Management Information System
Management Information System
1. Data Collection and Storage: MIS collects data from various sources,
including internal and external environments, and stores it in databases for
easy access and retrieval.
4. Decision Support: MIS provides tools and reports that help managers in
decision-making, from operational to strategic levels, by offering insights
and facilitating data-driven decisions.
1. Cloud Computing:
6. Blockchain Technology:
1. Decision-Making Enhancement:
2. Competitive Advantage:
3. Operational Efficiency:
5. Strategic Decision-Making:
1. Improved Decision-Making:
Alignment with Goals: MIS ensures that all change initiatives are
aligned with the organization's strategic goals by providing a clear
view of how each change contributes to overall objectives.
1. Hardware:
2. Software:
5. Cybersecurity:
7. Emerging Technologies:
Machine Learning: AI systems that can learn from data and improve
their performance over time.
2. Cloud Computing:
3. Cybersecurity:
Connected Devices: IoT devices that collect and exchange data over
the internet, enabling smart and interconnected systems.
6. Edge Computing:
7. Blockchain Technology:
8. Quantum Computing:
These emerging trends in IT are shaping the future of technology and driving
innovation across industries, offering new possibilities for businesses and society
as a whole.
IT Capabilities and their organizational impact
Information Technology (IT) capabilities refer to the various skills, resources, and
technologies that enable organizations to effectively use information for their
operations and strategic goals. These capabilities have a significant impact on
organizational performance and competitiveness. Here are key IT capabilities and
their organizational impacts:
2. Information Security:
3. Infrastructure Management:
4. Digital Transformation:
IT enabled services
Information Technology (IT) enabled services, also known as ITES, refer to the
outsourcing of various processes and functions to service providers who leverage
IT to deliver these services. ITES has emerged as a significant sector in the global
economy, offering a wide range of services across industries. Here are some
common IT enabled services:
3. IT Support Services:
6. Healthcare Services:
7. E-commerce Services:
1. Information:
2. Management:
3. Decision Making:
Focuses on how decisions should be made rather than how they are
actually made.
Decisions are shaped by the cultural context in which they are made.
These models provide different perspectives on decision-making and can be used
to understand and improve decision-making processes in various contexts.
The classical model of decision-making has been criticized for its unrealistic
assumptions about human behavior, such as the assumption of perfect information
and the ability to make consistent choices. In practice, decision-making is often
influenced by cognitive biases, emotions, and heuristics, which can lead to
deviations from the rational-economic model. Despite these criticisms, the classical
model remains a useful framework for understanding decision-making processes
and evaluating decision outcomes.
Administrative Model
The administrative model of decision-making, also known as the bounded
rationality model, was developed by Herbert Simon. It challenges the assumptions
of the classical model, recognizing that human decision-makers often operate
under constraints that limit their ability to make perfectly rational decisions. Key
features of the administrative model include:
1. Bounded Rationality:
Rather than seeking the optimal solution, they aim for a satisfactory
solution that meets the minimum acceptable criteria.
2. Satisficing:
They settle for the first acceptable option that meets their criteria,
given their constraints.
3. Incremental Decision-Making:
5. Organizational Influences:
1. Realism:
2. Applicability:
3. Behavioral Insights:
4. Adaptive Decision-Making:
4. Evaluating Alternatives:
5. Choosing an Alternative:
Activities:
Significance: This phase sets the stage for the decision-making process by
ensuring that the decision-makers have a clear understanding of the problem or
opportunity they are addressing. Accurate identification and diagnosis are crucial
for effective decision-making.
2. Design Phase
Activities:
Significance: This phase involves creative thinking and analysis to ensure that
multiple options are considered. It helps in identifying the most viable and
effective solutions.
3. Choice Phase
Purpose: To select the best alternative from the ones developed in the design
phase.
Activities:
Decision Making: Choosing the alternative that best meets the objectives
and solves the problem.
Significance: This phase involves careful evaluation and judgment to select the
most appropriate solution. It is critical for ensuring that the chosen alternative is
aligned with the organization's goals and resources.
4. Implementation Phase
Purpose: To put the chosen solution into action and monitor its effectiveness.
Activities:
Herbert Simon's IDC model offers a comprehensive and practical framework for
understanding and improving decision-making processes. By breaking down the
process into distinct phases—Intelligence, Design, Choice, and Implementation—
the model helps ensure that decisions are well-informed, thoroughly evaluated, and
effectively executed.
Management Support Systems
Management Support Systems (MSS) are tools and systems designed to help
managers make better decisions. They provide the necessary information, data
analysis, and tools to support various management activities. Here’s an easy-to-
understand breakdown:
Management Support Systems are like digital assistants for managers. They gather
data, analyze it, and present it in a way that helps managers understand complex
situations and make informed decisions. These systems can range from simple
reporting tools to advanced software that uses artificial intelligence.
Example: A tool that helps a manager decide the best location for a
new store by analyzing data on customer demographics, traffic
patterns, and competitor locations.
1. Better Decision-Making:
2. Efficiency:
3. Improved Communication:
4. Strategic Planning:
Imagine you are the manager of a retail store. You need to decide which products
to stock for the upcoming holiday season. Here’s how an MSS might help:
Collect Data: The system gathers sales data from previous years, current
market trends, and customer preferences.
Analyze Data: It analyzes this data to identify trends, such as which
products were bestsellers last year and which items are currently popular.
Management Support Systems are essential tools that help managers make
informed decisions, improve efficiency, and achieve strategic goals. They provide
the right information at the right time, making complex data easy to understand
and use.
1. Interactive Interface:
Allows users to interact with the system, input data, and receive
feedback in real-time.
2. Data Management:
3. Model Management:
Components of a DSS:
Provides a means for users to interact with the system, input data, and
view results.
Knowledge Base: Stores expertise, rules, and procedures that can aid
in decision-making.
Types of DSS:
1. Data-Driven DSS:
2. Model-Driven DSS:
3. Knowledge-Driven DSS:
4. Document-Driven DSS:
5. Communication-Driven DSS:
1. Financial Planning:
4. Marketing:
5. Human Resources:
Benefits of DSS:
4. Enhanced Collaboration:
5. Risk Management:
1. Interactive Collaboration:
2. Anonymity:
3. Automated Facilitation:
Provides tools and features that guide the group through structured
decision-making processes.
Offers tools for voting on and ranking different options, helping the
group to reach a consensus.
Components of GDSS:
1. Hardware:
Includes computers, networking equipment, and display systems that
connect participants and enable communication.
2. Software:
Provides the platform and tools for facilitating group discussions and
decision-making processes. Common functionalities include
brainstorming tools, voting mechanisms, and data management.
3. People:
4. Procedures:
The structured methods and processes used to guide the group through
decision-making, such as brainstorming sessions, Delphi methods, and
decision analysis techniques.
Benefits of GDSS:
1. Enhanced Participation:
3. Time Efficiency:
4. Geographic Flexibility:
Idea Generation: During the meeting, team members use the GDSS to
brainstorm ideas for the product launch strategy. The system allows
everyone to contribute ideas anonymously.
Discussion and Organization: The GDSS helps organize and categorize the
ideas. Participants discuss the pros and cons of each idea using the system's
discussion tools.
Voting and Ranking: The team uses the GDSS to vote on the top ideas. The
system aggregates the votes and ranks the options based on the group's
preferences.
1. User-Friendly Interface:
3. Drill-Down Capabilities:
4. Trend Analysis:
5. Exception Reporting:
Components of EIS:
1. Hardware:
2. Software:
3. Data Sources:
Internal Data: Data from within the organization such as sales figures,
financial data, and operational metrics.
External Data: Data from outside the organization including market
trends, economic indicators, and competitive intelligence.
4. User Interface:
Benefits of EIS:
1. Informed Decision-Making:
2. Efficiency:
3. Proactive Management:
4. Improved Communication:
Trend Analysis: The CEO reviews trend analysis charts showing sales
performance over the past year, identifying seasonal patterns and potential
areas for improvement.
Strategic Planning: Armed with these insights, the CEO makes informed
decisions about resource allocation, marketing strategies, and operational
adjustments for the next quarter.
Executive Information Systems (EIS) are powerful tools that provide senior
executives with critical information necessary for strategic decision-making. By
offering real-time data access, trend analysis, and exception reporting through
user-friendly interfaces, EIS enhance decision-making efficiency, proactive
management, and overall organizational performance.
UNIT – III
Managing Data Resources
Managing Data Resources
Managing data resources involves the processes and strategies that organizations
use to collect, store, manage, and utilize data effectively. The goal is to ensure that
data is accurate, accessible, and secure, supporting the organization's operations
and decision-making processes.
1. Data Governance:
2. Data Architecture:
4. Data Integration:
1. Data Collection:
2. Data Storage:
3. Data Organization:
Organize data into logical structures that facilitate efficient access and
analysis. This includes the use of schemas, tables, and indexes.
4. Data Integration:
1. Improved Decision-Making:
2. Operational Efficiency:
3. Regulatory Compliance:
5. Competitive Advantage:
Effective use of data can lead to insights that drive innovation and
competitive advantage.
1. Data Silos:
5. Technological Complexity:
1. Improved Decision-Making:
Accurate Data: Ensures that decisions are based on reliable and up-
to-date information.
2. Operational Efficiency:
Streamlined Processes: Organizes data in a way that reduces
redundancy and improves data retrieval times.
3. Regulatory Compliance:
4. Data Quality:
7. Competitive Advantage:
8. Cost Reduction:
9. Enhanced Collaboration:
Retail: Retailers manage inventory data, sales data, and customer data to
optimize stock levels, personalize marketing, and enhance customer
satisfaction.
2. Data Security: Separates the physical storage details from the logical data
organization, making it easier to implement security measures without
affecting application logic.
3. Application Development: Simplifies application development by allowing
developers to focus on application functionality without being concerned
about underlying data storage details.
Data Redundancy
Data redundancy refers to the duplication of data within a database or across
different databases. It occurs when the same piece of data is stored in multiple
places. While some redundancy can be intentional and useful for certain purposes,
excessive redundancy can lead to inefficiencies and data management challenges.
2. Data Integrity: Redundant data increases the risk of data integrity issues,
such as conflicting or incorrect information.
2. Cost Savings: Eliminating redundant data can reduce storage costs and
improve overall data management efficiency.
Data consistency
Data consistency refers to the accuracy, validity, and reliability of data in a
database. It ensures that data remains the same across all instances of its use within
an application or system. In a consistent database, data does not contradict itself
and is always up-to-date.
2. Accuracy: It ensures that data is accurate and reflects the true state of
affairs.
3. Data Integrity: Consistent data maintains its integrity, ensuring that it is not
corrupted or compromised.
4. Efficiency: Ensures that operations performed on the data are efficient and
do not lead to errors or conflicts.
1. Concurrency: When multiple users or processes access and update the same
data simultaneously, it can lead to inconsistencies if proper concurrency
control mechanisms are not in place.
2. Poor Data Entry Practices: Inaccurate or incomplete data entry can lead to
inconsistencies in the database.
4. System Failures: System failures or crashes during data updates can leave
the database in an inconsistent state.
3. Data Validation: Use data validation rules and constraints to ensure that
data entered into the database meets predefined criteria.
If any of these steps fail or are interrupted, it can lead to data inconsistency, such
as the amount being deducted from the sender's account but not added to the
receiver's account, causing the balance to be inconsistent.
1. Data Policies and Standards: Develop and enforce policies and standards
for data management, including data quality, security, and privacy.
3. Data Modeling: Design and maintain data models that represent the
organization's data requirements and relationships between data entities.
1. Data Planning: Develop strategic plans for managing data assets and
supporting the organization's goals and objectives.
2. Data Management: Oversee the implementation of data management
processes, including data collection, storage, retrieval, and analysis.
4. Data Quality Control: Monitor and improve the quality of data through
data cleansing, validation, and other quality control measures.
5. Data Governance: Establish and enforce policies and procedures for data
governance, including data ownership, access controls, and data
stewardship.
3. Query Language: Allows users to retrieve data from the database using
queries, such as SQL (Structured Query Language).
7. Data Integrity: Ensures that data in the database is accurate, consistent, and
reliable, using constraints and validation rules.
Types of DBMS:
1. Relational DBMS (RDBMS): Organizes data into tables with rows and
columns, and uses SQL for data manipulation. Examples include MySQL,
Oracle Database, and SQL Server.
2. NoSQL DBMS: Designed for storing and retrieving large volumes of
unstructured or semi-structured data. Examples include MongoDB,
Cassandra, and Redis.
4. Graph DBMS: Designed for storing and querying graph data structures,
such as networks and relationships. Examples include Neo4j and ArangoDB.
1. Data Consistency: Ensures that data is consistent and accurate across the
database.
3. Efficient Data Retrieval: Allows for fast and efficient retrieval of data
using queries.
4. Data Integrity: Enforces rules and constraints to maintain data integrity and
prevent data corruption.
4. Tables: Structures that organize data into rows and columns. Each row
represents a record, and each column represents a field or attribute.
1. Relational DBMS (RDBMS): Organizes data into tables with rows and
columns, and uses SQL for data manipulation. Examples include MySQL,
Oracle Database, and SQL Server.
4. Graph DBMS: Designed for storing and querying graph data structures,
such as networks and relationships. Examples include Neo4j and ArangoDB.
Flexible
Data Tables (rows and
(document, key- Objects Graphs
Structure columns)
value)
MySQL, Oracle
MongoDB,
Examples Database, SQL db4o, ObjectDB Neo4j, ArangoDB
Cassandra, Redis
Server
2. Characteristics:
Name: Each field has a unique name that identifies it within the table.
Data Type: Defines the type of data that can be stored in the field
(e.g., integer, string, date).
Size: Specifies the maximum length or size of the data that can be
stored in the field.
Constraints: Define rules or conditions that the data in the field must
adhere to (e.g., not null, unique, foreign key).
3. Examples:
4. Use in Queries:
5. Relationships:
6. Normalization:
Fields play a crucial role in database normalization, which is the
process of organizing data to reduce redundancy and improve data
integrity.
7. Data Integrity:
2. Characteristics:
Data Integrity: Records ensure that related data is stored together and
maintains integrity through relationships and constraints.
3. Examples:
In a "Students" table, a record could represent a single student, with
fields like "Student_ID", "Name", "DOB", and "GPA".
4. Use in Queries:
5. Relationships:
6. Normalization:
7. Data Integrity:
2. Characteristics:
3. Examples:
4. Use in Queries:
5. Relationships:
Tables can establish relationships with other tables through keys (e.g.,
primary keys, foreign keys) to represent complex data relationships.
6. Normalization:
Tables play a crucial role in database normalization, which is the
process of organizing data to reduce redundancy and improve data
integrity.
7. Data Integrity:
2. Characteristics:
Virtual Table: A view does not contain data itself but is defined by a
query that retrieves data from one or more tables.
Subset of Data: Views can present a subset of data from one or more
tables, including specific columns or rows.
3. Examples:
A view called "High_GPA_Students" could be created from a
"Students" table to show only those students with a GPA higher than
3.5.
4. Use in Queries:
5. Benefits:
6. Updates:
7. Materialized Views:
Some DBMSs support materialized views, which are views that store
the result set of the query and are updated periodically to reflect
changes in the underlying data.
Materialized views can improve query performance by pre-computing
and storing the results of complex queries.
Views provide a flexible and powerful way to present data stored in a database.
They allow users to query and manipulate data in a controlled and structured
manner, while also providing a level of abstraction that can simplify complex
queries and enhance data security. Understanding views is important for database
design and query optimization.
2. Characteristics:
3. Types of Reports:
Query Tools: Some DBMSs provide query tools that allow users to
write SQL queries to retrieve and format data for reports.
5. Use in Business:
6. Challenges:
7. Benefits:
Reports are an essential tool for analyzing and presenting data from a database.
They help businesses make informed decisions by providing summarized,
organized, and meaningful information. Understanding the types of reports and
tools available for report generation is crucial for effective data management and
decision-making.
2. Types of Queries:
3. Components of a Query:
ORDER BY: Specifies the order in which to sort the result set.
4. Examples:
Select only the "Name" and "Email" columns from the "Customers"
table:
5. Query Optimization:
7. Benefits:
2. Purpose:
Data History: Stores historical data to track trends and patterns over
time.
3. Key Components:
Data Model: Structure that defines how data is organized and stored
in the data warehouse.
4. Benefits:
5. Examples:
Data Mining:
2. Purpose:
3. Techniques:
4. Applications:
5. Challenges:
Data warehouses and data mining are complementary technologies used to extract
insights from large datasets. While data warehouses store and manage integrated
data for analysis, data mining techniques uncover patterns and trends within that
data to support decision-making processes.
4. Non-Volatile: Once data is loaded into the data warehouse, it is not typically
updated or deleted. Instead, new data is appended to the warehouse,
preserving historical records for analysis and reporting.
1. Business Intelligence (BI): Data warehouses are the foundation for business
intelligence initiatives, providing a centralized repository of integrated data
for reporting, analysis, and decision-making.
2. Reporting and Analysis: Data warehouses support a wide range of
reporting and analysis activities, including ad-hoc queries, predefined
reports, dashboards, and OLAP (Online Analytical Processing) analysis.
2. Clustering:
4. Regression Analysis:
5. Anomaly Detection:
It aims to identify data points that deviate significantly from the norm
or expected behavior.
6. Text Mining:
8. Dimensionality Reduction:
1. Classification:
2. Clustering:
4. Regression Analysis:
5. Anomaly Detection:
It aims to identify data points that deviate significantly from the norm
or expected behavior.
6. Text Mining:
Business Intelligence
Business Intelligence (BI) refers to the processes, technologies, and tools used by
organizations to analyze and transform raw data into actionable insights for
informed decision-making. It encompasses a wide range of activities, including
data collection, analysis, visualization, and reporting. Here are key components
and aspects of business intelligence:
1. Data Integration:
2. Data Warehousing:
3. Data Analysis:
4. Data Visualization:
5. Reporting:
6. Dashboarding:
7. Self-Service BI:
9. Mobile BI:
Mobile BI enables users to access BI tools, reports, and dashboards on
mobile devices, allowing for greater flexibility and accessibility to
data insights anytime, anywhere.
10.Advanced Analytics:
Creation of Tables:
Creating tables in a database involves defining the table structure, including the
columns and their data types. Here are some examples of creating tables in SQL
for a fictional e-commerce website:
1. Customers Table:
Name VARCHAR(255),
Email VARCHAR(255),
Address VARCHAR(255),
City VARCHAR(255),
Country VARCHAR(255) );
2. Products Table:
Name VARCHAR(255),
Category VARCHAR(255) );
3. Orders Table:
CustomerID INT,
OrderDate DATE,
4. OrderItems Table:
OrderID INT,
ProductID INT,
Quantity INT,
Name VARCHAR(255) );
6. Reviews Table:
ProductID INT,
CustomerID INT,
Rating INT,
Comment TEXT,
ReviewDate DATE,
These are just examples, and the actual table structures may vary depending on the
specific requirements of the application.
View:
This view joins the "Employees" table with the "Departments" table based on the
"DepartmentID" column and selects the employee's ID, first name, last name, and
the department name. Now, you can query this view to retrieve this information
without needing to join the tables each time:
Report:
Imagine a scenario where we want to generate a report showing the total sales
revenue for each product category. We can use SQL to create a report that
calculates the total revenue for each category:
SELECT
p.Category,
FROM
Products p
JOIN
GROUP BY
p.Category;
This report query joins the "Products" table with the "OrderItems" table based on
the "ProductID" column, calculates the total revenue for each product category by
multiplying the quantity sold by the unit price, and then sums up the total revenue
for each category. The GROUP BY clause is used to group the results by the
product category.
This report provides valuable insights into the sales performance of each product
category, which can be used for strategic decision-making and planning.
1. Creating a Database:
To create a new database, you can use the following SQL statement:
CREATE DATABASE dbname;
2. Using a Database:
USE dbname;
3. Creating a Table:
To create a new table in the database, you can use the following SQL
statement:
CREATE TABLE tablename ( column1 datatype, column2
datatype, ... );
4. Inserting Data:
To insert data into a table, you can use the following SQL statement:
INSERT INTO tablename (column1, column2, ...)
VALUES (value1, value2, ...);
5. Selecting Data:
To retrieve data from a table, you can use the following SQL
statement:
SELECT column1, column2, ... FROM tablename
WHERE condition;
6. Updating Data:
To update existing data in a table, you can use the following SQL
statement:
UPDATE tablename SET column1 = value1, column2 = value2,
... WHERE condition;
7. Deleting Data:
To delete data from a table, you can use the following SQL statement:
DELETE FROM tablename WHERE condition;
8. Running Queries:
For example, in MySQL, you can use the mysql command-line client
to connect to the database and run SQL queries:
9. Example:
These are just the basics of SQL, and there are many more advanced features and
functions available. Understanding SQL is essential for managing and querying
databases effectively.