Management Information Systems (MIS): Key Concepts and Data Management

Management Information Systems (MIS)

The act of planning for, managing, and using information technology to help people perform all tasks related to information processing and management.

Big Data

Large, complex data sets (structured and unstructured) that cannot be analyzed with traditional tools.

Information

Data converted into a meaningful and useful context.

Business Intelligence

Information collected from multiple sources that analyzes patterns, trends, and relationships for strategic decision-making.

Knowledge

Skills, experience, and expertise combined with information and intelligence, forming a person's intellectual resources.

Business Process Reengineering (BPR)

Analysis and redesign of workflows within and between enterprises.

Supply Chain Management (SCM)

Managing information flows between activities in a supply chain to maximize effectiveness.

Customer Relationship Management (CRM)

Managing all aspects of customer relationships to increase loyalty, retention, and profitability.

Enterprise Resource Planning (ERP)

Integrates all departments and functions into a single IT system.

Hardware

Physical devices making up a computer system.

Input Devices

Enter information and commands (e.g., Keyboard, Stylus, Mouse, Touchpad, Game controllers, Scanners).

Output Devices

Display or recognize processed information (e.g., Monitors, Printers).

Storage Devices

Store information for later use.

Processing

CPU and RAM work together as the 'brain' of the computer.

CPU

Retrieves, decodes, executes instructions, and stores results.

CPU cycles

Retrieve → Decode → Execute → Store.

Binary Digit (bit)

Smallest unit of information.

Byte

8 bits, represents one character.

ASCII

Coding system for characters.

Application Software

Solves specific problems/tasks (e.g., Payroll, CRM, Project management).

Vertical Market Software

Industry-specific software (e.g., Patient Scheduling).

Horizontal Market Software

Industry-wide software (e.g., Payroll).

System Software

Manages hardware and coordinates device interaction.

Granularity of Information

Refers to the level of detail or fineness of data.

Transactional Information

Encompasses all data within a single business process or unit of work

Analytical Information

Encompasses all organizational information.

Timeliness

The information must be up-to-date.

Real-time system

Provides instant responses to data requests.

Quality

Includes Accuracy, Completeness, Consistency, Uniqueness.

Governance

Policies and procedures ensuring data integrity, security, and compliance.

Type

The nature of data (numeric, date, text, etc.).

Costs of Using Low-Quality Information

Inability to accurately track customers. Poor decision-making. Increased operational costs. Loss of trust and reputation.

Database

A collection of organized information that can be accessed and managed logically.

Relational Database

Stores data in logically related two-dimensional tables (relations). Most popular database model.

Relation

Table, file, entity, or entity class.

Characteristics of a Database

information, logical structures, logical ties and integrity constraints

Data Dictionary

Contains the logical structure of the database.

Primary Key

A field that uniquely identifies each record.

Foreign Key

A primary key from one table that appears in another table, establishing a relationship.

Composite Primary Key

A group of fields that together uniquely identify a record.

Integrity Constraints

Rules to ensure data quality.

Database Management System (DBMS)

Software that creates, manages, and accesses databases. Helps specify logical requirements and manage data efficiently.

Data Mining

Techniques to analyze large datasets. Supports business intelligence (BI) and knowledge discovery. Finds patterns, relationships, and trends in data.

Data Warehouse

A centralized repository of integrated data from multiple sources. Supports business analysis and decision-making.

Characteristics of Data Warehouse

Multidimensional, summarization, analysis

ETL Process Steps

extract, transform, load

What are the components of Data Warehouse Architecture?

Operational source systems, CRM, ERP, Legacy systems, E-commerce platforms, External data

What layers are included in Data Warehouse Architecture?

ETL layers, data/metadata layers, presentation layers

ETL Layer

Cleanses, filters, and standardizes data.

Data and Metadata Repository Layer

Stores data and information about data (metadata).

Presentation Layer

User interfaces and tools for analysis and reporting.

Business Rules

Concrete Type to Raw Materials: A concrete type will have one or many raw materials.

ERD Symbols

Rectangles: Represent entities (tables).

Normalization

Process to organize data into normal forms: 1NF, 2NF, 3NF

Rules for Normalization

Eliminate many-to-many relationships: Convert to two one-to-many relationships with an intersection (junction) table.

Dependence on Primary Key

Ensure each field in a relation depends only on the primary key.

Remove Derived Fields

Fields that can be mathematically derived (e.g., age from birthdate) should be removed from relations.

Intersection (Junction) Relations

When moving from an intersection relation to original entities: Always have a one-to-one relationship.

extract - first process of ETL's

retrieve needed data from information systems

transform- second process of ETL's

convert data into standardized formats

load- third process of ETL's

insert the transformed data into the data warehouse

External data

purchased market data such a spreadsheets

What is the goal of Data?

reduce redundancy and improve data integrity.

Characteristics of Information

timeliness, quality, governance, type

Real- time info

immediate, up to date

Real- time system

provides real time information in response to requests.

Examples of analytical information

states, sales projections, trends

Purpose of analytical information

support decision making at strategic levels

Purpose of transactional information

support daily operational task performance

Examples of transactional information

tickets, sales receipts, slips