HISTORY OF MANAGEMENT INFORMATION SYSTEMS (MIS 19.04.2021)

HISTORY OF MANAGEMENT INFORMATION SYSTEMS

Owing to the strong link between Management Information Systems and technology, the history of these systems goes hand in hand with the history of computing technology.

We can split the evolution of MIS into five eras. Let’s take a closer look at what changes were affected in each of these eras.

 

First Era: Computing on Mainframe Computers

This was the era before 1965 when computing was done on large mainframe computers located in large special rooms designed specifically for the computers. This included special temperature control to ensure that the machines always operated in optimum conditions.

These computers were operated by teams of technicians and hence the cost of operating them was quite high. As a result, most of the computing was done on a time-sharing basis to meet the high costs of owning and operating these mainframes. The dominant supplier of hardware and software in this era was IBM.

With time, technology advanced and towards the end of this era, minicomputers were introduced. The minicomputers were significantly smaller and cheaper, hence large companies could afford to own these and do their computing in-house. However, the minicomputers were still very expensive when compared to today’s standards.

 

Second Era: Personal Computers

This era began in 1965 and was mainly as a result of the introduction of the microprocessor. This meant that companies could now afford cheaper personal computers, which provided access to computing power that would have cost exorbitant amounts of money just one decade before.

By mid 1980s, personal computers were becoming much more affordable hence they were made available to the mass markets. The predominant ones at this time were the Apple I and Apple II, and the IBM personal computer, commonly referred to as PC. The PC was friendlier to businesses, which explains why it rose to popularity in those early days.

During this era, Management Information Systems started making way into businesses thanks to the development of a spreadsheet application known as VisiCalc (short for “visible calculator”). This application was released originally for the Apple II, but a PC version was also made for the IBM PC when it was produced.

This application is considered by many the factor that turned the microcomputer from an expensive gadget for scientists and enthusiasts to an all-important business tool thus paving way for the modern Management Information Systems. Following the success of the VisiCalc, more powerful spreadsheet applications like the Lotus 1-2-3 and Microsoft’s Multiplan and later Excel.

 

Third Era: Client / Server Networks

With the widening use of computing in business and advances in technology, more needs came from the business community to ensure a more efficient interaction with information. Since companies were able to computing thanks to reduced costs of computers, better ways had to be sought for making the most out of this computing power.

One of the most prominent needs that arose was the need for employees within organizations to share computer information with other employees. The solution was provided by client / server networks that went a long way in enhancing the management information systems we have today.

One big step in this era was the development of intranets which were static websites that gave employees access to information that was stored in a central location. This made it possible to work faster and more efficiently because more people could access information on a server as long as their computers were on a common network.

 

Fourth Era: Enterprise Computing

The fourth era was an improvement of the third era that saw to it that different departments in companies had even better access to information. The main improvement was the introduction of high-speed enterprise networks that enabled faster access to information.

This provided a better and more complete management structure since decision making was easier thanks to the better access of information from different parts of the company. Essentially, the applications used by departments in the company were consolidated and woven together into a single platform that was accessible from the company network.

High-speed networks were also added into the mix to increase the efficiency of the platform. This meant that business operations such as finance, accounting, sales, marketing, inventory and even human resource management could be harmonized to ensure cooperation and efficiency throughout the entire company.

Although the applications used by different departments differed and measures of access control were introduced to limit access to sensitive company information, this era gave top management officials a complete view of the current standing of the entire business.

 

Fifth Era: Cloud Computing

This is the current era that employs the latest networking technology to further enhance information processing and access by business officials and management executives. The added element in this era is the fact that the networking technology adds a level of mobility to the systems.

This means that irrespective of your location, the configuration that you are using or the hardware that’s available, you will still be able to use business applications and access data stored in company servers. With the improvement of cell phone networks to provide high speed mobile data access and the increase in popularity of Wi-Fi networks, managers have ready access to the Management Information System around the clock hence better decisions can be made faster.

This era frees management from the chains of office-bound computers with local network access. With the rise in popularity of mobile devices such as laptops, smartphones and tablet computers, great levels of mobility are achieved while still improving on efficiency.