Unit I: Introduction: Definition, Purpose, Objectives

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UNIT I

Introduction : Definition, Purpose, Objectives


and Role of MIS in Business Organisation
with particular reference to Management
Levels. MIS Growth and Development,
Location of MIS in the Organisation - concept
and design. Transaction Processing System,
Decision Support System, Executive
Information System, Expert System, and the
recent developments in the field of MIS.
“'MIS' is a planned system of collecting,
storing and disseminating data in the form of
information needed to carry out the functions
of management.”

• Management: Management is art of getting


things done through and with the people in
formally organized groups. The basic
functions performed by a manager in an
organization are: Planning, controlling,
staffing, organizing, and directing.
• Information: Information is considered as
valuable component of an organization.
Information is data that is processed and is
presented in a form which assists decision maker.
• System: A system is defined as a set of elements
which are joined together to achieve a common
objective. The elements are interrelated and
interdependent. Thus every system is said to be
composed of subsystems. A system has one or
multiple inputs, these inputs are processed through
a transformation process to convert these input(s)
to output.  
BASIC TERMS USED IN MIS
• Hardware-Hardware refers to the physical data
processing equipment and peripheral devices, For
example, CPU, monitor, keyboard, printer, drives,
tapes, communication devices, etc.
• Software -Software is a broad term given to the
instructions or programs that direct the operating of
the hardware. Software could be of two types, i.e.
system software and application software.
• Database -Database is a repository where we can
store data. The database consists of all data utilized
by application software. Data can be stored in
different tables or relations.
BASIC TERMS USED IN MIS
• Procedures-Formal operating procedures, which are
required to operate a system, such as manuals, are
also regarded as physical elements.
• Operating Personnel-Personnel like Computer
Operators, Computer Programmers, System
Analysts, System Managers, etc., are the operating
people of the information systems.
• Input and Output-Input is the term meaning either
an entrance or changes which are inserted into a
system and which activate or modify a process.
Output is the term denoting either an exit or changes
which exit a system and which activate/modify a
process
PURPOSE OF MIS
1. Management Information Systems are primarily
concerned with the delivery of information (both
internal and external) to organizational members
from the shop floor workers to the management.

2. The purpose of MIS is to help the smooth running of


the business by providing information on the firms
data (such as accounting figures) employees from
different levels will then evaluate this information so
that decisions can be made to ensure that the
business remains competitive and successful.
Purpose of MIS

3. MIS have been created to support the whole range


of business's administration and regulatory
activities and can be seen in all parts of the world
and in all types of industries both public and
private sector.
 OBJECTIVES OF MIS
• Data Capturing: MIS capture data from various
internal and external sources of organization. Data
capturing may be manual or through computer
terminals.
• Processing of Data: The captured data is
processed to convert into required information.
Processing of data is done by such activities as
calculating, sorting, classifying, and summarizing.
• Storage of Information: MIS stores the processed
or unprocessed data for future use. If any
information is not immediately required, it is saved
as an organization record, for later use.
 OBJECTIVES OF MIS
• Retrieval of Information: MIS retrieves
information from its stores as and when
required by various users.
• Dissemination of Information: Information,
which is a finished product of MIS, is
disseminated to the users in the organization. It
is periodic or online through computer
terminal
CHARACTERISTICS OF MIS
• Systems Approach: The information system follows a
systems approach. Systems approach means taking a
comprehensive view or a complete look at the interlocking
sub- systems that operate within an organization.
• Management Oriented: Management oriented
characteristic of MIS implies that the management actively
directs the system development efforts. For planning of
MIS, top- down approach should be followed. Top down
approach suggests that the system development starts from
the determination of management’s needs and overall
business objective. To ensure that the implementation of
system’s polices meet the specification of the system,
continued review and participation of the manager is
necessary
• Need Based: MIS design should be as per the
information needs of managers at different
levels.
• Exception Based: MIS should be developed on
the exception based also, which means that in an
abnormal situation, there should be immediate
reporting about the exceptional situation to the
decision –makers at the required level.
• Future Oriented: MIS should not merely
provide past of historical information; rather it
should provide information, on the basis of
future projections on the actions to be initiated.
The type of information being utilized by each
level of management is in accordance with the
nature of jobs performed by the managers at their
respective level. To facilitate the management
decision making at all levels of company, the
MIS must be integrated. MIS units are
companywide. MIS is available for the Top
management. The top management of company
should play an active role in designing,
modifying and maintenance of the total
organization wide management information
system.
Information system and Information technology
have become a vital component of any successful
business and are regarded as major functional
areas just like any other functional area of a
business organization like marketing, finance,
production and HR. Thus it is important to
understand the area of information system just
like any other functional area in the business.
MIS is important because all businesses have a
need for information about the tasks which are to
be performed.
Information and technology is used as a tool for
solving problems and providing opportunities for
increasing productivity and quality. Information has
always been important but it has never been so
available, so current and so overwhelming. Efforts
have been made for collection and retrieval of
information, However, challenges still remain in the
selection analysis and interpretation of the
information that will further improve decision
making and productivity.
MIS Growth and Development
Factors responsible for Development of MIS
Factors Responsible for the development of
MIS are numerous and have been a prime
concern for many Researchers and
Practitioners. Both Internal and external
factors must be taken into account when trying
to understand and organization’s criteria for
deciding about technology. The following are
the factors which are responsible for
development of MIS:
1. External
2. Internal
External Factors: External Factors are conditions that
exist in organization’s external environment. The factors
can be found at the industry level or in national policies.
a) Industry level: At the industry level, we are looking at
characteristics as degree of diffusion of certain
technologies, the availability of external know-how, for
example, technology suppliers, the degree of
innovativeness of the industry, the requirements
imposed by major customers and external markets and
overall levels of competition and technology
sophistication in the industry.
b) National Policies: For the external factors the national
policies also affect the organization that indirectly
affects the subsystems of the organization.
Internal Factors: Internal factors internal of the firm that may affect
the development of MIS can be grouped into three categories:
I. Past Experience with Technology: The organizations past
experience about the technology in terms of exposure and
organizational learning ultimately affects its future in developing
technology.
II. Organizational: An organization’s characteristic like size,
influence the adoption of MIS application in organization. The
adoption of certain technologies may appear more appropriate for
the larger firms because of the large capital investments and the
skilled human resources involve in the implementation and
operation of such technologies. Smaller firms are less affected by
organizational inertia and they show a greater degree of
involvement of organizational member’s especially top
management during implementation. Ready to use software and
less Expensive equipments of MIS application are more attractive
to smaller firms.
III. Organizational Pursued strategy:
Internal factors deal with the organizations
pursued strategy on both orientation and
technology policy. An organization’s strategy
reflects its action with market and technology,
which ultimately modify its experience and
consequently its overall characteristics and
capabilities. The need for a strong technology
has been advocated by a number of authors
and investments in MIS should therefore be
closely aligned with overall corporate strategy.
Other Factors :
• Customer Satisfaction: Development of MIS
is affected by customer satisfaction.
Customer of the services should be satisfied by
the presented system.
• Effective: Development should be effective in
terms of organizational benefit & user
satisfaction.
• Efficient: Development should use all the
resources, organization values efficiently
DEVELOPMENT OF MIS
The plan for development and its implementation is a
basic necessity for MIS. In MIS the information is
recognized as major resource like capital and time. If this
resource has to be managed well, it calls upon the
management to plan for it and control it, so that the
information becomes a vital resource for the system. The
management information system needs good planning. This
system should deal with the management information not
with data processing alone. It should provide support for the
management planning, decision making and action. It should
provide support to the changing needs of business
management. A long range MIS plan provides direction for
the development of the system and provides a basis for
Following are the contents of MIS planning:
1. MIS Goals and Objectives: It is necessary to
develop the goal and objectives for the MIS which
will support the business goals. The MIS goals and
objectives will consider management philosophy,
policy constraints, Business risk, internal and
external environment of the organization and
business. The goals and objectives of the MIS
would be so stated that they can be measured. The
typical statements of the goals can be providing
online information on the stock and market; the
query processing should not exceed more than
three seconds and the like.
2. Strategy for Plan Achievement: The designer has to
take a number of strategic decisions for the achievement
of MIS goals and objectives. They are
a) Development Strategy: Ex. an online, batch, a real
time.
b) System Development Strategy: Designer selects
an approach to system development like operational
verses functional, accounting verses analysis.
c) Resources for the Development: Designer has to
select resources. Resources can be in-house verses
external, customized or use of package.
d) Manpower Composition: The staff should have the
staffs of an analyst, and programmer.
3. The System Development Schedule: A
schedule is made for development of the
system. While preparing a schedule due
consideration is given to importance of the
system in the overall information
requirements. This development schedule is
to be weighed against the time scale for
achieving certain information requirements.
Hardware and Software Plan : Giving due
regards to the technical and operational
feasibility, the economics of investment is
worked out. Then the plan of procurement is
made after selecting the hardware and
software. One can take the phased approach of
investing starting from the lower configuration
of hardware going to the higher as
development take place. The process needs
matching the technical decisions with the
financial decisions.
What are the stages of Development of MIS?

In order to develop a system successfully, it is managed


by breaking the total development process into smaller
basic activities or phases. Any system development
process, in general, is understood to have the following
phases:
• Systems Planning
• Systems Analysis
• Systems Design
• Systems Implementation
• Systems Operation and Support
Different approaches to Development of MIS

There are two basic approaches for development of MIS:


A) System development life cycle: The system development life
cycle have Following steps of development:
I. Systems Planning
II. Systems Analysis
III. Systems Design
IV. Systems Implementation
V. Systems Operation and Support (System Maintenance)
B) Prototyping: Prototyping is the process of creating an
incomplete model of the future full- featured system, which
can be used to let the users have a first idea of the completed
program or allow the clients to evaluate the program.
Advantages:
• The designer and implementer can obtain
feedback from the users early in the project
development.
• The client and the contractor can compare that
the developing system matches with the system
specification, according to which the system is
built.
• It also gives the engineer some idea about the
accuracy of initial project estimates and
whether the deadlines can be successfully met.
The process of prototyping involves the following
steps:
I. Identify basic requirements.
II. Develop initial prototype.
III. Review: The customers, including end-users,
examine the prototype and provide feedback for
additions or changes.
IV. Revise and Enhance the Prototype: Using the
feedback both the specifications and the
prototype can be improved. If changes are
introduced then a repetition of steps 3 and 4 may
be needed.
Types of prototyping: System prototyping are of
various kinds. However, all the methods are in some
way based on two major types of prototyping:

• Throwaway Prototyping: Throwaway or Rapid


Prototyping refers to the creation of a model that will
eventually be discarded rather than becoming part of
the finally delivered system. After preliminary
requirements gathering is accomplished, a simple
working model of the system is constructed to
visually show the users what their requirements may
look like when they are Implemented into a finished
system. The most obvious reason for using
Throwaway Prototyping is that it can be done
quickly.
Evolutionary Prototyping: Evolutionary Prototyping (also known
as Breadboard Prototyping) is quite different from Throwaway
Prototyping. The main goal when using Evolutionary Prototyping
is to build a very good prototype in a structured manner so that we
can refine it or make further changes to it. The reason for this is
that the Evolutionary prototype, when built, forms the heart of the
new system, and the improvements and further requirements will
be built on to it. It is not discarded or removed like the Throwaway
Prototype. When developing a system using Evolutionary
Prototyping, the system is continually refined and rebuilt.

Incremental Prototyping: The final product is built as separate


prototypes. At the end the separate prototypes are merged in an
overall design.
Advantages of Prototyping:

I. Reduced Time and Costs: Prototyping can improve the


quality of requirements and specifications provided to
developers. Early determination of what the user really
wants can result in faster and less expensive software.
II. Improved and Increased User Involvement:
Prototyping requires user involvement and allows them
to see and interact with a prototype; allowing them to
provide better and more complete feedback and
specifications. Since users know the problem better than
anyone, the final product is more likely to satisfy the
user’s desire for look, feel and performance.
Disadvantages of Prototyping:

I. Insufficient Analysis: Since a model has to be created,


developers will not properly analyze the complete project. This
may lead to a poor prototype and a final project that will not
satisfy the users.

II. User Confusion for Prototype and Finished System: Users


can begin to think that a prototype, intended to be thrown away,
is actually a final system that merely needs to be finished or
polished.

Users can also become attached to features that were included in a


prototype for consideration and then removed from the
specification for a final system.
III. Excessive Development Time of the Prototype: A
key property to prototyping is the fact that it is
supposed to be done quickly. If the developers forget
about this fact, they will develop a prototype that is
too complex.

IV. Expense of Implementing Prototyping: The start


up costs for building a development team focused on
prototyping may be high. Many companies have to
train the team for this purpose which needs extra
expensive
LOCATION OF MIS IN THE
ORGANIZATION – CONCEPT AND DESIGN

MIS for a Business Organization :


• Support the Business Process: Treats inputs as a
request from the customer and outputs as services to
customer. Supports current operations and use the
system to influence further way of working.
• Support Operation of a Business Organization:
MIS supports operations of a business organization
by giving timely information, maintenance and
enhancement which provides flexibility in the
operation of organizations.
• To Support Decision Making: MIS supports the
decision making by employee in their daily
operations. MIS also supports managers in decision
making to meet the goals and objectives of the
organization. Different mathematical models and IT
tools are used for the purpose evolving strategies to
meet competitive needs.
• Strategies for an Organization: Today each
business is running in a competitive market. MIS
supports the organization to evolve appropriate
strategies for the business to assented in a competitive
environment.
Essential Requirement of an Effective MIS:

• Qualified System and Management Staff: The prerequisite of an


effective MIS is that it should be managed by qualified officers.
These officers should have a mutual understanding about the
roles and responsibilities of each other. Understand clearly the
view of their fellow officers. For this, each organization should
have two categories of officers:
• System and Computer Experts who in addition to their expertise
in their subject area , they should also be capable of
understanding management concepts to facilitate the
understanding of problems asked by concern. They should also
be clear about the process of decision making and information
requirements for planning.
Essential Requirement of an Effective MIS:

• Management experts who should also understand


quite-clearly the concepts and operations of a
computer. This basic knowledge of computer will be
useful will place them in a comfortable position,
while working with systems, technicians in designing
or otherwise, of the information system.
• Futuristic Perspective: An effective MIS should be
capable of meeting the future requirements of its
executives as well. This capability can be achieved by
regular monitoring and updating the MIS.
• Support of Top Management: For a management
information system to be effective, it must receive the full
support of top management. The Reasons for this are :
a) Subordinate managers are usually lethargic about
activities which do not receive the support of their
superiors.
b) The resources involved in computer based information
system are larger and are growing larger and larger in
view of importance gained by management information
system.
• Common Database: It is an integrated collection of data
and information which is utilized by several information
subsystems of an organization. A common database may be
defined as a super file which consolidates and integrates
data records formerly stored in a separate data file. Such a
database can be organized as an integrated collection of
data records into a single super file or it can be organized
as an integrated collection of several data file.
• Control and maintenance of MIS: Control of the MIS
means the operation of the system as it was designed to
operate. Sometimes, users develop their own procedures or
short cut methods to use the system which reduces its
effectiveness.
MANAGEMENT
S.NO. COMPUTER SCIENCE
INFORMATION SYSTEM
It focuses more on business
1. It focuses more on technology.
application.

MIS scholars learn courses which help CS scholars learn courses which are more
2.
them solve business problems. focused on technology.

MIS scholars mainly use technology to CS scholars are responsible for making
3.
grow business. technology better.

MIS is all about solving business needs


4. CS is all about math and coding.
using IT and coding.

They learn operating system,


They learn accounting and business
5. programming languages, and database
development.
systems.

MIS is more oriented towards


6. CS is more oriented towards theory.
application.

MIS graduates provide solution and


7. CS graduates focus on building systems.
implementation.

It prepares you for business and It prepares you for software engineering
8.
industry. roles.
Types of information system
For most businesses, there are a variety of
requirements for information. Senior managers
need information to help with their business
planning. Middle management need more detailed
information to help them monitor and control
business activities. Employees with operational
roles need information to help them carry out
their duties.
As a result, businesses tend to have several
"information systems" operating at the same time.
The main kinds of information systems in
business are described briefly below:
TRANSACTION PROCESSING
SYSTEMS
As the name implies, Transaction Processing Systems ("TPS")
are designed to process routine transactions efficiently and
accurately. A business will have several (sometimes many)
TPS; for example:

I. Billing systems to send invoices to customers


II. Systems to calculate the weekly and monthly payroll and
tax payments
III.Production and purchasing systems to calculate raw
material requirements
IV.Stock control systems to process all movements into, within
and out of the business
Management Information System (MIS)

MIS is an information system, which processes data and


converts it into information. A management information
system uses TPS for its data inputs. The information
generated by the information system may be used for
control of operations, strategic and long-range planning.
Short-range planning, management control, and other
managerial problem solving. It encompasses processing in
support of a wide range of organizational functions &
management processes. MIS is capable of providing
analysis, planning & decision making support. The
functional areas of a business may be marketing,
production, human resource, finance and accounting.
Decision Support System (DSS)
 
A decision support system (DSS) is an information system
application that assists decision-making. DSS tends to be used in
planning, analyzing alternatives, and trial and error search for
solution. The elements of the decision support system include a
database, model base & software. The main application areas of
DSS are Production, finance and marketing.

DSS can be differentiated from MIS on the basis of processing


the information. MIS processes data to convert it into
information. DSS processes information to support the decision
making process of a manager.
Executive Support System
An Executive Support System ("ESS") is designed to
help senior management make strategic decisions. It
gathers analyses and summarizes the key internal and
external information used in the business. A good
way to think about an ESS is to imagine the senior
management team in an aircraft cockpit - with the
instrument panel showing them the status of all the
key business activities. ESS typically involves lots of
data analysis and modeling tools such as "what-if"
analysis to help strategic decision-making.
OFFICE AUTOMATION SYSTEMS (OAS)
Office automation refers to the application of computes
and communication technology to office functions. Office
automation systems are meant to improve the productivity
of managers at various levels of management of providing
secretarial assistance and better communication facilities.

Office activities may be grouped under two classes, namely


I. Activities performed by clerical personnel (clerks,
secretaries, typist, etc.,) and
II. Activities performed by the executives (managers,
engineers or other professionals like economist,
researches etc.)
In the first category, the following is a list of activities.
a) Typing
b) Mailing
c) Scheduling of meetings and conferences,
d) Calendar keeping, and
e) Retrieving documents

The following is a list of activities in the second category


(managerial category)
f) Conferencing.
g) Production of information (messages, memos, reports, etc.)
and controlling performance
Business Expert Systems

Business Expert Systems: These systems are one of the main


types of knowledge-based information systems. These systems
are based on artificial intelligence, and are advanced information
systems. A business expert system is a knowledge based
information system that uses its knowledge about a specific,
complex application area to act as an expert. The main
components of an expert system are:

Knowledge Base
– Interface Engine
– User Interface
KNOWLEDGE MANAGEMENT
SYSTEMS
• Knowledge Management Systems ("KMS") exist to help
businesses create and share information. These are typically
used in a business where employees create new knowledge
and expertise - which can then be shared by other people in
the organization to create further commercial opportunities.
Good examples include firms of lawyers, accountants and
management consultants.
• KMS are built around systems which allow efficient
categorization and distribution of knowledge. For example,
the knowledge itself might be contained in word processing
documents, spreadsheets, PowerPoint presentations. Internet
pages or whatever. To share the knowledge, a KMS would
use group collaboration systems such as an intranet.
MIS application in business falls into several different
categories that provide information on all forms of
functioning within an organization. Executives and
departments within an organization could obtain any of the
following forms of data:

• Business Intelligence System: In BI, all levels of


management and executives can print data and graphs
showing information or trends relating to growth, costs,
strategic control, efficiency, risk and performance. 
• Executive Information System: An EI system provides the
same information as a BI system, but with greater attention to
detail and more confidential information, designed to help
top-level executives make choices that impact the entire
organization. 
• Marketing Information System: MI systems
provide data about past marketing campaigns so that
marketing executives can determine what works,
what does not work and what they need to change in
order to achieve the desired results. 
• Transaction Processing System: TPS handles sales
transactions and makes it possible for customers to
sort search results by size, color or price. This system
can also track trends related to sales and search
results. 
• Customer Relationship Management
System: Keeping up with customers is key to overall
success, and CRMS helps companies know when and
how to follow up with customers in order to
encourage an ongoing sales relationship with them. 
• Sales Force Automation System: Gone are the days
when sales teams must do everything manually. SFA
systems automate much of what must be done for
orders and to obtain customer information. 
• Human Resource Management System: HRM
systems track how much employees are paid, when
and how they are performing. Companies can use this
information to help improve performance or the
bottom line. 
• Knowledge Management System: Customers with
questions want answers right away and knowledge
management systems allow them to access frequently
asked questions or troubleshoot on their own
timetable. 
• Financial Accounting System: Financial
accounting systems help to track accounts
receivable and accounts payable, in order to
best manage the cash flow of a company. 
• Supply Chain Management System: SCM
systems record and manage the supply of
finances, goods and data from the point of
origin domestically or abroad, all the way to
its destination in the hands of a customer. 
Designing of MIS:-
In the conceptual design, the feasibility of meeting the
management objectives for the MIS is assessed and a
broad picture of the system is analyzed. It involves the
following steps:
1. Define problem:
The first step in conceptual design is to clearly
understand and define the problem to be solved. The
information needs of the organization are to be
identified and understood in this step, which can be
determined by understanding the mission, objectives
and operating plans for the business.
2. Set system objectives:
System objectives should be stated in quantitative
terms. For example, ‘pay salary to 100 percent
3. Identify constraints:
System constraints may be classified into two
categories:
a) External constraints
b) These are external to the organization. For
example constraints imposed by the
customers, the government and the suppliers.
c) Internal constraints
d) These are imposed from within the
organization. For example, non- cooperation
and lack of support from top management,
resource constraints like manpower, time and
money etc.
4. Determine information needs:
For determination of information needs, users should specify:
a) What they want out of an information system and
b) Items of information that are needed to achieve the predetermined
objectives.
5. Determine information sources:
Sources of information may be classified as given below:
c) Internal and external records:
The internal records may be in written form like files, inputs and outputs,
correspondence, reports etc., whereas external records may include trade
publications, government statistics, etc.
b) Managers and operating personnel:
User-managers and operating staff may be an important source. However,
gathering data from the source involves interviewing the managers and
operating personnel, which requires proper planning and skill.
6. Develop various designs:
More than one alternative conceptual designs
are to be developed which are compared to
select the optimum one, which:
a) Meets the requirements of the
users/organizations and
b) Is cost effective
Various criteria can be adopted as a basis for
evaluating the designs such as economic,
performance, operational etc.
7. Documentation of the conceptual design:
The documentation involves:
a) Overall system flow
b) System inputs
c) System outputs, and
d) Other documentations like activity sheet and
system description, etc.
8. Report preparation:
The report prepared should mention the
problem, objectives and an overall view of the
system. Justifications for selecting the
alternatives and many more.
RECENT DEVELOPMENT IN MIS
The recent developments of MIS are Electronic commerce, M-
commerce; ERP, Expert systems, end user computing systems and
work group collaborations etc.
 
Electronic commerce- Electronic commerce, commonly known as
e-commerce, is a type of industry where buying and selling of
product or service is conducted over electronic systems such as
the Internet and other computer networks. Electronic commerce
draws on technologies such as mobile commerce, electronic funds
transfer, supply chain management, Internet marketing, online
transaction processing, electronic data interchange (EDI),
inventory management systems, and automated data collection
systems. Modern electronic commerce typically uses the World
Wide Web at least at one point in the transaction's life-cycle,
although it may encompass a wider range of technologies such as
e-mail, mobile devices social media, and telephones as well.
Electronic commerce is generally considered to be the sales aspect
of e-business. It also consists of the exchange of data to facilitate
the financing and payment aspects of business transactions. This is
an effective and efficient way of communicating within an
organization and one of the most effective and useful ways of
conducting business.
 
E-commerce can be divided into: 
– E-tailing or "virtual storefronts" on websites with online
catalogs, sometimes gathered into a "virtual mall"
– The gathering and use of demographic data through Web
contacts and social media
– Electronic Data Interchange (EDI), the business-to-business
exchange of data
– E-mail and fax and their use as media for reaching prospective
and established customers (for example, with newsletters)
– Business-to-business buying and selling
• M-commerce:-The phrase mobile commerce was
originally coined in 1997 to mean "the delivery of
electronic commerce capabilities directly into the
consumer’s hand, anywhere, via wireless technology."
Many choose to think of Mobile Commerce as meaning
"a retail outlet in your customer’s pocket."
 
According to BI Intelligence in January 2013, 29% of
mobile users have now made a purchase with their
phones. Wal-Mart estimated that 40% of all visits to
their internet shopping site in December 2012 were
from a mobile device. Bank of America predicts $67.1
billion in purchases will be made from mobile devices
by European and U.S. shoppers in 2015
PRODUCTS AND SERVICES AVAILABLE MOBILE

Money Transfer
In Kenya money transfer is mainly done
through the use of mobile phones. This was an
initiative of a multimillion shillings company in
Kenya. Mobile money transfer services in
Kenya are now provided an (ZAP). The oldest
has and is now generally used to refer to
mobile money transfer services even by other
companies other than
Mobile ATM
With the introduction of mobile money services for
the unbanked, operators are now looking for efficient
ways to roll out and manage distribution networks
that can support cash-in and cash- out. Unlike
traditional ATM, sicap Mobile ATM have been specially
engineered to connect to mobile money platforms
and provide bank grade ATM quality. In Hungary,
Vodafone allows cash or bank card payments of
monthly phone bills. The Hungarian market is one
where direct debits are not standard practice, so the
facility eases the burden of queuing for the postpaid
half of Vodafone’s subscriber base in Hungary.
Mobile ticketing
• Tickets can be sent to mobile phones using a variety of
technologies. Users are then able to use their tickets
immediately, by presenting their mobile phone at the ticket
check.
 
Mobile vouchers, coupons and loyalty cards
• Mobile ticketing technology can also be used for the distribution
of vouchers, coupons, and loyalty cards. These items are
represented by a virtual token that is sent to the mobile phone.
A customer presenting a mobile phone with one of these tokens
at the point of sale receives the same benefits as if they had the
traditional token. Stores may send coupons to customers using
location-based services to determine when the customer is
nearby.
CONTENT PURCHASE AND DELIVERY
Currently, mobile content purchase and
delivery mainly consists of the sale of ring-
tones, wallpapers, and games for mobile
phones. The convergence of mobile phones,
portable audio players, and video players into a
single device is increasing the purchase and
delivery of full- length music tracks and video.
The download speeds available with 4G
networks make it possible to buy a movie on a
mobile device in a couple of seconds.
Location-based services
The location of the mobile phone user is an
important piece of information used during
mobile commerce or m-commerce
transactions. Knowing the location of the user
allows for location- based services such as:
– Local discount offers
– Local weather
– Tracking and monitoring of people
Information services
A wide variety of information services can be delivered to
mobile phone users in much the same way as it is delivered
to PCs. These services include:
– News
– Stock quotes
– Sports scores
– Financial records
– Traffic reporting
Customized traffic information, based on a user's actual
travel patterns, can be sent to a mobile device. This
customized data is more useful than a generic traffic-report
broadcast, but was impractical before the invention of
modern mobile devices due to the bandwidth requirements.
Mobile banking
Banks and other financial institutions use mobile
commerce to allow their customers to access account
information and make transactions, such as purchasing
stocks, remitting money. This service is often referred to
as Mobile Banking, or M-Banking.
 
Mobile brokerage
Stock market services offered via mobile devices have
also become more popular and are known as Mobile
Brokerage. They allow the subscriber to react to market
developments in a timely fashion and irrespective of
their physical location.
Auctions
Over the past three years] mobile reverse
auction solutions have grown in popularity.
Unlike traditional auctions, the reverse auction
(or low-bid auction) bills the consumer's phone
each time they place a bid. Many mobile SMS
commerce solutions rely on a one-time
purchase or one-time subscription; however,
reverse auctions offer a high return for the
mobile vendor as they require the consumer to
make multiple transactions over a long period
of time.
 
 
Mobile browsing
Using a mobile browser—a World Wide Web browser
on a mobile device—customers can shop online
without having to be at their personal computer.
 
Mobile purchase
Catalog merchants can accept orders from customers
electronically, via the customer's mobile device. In
some cases, the merchant may even deliver the
catalog electronically, rather than mailing a paper
catalog to the customer. Some merchants provide
mobile websites that are customized for the smaller
screen and limited user interface of a mobile device.
In-application mobile phone payments
Payments can be made directly inside of an
application running on a popular smart phone
operating system, such as Google Android. Analyst
firm Gartner expects in-application purchases to
drive 41 percent of app store (also referred to as
mobile software distribution platforms) revenue in
2016. In-app purchases can be used to buy virtual
goods, new and other mobile content and is
ultimately billed by mobile carriers rather than the
app stores themselves. Ericsson’s IPX mobile
commerce system is used by 120 mobile carriers to
offer payment options such as try-before-you-buy,
rentals and subscriptions.
Mobile marketing and advertising
In the context of mobile commerce, mobile
marketing refers to marketing sent to mobile
devices. Companies have reported that they see
better response from mobile marketing
campaigns than from traditional campaigns. The
primary reason for this is the instant nature of
customer decision-making that mobile apps and
websites enable. The consumer can receive a
marketing message or discount coupon and,
within a few seconds, make a decision to buy and
go on to complete the sale - without disrupting
their current real-world activity.
For example, a busy mom tending to her
household chores with a baby in her arm could
receive a marketing message on her mobile
about baby products from a local store. She can
and within a few clicks, places an order for her
supplies without having to plan ahead for it. No
more need to reach for her purse and hunt for
credit cards, no need to log into her laptop and
try to recall the web address of the store she
visited last week, and surely no need to find a
babysitter to cover for her while she runs to the
local store.
Research demonstrates that consumers of
mobile and wire line markets represent two
distinct groups who are driven by different values
and behaviors, and who exhibit dissimilar
psychographic and demographic profiles. As a
result, successful mobile commerce requires the
development of marketing campaigns targeted to
this particular market segment.
ERP:-Enterprise resource planning (ERP) systems
integrate internal and external management of
information across an entire organization—
embracing finance/accounting, manufacturing,
sales and service, customer relationship
management, etc. ERP systems automate this
activity with an integrated software application.
ERP facilitates information flow between all
business functions inside the organization, and
manages connections to outside stakeholders.
 
CHARACTERISTICS
ERP (Enterprise Resource Planning) systems
typically include the following characteristics:
– An integrated system that operates in real time (or
next to real-time), without relying on periodic updates.
– A common database, which supports all applications
– A consistent look and feel throughout each module
– Installation of the system without elaborate
application/data integration by the Information
Technology (IT) department provided the
implementation is not done in small steps.
UNIT II

System Development : Concept of System,


Types of Systems - Open, Closed, Deterministic,
Probabilistic, etc. Relevance of choice of System
in MIS, Integration of Organisation Systems and
Information Systems, System Development Life
Cycle, System Analysis, Design and
Implementation, MIS Applications in Business.
• Relevance of Choice of System in MIS:-
The four alternatives to in-house development
by IT specialists are outsourcing, licensing,
using software as a service (SaaS), and having
the users develop the system. If an application
of the desired features and quality can be
obtained from more than one of the
resources, then the major factor left to be
considered is usually cost. The preference
then would be to license, because of
immediate availability and low cost.
If the application cannot be licensed, the next
choice would usually be to obtain the use of
the system as a service from an application
service provider (ASP) because the system is
immediately available for use and the
organization does not have to lay out a large
sum up front for such use. If ASPs do not offer
the desired IS and it can be developed by non
IT employees, then this would usually be the
chosen alternative. If non-IT employees cannot
develop the IS, the choice might then be to
outsource IS development.
OUTSOURCING
Outsourcing in general means hiring the services of
another organization or individual to perform some
of the work that otherwise would be performed by
you or your employees. In the IT arena, Outsourcing
has two meanings. One is to commission the
development of an application to another
organization, usually a company that specializes in
the development of this type of organization. The
other is to hire the services of another company to
manage all or parts of the services that otherwise
would be rendered by an IT unit of the organization.
• Outsourcing Custom-Designed Applications

Often, an organization has a need that no


existing software can satisfy. For example, if
the cost-accounting procedures of a particular
company are so specific that no commercially
available software can perform them, the
company must develop Custom-designed or
tailored software.
Advantage
• Good fit of features to business needs
• Good fit of features to organizational culture
Personnel available for maintenance
• Smooth interfaces with other information
systems Availability of special security
measures Potential for a strategic advantage
Disadvantages
• High Cost
• Long wait for development if IS personnel are busy with other
projects
• Applications may be too organization-specific to interface with
systems of other organizations
• Many North American and European countries have outsourced
development of well-defined applications to professionals in other
countries, an act often referred to as off shoring.

Outsourcing IT Services
• In considering whether to outsource IT services, management should
ask the following questions:
• What do we do outside out specialties that could be done better for
us by organizations
Integration of Organization Systems and Information Systems:-

To facilitate the management decision making at all levels of


company, the MIS must be integrated. MIS units are
companywide. MIS is available for the Top management. The
top management of company should play an active role in
designing, modifying and maintenance of the total organization
wide management information system.

Information system and Information technology have become a


vital component of any successful business and are regarded as
major functional areas just like any other functional area of a
business organization like marketing, finance, production and
HR. Thus it is important to understand the area of information
system just like any other functional area in the business.
Integration of Organization Systems and Information Systems

MIS is important because all businesses have a need for


information about the tasks which are to be performed.
Information and technology is used as a tool for solving
problems and providing opportunities for increasing
productivity and quality.

Information has always been important but it has never


been so available, so current and so overwhelming. Efforts
have been made for collection and retrieval of
information, However, challenges still remain in the
selection analysis and interpretation of the information
that will further improve decision making and
productivity.
MIS for a Business Organization:
• Support the Business Process: Treats inputs as a request from
the customer and outputs as services to customer. Supports current
operations and use the system to influence further way of
working.
• Support Operation of a Business Organization: MIS supports
operations of a business organization by giving timely
information, maintenance and enhancement which provides
flexibility in the operation of organizations.
• To Support Decision Making: MIS supports the decision making
by employee in their daily operations. MIS also supports
managers in decision making to meet the goals and objectives of
the organization. Different mathematical models and IT tools are
used for the purpose evolving strategies to meet competitive
needs.
• Strategies for an Organization: Today each business is running
in a competitive market. MIS supports the organization to evolve
appropriate strategies for the business competitive environment.
MIS Applications in Business.

• An information system (IS) is the concept of


integrating computer technology in a business or
organization. An information system can be small
or large, and designed for any type of business or
organization. Information systems are the main
thrust of automating a department, division or
branch which depends on data to make
decisions, produce products or goods, perform
logistical functions and develop software.
Executive Management

At the executive management level, business


information systems are designed to find solutions to
corporate problems and provide a decision support
system based on project scenarios. An information
system can assist in determining scenarios such as
mergers and acquisitions, and streamline the strategic
planning process. Executive managers such as a Chief
Operations Officer (COO) or Chief Financial Officer
can make corporate decisions based on data provided
by the IS. At the executive level, the focus of
information systems is quality assurance and return
on investment (ROI).
Operations Management

The role of information systems in operations


management is critical. Operations management is
the heart of any corporation or business. In
operations management, information systems
design can apply to production control, research,
development, and manufacturing. Even though
these processes or departments are separate,
information systems can integrate these processes
to work efficiently to produce desired results of a
product or service.
Human Resources

Human resources management relies on information systems


to maintain employee records, benefits information and
historical information regarding employees. Information
systems applications in the area of human resources can
integrate employee data into several processes used by
human resource managers or personnel to process
important data concerning employees. IS has applications
for conducting research, workforce projections and
mandates for compliance in labor relations.
Logistics Management

Logistics management includes processes of shipping,


receiving or developing a structure for products or
services. Information systems support logistical
processes in various ways, such as real time inquiries to
track an item from the point of shipment, receiving and
storage of the item and inventory status of the item.
The information system enhances services such as the
tracking of goods on a transportation route and the
arrival time of goods through a computerized tracking
number. Most freight carriers such as United Parcel
Service (UPS) and Federal Express (FedEx) use elaborate
information systems to manage their logistical process.
Data Administration and Design

For businesses with "in-house" data processing


function, information systems can provide the
structure for programmers, database managers
and data administrators to collaborate on new
and existing projects. An information system can
be partitioned into different areas while at the
same time, through data security, allowing
employees in computer operations to work on
data or software development projects together.
UNIT III

Information Concepts : Data and Information


- meaning and importance, Relevance of
Information in Decision Making, Sources and
Types of Information, Cost Benefit Analysis -
Quantitative and Qualitative Aspects,
Assessing Information needs of the
Organisation.
DATA INFORMATION
Data is raw fact and figures Data when stored in some form like
For example, 89 is data. mark:89; then it becomes information

Data is not significant to business Information is significant to business.


Data is atomic level pieces of Information is a collection of data.
information.
Data does not help in decision-making. Information helps in decision making.
Data is generally in unorganized form Information is organized form
Data is collected from the source Information is dependent on the data
directly and hence is not dependent on that is gathered.
information. For example, if we say 89, 95, 93, 90,
For example, if we say that 89, 95, 93, 98 are the marks of 5 students then it
90, 98 are the numbers then it becomes becomes information whereas the
data. marksheet of this student will be
meaningful information.
Characteristics of Information:
The parameters of a good quality are difficult to determine
for information. Quality of information refers to its fitness
for use, or its reliability.
Following are the essential characteristic features:
I. Timeliness: Timeliness means that information must
reach the recipients within the prescribed timeframes. For
effective decision-making, information must reach the
decision-maker at the right time, i.e. recipients must get
information when they need it. Delays destroys the value
of information. The characteristic of timeliness, to be
effective, should also include up-to-date, i.e. current
information)
II. Accuracy: Information should be accurate. It
means that information should be free from
mistakes, errors &, clear. Accuracy also means
that the information is free from bias. Wrong
information given to management would result in
wrong decisions. As managers decisions are
based on the information supplied in MIS
reports, all managers need accurate information.
III. Relevance: Information is said to be relevant
if it answers especially for the recipient what,
why, where, when, who and why? In other
words, the MIS should serve reports to managers
which is useful and the information helps them to
make decisions..
IV. Adequacy: Adequacy means information must be
sufficient in quantity, i.e. MIS must provide reports
containing information which is required in the
deciding processes of decision- making. The report
should not give inadequate or for that matter, more
than adequate information, which may create a
difficult situation for the decision-maker. Whereas
inadequacy of information leads to crises,
information overload results in chaos.
V. Completeness: The information which is given to a
manager must be complete and should meet all his
needs. Incomplete information may result in wrong
decisions and thus may prove costly to the
organization.
VI. Explicitness: A report is said to be of good
quality if it does not require further analysis
by the recipients for decision making.

VII Impartiality: Impartial information


contains no bias and has been collected
without any distorted view of the situation.
Importance of information system:
• Ability to process data into information with accuracy
and high speed. It involves complex computation,
analysis, comparisons and summarization.
• Organizing and updating of huge amount of raw data
of related and unrelated nature, derived from internal
and external sources at different periods of time.
• The information processing and computer technology
have been so advanced that managers are able to
obtain real time information about ongoing activities
and events without any waiting period.
Importance of information system:

• The input data in computer can be converted into different


output formats for a variety of purpose. The system is so
organized that managers at different levels and in different
activity units are in a position to obtain information in
whatever form they want , provided that relevant “
Programmers” or instructions have been designed for the
purpose.

Super-human memory, tremendous volume of data and
information and the set of instructions can be stored in the
computer and can be retrieved as and when needed.
Management can get bit of stored information from the
computer in seconds.
Sources and Types of Information:-
Methods of Data and Information Collection: Several
methods are available for the collection of data. The choice of
method will have an impact on the quality of information.
Similarly the design of data collection method also decides the
quality of data and information.

Following are the methods of data collection:


• Observation
• Experiment
• Survey
• Subjective Estimation
• Transaction Processing vi)Purchase from Outside
• Publication
An information source is a source of
information for somebody, i.e. anything that
might inform a person about something or
provide knowledge about it. Different types of
questions require different sources of
information. Information sources may be
observations, people, speeches, documents,
pictures, organizations, websites, etc. They may
be primary sources, secondary sources and
tertiary sources and so on.
 
 
Primary sources are original materials. Information for
which the writer has no personal knowledge is not primary,
although it may be used by historians in the absence of a
primary source. In the study of history as an academic
discipline, a primary source (also called original source or
evidence) is an artifact, a document, a recording, or other
source of information that was created at the time under
study. It serves as an orginal source of information about
the topic. Similar definitions are used in library science,
and other areas of scholarship. In journalism, a primary
source can be a person with direct knowledge of a
situation, or a document written by such a person
Secondary source is a document or recording that relates
or discusses information originally presented elsewhere. A
secondary source contrasts with a primary source, which is
an original source of the information being discussed; a
primary source can be a person with direct knowledge of a
situation, or a document created by such a person.

Secondary sources involve generalization, analysis,


synthesis, interpretation, or evaluation of the original
information. Primary and secondary are relative terms, and
some sources may be classified as primary or secondary,
depending on how it is used. An even higher level, the
tertiary source, such as an encyclopedia or dictionary,
resembles a secondary source in that it contains analysis,
but attempts to provide a broad introductory overview of a
topic
A tertiary source is an index and/or textual condensation of primary and
secondary sources. Some examples of tertiary sources are almanacs, guide
books, survey articles, timelines, and user guides. Depending on the topic
of research, a scholar may use a bibliography, dictionary, or encyclopedia
as either a tertiary or a secondary source.

As tertiary sources, encyclopedias and textbooks attempt to summarize


and consolidate the source materials into an overview, but may also
present subjective commentary and analysis (which are characteristics of a
secondary source).

In some academic disciplines the distinction between a secondary and


tertiary source is relative but in historiography it is absolute.

In the UNISIST model, a secondary source is a bibliography, whereas a


tertiary source is a synthesis of primary sources
A business has several information systems:
•Formal Information System
•Informal Information System
•Computer Based Information System

1.Formal Information System: It is based on organizational


chart represented by the organization.

2. Informal Information System: It is an employee based


system designed to meet personal and vocational needs and to
help in the solution of work-related problems. It also funnels
information upward through indirect channels. It works within
the framework of the business and its stated policies.
3. Computer Based Information System (CBIS): This
category of information system depends mainly on the
computer for handling business application. System
analysis develops different types of information system
to meet variety of business needs. There is class of
system collectively known as computer based
information system. They can be classified as :
a) Transaction Processing System (TPS)
b) Management Information System (MIS)
c) Decision Making System (DSS)
d) Office Automation System (OAS)
Cost Benefit Analysis –Quantitative and Qualitative Aspects:-
The valuation of benefits and costs should reflect preferences
revealed by choices which have been made. For example,
improvements in transportation frequently involve saving time.
The question is how to measure the money value of that time
saved. The value should not be merely what transportation
planners think time should be worth or even what people say their
time is worth. The value of time should be that which the public
reveals their time is worth through choices involving tradeoffs
between time and money. If people have a choice of parking close
to their destination for a fee of 50 cents or parking farther away
and spending 5 minutes more walking and they always choose to
spend the money and save the time and effort then they have
revealed that their time is more valuable to them than 10 cents per
minute. If they were indifferent between the two choices they
would have revealed that the value of their time to them was
exactly 10 cents per minute.
Cost Benefit Analysis –Quantitative and Qualitative Aspects:-

The most challenging part of CBA is finding past choices which reveal the
tradeoffs and equivalencies in preferences. For example, the valuation of the
benefit of cleaner air could be established by finding how much less people
paid for housing in more polluted areas which otherwise was identical in
characteristics and location to housing in less polluted areas. Generally the
value of cleaner air to people as revealed by the hard market choices seems
to be less than their rhetorical valuation of clean air.

In order for the business case to have the best chance of securing the desired
funds, a significant portion of the proposal should focus on the quantitative
aspects of proposed projects, as opposed to the qualitative characteristics.
Quantitative analysis focuses on measurable numeric data while qualitative
analysis is based on observed characteristics that are difficult to measure. An
example of qualitative data associated with a software implementation
would be the cost of savings realized, while an example of qualitative data
could be improved employee morale.
Assessing Information Needs of the Organization
To facilitate the management decision making at all levels of company, the
MIS must be integrated. MIS units are companywide. MIS is available for
the Top management. The top management of company should play an
active role in designing, modifying and maintenance of the total
organization wide management information system.

Information system and Information technology have become a vital


component of any successful business and are regarded as major functional
areas just like any other functional area of a business organization like
marketing, finance, production and HR. Thus it is important to understand
the area of information system just like any other functional area in the
business. MIS is important because all businesses have a need for
information about the tasks which are to be performed. Information and
technology is used as a tool for solving problems and providing
opportunities for increasing productivity and quality. Information has always
been important but it has never been so available, so current and so
overwhelming. Efforts have been made for collection and retrieval of
information, however, challenges still remain in the selection analysis and
Dimensions of Information: There are three most common dimensions of
information for MIS

1. Economic Dimension: Economic dimension of information refers to


the cost of information and its benefits. Generation of information
costs money. Measuring cost and benefit of information is difficult
because of intangible characteristic of information.
a) Cost of Information: Cost of information may include: Cost of
acquiring data, Cost of maintaining data, Cost of generating
information and Cost of communication information. Costs related to
the response time require generating information and communicating
it. Thus, for system with low response time, the cost is high. The cost
is depends on accuracy, speed of generation etc.
b) Value of Information: Information has a cost for its acquisition
and maintenance. Thus before a particular piece of information is
acquired, decision maker must know its value. The information has a
perceived value in terms of decision making. The decision maker feels
more secured when additional information is received in case of
decision making under uncertainty or risk.
c) Perfect Information: The information is called a
Perfect Information, if it wipes out uncertainty or
risk completely. However, perfect information is a
myth.
The value of information is the value of the change
in decision behavior because of the information. The
change in the behavior due to new information is
measured to determine the benefit from its use. To
arrive at the value of information, the cost incurred
to get this information is deducted from the benefit.
Value of information = Cost to get information-
benefit
Given a set of possible decisions, a decision maker will select
one on the basis of the available information. If the new
information causes a change in the decision, then the value
of information is the difference in the value between
outcome of the old decision and that of new decision, less
the cost obtaining the new information. The value of the
additional information making the existing information
perfect (VPI) is: VPI = (V2 - V1) - (C2 - C1) Where V is the
value of the information and C is the cost of obtaining the
information. V1 and C1 relate to one set of information V2,
C2 relate to the new set. In MIS, the concept of the value of
information is used to find out the benefit of perfect
information and if the value is significantly high, the system
should provide it. If the value is insignificant, it would not be
worth collecting the additional information.
2. Business Dimension: Different types of information
are required by managers at different levels of the
management hierarchy. The information needs of
managers at strategic planning level are altogether
different that those of operational control managers.
It is because of the fact that managers at different
levels are required to perform different functions in
an organization.
3. Technical Dimension: This dimension of information
refers to the technical aspects of the database. It
includes the capacity of database, response time,
security, validity, data interrelationship etc.
UNIT IV
Information Technology : Recent Developments
in the Field of Information Technology

Multimedia Approach to Information Processing.


Decision of Appropriate Information Technology
for proper MIS,

Choice of appropriate IT systems – Database,


Data warehousing & Datamining Concepts,
Centralised and Distributed Processing
RECENT DEVELOPMENTS IN THE
FIELD OF INFORMATION
TECHNOLOGY
Every year new trends arise with in this
industry and it becomes important for
professionals to be familiar with these
different trends and all that they entail. No
matter what profession one is working in,
being familiar with these can improve your
professional standing and can help you
understand what the potential upgrades are
for the industry that you are already working
in.
The information technology industry is
experienced a boom like never before, and
more and more brands are looking to expand
in this area because of the immense amount
of potential. Information technology has a
variety of applications which is also why it
has proven to be such a beneficial key
component in the entire structure that
industries now have. With the growing
importance of this, it becomes important to
understand the important aspects of this
industry and the key components that make
it the revolutionary tool that it is.
1. CLOUD COMPUTING
One of the biggest trends that have emerged during
the past year is that of cloud computing. More and
more industries are realizing that it is important for
a company to have a designated place for all of their
digital information and resources, and having a well
protected place that can take care of everything and
keep the information safe has almost become a
necessity. Cloud computing is the go-to-solution for
brands who want to improve the work that they do
and make it more efficient in a digital space.
2. MOBILE APPS
Mobile applications have only grown in
popularity over the past few years, and this
year, they are surfacing in bigger and better
ways. Brands and industries all over the
world are trying to find the ways in which
one can improve their work through the use
of mobile apps and through the
implementation of new resources that can
make working on the go more efficient.
3. BIG DATA ANALYTICS
Big data analytics is a trend that has grown over
the past few years, and this is something that is
now being implemented in almost every kind of
industry that makes use of large scale
production processes and manufacturing and
supply. Big data analytics allows brands to
process their information in a better manner
and enables them to reach a much better
understanding of the areas they need to develop.
4. AUTOMATION
Automation is one trend that has largely hit
the manufacturing and production units
and is something that is estimated to only
grow more in the coming years. Automation
has also enabled processes to work at a
faster pace and enables companies to reach
their goals in a much more efficient manner.
5. Artificial Intelligence
While automation is growing, artificial
intelligence is now starting to see the light of day.
The past year saw the introduction of several new
mediums of artificial intelligence and this year,
industries are looking at ways in which they can
grow these resources and implement it the work
that they do. Artificial intelligence is now starting
to see implementation on a larger scale which is
only set to grow more over the coming years.
6. SMART TECHNOLOGY
Smart Machines that use artificial
intelligence or automation are on the rise
even in small scale units and smaller
implementations. Homes are now becoming
smarter as a result of smart technology
being used and opted for in homes. Simple
tools such as Alexa have become an essential
part of homes, and these are only estimated
to increase over the next year.
7. VIRTUAL REALITY
The gaming industry has always been one
that has experienced growth alongside the
field of information technology and virtual
reality has taken this one step further giving
customers the very epitome of digital
experience. Virtual reality gaming has
already started to become popular as a
result of new technology and this improves
the manner in which the industry can grow.
8. Augmented Reality
Augmented reality is another approach to
‘artificial experiences’ that individuals are
now being given access to and this is
something that has improved the manner in
which the field has been able to develop.
Augmented reality is seeing a lot more
applicability outside the gaming industry as
well, and is something that is seeing more
implementation as compared to virtual reality
9. BLOCK CHAIN DATA
Crypto currency might have been at an all
time high in 2017 and 2018, but the fact
remains that this is something that is yet to
see a significant amount of development.
Block chain technology is only now starting
to grow in popularity and is being
implemented by industries across the world
for all that it offers.
10. CYBER SECURITY
With the growth of digital mediums and
technology, the potential threats that people can
face are only rising. Because of this, cyber
security has had to grow extensively over the past
few years, simply to stay in touch with the growth
that is being experienced. Industries all over the
world are also realizing the importance of
investing in cyber security, which is why the field
is experiencing growth at such a rapid place.
Multimedia Approach to Information Processing
Multimedia is media and content that uses a combination of different
content form. This contrasts with media that use only rudimentary
computer displays such as text-only or traditional forms of printed or
hand-produced material. Multimedia includes a combination of text,
audio, still images, animation, videos or interactivity content forms.

Multimedia is usually recorded and played, displayed, or accessed by
information content processing devices, such as computerized and
electronic devices, but can also be part of a live performance.
Multimedia devices are electronic media devices used to store and
experience multimedia content. Multimedia is distinguished from
mixed media in fine art; by including audio, for example, it has a
broader scope. The term "rich media" is synonymous for interactive
multimedia. Hypermedia can be considered one particular multimedia
application.
Major characteristics of multimedia
Multimedia presentations may be viewed by person on stage, projected,
transmitted, or played locally with a media player. A broadcast may be a
live or recorded multimedia presentation. Broadcasts and recordings can
be either analog or digital electronic media technology. Digital online
multimedia may be downloaded or streamed. Streaming multimedia may
be live or on- demand.
Multimedia games and simulations may be used in a physical
environment with special effects, with multiple users in an online
network, or locally with an offline computer, game system, or simulator.
The various formats of technological or digital multimedia may be
intended to enhance the users' experience, for example to make it easier
and faster to convey information. Or in entertainment or art, to transcend
everyday experience.
 
 
A laser show is a live multimedia performance.

Enhanced levels of interactivity are made possible by combining


multiple forms of media content. Online multimedia is
increasingly becoming object-oriented and data-driven, enabling
applications with collaborative end-user innovation and
personalization on multiple forms of content over time. Examples
of these range from multiple forms of content on Web sites like
photo galleries with both images (pictures) and title (text) user-
updated, to simulations whose co- efficient, events, illustrations,
animations or videos are modifiable, allowing the multimedia
"experience" to be altered without reprogramming. In addition to
seeing and hearing, haptic technology enables virtual objects to be
felt. Emerging technology involving illusions of taste and smell
may also enhance the multimedia experience
APPLICATION OF MULTIMEDIA:

• Multimedia presentation: Multimedia presentation can be


used to better explain a subject matter to the students because
it enhances the comprehension capability of students. It is
extremely effective in getting across new ideas and concepts.
• Entertainment: Multimedia technology is used by
entertainment industry as in games, films, cartoons,
animation, sound effects etc.
• Software: Multimedia is used for training purpose or guide.
So users can operate software without help of trainers.
• Business communication: Multimedia is very powerful tool
for enhancing the quality of business communication.
• Multimedia web pages: Multimedia feature in web pages
make more attractive, user friendly.
Several examples are as follows:
• Creative industries
Creative industries use multimedia for a variety of
purposes ranging from fine arts, to entertainment,
to commercial art, to journalism, to media and
software services provided for any of the industries
listed below. An individual multimedia designer
may cover the spectrum throughout their career.
Request for their skills, range from technical, to
analytical, to creative.
• Commercial uses
• Much of the electronic old and new media used by
commercial artists is multimedia. Exciting presentations are
used to grab and keep attention in advertising. Business to
business, and interoffice communications are often
developed by creative services firms for advanced
multimedia presentations beyond simple slide shows to sell
ideas or liven-up training. Commercial multimedia
developers may be hired to design for governmental
services and nonprofit services applications as well.
•  
Entertainment and fine arts
In addition, multimedia is heavily used in the entertainment industry,
especially to develop special effects in movies and animations.
Multimedia games are a popular pastime and are software programs
available either as CD-ROMs or online. Some video games also use
multimedia features. Multimedia applications that allow users to
actively participate instead of just sitting by as passive recipients of
information are called Interactive Multimedia. In the Arts there are
multimedia artists, whose minds are able to blend techniques using
different media that in some way incorporates interaction with the
viewer. One of the most relevant could be Peter Greenaway who is
melding Cinema with Opera and all sorts of digital media. Another
approach entails the creation of multimedia that can be displayed in a
traditional fine arts arena, such as an art gallery. Although multimedia
display material may be volatile, the survivability of the content is as
strong as any traditional media. Digital recording material may be just
as durable and infinitely reproducible with perfect copies every time.
Education
In Education, multimedia is used to produce computer-based training
courses (popularly called CBTs) and reference books like encyclopedia
and almanacs. A CBT lets the user go through a series of presentations,
text about a particular topic, and associated illustrations in various
information formats. Edutainment is the combination of education with
entertainment, especially multimedia entertainment.
Learning theory in the past decade has expanded dramatically because
of the introduction of multimedia. Several lines of research have evolved
(e.g. Cognitive load, Multimedia learning, and the list goes on). The
possibilities for learning and instruction are nearly endless.
The idea of media convergence is also becoming a major factor in
education, particularly higher education. Defined as separate
technologies such as voice (and telephony features), data (and
productivity applications) and video that now share resources and
interact with each other, synergistically creating new efficiencies, media
convergence is rapidly changing the curriculum in universities all over
the world. Likewise, it is changing the availability, or lack thereof, of
jobs requiring this savvy technological skill.
Education
The English education in middle school in China is well invested
and assisted with various equipments. In contrast, the original
objective has not been achieved at the desired effect. The
government, schools, families, and students spend a lot of time
working on improving scores, but hardly gain practical skills.
English education today has gone into the vicious circle. Educators
need to consider how to perfect the education system to improve
students’ practical ability of English. Therefore an efficient way
should be used to make the class vivid. Multimedia teaching will
bring students into a class where they can interact with the teacher
and the subject.

Multimedia teaching is more intuitive than old ways; teachers can


simulate situations in real life. In many circumstances teachers
don’t have to be there, students will learn by themselves in the
class. More importantly, teachers will have more approaches to
stimulating students’ passion of learning
Journalism
Newspaper companies all over are also trying to embrace the new
phenomenon by implementing its practices in their work. While some
have been slow to come around, other major newspapers like The New
York Times, USA Today and The Washington Post are setting the
precedent for the positioning of the newspaper industry in a globalized
world.
News reporting is not limited to traditional media outlets. Freelance
journalists can make use of different new media to produce multimedia
pieces for their news stories. It engages global audiences and tells stories
with technology, which develops new communication techniques for
both media producers and consumers. Common Language Project is an
example of this type of multimedia journalism production.
Multimedia reporters who are mobile (usually driving around a
community with cameras, audio and video recorders, and wifi-equipped
laptop computers) are often referred to as Mojos, from mobile journalist.
Engineering
Software engineers may use multimedia in Computer Simulations for
anything from entertainment to training such as military or industrial
training. Multimedia for software interfaces are often done as
collaboration between creative professionals and software engineers.
 
Industry
In the Industrial sector, multimedia is used as a way to help present
information to shareholders, superiors and coworkers. Multimedia is also
helpful for providing employee training, advertising and selling products
all over the world via virtually unlimited web-based technology
 
Mathematical and scientific research
In mathematical and scientific research, multimedia is mainly used for
modeling and simulation. For example, a scientist can look at a molecular
model of a particular substance and manipulate it to arrive at a new
substance. Representative research can be found in journals such as the
journal of multimedia .
Medicine
In Medicine, doctors can get trained by looking at a virtual surgery
or they can simulate how the human body is affected by diseases
spread by viruses and bacteria and then develop techniques to
prevent it.
 
Document imaging
Document imaging is a technique that takes hard copy of an
image/document and converts it into a digital format (for example,
scanners).
 
Disabilities

Ability Media allows those with disabilities to gain qualifications in


the multimedia field so they can pursue careers that give them
access to a wide array of powerful communication forms.
Miscellaneous
In Europe, the reference organization for Multimedia industry is the
European Multimedia Associations Convention (EMMAC).

Structuring information in a multimedia form


Multimedia represents the convergence of text, pictures, video and sound
into a single form. The power of multimedia and the Internet lies in the
way in which information is linked.
Multimedia and the Internet require a completely new approach to writing.
The style of writing that is appropriate for the 'on-line world' is highly
optimized and designed to be able to be quickly scanned by readers.
A good site must be made with a specific purpose in mind and a site with
good interactivity and new technology can also be useful for attracting
visitors. The site must be attractive and innovative in its design, function in
terms of its purpose, easy to navigate, frequently updated and fast to
download.
When users view a page, they can only view one page at a time. As a result,
multimedia users must create a ‘mental model of information structure’
Decision of appropriate information Technology for proper MIS.

Information is a critical resource in the operation and


management of organizations. Timely availability of
relevant information is vital for effective performance
of managerial functions such as planning, organizing,
leading, and control. An information system in an
organization is like the nervous system in the human
body: it is the link that connects all the organization's
components together and provides for better
operation and survival in a competitive environment.
Indeed, today's organizations run on information.
Decision of appropriate information Technology for
proper MIS.
The term information system usually refers to a computer-based
system, one that is designed to support the operations, management,
and decision functions of an organization. Information systems in
organizations thus provide information support for decision makers.
Information systems encompass transaction processing systems,
management information systems, decision support systems, and
strategic information systems.
Information consists of data that have been processed and are
meaningful to a user. A system is a set of components that operate
together to achieve a common purpose. Thus a management
information system collects, transmits, processes, and stores data on
an organization's resources, programs, and accomplishments. The
system makes possible the conversion of these data into management
information for use by decision makers within the organization. A
management information system, therefore, produces information that
supports the management functions of an organization.
Database

Database : An organization must have accurate and


reliable data for effective decision making. For this, the
organization maintains records of various facts of its
operation by building appropriate models of the diverse
classes of objects of interest. The models capture the
essential properties of the objects and records
relationship among them. Such related data is called
“Database”.
Objectives :
i) The users of the database establish their view of the
data and its structure without regards to the actual
physical storage of the data.
ii) That the database establishes a uniform high level of
accuracy and consistency. Validation rules are applied
by the DBMS.
iii) The data should be available for use by application
and by queries.
iv) The data item prepared by one application are
available to all applications or queries. No data items
are owned by an application.
v) The data base can be evolved according to
application usage and query needs
Data warehouse and Data warehousing:

Date warehouse is a collection of data designed to support


management in the decision making process. It is the
subject oriented, integrated, time-varient, non-updatable
collection of data used in support of management decision-
making process and business intelligence. It contains a wide
variety of data that present a coherent picture of business
condition at a single point of time. It is unique kind of data
base which focuses on business intelligence, external data
and time-variant data.

Data warehousing is the process, where organization extract


meaning and information decision making from their
information assets through the use of data warehouses.
A common way of introducing data warehousing is to refer to the
characteristics of a data warehouse as set forth by William Inmon:

• Subject Oriented
• Integrated
• Nonvolatile
• Time Variant

Subject Oriented Data warehouses are designed to help you analyze


data. For example, to learn more about your company's sales data, you
can build a data warehouse that concentrates on sales. Using this data
warehouse, you can answer questions such as "Who was our best
customer for this item last year?" or "Who is likely to be our best
customer next year?" This ability to define a data warehouse by subject
matter, sales in this case, makes the data warehouse subject oriented.
Integrated Integration is closely related to subject orientation.
Data warehouses must put data from disparate sources into a
consistent format. They must resolve such problems as naming
conflicts and inconsistencies among units of measure. When
they achieve this, they are said to be integrated.
Nonvolatile Nonvolatile means that, once entered into the data
warehouse, data should not change. This is logical because the
purpose of a data warehouse is to enable you to analyze what
has occurred.
Time Variant A data warehouse's focus on change over time is
what is meant by the term time variant. In order to discover
trends and identify hidden patterns and relationships in
business, analysts need large amounts of data. This is very
much in contrast to online transaction processing (OLTP)
systems, where performance requirements demand that
historical data be moved to an archive.
DATA MINING
Data Mining is a process of finding potentially useful
patterns from huge data sets. It is a multi-disciplinary skill
that uses machine learning, statistics, and AI to extract
information to evaluate future events probability. The
insights derived from Data Mining are used for marketing,
fraud detection, scientific discovery, etc.

Data Mining is all about discovering hidden, unsuspected,


and previously unknown yet valid relationships amongst
the data. Data mining is also called Knowledge Discovery
in Data (KDD), Knowledge extraction, data/pattern
analysis, information harvesting, etc.
1. Classification:
This analysis is used to retrieve important and
relevant information about data, and
metadata. This data mining method helps to
classify data in different classes.
2. Clustering:
Clustering analysis is a data mining technique
to identify data that are like each other. This
process helps to understand the differences
and similarities between the data.
3. Regression:
Regression analysis is the data mining method
of identifying and analyzing the relationship
between variables. It is used to identify the
likelihood of a specific variable, given the
presence of other variables.
4. Association Rules:
This data mining technique helps to find the
association between two or more Items. It discovers
a hidden pattern in the data set.
5. Outer detection:
This type of data mining technique refers to
observation of data items in the dataset which do
not match an expected pattern or expected
behavior. This technique can be used in a variety of
domains, such as intrusion, detection, fraud or fault
detection, etc. Outer detection is also called Outlier
Analysis or Outlier mining.
6. Sequential Patterns:
This data mining technique helps to discover or
identify similar patterns or trends in transaction
data for certain period.

7. Prediction:
Prediction has used a combination of the other
techniques of data mining like trends, sequential
patterns, clustering, classification, etc. It analyzes
past events or instances in a right sequence for
predicting a future event.
CENTRALIZED AND DISTRIBUTED
PROCESSING
Centralized Data Processing (CDP) uses Centralized computers,
processing, data, control, support. The advantages are Economy for
equipment and personnel, Lack of duplication, Ease in enforcing
standards, security. In Distributed Data Processing (DDP)Computers
are dispersed throughout organization. Which allows greater flexibility
in structure, More redundancy and More autonomy.

Centralized data processing is a Computer data processing architecture


where data processing support is provided by one or a cluster of
computers, generally a large. dedicated computers, located in a central
data processing facility. In a centralized architecture, each person is
provided with a local terminal that is connected by a communications
facility to the central data processing facility.
A fully centralized data processing has
following features:
1. Centralized computers
2. Centralized processing
3. Centralized Data
4. Centralized Control
5. Centralized Staff Support
A Distributed data processing facility is one in which computers,
usually smaller computers, are dispersed throughout the organization.
The objective of such disperse is to process information in a way that
is most effective based on operational.

Therefore, DDP (Distributed Data Processing) features:


1. A collection of terminals link together by some kind of
communication link and has no main central computer or not fully
(minimal) depend on central computer.
2. Processing of information is happening on each terminal and send
results to a main server for store and retrieval purposes.
3. Data may duplicate as data may store in locally or in remote server.
4. Local computer operator can control the machine in his premises.
5. Separate staff will maintain central computer (if there any) where
other terminals may control by one or few other members.
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