Best Practices For Making Tough Mis Decisions

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Best practices for making tough MIS decisions

Best practices for making tough MIS decisions


Information Systems can be conceptualized in terms of three types of systems: Transactional Processing Systems (TPS), Management Information Systems (MIS), and Expert Systems. MIS has several subsets such as Decision Support Systems and Executive Information Systems. The role of MIS in decision support is best discussed in the context of the subset referred to as Decision Support System (DSS). A DSS is a computer based system (an application program) capable of analyzing an organizational (or business) data and then presents it in a way that helps the user to make business decisions more efficiently and effectively. It is basically an informational application which depends on the information already input while answering to a given query. For example, a decision support system could provide: • Comparative sales figures for one week/month and the next • Projected revenue figures based on new product sales assumptions • Consequences of different decision alternatives, given past experience Sometimes there is an overlap between the broad categories of IS and a DSS could be capable of presenting information graphically through an expert system or artificial intelligence (AI). Usually the DSS is used by all levels of people within a business organization. Top level management uses DSS for strategic decisions, middle management uses for tactical decision while first line supervisors use deploy it for day-to-day operational decisions. Therefore, the process of decision-making in any business is an inherently vital aspect not just for organizations but also for individuals who greatly rely on these decisions for their survival in the highly competitive arena of entrepreneurship (Al-Zhrani, 2010, p.1249-1251). More importantly, Management Information System (commonly abbreviated as MIS) has been an increasingly used tool in the institutionalization and making of decisions. DSS are a subset of MIS, for intelligent decision making. However, dispite the immense benefits that result from using MIS in decision making, some critics have, reportedly, been slowly—but surely—asserting that MIS poses surmountable detrimental effects to organizations and should thus be used sparingly or avoided if possible (Demetrius, 2009).

Technology Description

According to Kumar (2010), in order to define MIS, it must be principally divided into the three facets that constitute it—which are: management, information, and systems. In furthering his ideas, Kumar simply defines management as the process through which managers plan, organize, initiate and control operations within their businesses. Essentially, a management can only exist when there are subjects/ workers to be managed (Al-Zhrani, 2010, p.1248-1252; The Maniac, 2009). Kumar also states that information generally refers to analyzed data. In other words, information (with regards to business) results from data that is analyzed using business statutes, principles and theories advanced by various macroeconomists. Finally, system, according to Kumar, refers to “A set of elements joined together for a common objective.” More often than not, business systems normally consist of smaller systems—known as subsystems—which all function towards ensuring efficacy of the large systems. As a matter of fact, systems vary from one organization to another ...
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