Information Management Chapter 11 Who Needs to Know What, and When? © The McGraw-Hill Companies, Inc., 2000

Ch 11© The McGraw-Hill Companies, Inc., CCI Overview Trends in workplace Organizations: Departments, tasks, information Management information systems Future directions

Ch 11© The McGraw-Hill Companies, Inc., CCI Change in the Workplace Automation Downsizing and outsourcing Total quality management Employee management Reengineering

Ch 11© The McGraw-Hill Companies, Inc., CCI The Virtual Office A mobile office Integrated computer technologies Integrated communications technologies Increase of collaborative networks

Ch 11© The McGraw-Hill Companies, Inc., CCI Automation Change how we do our jobs Change the kind of work we do Change the world in which we work

Ch 11© The McGraw-Hill Companies, Inc., CCI Downsizing and Outsourcing Mainframe to networks Reducing the size of the workforce –flattened hierarchy –loss of middle management –outsourcing

Ch 11© The McGraw-Hill Companies, Inc., CCI Total Quality Management Also called TQM Continuous process improvement Requires worker involvement Requires input from the lower level of an organization to upper levels

Ch 11© The McGraw-Hill Companies, Inc., CCI Employee Empowerment Authority to act and make decisions on their own Old style: “need to know” - limited knowledge flow New style:- task-oriented teams through groupware and other collaborative means

Ch 11© The McGraw-Hill Companies, Inc., CCI Reengineering Rethink and redesign Process innovation and core process design Best with processes that have impact on the corporation –identification of processing or shipping bottlenecks, for example

Ch 11© The McGraw-Hill Companies, Inc., CCI Departments, Tasks, Management Levels, and Types of Information What are the traditional organizational departments, tasks, levels of managers, and types of information needed by managers and workers?

Ch 11© The McGraw-Hill Companies, Inc., CCI Departments R& D –research and development basic research product development Production/operations –makes the product –provides the service

Ch 11© The McGraw-Hill Companies, Inc., CCI Marketing Manages –advertising –promotion –sales

Ch 11© The McGraw-Hill Companies, Inc., CCI Accounting and Finance Handles all financial matters Cash, bills, paychecks, payments, investments, and financial statements

Ch 11© The McGraw-Hill Companies, Inc., CCI Human Resources Recruits Sick leave Retirement Compensation levels Professional development Employee relations Government regulations

Ch 11© The McGraw-Hill Companies, Inc., CCI Management Tasks Planning Organizing Staffing Supervising (leading) Controlling

Ch 11© The McGraw-Hill Companies, Inc., CCI Management Levels Three levels of management: –Top, Middle, Lower

Ch 11© The McGraw-Hill Companies, Inc., CCI Neumann-Hassan Triangle Management Operational Tactical Strategic Planning Nonmanagement

Ch 11© The McGraw-Hill Companies, Inc., CCI Top Managers CEO or President Vice Presidents Principally concerned with planning Growth, new markets Goals Financial resources

Ch 11© The McGraw-Hill Companies, Inc., CCI Middle Management Implementation of goals Oversee supervisors Make tactical decisions Principally organizing and staffing Determine volume of product Inventory Sales reports

Ch 11© The McGraw-Hill Companies, Inc., CCI Lower or Supervisory Management Operational decisions Manage or monitor non- management employees Principally leading and controlling Restocking inventory Sales monitoring

Ch 11© The McGraw-Hill Companies, Inc., CCI Types of Information Intelligent decision making requires information that is: –accurate –complete and relevant –cost effective –current –time-sensitive

Ch 11© The McGraw-Hill Companies, Inc., CCI Information Properties Level of summarization Degree of accuracy Timeliness

Ch 11© The McGraw-Hill Companies, Inc., CCI Information Categories Structured information –detailed –current –concerned with past events –highly accurate, nonsubjective data –narrow range of facts –internal activities

Ch 11© The McGraw-Hill Companies, Inc., CCI Information Categories (continued) Unstructured information –summarized –less current –concerned with future events –subjective data –broad range of facts –outside as well as inside organization

Ch 11© The McGraw-Hill Companies, Inc., CCI Information Categories Semistructured information –some structured and some unstructured

Ch 11© The McGraw-Hill Companies, Inc., CCI Management Information Systems Who are the intended users of the TPS, MIS, DSS, EIS, ES, and OAS management information systems?

Ch 11© The McGraw-Hill Companies, Inc., CCI MIS The purpose of computer-based information systems is to provide managers and other employees with the appropriate information to help them make decisions

Ch 11© The McGraw-Hill Companies, Inc., CCI Computer-Based Information Support Lower: TPS Middle: MIS and DSS Top: DSS and EIS All levels: ES and OAS

Ch 11© The McGraw-Hill Companies, Inc., CCI Transaction Processing System TPS Keeps track of transactions that support business Input –bills, orders, inventory levels Output –invoices, paychecks

Ch 11© The McGraw-Hill Companies, Inc., CCI TPS Lower managers –principally supervisor –helps in operational decisions Produces detail reports –specific detailed information about routine activities One per department Basis for MIS and DSS

Ch 11© The McGraw-Hill Companies, Inc., CCI Management Information System To support tactical decisions through reports Filters business inputs and outputs Helps spot trends and overview of business activities Draws from all departments Uses data recorded by TPS

Ch 11© The McGraw-Hill Companies, Inc., CCI MIS Reports Summary reports –trends and totals Exception –out of the ordinary Periodic reports –regularly scheduled On-demand –response to unscheduled demand

Ch 11© The McGraw-Hill Companies, Inc., CCI Decision Support System To support strategic decisions Inputs –some summarized reports –processed transactional data –external, but related data Outputs –flexible to help make unscheduled reports

Ch 11© The McGraw-Hill Companies, Inc., CCI DSS Mainly top and middle managers To help make strategic decisions –effecting events and trends outside the organization Products analytical models –uses simulation models to project trends and determine possibilities to react to shifting conditions

Ch 11© The McGraw-Hill Companies, Inc., CCI DSS Components Hardware –typically networked to take advantage of access to other systems Software –contain generators to manage DSS databases, decision modules, and interaction between the user and the system

Ch 11© The McGraw-Hill Companies, Inc., CCI DSS Components (continued) Data resources –internal and external data, and personal databases Model resources –mathematical and analytical models People resources –explore decision alternatives

Ch 11© The McGraw-Hill Companies, Inc., CCI DSS Applications Airline DSS –American Analytical Information Management System (AAIMS) for seat capacity and traffic statistics –Yields management system helps determine appropriate overbooking and seat costs

Ch 11© The McGraw-Hill Companies, Inc., CCI DSS Applications (continued) Real estate DSS –RealPlan helps in complex analysis of real estate investments Geographic DSS –Geographic Information System (GIS) integrates computer graphics and databases

Ch 11© The McGraw-Hill Companies, Inc., CCI Executive Information System EIS Easy-to-use for top managers Focus on analyzing data and creating what-if scenarios

Ch 11© The McGraw-Hill Companies, Inc., CCI Expert System ES Interactive computer programs Management and nonmanagement Includes knowledge base from experts to aid in decision making

Ch 11© The McGraw-Hill Companies, Inc., CCI ES MYCIN –helps diagnose infectious diseases PROSPECTORS –helps locate mineral deposits CARES –Computer Assisted Risk Evaluation System

Ch 11© The McGraw-Hill Companies, Inc., CCI Office Automation System Reduces manual labor in an efficient office environment Voice mail, , scheduling, desktop publishing, word processing, fax LAN based –may add an intranet or an extranet

Ch 11© The McGraw-Hill Companies, Inc., CCI OAS

Ch 11© The McGraw-Hill Companies, Inc., CCI Electronic Publishing Systems Word processing Desktop publishing Copying systems

Ch 11© The McGraw-Hill Companies, Inc., CCI Electronic Communications System Electronic mail – Voice mail Facsimile –fax Desktop videoconferencing

Ch 11© The McGraw-Hill Companies, Inc., CCI Electronic Collaboration System Electronic meeting systems Collaborative work systems Teleconferencing Telecommuting

Ch 11© The McGraw-Hill Companies, Inc., CCI Image Processing System Electronic document management Other image processing Presentation graphics Multimedia systems

Ch 11© The McGraw-Hill Companies, Inc., CCI Office Management System Electronic office accessories Electronic scheduling Task management

Ch 11© The McGraw-Hill Companies, Inc., CCI The Future Most organizations trying to improve management Frances Hesselbein suggests a circular management as a more free-flowing model