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7/27/2019 Unit III - Management Information
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ManagementInformation Systems
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Management Functions
Planning
Devise short-range and long-range plans andset goals to help achieve the plans
Organizing
How to use resourcesStaffing
Directing
Guiding employees to perform their workControlling
Monitoring progress towards goals
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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
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Job titles
Chief information officer (CIO)
Director of information services
Information resource manager
MIS manager
Comfortable with
Computer technology
Organizations business
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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
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Three main categories of information systems
serve different organizational levels:
1. Operational-level systems:support operationalmanagers, keeping track of the elementaryactivities and transactions
2. Management-level systems: serve themonitoring, controlling, decision-making, andadministrative activities
3. Strategic-level systems: help seniormanagement tackle and address strategicissues
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Information Systems
TPS Transaction Processing Systems
MIS Management Information System
DSS Decision Support Systems
EIS Executive Information Systems
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Transaction Processing Systems (TPS)
Basic business systems that serve the
operational level
A computerized system that performs and
records the daily routine transactions necessary
to the conduct of the business
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Management Information System
Data + Organization
Set of formal business systems designed to
provide information for an organization
Computers are typical components
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Management level
Inputs: High volume transaction level data
Processing: Simple models
Outputs: Summary reports
Users: Middle managers
Example: Annual budgeting
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Decision Support Systems
Supplements an MIS
Pulls information from variety of databases
Interactive
Non routine decision-making
Modelmathematical representation of real-life system
Simulationusing a computer model to reach a
decision about a real-life situation
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Management level
Inputs : Transaction level data
Processing : Interactive
Outputs : Decision analysis
Users : Professionals, staff
Example: Contract cost analysis
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MIS
Planned reporting
Standard, scheduled, structured, and routine
Constrained by the organizational system
DSS
Decision making
Unstructured and by request
Immediate and friendly
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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
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Inputs : Aggregate data
Processing : Interactive
Outputs : Projections
Users : Senior managers
Example: 5 year operating plan