Management information systems
jdpimentel
SummaryWeek2.pdf
Chapter 2
The Business Process and their optimization using Information systems
Functional Areas and Categories of Information Systems
FUNCTIONAL BUSINESS PROCESSES
Types of Information Systems
Types of Information Systems
1) Transaction Processing Systems (TPS)
A transaction processing system is a computerized system that performs and records the daily transactions necessary to conduct business,
routine such as payroll, sales order entry, hotel reservations,
employee record keeping, and shipping.
A Payroll TPS
A TPS for
payroll
processing
captures
employee
payment
transaction data
(such as a time
card). System
outputs include
online and hard-
copy reports for
management
and employee
paychecks.
Types of Information Systems
Types of Information Systems
Systems for Business Intelligence
2) The term management information systems (MIS) also designates a specific category of information systems serving middle management. Oriented to INTERNAL operations.
events. Summarizes and report basic
MIS provide middle managers with reports on the organization’s current used to monitor and future performance.
performance. This information is control the business and predict
Types of Information Systems
Types of Information Systems
Systems for Business Intelligence
3) Decision-support systems (DSS) focus on problems
are unique and rapidly changing, and not easily specified
advance. It has more ANALYTICAL POWER (a tool for
analysis). Used for decision making.
that in
They try to answer questions such as these: What would the impact on production schedules if we were to double
be
sales in the month of December? What would happen to our
return on investment if a factory schedule were delayed for six
months?
Example: American Airlines produced a DSS that helps decide how much to overbook and
plane how to
set prices for each seat so that a is filled and profits are maximized.
Source: Boundless. “Decision Support Systems.” Boundless Marketing. Boundless, 26 May. 2016.
Types of Information Systems
Types of Information Systems
4) Senior managers use executive support (ESS) to help them make decisions.
systems
ESS serves the strategic level of the organization.
They address non-routine decisions requiring judgment, evaluation, and insight because there is no agreed-on procedure for arriving at a solution.
They consider external events.
This system pools data from diverse internal and external
sources and makes them available to executives in an
easy-to-use form.
A digital dashboard delivers comprehensive and accurate information for decision making often using a single screen. The graphical overview of key performance indicators helps managers quickly spot areas that need attention.
Types of Information Systems
