MANAGEMENT INFROMATION SYSTEM

(ISSUES, TRENDS and CHALLENGES)

A Research paper presented to the

Faculty Member of Computer Studies Department
Dr. Yanga’s Colleges, Inc.

Fundamentals of Information Management

Submitted To:
Ma’am Gemma Gibaga

Submitted By:
Arca, Renalyn
Cailing, Luijane
Durana, Caroline
Mendoza, Clark
Morante, Sabina kenje
Pagtalunan, Archie

BSIT - 1A
May 2025
 INTRODUCTION

Management Information Systems (MIS) are now widely used as an essential tool in decision-making
processes due to the technological revolution that has transformed how organizations function. Management
information systems are described as the facility for the use of information technology, people, and business
processes for recording, storing, and processing data that aims to produce information that can be used by
decision-makers to make day-to-day decisions (Moaiad, 2023). MIS is accessed by employees, management,
and everyone else inside an organization.

Although Management Information Systems (MIS) plays a vital role in supporting the decision-making
and operation of an organization, it also has its disadvantages, challenges, and issues that the organization
might encounter while using the system. Common issues that they might encounter were Technical issues or
system failures, security issues, and Data-related issues. With new AI tools continuously introduced as
automation solutions for organizations and businesses across different market segments, this should be a
reminder that without careful planning and continuous evaluation, MIS can become a burden rather than a
benefit. Addressing these issues requires a balanced focus on technology, people, and processes to ensure
the system effectively supports organizational goals.

DEFINITION OF TERMS

Data - It refers to raw, unorganized facts and figures that can be processed and interpreted by a computer to
produce information.

Management Information Systems - A system that helps organizations collect, organize, and use information
to make better decisions.

Organization - The one that uses Management Information Systems to make decisions and run their
operations.

Technology - Allows information to flow through the system, making sure the right people get the right data at
the right time.
 TYPES OF MANAGEMENT INFORMATION SYSTEMS

⚫ Process Control - Process control systems monitor industrial processes like automobile assembly,
petroleum, and metal fabrication, gathering data and producing reports. They are crucial management
information systems in manufacturing companies, helping managers evaluate process performance,
identify events, and distinguish production systems from cyclic ones. This information ensures efficiency
and worker safety.

⚫ Management Reporting System - The system generates reports on company operations and finances for
all management levels, enabling managers to compare performance with past and expected results,
evaluate their own performance, and work towards improving company performance and operational
efficiency.

⚫ Inventory Control - Inventory control systems track spoilage, sales, theft, and on-hand inventory in a
company, determining when items need restocking. They monitor movement, sales, and returns of
inventory in warehouses and retail stores, making them crucial for managing cash-sensitive goods and
products.

⚫ Sales Marketing - The system aids management in executing and tracking a company's marketing
functions and sales, including forecasting sales, product quality improvement, distribution network
management, advertising scheduling, effective promotions, pricing, discounts, and reporting on sales
performance.

⚫ Human Resource - A Human Resource information management system controls information flow within
an organization using electronic devices like cell phones, landline phones, and multimedia. It tracks
employee recruitment, daily management, financial elements like payroll, benefits, and retirement, and
facilitates communication between employees, HR, and management. It tracks work attendance,
timekeeping, and leaves, allowing employees to take sick or vacation leaves without physical involvement
from the manager.

⚫ Accounting and Finance - Accounting and finance systems manage a company's investments, assets,
and financial reporting for legal purposes. They generate reports for audits and annual reports for
management. They assist in daily transactions, produce monthly and annual statements, and track
company performance for comparison with past financial status and future growth goals.
⚫ Decision Support Systems - Decision support systems assist managers in making decisions by
gathering data from both external and internal sources, such as population trends, interest rates, and sales
data. They aid in setting annual sales quotas based on these factors.

⚫ Expert System - An expert system utilizes human expertise to assist individuals with lower expertise in
making decisions, with artificial intelligence playing a crucial role in recognizing past actions and making
logical assumptions.

⚫ Executive Information System - The executive information system aids executive managers by providing
tables and charts for easy analysis and decision-making.

⚫ Transaction Processing System - A transaction processing system is responsible for collecting and
processing data generated during an organization's routine activities such as orders, payments, deposits,
or reservations.

⚫ School Information Management System - School Information System (SIMS) streamlines daily school
operations, fostering student engagement and reducing the need for attendance register management,
saving teachers' time for other productive tasks and enhancing overall school performance.

⚫ Local Databases - Local databases are management information systems that provide comprehensive
data on local communities, utilizing open business listings, public data, integrated services, and social
survey input.

GLOBALIZATION/PLATFORMS OF MANAGEMENT INFORMATION SYSTEMS

Globalization has significantly expanded the scope and complexity of Management Information
Systems (MIS). It allows global data access, cross-cultural communication, standardized processes, cloud
integration, data privacy and security compliance, and global supply chain integration. Platforms used for MIS
include Enterprise Resource Planning (ERP) platforms, Customer Relationship Management (CRM) platforms,
cloud platforms like Amazon Web Services (AWS), Google Cloud Platform (GCP), Microsoft Azure, Business
Intelligence (BI) platforms like Tableau, Power BI, and custom-built platforms like Java,.NET, Python, and PHP-
based systems. These platforms enable global operations, data privacy, security compliance, and global supply
chain integration.
 OBJECTIVES
MIS research enables companies to utilize data in a smart way to make improved decisions and
enhance day-to-day operations. MIS makes work simpler by mechanizing procedures and minimizing errors,
hence speeding up processes and enhancing efficiency. MIS facilitates organizations to store and exchange
information easily while maintaining accuracy and security. Companies can utilize MIS to expand, remain
competitive, and enhance services. Besides, MIS keeps sensitive data away from hackers and adheres to the
legal guidelines of data privacy. However, there are still challenges like cybersecurity risks, issues with system
integration, resistance from users, and a lack of technical skills. This study will explore both the benefits and
challenges of MIS to understand how it can be used more effectively in different industries.

REVIEW OF RELATED LITERATURE AND STUDIES

Cao et al. (2024) explored how Hybrid Decision Support Systems (HDSS) can improve decision-making
in IT service management by combining human judgment with machine intelligence. This approach is important
for Management Information Systems (MIS) because it helps organizations make better decisions using both
technology and human expertise. The study offers five key principles for designing these systems, ensuring
they enhance human abilities rather than replace them. The research shows how MIS can improve decision-
making processes in complex environments by integrating both human and machine inputs.
Ajiga et al. (2024) explained that software automation helps improve industrial work by making tasks
faster and reducing errors. This relates to Management Information Systems (MIS) because automation makes
it easier to manage data and improve business operations. The study shows that using the right technology
can make systems more efficient and support better decision-making in organizations. It also highlights how
automation tools can save time and reduce costs. Overall, the research supports the idea that MIS can benefit
greatly from modern automation tools.
Helal et al. (2021) perceived that the rapid changes in education highlight the importance of information
management systems (EMIS) in educational institutions. EMIS helps organizations manage and organize data,
translating it into useful information that supports decision-making and resource allocation. It plays a critical
role in monitoring educational program performance and improving school administration by enhancing data
accessibility, reducing workloads, and improving report quality. While EMIS offers several advantages, such as
better student attendance tracking and improved learning services, it also faces challenges, including the lack
of timely data for policymaking and issues with effective performance monitoring. The development and
implementation of EMIS requires innovation and commitment, as many institutions struggle with its non-
implementation.
 Kernochan and Robinson (2025) stated that Management Information Systems are responsible for
controlling the hardware and software systems that the organisation uses to make business decisions. Aside
from that, they also stated that the MIS team is one of the major contributors to the company’s survival, as the
MIS role is to provide crucial decision-making and business efficiency. This article shows the benefits of
Management Information Systems in business decisions and ensuring the company's survival.
According to Moaiad(2023), Management Information Systems can be defined as a collection of
systems, hardware, procedures, and people that all work together to process, store, and produce information
that is useful to the organisation. Another thing, MIS is also stated as one of the factors when it comes to the
competitiveness of a business, as we’ll know that MIS is one of the advanced technologies nowadays, and
because of the continuous growth of MIS, it allows the business to go with the flow to keep the business alive.
According to Hixon(2024), Management Information Systems is to keep achieving the business
objectives to ensure its survival. Aside from that, he also stated that if technology continues to evolve, the role
of MIS will only become more critical, underscoring the need for organisations to invest in and effectively utilise
these systems to thrive in today’s dynamic business landscape. This article helps to understand how
Management Information Systems are growing and keeping their role in benefiting the sectors of society.
According to Rahmawati and Wibowo (2024) suggest that using modern Management Information
Systems (MIS) can improve how businesses plan their human resources. In today’s fast-paced business world,
the old ways of doing HR planning are no longer cutting it. Their research points out that tech-driven solutions
are key to making HR more effective and keeping it in line with what the whole organization aims to achieve.
By bringing in advanced MIS, companies can make better decisions and develop a mindset that's important for
tackling tough problems.
According to Shaw et al. 2021 this study explains how managing information properly can help improve
buildings and reduce harm to the environment. Even though technology has improved, facility managers still
face big challenges in organizing and using data effectively. Through interviews, researchers learned what
professionals think is most important and found that better teamwork between facility management and IT
could help solve problems. The study also suggests setting common rules for managing data and thinking
about the full life cycle of buildings. Future research will focus on connecting different types of information to
make facility management even better.
On the other hand, Artificial intelligence is rapidly transforming job roles, often outpacing our ability to
adapt. “With how generative AI is evolving, it seems clear that my next hire is going to be a prompt engineer”
(J. Santucci, personal communication, April 3, 2023) A notable emerging role is that of a prompt engineer, who
specializes in effectively utilizing generative AI tools like ChatGPT through well-crafted prompts. This growing
demand for prompt engineering has prompted educators to rethink their curriculum. In response, a teaching
case was developed for an Introduction to Management Information Systems (MIS) class, aimed at helping
students learn how to leverage generative AI for personal and business tasks. This project is designed for both
undergraduate and graduate students, encouraging them to engage with generative AI and develop prompt
engineering skills.
The study by Teixeira et al. (2023) highlights several challenges facing the digital transformation of
Health Information Systems (HIS) in Portugal. Issues include the lack of digital skills among healthcare workers
and patients, a fragmented system that hinders the sharing of data, unequal access to technology, and unclear
plans for digital health. They also mentioned that the resistance to change and the lack of involvement from all
important groups are slowing the digital transformation process in Portugal’s healthcare system. This makes it
harder to implement new technologies effectively.
The study of Hamdat et al.(2024) highlights several challenges that affect its effectiveness. Despite
being established to improve record-keeping and education service delivery, the system faces slow
performance, access problems, and a lack of dedicated management. Users, including staff and students,
struggle to access the system regularly, and the absence of an MIS manager at the Wa campus leads to poor
system functioning. The study suggests that employing IT experts and establishing better support for the MIS
would improve its performance and reliability. This aligns with common issues MIS faces in organizations,
including inadequate resources and poor system management, which can hinder its potential benefits.
The study of Aryani (2023) discusses the challenges of implementing Integrated Financial Management
Information Systems (IFMIS) in organizations. Key obstacles include the complexity of the technology, which
requires strong infrastructure and expertise, and resistance to change from employees, slowing down adoption.
Additionally, concerns about data security remain a major issue, as financial data must be protected against
breaches. These challenges highlight the difficulties in effectively implementing Management Information
Systems, especially in the financial sector.
Fakhrurroja et al. (2021) studied how internet addiction among students can affect their readiness to
use Hospital Management Information Systems (HMIS) in Indonesia. They found that excessive internet use
may lower focus and interest in using these systems properly. This shows that personal habits and digital
behavior can be challenges when using MIS in healthcare. It highlights the need for better digital discipline and
training to make sure users are ready to use MIS effectively.
According to Rajput (2025), he includes the most information needed to discuss Management
Information Systems, including its disadvantages. One of the disadvantages he included is how to deal with the
rapid changes in the present time. The more the world evolves into a more futuristic and modern world, the rise
of advanced technologies/system needed and which also makes professional to work more for more changes.
The best way to handle these issues is to find more professionals to help with and produce more system-based
technologies.
 According to Fatkhuri et al. (2024), evaluating user satisfaction and interface design is essential for
improving information systems like SIMPEG. Using qualitative methods to investigate 100 participants, Olson
and Adipranata observed the application, conducted interviews, completed surveys and questionnaires, and
reviewed the literature as a source of data. They employed the qualitative methods: User-Centered Design and
Heuristic Evaluation. The study results showed that the application was an existing system that met user needs
in just 70%, while the low performance was due to bugs, and an unsuitable mobile device.
Although management information systems have improved, there are still some issues that limit their
usefulness. One of the major issues is data privacy and security. Stoykova and Shakev (2023) stated that it is
important to create guidelines that will ensure that AI is responsibly used. Another problem they also encounter
is that some people don't want to use any AI tools, so proper training and support are very much needed to
help them adapt to the new environment.

According to the study of S. Speth et al.(2023), this is about the problems teams face when managing
issues in microservice systems, where different groups use different tools like Jira, GitHub, or Redmine. Since
these tools don't connect, finding and linking related issues takes a lot of time and slows down work. To fix this,
the research suggests a browser extension that helps combine these tools, making issue tracking easier.
Experts agree that this solution helps teams work better and communicate more smoothly

Hasbullah (2022) discussed how cybercrime affects business laws and how it creates challenges for
both companies and consumers. This is closely related to Management Information Systems (MIS) because
protecting data and following legal rules are key parts of managing information systems. The study shows that
businesses need strong cybersecurity measures to avoid legal problems and keep their systems safe. It
highlights the importance of making MIS secure, reliable, and in line with laws to protect both the company and
its users.
According to Kisinski(2024), A data breach is any security incident in which unauthorized parties access
sensitive or confidential information, including personal data, including numbers from your bank account
security, and corporate data that includes financial information and intellectual property that costs nearly five
million dollars over the world. This is one of the biggest issues in Management Information Systems that
causes income problems, data losses, or data theft. This problem is a common problem in MIS that is similar to
cyber attacks and can also be considered a cyber attack, but not all security breaches are cyber attacks
because security breaches happen commonly when someone has unauthorized access to personal data
unintentionally.
Sarno and Maulidar (2024) explored the cybersecurity problems that come with digital transformation
and how these affect Information Systems like MIS. As more organizations go digital, the risk of cyberattacks
becomes higher, putting important data and systems in danger. Their study highlights the need for strong
security measures to protect MIS from threats such as data breaches, hacking, and unauthorized access.
Without proper cybersecurity, MIS may fail to support effective decision-making and daily operations. The
authors suggest that improving cybersecurity is essential for organizations to fully benefit from digital systems
like MIS.

ISSUES
Organizations face difficulties when they are trying to use or improve their MIS. While MIS can help
organizations make decisions more easily, automate tasks, and boost efficiency, many companies still struggle
with problems like security threats that put sensitive data at risk. They also struggle with connecting different
systems, which can make things slower and less effective. Also, some employees don't want to use MIS tools,
and there's often a lack of technical skills to manage these systems well. These challenges stop organizations
from getting the full benefits of MIS. This study aims to look into these problems and find ways to fix them so
that MIS can work better in different industries or organizations.

TRENDS
One of the trends in Management Information Systems (MIS) is the use of automation and AI to speed
up tasks, reduce errors, and improve decision-making. More companies are moving to cloud-based systems
and focusing on better cybersecurity to protect their data. MIS is also becoming easier to use and helps
connect different departments for smoother operations. In schools, Education Management Information
Systems (EMIS) are being used to manage data and support decisions. The rise of generative AI is creating
new roles like prompt engineers, leading schools to update their programs to teach students the skills needed
for today’s tech-driven jobs.
CHALLENGES
Based on our study, many organizations face problems when trying to use MIS properly. One big
challenge is keeping data safe from hackers. Another issue is that different systems don’t always work well
together, which can slow things down. Some workers don’t want to use new systems because they’re not
trained or are afraid of change. There’s also a lack of people with the right tech skills to manage these systems.
The problem is even bigger in schools because many still use old or incorrect data, which makes it hard to
make smart decisions. It's also hard for them to set up systems like EMIS because they don’t have enough
money or support, and some people don’t want to change. Plus, with AI growing so fast, schools are having
trouble keeping up. Teachers need to teach new tech skills like prompt engineering, but that can be hard to do
quickly. All these challenges make it difficult for MIS to work well, so better training, planning, and support are
needed.
 OPPORTUNITIES
Knowledge Generation:
Through Management Information System (MIS), scholars and professionals are able to learn about the way
information systems of firms operate in order to develop new strategies to make them more effective, enhance
decision-making, and provide services better.
Understanding Trends and Issues:
Learning about Management Information System (MIS) makes a person familiar with what is trending, such as
cloud computing, data analytics, and cybersecurity, and also understand how to resolve everyday issues such
as data privacy or system integration.
Modernization Awareness:
Management Information System (MIS) educates people on the effect of technology on the modern world, and
the ability to adapt to online changes in their lives and workplace.
Real Life Impact:
Management Information System (MIS) is able to reveal positive and negative effects on people, such as
increased convenience through automation or fear of job loss due to technology.

IMPACT

MIS has a big impact by helping organizations make better decisions with accurate data. In schools,
systems like EMIS improve how data is managed and support better decision-making for things like student
progress and resources. MIS also makes work more efficient by automating tasks, reducing mistakes, and
improving data security. It helps businesses stay competitive and offer better services.

CONCLUSION
In conclusion, Management Information Systems (MIS) are important for improving decision-making,
efficiency, and managing data in organizations, including schools. While MIS offers many benefits like
automating tasks, protecting data, and supporting growth, there are challenges such as cybersecurity risks,
problems with connecting systems, and a lack of technical skills. To make the most of MIS, organizations need
to focus on training, planning, and investing in technology to overcome these challenges and stay competitive
in today’s fast-changing world.
 RECOMMENDATION
To improve the use of Management Information Systems (MIS), organizations should invest in proper
training for employees to reduce resistance and enhance system use. They should prioritize strong
cybersecurity measures to protect sensitive data, work on better system integration to improve efficiency, and
regularly assess their MIS to keep up with technological changes. Collaboration between IT and other
departments is also important for smooth implementation, and organizations should adapt to new technologies
like AI by offering relevant training to stay competitive in the digital age. These steps will help organizations
make the most of MIS while overcoming challenges.

IMPLICATION TO THE PROPONENTS

In light of these findings, the proponents are encouraged to understand the challenges and benefits of
using Management Information Systems (MIS). This study shows that issues like cybersecurity risks, system
integration problems, and resistance to change need to be addressed for MIS to work well. This study also
highlights the need for ongoing training and skills development, especially in new technologies like AI. This
knowledge can guide organizations or companies in creating better solutions and strategies for using and
improving MIS to make decisions easier and improve efficiency.
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