Prepared By: Dinesh Bajracharya Nepal Types of information
systems
Slide 3
Why different types of IS? One IS may not be able to satisfy
all the requirements of organization Organizations have different
level of managers, and their information requirements differ from
each other Organizations have different functional units, and their
information requirements differ from each other. IS that is
designed and developed for Sales and Marketing may not be of use
for Human Resource System
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Level of management Low level Routine, daily activities,
basically related with data collection Middle level Handles short
term decision making situations Top level Handles long term
decision making situations
Slide 5
Around 90% of data is collected in the low level of management.
The collected data (data from external source also) are processed,
analyzed in the middle level to make short term decision
Information provided by middle level management and information
from different outside sources are used in top level management to
make long term decisions.
Slide 6
Transaction processing system (TPS), is used in low level
management to perform daily, routine tasks and activities; tasks
related with data Management Information system (MIS), Decision
Support System (DSS) are used in middle level of management. These
ISs generate information by processing data collected in low level
of management. Executive Support System or Executive Information
System are used in top level of management.
Slide 7
Example, Restaurant Low level management Waiters, cooks,
counter officer Waiters take orders; cooks prepare foods checking
orders, counter officer makes bill checking order Middle level
Management Accountant, supervisors Accountant study the bills,
supervisors study the number of customers arriving in the
restaurant, take feedbacks from customers, check quality of
service; study waiters and cooks performances
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Top level management Owners, CEO, Director Top level managers
study the reports provided by middle management, makes decision
about number of waiters/cooks; price of items served in the
restaurant; increasing capacity of restaurant
Slide 9
Functional units of organizations Sales and marketing Finding
customers, informing customers about products and service, studying
methods of informing customers about products/services At strategic
level sales and marketing system monitors sales and market trend At
management level: enables to analyze sales performance,
effectiveness of marketing, performance of salesperson At
operational level: enables to find customers, track sales, support
customers
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Manufacturing and production Raw material acquisition; amount
of raw materials to store; finding suppliers; making products;
calculating supply/demand At strategic level: deals with long-term
manufacturing goals At management level: monitors manufacturing and
production costs and resources At operational level: controls
actions of machine and equipment
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Human Resource Detailed information about employees; evaluating
performance of employees; training employees; contingency
management. At Strategic level: helps to identify type of human
resources required At management level: helps to monitor and
analyze recruitment process, training employees At operational
level: helps to track the recruitment and placement of human
resources in the firm
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Account and finance What is the financial status of the
organization? How much organization has to take? How much
organization has to pay? At strategic level: enables to establish
and forecast long- term investment goads At management level: helps
to control firms financial resources At operational level: helps to
track flow of funds