PLANNING & PRODUCTION CONTROL (BMFP 4513) MANAGEMENT INFORMATION SYSTEM (MIS) Muhammad Faiz Bin Mohamad Fuad B050810176 Mohd Farid Bin Saiman B050810272 Muhammad Azamuddin Bin Abdul Aziz B050810177 Ahmad Fikri Bin Omar B050910094

Learning Outcomes General System & Design Selection System General Implementation Approaches BAAN IV SAP

General System & Design Selection System

Major Types of Information System Executive Support System (ESS) Decision Support System (DSS) Information System Management Information System (MIS) Knowledge Work Systems (KWS) Office Automation System (OAS) Transaction Processing System (TPS)

What is MIS…??? Management Information System Provides managers with information and support for effective decision making, and provides feedback on daily operations Output or reports, are usually generated through accumulation of transaction processing data Each MIS is an integrated collection of subsystems, which are typically organized by the organization

Functions of MIS Provides reports with fixed and standard formats Hardcopy and softcopy report Use transaction processing system to store in the computer system End users can develop custom report Requires formal request from users immediately

General System of MIS Additional Stores Strategy Tactics Operations CEO Information Strategy Bank Tactics Warehouse Inventory Management Supplier Operations EDI POS Sales Reports Cash Registers Customers Central Computer Process Control

Design Selection System of MIS A collection of components that work together to realize some objective forms a system Three Major Components:

Design Selection System of MIS Client HQ Consulting HQ 3 Cost Analysis Changes & Suggestions Supplier Contact Database Message Design Proposals Finance & Management Team Cost Analysis Costs & Budgets Cost targets & comments Message Changes & Costs Design Proposals 2 Supplier Contact Database Design Team Design Plans Changes Changes & Corrections 4 Problems & Suggestions Message Design Project Origination 1

Business transactions Flow of MIS Internal database External database Decision support systems Valid database Application database Business transactions Processing system (EDI) MIS Executive support systems Operational database Expert support systems Invalid database Output Production controller Recheck Workers

Output of MIS Scheduled report Key-indicator report Demand report Produced periodically or on schedule (daily, weekly, monthly) Key-indicator report Summarizes the previous day’s critical activities Typically available at the beginning of each day Demand report Gives certain information at a manager’s request Exception report Automatically produced when a situation is unusual or requires management action

Advantages of MIS Provide support to managers Enable managers to compare results immediately Enable managers to identify problem areas and opportunities for improvement Easy to access data Universal accomplish Security and trust management system

General Implementation Approaches Functional Aspects MIS is an integrated collection of functional information systems, each supporting particular functional areas Financial MIS Provides financial information to all financial managers within an organization.

Financial MIS Provides financial information to all financial managers within an organization. Is an information system that tracks financial events and summarizes financial information. Use of information and communications technology in financial operations to support management and budget decision, fiduciary responsibilities, and the preparation of financial reports and statements.

Business transactions Internet An Organization’s MIS Financial MIS Business transactions Databases of valid transactions Drill down reports Accounting MIS Transaction processing systems Exception reports Demand reports Key-indicator reports Marketing MIS Scheduled reports Business transactions Databases of external data Human Resources MIS Etc. Extranet Etc.

Input to the Financial Information System Strategic plan or corporate policies Contains major financial objectives and often projects financial needs. Transaction processing system (TPS) Important financial information collected from almost every TPS - payroll, inventory control, order processing, accounts payable, accounts receivable, general ledger. External sources Annual reports and financial statements of competitors and general news items.

Financial MIS Subsystems and Output Financial subsystems Profit/loss and cost systems Auditing Internal auditing External auditing Uses and management of funds

Manufacturing MIS Manufacturing DSS Business transactions Databases of internal data Databases of external data Manufacturing DSS Business transactions Databases of valid transactions for each TPS Manufacturing applications databases Transaction processing systems Manufacturing MIS Business transactions Operational databases Quality control reports Manufacturing ES Process control reports Internet or Extranet JIT reports MRP reports Production schedule CAD output Business transactions Customers, Suppliers

Input to the Manufacturing MIS Strategic plan or corporate policies. The TPS: Order processing Inventory data Receiving and inspecting data Personnel data Production process External sources

Marketing MIS Manufacturing DSS Transaction processing systems Databases of internal data Databases of external data Manufacturing DSS Databases of valid transactions for each TPS Marketing applications databases Transaction processing systems Marketing MIS Business transactions Sales by customer Operational databases Manufacturing ES Sales by salesperson Sales by product Pricing report Total service calls Customer satisfaction

Manufacturing MIS Subsystems and Output Design and engineering Master production scheduling Inventory control Manufacturing resource planning Just-in-time inventory and manufacturing Process control Computer-integrated manufacturing (CIM) Quality control and testing

Marketing MIS Supports managerial activities in product development, distribution, pricing decisions, and promotional effectiveness Input to Marketing MIS Strategic plan and corporate policies The TPS External sources: The competition The market

Marketing MIS Subsystems and Output Marketing research Product development Promotion and advertising Product pricing

Human Resource MIS Manufacturing DSS Transaction processing systems Databases of internal data Databases of external data Manufacturing DSS Databases of valid transactions for each TPS Human resource applications databases Transaction processing systems Human Resource MIS Business transactions Benefit reports Operational databases Manufacturing ES Salary surveys Scheduling reports Training test scores Job applicant profiles Needs and planning reports

Input to the Human Resource MIS Concerned with all of the activities related to employees and potential employees of the organization Input to the Human Resource MIS Strategic plan or corporate policies The TPS: Payroll data Order processing data Personnel data External sources

Human Resource MIS Subsystems and Output Human resource planning Personnel selection and recruiting Training and skills inventory Scheduling and job placement Wage and salary administration

Other MISs Accounting MISs Geographic information systems (GISs) Provides aggregated information on accounts payable, accounts receivable, payroll, and other applications. Geographic information systems (GISs) Enables managers to pair pre-drawn maps or map outlines with tabular data to describe aspects of a particular geographic region.

BAAN IV

BAAN Baan is Enterprise Resource Planning (ERP) software, originally developed by Jan Baan in the Netherlands in the late 1970s. The software attempts to integrate business processes including manufacturing, accounting, human resources and customer relationship management.

Continued… Planning Manufacturing Finance sophisticated planning engine consolidates multiple planning methods into one application. provides a holistic view and management of capacity and demand. Planning is complemented with capacity scheduling applications. Manufacturing supporting all manufacturing typologies manufacturing capabilities are supremely flexible and highly functional. offering the ability to manage the most complex, highly engineered, or project-based configurations. Finance Multi-company, multi-site, multi-currency, multi-language Enterprise's financial management capability supports the full range of financial operations. delivers financial control with comprehensive analytics that give you the insight you need in every area of your business.

Continued… Warehousing Warehousing improves inventory accuracy, optimizes your warehousing resources, and helps you boost customer fulfilment. Freight Management Manage your own transportation needs. use warehouse capacity more efficiently with better transportation planning and execution. Procurement Procurement module provides centralized and decentralized order and contract management capabilities, and supports the full range of procurement activities.

Enterprise Service Management Continued… Sales Allowing you to customize order entry procedures for different items and customers. provides support for the handling and releasing of schedules, including push and pull. Graphical enables you to more easily configure product to customer order. Enterprise Service Management gives you seamless, end-to-end integration of your entire service supply chain up-to-the minute management information you need to make clear, confident, strategic decisions. Project Project and manufacturing resource management come together in one environment, with real-time control for all aspects of project manufacturing.

Continued… Quality Management complete control over all aspects of Quality through sales, purchasing, and production orders, as well as with inventory, location, lot control, and serial number traceability. Product Lifecycle Management Close the gap between engineering and other departments by making detailed product information easily accessible. employees from purchasing to production can improve decision-making. Automated transactions have reduced internal approval time at some companies by as much as 50%.

Advantages Offers automation for manufacturing units such as MRP, manufacturing execution, advanced planning and scheduling, customer relationship management, quality control and testing, and warehouse management. Integrates with Microsoft’s tools easily to allow appropriate compatibility. Clients find it easy to have customization in their enterprise resource planning modules. Best option for the complex operation. It comes with additional support for business processes in production companies. Easy to implement and work.

Disadvantages Security wise is not strong and its strengths mainly depend on its compatibility with other platform. Many claims it is working because of low total cost of operation and it specializes only in limited areas of ERPs.

SAP

System, Application and Product (SAP) SAP is German software corporation that makes enterprise software to manage business operations and customer relations. SAP started in 1972 by former IBM employees in Mannheim, Germany. World’s largest inter-enterprise software company and the world’s fourth-largest independent software supplier. SAP ERP product: SAP Business Warehouse – storage system SAP BusinessObjects software - network Sybase mobile products – mobile computing technology In-memory computing appliance SAP HANA – database SAP Manufacturing

SAP History The 1970s : A Real-Time Vision Software components R/1 system The 1980s : Rapid Growth SAP R/2 system attains the high level of stability The 1990s : A New Approach to Software and Solutions SAP R/3 is unleashed on the market by 1996. earned 1089 customer and has been installed in more than 9000 systems worldwide. The 2000s : Innovation for the New Millennium More than 12 million users each day, 121000 installations worldwide, more than 1500 SAP partners over 25 industry solution and more than 41200 customers in 120 countries.

SAP R/3 System Architecture SAP AG's approach to using client/server by constructing a computing solution that could be divided into three discrete layers or tiers. Among these issues were scalability, the need to easily upgrade business application logic and the desire for technical flexibility. To this last point, the engineers at SAP wanted to abstract the database layer so that many different databases could be supported without having to go back and recode existing programs.

SAP R/3 Modules

SAP R/3 Application Modules

Financial Accounting and Controlling Module Financial Accounting : A wide performance which includes cash management, financial controlling and cash budget management. Controlling : Closed cost accounting from cost center accounting and cost element accounting to profitability analysis. Asset Management : The complete management of all fixed assets which is technical asset Project System : The integrated cooperation of all service areas for the project planning, processing and control.

Logistic Module Sales and Distribution : The solution for the integrated handling of all tasks for sales, shipping and billing. Materials Management : The integrated, closed procurement process with system-supported integration of production planning. Production Planning : The PPC system suitable for all types of production with system-supported integration. Quality Management : The system for quality assurance in all areas of the logistics chain. Plant Maintenance : The industry-neutral solution for the administration and repair of technical systems.

Human Resource Module Human Resources Management : From the integrated processing of applicants, personnel administration and time management. Human Resources Planning : Organization and position planning, personnel development with education and training administration.

Advantages Integration The only real project aim for implementing ERP is reducing data redundancy and redundant data entry. Integrated with all the other operational areas of a company and ensures that the accounting data is always complete and accurate. Efficiency Generally, ERP software focuses on integration and efficiency can suffer by implementing ERP. The benefit of integration and cooperation can make up for the loss in personal efficiency. Accuracy Provides real-time information, reducing the possibility of redundancy errors. Actual individual transactional can be checked at any time in real-time posting.

Disadvantages Expensive This entails software, hardware, implementation, consultants and training. Or you can hire a programmer or two as an employee and only buy business consulting from an outside source, do all customization and end-user training inside. That can be cost-effective. Not flexible It depends on SAP system software. Other software may not be flexible. Not profitable. Return on Investment may take too long to be profitable. SAP implementations have a risk of project failure.

Exercises What is MIS? Give two other approches that usually use in MIS with their schematic diagram? Besides BAAN IV and SAP, find the other ERP method that usually use in MIS with suitable schematic diagram?

SAP

System, Application and Product (SAP) SAP is German software corporation that makes enterprise software to manage business operations and customer relations. SAP started in 1972 by former IBM employees in Mannheim, Germany. World’s largest inter-enterprise software company and the world’s fourth-largest independent software supplier. SAP ERP product: SAP Business Warehouse – storage system SAP BusinessObjects software - network Sybase mobile products – mobile computing technology In-memory computing appliance SAP HANA – database SAP Manufacturing

SAP History The 1970s : A Real-Time Vision Software components R/1 system The 1980s : Rapid Growth SAP R/2 system attains the high level of stability The 1990s : A New Approach to Software and Solutions SAP R/3 is unleashed on the market by 1996. earned 1089 customer and has been installed in more than 9000 systems worldwide. The 2000s : Innovation for the New Millennium More than 12 million users each day, 121000 installations worldwide, more than 1500 SAP partners over 25 industry solution and more than 41200 customers in 120 countries.

SAP R/3 System Architecture SAP AG's approach to using client/server by constructing a computing solution that could be divided into three discrete layers or tiers. Among these issues were scalability, the need to easily upgrade business application logic and the desire for technical flexibility. To this last point, the engineers at SAP wanted to abstract the database layer so that many different databases could be supported without having to go back and recode existing programs.

SAP R/3 Modules

SAP R/3 Application Modules

Financial Accounting and Controlling Module Financial Accounting : A wide performance which includes cash management, financial controlling and cash budget management. Controlling : Closed cost accounting from cost center accounting and cost element accounting to profitability analysis. Asset Management : The complete management of all fixed assets which is technical asset Project System : The integrated cooperation of all service areas for the project planning, processing and control.

Logistic Module Sales and Distribution : The solution for the integrated handling of all tasks for sales, shipping and billing. Materials Management : The integrated, closed procurement process with system-supported integration of production planning. Production Planning : The PPC system suitable for all types of production with system-supported integration. Quality Management : The system for quality assurance in all areas of the logistics chain. Plant Maintenance : The industry-neutral solution for the administration and repair of technical systems.

Human Resource Module Human Resources Management : From the integrated processing of applicants, personnel administration and time management. Human Resources Planning : Organization and position planning, personnel development with education and training administration.

Advantages Integration The only real project aim for implementing ERP is reducing data redundancy and redundant data entry. Integrated with all the other operational areas of a company and ensures that the accounting data is always complete and accurate. Efficiency Generally, ERP software focuses on integration and efficiency can suffer by implementing ERP. The benefit of integration and cooperation can make up for the loss in personal efficiency. Accuracy Provides real-time information, reducing the possibility of redundancy errors. Actual individual transactional can be checked at any time in real-time posting.

Disadvantages Expensive This entails software, hardware, implementation, consultants and training. Or you can hire a programmer or two as an employee and only buy business consulting from an outside source, do all customization and end-user training inside. That can be cost-effective. Not flexible It depends on SAP system software. Other software may not be flexible. Not profitable. Return on Investment may take too long to be profitable. SAP implementations have a risk of project failure.

Exercises What is MIS? Give two other approches that usually use in MIS with their schematic diagram? Besides BAAN IV and SAP, find the other ERP method that usually use in MIS with suitable schematic diagram?

END… Thank You…  Q & A????