The Management Information System Management Essay

This assignment deals with how Management Information Systems (MIS) helps the organization at different level of management. II will also talk about IS Function, the types of MIS and their interrelationship and also give real examples. At the end I will discuss UPS as a case that Utilize MIS to gain profit for the strategic objective..

: In the second Task, I discussed about all types of MIS in the Organization. And different between TPS and any other 2 MIS types. I will explain business process and how do Management Information System help to enhance. And I will also explain how Management Information System help the company gain competitive advantage.

In Task 3 I will show real life benefits of Management Information System systems and devices at UPS. Full name of UPS is UNITED PARCEL SERVICE. All technologies used in UPS, All list of UPS stakeholders. What kind of information is serve by UPS. What are the helps of UPS to the customers etc.

Introduction to MIS:

Information systems at management level to serve the function of planning, controlling, and decision making by providing routine summary and expectation reports (Laudou, 2004)

This system starts with details of employees and their rates of pay and processes this data to produce bank pay slips, transfers, etc. The system also provides information on, for example, the payroll cost of staff in the various departments and grades within the organization. (Whiteley D, 2007)

Management Information System is use within a big or small organization like College for student’s information, Fees information etc, for small business like super market or off license etc.

Management Information System is very hard to learn and it is very expansive for users. It is also use in the business application for big company like Microsoft, oracle, etc.

Management Information System helps each organization like HR, MKT, MGT, FIN etc. and organization has three different levels like Strategic, Management and Operational.

All types of Management Information System in the organization like TPS, MIS, EDI, CEM, MRS, DSS, EIS, SIS, KMK, and OIS.

World’s largest company which is deal with courier its name is UPS(United Parcels Service) .

It is biggest company in the world for parcels and it is use Management Information System system for growing up its business and It is top first in the list.

The company uses 14 mainframes, 2,820 Mid-range computers, 120,000 PCs, 6,100 servers, and

80,000 wireless handheld Data Information Acquisition Device (DIADs); while its global telecommunications network has 2,445 network sites.

So in the last I would say the Management Information System is popular system for every company, big supermall, small shops nut it is not very easy to install in your system because it is very hard to learn and install expanse is very high so not any buddy install in the their system. And Management Information System is being used by UPS which is world’s biggest company of parcels.

Task 1: Management Information system.

Definition:

Management Information Systems (MIS) is the term given to the discipline focused on the integration of computer systems with the aims and objectives on an organization. 

An information system is business application of the computer. It is not just providing Information but also about processing business transaction. It is also data processing systems and business transaction processing system.

An organized combination of people, hardware, software, networks and data resources that collect, transforms, and disseminates information in the organization.” (James O’Brien, 1998)

The Management and development of information technology tools assists executives and the general workforce in performing any tasks related to the processing of information. Management Information System and business systems are especially useful in the production of reports to be used as tools for decision making the collation of business data.

Management Information System meaning:

We are in the midst of a swiftly moving river of technology, tools and business innovation that is transforming the global business landscape. (Laudon, 2004)

The emerging Internet business culture is a set of hope that we all share

World is becoming like a small village. And in this situation Management Information System is a very big part of this world. Management Information System is using everywhere and mostly in the big mall, IT departments etc. Microsoft has been using Management Information System system which is good for those people, and it is very commonly using in simple store also. Management Information System is very expensive and very hard to learn. A big company or a big origination can use this if they can expense behind this system.

This system is one type is server and client role. If one company has big infrastructure so they can use this system easily. Suppose there is one company like Sainsbury. It has so many branches in UK. So it has Management Information System and using this Management Information System system they can know about every branches details mean how much transaction is done by that shop. And also they can also order from this system to main branch so main branch can know what needs to that branch with in how many days.

Business application :

An information system is business application of the computer.

One type of software which is increase the level of company. It helps to increases profit, accuracy of staff, management etc. It is very big management application and it is very hard to learn. It has so many good and bas points.

An information system is a business application of the computer. A number of the business applications that you come crossways in everyday life.

Information systems are frequently specialist applications and, in some cases, they are very large systems. Desktop packages such as spreadsheets and word processors are also used for industry applications (in effect person information systems). List some business applications of

Desktop applications.(Whitely D,2007)

Here provide a full example for business application. Sainsbury is one of big shopping mall in UK. It has many shops in UK. So Sainsbury is uses Business Application(MIS). So it is very helpful for Sainsbury but it is very expansive and very hard to learn and staff must be qualified so they can learn it easily than others. It is collect data from all shops from UK and it is also provide facility for how many items need to shop where and when, and how much transaction is done by that shop a day, it can know very easily, main benefits for this application is application can knows every think from a main center server like how much items needs that shops, payments salary, who have holiday on which day so they can arrange easily to other person in front of that person.

Differences between Data, Information, Knowledge

Data is one kind if row material It can exist in any form, usable or not. It does not have meaning

of itself. In computer parlance, a spreadsheet generally starts out by holding data.

Information allow to us explain to knowledge. We can capture data in information.

For example take one picture of you so the photograph is information but what you look like it is data.

Knowledge is collection of data and information. You can’t currently store knowledge in anything other than a brain, because a brain connects it all together. Everything is inter-connected in the brain. Computers are not artificial brains. They don’t understand what they are processing, and can’t make independent decisions based upon what you tell them.

Data

Information

Knowledge

meaning

useful

Information is a difference that makes a difference

unstructured, uninformed facts

To conceive of knowledge as a collection of information seems to rob the concept of all of its life… Knowledge resides in the user and not in the collection. It is how the user reacts to a collection of information that matters

(Experience)

On the up side provide the full information about data, information, and knowledge.

Inputs of HR and marketing.

What are the role of the IS function in a company.

We are in the midst of a swiftly moving river of technology and business innovations that is transforming the global business landscape. An entirely new Internet business culture is emerging with profound implications for the conduct of business. (Laudon laudon, 2008)

ISDefn1

If you are managing of the company so you have to know about IS so you can proceed the good company. If you have the right knowledge of IS so you can easy make profit, arrange good management etc.

The IS function exists as the interface between the business on one hand and the IT infrastructure (computer, storage and communications network) on the other hand. The organization performs a numbers of function and many of these can be controlled of assisted by the application of IS. It may well be that people within the organization will have knowledge and know-how to use IT apparatus and informant system.

And significant IS developments will normal have a project team set up to do the work involved. The project has to be planned and then the activity is being made.

As well as being o time the project needs to be a quality system it must be fit for the purpose for which it is intended. As well as making sure that the system is ready the users of the system have to be ready. A new system can require sweeping changes in working live out and it requires careful planning to ensure all goes easily and that the users are fully trained when a new or enhanced system is introduced.

Once time system is developed the project team must check that it works proper or not. The system needs to cope with all possible inputs, produce the correct result and perform efficiently in the operational environment.

How Management Information System help each organization function (MKT, FIN, MGT)

MARKETING: MIS is very good for marketing like if anyone need any kind of information related marketing so it is very easy to see in Management Information System system. By this you can know the progress of company, which departments needs what and when, and any person of any departments can know all the information about all things which is selling by the company. And main benefit of Management Information System in marketing is any a main department can know what is company process of marketing, selling or purchasing of company etc.

Finance: About the finance so company can know what is the process of company what is the status of finance in the market so they know what to do about finance in the company. You can know buy the Management Information System system about company profit and loss of the whole time (like each month or year). Also you can arrange the salary of the whole staff in the company by help of Management Information System system.

Management: A most powerful part of company is management. It is depend that how is company big so management also big. A company know by the its management. You can arrange the staff mean who is working where and on the which position. Also by the management company can progress by finance or credit also.

Organization levels:

There are three levels of organization

Strategic :

Management :

Operational :

Organization has three levels those are strategic (executive support systems (ESS)), Management (management information systems (MIS) and decision-support systems (DSS)) and Operational (transaction processing systems (TPS)).

At on each level there are different type of transaction is occur in ESS it is help to make decision. ESS serves the strategic level of organization. It is design to incorporate data about external events such as new tat laws or competitors. ESS empleyes the most advance graphics software and can present graphs and data from many sources.

At the middle level Management Information System and DSS do help to organization like sales managements reports, sales region analysis, inventory control, production scheduling, annual budgeting, profitability analysis, relocation cost control and control cost analysis.

At the last level TPS also helps to organization as order processing, material moment control, payroll account payable, employee records keeping. So in this level company’s all transaction happen.

ESS is a part of strategic level. ESS is a graphic part of organization; it is helps to make programming graphic. This department makes all kind of graphic for application like for web design, application. So they can make better application for user and it is a one most part of program. In this case most user are attract form the graphic of application and buy the application and even it is most part so they must use this form application.

TPS is a part of last level. It is use to transaction a data in company, there are so many types of data is being entered by employee. So they enter so many thing in a database like the add about whole day transaction like at which branch how much transaction is done and when they need other items (if they have any other branched).

Like for example about Sainsburys which is a big shopping mall in UK. They have all kind of facility for all branches. If one user make entry for any items transaction for it will be gone to the main computer of the Sainsburys it mean any one can access that transaction from everywhere if they have access to show that items. And if they have authority as a main manager or something high position in company.

It is server client program so it is as Management Information System application it is very expansive and very hard to learn because it has many feathers and many hard things like entry of a big deal of any transaction at that time it is hard if user don’t know otherwise it is very simple to make an entry.

Also it is help to make other services like if in a one shop when they have delivery day, when they need item, do they have ant items in a stock or not, so this all thing can be know by TPS. So it is very help full to each level organization.

Water life cycle and its parts.

The classic system development lifecycle is the waterfall lifecycle. In the waterfall lifecycle the stages are performed in succession an illustration of the waterfall lifecycle is exposed down and it can be represented with more the five stages.

Feasibility Study

System Analysis and Design

Program and Unit Test

System and Acceptance Test

Operations

(Whiteley D.,2007)

Feasibility study:

A short study to resolve if the proposed system is technically practicable,

Economically worthwhile and ethically justified. If the projects are to proceed the feasibility

study will include the terms of reference, a project plan and finances estimates for the prospect stages of the development.

The feasibility study produces a report that is used to determine if the project should get the go-ahead.

System analysis and design:

A full study to resolve the requirements for the PC system and to map

those requirements onto the computer hardware.

This is depend on the company that which kind of system needs company and which type id hardware needs in the system and what kind of design want company form user.

The system analysis and design stage may well consider options for changing the business process and will also need to determine the appropriate hardware and system software to be used for the project.

This study is then mapped onto a logical system and that in turn is translated into

a design for the technical implementation. The stage includes a detailed study of the commerce needs of the organization.

Programming and unit test:

In this part all users converts the design into computer code and tests each component of that

Computer code whether it is working well or not so they can find error if they got in the system.

Computer programs need to be written for each part of the system.

They use driftnet type of language to make system using a conventional encoding language programs will be written as a series of modules (perhaps by a figure of programmers). Each of these modules should be the subject of separate and detailed testing. So they can find with no trouble error and resolve that problem in a moment. The alternatives to conventional programming are a ‘fourth generation language’ (4GL), application generator, or the use of bought in software packages.

System test and acceptance test:

This is a main part of the system and each of system passed thought this part. In this system testing, by the project team, and system acceptance testing, by the users. And if they need other facilities so they tell to programming team to add that fetter in to the system In the system and acceptance tests the separate modules of the system

are brought together and tested as a complete system. The system needs

to be tested to ensure that:

The interfaces between the modules work (Integration Test).

The system works on the intended platform and with the expected

volumes of data (Volume Test).

The system does what the users require of it (Acceptance Test / Beta

Test). (Whitely D,2007)

Operation:

This is a last part of cycle. Using the system including error correction and enhancement they make perfect to this system.

The system is made live and is used for its planned business purpose.

IS function involved in training the users so they can know they system that how to operate and use that system and associated procedures. There will be a support function that deals with

Queries and errors as they arise. When one user learns this system so he can teach to other people so company can save its time and other things. There will also be enhancement to perk up the system and to deal with changes in business requirements (Depend on How company needs changed and what kind of facilities.)

Task 2 – Types of Management Information System

Introduction of Management Information System and its types:

These days information system provides the message and analytic power that firms need to conduct business and manage their operations across function. Some functions of Management Information System system include controlling the far-flung global company in a globalized financial communication with distributors, system, coordination global work team, and helping worldwide reporting needs.

There are six major type of Management Information System types. Each type has its own job like what are the inputs from user(Input (Task) which is given to particular type). What will be processing of that type? What are the outputs from that particular type and who are using that type like ESS is used by Senior manager, DSS is used by staff manager, Management Information System is used by middle manager, KWS is used by technical staff, OS is used by Clerical workers and TPS is used by supervisors.

Here down provide full chat of Management Information System types with details.

Type of system

Information Input

Processing

Information output

Users

ESS

Aggregate Data;

Internal, external

Graphics; simulation

Projections; responses to queries

Senior manager

DSS

Low-volume data ; analytic models & tools

Interactive ; simulation

Special reports ; decision analysis

Professionals ; staff managers

MIS

Summary transaction data ;

High volume data ;

simple models

Routine reports ; low level analysis

Summary and exception reports

Middle manager

KWS

Design specification ;

Knowledge base

Modeling ; simulation

Models; graphics

Professionals ; technical staff

OS

Documents ; schedules

Document management ; scheduling; communication

Documents ; Schedules ;mails

Clerical workers

TPS

Transaction ; events

Sorting; listing ; merging ;updating

Detailed reports ; lists; summaries

Operation personnel;

supervisors

Different between TPS, MIS and DSS:

Transaction Processing Systems (TPS) is processing data manipulation of company. Management information system (MIS) is a processing of routilnes and simple models of company. Decision Support Systems (DSS) is process between human and machine for make good decision.

TPS do inputs of transaction and record of company and manage those record like company salary, goods in etc. Management Information System do inputs high volume transaction data in to the company. DSS do inputs transaction/aggregate data, analytical models for company.

TPS gives output of various details operation reports of transaction of and good, salary of company staff, company good stocks and many more. Management Information System gives output like company managements report and company processing chart etc. DSS outputs decision analysis, responses to ad hoc query. Professional, staff is use DSS to make decision between human and machine.

Operational level employee user use TPS for all this transaction. Most focus of TPS is improve efficiency of structured data processing like Management Information System do design marking plans, devolve a department budget and design a new corporate web site. Middle level managers are use Management Information System for all transaction. Most focus of Management Information System is improve the efficiency and effectiveness of management for middle managers. Must focus of DDS is on increases the effectives of the decision made by middle manager.

What is Business process and how do Management Information System help to Enhance Company.

The new digital firm business situation requires companies to think more tactically about their business process.. Some business processes support the major function areas of the firm, others are cross-function. Here I show one table example of business process for each of the functional areas. Business processes also refer to the unique ways in which organization and management coordinate their behavior.

Many business processes are cross-function, transaction the boundaries between sales, marketing, manufacturing and reach and development, these cross practical processes cut across the traditional organizational, grouping employees from different functional specialties to complete a piece of work.

For example, the order execution process at many companies requires cooperation among the sales function the accounting function and the industrialized function. Under image shows how this cross function process might work.

Management Information System help the Company gain Competitive Advantage:

Management information system (MIS) is the main part of the company. It comes at middle of system chart and down shows that how Management Information System work in business.

mis help the company gain competitive advantage and it has so many feather for the company. Management Information System is do sales management for company mean how much sale id done by company people, within company and by sales men, it’s all record keep bye mis in the company. Second is sales region analysis mean how much good sold in which area and with in what time, when next goods need that particular area. Next is inventory control its help to keep record for at what time, to which place and full details of goods goes out Form Company and row material comes in the company. Production scheduling is help for when company must make goods and send it to other areas for sale or other retails shops for sale.

If they have any returns goods so even it is also show. Annual budget is how much for year and how much company has to expanse behind goods and other else things like company staff members salary, stationary expanses, banking, other electronic bill etc. if company gives row material to other company so Management Information System help to keep record the when, where and from which person that goods is gone. Management Information System also think about profit at the end of year that in this year compant has to have this much of profit.

Suppose if outside of market is very dull so in that situation what has to company do shall do low a prise of items or something else so they make all desiccation before it and make company stronger to stay in market

There are so many help by Management Information System to company gain like Management Information System is a global business application so any buddy can access it from anywhere and show everything about company for example in UK there is big shopping mall name M&S. it is power full company in the UK. And it is using Management Information System system in M&S so if company’s main department want to know that how much items sold in this whole day so they can know easily by Management Information System system. Also it is show that where is items needs and where is stock is going less so they can easily send items to be for stock.

So this is a small example of Management Information System system even a big company Microsoft is also using this business application for gain of company.

Task 3: UPS is an international company using MIS.

United Parcel Service (UPS), the world’s largest air and ground package Distribution Company, started out in 1907 in a closet-sized basement office. UPS is started by two person who are Jim Casey and Claude Rayan -two teenagers from settle with two bicycle and one phone and promise of “Best Service in Lowest Rate”. UPS has used this formula of success and reached at world’s largest ground and air package Distribution Company.

Now days UPS delivers more than 13.6 million parcels and documents each day in the United State and more than 200 countries and territories, the firm had been able to maintain leader ship in small package delivery services despite stiff competition from FedEx and Airborne Express by investing heavily in advance information technology .

Micro Infrastructure of UPS:

The general network communications of UPS is publicized in as below.

A company has 2 data centers: the RAMAP Ridge data center in Mahwah, New Jersey and then Windward data center in Atlanta, Georgia. The company uses 14 mainframes, 2,820 Mid-range computers, 120,000 PCs, 6,100 servers, and 80,000 wireless handheld Data Information Acquisition Device (DIADs). While it’s global telecommunication network has 2,445 network sites. The UPS helps the company achieve many of its goals, UPS website received an average of 115 million clients then as a business day and online tracking requests average 9.1 million inquiries per business day(www.ups.com)

UPS mainframes are connected to the Direct Access Storage Devices (DASD.), which currently storage capacity of 470 tarabutes(in Giga byes : 481280). The capacity of the information exchange speed of the mainframe network is 23,607 million commands per second (MIPS). The company’s 2,820 mid-range computers are strategically located at UPS’ major hula around the world

On the website front page of UPS is shown below.F:Documents and SettingschiruDesktopuntitled.bmp

On this page selected country is INDIA.

UPS is very huge company so it must has flow of information that from where to where data is being passed and by who’s this information is being passed. So for that UPS been using a handheld computer called a Delivery Information Acquisition Device (DIAD), a UPS driver can automatically capture customer’s signatures along with pickup, delivery, and time-card information. The driver then places the DIAD into UPS truck’s vehicle adapter, an information – transmittind device that is connected with cellular telephone netword. Package traking information is then transmitted to UPS’s computer network for storage and processing in UPS’s main computer in Mahwah, New Jersey, and Alpharetta, Georgia. From there information can be access to anyone who has permission to access that particular information, and customer can watch his parcel where is stuck.

By this automatic package tracking system, UPS can monitor packages thought the delivery process. At various point along the rout from sender to receiver, bar-code devices svan shipping information on the package label. Then the information is fed to the main central computer. Anyone with a package to ship can access the UPS website to track packages, check delivery routes, calculate shipping rates, determine time in arrange UPS shipment and bill the shipments to the company’s UPS account numbers or to a credit card.

Database of UPS:

According to UPS, the company operated the largest DB2 relative database in the world.

The DB2 is an open source database developed by IBM (International Business Machine). The company database size is 18.41 terabytes which is sufficiently capable to manage all information concerned in tracking packages and papers UPS delivers daily, plus all the other function needed by UPS, the database are not just huge they are also high speed stare of the industry, capable of reading 0.387 terabytes per hour.

The information stored in the DB2 database together sharing with information form there corporate function is stored in the data warehouse, which has capacity of 7,618 terabytes, one of the largest Oracle database in the words. The size of data that may be retrieved and processed on a daily basis from the data warehouse is up to 30,000 TB.

Online Tools of UPS:

In April 6, 1999 UPS extensive its aggressive deployment of innovative electronic commerce by deploying its online tools. There system would allow the customer to perk up customer service by lowering cost and keeping its own customers alert on their e-commerce website.

UPS Signature Tracking SM:

This tool allows to registered customer to track packages and receive the most complete proof of delivery available at customer. Customer will receive the digitized signature of the person who signed for the delivery, the full delivery address, COD amount collected and the reference number associated with the delivery.

Enhanced Tracking:

This powercul tool lets shippers and their customer’s track their shipments right from the shipper’s e-comers site suing a reference form e.g.: a purchase order number. The customer is able to ascertain here its package is in the shipment process.

UPS is using a dial device for keep all kind of information in the database.

http://static.howstuffworks.com/gif/ups-10.jpg

This device of for online sign form customer and store in to the main computer by online system and keep all record like what thing was that, amount, right address etc.

In the UPS system there so many stakeholders all are below:

Current Customers

Community in General