Unit-02

INFORMATION AND SUPPORT SYSTEMS

(ENTREPRENEURSHIP DEVELOPMENT –TW)

Ramun Prasad1
(Lecture No. 05)
Recapitulates

Lecture Outcomes

After this session you will be able to:

- Excavate desired information related to your project; support system, and procedures & formalities.

Meaning and Concept of information:

Information systems are combinations of hardware, software, and telecommunications networks that people
build and use to collect, create, and distribute useful data typically in an organizational setting.

An Information System is a system that gathers data and disseminates information with the sole purpose of
providing information to its users.

The main object of an information system is to provide information to its users. Information systems vary
according to the type of users who use the system.

A Management Information System is an information system that evaluates, analyzes, and processes an
organization's data to produce meaningful and useful information based on which the management can take
right decisions to ensure future growth of the organization.

Information Vs Data

Data can be described as unprocessed facts and figures. Plain collected data as raw facts cannot help in
decision-making. However, data is the raw material that is organized, structured, and interpreted to create
useful information systems.

According to Davis and Olson − "Information is a data that has been processed into a form that is
meaningful to recipient and is of real or perceived value in the current or the prospective action or decision
of recipient."

Note: Data − The raw material of information.

Information − Data organized and presented by someone.
Knowledge − Information read, heard, or seen, and understood.
Wisdom − Distilled and integrated knowledge and understanding.

1
Lecturer, Department of Humanity (Economics), Govt. Polytechnic, Gaya, Bihar
E-mail id: [email protected] My Homepage: https://ecoramun.wordpress.com/

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Information needed and their sources:
First of all you need to be aware of where to look for information, how to access it and how to use it. You
must also be able to scrutinize your sources to check that they are relevant and of a suitable nature to be
included within your work.

Need for Information Systems

Managers make decisions. Decision-making generally takes a four-fold path −

Understanding the need for decision or the opportunity,
Preparing alternative course of actions,
Evaluating all alternative course of actions,
Deciding the right path for implementation.
Management Information System (MIS) is an information system that provides information in the form of
standardized reports and displays for the managers. MIS is a broad class of information systems designed to
provide information needed for effective decision making.

Data and information created from an accounting information system and the reports generated thereon are
used to provide accurate, timely and relevant information needed for effective decision making by
managers.
Management information system derived data from secondary source such as internet, web surfing or
through primary source from observation or through interview method. It can be demonstrated with the help
of following chart:

Note: An extranet is a controlled private network that allows access to partners, vendors and suppliers or an authorized set of
customers – normally to a subset of the information accessible from an organization's intranet.

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This is above figure has Management Information System structure and presented various reports through
the processing of all data processing activity. Management information system is design the logical concept
with physical implementation process for data transformation into the information and support in various
task of organization. The processes require a lot of data. And demand increases in each phase of
management. Many decision based on MIS prove the right choice of action.

Information related to project:

A project management information system (PMIS) is the coherent organization of the information required
for an organization to execute project successfully. A PMIS is typically one or more software applications
and a methodical (व्यवस्थित) process for collecting and using project information. These electronic system
help to plan, execute, and close project management goals. PMIS systems differ in scope, design and
features depending upon an organization’s operational requirements.

Information Sources

The information management plan must identify an appropriate source for each type of information
required. A project acquires information from both internal and external sources. For all sources, the plan
should describe how the information will be collected and stored.

If there are multiple sources for a particular type of information, then sources must be judged based on
efficiency, accuracy and how close the source is to the origination of the information. A direct flow of
information is generally the most efficient and the most accurate. The project should determine the most
efficient source and modify its information collection procedures if a proposed source is more efficient than
the existing source. For example, if one project manager currently receives country statistic information
from another project manager who receives the information from the main office, it may be more efficient
for the main office to provide such information directly to all project managers. This direct flow ensures that
all managers receive the same information in the same time frame and reduces the potential for information
to be miscommunicated.

A project should also ensure that duplication of effort does not occur in the collection of information. As
much as possible, a project should strive to have a single source for each information type. If a project
maintains multiple data bases for beneficiary surveys (records maintained by the project staff and separate
records maintained by the partners), the possibility of problems relating to accuracy and consistency of
beneficiary reporting may increase.

Information related to support system

The project information support system was developed and is now being used in the company for
informational support of projects and in order to assist in the project preparation and handling. The main
purpose of this system is to provide a high quality of company’s products to increase the efficiency of
workers and project management in the company.

The system ensures:

 Registration and full documenting of company’s projects;

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 Effective management and control of project implementation on the part of project and company
managers;
 Exchange of project information between all project participants;
 Exchange of information about the technologies being developed in the company.

The system ensures work with organization documentation, management directives and technical project
documentation. Direct financial management of projects is not provided in the system, except for
registration of planned and expended man-hour.

Proceeding from the above-mentioned functions of the system, it provides:

 Possibility of creation and follow-up of project organization documentation at all stages. Document
nomenclature (पाररभाषषक शब्द) allows to organize a project and to follow-up its realization at all stages,
both from the point of view of development of its contents, and from the point of view of work
organization and effectiveness of personnel use.
 Possibility of creation and storage of elaborated documentation for quality system, normative (मानक) and
management documentation, working and report documentation within the framework of the project.
 Opportunity to follow-up interaction between project manager and the Customer, subcontractors,
company management and between co-workers working on the project inside the company.

Information related to procedures and formalities

Once you have decided to start a business, an important consideration to look into is the various
government guidelines for setting up a factory, seeking permit from various department (including
electricity, water, environment, etc.) filling registrations along with necessary fee, necessary
taxation, etc.

 Choose business structure: Like proprietorship, corporation, partnership or limited liability company
(LLC2.).
 Pick Business name: In order to register any type of business, you also have to choose a business name.
(Two business with same name are not allowed in a same state.)
 Register with state.
 Register with Internal Revenue Service (IRS): The IRS requires business enterprises to obtain an
employer identification number, which is the business equivalent of a social security number. This is the
number you use to file all of your business, tax return forms, and combined completing the IRS form
SS-4.

Conclusion

In this lecture, we have discussed about the information related to project; support system, and procedures &
formalities which is needed to create strong information systems, keep these systems up to date and
establish an enterprise.
2
A limited liability company (LLC) is a business structure in the United States whereby the owners are not personally liable for
the company's debts or liabilities. Limited liability companies are hybrid entities that combine the characteristics of a corporation
with those of a partnership or sole proprietorship.
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References

https://www.tutorialspoint.com/management_information_system/mis_quick_guide.htm

https://www.skillsyouneed.com/learn/sources-info.html

https://shodhganga.inflibnet.ac.in/bitstream/10603/161640/12/12_chapter%203.pdf

https://www.pm4dev.com/resources/free-e-books/131-the-project-information-management/file.html

http://mail.ssl.obninsk.ru/web/002/english.nsf/index/kis-tip-project-sup

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