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Management Information Systems

Types of IS

Prof.Asma SohailProf.Asma Sohail

2Fig 2.1: Types of Information Systems

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Different kinds of systemsDifferent kinds of systems

Information systems that monitor the elementary activities and transactions of the organization .

Information systems that support knowledge and data workers in an organization.

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Operational-level systems

Knowledge-level systems

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Information systems that support the monitoring, controlling, decision making, and administrative activities of middle managers.

Information systems that support the long-range planning activities of senior management .

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Strategic-level systems

Management-level systems

Different kinds of systemsDifferent kinds of systems

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Major Types of SystemsMajor Types of Systems

• Executive Support Systems (ESS)Executive Support Systems (ESS)

• Decision Support Systems (DSS)Decision Support Systems (DSS)

• Management Information Systems (MIS)Management Information Systems (MIS)

• Knowledge Work Systems (KWS)Knowledge Work Systems (KWS)

• Office Automation Systems (OAS)Office Automation Systems (OAS)

• Transaction Processing Systems (TPS)Transaction Processing Systems (TPS)

6Fig 2-2: The six major types of information systems.

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Computerized systems that perform and record the daily routine transactions necessary to conduct the business; they serve the organization’s operational level.

TPS – Transaction Processing Systems

Six Major Types of SystemsSix Major Types of Systems

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8Fig 2-4: Typical applications of TPS ■

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TYPICAL TPS APPLICATIONSSales & Marketing Systems

MAJOR FUNCTIONS OF SYSTEMS: Sales Management ; Market Research ; Promotion ; Pricing ; New Products

MAJOR APPLICATION SYSTEMS: Sales Order Info System ; Market Research System ; Pricing System

See Fig. 2-4Fig. 2-4 ( p.43 )

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TPS – TPS – Transaction Processing SystemsTransaction Processing Systems

Manufacturing Plant scheduling Material movement control Machine control

Finance Securities trading Cash management

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Accounting Payroll Account payable Account receivable

Human Resources Compensation Training & development Employee record keeping

TPS – TPS – Transaction Processing SystemsTransaction Processing Systems

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12Fig 2-3: A symbolic representation for a payroll TPS.

Payroll TPS

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Information systems that aid knowledge workers in the creation and integration of new knowledge in the organization .

KWS – knowledge work systems

Six Major Types of SystemsSix Major Types of Systems

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Example: Engineering work station

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OAS – office automation systems

Computer systems, such as word processing, electronic mail systems, and scheduling systems, that are designed to increase the productivity of data workers in the office .

Six Major Types of SystemsSix Major Types of Systems

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Information systems at the management level of organization that serve the functions of planning, controlling, and decision making by providing routine summary and exception reports.

MIS – Management Information Systems

Six Major Types of SystemsSix Major Types of Systems

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Example: Annual budgetingExample: Annual budgeting

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• Structured and semi-structured decisionsStructured and semi-structured decisions

• Report control orientedReport control oriented

• Past and present dataPast and present data

• Internal orientationInternal orientation

MISMIS

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TPS DATA FOR MIS APPLICATIONS

Fig 2-5: How management information systems obtain their data the from the organization’s TPS .

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Information systems at the management level of an organization that combine data and sophisticated analytical models to support non-routine decision making.

DSS – Decision Support Systems

Six Major Types of SystemsSix Major Types of Systems

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Example:Example: Contract cost analysisContract cost analysis

19Fig 2-7: Voyage estimating decision-support system .

Decision Support System (DSS)

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Sales and marketing

Sales management Sales region analysis

Manufacturing Inventory control Production scheduling

MIS & DSSMIS & DSS

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Finance Annual budgeting Cost analysis

Accounting Capital investment analysis Pricing / profitability analysis

Human Resource Relocation analysis Contract cost analysis

MIS & DSSMIS & DSS

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Information system at the organization’s strategic level designed to address unstructured decision making through advanced graphics and communications.

ESS – Executive Support Systems

Six Major Types of SystemsSix Major Types of Systems

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Example: 5-year operating planExample: 5-year operating plan

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• Top level managementTop level management

• Designed to the individualDesigned to the individual

• Ties CEO to all levelsTies CEO to all levels

• Very expensive to keep upVery expensive to keep up

• Extensive support staffExtensive support staff

ESSESS

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24Fig 2-8: Model of a typical executive support system .

Executive Support System (ESS)

Figure 2-8

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Sales and marketing Sales trend forecasting

Manufacturing Operating plan

Finance Budget forecasting

Accounting Profit planning

Human Resource Personnel planning

ESSESS

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