MIS- structured, integrated approach to collecting, storing and disseminating data
- encompasses people, process, technology
MIS vs. IT vs. CS
-IT focus more on technical infrastructure
-MIS applies information System. Distinct from IT
-CS more theory
1960s- Transaction Processing Systems (TPS): automating repetitive tasks like payroll, billing, and
inventory control. Mainframe-based.
1980s- Decision Support Systems (DSS)- helping managers make data-informed decision.
2000s- Present- Digital, Agile, and Data-Driven MIS- integrates cloud computing
Importance of MIS Today
a. Strategic Decision-Making- accurate, timely, and relevant info
b. Operational Efficiency- automating business processes
c. Customer Relationship (CRM) -to gather, analyze, and respond to customer data
d. Innovation and Competitive Advantage- Through tools like data analytics, cloud computing, and real-
time dashboards.
MIS Components
a. People- who interact with the information System
b. Technology (Hardware, Software, Networks)- includes physical devices, software app, and
communication networks
c. Processes- rules that govern the operation. Ensure consistensy, efficiency, and compliance
d. Data- raw facts and figures
Types of MIS
a. Transaction Processing Systems (TPS)- handle the collection, storage, modification, and retrieval of
all data
b. Management Information System (MIS)- convert data from TPS
c. Decision Support Systems (DSS)- combines data, sophisticated analytical models, user-friendly
software
d. Executive Information Systems (EIS)- also known as Executive Support Systems (ESS)- provide top
executives
MIS Key Concepts- Data vs. Information vs. Knowledge
- Information as a business Asset
Data vs. Information vs. Knowledge
a. Data- raw, unprocessed facts
b. Information- processed data
c. Knowledge- insights derived from information and experience
Information as a Business Asset
- Information can dribe business strategy
-Proper management of information increases organizational agility
Real-World Example of MIS
a. Amazon- inventory and recommendation Systems
b. Banks- online transaction processing
c. Governments- tax and record systems
Role of IS in Business Strategy
a. Achieving Competitive Advantage- helps firms lower costs
b. Enhancing Customer Experience- IS supports personalized marketing
c. Enabling Innovation- IS is foundational creating new products
IS- no longer just tools to automate business processes
Porter’s Five Forces of IS
a. Rivalry Among Existing Competitors- examines the intensity of competition
1. Enterprise Resource Planning (ERP)- streamline operations
2. Customer Relationship Management (CRM)- improve service quality
3. Data analytics- helps firms understand market trends
b. Threat of New entrants-how easy or difficult it is for new players to enter and industry
c. Bargaining Power of Suppliers- hiow much power suppliers have over pricing
1. Just-In-Time (JIT) and Supplier Relationship Management (SRM)- systems reduce dependence
on single suppliers
d. Barganining Power of Buyers- analyzes the power customers have to drive price down
e. Threat of Substitute Products or Service- how easily customers can switch to alternative
The Value Chain Model- outlines all the activities a company undertakes
- using IS to add value
Primary Activities- involved creating a product or service including logistics, operations, outbound
logistics, marketing & sales and service.
Support Activities- support primary activities including procurement, technology development,
human resource management and infrastructure.
Primary Activities
a. Inbound logisctics- IS improve supply chain
b. Operations- Enterprise Resource Planning (ERP) optimize production schedules
c. Outbound Logistics- IS enables real-time delivery tracking
d. Marketing and Sales- Digital Marketing tools and CRM personalize promotion
e. Service- IS supports customer support platforms
Digital Transformation- integration digital technology
- to increase efficiency, improve customer experience, drive innovation
- enables companies to adopt new business models
Example Technology
a. Cloud Computing- Facilitates scalable infrastruture
b. Artificial Intelligence (AI)- enables automation
c. Internet of Things (IoT)- connects physical devices to internet
d. Big Data & Analytics- helps analyze large volumes of data
Business Model Innovation-Digital Information enables companies to adopt new business models
Information Systems for Innovation- Creating platform-based business models
- leveraging data for growth
Example of IS-Driven Innovation
a. Uber- uses digital platform to connect drivers and passengers in real time
b. Airbnb- enable peer-topeer lodging services
c. Zoom- provides scalable, cloud-based video communication platform
Creating Platform-Based Business Models- IS allows companies to create platform ecosystems that
bring together. Generate network effects.
Leveraging Data for Growth- business use IS to collect and analyze customer behavior. Predictive
analytics and machine learning to help identity trends.