MB07 – 02 : MANAGEMENT INFORMATION SYSTEM

1. Explain the different components and what are the various applications of expert systems ?

Ans:

An expert system is a computer application that guides the performance of ill structured tasks, which usually require experience and expertise. Using an expert system, a non expert can achieve performance, which is comparable to an experts performance in that particular domain.

An expert system is very similar to a decision support system ie both are intended to provide a high level of problem solving support to their users. But they differ in two major ways :

1. Decision Support System consists of routines that reflect as to how the manager believes a problem should be solved, as well as the manager’s style and capabilities. An expert system on the other hand, offers the opportunity to make decisions that exceed the manager’s capabilities.

2. The most important difference between Decision Support System and Expert System is the ability of ES to explain its line of reasoning in reaching a particular solution.

P Applications of Expert System:

The business applications of expert systems are many. Some of them are as follows:

1. Manufacturing

2. Marketing

3. Accounting and Finance

4. Personnel

5. General Business

6. Social Applications

Manufacturing:

Manufacturing includes the following

· Maintaining facilities

· Analyzing quality and providing corrective measures

· Determining whether a process is running correctly or not

· Scheduling job shop tasks

· Selecting transportation routes

· Assisting with product design and facility layouts

Marketing:

Marketing includes the following :

· Establishing sales quotas

· Responding to customer inquiries

· Assisting with marketing timing decisions

· Determining discount policies

Accounting and Finance:

Accounting and Finance includes the following :

· Providing tax advice and assistance

· Helping with credit authorization decisions

· Selecting forecasting models

· Providing investment advice

Personnel:

· Assessing applicant qualifications

· Giving employees assistance in filling out forms

General Business:

· Assisting with project proposals

· Recommending acquisition strategies

· Educating trainees

· Evaluating performance

Social Applications:

· Counseling prospective students about study options

· Counseling expectant mothers about the various benefits available to them

· Advising buyers on the ideal home layouts

2. With neat diagram, explain the steps in the design of an MIS

The following steps are generally taken in the design of an MIS:

1. Identifying information needs at all levels of management

2. Listing objectives of MIS and anticipated benefits

3. Identifying systems constraints (internal and external)

4. Determining information needs and resources

5. Developing alternative conceptual design and selecting one

6. Preparing the conceptual design report

3. List out the various approaches to MIS development in an organization

Ans:

There are seven approaches which are used for developing MIS :

7. Top down approach

8. Bottom up approach

9. Integrative approach

10. Traditional approach

11. Prototyping approach

12. End User development approach

13. Systematic approach for development in small organizations

4. Explain data processing and information systems.

Ans:

Data Processing:

The data can be processed in the following modes:

1. Online transaction processing and

2. Batch processing

In online transaction processing, the term online means that the data input device is directly linked to the transaction processing system and the data are processed as soon as it enters into the system. The input device may be at a remote location and be linked to the system by networks or by telecommunication systems. Here, the information is always current since there is little or no time lag between data creation and data processing.

In batch processing, transactions are accumulated over time and processed periodically. Processing may be done on a daily, weekly or on a monthly basis. For example, an organization may process its sales proceeds on a daily basis at the end of each day and its daily expenses on a monthly basis.

Processing in batches results in more efficient uses of computer resources. Also, quality control is sometimes easier in batch processing, since errors detected at the end of a batch can be rectified before the next batch is processed.

However, one of the disadvantages is that there is a time lag between data creation and data processing, such that the information in files may not be up to date.

P Information System:

The nature and scope of information required at different levels in an organization varies considerably. Organizations need different information systems to meet this need. Increasing number of managerial personnel rely on computers and information systems to make decisions.

Accordingly different information systems are designed to meet the different information needs of managers.

Four types of information systems exists:

1. Transaction processing systems (TPS)

2. Management information systems (MIS)

3. Intelligent support systems (ISS) and

4. Office automation systems (OAS)