MIS NOTESS

From Tacit Knowledge to Explicit Knowledge:

1. Socialization: Sharing personal experiences and mental models through methods like
mentorship, brainstorming, on-the-job training, and imitation.
2. Externalization: Converting tacit knowledge into explicit forms like metaphors, models,
or expert systems, enabling knowledge sharing and innovation.
From Explicit Knowledge to Tacit Knowledge:
3. Internalization: Transforming explicit knowledge into personal tacit knowledge by applying it,
e.g., learning from past project documents or expert lectures.
4. Combination: Merging and organizing explicit knowledge through IT tools, discussions, or
documentation to create refined information systems and insights.
Information Systems (IS):
1. Definition: Business systems combining IT and employees to capture, process, store, and
report data as information for decision-making.
2. Importance: IS provides progress data, enabling organizations to align strategies by
comparing targets with actual outcomes.
3. Purpose: Delivers timely, accurate, and relevant information to support operational,
tactical, and strategic decisions.
A cybernetic system is a type of system that uses feedback to self-regulate and adapt.
Systems Approach:
1. Definition: A problem-solving method that ensures all system elements integrate and
work together to achieve a common purpose.
2. Purpose: Developed to provide holistic solutions for complex projects, focusing on the
entire system rather than individual components.
3. Approach: Treats a system as a unified whole with interrelated subsystems, aiming to
enhance overall effectiveness and efficiency, rather than improving parts separately.
Systems Approach and Industrial Engineering:
1. Foundation of Industrial Engineering: The systems approach is central to industrial
engineering, focusing on optimizing entire systems rather than individual parts.
2. Optimization Focus: Unlike the early industrialization views of Adam Smith and F. Taylor,
which emphasized optimizing small parts, the systems approach seeks to optimize the
entire system.
 3. Enterprise as a System: An enterprise is viewed as a combination of physical,
administrative, and information systems, where IS integrates physical and administrative
systems for more effective management.
Total Cost of Ownership (TCO) of IS:
1. Definition: TCO includes all costs related to acquiring, installing, updating, maintaining,
and supporting IS infrastructure, such as hardware, software, training, and operating
expenses.
2. TCO Model: Used to analyze both direct and indirect costs to determine the true cost of
IT/IS applications.
3. TCO Calculation: Start by selecting IT/IS investments based on business needs, where
hardware and software purchasing typically accounts for about 20% of TCO.
4. Standardized Comparison: To compare costs, use units like bytes per TL or hertz per TL
for consistency.
Classification of Information Systems (IS):
1. By Management Levels:
o EIS: Strategic decisions for top managers.
o DSS & MIS: Tactical decisions for middle management.
o DPS & OOS: Routine decisions for lower management.
2. By Function:
Systems like ERP, Data Mining, and AI serve all management levels and focus on
functions rather than specific levels, making functional classification more practical.
Operational Information Systems (IS):
 Purpose: Used to monitor routine daily activities and support employees in performing
their tasks and communication.
 Function: Enhance efficiency, reliability, and automation of work within the organization.
Data Processing Systems (DPS):
 Purpose: Designed to record daily internal and external business data, ensuring
transactions are captured and processed.
 Function: Supports lower-level operational managers by providing accurate and up-to-
date data for decision-making.
Office Automation Systems (OAS):
  Purpose: Automates routine office tasks, reduces paperwork, and shifts office work to a
computer environment.
 Function: Collects, processes, stores, and transmits electronic office documents to
improve efficiency and communication within organizations.
Document Management System (DMS):
 Purpose: Manages the production, use, sharing, duplication, and storage of documents
within an organization.
 Function: Ensures proper circulation, storage, evaluation, and archiving of both
electronic and digitized documents according to the organization’s workflow processes.
 EDP: An intranet tool that facilitates document storage and distribution within the
organization.
Status of Digital Documents: 1. Originality 2. Reliability 3. integrity 4. Usability
Electronic Meeting Systems (EMS):
Purpose: Enables remote communication through telecommunication networks and video
technology, allowing people to interact regardless of time and place.
Function: Based on a local computer network (LAN) in an electronic meeting room, EMS
supports decision-making by integrating computers, communication, and group activities.
Process Control Systems (PCS):
Purpose: Used to control the flow of work, processes, or documents in businesses. Key
subsystems include:
Content Management Systems (CMS): Allows users to manage and update website content
(text, images, files, etc.) via a management panel or intranet portal.
Workflow System (WFS): Tracks the status of work items through a process, outlining each
step from start to finish.
Business Process Management System (BPMS): Helps manage and optimize business
processes, supporting tools like Business Process Reengineering (BPR) to redesign workflows
effectively.
Management Support Information Systems (IS):
 Purpose: Used by middle and upper-level managers to assist in decision-making.
 Includes: Systems like DSS, GDSS, MIS, and EIS that generate reports for informed
decision-making.
 Note: MIS is not a standalone technology tool but a system that facilitates business
management in a technology-driven environment.
Management Information Systems (MIS):
 Definition: An integrated system that creates an integrated database that collects,
stores, processes, and reports data to support decision-making.
 Function: Facilitates more effective, accurate, timely, and reliable decisions by providing
information for operations, management, and decision-making functions within an
organization.
Management Information Systems (MIS) Serves To:
 Target Users: Serves middle and senior managers in businesses.
 Functions for Middle Management: Supports planning, monitoring, controlling,
auditing, and decision-making activities.
 Key Question: Helps answer "Are things okay?" or "Are we doing okay?"
 Support for Senior and Middle Management.
Executive Information Systems (EIS)
 Purpose: EIS supports top managers in making unstructured, strategic decisions by
offering communication, office automation, and analysis tools.
 Functionality: It enables managers to collect, filter, summarize, combine, and process
both internal and external data for strategy development, and conducts trend and
regression analyses.
 Tools: Includes digital dashboards displaying key business indicators, offering real-time
insights to decision-makers.
 Approach: Uses the Balanced Scorecard method to provide a comprehensive view of
business performance.
 Reports: Delivers periodic, efficiency, and effectiveness reports, focusing on KPIs and
predictive analytics.
 Decision Support: Helps managers monitor performance, assess competition, and make
strategic decisions by evaluating opportunities, threats, strengths, and weaknesses.
Production Information System (ÜBS):
ÜBS supports the management of the production process, including design, production,
sales, distribution, and after-sales service. It records, processes, and reports production
data, helping managers and employees. By integrating with automation, it boosts
production speed and ensures timely delivery to meet customer demands.
Human Resources Information System (HRIS):
HRIS manages employee-related data, including recruitment, training, performance, wage
management, health and safety, and career development. It stores, protects, updates, and
analyzes HR data, supporting functions like personnel planning, recruitment, and employee
relations. HRIS ensures that this information is accessible to those who need it for effective
decision-making.
Data Analysis Information Systems (DAIS) are systems that enable data-driven decision-
making in organizations.
 Definition: These systems collect, integrate, and analyze non-standard data from various
sources within an enterprise to support decision-making.
 Alternative Name: Corporate Business Intelligence (CBI) systems.
 Components: Involves activities like data integration (ETL), Online Analytical Processing
(OLAP), Data Visualization (VA), and Reporting.
 Focus: shifted from data collection to deriving meaningful insights from the gathered
data.
OLAP System:
 Purpose: OLAP enables multidimensional data analysis through data cubes.
 Structure: Data is stored in cubes with defined dimensions (e.g., time, product, region).
 Key Feature: Users can "rotate" cubes to analyze data from different perspectives.
 Time Dimension: Time is used to organize data chronologically (day, week, month, year).
 Use Case: OLAP supports summary-level analysis and complements OLTP systems, which
handle transactional data.
OLTP Systems:
 Purpose: OLTP systems handle daily operations and routine transactions within an
organization.
 Function: They automate processes to reduce human errors and improve performance.
 Data: Data is constantly updated, making it difficult to access for periodic analysis.
 Limitations: OLTP systems focus on operational tasks and are not designed for multi-
dimensional data analysis. They answer "what" and "who" questions, unlike OLAP
systems which address "if," "then," and "why" questions.
 Enterprise Business Intelligence Systems (KIZ):
 Definition: KIZ refers to the process of using technologies like OLAP, Data Mining, ETL,
and reporting to transform integrated business data into valuable information for
decision-making.
 Process: It involves cleaning, integrating, and analyzing data from various sources to
generate insights.
 Current Challenge: While past issues focused on data collection and reliability, today's
challenge is deriving meaningful conclusions from data.
 Implementation: KIZ involves setting up tools like Data Warehouses and Data Mining to
support decision-making. Data is cleaned, analyzed, and reported to managers to assist
in strategic decisions.

 Knowledge production in Business:

 Data processing: Turning data into information.
 Decision making: turning information into action.
 MIS deals with both structured and semi-structured.
 CKO and KM: The Chief Knowledge Officer ensures knowledge sharing, develops a KM
vision, and oversees knowledge creation, application, and preservation.
 Knowledge Sharing: Knowledge is valuable only when shared, with IT managing the tools to
support its distribution and use.