TYPES OF INFORMATION

SYSTEM
Two perspective
1. Based on different functions
Marketing, Finance, HRM, Operations etc.

2. Based on constituency
Lower mgmt., Middle mgmt., Top mgmt.
 Financial Information System
 Every organisation whether business or non-business is
required to perform financial activities in order to carry
its operations.

 Financial decisions have three major dimensions:

 Determination of total amount of funds to be used by the
organisation
 Determination of what specific assets the organisation should
acquire, i.e. allocation of funds among various assets in an
efficient manner
 Determination of how the needed funds would be
financed/raised

 Basically, raising, distributing and administrating

funds.
 Model of Financial Information
System
Output Subsystem
Input Subsystem

Funds
Accounting
Management
subsystem
subsystem

Users
Database

Financial
Control
Intelligence
subsystem
subsystem

Data flow
Information flow
Accounting Subsystem
 Captures transaction data and
processes these to prepare various
account books.

 To ascertain the cumulative effect of

the transactions in the form of financial
statements like P&L statement, Balance
sheet etc.
Financial Intelligence
Subsystem
 It gathers relevant information from
financial environment comprising
specialized financial institutions,
commercial banks, stock exchange,
monetary policy etc. for raising funds
and investing surplus funds for making
profits.
Funds Management
Subsystem
 It tracks the information flow related to
acquisition, distribution and
administration of funds.
Control System
 Another output of financial information
systems.
 Task of ensuring that activities are producing
the desired results.
 Helps in exercising control related to financial
aspects of organizational operations.
 Budgetary Control – Preparing budgets and
optimum utilization of resources to achieve
the goal.
Marketing Information System
Marketing Information System
 It consists of people, equipment and
procedures to collect, sort, analyze, evaluate
and distribute needed, timely, and accurate
information to marketing decision makers.

 For this, we may take the following aspects of

marketing:
 Types of products to be offered
 Price at which products to be offered
 Place where products to be offered
 Promoting products to win customers
 Model of Marketing Information
System
Output Subsystem
Input Subsystem
Product
Marketing research subsystem
subsystem
Pricing
subsystem
Database Users
Distribution
Marketing subsystem
Intelligence
subsystem
Promotion
subsystem

Data flow
Information flow
Marketing Research System
 Marketing research subsystem collects
data from external sources particularly
from distributors, retailers and
customers
 Various packages are available
performing variety of applications like
statistical analysis etc.
Marketing Intelligence System
 Concerned with appraising total
marketing environment for assessing
opportunities & threats.
 Product Subsystem:
 Product subsystem collects information
that helps in determining product features,
market segmentation, product positioning
and branding.
 Pricing System:
 Traces information related to price fixation
and price change.
 Distribution subsystem:
 Traces information for selecting distribution
channel and managing supply chain/
distribution.
 Promotion Subsystem:
 Traces information to design promotion
mix and various promotional efforts that
can be undertaken.
HRM Information System
 Model of a Human Resource
Information System
Output Subsystem
Input Subsystem
H R Acquisition
H R research subsystem
subsystem
H R Development
subsystem
Database Users
Appraisal &
HR Compensation
Intelligence subsystem
subsystem
Industrial relations
subsystem

Data flow
Information flow
Production Information System
 Production Information
System
Output Subsystem
Input Subsystem
Manufacturing
Industrial Engg. subsystem
subsystem
Inventory
subsystem
Database Users
Quality
Production subsystem
Intelligence
subsystem
Cost
subsystem

Data flow
Information flow
 Based on Constituency
– MIS Classification

 This perspective examines systems in terms

of the various levels of management and
the type of decisions that they support.
 Transaction Processing System (TPS)
 Management Information System (MIS)
 Decision Support System (DSS)
 Executive Support System (ESS)
 Office Automation Systems (OASs)
 Business Expert Systems (BESs)
 Transaction Processing
System
 TPS represents automation of fundamental,
routine processing used to support to
business operations.
 Does not provide any information to user
for decision – making.

DATA PROCESSING DATA

Input Output
 Transaction Processing
System
 It is also known as Data Processing System.
 It is restricted to the lowest level of
management hierarchy.
 Transaction may be
 External (from customers, suppliers etc.)
 Internal ( transferring work in process from one
stage to the next, recording depreciation on
equipment)
Management Information
System

INFORMATION

Input Processing Output

DATA

TPS
Management Information
System
 MIS uses TPS as its input
 Information generated may be used for
control of operations
 Strategic and long-range planning
 Short-range planning
 Management control
 Other managerial problem solving
 Management Information
System
 The domain of MIS is management level
control of management hierarchy.
 MIS is more comprehensive as compared to
TPS.
 MIS is capable of providing analysis,
planning and decision-making support.
 As MIS is an integrated system, it caters to
information needs for managers in all
functional areas.
Management Information
System
 The functional areas of a business may
be
 Marketing
 Production
 Human resource
 Finance etc.
 Decision Support System (DSS)
 Decision support system is tailored to
specific managerial task or specific problem.
 It is designed primarily to serve
management control and strategic planning
level managers.
 Comprises of three components :
 Database
 Model base
 User Interface
Decision Support System (DSS)

DATABASE MODEL BASE

USER INTERFACE

USER
 Decision Support System (DSS)
 Database : Contains master files (internal
corporate data) and data from external
sources.
 Model Base : Library of models to manipulate
and analyze the data in the desired ways. This
model might include econometric models to
forecast demand by industry and simulate
models of the corporation.
 User Interface : The interface through which
the user can communicate with the DSS.
 Decision Support System (DSS)
 DSS can be differentiated from MIS in terms
of its processing capabilities.
 The MIS processes data to convert it to
information whereas DSS processes
information to support the decision making
process of a manager.
 Decision Support System (DSS)

A1

A2
Information Decision
from MIS (most
A3 appropriate)

A4

ALTERNATIVE PROCESSING
 Executive Support System
(ESS)
 ESS is an extension of MIS which is a
special kind of DSS.
 It is tailored for the use of chief executive
of an organization to support his/her
decision-making.
 It is comprehensive information system
which includes various types of decision-
support systems.
Hierarchy of Information System

ESS

DSS

MIS

TPS
 MIS STRUCTURE-Holistic view
 MIS STRUCTURE CONSISTS OF DIFFERENT INFORMATION
SYSTEMS WITH EACH SYSTEM PROVIDING INFORMATION
RELEVANT TO A SPECIFIC AREA WHICH MAY BE IDENTIFIED ON
THE BASIS OF:

 MANAGEMENT LEVELS – TOP, MIDDLE, AND LOWER

 ORGANISATIONAL FUNCTIONS – PRODUCTION, MARKETING,

FINANCE, AND PERSONNEL

 FUNCTIONS OF MANGEMENT – OPERATIONAL PLANNING AND

CONTROL, MANAGEMENT CONTROL,STRATEGIC PLANNING.

 Various information systems and their integration determine the MIS

architecture/structure.
MANAGEMENT MANAGEMENT INFORMATION
LEVELS FUNCTIONS SYSTEMS

Overall Executive
Strategic
Top Management Support
Planning
System
Organizational
Functions
Management Decision Expert
Middle Control Support System

Production

Marketing

Personnel
System

Finance
& OAS
Management
Operational Information
Lower Planning and System
Control MIS support
facilities Transaction
Processing
Hardware, Software, database, Systems
MIS Professionals

MIS ST R U C T U R E
MIS PROFESSIONAL
1. Chief Information Officer
2. System Analyst
3. Database Administrator
4. Network Specialist
5. Programmer
6. Operator
CONCLUSION
 To understand information system, one
must understand
 Organization goals/objectives
 The problem they are designed to solve
 Their architectural and design elements
 The organizational process that lead to
these solutions.
THANK YOU
FOR THE
ATTENTION!