageous decision”

-Peter Ducker, Writer, professor, Management consultant

ANS: A management information system is used by the managers throughout the

organization to help them in directing, planning, coordinating and decision making.
In other words, MIS is formalized computer information systems which can be
integrate data from various sources to provide the information necessary for the
decision making at the management level. An organized assembly of resources and
procedures required to collect process and distribute data for use in decision
making.
MIS refers broadly to a computer based system that provides managers with the
tools for organizing, evaluating and efficiently running their departments.
In order to provide past, present and prediction information, an MIS can include
software that helps in decision making, data resources such as databases, the
hardware resources of a system, decision supports systems (DSS), people
management and project management applications and any computerized
processes that enables the department to run efficiently.
The below diagram explains you how MIS helps in entire process of any industry.

SEGMENTATION OF MIS

Management is segmented in to two main divisions such as:-

 Planning – This segment decides what to do and when to do.
 Control - This segment assures that the desired results are obtained.

ROLE OF MIS:
 MIS plays very vital role in the management, administration and Operation of
the organization.
 MIS ensures that an appropriate data is collected from various resources,
processed and sent further to all the needy destinations.
 Fulfill the information needs of an individual and top level management.
 Even we can outline the basic role of the MIS as below:
 Hardware administration
 Software development and support
 End user support
  Computing standards
 Database administration
 Corporate data access
Below diagram fulfils the role of MIS in an industry:

The Role of MIS

Support to managerial decision

Support to Business Operations
making

Control Reporting Tailored

Business Team and Interactive
of System Information
Transaction Work group Decision
Business for for
Processing collobration Support
Process Managers executives

At every phase of the management process, managers constantly need information

in order to make effective decisions. It does not include purely functional information
or technical information. Management information is the information required by
managers as they make their decisions, such as:
–number of staff required to be employed by each department,
–their training requirements,
–career development plans,
–job descriptions,
–budgets,
–overall forecasts,
–benchmark surveys, and
–progress reports on socio economic conditions.

MIS Reports
  The MIS reports provide an analytical and actual view of the organizations current state to all the
functions. The MIS
 Provides data: One of the important functions of the management accountant is to keep the
management informed of all the facts relating to the business to assist the management in the

effective management of the business. The effectiveness of the information depends upon on
its proper reporting.
 Aid to managers: The growth of size of business requires the delegation of authority to various
levels of management. Therefore, there arises need of control, co-ordination and
communication. Without MIS, the managers, working at different levels in the organization,
cannot carry out the function of planning, controlling and decision making effectively.
 Basis of decision: It is through MIS reports only the management is able to get a full insight into
the entire operative activity of the concern. The MIS reports are basis for the management to
make decisions.
 Take informed decisions: The primary object of MIS reporting is two fold: informing the
Management of the actual performance, to enable the management to make scientific and
Sound decision.

MIS: how it supports to management:

Management Steps Decision taken by Managers

(Here, Its me!)

Planning Deciding which method to select

among various alternatives like
different strategies, resources or
methods

Organization Selection of a combination out of

several combinations available
 with me regarding people, goals,
authorities and methods.

staffing Manage the positions in the

organization structure and provide
proper man power

Directing Selecting a method for directing

efforts in the organization

Controlling Selection of exception condition

and decision guidelines

Coordinating Choice of tools for coordinating

The below flow chart may give us brief idea about how MIS will play key role while
decision making:
Advantages of MIS:

• Timely and accurate transaction processing

• Streamlining accounting and records management
• Providing managers with ad hoc and interactive support in decision making
• Provision of an easy and systematic way in digging out critical information
tailored according to specific requirements and customized preferred formats
• Enables the organization to gain competitive advantages over others
• Better communication, inter- organizational computing and internet working.
Supports business operations and successful management of business
operations.
• Better use of executive resources by automating routine functions
• Increased ability to make sound, rational and informed decisions involving
complex combinations of factors, and doing so with more confidence with
speed
• Better use of time by making facilities available every time they are
requiredImproved customer services and improved personnel relations within
the organization

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