MIS Structure

There are primarily four building blocks for the structure of complete MIS. They are: Organizational functions and crossfunctional processes. Management activities at different hierarchical levels. Decision support. operating elements.
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Organizational functions

MIS structure has to be designed to satisfy the requirements of various organizational functions. In addition, there will be many cross functional processes going on in an organization. Each of these require information for their various levels of hierarchical activities which are normally known as transaction processing (clerical/worker level), operational control (junior/middle management level), managerial control (senior management level) and strategic planning (top management level). These organizational functions, as we know, are: marketing and sales, supply chain (materials), manufacturing, logistics, human resources, finance and accounting, information technology and top management. Each of these functions also interact with each other in cross functional processes in the project phases and also during stabilized business phases.

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Hierarchical Management Activities

MIS structure has to be designed to satisfy various hierarchical information requirements. There are four levels of hierarchy: strategic planning (top management), management control and tactical planning (senior management), operations planning and control (middle and junior management), transaction processing (clerical staff and workers). At each level of management, the nature of information in terms of details, conciseness, frequency, interpretations, decision supporting/decision giving capabilities etc is different and MIS structure should support it.

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Decision Making

Nature of decisions vary for each hierarchical level in each management function. The decisions can be classified in two ways as: structured (programmable) decisions and unstructured (non programmable) decisions. MIS requirements for structured programmable decisions are clear, unambiguous and decision making logic can be formulated. These are normally related to the requirements of transaction processing and operation control levels in various functions of the organization. MIS requirements for unstructured non programmable decisions are ambiguous and often frequently changeable,. The decision making is not amenable for pre-established procedures or logic. These are normally related to the requirements of strategic planning and some times, for management control levels. Information requirements are not fully known in advance information/data retrieval is done through adhoc enquiries. MIS structure should address to the needs of both the types of decision making mentioned earlier.

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Operating elements of MIS

MIS that has to support the requirement of various types of decision making at different hierarchical levels in various functions of an organizations, finally has its operating elements on which the entire structure is created. There are three operating elements: physical components, processing functions and outputs for the users of information. Physical components are: hardware, software, database, algorithms (procedures or logic) and the people/experts in information technology function. Processing functions include: transaction processing, data base maintenance, reports production, enquiry processing and interactive support applications. Types of outputs are: transactional types or action oriented, informational and decision support types. The operating elements of MIS structure should be designed keeping these (physical components, processing functions and types of information outputs) in mind.

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Programmed & Non-Programmed Decisions

Programmed decisions . Programmed decisions are made in routine, repetitive, well-structured situations with predetermined decision rules. These may be based on habit, or established policies, rules and procedures and stem from prior experience or technical knowledge about what works or does not work in a given situation. For example, organisations often have standardised routines for handling customer complaints or employee discipline. Decisions are programmed to the extent that they are repetitive and routine and that a definite approach has been worked out for handling them. Because the problem is well-structured, the manager does not have to go to the trouble and expense of working through an involved decision making process. Non-programmed decisions. Non-programmed decisions are unique decisions that require a 'custom made' solution. This is when a manager is confronted with an ill-structured or novel problem and there is no 'cut and dried solution'. The creation of a marketing strategy for a new service represents an example of a nonprogrammed decision

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Urgent vs Important decisions

A particularly useful time management technique is to distinguish between urgent and important decisions. This distinction is significant as these two types of decisions have to be dealt with differently. Urgent items have a deadline attached; that is: they have to be done by......Important items also have a deadline. The deadline for them is usually far enough in advance for there to be sufficient time to focus primarily on quality .

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The effective decision making process

Decision making is more than just the simple act of choosing from alternatives. The effective decision making process involves several steps. You have to: identify the problem; generate alternative solutions; evaluate and choose an alternative; and implement and monitor the chosen solution.

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System

A set of detailed methods, procedures, and routines established or formulated to carry out a specific activity, perform a duty, or solve a problem.

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Environment and boundaries

Systems theory views the world as a complex system of interconnected parts. We scope a system by defining its boundary; this means choosing which entities are inside the system and which are outside - part of the environment. We then make simplified representations (models) of the system in order to understand it and to predict or impact its future behavior. These models may define the structure and/or the behavior of the system.

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Natural and man-made systems

There are natural and man-made (designed) systems. Natural systems may not have an apparent objective but their outputs can be interpreted as purposes. Man-made systems are made with purposes that are achieved by the delivery of outputs.

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Theoretical Framework
An open system exchanges matter and energy with its surroundings. Most systems are open systems; like a car, coffeemaker, or computer. A closed system exchanges energy, but not matter, with its environment; like Earth. An isolated system exchanges neither matter nor energy with its environment. A theoretical example of such system is the Universe.
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Process and transformation process

A system can also be viewed as a bounded transformation process, that is, a process or collection of processes that transforms inputs into outputs. Inputs are consumed; outputs are produced. The concept of input and output here is very broad. E.g., an output of a passenger ship is the movement of people from departure to destination.
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Subsystem
A subsystem is a set of elements, which is a system itself, and a component of a larger system.

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System Model
A system comprises multiple views. For the man-made systems it may be such views as planning, requirement (analysis), design, implementation, deployment, structure, behavior, input data, and output data views. A system model is required to describe and represent all these multiple views.

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Elements of a system in terms of Information systems: Inputs and Outputs Processor Control Environment Feedback Boundaries and Interface

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Systems Classification

Physical or Abstract systems Open or Closed systems 'Man-made' Information systems Formal Information systems Informal Information systems Computer Based Information systems
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Formal Information System: A formal information system is based on the organisation represented by the organization chart. The chart is a map of position and their authority relationship,indicated by boxes and connected by straight lines. it is concerned with the pattern of authority, communication and work flow.

Informal Information System:

The informal information system is employee based system design to meet personnel and vocational needs and to help in the solution of work-related problems. it also funnels information upward through indirect channels. In this way, it is considered to be a useful system because it works within the framework of the business and its stated policies.

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Planning of Information System

Plan of MIS is consistent to the business plan of the organization. For this, the business strategic or otherwise, should state the information needs. The information needs are then traced to the source data and the systems which generate the such a data. Once the management needs are translated into information needs it is left to the designer to evolve a plan of MIS development and implementation.
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Contents of the MIS plan

MIS goals and objectives It should support the business goals The System Development Schedule Hardware and Software Plan Prototype Approach Life Cycle Approach

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SDLC

Feasibility study Requirements, collection and analysis Design Prototyping Implementation Validating and Testing

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Feasibility of Systems

Technical Feasibility Economic Feasibility Operational Feasibility Schedule Feasibility

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DFD - represents the logical flow of data within the system. DFD do not explain that how the processes convert the input data into output Data Dictionary is used to create and store definitions of data, location, format for storage and other characteristics
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Decision Support Systems:

DSS are a specific class of computerized information system that supports business and organizational decisionmaking activities. A properly designed DSS is an interactive software-based system intended to help decision makers compile useful information from raw data, documents, personal knowledge, and/or business models to identify and solve problems and make decisions .
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Applications of DSS

inventories of information assets (including legacy and relational data sources, cubes, data warehouses, and data marts), comparative sales figures between one period and the next projected revenue figures based on product sales assumptions
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Clinical Decision Support systems

It link health observations with health knowledge to influence health choices by clinicians for improved health care. Clinical Decision Support Systems are increasingly seen as important tools to help drive efficiency and cost-benefit improvement in healthcare. Successful development and utilization of the next generation of clinical decision support systems (CDSS) require bridging the gap between the challenges faced by these systems' developers and requirements of the systems' clinical, technical, and business users. ohumVistA has successfully bridged this gap with the following tools; Order Checking (allergies, duplicates, interactions) Alerts & Clinical Reminders (mammography screening, colorectal cancer screening, HbA1c etc.) Health Factors (smoking, alcohol, CAD risk)

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Characteristics of DSS

Computerized IS that are interactive in nature DSS provide support to specific decision making activities It can be independent systems or subsystems of a more integrated and larger information system. DSS as independent systems can collect or reproduce data from other information system DSS enhance accuracy, quality, relevance and the overall effectiveness of a specific decision or a set of related decisions. A DSS is flexible so that it supports semi-structured and unstructured information Decision making may require a lot of information. So it is necessary to store the information in databases from which data can be accessed easily and quickly.

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Application of DSS

DSS are very useful in analytical modeling. Four basic types of analytical modeling supported by DSS are

What-if analysis Goal Seek analysis Sensitivity analysis Optimization analysis

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Group Decision Support Systems (GDSS)

GDSS is a class of electronic meeting systems, a collaboration technology designed to support meetings and group work

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Similarities Between GDSS and DSS

Both use models, data and userfriendly software Both are interactive with what-if capabilities Both use internal and external data Both allow the decision maker to take an active role Both have flexible systems Both have graphical output
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Why Use GDSS?

High level managers can spend 80% of their time making decisions in groups. Applied correctly, GDSS can reduce this time, arriving at a better decision faster. GDSS provides the hardware, software, databases and procedures for effective decision making

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Characteristics of GDSS

Special Design Ease of use Specific and general support Suppressing negative group behavior Supporting positive group behavior

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Typical GDSS Process

1) Group Leader (and Facilitator?) select software, develop agenda 2) Participants meet (in decision room/Internet) and are given a task. 3) Participants generate ideas brainstorm anonymously 4) Facilitator organize ideas into categories (different for user-driven software) 5) Discussion and prioritization may involve ranking by some criteria and/or rating to the facilitators scale 6) Repeat Steps 3, 4, 5 as necessary 7) Reach decision 8) Recommend providing feedback on decision and results to all involved

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Model Driven DSS

It is one in which decision makers use statistical simulations or financial models to come up with a solution or strategy. Though these decisions are based on models, they do not have to be overwhelmingly data intensive.

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Communications Driven DSS model

It is one in which many collaborate to come up with a series of decisions to set a solution or strategy in motion. This model can be in an office environment or on the web.

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Data Driven DSS model

This model puts its emphasis on collected data that is then manipulated to fit the decision makers needs. This data can be internal or external and in a variety of formats. It is important that data is collected and categorized sequentially, for example daily sales, operating budgets from one quarter to the next, inventory over the previous year, etc.

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Document Driven DSS model

This model uses a variety of documents such as text documents, spreadsheets, and database records to come up with decisions as well as further manipulate the information to refine strategies.

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Knowledge Driven DSS model

It uses special rules stored in a computer or that a human uses to determine whether a decision should be made. For instance, many day traders see a stop loss limit as a knowledge driven DSS model. These rules or facts are used in order to make a decision.

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GDSS

GDSS example is at Hewlett-Packard. Their human-factors engineers work at locations all over the world. And they meet in person only once a year. The rest of the time, they have frequent, ongoing meetings to discuss professional and company issues. But they have these discussions through an electronic conference and final decision making is done with the aid of GDSS
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Case - Marine engineering problem

You are the production manager of a marine engineering company that produces a kit that converts land-based engines for marine use. You have been aware for some time that the number of conversion kits produced has been declining at a time when customers are crying out for more. Since producing these conversion kits is the sole purpose of the company, it is very important for you to find out what is happening. Upon closer analysis, you have come up with the following key points: The machines used to produce these conversion kits are not used to maximum capacity because many staff are not aware of how to use certain controls and switches on the machines. This is not the fault of the staff because the machines are very complicated and the operating instructions are just as complicated. Therefore, many staff resort to trial and error when running the machines. This has resulted in minor accidents as well as machinery breakdowns.

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Whenever a machine breaks down, it takes time to get it fixed because the only maintenance engineer who can fix it is a very busy person. If often takes up to a week before the machine is fixed. When the maintenance engineer does come to fix a machine, the staff running the machine at the time of breakdown are required to write down the cause of the breakdown. In going through all correspondence over the last year, you notice that the main complaint appears to be that the operator did not use the machine properly. Even routine maintenance work was wasted because certain things were done when they didn't need doing.

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Quite often there is a shortage of staff and part-time people need to be hired. Going through the personnel files, you find that the main reason for a shortage of staff is that there are too many people who are consistently off sick; all too often, many are off sick at the same time. This makes you wonder what is going on until you discover a pattern that they only get sick when they are assigned to one of the specialised machines. Apparently nobody likes to work on the machines because they don't want to be blamed for not producing the specified number of parts per day. If the wrong combination of switches is touched, it takes many hours to reset the machine. A government safety inspector has written you a letter saying that they will be coming to see you regarding the high rate of accidents in your company. According to their records, you are having too many accidents, even if they are minor ones. Your own records confirm this. Your records also show that in many cases, staff were not wearing any of the recommended safety items which could have prevented the injury.

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