MANAGEMENT INFORMATION SYSTEMS

EDUSAT LEARNING RESOURCE MATERIAL

ON

MANAGEMENT INFORMATION SYSTEMS

5th Semester Computer Science Engineering According to S. C. T. E &V. T. Syllabus for Diploma Students

Prepared By:SRI RAMESH CHANDRA SAHOO, Sr. Lect. CSE/IT

U.C.P.ENGG.SCHOOL, BERHAMPUR

SMT NAYANA PATEL, PTGF CSE/IT

U.C.P.ENGG.SCHOOL, BERHAMPUR

MISS SASMITA MISRA, PTGF CSE/IT

U.C.P.ENGG.SCHOOL, BERHAMPUR

Copy Right DTE&T, Odisha

CONTENTS

CHAPTER-1 ...................................................................................................................................................... 7 MANAGEMENT INFORMATION SYSTEMS: AN OVERVIEW ............................................................. 7

1.1. INTRODUCTION ......................................................................................................................7 1.2. MANAGEMENT INFORMATION SYSYEM .........................................................................7

1.2.1. Management.........................................................................................................................7 1.2.2. Information ..........................................................................................................................8 1.2.3. System..................................................................................................................................9 1.3. DEFINITIONS OF MIS. ............................................................................................................9 1.4. FRAMEWORK FOR MIS ORGANISATION AND MANAGEMENT TRIANGLE............10 1.4.1. Levels of Management.......................................................................................................10 1.5. INFORMATION NEEDS AND ITS ECONOMICS ...............................................................10 1.5.1. Information Classification .................................................................................................11 1.6. SYSTEMS APPROACH ..........................................................................................................11 1.6.1. Classification of systems....................................................................................................12 1.6.2. System life cycle ................................................................................................................13 1.7. MEANING AND OBJECTIVES OF MIS ...............................................................................13 1.7.1. Categories of MIS:.............................................................................................................14 1.7.2. MIS and Organisation Structure: .......................................................................................14 1.7.3. Classification of MIS .........................................................................................................15 1.7.4. Implementation of MIS......................................................................................................16 1.8. DISADVANTAGES OF INFORMATION SYSTEM.............................................................17 1.9. APPROACHES OF MIS DEVELOPMENT............................................................................17 1.10. CONSTRAINTS IN DEVELOPING AN MIS.......................................................................18 1.11. MIS AND USE OF COMPUTER ..........................................................................................18 1.12. LIMITATIONS OF MIS.........................................................................................................19 1.13. COMPUTER BASED INFORMATION SYSTEMS.............................................................19

CHAPTER-2 .................................................................................................................................................... 21 INFORMATION SYSTEMS FOR DECISION MAKING ......................................................................... 21

2.1. INTRODUCTION ....................................................................................................................21 2.2. TRANSACTION PROCESSING SYSTEM ............................................................................21 2.3. MANAGEMENT INFORMATION SYSTEMS......................................................................23

2.3.1. Decision Making In MIS ...................................................................................................23 2.4. INTELLIGENT SUPPORT SYSTEMS ...................................................................................25

2.4.1. Decision support system: ...................................................................................................25 2.4.2. Executive information systems:.........................................................................................25 2.4.3. Artificial intelligence and Expert systems: ........................................................................26 2.5. OFFICE AUTOMATION SYSTEM........................................................................................26

CHAPTER-3 .................................................................................................................................................... 29 COMPUTER HARDWARE FOR INFORMATION SYSTEMS ............................................................... 29

3.1. INTRODUCTION ....................................................................................................................29 3.2. BASICS OF DATA REPRESENTATION ..............................................................................29 3.3. TYPES OF COMPUTERS .......................................................................................................30 3.4. BASIC COMPONENTS OF COMPUTER SYSTEMS...........................................................31 3.5. FACTORS TO BUY A PC:......................................................................................................35

CHAPTER-4 .................................................................................................................................................... 36 COMPUTER SOFTWARE FOR INFORMATION SYSTEMS ................................................................ 36

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4.1. INTRODUCTION ....................................................................................................................36 4.2. PROGRAMMING LANGUAGES...........................................................................................36

4.2.1. Object oriented programming ............................................................................................38 4.2.2. Visual Programming: .........................................................................................................39 4.3. CLASSIFICATION OF SOFTWARE: ....................................................................................39 4.3.1. System Software ................................................................................................................39 4.3.2. Application Software: ........................................................................................................40 4.4. ROLE OF SOFTWARE IN PROBLEM SOLVING................................................................41 4.5. CRITERIA FOR INVESTMENT IN HARDWARE AND SOFTWARE ...............................41

CHAPTER-5 .................................................................................................................................................... 43 DATA COMMUNICATIONS SYSTEM ...................................................................................................... 43

5.1. INTRODUCTION ....................................................................................................................43 5.2. TELECOMMUNICATIONS SYSTEM...................................................................................43

5.2.1. Telecommunications Channels ..........................................................................................43 5.2.2. Telecommunications Media...............................................................................................44 5.3. DATA COMMUNICATIONS HARDWARE .........................................................................44 5.4. DATA COMMUNICATIONS SOFTWARE...........................................................................45 5.5. COMMUNICATION NETWORKS ........................................................................................45 5.5.1. Private Branch Exchanges (PBXs) ....................................................................................46 5.5.2. Integrated Services Digital Networks (ISDNs): ................................................................46 5.5.3. Local Area Networks (LANS) ...........................................................................................47 5.5.4. Wide Area Networks (WANS) ..........................................................................................47 5.5.5. Value Added Networks (VANS) .......................................................................................48 5.6. DISTRIBUTED SYSTEMS .....................................................................................................48 5.7. TOPOLOGY OF COMPUTER NETWORK ...........................................................................49 5.8. PROTOCOLS AND NETWORK ARCHITECTURE .............................................................51 5.9. OPEN SYSTEM INTERCONNECTION (OSI) ......................................................................52 5.10. NETWORK MANAGEMENT:..............................................................................................53

CHAPTER-6 .................................................................................................................................................... 55 DATABASE MANAGEMENT TECHNOLOGY ........................................................................................ 55

6.1. INTRODUCTION ....................................................................................................................55 6.2. DATA AND INFORMATION.................................................................................................55 6.3. DATA HIERARCHY ...............................................................................................................55 6.4. METHODS FOR ORGANISING DATA IN FILES ...............................................................56

6.4.1. Sequential File Organisation..............................................................................................57 6.4.2. Direct File Organisation.....................................................................................................57 6.4.3. Indexed-Sequential File Organisation................................................................................57 6.5. LIMITATIONS OF FILE BASED SYSTEMS ........................................................................58 6.6. DATABASE AND DATABASE MANAGEMENT SYSTEMS ............................................58 6.6.1. Advantages of database......................................................................................................59 6.6.2. Disadvantage......................................................................................................................59 6.6.3. Data management...............................................................................................................59 6.6.4. Differences between databases and traditional files ..........................................................60 6.6.5. Components of a DBMS....................................................................................................60 6.6.6. Database Models................................................................................................................61 6.7. OBJECT ORIENTED DATABASE STRUCTURE ................................................................64 6.8. ERD DIAGRAM ......................................................................................................................65 6.9. FOURTH GENERATION OF PROGRAMMING LANGUAGE ...........................................67 6.10 RECENT DEVELOPMENT IN DATABASES......................................................................67 6.10.1 Distributed databases ........................................................................................................67

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6.10.2 Client server architecture ..................................................................................................68 6.10.3 Object oriented databases. ................................................................................................68 6.10.4 Multimedia databases........................................................................................................68 6.11. PRINCIPLE OF DATABASE MANAGEMENT ..................................................................68 6.12. THE DATABASE ADMINISTRATOR ................................................................................68

CHAPTER-7 .................................................................................................................................................... 69 CLIENT-SERVER COMPUTING ................................................................................................................ 69

7.1. INTRODUCTION ....................................................................................................................69 7.2. DEFINATION OF CLIENT-SERVER COMPUTING............................................................69 7.3. COMPONENTS AND FUNCTION OF A CLIENT SERVER SYSTEM ..............................69 7.4. DEVELOPMENT OF CLIENT-SERVER SYSTEM ..............................................................71 7.5. CLIENT-SERVER SECURITY ...............................................................................................72 7.6. CLIENT-SERVER COSTS COMPUTATIONS......................................................................72 7.7. ADVANTAGES OF CLIENT-SERVER SYSTEM ................................................................72 7.8. DISADVANTAGES/OBSTACLES OF A CLIENT-SERVER SYSTEM ............................73

CHAPTER-8 .................................................................................................................................................... 74 DECISION SUPPORT SYSTEM .................................................................................................................. 74

8.1. INTRODUCTION ....................................................................................................................74 8.2. DEFINATIONS ........................................................................................................................74 8.3. EVOLUTION OF DSS:............................................................................................................75 8.4. OBJECTIVES OF DSS.............................................................................................................76 8.5. CLASSIFICATION OF DSS....................................................................................................76 8.6. CHARACTERISTICS OF DECISION SUPPORT SYSTEM (DSS) ......................................77 8.7. COMPONENTS OF A DSS .....................................................................................................77

8.7.1. Database Management System (DBMS) ...........................................................................77 8.7.2. Model Management system ...............................................................................................77 8.7.3. Support Tools.....................................................................................................................78 8.8. FUNCTIONS OF A DSS..........................................................................................................78 8.9. DEVELOPMENT OF DECISION SUPPORT SYSTEMS......................................................79 8.10. GROUP DECISION SUPPORT SYSTEMS..........................................................................80 8.11. EXECUTIVE INFORMAION SYSTEMS.............................................................................80 8.11.1. Characteristics of an EIS..................................................................................................80 8.12. SUCCESS CRITERIA FOR DSS/EIS: ..................................................................................81 8.13 RELATIONSHIP BETWEEN MIS AND DSS.......................................................................81 8.14 DSS MEASURES OF SUCCESS IN ORGANISATIONS:....................................................81 8.15 APPLICATION OF A DSS .....................................................................................................82 8.16. TPS, MIS, DSS, AND EIS: ....................................................................................................83 8.17. FUTURE DEVELOPMENT IN DSS.....................................................................................83

CHAPTER-9 .................................................................................................................................................... 84 OFFICE INFORMATION SYSTEMS.......................................................................................................... 84

9.1. INTRODUCTION ....................................................................................................................84 9.2. OFFICE AUTOMATION.........................................................................................................84 9.3. OFFICES AND OFFICE SYSTEMS .......................................................................................84

9.3.1. Nature of the Office ...........................................................................................................84 9.3.2. Evolution of Office Systems..............................................................................................85 9.4. TYPES OF OFFICE AUTOMATION SYSTEMS ..................................................................87 9.4.1. Document Management Systems.......................................................................................87 9.4.2. Communication Systems ...................................................................................................92 9.4.3. Teleconferencing Systems .................................................................................................95 9.4.4. Office Support Systems .....................................................................................................97

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9.5. INTEGRATED OFFICE ..........................................................................................................98

CHAPTER-10 .................................................................................................................................................. 99 INFORMATION SYSTEMS IN BUSINESS ................................................................................................ 99

10.1. INTRODUCTION ..................................................................................................................99 10.2. FUNCTIONAL AREAS OF BUSINESS...............................................................................99 10.3. MANUFACTURING INFORMATION SYSTEMS ...........................................................100

10.3.1 Sources of Manufacturing Information...........................................................................102 10.3.2. Advantages of Manufacturing Information System.......................................................102 10.4. MARKETING INFORMATION SYSTEM.........................................................................103 10.4.1. Input of Marketing Information Systems.......................................................................103 10.4.2. Outputs of marketing information systems....................................................................104 10.4.3. Advantages of Marketing Information Systems ............................................................105 10.5. QUALITY INFORMATION SYSTEMS.............................................................................105 10.5.1 Advantages of quality information systems....................................................................106 10.6. FINANCIAL AND ACCOUNTING INFORMATION SYSTEMS....................................107 10.6.1. Types of financial and accounting information systems................................................108 10.6.2. Integrated Financial and accounting systems ................................................................108 10.7. RESEARCH AND DEVELOPMENT INFORMATION SYSTEMS .................................109 10.8. HUMAN RESOURCESINFORMATION SYSTEMS ........................................................110 10.9 GEOGRAPHICAL INFORMATION SYSTEMS ................................................................111 10.10. CROSS FUNCTIONAL SYSTEMS ..................................................................................111

CHAPTER-11 ................................................................................................................................................ 113 SYSTEMS ANALYSIS AND DESIGN ....................................................................................................... 113

11.1. INTRODUCTION ................................................................................................................113 11.2. SYSTEM DEVELOPMENT LIFE CYCLE (SDLC)...........................................................113

11.2.1. Problem Definition.........................................................................................................113 11.2.2. System Analysis.............................................................................................................114 11.2.3. System Design and Programming..................................................................................115 11.2.4. System Testing & Implementation ................................................................................116 11.2.5. System Maintenance ......................................................................................................117 11.3. PROTOTYPING...................................................................................................................117 11.3.1. Types of Prototypes .......................................................................................................117 11.4. RAPID APPLICATION DEVELOPMENT (RAD).............................................................118 11.4.1. Essential ingredients of RAD.........................................................................................118 11.5. END USER COMPUTING ..................................................................................................119 11.5.1. Types of End ?User Computing ....................................................................................119 11.5.2. Managing End-User Computing ....................................................................................119 11.6. SOFTWARE PACKAGES...................................................................................................120 11.7. OUTSOURCING..................................................................................................................120 11.8. COMPARISON OF IS DEVELOPMENT METHODOLOGIES........................................120 11.9. OTHER TOOLS FOR INFORMATION SYSTEMS DEVELOPMENT ............................121 11.10. COMPUTER AIDED S/W ENGINEERING (CASE) .......................................................121 11.11. CHALLENGES IN DEVELOPING INFORMATION SYSTEMS.................................122

CHAPTER-12 ................................................................................................................................................ 123 STRATEGIC MANAGEMENT INFORMATION SYSTEM .................................................................. 123

12.1. INTRODUCTION ................................................................................................................123 12.2. CHARACTERISTICS OF SMIS..........................................................................................124 12.3. STRATEGIC PLANNING FOR MIS ..................................................................................124 12.4. DEVELOPMENT OF SMIS.................................................................................................125 12.5. MIS STRATEGY IMPLIMENTATION..............................................................................127

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