DEFINITION OF MANAGEMENT INFORMATION SYSTEM

Nowadays, a lot of people are using technology system in their life or works. So, here I would like to share what is Management Information System that is very helpful in people’s life.

MIS is a system that can manage information to collects, processes, stores, analyzes and distribute to the users for a specific purpose or objective. 

A management information system (MIS) provides information that is needed to manage organizations efficiently and effectively (http://www.occ.gov/publications/publications-by-type/comptrollers-handbook/mis.pdf).

Management information systems are not only computer systems - these systems encompass three primary components: technology, people (individuals, groups, or organizations), and data/information for decision making.

Management information systems are distinct from other information systems in that they are designed to be used to analyze and facilitate strategic and operational activities in the organization (O’Brien, J (1999). Management Information Systems – Managing Information Technology in the Internetworked Enterprise. Boston: Irwin McGraw-Hill. ISBN 0-07-112373-3.).

There are six components of an information system.

1.      Hardware – a set of devices such as monitor, keyboard, mouse and etc.

2.    Software – a programs that act as processor to process data or input such as Mozilla Firefox, Microsoft Office, Movie Maker and etc.

3.   Data – information that collected such as the number of workers in an organization, amount of sales in a certain of period.

4.      Network – a telecommunication system such as by phones or Internet.

5.   Procedures – a set of instructions about how to combine the Hardware, Software, Data and Network in order to process information and generate the desired input (Turban & Volonino,2012).

6.    People – are those individual who work with the system, interface with it or use it output     (Turban & Volonino,2012).

Benefit of using MIS

1.  Can maintains data about customers and all of their interactions with the system by using Customer Relationship Management (CRM) .

2.   Support business decision-making by providing management with critical data. They serve to enhance the organization's communication, reduce human labor, support short- and long-term business goals and distribute complex information (http://www.ehow.com/facts_5544446_advantage-management-information-system.html)

3.  Management information services helps manager to access relevant, accurate, up-to-date information which is the more sure way of making accurate decisions. It also helps in automation and incorporation of research and management science techniques into the overall management information system for example probability theory (http://www.selfgrowth.com/articles /importance_of_management_information_system.html).

There are several company or business that using MIS in their work.

1.   Bank Islam – provide I-Tap for their customers that able to make money transactions or make payment.

2.  SMART TAG – using RFID (when the cars who are have SMART TAG over pass the gate, so the payment that suppose they pay for using the road was deducted from their SMART TAG Card).

3.  E-Business – using Internet to make or manage their business with their customers or clients regarding the products or services.