Online-Academy

Look, Read, Understand, Apply

Menu

MIS for Competitive advantages

How MIS can help to achieve competitive advantage for an organization?

MIS processes data and produces information. MIS helps to find required data and information quickly and easily, see data from different angles, generate different types of reports. Data and information can be transferred from one location to another location quite easily; data, information can be shared within organization cost effectively and in the secured manner. In this way MIS can help organization achieve competitive advantage.
What is agile company?
Agile company is that type of company which can act immediately in almost any kind of situations, it has all the required data and information to act or can immediately get information to act. It uses MIS to eases its daily occurring tasks and activities, in decision making process. It is capable to studying its working environment and know what kind of data will be required in what type of situation.
In Agile company, managers and executives listen to all of its employees, share data and information with each other; respect knowledge and wisdom of employees; even look to collaborate with competitors; develops services and products which will be of value, solution to its customers for their problems and issues.
What are the different reports produced by MIS?
  • Periodic Report
  • Demand Report
  • Push Report
  • Exception Report
  • How bargaining power of customers can be reduced?
    By providing services and products as excepted by customers as they need in reasonable price, bargaining power of customers can be reduced. MIS will help to understand needs of customers, price customers are will to pay, price of similar kind of product by competitors. If MIS developed carefully to tackle customer data, transaction data and other external data, then MIS will definitely provide information required to produce product customers need in their expected price.
    Why there are different types of Management Information systems?
    Organization will have different employees (staffs) working under different posts; organization will have different functional units working in collaboration with each other to execute different tasks and activities of the organization. Employees of different post and level and functional units need to perform different tasks, they need different information to execute their tasks and activities easily. So, to produce different type of data and information need by different employees working in organization, different types of Management Information Systems are required. For example, For the employees of operational level, they need MIS which can help collect and store data efficiently and effective.
    Why database management system is necessary for MIS?
    Database management system helps to organization data easily, retrieve required data easily. It also helps to secure data; manipulate data, share data, so DBMS is necessary for MIS.
    What is virtual company?
    Company where employees can work from anywhere is virtual company. In virtual company, employees will get data and information quite easily from anywhere. Data distribution, accessibility and security is well designed and developed in the virtual company. Concept of computer network and collaboration software, database management system, Management Information system are well developed and deployed in the virtual company.
    Write the features of Human resource Management Information System?
    Features of HRMIS:
  • recording of information of employees
  • recording of employee performance data
  • storing feedbacks comments about employees
  • searching employee information, their performance data, feedbacks, comments
  • employees should be able to some of their data and update some information related to them
  • services like fill leave form, checking attendance, etc.
  • What are the activities of MIS?
  • Input data
  • Store and Process data
  • Product information/data
  • Take feedbacks and comments
  • Management Information System (MIS) is computer program which processes data provided as input and generates information which may be of value for different users. MIS helps to execute manual tasks effectively and efficiently, helps in decision making process and helps in gaining competitive advantages.
    Processes in MIS:
    • Input of data: Process of feeding raw data to the system.
    • Processing of data
    • Generating Information as output
    • Storing data and information
    • Taking feedback and incorporating those feedback

    Why to have MIS?

    • To improve the ways things are done
    • Be able to make fact-based decisions easily
    • Be become competitive

    The components of MIS are:

    • People: There are two types of people in context of MIS:
      End users: people who use information system; customers, salespersons, managers etc. are examples of end users.
      IS specialist: People like system analysts, software developers etc. responsible for designing and developing Information system
    • Business Processes: Set of activities performed under the guidance of rules and regulations to get some output
    • Data: Raw facts which is processed to produce information. Data can be in different formats like number, text, image, video etc. Data resources are organized, stored in database for easy access.
    • Computer Network: All the components like communication media, network infrastructure used to communicate between computers
    • HardWare: All the physical components (CPU, input devices, output devices, storage devices) used in information processing.
    • Software: Set of instructions which processes data, help to run information system, information system itself.
    Here, I am considering a department store to elaborate the components of MIS. Department stores use Management information system to ease their tasks and operations. Several hardware, software can be found there.Hardware
    In department store, we see electronic billing system (Point-of-Sale (POS)). Devices that we can see are
    • Barcode Scanner: used to scan bar code of products and insert data to computer (input device, but a small computer in its own).
    • Card Reader: used to read credit/debit cards and make payments (input device, but a computer in its own)
    • Computer: Consists of output devices (Monitor, printer), input devices (Keyboard, mouse), processing units, storage devices etc.
    Software
  • Operating System (OS): required to operate computer. Barcode scanner, card reader has its own OS
  • Billing system software: used to create, print bill. Using this software, bills can be created, edited, printed
  • Antivirus Software: to protect bill system and computer system from malicious, unknown attacks
  • People
    • End users: End users are those people who use the software system, sales persons are one of the end users of the billing system of the department store.
    • IT Personals: people who design and develop software, (MIS is also a software). Designers, developers, testers of software are IT personals. IT personals communicate with end users, understand their requirements, then design and develop software for them.
    Data
    • In department store, data about several objects are collected, objects like products, customers, sales persons etc. At the time of billing also data is collected; data about products purchased, purchaser etc are collected. These collected data is stored in database system from where data can be retrieved anytime.
    Computer Network
    Computer network is interconnection of computers such that computers can communicate with each other. In the department store, computers are categorized as client computer and server computer. Client computers are used by sales person and other employees, server computer installs database management system. Client computers are connected to the server computer. Sales person and other employees access database installed in server computer from their client computer. Client computers have billing system software installed; all data are feed to server computer from the client computers.

    Database is a collection of data. Database has different kind of importance in the success of MIS. MIS processes data to produce information. MIS has several modules which help in executing several business processes. Data must be available in correct structure, then only modules of MIS can work on them. Data must be stored properly for the future reference.
    Data is stored in Relational Database Management System (DBMS). Relational DBMS (RDBMS) has several features and has evolved through the years. Lots of organizations perform lots of transactions which must be consistent with policy of the organization and RDBMS is perfect for handling transactions, concurrent transactions and maintaining consistency of data.
    Relational database stores data in tabular format. It stores data about entities (objects like employee, student, account, building, vehicle etc). Entities are described by attributes, for example employee has (employeeID, name, address, contactnumber, email). Generally each table represents one entity and tables are associated with each other with help of keys.
    For example, we have to store data about employees and their departments. For this we will create three tables, one for employee, second for department and third to show which employee works in which department. Each employee has unique employee id, each department has unique department number. These attributes employee id and department number are called Primary keys. The third table will have employee id and department number as attributes and these attributes will become Foreign keys. From these three tables it can be known which employees work in which department or how many employees work in one single department etc. In this way relational database stores data.

    Use of Information Technology for strategic Advantages

    Strategy is an action plan designed to do some task, or to achieve some goals or objectives. In organizations managers make several strategies to ease work of their organizations. Some examples to elaborate strategic advantages of using Information Technology (IT) in organizations are given below:
    • Department Stores: In department stores we can see use of computer system to generate bills. With the help of computer system, stores are able to save time of customers and their employees, as computer generates bills very fast, waiting time for customers is reduced. At the same time performance of salespersons is also improved as they can process bill fast and more bills in shorter time and possibility of billing mistake is also reduced.

    • Banks: Banks use computer system to process transactions of clients. Computer system helps to reduce waiting time of clients and improves efficiency of bank employees. Employees can immediately process cheque or deposits from clients with the help of computer system as employees can get information about the cheque and customers in few mouse clicks and key presses. Here, also customers get fast service and also employees can process more client transactions in shorter duration. Overall improving performance of the organization.
    • Online stores: E-commerce saves time of customers and saves money of seller required to spend on rents. Customers get information about products immediately, can also know about the reviews provided by other customers about the product. Seller can give any amount of information about products, edit production information anytime, collect data about customers\' online behavior.

    Above provided examples show that organization can easily collect data about the transactions using Information Technology. Data is the most important component for any organization; data is the source of information. Organizations should be clever enough to use that data to develop strategies for their betterment.