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Management Information Systems

Definitions of Management Information Systems

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Definitions• What is management?• What is Information?• What are systems?• What is an Organization?• What are Information Systems?• Management Information Systems

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Management Information Systems

• MIS as an evolving concept• Levels of management: • What do information systems do?• MIS and Organizational Fit• MIS as a Discipline

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Definitions of Management Information Systems

• Management: What is management?– Planning– Organizing– Leading– Controlling– Communicating

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Management

1. Planning– Goal setting– Environmental scanning– Forecasting– Data collection

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Management

2. Organizing– Staffing– Coordinating– Delegating– Understanding– Procedures/ Policies

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Management

3. Leading– Authority–Motivating– Directing: Delegation of responsibilities activating– Supervising– Negotiation– Persuading

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Management

4. Controlling: Resources- Money (capital), manpower (people), materials, machines, movement (Distribution, flow), and Information–Measuring– Evaluating– Reporting– corrective action– feed back

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Management

5. Communicating: Goals/Objectives, standards of desirability– Informing– Persuading– Negotiation– Corrective action– Listening

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Definitions of Management Information Systems

Information: What is information?– 1. Data (raw material)– Alpha-numeric – Symbolic • Stored facts• inactive (they exist)• technology based• gathered from various places

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Information: What is information?

2. Processed data• meaningful• perceived value• motivating action• HAS SURPRISE VALUE• HAS NEWS VALUE• Presented facts• active (it enables doing)• business based (Domain based)• transformed form data

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Information: What is information?

– 3. Model• entity • attribute• relationship

– 4. Reduces Uncertainty?– 5. Reduces Equivocality?– 6. Knowledge/Power– 7. Send/Receive Messages

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Information: What is information?

– A definition: Information is data that has been processed into a form that is meaningful to

the recipient (USER) and is of real or perceived value in current or prospective actions or decisions.

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Transforming Data Into InformationTransforming Data Into Information

Data Inputs Information Outputs

Capture

Manipulation

Storage

Provision of Accessat User Location

ExternalData

InternalData

Information System

Query Response

Decision Outcome

Expert-System Advice

Transaction Document

Report

OrganizationEnvironment

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Definitions of Management Information Systems

• C. Systems Concepts: • 1. What are systems?

• a. input-process-output an orderly arrangement of interdependent ideas or constructs (ABSTRACT SYSTEM)• b. a set of elements which operate together to

accomplish an objective (PHYSICAL SYSTEM)

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Systems Concepts

• c. Network: An Integrated environment for a specific set of tasks – A definition of a system: A physical system is a set

of components (subsystems or elementary parts) that operate together to achieve a common objective (or multiple objective).

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Systems Concepts

• d. General Model of a System: Input, process and output.– The features which define and delineate a system

form its boundary. The system is inside the boundary and the environment is outside the boundary.– a system is composed of subsystems– Examples: stereo system. PC, automobile.

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Systems Concepts

– The interconnections and interactions between the subsystems are the INTERFACES.– Example of a system: An information system:– subsystems: PC Monitor, PC software, PC hard disk,

User.–What is the boundary between the software and

the User?

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System

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A System: A Black Box or General ViewA System: A Black Box or General View

System

Environment

Inputs Outputs

Constraints

Objectives

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A System and its SubsystemsA System and its Subsystems

EnvironmentSystem

Interconnection

Subsystems(components)

Constraints

Inputs Outputs Objectives

System Boundary

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Systems Concepts

– 2. Systems Approach:• a. Identify & establish the objective of the

system• b. Consider the totality of its relationships with

its environment• c. Can not ignore the importance of the

environment internal or external

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Systems Concepts

• d. Identify its components and their interactions.• examples:

– 1. Human Resources» skills inventory system» managerial promotion system» should they be separate or linked?

– 2. brokerage house» central client or» individual broker system

– 3. A TPS that has a very long response time

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Systems Concepts

– 3. Classifications of Systems: • a. Natural and Artificial– Natural»Occur in nature without human intervention» Biological systems- immune systems, digestive

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Systems Concepts

– Artificial» Human made or modified » Information systems, stereo»What about the immune system?» Artificial systems are measured

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Systems Concepts

» Effectiveness: the extend to which a systems achieves its objectives» Efficiency: consumption of inputs relative to

outputs» Usability: the ability of the uses to use the

system» Satisfaction: A subjective measure of "like" or

usability or effectiveness

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Systems Concepts

• b. Deterministic versus probabilistic– deterministic: The interaction between the parts or

subsystems is known for certain;» example: a computer program which performs

exactly to a set of instructions– probabilistic: A system that can be described in

terms of probable behavior (a certain degree of error);» examples: An inventory system, a five year old

(who does not follow a certain set of instructions).

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Systems Concepts

• c. Closed and open systems:– Closed system: self contained, one that does not

exchange material, information, or energy with its environment.– Examples:» A freshman in an 8:00 AM class;» A chemical reaction in a sealed, insulated

container.

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Systems Concepts

– Relatively closed systems: in organizations and in information processing, there are systems that are relatively isolated from the environment, but are not completely closed, these will be considered closed systems. – Examples:» a pre 1990 manufacturing system» a computer program with well defined inputs, a

process and an output (No agents)

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Systems Concepts

–Open Systems: exchange information, material, or energy with the environment, including random and undefined inputs. – Examples:» Biological Systems, and Organizational Systems

–Open systems tend to have form and structure – Adapt to changes in environment so as to continue

to exist

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Systems Concepts

• d. Human-Machine Systems: They both perform some of the activities in the accomplishment of a goal (making a decision).– the Machine elements are - hardware and software

are relatively closed and deterministic.

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Systems Concepts

– the human element are open and probabilistic» Examples: The computer doing the

computations, the human having a cup of coffee and thinking about the answers.

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SYSTEM INTERDEPENDENCE

BUSINESS

Strategy

Rules

Procedures

ORGANIZATION INFORMATION SYSTEM

INTERDEPENDENCE

SOFTWARE

HARDWARE

DATABASE

TELE-COMMUNICATIONS

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