Management

Information Systems:
Classic Models
and
New Approaches

Chapter 17
 Objectives

• List and describe the classic functions of

managers – planning, organizing, staffing,
directing, and controlling
• Describe the purpose and components of a
management information system (MIS)
• Explain how computer networking and related
software have flattened the classic
management pyramid
 Objectives

• Describe how many companies use

employees in task-oriented teams
• Describe the purpose and function of
sophisticated software for top managers
• Explain the problems and solutions related to
managing personal computers
• Explain the concept of total cost of personal
computer ownership
 Contents

• Management Functions
• Management Levels
• Information Systems
• Personal Computer Management
• MIS Leads into the Future
 Management Functions
Planning
• Get the job Devise short-range and long-range
done plans and set goals to help achieve
the plans
• On time Organizing
• Within budget How to use resources

• Satisfactorily Staffing
Directing
• Using Guiding employees to perform their
available work
resources Controlling
Monitoring progress towards goals
 Management Levels
• High level (strategic)
– Long-range view
– Planning
• Middle level (tactical)
– Carry out the plan
• Assemble the material
• Hire the resources
– Organize and staff
• Low level (operational)
– Supervisor
– Directing and controlling
 Management Levels

• Job titles
– Chief information officer (CIO)
– Director of information services
– Information resource manager
– MIS manager
• Comfortable with
– Computer technology
– Organization’s business
 Management Levels
Interaction Among Employees
Traditional hierarchy
• High level manager issues directives to a
group of middle level managers
• Each middle level manager issues directives
to a group of low level managers
• Each low level manager supervises other
employees to see that the work is completed
 Management Levels
Interaction Among Employees
Modern Hierarchy
• Dispersion of information via network
– E-mail
– Groupware
• Authority and work of managers has been altered
• Promotes sharing of information
• Decisions that were once management are now open
for comment and change
• Supports team-based and information-driven
organization
 Management Levels
Interaction Among Employees

Need new ways to monitor employees

• Selection and training of employees
• Set clear expectations
• Use customer satisfaction to determine
performance
Management Levels

Flattening the pyramid

 Information Systems

MIS Management Information System

DSS Decision Support Systems
EIS Executive Information Systems
 MIS
Management Information System

• Data + Organization
• Set of formal business systems
designed to provide information for an
organization
• Computers are typical components
 DSS
Decision Support Systems
• Supplements an MIS
• Pulls information from variety of databases
• Interactive
• Nonroutine decision-making
• Model – mathematical representation of real-
life system
• Simulation – using a computer model to
reach a decision about a real-life situation
 MIS vs. DSS
• MIS
– Planned reporting
– Standard, scheduled, structured, and
routine
– Constrained by the organizational system
• DSS
– Decision making
– Unstructured and by request
– Immediate and friendly
 EIS
Executive Information Systems
• DSS for top-level managers
• How decisions effect entire organization
– Overall vision; company goals
– Long-term objectives
– Organizational structure
– Staffing and labor relations
– Crisis management
– Control of overall operations
• Access to information from external sources
 Personal Computers
Management
• Benefits
– Increased productivity
– Independence from MIS department
• Problems
– No one in charge of overall purchase of PCs
– Incompatibility
– Network related issues
– Needed data from MIS
– Training
– Inventory
 Personal Computers
Management
Solutions
• Staffing
– Personal Computer Manager
– Network Manager
• Acquisitions policies
• Information centers for assistance and training
• Use software to control inventory of PCs
• Remote access
• Consider total cost of ownership (TCO)
 Personal Computers
Management
• Personal Computer Manager
– Technology overload – provide guidance to users for purchase
and use
– Data security and integrity – addresses the issues of who has
access to what
– Computer junkies – set guidelines for PC use
• Network Manager
– Operational
– Provide methods for sharing
– Install software
– Backup
– Network security
 Personal Computers
Management

Manager Characteristics
• MIS background
• Technical knowledge
• Benefits and limitations of computers
 Personal Computers
Acquisition

• Standards
– Hardware
– Software
– Data communications
• Limit the number of vendors
 Personal Computers
Information Center
• Services
– Software and hardware
selection
– Data access
– Network access
– Training
– Technical assistance
• Easily accessible location
• “User comes first”
Personal Computers
Training
Traditional approach
– Sporadic participation
– Minimal results for
extended training
Better approach
– Initial training
– Home-grown gurus
– Follow-up support
– Involve the workers
– Web and CD based
training
 Personal Computers
Inventory
• Budgets
• Software
– Count computers
– Determines components
– Determine installed software
 Personal Computers
Remote Access

• Equipment needs
• Security concern
• Training
 TCO
Total Cost of Ownership
• Initial hardware and software
• Training TCO
• Support estimated at
• Upgrading
• Maintenance
four times
• Hardware the hardware
• Software extras costs!
• Communications networks
 TCO
Reduce the TCO
• Limited Options – standardize the ordering
process including hardware, software, and
options
• Helpful software – counts computers and
determines their components and installed
software in a networked environment
• Hardware and software upgrades – insure
there is justification for an upgrade
 Management Information
Systems

Leading Business into the Future