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Learning Objectives
•
•
•
•
Understand the concepts of Information systems.
Learn Types of Information System.
Describe MIS.
Purpose and Objective of MIS.
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Information System
An Information system is a set of people, procedures, and
resources that collects, transforms, and disseminates
information in an organization.
An information system (IS) is typically considered to be a
set of interrelated elements or components that collect
(input), manipulate (processes), and disseminate (output)
data and information and provide a feedback mechanism
to meet an objective.
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Continued…
For example: Today’s end users rely on many types of Information
Systems (IS). Some are simple manual information systems, where
people use tools such as pencils and paper, or machines such as
calculators and typewriters.
A computer based information system uses the resources of people
(end users and IS specialists), hardware (machines and media), and
software (programs and procedures), to perform input, processing,
output,
storage,
and
control
activities
that
convert data resources into information products
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Components of I S
Fig. 13.1: The Components of an Information System
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Different Resources of Information Systems
computer based information system consists of four major resources:
•
•
•
•
People
Hardware
Software and
Data.
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Continued…
People Resources: Specialists – systems analysts, programmers, and computer
operators. End users – anyone else who uses information systems.
Hardware Resources: Machines – computers, video monitors, magnetic disk
drives, printers, and optical scanners.
Software Resources: Programs – operating system programs, spreadsheet
programs, word processing programs, and payroll programs.
Procedures – data entry procedures, error correction procedures, and paycheck
distribution procedures.
Data Resources: Product descriptions, customer records, employee files, and
inventory databases.
Information Products: Management reports and business documents using
text and graphics displays, audio responses, and paper forms.
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I S Vs I T
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Types of Information System
Information Systems
Operations Support
System
Transaction
processing
systems
Process control
systems
Office
automation
systems
Management Support
System
Management
information
systems
Decision
support
systems
Executive
information
systems
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Transaction Processing System
A transaction processing system (TPS) collects, stores, modifies and
retrieves the transactions of an organization. Examples of such systems
are automatic telling machines (ATMs), electronic funds transfer at point
of sale (EFTPOS – also referred to as POS). There are two types of
transaction of processing:
• Batch processing: where all of the transactions are collected and
processed as one group or batch at a later stage.
• Real-time processing: where the transaction is processed
immediately
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Continued…
Transaction Processing System
Sales and Marketing
Manufacturing &
Production
Finance &
Accounting
Human Resource
System
Order Processing.
Statistical Analysis
Accounting
Wage System
Advertising
Ordering Raw Material
Budgeting
Attendance
General Ledger
Application
Sales
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Process Control System
Process control systems monitor and control industrial processes.
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Office Automation Systems
The term office automation refers to all tools and methods that are
applied to office activities which make it possible to process written, visual,
and sound data in a computer-aided manner.
An office automation system (OAS) facilitates everyday information
processing tasks in offices and business organizations. These systems
include a wide range of tools such as spreadsheets, word processors, and
presentation packages.
Office Automation Systems are software packages such as MS Office which
include word processors, spreadsheets, databases, presentation software,
email, internet, desktop publishing programs and project management
software.
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Continued…
A Continuum (scale) of Human Control and Automation
Fig: Human Control and Automation
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Management Information System (MIS)
The MIS is defined as an integrated system of man and machine for
providing the information to support the operations, the
management, and the decision-making function in the
organization.
Management Information System (M.I.S.) is basically concerned
with processing data into information, which is then communicated
to the various Departments in an organization for appropriate
decision-making.
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Features of MIS
An MIS must have the following features:
 It must be capable of handling voluminous data. The data as well as
transactions must be validated.
 It must be able to perform operations on the data irrespective of the
complexity of the operations. Often time multi-dimensional analysis is
required.
 An MIS should facilitate quick search and retrieval of information. An MIS
must support mass storage of data and information.
 The information must be communicated to the recipient in time. Moreover,
the communicated information must be relevant.
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Decision Support System
A DSS can be defined as a computer based information system that aids
a decision maker in taking decisions for semi-structured problems.
A DSS is an interactive, flexible and adaptable computer based
information system that utilizes decision rules, models and model base
coupled with comprehensive database and the decision maker’s own
insights, leading to specific, implementable decisions in solving
problems.
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Executive Information System (EIS)
An EIS, executive Information System is a form of MIS designed for upper
management and provides information which might help them make decisions
on a strategic level about future directions or issues concerning managers.
An executive information system (EIS) is a highly interactive system that provides
managers and executives’ flexible access to information for monitoring
operating results and general business conditions. These systems are sometimes
called executive support systems (ESS). EIS attempts to take over where the
traditional MIS approach falls short.
EISs provide executives with internal and competitive information through userfriendly interfaces that can be used by someone with little computer-related
knowledge. EISs are designed to help executives find the information they need
whenever they need it and in whatever form is most useful.