13.

2 Information Systems and

Organisations
www.ICT-Teacher.com
• Understand the difference between an
information system and a data processing
system.
• Understand the role and relevance of an
information system in aiding decision making.
• Definition of a MIS:
– Recall that an MIS is a system to convert data from
internal and external sources into information. This is
communicated in an appropriate form to managers at
different levels, enabling them to make effective
decisions for planning, directing and controlling
activities for which they are responsible.
• The development and life cycle of a MIS.
– Recognise the existence of formal methods, the need
for clear time scales, agreed deliverables and
approval to proceed.
• Success of failure of a MIS.
– Understand the factors influencing the success or
failure of an information system, e.g. inadequate
analysis; lack of management involvement in design;
emphasis on computer system; concentration on low-
level data processing; lack of management knowledge
of ICT systems and capabilities;
inappropriate/excessive management demands; lack
of teamwork; lack of professional standards.
 Information System
• A geographic
information system
designed to function as
a Shoreline
Management and
Resources Tool was
developed to produce
a map-based
presentation of
Shoreline Erosion
Monitoring Program
(SEMP) data, collected
by the Niagara
Peninsula
Conservation
Authority.
 Data Processing System
• Records the daily transactions of an
organisation, i.e. orders, deliveries, sales,
payments, enquiries, purchasing etc.
• All the above is operational data which an
organisation needs to be able to continue
in business.
• Staff at the operation level in the
organisation’s structure will deal with this
data.
Data
Processing
System
 What does a manager do?
• There may be many managers in an
organisation all managing different things
at different levels.
• A Junior manager may deal with
management at an operational level.
• A Middle manager may deal with decisions
that involve their own area.
• A Senior manager may deal with strategic
matters and whole organisation decisions.
 Decisions
• Managers make decisions using the information
available to them at the time.

• The functions of a
manager are:
– Planning
– Organisation
– Coordinating
– Decision making
– Controlling
 Decisions
• Two types of management decision:
• Structured:
– Repetitive, routine, procedure have been
agreed to deal with them.
• Unstructured:
– Judgement, insight and evaluation is
necessary to deal with them.
– These are usually important decisions that
affect the future of the organisation, there are
no set procedures.
 Structured or Unstructured
• In which town will the new branch be
located?
• How many extra staff do we hire for the
Xmas period?
• What can be done about an employee
who has had too many sick days off after
being warned about their attendance.
• Should the stores adopt their own store
card?
 Information System
• Allow managers to make effective and
timely decisions.
• An information system will supply the
manager information from which to base
their decision on.
• These are known as Management
Information Systems (MIS).

Management
Information
Systems
 Role of a MIS
• To convert data from internal and external
sources into information that can be use
by managers to make effective decisions.
• Information systems are designed
primarily for the day-to-day operational
decisions, there may be many in an
organisation.
• They are also used for tactical and
strategic conditions.
 Role of a Management Information System

Capture Reports

Internal
Processing
Data

Storage Query Responses

External
Data Access

Expert System Advice

Management
Information
System Organisation

Environment
 Operational Systems
• Provide the information and answers to
routine events for the effective running of
the organisation.
• By reports: daily, weekly, monthly, annually.
• By on screen display.
• Results may be displayed statistically.
 MIS Should be..
• Flexible: for different ways of analysing
data, and evaluating information.
• Range of skills and knowledge catered for.
• Assist the operational process through
communication between staff.
• Easy to extract the relevant information, it
is presented in an appropriate way.
 Defining the objectives and
Development & scope of the management

Lifecycle of an information system.

Information A detailed systems analysis.

System
The production of a detailed
specification.

• Formal methods: Choosing the software, then

the hardware that will run it.

Implementation of the system

Maintenance and review.

1. Defining the objectives and scope of the
management information system.

– What are we attempting to achieve with the

system?
– What is the scope?
2. A detailed systems analysis.

– Examine what needs to be achieved, can it be

done, what are the constraints?
– Current system analysed, users asked what
they require from the new system.
– A list of requirements are collected and used
as a guide for the design.
– The new system is designed to the detailed
specification produced from the analysis.

Systems Analysis
Slides
3. The production of a detailed
specification.

– A systems specification is created in

consultation with all the interested managers.
– Managers detail their information
requirements.
– Other factors may contribute or influence the
successful development and implementation.
 Influences
• Clear Time Scales:
– Agreed deadlines, milestones, progress
checks, remedial action if time slipping.
• Deliverables:
– Small bite size tasks that together make up the
project, agreed upon with users, signed off at
the end.
• Approval to Proceed:
– Senior manager project leader, feasibility study
with costs and benefits, go ahead.
4. Choosing the software, then the
hardware that will run it.

– Specialist software bought and modified.

– The computer system then bought or
upgraded to the software specification.
5. Implementation of the system.

– Setting up the new system, transferring the

data from old to new.
– User documentation for general use and
maintenance , staff training.
6. Maintenance and review.

– For upgrading and changes, more potential

uses may be found, different information may
be required.
– Review and replacement if different
organisational requirements are needed.
 The Success or Failure of a
Management Information System
• There are many reasons why information
systems are not a success, this is mainly
down to inadequate planning and control.
• There is no use for a fantastic system that
no one can use, or doesn’t give the
information requested.
 Formal Methods
• Structured Systems Analysis and Design
Methodology – the system is developed in
a formal way.
• Avoids short-cuts by taking time and effort
to create a good working system.
 Analysis
• Experienced analysts to determine all of
the information requirements.
• Needed for a flexible and fully functional
information system.
• If inadequate analysis has been done the
system will not be able to perform a key
task, or may not perform to the original
objectives.
 Management Involvement
• As part of the development team using
their knowledge of business requirements
as well as the information system.
• The system must meet the business
needs of the organisation as well as being
technically good.
 Computer Systems
• Many systems analysts are self employed
consultants who may have their own
agenda as well as serving the
organisation.
• They could be more involved in their own
career path, instead of designing a system
that is suitable for the organisation.
 Low Level Data Processing
• Day to day data processing that is the
basis of the organisation.
• Management information is equally
important (MIS), to give management the
information for planning, directing, and
controlling the organisation.
 Management Knowledge
• Management with limited knowledge of IT
may place their trust in the IT specialists.
• IT specialists cannot possible know what
is best for all parts of the organisation.
• The manager may get a system that does
not benefit all parts of the organisation.
 Management Demands
• Too much management input may hinder
the development as the designs may not
be what the IT analyst/ manager has
chosen.
• Excessive demands may make the project
too big or too complex to complete on
time.
 Teamwork
• A project team will actually develop the system.
• Each team member will be in a small group and
they will be allocated a particular task/tasks.
• Members have to work closely together, unequal
division of work may result, some may work hard
to carry others working less hard.
• Agreed solutions, and timescales before
commencement.
• Customers need to be kept informed of the
progress of their system.
Whizz-Kids
 Professional Standards
• British Computer Society (BCS), sets minimum
standards of practice.
• Members ensure their work is done to a
Professionals standard.
• Financial rewards are high, professionals may
take on jobs they have no experience of, to add
to their cv’s.
 References.
• Doyle: Pages 182-189.

• Exercise: Activity page 189, questions.