Introduction to MIS - Lecture 1

Lecture 1

What is MIS?

A combination of computers and people that is used to provide information to aid in making decisions and managing a firm.

   Components: Hardware, software, people, procedures and collections of data.

   Goal: To enable managers to make better decisions by providing quality information.

Information Technology vs. Information System

Information Technology (IT) - represents the various types of hardware and software used in an information system. It includes computers and networking equipment.

Information System - refers to the interaction between people, processes, and technology. An information system has an information technology component that interacts with the people and processes components.

Data, Information, Knowledge and Wisdom

Data – factual elements

Information – processed data

Knowledge – higher level of understanding such as rules, patterns and decisions

Wisdom – knowledge, experience and analytical skills put together to create new knowledge

E-Commerce and E-Business

Electronic Commerce – selling of products over the Internet.

E-business – a general term which includes using the Internet for other business tasks.

                    Examples: digital maps, remote data backup and language translation

 Types of E-Commerce

 1. Business-to-Consumer (B2C) - selling retail products to consumers.

 2. Business-to-Business (B2B) - selling at the wholesale level to other businesses.

What do Managers do?

Traditional -organizing, planning and control.

According to Mintzberg:

         1.Interpersonal – teaching & leading employees

         2. Informational – based on transfer of information

         3. Decisional –evaluating alternatives and choosing directions

According to Luthans:

           1.Traditional 50%

        2. Formal Communication 30%

        3. Networking 20%

Decision Process

          1. Collect Data

        2. Identify Problems and Opportunities

        3. Make Choices

Traditional Management

Decentralized Management

Business Trends

Changing business environment

• Specialization
• Management by Methodology and Franchises
• Mergers
• Decentralization and Small Business
• Temporary Workers
• Internationalization
• Service-Oriented Business
• Re-engineering

Need for faster responses and flexibility

Business Trends and Implications
 
Specialization

• Increased demand for technical skills
• Specialized MIS tools
• Increased communication

Methodology and Franchises

• Reduction of middle management
• Increased data sharing
• Increased analysis by top management
• Computer support for rules
• Re-engineering

Mergers

• Larger companies
• Need for control and information
• Economies of scale

Decentralization and Small Business

• Communication needs
• Lower cost of management tasks
• Low maintenance technology

Temporary Workers

• Managing through rules
• Finding and evaluating workers
• Coordination and control
• Personal advancement through technology
• Security

Internationalization

• Communication
• Product design
• System development and programming
• Sales and marketing

Service Orientation

• Management jobs are information jobs
• Customer service requires better information
• Speed

Changing Business Environment

US History: Farmer Laborer Management

Internationalization