13099951-Management-Information-System-Lect-2-Application-in-Service

MIS Application is Service Industry

Goods and Services

Goods are things you can buy that you can touch. Can you buy apples? Can you touch apples? Then the apples are goods.

Can you touch and buy jump ropes, swing sets, bats and balls, caps, pans, or pencils? These items are all called goods.

From time to time we also buy things that cannot be touched.

For example, We buy repairs and cleaning for our teeth when we go to the dentist. In this case, we are buying a SERVICE. It is something done for us.

Community helpers are people who provide SERVICES for us. Some of our community helpers are paid by our government.

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Characteristics of Service Intangible product An asset that is not physical in

nature Produced & consumed at same

time Often unique High customer interaction Often knowledge-based Frequently dispersed

Goods Versus Services

Can be resold Can be inventoried

Some aspects of quality measurable

Selling is distinct from production

Reselling unusual Difficult to inventory

Quality difficult to measure

Selling is part of service

GoodsGoods ServiceService

Goods Versus Services - Continued

Product is transportable

Site of facility important for cost

Often easy to automate

Revenue generated primarily from tangible product

Provider, not product is transportable

Site of facility important for customer contact

Often difficult to automate

Revenue generated primarily from intangible service.

GoodsGoods ServiceService

Introduction Providing the most satisfying service to the customers MIS found for manufacturing sectors does not match with

service sector • Hotels• Hospital• Airlines• Insurance• Banking• Finance

Managers put lot of efforts in a service industry to create a distinctive service to remain competitive

Principles of distinctive service

Tom Peter stated five principles of distinctive service • Listen, Understand and Respond to the customers• Define a Superior Service and establish a Service

Strategy• Set standards and measure the performance• Select, Train and Empower the employees to work for the

customers• Recognize and reward the accomplishments.

MIS Application in Banking Sector

MIS Application in Banking Sector What is a Bank ?

• A Bank (German Word) means a joint stock fund • An organization, usually a corporation, chartered

by a state or central government • Receives demand deposits and time deposits,

pays interest on them; discounts notes, makes loans, and invests in securities; collects checks, drafts, and notes; certifies depositor's checks; and issues drafts and cashier's checks

Functions - Bank

Operations Finance/Accounting

Marketing

CheckClearing

TellerScheduling

Transactions

ProcessingSecurity

Commercial Bank© 1984-1994 T/Maker Co.

MIS for a Banking

Information systems are important to design MIS for banking systems • Customers Database • Service

To the customer For business promotions

• Skill and Knowledge Up-gradation

Customers Database

• Customers (A single person, A group of people, company or an organization)

• Operator of the account (Individual person, employee, representative of the organization)

• Working hours (Customer needs flexible working hours.)

Service• To the customer

Some times bank personals needs information about the customers and their account, which will help and warn them for their service.

• For business promotions For building a business with customer, bank officials

needs to find out prospectus customers. Therefore they require to study the trends in the industry. MIS should collect data from various sources and analyses it.

Skill and Knowledge Up-gradation

To offer proper service to the customer bank personnel must update their knowledge about financial policies and new developments.

There are many banks in the market now and this industry is growing very fast. Good service is the only solution to improve business.

MIS Application in Insurance

Insurance

Insurance is a widely accepted method of safeguarding people against various hazards of life

It is a promise of compensation for specific potential future losses in exchange for a periodic payment

Insurance is designed to protect the financial well being of an individual, company

Insurance companies in India LIFE INSURERS Websites

Public Sector

Life Insurance Corporation of India www.licindia.com

Private Sector

Allianz Bajaj Life Insurance Company Limited www.allianzbajaj.co.in

Birla Sun-Life Insurance Company Limited www.birlasunlife.com

HDFC Standard Life Insurance Co. Limited www.hdfcinsurance.com

ICICI Prudential Life Insurance Co. Limited www.iciciprulife.com

ING Vysya Life Insurance Company Limited www.ingvysayalife.com

Max New York Life Insurance Co. Limited www.maxnewyorklife.com

MetLife Insurance Company Limited www.metlife.com

Om Kotak Mahindra Life Insurance Co. Ltd. www.omkotakmahnidra.com

SBI Life Insurance Company Limited www.sbilife.co.in

TATA AIG Life Insurance Company Limited www.tata-aig.com

AMP Sanmar Assurance Company Limited www.ampsanmar.com

Dabur CGU Life Insurance Co. Pvt. Limited www.avivaindia.com

Insurance companies in India GENERAL INSURERS

Public Sector

National Insurance Company Limited www.nationalinsuranceindia.com

New India Assurance Company Limited www.niacl.com

Oriental Insurance Company Limited www.orientalinsurance.nic.in

United India Insurance Company Limited www.uiic.co.in

Private Sector

Bajaj Allianz General Insurance Co. Limited www.bajajallianz.co.in

ICICI Lombard General Insurance Co. Ltd. www.icicilombard.com

IFFCO-Tokio General Insurance Co. Ltd. www.itgi.co.in

Reliance General Insurance Co. Limited www.ril.com

Royal Sundaram Alliance Insurance Co. Ltd. www.royalsun.com

TATA AIG General Insurance Co. Limited www.tata-aig.com

Cholamandalam General Insurance Co. Ltd. www.cholainsurance.com

Export Credit Guarantee Corporation www.ecgcindia.com

HDFC Chubb General Insurance Co. Ltd.

IS for Insurance

MIS handles three major areas of insurance company :• The development of new policies.• The settlement of claims.• Administrations and Management of policies.

Information for New Policy Development

Finding out the risk incidence cost of risk management, identifying the conditions for giving the insurance offer

Assessment of insurance premium. The study must be focused on the trend in the

business and industry. They must identify the risk possibilities and

covering then by appropriate insurance policy

The Settlement of Claims

This is very critical application in the MIS and it needs effective design, so that managers can take easy decisions.

Reports generated by MIS should bring out exception reports on the claim pending, their disputes, not settled and rejected claims due to certain reasons.

Administrations and Management of Policies

Many a times you forgot to pay the premium in time. This results in laps of policy.

You need to renew a policy in that case if you want yourself to be benefited from the policy.

This is a critical application in the insurance business, which manages the existing policies of the policy holders.

Management of policy includes, • renewal of the policy and revision of the policy.

MIS must help in generating automatic reminder service and generating letters to that respect.

MIS Application in Hospitals and Health Care

Hospitals and Health Care

The health care industry consists of public, private and nonprofit institutions.

Those institutions include hospitals, offices and clinics of medical doctors, nursing homes and home health care facilities.

The role of hospital has changes from medical assistance to health care.

Therefore in hospital there are many critical resources such as an operation theater, An X-ray laboratory, tests laboratories etc.

IS for Hospitals and Health Care

Patients database : To handle the queries on existing patients and their treatment.

Planning and control : At any time hospital staff needs to find out availability of certain facility and resources in the hospital. It is needed to have a online query system to find out such information.

Hospital staff database : All medical staff of the hospital including Doctors, Nurses, and Technicians, Visiting doctors requires to give their personal and professional experience details to hospital management. There work times and shits, important telephone numbers. Information about other emergency and important service center like laboratories, blood banks and special clinical and facility centers.

IS for Hospitals and Health Care

History database : Guidance and research doctors and students needs patient’s history database to maintain. How patient is responding to a particular drug can be monitored. To make planning for health service this serves is a important information.

Payroll and financial accounting Critical control Management of the hospital need

reports for forward planning and control. Most of the management efforts are related to manpower and human resource planning.

MIS Application in Airlines

Airline services

Airline service main objective is to move peoples and goods from one part of the world to other location, safely and in time.

People look for good service from airline industry. Few are listed below :• Scheduling of flights• Convenience of traveling• Cost • Comfort • Food quality• Hostility and treatment by the staff• Facilities at the airport.

Functions - Airline

Operations Finance/Accounting

Marketing

GroundSupport

FlightOperations

FacilityMaintenance

Catering

Airline© 1984-1994 T/Maker Co.

IS for Airline service Passengers Database Airline service MIS must be designed so that it supports for

collecting all types of information. They may want to revise the schedules of the flight, which suits

the passengers needs. Some-times it needs to discover service package for particular

group of passengers. It requires passengers profile to be built up. To satisfy all these needs following data is important to be

handled :• Name, Contact number and address• Type, Class and purpose of travel• Destination and duration of stay• Food habits (Veg, Non-Veg etc.)• Language and communications needs• Service expectation (Before and after journey)

IS for Airline service

Aviation Industry Information System Any airline industry would expect a distinctive

service by keeping safety, security and availability of the planes as a top priority.

Therefore MIS plays important role to manage these aspects.

This will help them to make decision of new purchases or replacement, maintenance of planes.

Planning and control will need different mathematical`

Hotels

MIS for Hotel People prefer hotels when they are out of their homes, might be on

vacations, spending their leisure time, or on some official duties. Hotel is a place where people would like to have a distinctive service.

Due to lot of competitions in the hotel service, the concept has changed from convenience of stay to comfort and enjoyment.

Today, hotels are not only meant for a individual stay but now it’s a place for business meetings, interviews, conferences, live concerts. Every time the hotel needs to undergo change according to the needs of the customers.

Main function of hotel industry is to provide a room to stay with basic amenities and facilities so that customer has a comfortable stay. Managers put all efforts to keep hotel occupancy high all the times.

Responsibilities of MIS plays important role of providing information to the best possible way, so that customers expectations are fulfilled.

IS for Hotel service Customers Profile To anticipate the expectations of the customers or group of

customers we needs to have information related to the following : -• Customers details.• Purpose of visit and expected duration of stay.• Service requirements.• Languages and culture.

Hotel Occupancy• This is important aspect in hotel industry. They would like to have their

hotel occupancy high at all the time. Therefore it is necessary to control the occupancy at high level for all types of rooms available in that hotel.

• This will also help managers to take different decisions related to gifts, discount schemes and more personal service, which will ensure high occupancy.

IS for Hotel service

Infrastructure• Since the role of hotel is changing just a place of stay. It is being

used for business meetings, conferences, exhibitions, marriage ceremonies and parties, music and entertainment shows etc. This needs their infrastructure to be changes accordingly.

Customers Feedback monitoring. Manpower needs.

• MIS must support HRD of hotel to monitor the expectation and manpower needs. Since the customers are from different parts of the country, many problems can be solved if proper employees are placed.

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