CBMS4303: Management Information System e-Tutor: Rames Mariapan

Computer-Based Information Systems Topic 1 Computer-Based Information Systems

Learning Objectives Define information technology and information system; Explain the significance of information management; Identify the three types of management levels and their respective functions; Differentiate six types of information systems; and Describe the role of the information system department.

Data, Information & Knowledge is the basic fact or raw fact which consists of texts, diagrams, graphics, images, and audio and video clips which are meaningless Information is data which has been processed in order to be meaningful to the users Knowledge consists of information that has been arranged and processed to convey understanding, experience as well as expertise which is to be used in solving problems

Information System What is a system? What is information system (IS)? A system is simply a group of activities and elements, which have been arranged to achieve a certain objective. What is information system (IS)? A combination of hardware, software and telecommunication systems, which can support business operations to increase productivity and help managers make decisions

Information System IS may also support managers and staff to analyse problems, visualise complex subjects and new products and services Many organisations today use IS: to offer services with greater satisfaction to customers to access a wider range of information to handle business changes at a greater speed to increase the productivity of workers

Information System 3 main activities in IS: Input gathers or captures raw and unprocessed data from within the organisation or from its external sources Processing converts this raw input into a meaningful form Output transfers the processed information to the organisation’s users who will use it or to the functions for which it is used

Management Information System MIS defined as a system that provides the information necessary to manage an organisation’s operation effectively a system that has information processing capabilities that include collecting, processing, storing and disseminating data in the form of information through analytical processing and conveying information to whoever needs it

Management Information System MIS has changed the perspective of using information, from only recording the firm's transaction to assisting managers in solving organisational problems is able to support the information requirement of the management

Information Management A firm's resources can be divided into two categories: Physical Conceptual In today's business world, the application and knowledge of information systems are important Managers give priority to information systems due to two main factors: Business environments change in a more complex way Increasing increase in computer skills

Managerial Position Managers are positioned at every level of management and in all units or departments in the firm. Management Level In general, every firm has three levels of management known as: Top level management - also known as strategic level management Middle level management - also known as control level management Lower level management - also known as operational control level

Managerial Position Management Level Job Scope Designation Top To prepare long–term planning (5-10-20 years) CEO, President, Vice-President Middle To prepare mid-term planning (1 month – 1 year) To plan actions for long-term planning and to ensure the firm’s objectives are achieved Branch Manager, Director, Division Leader Bottom To ensure the planning done by top and middle management level are implemented Head of Department, Supervisor, Coordinator, Project Leader

Managerial Position Manager’s Skills Manager's Knowledge Communication Skills Problem-Solving Skills Manager's Knowledge Computer Literacy Information Literacy

Type of Information System Input Processor Output User TPS/AIS Transaction; events Picking; listing; merging; updating Detail report; list; summary Operation Staff; Supervisor MIS Summary data transaction; high volume data; simple report Routine report; simple model; low level analysis Simple report Middle manager OAS Document; schedule Document management; schedule; communication Document; Schedule mail Clerical staff DSS Low volume data/ very big database that are optimised for data analysis; model and data equipment analysis Interactive; simulation, analysis Special report; result analysis; responds to the inquiry Professional; Manager EIS Overall Data: Internal, External Graphic simulation interactive Forecast respond to inquiry Senior management Expert System Knowledge, facts and techniques of decision making Simulate how a human expert thinks Reasoning and analysis of decisions to solve problems Senior managers

Information System (IS) Department The Information System (IS) department develops and maintains the firm’s information system. Information expert refers to members of the staff who are responsible for the development and organisation of the firm's information system: System analysts Database administrators Network administrators Programmers Computer operators

End User Computing (EUC) The system user who uses computer-based information is known as the end user Full or partial development of the information system by the user is known as end user computing (EUC) EUC grew because of the following factors: Development in computer literacy Increase in the backlog tasks of the information system department The cost price of computer hardware is cheaper these days Variety of choices in off-the-shelves software packages

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