Management Information Systems Part-2

8/8/2019 Management Information Systems Part-2

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The system concept becomes even more useful by

including two additional components: feedback and control. A

system with feedback and control components is sometimescalled a cybernetic system, that is, a self-monitoring, self-

regulating system.Feedback is data about the performance of a system. For example,

data about sales performance is feedback to a sales manager.

Control involves monitoring and evaluating feedback to determine

whether a system is moving toward the achievement of its goal. The

control function then makes necessary adjustments to a system·s

input and porcessing components to ensure that it produces proper

output. For example, a sales manager exercises control whenreassigning salespersons to new sales territories after evaluating

feedback about their sales performance.



COMPONENTS OF AN

INFORMATION SYSTEM

An information system depends on the resources of

people (end users and IS specialists), hardware (Machines

and media), software (programs and procedures), data (data

and knowledge bases), and networks (communications

media and network support) to perform input, processing,

output, storage, and control activities that convert data

resources into information products.



D ATA VERSUS INFORMATION

The word data is the plural of datum, though datacommonly represents both singular and plural forms. Data

are raw facts or observations, typically about physical

phenomena or business transactions. For example, a

spececraft launch or the sale of an automobile wouldgenerate a lot of data describing those events.

People often use the terms data and information

interchangeably. However, it is better to view data as raw

material resources that are processed into finishedinformation products. Then we can define information as

data that have been converted into a meaningful and useful

context for specific end users.



CROSS FUNCTIONAL

ENTERPRISE APPLICATIONS

Many companies today are using informationtechnology to develop integrated cross-functional

enterprise systems that cross the boundaries of

traditional business functions in order to reengineer and improve vital business processes all across the

enterprise.



ENTERPRISES APPLICATION

ARCHITECTURE

Enterprise application architecture, which

illustrates the interrelationships of the major cross-

functional enterprise applications that many

companies have or are installing today.

Enterprise resource planning (ERP)

concentrates on the efficiency of a firm·s internalproduction, distribution, and financial processes.

Customer relationship management (CRM)



focuses on acquiring and retaining profitable customers via

marketing, sales, and service processes. Partner relationship

management (PRM) aims at acquiring and retaining partners whocan enhance the selling and distribution of a form·s products and

services. Supply chain management (SCM) focuses on

developing the most efficient and effective sourcing and

procurement processes with suppliers for the products and

services needed by a business. Knowledge management (KM)

applications focus on providing a firm·s employees with tools

that support group collaboration and decision support.

How does a business interconnect some of the cross-functional

enterprise system? Enterprise Application Integration (EAT)software is being used by many companies to connect their major

e-business applications.



EAI software can integrate the fron-office and back-

office applications of a business so they work together in a

seamless, integrated way.

Enterprise application integration software

interconnects fron-office and back-office



ENTERPRISES COLLABORATION

SYSTEMSEnterprise collaboration systems (ECS) are

cross-functional information systems that enchance

communication, coordination, and collaborationamong the members of business teams and

workgroups. Information technology, especially

Internet technologies, provides tools to help us

collaborate-to communicate ideas, share resources,

and coordinate our cooperative work efforts as

members of the many formal and informal



process and project teams and workgroups that

make up many of today·s organizations. Thus, the

goal of enterprise collaboration systems is to enable

us to work together more easily and effectivly by

helping us to :

Communicate

Coordinate

Collaborate



Electronic communications, conferencing, and

collaborative work software tools enhance

enterprise collaboration.



EXECUTIVE INFORMATION

SYSTEMExecutive Information Systems (EIS) are information

systems that combine many of the features of management

information systems and decision support systems.

The first goal of executive information systems was toprovide top executives with immediate and easy access to

information about a firm·s critical success factors (CSFs), that

is, key factors that are critical to accomplishing an

organization·s strategic objectives. For example, the executives

of a retail store chain would probably consider factors such as

its e-commerce versus traditional sales results or its product

line mix to be critical to its survival and success.



ARTIFICIAL INTELLIGENCE

TECHNOLOGIES IN BUSINESS

Artificial intelligence (AI) technologies are being used

in a variety of ways to improve the decision support

provided to managers and business professionals in many

companies.

What is artifical intelligence? Artificial Intelligence

(AI) is a field of science and technology based on

disciplines such as computer science, biology, psychology,linguistics, mathematics, and engineering. The goal of AI is

to develop computers that can simulate the ability to think,

as well as see, hear, walk, talk and feel.



THE DOMAINS OF ARTIFICAL

INTELLIGENCE



Congnitive Science ² This area of artifical

intelligence is based on research in biology,

neurology, psychology, mathematics, and many

allied disciplines. It focuses on researching how the

human brain works and how humans think and

learn.

Robotics ² AI, engineering, and physiology are the

basic disciplines of robotics. This technology

produces robot machines with computer

intelligence and computer controlled, human like

physical capabilities.



Natural Interfaces ² The development of natural

interfaces is considered a major area of AI

applications and is essential to the natural use of computers by humans. For example, the

development of natural languages and speech

recognition are major thrusts of this area of AI.

This involves research and development in

linguistics, psychology, computer science, and

other disciplines.



EXPERT SYSTEMS

An expert system (ES) is a knowledge-basedinformation system that uses its knowledge about a

specific, complex application area to act as an expert

consultant to end users. Expert systems provide

answers to questions in a very specific problem area by

making humanlike inferences about knowledge

contained in a specialized knowledge base.

So expert systems can provide decision supportto end users in the form of advice from an expert

consultant in a specific problem area.



BENEFITS OF EXPERT

SYSTEMS

An expert system captures the expertise of an

expert or group of experts in a computer-based

information system. Thus, it can outperform a single

human expert in many problem situations. That·s

because an expert system is faster and more

consistent, can have the knowledge of severalexperts, and does not get tired or distracted by over

work or stress.



LIMITATIONS OF EXPERT

SYSTEMS

The major limitations of expert systems arise

from their limited focus, inability to learn, maintenance

problems, and developmental cost. Expert systemsexcel only in solving specific types of problems in a

limited domain of knowledge.

Expert systems may also be difficult and costly to

develop and maintain properly.



NEURAL NETWORKS

Neural Networks are computing systems modeled after thebrain·s meshlike network of interconnected processing elements,

called neurons. However, like the brain, the interconnected

processors in a neural network operate in parallel and interact

dynamically with each other. This enables the network to ´learnµ

from data it processes.

It learns to recognize patterns and relationships in this data.

The more data examples it receives as input, the better it can learn

to duplicate the results of the examples it processes.

For example, a neural network can be trained to learn which

credit characteristics result in good or bad loans.



MODERN NEUROSURGERY:

NEURAL NETS HELP SAVE LIVES

A new technique, which is a combination of hardware andsoftware, has been developed which gives neurosurgeons the

ability to find way through the brain while doing less damage as

they operate. The primary piece of the hardware is a robotic probe

that has on its tip several miniature sensors: an endoscope that

transmits images and instruments that measure tissue density and

blood flow. This probe is inserted into the brain and guided

through it by a robotic mechansim which is more precise and

accurate than human hands.

This new technique gives surgeons finer control of surgical

instruments during delicate brain operations. Overall, the new

technique will increase the safety, accuracy, and efficiency of

surgical procedures



FUZZY LOGIC SYSTEMS

In spite of the funny name, Fuzzy logic systems representa small, but serious application of AI in business. Fuzzy logic is

a method of reasoning that resembles human reasoning since it

allows for approximate values and inferences (fuzzy logic) and

incomplete and incomplete or ambiguous data (fuzzy data)instead of relying only on crisp data, such as binary (yes/on)

choices.

Many models of Japanese-made products also feature fuzzy

logic microprocessors. The list is growing, but includesautofocus cameras, autostabilizing camcorders, energy-efficient

air conditioners, self adjusting washing machines, and

automatic transmissions.



VIRTUAL REALITY

Virtual reality (VR) is a computer-simulated reality.Virtual reality is a fast-growing area of artificial intelligence.

So virtual reality relies on multisensory input/output

devices such as a tracking head-set with video goggles and

stereo earphones, a data glove or jumpsuit with fiber-opticsensors that track your body movements, and a walker that

monitors the movement of your feet.

For example, you can enter a computer-generated

virtual world, look around and observe its contents, pick up

and move objects, and move around in it at will.



VR

APPLICATIONS

Current applications of virtual reality are wide

ranging and include computer-aided design (CAD),medical diagnostics and treatment, scientific

experimentation in many physical and biological

sciences, flight simulation for training pilots and

astronauts, product demonstrations, employee

training, and entertainment.

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