Management Information System

1. On average, private sector IT projects underestimated budget and delivery time of systems by ________ percent.

Information Technology (IT) refers only to the information processing software programs of a computer system: True or False

Alibaba is an e-commerce giant whose primary focus is to help small businesses grow by helping with their information technology needs. They provide services through a “business-to-business” platform that connects small businesses with overseas suppliers. The Taobao division within Alibaba also consist of a business-to-customer set up. Alibaba has "a 15-node cluster dedicated to processing sorts of business data dumped out of database, and joining them together. This data will then be fed into iSearch, their vertical search engine. Each node has 8 cores, 16G RAM and 1.4T storage", (Matteson, 2014). Alibaba uses this cloud based technology to service its clients at a very high level. The biggest competitor of Alibaba, is Amazon, who uses information systems like TPS. Alibaba has five different websites that are designed for specific purposes, helping it to maintain its competitive advantage. Alibaba has significantly more of the China market cornered, than Amazon has of the United States. Any business that uses cloud based technology runs the risk of loss or theft of proprietary information, increased incidents of clients taking their business elsewhere due to perceived vulnerabilities of that system, and loss of control over users that are performing actions that the companies have no knowledge

Transaction processing systems (TPS) provide data collection, storage, processing and outputting functionalities for the core operations of a business. These functions are necessary for operational managers. In that way the data generated by the TPS answers general business questions and to track the flow of transactions throughout the business. TPS can keep track of such systems as payroll, inventory, sales, shipping and other vital business systems.

Information systems are both technical and social in nature. Managers must understand the relationship between the technical components of an information system and the structure, functions and work culture of. Builders of information systems should consider management objectives and decision-making as well as the impact these systems will have on the well being of the people and society. In this chapter places information systems have to be placed in the context of organizational needs at various levels of management.

Whilst there are many challenges inherent in development of such systems, these systems can offer businesses a number of advantages such as a competitive tool to develop new products and services, integrate with suppliers, compete against rivals, and make effective and efficient changes to business operations. There is a diversity of sophisticated hardware, software and communications technologies, used in information systems in today’s business which makes it sometimes difficult to classify these systems in any one category. Whilst the function of information system can overlap they all seek to benefits business by supporting business processes and operations, supporting decision making by employees and manager and supporting strategies for competitive advantages (Chad, Yu-An & Shu-Woan 2007).

Information system (Laudon & Laudon 2010) is a collection of software, hardware, and data organizations use in monitoring, controlling, transacting, forecasting, problem solving in various levels of management. These systems converts data into information to facilitate the organization in hastening their process in various fields. These systems aid operational level, middle level, and executive level managers in their day to day tasks.

1. Define an expert system, describe how it works, and explain its value to business

Electric Eel Shock, a rock band come from Japan, which is the first band don’t have a previous significant recording deal but fully accept crowd funding after it has toured the whole world. As an unsigned band, they raised £10,000 from 100 fans (the Samurai 100) in 2004. After two years, all these people became the fastest band with a budget for $50,000 through SellaBand.

General Motors has several internal and external influences that are challenging them to reduce their operating costs and become more efficient. In doing an analysis of the General Motors using Porter 's Competitive Model these influences become clear and opportunities for the company to reduce costs and increase efficiency using information systems becomes obvious. Porter 's Competitive Model is a model used to describe the interaction of external influences; specifically threats and opportunities that affect an organizations strategy and ability to compete [Laudon & Laudon, 2005, p. 103].

Management control system (MCS), as a vital part of an organization, which purpose allows organizations to ensure that their activities achieve the objects they desire. The process of designing and improving MCSs requires addressing three basic questions. What is desired? What is likely to occur? And What is the effect of contextual factors ?Then managers must address each of these questions. What controls should be used?

Transaction processing systems(TPS) Are “TPS processes business transaction of the organization. Transaction can be any activity of the organization. Transactions differ from organization to organization. For example, take a Hotel reservation system. Booking, canceling, etc are all transactions. Any query made to it is a transaction. However, there are some transactions, which are common to almost all organizations. Like employee new employee, maintaining their leave status, maintaining employees accounts, etc.”

Answer Review questions 2, 3, 5, 7, 8, 10, 13, 16, 18, & 22 in your own words. First, write the questions, and then answer with proper explanation.

The manager of the supplying division uses a cost-based method to record revenues and does not have sufficient incentives to control costs.

A management information system (MIS) is a system of financial information that uses a computerized database. After the information is organized and programmed, it should be able to produce a regular report on operations for every level of management in a company. Obtaining special reports from the system easily should also be possible with its main aim being to give managers feedback about the performance of the institution. It focuses on the management of information systems to provide decision making strategies that are efficient and effective.