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National Institute of Business Management

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Assignments of One Year MBA

Semester - II
1. Students are requested to go through the instructions carefully.
2. The Assignment is a part of the internal assessment.
3. Marks will be awarded for each Assignment, which will be added to the total marks.
Assignments carry equal marks.
4. Assignments should submit in your 'portal' on/before the 'completion date'
mentioned.
5. Case study project is based on the elective subject selected.
Please submit your case study also in the portal on the 'completion date' of
second semester assignments.

Assignments Total Marks :100


1. International Law
Explain the origin of International law.

The international system has changed dramatically in the years since the end of
the Cold War has become a commonplace. But which changes are most
profound, and what is their significance for international legal order? The last
decade of the twentieth century generated dozens of hooks and articles hailing
a transformed world order and interpreting its political, economic, and social
consequences. We have more distance now. The first years of this century have
underscored the significance of changes in the structure of international affairs
— but they also demonstrate how difficult it is to interpret them with
confidence.

Origin & Sources of International law

The idea of international law as understood and practiced today owes its origins
and foundational principles to two sets of intertwined transnational movements
that radically reshaped European society during the late medieval period of
European history, between the 15th and 17th centuries.
The first was the overhaul of the place of religion in European political life.
Although varying from one society to another in its speed and particulars, this
movement saw justifications for power transform from appealing to the divine
and sacred to the mundane and secular; that is, from belief in righteously
anointed rulers to leadership based on functional abilities. These
transformations were fostered and facilitated by splits and breaches within the
institutions and power structures of religious institutions including the
emergence of Protestantism and of reform movements within the Roman
Catholic Church. This divorce of the legality of temporal power from religious
sanctification was enshrined in the Treaty of Westphalia in 1648, generally
taken as one of the preeminent constitutive documents of modern international
law.
The second late-medieval movement that gave rise to modern international law
was the fierce competition among European societies for maritime voyages of
discovery and the commerce that accompanied such discoveries.
THE SOURCES OF ORIGIN:

The starting place and linchpin for comprehending international law is the
centrality of the role of the nation state in identifying, making and applying
rules of conduct and behavior in the international system. Indeed, prior to the
19th century, international law was commonly referred to as ‘the laws of
nations”.

 From nation to individual


International law was viewed simply as the product of relations among nation
states, something made by and for the benefit of nation states. Its obligations,
duties and liabilities were assumed by nation states, and correspondingly, its
benefits, privileges and immunities redounded exclusively to the nation state.
However, as law increasingly tries to accommodate and reflect contemporary
socio-political realities, vibrant debates have emerged that seek to transcend
this rigid divide.

 Article 38 of the ICJ


Article 38 of the Statute of the International Court of Justice (ICJ) provides a
widely agreed upon set of standards for evaluating whether a statement
purporting to be a rule of international law is to be validly considered as
such[5]. Although Article 38 is addressed exclusively to the ICJ, which is in
itself entirely a creature of international law, it has become accepted that
Article 38 provides the conceptual framework for ascertaining when a
pronouncement should be considered a legally-binding obligation rather than a
statement of a preferred value or norm.
According to Article 38, there are four sources of international law. These are
1) conventions or treaties to which a state is a party; 2) international custom or
practice that international society has come to accept as law; 3) the general
principles of law that are recognized by civilized states; and 4) the views of
highly-qualified jurists writing on a point of law. International lawyers seek to
pigeonhole particular pronouncements into one or more of these sources of
legal legitimacy. Although at the margins these elements or sources of
international law are not without difficulty of application, they nonetheless
have reasonably well-settled meanings.

 Conventions and treaties


The most uniformly accepted source of international law is the convention or
treaty [6]. A treaty is an agreement between two or more countries. Treaties
come in numerous forms, from bilateral understandings between two friendly
states, to those that end world wars or create international arrangements like
the United Nations Organization. They cover the entire scope of human
activities from politics, economics and the arts to the sciences, agriculture,
youth exchanges and family relations. They vary in the level of formality and
solemnity with which they are concluded.
All that matters is that the parties entering into the treaty see themselves as
making commitments that other parties have a legal right on which to rely. Not
surprisingly then, although the existence of a treaty will rarely be beyond
dispute, occasionally disputes arise over whether an agreement or
understanding has been reached between two states, and if so, whether the
parties intended to make binding legal commitments to each other.

 Custom as a source of law


A second uniformly-accepted source of international law is customary
international law. There are three conditions under which the general behavior
of states becomes a rule of customary international law: a) if the behavior is
widespread, b) practices are followed over a not insignificant period of time,
and c) it’s viewed by it is practitioners as mandated by law.
Questions, however, remain: at what point does a practice become sufficiently
widespread among states and of sufficient duration in time so that it should be
deemed a general practice? And how does one know whether the states are
engaging a practice because they view it as law, or for some other reason, such
as convenience?
Nonetheless, some of the most venerated rules of international law either
originated as customary practices among states that were subsequently codified
as treaties, or continue to be derived from such custom. Increasingly, however,
the trend is less to transform customary laws into treaty law than the reverse.
Given the proliferation of treaties and the diversification of international
society from its West European cultural roots, those who want a uniform
standard of behaviour among states increasingly look to treaties to extrapolate
customary law, often insisting it should be binding on all states regardless of
participation in a specific treaty regime. The result is some sort of a symbiosis
between treaty law and customary international law.

 General principles of law and the views of highly qualified publicists


The third broadly accepted source of international law is the so-called general
principles of law which is, in the phrasing of the Statute of the International
Court of Justice, “recognized by civilized nations”. The primary difficulty lies in
deciphering what this vague formulation actually means in specific cases.
If it is intended to incorporate no more than broad principles of law present in
all reasonably developed modern legal systems – e.g. wrongs should have
remedies, claimants and defendants should be given fair opportunities to
present and defend their positions, decisions should be based on reasoned
analysis of evidence, and the decision-maker should be impartial – it might be
asked whether the rule serves any useful purpose.
If the rule is intended to go beyond broad procedural niceties to impose
additional substantive obligations on states (other than those that may already
exist either under treaties or customary international law), then it is fair to ask
what those additional obligations might be. Perhaps here, one ought to read
the ‘general principles of law’ source along with the fourth source cited in the
ICJ statute: “the teachings of the most highly qualified publicists of
international law”.
 Institutional sources of international law
The sources considered above are the explicitly stated formal sources of
international law. However, as a cultural institution, international law, like any
legal order, is dynamic and adaptable. It is fashioned by human beings to serve
their needs which vary with time, place and environment. A final source of
international law, then, must account for the human beings, institutions and
the contingencies of politics and economics that shape, interpret and deploy
law to serve particular ends. Such laws are less the product of specific rules,
doctrines or procedures than they are of the policy preferences of interested
subgroups within international society.
Sometimes applicable laws are ascertained less by a formalistic resort to
written texts and shared practices than they are by the needs of a particular
group – power rather than reasoned analysis is here the coinage of rule-making.
2. Strategic Management
Why strategies fail often? Explain.

Strategic management is difficult in part because it requires contradictory


qualities and skills in dealing with the paradoxical demands of situations. We
can understand this by first seeing the different types of managers there are
and then realizing how the qualities and skills of the different types may be
present in single individuals, who have to bring them together in
complementary ways to deal with the strategic tensions they confront.

Why Strategies Fail?

Poor Preparation of Line Managers.


Line Managers need to understand the key concepts and language of strategic
planning.
It is unlikely that without some help they will uniformly understand the
operational meaning of such notions as bases of competition, strategic issues,
key success factors, portfolio role and strategic management. Typically, Lines
managers view strategic planning as an additional burden imposed from above,
diverting them from running the business.
Another Aspect of Preparing line managers to become more effective strategy
formulators has to do with broadening their perspective. They need to think
about the business as a whole rather than only their own function. They need to
know how to rise above their specialized frames of reference into a general
management view of trade-offs between functions.
Improving line managers understanding and skills in strategic planning through
participation in ‘quick-fix’ management development courses often yield
disappointing results. Too much management development training still consists
of discussions of generic or hypothetical case materials and packages of
received wisdom presented to group of peers. Such training may provide some
value, but it usually falls far short of replicating the real conditions facing the
line management strategist.
When line manages can focus on real problems in their own companies, they
can enhance their understanding of the strategic context and implications. An
opportunity to learn how to think more broadly and how to behave in ways that
are more flexible and adaptive should be offered with the explicit
understanding that particular changes in personal behavior are required.

Faulty Definition of the Business


How the management of a firm conceives of and defines each of the business
they are conducting can have a profound bearing on the business’s strategic
behavior, its competitive clout and on the strategic options management may
choose to implement.
The Other issue has to do with how similarly each manager and executive
perceives and understands the business definition. Successful strategy
implementation depends heavily on an agreed business definition among the
entire management group.

Faulty Definition of the Strategic Business Unit


When a multi-business fails to define its SBUs Correctly within its organizational
structure, an excellent planning process cannot undo the damage. When
strategic planning is newly installed, it is often assumed that the organizational
units already in place should handle the planning. Because these units are
typically a result of historical evolution, they may owe their boundaries to
many factors that make them inappropriate to use as a basis for planning:
geography, administrative convenience, the term of old acquisition deals,
product lines, traditional profit centers, a belief in healthy internal
competition, or old ideas about centralization and decentralization.
The faultiness of the reorganization logic and its consequences for strategic
planning can be attributed to either ignorance or discounting of customer and
competitor behavior in the major home appliance market. Specifically, the
product line organization with its associated localized strategic perspective
impeded consideration of several important factors that characterize this
market.
The Following principles should guide the definition of SBUs.
Let External rather than internal forces shape unit boundaries. If Competitive
forces require a larger unit than normal spans of control would dictate, go with
the larger unit.
When separate units are strategically appropriate for external reasons but
must, for economics of scale, share central facilities and services, let them
share, but keep them as separate units.
Include with the jurisdiction of the SBU all functions and processes the unit
head needs for executing the strategy.
Leave the unit head free to take profits where strategy dictates. Hence nothing
smaller than an SBU should be a profit Centre’s.

Excessive Focus on the Numbers


When in strategic planning there is an excessive focus on financial and other
numbers relevant to business performance, the resultant plan is likely to have
serious distortions and be of limited value in guiding implementation. A
numbers- driven plan is often the result of a short-term, bottom- line mindset
on the part of top management. There is also likely to be an excessive focus on
the numbers when the staff supports function for planning in under the control
of the corporate financial functions.
When the number dominate strategic planning, there is often an imbalance
between the quantitative and qualitative elements of the plan. Explanations of
what lies behind the numbers and what the number really means are often
cursory. There are at least three adverse consequences of a numbers-driven
planning system. First, the quality of the plans suffers because they are shaped
mire by top management’s willful assumption than by the realities of the
marketplace. Second, the managers responsible for implantation are
demotivated with no real commitment to implementation because the plans
lacks credibility and no longer reflect their best thinking.

Imbalance between External and Internal Considerations.


Earlier we have noted that strategic planning differs from earlier efforts to plan
for the long term by its primary emphasis on the firm’s external environment.
In practice, this means developing an understanding of the firm’s industry,
markets, customers and competition, and using this knowledge to determine
what is strategically relevant when assessing the firm’s capabilities, and
competitive strengths and weakness. Understanding and focusing on externals is
crucial in making the strategic choices that will lead to the desire long-term
outcomes.

Unrealistic Self-assessment
There is another element in strategic planning that can significantly influence
the quality of the strategic choices and the extent to which a strategy can be
implemented successfully. This is the quality of management’s analysis of their
organization’s capabilities to carry out various strategies. Management’s
assessment of the firm’s strengths and weakness in the light of possible courses
of action is an important consideration in the choice of strategic options.
Further, this assessment is an important input to the definition of the work
required to implement the selected options.

Insufficient Action Detailing


Implementation is bound to go away if strategy formulation goes no further
than defining general thrusts and end-point goals.
The cure for half-baked strategy is action detailing, but this task often baffles
and irritates many executives. Only one in three of the companies has a process
or a forum for the interfunctional debate and testing of unit strategies. Their
procedures for action detailing and other kinds of reality testing are often
nonexistent or merely rudimentary. Action detailing of a sort is carried on in
some places as a part of operational planning, but it usually follows strategic
planning and takes the strategy as given. Planning in detail should be used as a
further test of a strategy’s feasibility.

Insufficient Effective Participation across Functions


Strategic plans are of better quality and are more likely to be implemented
successfully when the plan is formulated by a team of executives and managers
working together in ‘real time’. This team should include the SBU general
managers, the functional heads who report to this executive and middle-level
managers Elected for their ability to contribute usefully to the debate. In
addition, the planning team should include other functional executives and
managers outside the SBU who are responsible in providing strategically
significant resources and supporting services to the SBU

Poor Management if the Corporate Face-off


In a multi-business corporation, even when all the steps in the strategy
development process are taken according to the principles of best practice,
strategic plans can be ruined and the whole system undermined at the final
corporate review stage. The issue here is how good the design is and
management of the planning cycle when the SBUs’ proposed plans hit the
corporate screen. This may be called the corporate face-off.

Conflicts with Institutionalized controls and Systems.


This tenth factor is the only one directly applicable to the implementation
process. A strategic planning system can’t achieve its full potential until it is
integrated with other control system such as budgets, information and rewards.
The badly designed, poorly managed face-off is a manifestation of a deeper
problem - compartmentalized thinking which treats various existing control
systems as freestanding and strategically neutral.
3. Business English
How communication acts as a bridge of understanding among people .Explain.

The term business communication is used for all messages that we send and
receive for official purpose like running a business, managing an organization,
conduction the formal affair of a voluntary organization and so on. Business
communication is marked by formality as against personal and social
communication.
The Success of any business to a large extend depends on efficient and
effective communication. It take place among business entities, in market and
market places, within organizations and between various group of employees,
owner and employee’s buyer and sellers, service providers and customers, sales
person and prospects and also between people within the organization and the
press person. All such communication impact business. Done with care, such
communication can promote business interests. Otherwise, it will portray the
organization in poor light and may adversely affect the business interest.
Communication is the life blood of any organization and its main purpose is to
effect change to influence action. In any organization the main problem is of
maintaining effective communication process. The management problem
generally results in poor communication. Serious mistakes are made because
order are misunderstood. The basic problem in communication is that the
meaning which is actually understood may not be what the other intended to
send

Communication is the life blood of the business. No business can develop in


the absence of effective communication system.
Communication is the mortar that holds an organization together, whatever
its business or it size.
Ability to work well in terms, to manage your subordinates and your
relationship with seniors, customers and colleagues depends on your
communication skill.

The Purpose of Communication

For Instruction: The instructive function unvarying and importantly deals with
the commanding nature. It is more or less of directive nature. Under this, the
communicator transmits with necessary directives and guidance to the next
level, so as to enable them to accomplish his particular task
For Integration: It is consolidated function under which integration of activities
is endeavored. The integration function of communication mainly involves to
bring about inter-relationship among the various function of the business
organization.
For Information: The Purpose or function of communication is an organization is
to inform the individual or group about the particular task or company policies
and procedures etc.
For evaluation: Examination of activities to form an idea or judgement of the
worth of task is achieved through communication. Communication is a tool to
appraise the individual or team, their contribution to the organization.
For direction: Communication is necessary to issue directions by the top
management or manager to the lower level. Employee can perform better when
he is directed by his senior. Directing others may be communicated either
orally or in writing.
For teaching: The importance of personal safety on the job has been greatly
recognized. A complete communication process is required to teach and
educate workers about personal safety on the jobs.
For influencing: A complete communication process is necessary in influencing
others or being influenced.
For employees’ orientation: When a new employee enter into the organization
at that time he or she will be unknown to the organization programs, policies,
culture etc.

All Communication is possible only in a speech situation. A speech situation is


communication situation. The speech situation requires certain factors for its
existence. They are

Participants
There are always two parties in a communication situation: the sender and the
receiver. The sender sends the message to the receiver and the receiver
interprets the message and acts accordingly. The communication is a goal-
oriented activity. The sender has some goal or intention towards the receiver:
persuading the receiver, making him to do something or believe something etc.
The receiver must respond to make it clear that he has received the message.
There are different ways of doing this. What the receiver does to indicate that
he has received the message is called ‘feedback’. This feedback may be verbal
or non- verbal. Unless the sender receives the feedback in some form, the
communication process remains incomplete.

Contact
For successful communication contact must be established between the
participants. The sender must make the receiver to give attention to his
message. In order to attract attention he uses short calls (Vocatives etc.) like
‘dear’, ‘hey’, ‘John-, ‘Sir’ etc. The contact is later maintained by physical
testing of the channel. The sender asks the receiver ‘Can you hear me?’ ‘Do you
follow me? - Etc. The sender must also establish rapport with the receiver. The
sender sometimes does it by talking about the weather, health praise,
encouragement etc. These are the small talks, but they matter in
communication

Context
Communication cannot take place in a vacuum. It requires a physical and
temporal setting. In other words, it takes place at a particular place and time.
However, the topic of communication is more important in communication
situation. It is the background knowledge which is shared between the sender
and the receiver. It helps the receiver to interpret the message. It helps the
receiver to predict what the sender is going to say. This prediction is very
important in understanding the message. Besides, it is also important in
planning the message that the sender sends to the receiver. Thus the setting
and the topic form the context of communication.
Common Code
A code is a set of conventions used for communication. Both the sender and the
receiver must be in possession of some common code. The code must be shared
by both the participants. This common code may be linguistic, paralinguistic or
non-verbal.

Form of Message
The message which is transmitted from the sender to the receiver must have
the same form. This form depends upon the situation. If the setting of the
situation is noisy the form is loud. If the setting is short-timed, the form is
brief. The form may also be formal or informal, polite or impolite. The form
depends upon the roles of the participants and the goal of communication.
There are a number of ways to send the same message.

Goal of Communication
Communication is a goal-oriented activity. Communication must have some
goal. In fact the goals are not the same everywhere. The goal changes
according to the focus of communication. It is in fact the function of the
language used in communication. The goal may be speaker-oriented. It is the
personal function of language. Here, the language is used to express the
speaker’s attitudes, personality and emotions. It is used to indicate whether
the speaker is sad, happy, angry, upset, dissatisfied etc. The goal may be
receiver-oriented. It is the directive function of the language. It is aimed at
controlling the behavior of the hearer by influencing, persuading etc.
Commands, requests, warnings and other functions like these are hearer-
oriented. The goal may be contact oriented.
4. Management Information System
An effective MIS helps to supply accurate, relevant and timely information to the
management of the organisation and that of a poor MIS may provide inaccurate,
irrelevant and obsolete information which becomes too expensive or fatal to an
organisation.Explain.

MIS is a distinct methodology in conceiving, creating, planning and


implementing of all managerial functions. An effective MIS helps to supply
accurate relevant and timely information to the management of the
organization and that of a poor MIS provide inaccurate irrelevant and obsolete
information, which becomes too expensive or fatal to an organisation. MIS
comprises three basic elements such as Management, Information and System.
Management is the technique of getting things done through people through an
effective planning, organizing, staffing, directing and controlling process.
MIS is a system, which provides information support for decision-making in the
organization. It is an integrated system of men and machines for providing the
information to support the operations, management and decision making
functions in the organization. It can also be said as a system based on the
database to the organization evolved for the purpose of providing information
to the people in the organization. Therefore MIS can be explained as computer
based information system.
The main ingredients of MIS are that the concept and value of information such
as planning, implementation and controlling, the management functions
associated with the information, further the MIS incorporates the dynamism
associated with its operations as well as implementation in an integrated frame
work of system approach.
Systems are an integrated set of components or entities that interact to
achieve a particular function or goal. It has got the characteristics such as
boundaries, outputs, inputs, and methods of converting inputs into outputs and
system interfaces.
The technological advancement has created a challenge to the Management.
Traditional Management used to think how to manage resources such as Money,
Materials, Men and Machines. Now it must also manage a resource known as
information. Manager in the organization is the translator or transducer of
information into decision-making body.
As businesses are gradually moving their orientation from production
perspective to customer perspective, they are expected to dynamically adjust
their production methodology to suit market and trend demands. This requires
a highly reliable management system to support overall business processes.
Business can no longer compromise with inefficiency and inaccuracy caused by
either human or system factors.
It is found in today’s life, business means competition rather cut-throat
competition. Competition becomes the essence to survive or it is the elixir to
the life of business. Every business will contend to produce not only a better
and more reliable product but also providing a better customer service. In the
meantime, they are enforced to minimize their production costs as well as their
overhead costs. These can only be achieved through developing a better
information system, a highly reliable infrastructure and a more efficient
management system.
The process of Management is segmented into two main divisions such as:
Planning & Control - means deciding what to do and assuring that desired
results are obtained. Therefore MIS aids in the functions of Strategic planning,
Management control and also operational control.
Here Strategic planning – is the process of deciding on objective of the
organization such as changed objectives and policies that govern acquisition,
use and disposition of resources. While Management control – is the assurance
of the manager that these resources are obtained and utilized efficiently in the
accomplishment of organization objective. Operational control - is method of
assuring that defined tasks are carried out very benevolently and effectively.

The various functions of management planning and control are production,


marketing, finance and personal.

The decision making process can be broken down into three stages as:
Intelligence: In this particular stage decision maker recognizes that there may
be problem or opportunity that compels him to make a decision.
Design: This stage helps to determine alternative action that could resolve the
problem or create advantage of opportunity.
Choice: This phase is concerned with the process by which one of the
alternative created in stage – 2 to be singled out to be perused.
There are many factors influencing successful use of MIS in an Organizations
Involvement of top management in computerization efforts explaining the role
of computer in achieving the goals of the organization. Unless the top
management spends time to involve into the efforts the total functions will be
bifurcated and delivered to various hands and there can be conflict of ideas
which causes the failure of entire system.
Selection of manager who has practical skills in choosing areas of application,
identification of information needs and designing reports. The information
should reach at the right place and at the right time. Unless the practical skills
are utilized at the right time it will be waste of energies and capital.
An acceptable level of spending on hardware and software. Investment on
hardware and software should be in accordance with the equilibrium where
both sides should go together. The excess investment on one side will be loss of
capital, as the expected outcome will not be achieved.
Computer personnel with inter-disciplinary skills in management and operation
research are required to be engaged.

During the implementation of MIS it is important to note the following points:


The organization’s strategic plan should be the basis for the MIS strategic plan.
The information system development schedule should match with the
implementation schedule of the business plan.
The choice of information technology is a strategic business decision and not a
financial decision.
There are numerous classes of Information
Ascertaining the information needs of the Management for the business
execution is a complex task. The complexity can be handled if the information
is classified on the basis of its application and the user, which becomes the
basis for the ascertainment.
Organizational: - This information includes the number of employees, products,
services, locations, the type of business, turn over and variety of the details of
each one of these entities.
Functional: - Another class of information is functional which includes
Purchases, sales, production, stocks, receivables, payables, outstanding,
budgets, statutory information.
Knowledge: - Knowledge is yet another class of information. It consists of the
trend in sales, production technology, the deviations from the budgets, targets,
norms etc. competitor’s information, industry and business information plan
performance and target; and its analysis.
Decision: - Status information on a particular aspect, such as utilization,
profitability standard, requirement versus a availability. Information for
problem solving and modeling. Quantitative information on the business status.
Non-moving inventory, overdue payments and receivables. This is mainly used
by the middle management.
Operational: -Yet another class of information is Operational. Information on
the production, sales, purchase, dispatches, consumption, etc. in the form of
planned versus actual. This information is required for monitoring of execution
schedules. This class is mainly used by the supervisor section
The difficulty to determine a correct and complete set of information is on
account of the factors are due to the capability constraint of the human being
as an information processor, a problem solver and a decision maker, The nature
and the variety of information, the reluctance of decision makers to spell out
the information for the political and the behavioral reasons and due to the
ability of the decision makers to specify the information.
The uncertainty has to be handled by using some methods. The low level of
uncertainty in the Operations management are by asking questions but the
precise probabilistic knowledge in the middle management can be by
determining from the existing systems and methods of decision making and
problem solving. The uncertainties which is not able to determine in
probabilistic terms precisely or Very risky are handled middle and top
management. The method is to determine through the critical success factors,
decisions parameters and decision methodology. The high or the total
uncertainty matters are handled by Top management by determining through
modeling and sensitivity analysis, experimentation etc.
The four methods of determining the information requirements are (a) by
asking or interviewing (b) by determining from the existing system (c). by
analyzing the critical success factors and (d) by experimentation and modeling.
The choice of the system or the sub-system for Implementation of MIS depends
on its position in the total MIS plan, the size of the system, the user’s
understanding of the system and the complexity and its interface with other
systems. The designer first develops systems independently and starts
integrating them with other systems, enlarging the system scope and meeting
the varying information needs. Determining the position of the system in the
MIS though easy the real problem is the degree of structure and formalization in
the system and procedures, which determine the timing and duration of
development of the system. Higher the degree of structuredness and
formalization, greater is the stabilization of the rules, the procedures,
decision-making and the understanding of the overall business activity. Here, it
is observed that the user’s and the designer’s interaction is smooth, and each
other’s needs are clearly understood and respected mutually. The development
becomes a methodical approach with certainty in inputs-process and outputs.
The MIS is generally used by medium and larger scale organizations. The small
organizations are yet to understand its application though there is dire need to
build up computer culture by properly disseminating information about
computer applications and its benefits.
The various methods of Implementation of MIS are as follows:-
Direct approach
Direct installation of the new system with immediate discontinuance of the old
existing system is referred as ‘cold turnkey’ approach. This approach becomes
useful when these factors are considered.
The new system does not replace the existing system. The implementation
should be slow and study and should not be a substitute for the earlier one. Any
such attempt will be creating serious problems in the organizations.
Old system is regarded absolutely of no value. When a direct approach is used
the system which was followed upto date will become no more useful to the
organization.
New system is compact and simple. Since the new system is clear, and simple
the use of the same will become more convenient.
The design of the new system is inexpensive with more advantages and less risk
involved. Compare to the earlier versions the new system will be cheaper and
economic.
Parallel approach: Another approach for implementing the MIS in an
organization is the parallel approach.
The selected new system is installed and operated with current system. This
method is expensive because of duplicating facilities and personnel to maintain
both the systems. In this approach a target date must be fixed when the
operations of old system cease and new one will operate on its own otherwise
both the systems will be overlapping due to which there is likely hood of total
collapse of the entire system.
Modular approach
This is generally recognized as ‘Pilot approach’, means the implementation of a
system in the Organization on a piece – meal basis. The method in fact the way
of introducing the MIS step by step so as to regularize the entire existing system
in a slow way.
This approach has got its own advantages compare to other methods.
The risk of systems failure is localized. Since the introduction of system is on
installment basis or on step-by-step basis the risk of systems failure is low.
The major problem can be easily identified and corrected before further
implementation. Any problem traced during an interval after the
implementation of the first stage, can be corrected or rectified before going to
the implementation of the next stage.
Operating personnel can be trained before system is installed in a location. The
introduction is on step-by-step model the required personnel for operating the
system can be trained before the new system is installed.
Phase – in – implementation
This approach is similar to modular method but is differs because of
segmentation of system, however, not the Organization. It has advantages that
the rate of change in a given Organization can be totally minimized and the
date processing resource can be acquired gradually over a period of time.
System exhibits certain disadvantages such as limited applicability, more costs
incurred to develop interface with old system and a feeling in the Organization
that system is never completed.
The procedures to Implement MIS are as follows:-
Planning the implementation
After designing the MIS it is essential that the Organization should plan
carefully for implementation. The planning stage should invariably include the
following:
Identification of tasks for implementation: Planning the implementation
activities, acquisition of facilities, procedure development, generating files and
forms, testing the system and evaluating and maintenance of the system.
Relationship establishment among the activity: Network diagram must be
prepared to correlate concurrent and sequential activities.
Establishing of MIS: For monitoring the progress of implementation and for
proper control of activities, efficient information system should be developed.
Acquisition of facilities:-
For installation of new system or to replace current system the Manager should
prepare a proposal for approval from the Management by considering space
requirement, movement of personnel and location for utility outlets and
controls.
Procedure development:-
This is an important step for implementation of the system including various
activities such as evaluation, selection of hardware, purchase or development
of software, testing and implementation strategies. The valuation of the
information system is very much required to know and verify the required
output in the system. The selection of hardware is also much important for the
simple reason that any failure of selected hardware will be causing the
complete failure of the entire system. Like that yet another important aspect is
the purchase or development of software. The software purchased should be
tested to verify the required standard before using the same in the organisation
or the software should be developed in such a fashion that it satisfies the
requirement of the organisation.
Generation files and formats
The MIS manager should generate files and formats for storing actual data. Each
information and data should be stored in a separate file so that the same can
be utilized or used by simply calling the particular data only without going
through the entire file. The file should be created in such a format. This
requires checklist data, format data, storage forms and other remarks in
database.
Testing of the system
Test should be performed in accordance with the specifications at the
implementation stage consisting of component test, sub-system test and total
system test. Once all the tests are finalized and a final data for storing is ready
the same should be stored in required format by giving a specific name or by
giving separate pass word so as keep the secrecy of data.
Evaluation and maintenance of system
The performance should be evaluated in order to find out cost effectiveness
and efficacy of the system with minimum errors due to designs, environmental
changes or services. The periodical evaluation of system is required to
safeguard the system from causing any corruption to the data.
Software maintenance
The proper maintenance is the enigma of the system development and it holds
software industry captive, tying up programming resources. There are some
problems in maintenance such as regarding it as non-rewarding, non-availability
of technicians and tools, non-cognizance of users about maintenance, problem
and cost, lack of standard procedures and guidelines. Most programmers feel
maintenance as low-level drudgery. If proper attention is paid over a period of
time eventually less maintenance is required.
The maintenance of software are of various types, such as corrective
/adaptive/perfective. Among these by corrective maintenance means repairing
process or performance failures while by Adaptive maintenance means changing
the Program function, whereas perfective maintenance deals with enhancing
the performance or modifying the program.
The activities of a maintenance procedure are the documentation. Maintenance
staff receives requests from the authorized users and response should be
provided immediately. Programming library should be maintained to deliver the
accurate service.
Another important aspect is reduction in maintenance costs. Several
Organizations having MIS generally go in for reducing maintenance costs and it
consists of three major phases, such as audit through questionnaires and
interviews, Software system audit and Software modification.
Evaluation methods
Like the maintenance, the evaluation of the MIS in an Organization is integral
part of the control process. There are several evaluation approaches such as
quality assurance review, compliances of audits, budget performance review,
computer personnel productivity assessment, computer performance
evaluation, service level monitoring, user audit survey, post installation review
and cost benefit analysis.
The Effectiveness and Efficiency are the two main classes of Evaluation
performance measurement. The relationship between effectiveness and
efficiency is that the effectiveness is a measure of goodness of output while the
efficiency is a measure of the resources required to achieve the output.
The Information Resource Management is a concept, an idea and a perspective
rather than an entity which attempts to focus attention on the information that
is produced by a system rather than the system itself or on the hardware and
software components of the system. IRM emphasizes managerial abilities but
not technical hence it is an interaction of managers and technicians.
The changeover of traditional organization into MIS brings out change in
attitudes towards information system. These changes bring distinct perspective.
Information is taken as resource but not a by-product of transaction processing.
It becomes resource of entire organization but not of a unit.
Information from traditional data processing activities change to collection of
information from many resources.
The IRM activity comprises of all the information resources of an organization,
which include business data processing, date management information centers,
end user computing and networking. The major function of IRM is to integrate
and co-ordinate all the above activities in the organization.
The implementation of the system is a management process. It brings about
organizational change; it affects people and changes their work style. The
process evokes a behavior response, which could be either favourable or
unfavorable depending upon the strategy of the system implementation.
In the process of implementation, the system designer acts as a change agent
or a catalyst. For successful implementation the designer has to handle the
human factors carefully. The guidelines for the systems designer for successful
implementation of the system are
No question should limit the information need of the user.
The designer should not forget that his role is to offer a service and not to
demand terms.
It should also remembered that the system design is for the use of the user and
it is not the designer’s prerogative to dictate the design features. Hence the
designer should respect the demands of the user.
The designer should remember not to mix up technical needs with the
information needs. He should try to develop suitable design with appropriate
technology to meet the information needs. The designer should not recommend
modifications of the needs, unless technically infeasible.
Impress upon the user the global nature of the system design, which is required
to meet the current and prospective information needs.
Not to challenge the application of the information in decision-making. It is the
sole right of the user to use the information the way he thinks proper.
Impress upon the user that the quality of information depends on the quality of
input, which he provides.
Impress upon the user that he is one of the users in the organization and that
the information is a corporate resource and he is expected to contribute to the
development of the MIS.
Ensure that the user makes commitment to all the requirements of the system
design specifications. Ensure that he appreciates that his commitments
contribute largely to the quality of the information and successful
implementation of the system.
Ensure that the overall system effort has the management’s acceptance.
Enlist the user’s participation from time to time, so that he is emotionally
involved in the process of development.
Realize that through serving the user, he is his best guide on the complex path
of development.
Not expect perfect understanding and knowledge for the user as he may be the
user of a non-computerized system. Hence, the designer should be prepared to
change the system specifications or even the design during the course of
development.
Impress upon the user that the change, which is easily possible in manual
system, is not that easy in the computer system as it calls for changes in the
programs.
Impress upon the user that perfect information is non-existent, his role
therefore still has an importance in the organization.
Take care that the problems in the organization are resolved first before the
system is taken for development.
Conduct a periodical user meetings on systems where you get the opportunity
to know the ongoing difficulties of the users.
Train the user in computer appreciation and systems analysis as his perception
of the computerized information system will fall short of the designer’s
expectation.
Implementation of the MIS in an organization is a process where organizational
transformation takes place. This change can occur in a number of ways.
As suggested by Lewin there are three steps,
Unfreezing the organization to make the people more receptive and interested
in the change.
The second step is choosing a course of action where the process begins and
reaches the desired level, and
The third step is re-freezing, where the change is consolidated and equilibrium
is reinforced. Many a times, this process is implemented through an external
change agent, such as a consultant, playing the role of a catalyst. The
significant problem in these tasks is the resistance to change. The resistance
can occur due to three reasons viz., the factors internal to the users of
information, the factors inherent in the design of the system and the factors
arising out of the interaction between the system and its users. The problem of
resistance can be handled through education, persuasion, and participation.
This itself can be achieved by improving the human factors, and providing
incentives to the users, and eliminating the organizational problems before
implementing the system.
Management of quality in the MIS is another task while implementing the MIS in
an organization.
Information is a corporate resource, as important as the capital, know-how etc.
and is being used for decision-making. Its quality, therefore, is required to be
very high. A low quality information would adversely affect the organizational
performance as it affects decision making. The quality of information is the
result of the quality of the input data, processing design, system design, system
and procedures, which generates such as data, and the management of the
data processing function. Quality, unlike any other product, is not an absolute
concept. Its level is determined with reference to the context and its use, and
the user. Perfect quality just as perfect information in non-achievable and has
cost-benefit implication.
The quality of information can be measured on certain parameters though all
the parameters need not have a very high value in terms of the unit of
measure. Some parameters may have lesser importance in the total value on
account of their relevance in the information and its use. The quality of the
important parameters is ensured by conducting a proper systems analysis,
designing a suitable computer system and ensuring its maintenance from time
to time and also subjecting it to audit checks to ensure the system integrity.
If a MIS is to be a success then it should have all the features listed as follows:
• The MIS is integrated into the managerial functions. It sets clear objectives to
ensure that the MIS focuses on the major issues of the business. Also adequate
development resources are provided and the human and organizational barriers
to progress are removed.
An appropriate information processing technology required to meet the data
processing and analysis needs of the users of the MIS is selected.
The MIS is oriented, defined and designed in terms of the user’s requirements
and its operational viability is ensured.
The MIS is kept under continuous surveillance, so that its open system design is
modified according to the changing information needs.
MIS focuses on the results and goals, and highlights the factors and reasons for
non-achievement.
MIS is not allowed to end up into an information generation mill avoiding the
noise in the information and the communication system.
The MIS Recognizes that a Manager is a human being and therefore, the systems
must consider all the human behavioral factors in the process of the
Management.
The MIS recognizes that the different information needs for different objectives
must be met with. The globalization of information in isolation from the
different objectives leads to too much information and its non-use.
The MIS is easy to operate and therefore the design of the MIS has such
features, which make up a user-friendly design.
MIS recognizes that the information needs become obsolete and new needs
emerge. The MIS design, therefore, has a basic potential capability to quickly
meet new needs of information.
The MIS concentrates on developing the information support to Manager critical
success factors. It concentrates on the mission critical applications serving the
needs of the top management.
Like the factors, which help the success of MIS, many other factors are there
which causes the failure of the MIS system.
The MIS conceived as a data processing and not as an information processing
system.
The MIS does not provide the information which is needed by the managers but
it tends to provide the information generally the function calls for. The MIS
then becomes an impersonal system.
Understanding the complexity in the business systems and not recognizing it in
the MIS design leads to problems in the successful implementation.
Adequate attention is not given to the quality control aspects of the inputs, the
process and the outputs leading to insufficient checks and controls in the MIS.
The MIS is developed without streamlining the transaction processing systems in
the Organization.
Lack of training and appreciation that the users of the information and the
generators of the data are different, and they have to play an important
responsible role in the MIS.
The MIS does not meet certain critical and key factors of its users such as a
response to the query on the database, an inability to get the processing done
in a particular manner, lack of user-friendly system and the dependence on the
system personnel.
A belief that the computerized MIS can solve all the management problems of
planning and control of the business.
Lack of administrative discipline in following the standardized systems and
procedures, wrong coding and deviations from the system specification result in
incomplete and incorrect information.
The MIS does not give perfect information to all the users in the Organization.
Any attempt towards such a goal will be unsuccessful because every user has a
human ingenuity, bias, and certain assumptions not known to the designer. The
MIS cannot make up these by providing perfect information.

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