Technical Dimension of Information

The technical dimensions

The  concept of a data base that is so important to a management information system will be described inmore detail in layer chapters. Simply stated, the data base is a unified collection of data that is utilized by the various information systems. The form, capacity, and degree of integration of the data depend on the needs to which the data is put, plus cost considerations. The technical dimensions of the data base are such elements, securuty, and validity. The cost considerations involve the summation of the following three cost ;

1. Cost to acquire data
2. Cost to maintain data
3. Cost to access data

Of the following figur 1.7 describes the data base concept and the relationship of the originators/users of the data information and the information or system specialists. 

Figur 1.7.The data base concept

Request for information

The same people who utilize the output of information system are responsible for providing the input. Request for information to be derived from the data base are passed along to the system specialists. They in turn, write the particular application programs that access the row data and process the data inaccordance with predefined decision logic. The resultant information is then returned to the originator.

The role of the system spesialist in management information system will be discussed in more depth in later chapters.

A few sords will sunice for now. The system spesialist has a major role to play in designing systems that aid the planning and control process. There is a system expertise just as there is a financial expertise, an engineering expertise, a planning expertise, and a marketing expertise. Although it is certainly important for the system specialist, to have a good understanding of the functional areas, and for the function specialist to have an understanding of the system area, it is distinguish between the systems and functional specialities.

The system specialist can indicate the possibilities and alteratived open to management, but it is up to management to make decision as to what information is required to better conduct business. System specialists should avoid determining plicy, the organizational structure, or the devision responsibilities within the company. The system specialist can point ut the various pro fit margins in introducting new product; he does not decide what products to introduce.

He can illustrate the potential savings of utilizing linear programing for production scheduling; he does not decide on whwt production control system will be implemented. The system analist can indicate data processing benefits from a company reorganization; he is not responsible for initiating the change. Thus the company's organizational structure and the information requirements expressed by the management of the functional departments are the "givens" of system design proceeds from this point.

THE SYSTEM ELEMENT

This  section will define the last of the three elements in management information system-the system. there are many definitions of this term, but webster's unabridged comes fairly close to one that will suit our purposess. Webster defines system as " a set or arrangement of things so related of connected to form a unity or organization". Examples given are the solar system, an irrigotion system and supply system. Indeed, this definition is so broad that many things with which we are familiar can be termed systems.

An even broader definition is suggested by an alternate description in webster, which states that a system is regular, ordery way of doing something. for purposes of its use in management information systems, the system module of figure 1.8 useful method of describing the related things thats are brought together to from a unity.

The system module has the four elements of input, processing, output and feedback. Every system has these four elements in common.

Figur 1.8. System module

For example, the broadest view of a manufacturing company indicates that it is a system comprised of input in the form of raw material, piece parts, and subassemblies; processing in the form of manufacturing facilities; output in he form of finished good, and feedback via either internal quality control procedures or external via cutomer complaints. The total economy has been viewed as an input/output matrix in a manner similar to the system module. Education and medical institutions can be viewed as system modules with people as the prime input and output.

On a more personal scale, most of us prepare our income tax returns on a systematic basis, gathering the input in the form of earnings records and deduction receipts, processing the information mathematically in accordance with preestablished rules and regulations, and producing as output the completed tax return that is mailed to the internal Revenue service. The feedback comes in the form of a notice indicating that either our mathematical processing was wrong or that our interpretation of the processing rules is in error. Thus the system module has universal applicability and offers a simple but useful method of analysing even complex systems. This point will be illustrated in later chapters.

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