Development of an Appropriate MIS for A Business Organization
1. Defining
and analysing various types of decisions made in the organization:
The MIS designers should thoroughly
analyse the existing decisions- making system of the organisation. This
requires a study of different levels of decision makers and the priorities of
these decision makers. The purpose of this study is to ensure the collection,
analysis and dissemination of right information for different decision makers
in the organisation.
2. Comparison
of costs and benefits of the system:
The MIS of the organisations should be
designed in such a manner so that the benefits out-weight the cost of
collecting, analysing and presenting information. Depending upon the size of
the organisation, alternative means of providing information for managerial
decision making should be studied and evaluated in terms of their costs and
benefits.
An effective MIS not only evaluates
information for presentation but also eliminates unnecessary data. The MIS
should summarise and condense information so that it can be easily absorbed and
used for decision making.
3.
Pre-Testing of the systems and training of operators:
MIS should be pretested before it is put
to use. If the system is not pretested then problems are likely to arise and
changes in the system at that time may prove to be very expensive. Also, proper
training should be imparted to the managers to understand the system so that
they can make proper use of the system.
4. Proper
planning for storage of information:
Proper arrangement should be made for
storage of information. Ail information should be stored in disaggregated
files. New data should be added to the existing data in a given category as it
is received.
Different decision makers with similar
information needs should be identified so that they can be grouped together for
dissemination (spreading) of information. This would avoid duplication and
waste.
5. Mechanism
for gathering and processing data:
Proper methods for information processing
must be selected. This requires determination of steps for the purpose of
collecting, storing, sorting, evaluating, transmitting and retrieving
information. A system of controls should also be developed so as to identify
and correct any deficiency that might occur in the system.
6. Proper
arrangement for dissemination of information:
Proper arrangement should be made for the
dissemination of information at the right time to various decision makers.
Information delayed is information denied. Proper formats should be designed
for the dissemination of information to various decision makers having regard
to their information needs.
7. Review
of MIS at periodical intervals:
Functioning of the MIS should be reviewed
at periodical intervals. This review helps in identifying deficiencies in the
existing MIS and making appropriate changes to overcome such deficiencies.
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