1. www.bzupages.com Topic : Evaluation of MIS function Submitted to: Sir Ahmed Tisman Pasha Submitted by: Nimra Irshad 06-27 BS-IT 6 th

2. www.bzupages.com How Mis Function Can Be Evaluating: Periodically, the performance and worth of the MIS function must be assessed Typically, such a review is done by the steering committee; the main focus of the review is on the performance of the chief information officer. The review covers such matters as the following:

3. www.bzupages.com 1- PERIODIC PERFORMANCE REPORTS: Periodic performance reports show how well the MIS area performed with respect to staying within planned spending limits The reason is that overspending may not be the CIO’s fault. Such reports are also often accompanied by a statement of controllable and uncontrollable expenses

4. www.bzupages.com 2- USER SURVEYS: User survey such as questionnaires or interviews help to determine how satisfied users are with MIS performance These surveys are designed to obtain subjective responses to questions such as the following: Are the systems that are supposed to be working really working??? How responsive are MIS personnel to user needs??? What should MIS be doing that it currently is not doing???

5. www.bzupages.com 3- System performance: Included under system performance are objective measures concerning how well computer systems are performing These are some examples of questions that need to be addressed in this area: How well are batch schedules met??? Is on-line response time satisfactory??? Is system downtimes a problem???

6. www.bzupages.com 4- Early warning signals: Included in the category and changes in the user complaint level These issues may or may not cause serious concern Nonetheless, any of them might be an indication that something is seriously wrong.

7. www.bzupages.com 5- Overall effectiveness : The bottom line in MIS performance is usually effectiveness. That is, did the MIS department function well and was it successful at what it did? If the MIS area set up an annual plan, and operated according to the guidelines of that plan, then it probably performed appropriately. Such a comparison is possible, of course, if a strategic MIS plan was prepared.

8. www.bzupages.com Two particular issues are currently the driving forces in MIS long-range planning and decision making: 1- downsizing 2- outsourcing

9. www.bzupages.com Downsizing: Downsizing usually refers to reducing the numbers of managers and professional staff members in an organizations. This sometimes results in the elimination of selected middle management positions and levels. The rationale behind this type of downsizing is to reduce the distance between top-level managers and lower-level workers

10. www.bzupages.com Such flattening of the organizational structure has, in many cases, resulted in leaner and more cost-effective operations. Hence, competitive advantage may result from downsizing efforts. Both definitions of downsizing suggests major changes in the internal mix of MIS personnel. In sum, downsizing can potentially result in smaller MIS departments and a refocusing of MIS tasks and activities.

11. www.bzupages.com Outsourcing: Increasingly, organizations are looking outside for MIS services; doing so is called OUTSOURCING Outsourcing basically means turning over selected information systems functions to a third-party contractor. The functions outsourced can range from simple data entry to full systems development. Many saw the potential benefits of outsourcing.

12. www.bzupages.com Potential benefits of outsourcing including cost cutting, gaining critically needed MIS skills, accelerating systems development and relieving the firm of developing or operating non-strategic information systems. Outsourcing is an umbrella term that covers many services. The following is a list of services that are available in the marketplace to an outsourcer.

13. www.bzupages.com Application development Facilities management Support operations Data entry and simple processing

14. www.bzupages.com Application development: Several studies indicate that application development is the most frequently outsourced MIS function. These activities may be outsourced to contract programmers or to systems integrators Contract programming firms perform software development and maintenance activities, including systems analysis, design, programming, testing, implementation, conversion and maintenance.

15. www.bzupages.com The contract is typically on a one-time basis to meet a particular systems development or maintenance need that cannot be adequately met by the outsourcer’s MIS staff. They may also perform other services

16. www.bzupages.com Facilities management: The increasing number of organizations find it cost-effective to hire an outsourcing service provider to take over their data center operations The outsourcing firm becomes responsible for operating and maintaining the outsourcer’s data center equipment and applications This may be implemented in several ways Electronic Data Systems (EDS) is a well known U.S provider of such services.

17. www.bzupages.com Support operations: Support operations for maintenance, service and disaster recovery are sometimes included in facilities management contracts. These are usually considered to be specially operations that are outsourced to firms specializing in these activities. Contracts for telephone hotline support centers are also included in this category.

18. www.bzupages.com Data entry and simple processing: These types of tasks can be outsourced easily because they are well defined, routine and labor intensive. Because of this, high levels of interaction between the outsourcer and the firm providing these services are usually not necessary.

19. www.bzupages.com WHY DO ORGANIZATIONS OUTSOURCE: Numerous factors contribute to the growing incidence of outsourcing These include the inability of MIS departments to hire and keep suitable MIS professionals, plus the need for increased flexibility and access to international markets. Several other contributing factors are:

20. www.bzupages.com Cost reduction and containment Access to cutting-edge technology and knowledge Improved focus on the strategic use of IT Increased availability of outsourcing services

21. www.bzupages.com Global outsourcing: Global outsourcing is a recent trend that also interests an increasing number of companies. It is not surprising that global outsourcing is a rapidly growing segment of the total outsourcing market. Several U.S corporations have used global outsourcing. Unisys outsourced numerous application development projects to programmers in Singapore and India. CITIBANK outsourced to firms in India and Philippines.

22. www.bzupages.com Merrill Lynch contracted with an Irish firm. Even such U.S hardware vendors as DEC, Texas Instruments, and Tandem have entered into global outsourcing contracts. Data entry and contract programming are the most commonly outsourced MIS services. Pacific Data Services has contracted data-entry services from China since 1961. In some cases, semi-skilled jobs are also globally outsourced.

23. www.bzupages.com In sum the range of globally outsourced MIS services has expanded recently. Both downsizing and outsourcing are becoming more important factors in the development of MIS’s long-range plan. As the popularity of downsizing spreads, an increasing number of organizations will probably enter into transitional outsourcing contracts with vendors.