MANAGEMENT INFORMATION MANAGEMENT INFORMATION SYSTEMSYSTEM

Information System is interaction of Man Information System is interaction of Man and Machine.and Machine.

CBIS:-CBIS:- Computer based information based information system categories as.system categories as.

In today world of ever increasing In today world of ever increasing complexities of business organization, in complexities of business organization, in order to service and grow, must have order to service and grow, must have properly planned.properly planned.

Today information system play three Today information system play three vital role for business organization vital role for business organization

namely:namely:

Support the business processes and Support the business processes and operation of an organization.operation of an organization.

Support of decision making by employees Support of decision making by employees and managers of an organization.and managers of an organization.

Support the strategies of an organization Support the strategies of an organization for competitive advantage.for competitive advantage.

MIS DefinitionMIS Definition: : Management information Management information system is a system consisting of people, system is a system consisting of people,

machines, procedures, databases and data machines, procedures, databases and data models, as its elements.models, as its elements.

The MIS is defined as a system which provides information support for decision making in the organization.

The MIS is defined as a computer based information system.

The MIS defined as a system based on the database of the organization evolved for the purpose of providing information to the people in the organization.

Decision making concept: : Decision making Decision making has been taken from the word ‘decide’ ,Which is a has been taken from the word ‘decide’ ,Which is a

Latin word meaning to ‘cutoff’ or to come to Latin word meaning to ‘cutoff’ or to come to conclusion. conclusion.

A decision maker come to conclusion about given situation.

A decision represents a course of behavior selected from the number of( more then one) possible alternatives.

The decision should not be mistaken here as an end in itself, rather it is regarded as a means for action.

Decision are not static and have to responsive to varying situations.

Model of decision makingModel of decision making: : Decision –making, in organization, is regard as a rational process. The model comprises of three major

phase IntelligenceIntelligence: In this phase, the decision-: In this phase, the decision-

maker scan the environment and maker scan the environment and identified the problem or opportunity.identified the problem or opportunity.

A production manager review the daily A production manager review the daily scrap report to check for problem scrap report to check for problem relating to equality control.relating to equality control.

Intelligence phase of the decision making Intelligence phase of the decision making process involves:process involves:

(a)(a) Problem searchingProblem searching(b)(b) Problem formulationProblem formulation

Problem searchingProblem searching:: Problem is defined as the Problem is defined as the difference between something that is expected and realitydifference between something that is expected and realityDesired/Expected –Actual/ Reality=Difference (problem)Desired/Expected –Actual/ Reality=Difference (problem)

We have take the example of the sales We have take the example of the sales manager who has set a sales target of Rs manager who has set a sales target of Rs 5 Lakh in one particular month (standard 5 Lakh in one particular month (standard or a model), and he could achieve only Rs or a model), and he could achieve only Rs 4 Lakh worth of sale for that particular 4 Lakh worth of sale for that particular month(Reality). Thus the difference month(Reality). Thus the difference between a standard/ model and reality, between a standard/ model and reality, i.e. of Rs one Lakh is a problem which i.e. of Rs one Lakh is a problem which worries the manager.worries the manager.

Problem Formulation

When the problem is defined, there is When the problem is defined, there is always a risk of solving the wrong always a risk of solving the wrong problem.problem.

It is very important that the problem is It is very important that the problem is well-understood and clearly stated.well-understood and clearly stated.

In problem formulation, establishing In problem formulation, establishing relations with some problem solved relations with some problem solved earlier or analogy proves quite useful.earlier or analogy proves quite useful.

Conti…Conti… Design PhaseDesign Phase::

The decision-maker identifies alternative courses The decision-maker identifies alternative courses of action to solve problem. Developing alternatives of action to solve problem. Developing alternatives is creative activity which can be enhanced by is creative activity which can be enhanced by various aids such as brain-storming, checklist, various aids such as brain-storming, checklist, analogies etc.analogies etc.

Choice phaseChoice phase:: One of the alternatives developed in design phase

is selected and is called decision. For example The decision maker in the choice phase may reject all alternative and return to the design phase for developing more alternatives.

Type of decisionsType of decisions: : They also affect the They also affect the design of information system support for design of information system support for

decision activitiesdecision activities.. Purpose of decision making:Purpose of decision making: Robert B.

Anthony(1965) has differentiated organizational decision into three category

Strategic Planning decisions are those decision in which the decision-maker develops objectives and allocates resources to achieve these objectives.

Management control decisions are taken by management control level (middle level) mangers and deal with the use of resources in the organization.

Operation control decisions deal with the day to day problem that affect the operation of the organization. For example, production scheduling decision.

Level of programmabilityLevel of programmability:: Simon(1965) on the basis of the level of the programmability of decision, proposed two types of decision:

Programmed and non programmed, also known as structured and unstructured decisions

Programmed/Structured DecisionsProgrammed/Structured Decisions Programmed or structured decisions are those decision, which are well defined and some specified procedure. More modern techniques for making such decision involve operations research (OR), Mathematical analysis etc.

Non- programmed/ unstructured decisions: decisions which are not well defined and have no pre-specified procedure or decision rule are known as unstructured or non programmed decisions. Unstructured decisions tend to solved through judgment. Modern approaches to such decisions include special data analysis on computers.

Structure of MISStructure of MIS

Organization and Management

1. Behavioral Science Technique

2. Quantitative Technique

3. Decision Technique

4. Experience Rule

Technique of Management

Function of Management

Planning Organization Directing Staffing Controlling

Resource FlowsMan Power Money Material M/c Facilities

MIS

Structure of MISStructure of MIS: : Structure of MIS is a difficult concept to understand Structure of MIS is a difficult concept to understand

because because there is no standard or universally accepted is no standard or universally accepted framework for describing management information framework for describing management information system. For example , A car may be perceived in a system. For example , A car may be perceived in a number of different way; by describe the physical number of different way; by describe the physical

characteristics, i.e. its shapes, colour, seating capacity, characteristics, i.e. its shapes, colour, seating capacity, door etc. MIS structure be described by following a door etc. MIS structure be described by following a

variety of different approaches:variety of different approaches:

Physical components,Physical components, Information system processing functions,Information system processing functions, Decision supportDecision support Levels of management activities Levels of management activities Organizational functionsOrganizational functions

MIS Structure Based on Physical components:MIS Structure Based on Physical components:Structure of MIS may be understood by looking at the physical components of the information system in an organization. HardwareHardware: Hardware refers the physical data : Hardware refers the physical data

processing equipment and peripheral processing equipment and peripheral devices.devices.

SoftwareSoftware:: software is broad term given to the instruction or program that direct the operation of the hardware.

DatabaseDatabase: the data base consist of all data : the data base consist of all data utilized by application software.utilized by application software.

Input and outputInput and output: various physical input and : various physical input and output from the information system, existing output from the information system, existing in the form like printout, report etc.in the form like printout, report etc.

Information system processing functions: Information system processing functions: Information system structure can also be understood in term of its processing functions. The main processing functions of information system are described below:

To Process TransactionsTo Process Transactions:: Information systems process transaction may be defined as an activity taking place in an organization.

To Maintain Master files: Information systems create and maintain master files in the organisation. A master file stores the historical data about the organizational.

To Produce Reports: Reports are significant products of an information system. Many reports are produces on a regular basis, which are called scheduled reports. reports on a

To Process Interactive Support Applications

Decision SupportDecision Support: : Decision vary with respect to the Decision vary with respect to the structure that can be provided for making them. A highly structure that can be provided for making them. A highly

structured decision can be pre-planned. A structured structured decision can be pre-planned. A structured decision, because of its well defined nature can be said decision, because of its well defined nature can be said

to be programmable.to be programmable.

Level of management activitiesLevel of management activities: The structure of an information system can be categorized in terms of level of the management activities.

strategic planning deals with long-range considerations. The decisions include the choice of business directions, market strategy, product etc.

Management control level includes acquisition and organization of resource, structuring of work and training of personnel.

Operational control is related to short-term decision for current operations. Pricing, ,inventory level etc.

Organizational functionsOrganizational functions: The structure of management information system can also be described in

terms of the organizational functions. ActivitiesActivities

MIS etc.

personnel

production

Organizational functions

Strategic planning

Management control

Operational control

Transaction processing

Information: DefinitionInformation: DefinitionThe word ‘information’ is used commonly in in our The word ‘information’ is used commonly in in our day to day working. day to day working. ”Information is necessary and vital input in any ”Information is necessary and vital input in any decision- making process in an organization”. decision- making process in an organization”. Information in its unprocessed form is called data, Information in its unprocessed form is called data, which generated as a by product of transaction which generated as a by product of transaction taking place in the organization.taking place in the organization.

DATA PROCESSING INFORMATION

TYPE OF INFORMATIONTYPE OF INFORMATION: : information could information could be classified on the basis of the purpose for be classified on the basis of the purpose for which it is utilized, into main three categorieswhich it is utilized, into main three categories

Strategic informationStrategic information: This relates to long-term planning policies of the organization as a whole. For example: information pertaining to new technologies, new products etc.

Tactical Information: Information in this category is used in short-term planning and of use at management control level. For example, for sale analyses and forecasts, production resource requirements, annual financial statement etc.

Operational Information: Operational information applies to short periods which may vary from an hour to a few days. For Examples of operational information may include current stock-in-hand, work in progress level, outstanding order from customers etc.

Information presentation: : Presentation of the information is an art. The data Presentation of the information is an art. The data may be collected in the best possible manner and may be collected in the best possible manner and processed and processed analytically, brining lot processed and processed analytically, brining lot

of value in the information.of value in the information.Key of the Key of the summarizationsummarization

Focus of Focus of informationinformation

ExampleExample

Management Management positionposition

Management Management functions Levels in functions Levels in the organization the organization selective on selective on conditioncondition

ResponsibilityResponsibility

Performance, Performance, Goals, Goals, Targets Targets Relevance to Relevance to the level the level ExceptionsExceptions

General Manage, General Manage, Divisional head Divisional head Marketing, MaterialsMarketing, Materials

Production top, Production top, Middle Operations. Middle Operations. Only those products Only those products where sale is below where sale is below the budget.the budget.

Methods to Avoid Misuse of InformationMethods to Avoid Misuse of InformationMethodMethod ReasonReason ExampleExampleDelay Delivery of Delay Delivery of informationinformation

Change in the Change in the format and format and content of the content of the report.report.

Filtering of the Filtering of the information of information of confidential and confidential and sensitive naturesensitive nature

A Possibility of A Possibility of immediate action immediate action or decision is or decision is reduced.reduced.

Provide only that Provide only that information which information which may be needed, may be needed, hence the misuse hence the misuse is averted.is averted.

The Misuse of The Misuse of information for information for achieving the achieving the undesirable goalsundesirable goals

Sales report to the Sales report to the sales sales representativerepresentative

Sales information Sales information to operations to operations management, management, sales versus sales versus target for the target for the middle middle management.management.

The price. the cost The price. the cost of information, of information, design design informationinformation

Information QualityInformation Quality::Quality of information refers to its fitness for use, or its reliability. Quality of information refers to its fitness for use, or its reliability.

Some of the attribute of information, which influence the quality of Some of the attribute of information, which influence the quality of information are discussed as followsinformation are discussed as follows

TimelinessTimeliness: : Timeliness mean that information must reach Timeliness mean that information must reach the recipients within the prescribed timeframe. Timely the recipients within the prescribed timeframe. Timely information does not mean in time information only rather information does not mean in time information only rather it means timely as well as up-to-date information.it means timely as well as up-to-date information.

AccuracyAccuracy: Accuracy is another key-attribute of : Accuracy is another key-attribute of management information. Accuracy means more than just management information. Accuracy means more than just one plus one equal two. MIS supplies accurate information, one plus one equal two. MIS supplies accurate information, the confidence of the managers will be strengthened and the confidence of the managers will be strengthened and as a result, system implementation will be success.as a result, system implementation will be success.

CompletenessCompleteness: The information which is provided to a manager must be complete and should meet all his needs. Incomplete information may result in wrong decision and thus may prove costly to the organization.

Decision Support systemsDecision Support systems These system are help where These system are help where

the decisionthe decision maker calls for complex manipulation of these data maker calls for complex manipulation of these data and use of several method to reach an acceptable solution using and use of several method to reach an acceptable solution using

different analysis approach. These system have become different analysis approach. These system have become necessary for today’s manager because of following reasons:necessary for today’s manager because of following reasons:

Fast computationFast computation: : a decision maker can maker can a decision maker can maker can perform large number of computation very quickly.perform large number of computation very quickly.

Enhanced productivityEnhanced productivity: : support systems can support systems can enhance the productivity of support staff and also enhance the productivity of support staff and also enable the group members to discuss the problems enable the group members to discuss the problems among themselves at a distance.among themselves at a distance.

Data TransmissionData Transmission: Some time the data, which may : Some time the data, which may be stored different locations, may be required to be be stored different locations, may be required to be transmitted quickly from distant location.transmitted quickly from distant location.

Better DecisionsBetter Decisions: Computer support systems can : Computer support systems can help a decision-maker in arriving at a better decision.help a decision-maker in arriving at a better decision.

Attribute of decision support systemAttribute of decision support system : FlexibilityFlexibility: : The system are flexible so that any The system are flexible so that any

semi-structured or unstructured decision semi-structured or unstructured decision making situation can be tackled with ease and making situation can be tackled with ease and speed.speed.

Simple ModelsSimple Models: The only change is that a : The only change is that a different set of information is sought for the use different set of information is sought for the use of different models.of different models.

DatabaseDatabase: The decision support system needs : The decision support system needs database. The system calls for several inputs database. The system calls for several inputs from database for decision making.from database for decision making.

Characteristics and capability of DSSCharacteristics and capability of DSS: : Given below are the major DSS characteristics and Given below are the major DSS characteristics and

capabilities:capabilities: DSS provide support for decision-maker mainly in semi-DSS provide support for decision-maker mainly in semi-

unstructured and unstructured situation by brining unstructured and unstructured situation by brining together human judgment comprised information.together human judgment comprised information.

Support is provided for various managerial levels, Support is provided for various managerial levels, ranging from top executives to line managers.ranging from top executives to line managers.

Support is provide to individual as well as to groups.Support is provide to individual as well as to groups. DSS provide support to several interdependent or DSS provide support to several interdependent or

sequential decision.sequential decision. DSS support all phase of the decision-making process.DSS support all phase of the decision-making process. DSS support a variety of decision-making processes and DSS support a variety of decision-making processes and

styles.styles. DSS are flexible and so user can add, delete or rearrange DSS are flexible and so user can add, delete or rearrange

basic element.basic element. The decision-maker has complete control over all steps The decision-maker has complete control over all steps

of the decision-making in solving a problem.of the decision-making in solving a problem.

The Ideal Characteristic and Capabilities of DSSThe Ideal Characteristic and Capabilities of DSS

DSS

Ease of construction by End Uses

Adaptability and Flexibility

Support Variety of Decision styles and processes

Managers at Different Levels

Interdependent or Sequential

decision

Semi-structuredprograms

Support Intelligence

Design

Group and Individuals

1 2

4

87

3

6

5

Integration Web Connection

Data Access

Modeling and Analysis

Humans Control the Machine

Effectiveness not Efficiency

Interactive Ease of Use

13

12

11

10

9

14

Type of decision support systemType of decision support systemSystemSystem Input Input

SourceSourceSystemSystem HardwarHardwar

eeUserUser

1.Inquiry1.Inquiry

2. Data 2. Data AnalysisAnalysis

3.Informati3.InformationAnalysisonAnalysis

4.Accounti4.Accountingng

5.Model 5.Model Based Based ControlControl

(a)(a) DatabaseDatabase

(b)(b) ConventionaConventionall

Database and Database and Other filesOther files

Processed Data Processed Data

Files.Files.

TransactionsTransactions

Master FilesMaster Files

External DataExternal Data

Query Query SystemSystem

Package of Package of systemsystem

Analysis Analysis programmeprogrammes.s.

Transaction Transaction Processing Processing SystemSystem

Business Business ModelModel

PC Servers PC Servers and Clientsand Clients

Mainframe Mainframe or serveror server

Mainframe,Mainframe,Mini,SuperMini,Super

Mini, Mini, Mainframe, Mainframe, sever.sever.

Mainframe ,Mainframe ,MiniMini

Clerk, Clerk, AssistantsAssistants

Operations Operations ManagersManagers

Middle Level Middle Level ManagerManager

Middle and Middle and

Top Top ManagemenManagementt

Middle and Middle and Top Top ManagemenManagementt

Executive support systemExecutive support system

Executive support system (ESS) is an Executive support system (ESS) is an extension of the management extension of the management

information system, which is a special information system, which is a special kind of DSS and provides critical kind of DSS and provides critical

information from various inter and intra-information from various inter and intra-sources in easy to use display.sources in easy to use display.

ESS is a comprehensive information ESS is a comprehensive information system which includes various type of system which includes various type of decision-support system, but it is more decision-support system, but it is more

specific and persons-oriented. specific and persons-oriented.

Business Expert systems:Business Expert systems:Business expert system, which are based on artificial Business expert system, which are based on artificial intelligence (AI), are advanced information system. intelligence (AI), are advanced information system.

Artificial intelligence may be referred to as the capability Artificial intelligence may be referred to as the capability that makes commputers display intelligent, human like that makes commputers display intelligent, human like

behavior. For example problem solving are such acts of behavior. For example problem solving are such acts of intelligence. A business expert system (BES) is intelligence. A business expert system (BES) is

knowledge-based information system that uses its knowledge-based information system that uses its knowledge about a specific, complex application area to knowledge about a specific, complex application area to

act as an expert.act as an expert.The main advantage of using expert systemThe main advantage of using expert system

The knowledge/capabilities of many expert can be The knowledge/capabilities of many expert can be used to build a single expert system.used to build a single expert system.

Decision-making in critical times can be more reliableDecision-making in critical times can be more reliable Multiple hypotheses can be considered simultaneouslyMultiple hypotheses can be considered simultaneously

The main component of an expert systemThe main component of an expert system Knowledge baseKnowledge base Inference engine Inference engine User inferenceUser inference

Knowledge base contains the facts about Knowledge base contains the facts about the specific expert area.the specific expert area.

Inference engine contains the logic of Inference engine contains the logic of reaching an inference from the stored reaching an inference from the stored data.data.

Expert system may be developed by suiting Expert system may be developed by suiting either programming language such as c either programming language such as c &c++ by using expert system packages.&c++ by using expert system packages.

Main components of expert systemMain components of expert system

User Interface

LogicRules, Facts

Knowledge Base Inference Engine

Knowledge Management SystemsKnowledge Management Systems

Knowledge management system are Knowledge management system are information systems that are knowledge information systems that are knowledge based and, thus, support the creation, based and, thus, support the creation,

organization and dissemination of business organization and dissemination of business knowledge to managers. For example knowledge to managers. For example

Intranet access to the best practices and Intranet access to the best practices and solution various business problems. solution various business problems.

They are developed to provided quick They are developed to provided quick feedback to knowledge workers, encourage feedback to knowledge workers, encourage

behavior change by employees and behavior change by employees and improve business performanceimprove business performance

COMPUTER BASED COMPUTER BASED INFORMATION SYSTEM INFORMATION SYSTEM

Top ManagementTop Management Decision Supporting System

Middle Management Management information System

First Line Management Transaction Processing System

Clerical PersonOffice automation system

DSS

M I S

T P S

O A S

OASOAS:-:-Relates to Clerical Persons, Max work is done in Relates to Clerical Persons, Max work is done in this system.this system.

TPS:- Knows as first Line Management. MIS:- Middle Management DSS:- Top ManagementAn Information System can be Simply Defined as the Interaction of

Man and Machine Under Man’s Control Which Gather data and Information to its user.

To accomplish this data must be evaluated analyzed and processed to produce meaningful and useful information on which management can take correct decision for future growth of the organization.

Information system plays very important role in modern economy. There information use the opportunity and Problem well advance on process data and facts are simple data but not the information. An information system is the basic for interaction between the user and analyst also. It provides introduction instruction and feed back also.

It also determined the nature of relationship among decision makers. Infect it may be viewed as a decision centre for the management at different labels from the basic information system now a day it may defined as set of device ,procedures and operating system around which the meaningful information may be created.

S.A. developed several different type of information system to meet a variety of business needs. These information system are called C.B.I.S (Computer based information system)

CBIS may consist the following DSS, CBIS may consist the following DSS, MIS,TPS,OAS MIS,TPS,OAS

Information systems hierarchy of CBIS Information systems hierarchy of CBIS as followsas follows

DSS

MIS

TPS

OAS

CBIS in an organization context CBIS in an organization context

Planning controlling /Planning controlling / Decision makingDecision making

MISDSS

Decision making

DATA COMPUTERAPPLICATION

PROGRAM

TPS OAS Clerical Task

Sales Receipts bills etc

OASOAS:-:-OAS is most rapidity expanding CBIS.OAS is most rapidity expanding CBIS.

They are being used in most of the organization with expectation that They are being used in most of the organization with expectation that the will increased the efficiency and productivity of office workers.the will increased the efficiency and productivity of office workers. OAS consist of installation of word processing system to facilitate the OAS consist of installation of word processing system to facilitate the typing work, storing, editing and printing of text materials .typing work, storing, editing and printing of text materials . OAS may also consist the e-mail services that is to communication in OAS may also consist the e-mail services that is to communication in electronic mode in the single way. electronic mode in the single way. OAS is a multifunction computer based system that allows office OAS is a multifunction computer based system that allows office activities to be perform in electronic mode.activities to be perform in electronic mode.

TPSTPS:-:- It refers to the traditional application of computer like It refers to the traditional application of computer like

invoicing , billing, order, entry, inventory etc.invoicing , billing, order, entry, inventory etc. A transaction is suppose to be completed if all the relative data A transaction is suppose to be completed if all the relative data bases , that are effected by this transaction are updated and all the bases , that are effected by this transaction are updated and all the updation are completed.updation are completed.

MIS:-MIS:-MIS may be describe as an information in the form of MIS may be describe as an information in the form of

standard reports and displays to managers.standard reports and displays to managers. MIS is a broad class of information system that are designed to provide MIS is a broad class of information system that are designed to provide information system that are design to provide- information needed for information system that are design to provide- information needed for effective design making by managers, so the term MIS may be used in effective design making by managers, so the term MIS may be used in many organization as the title of their computer services.many organization as the title of their computer services. MIS is design to provide accurate timely and relevant information MIS is design to provide accurate timely and relevant information needed for effecting design making by managers.needed for effecting design making by managers.

In other words MIS is a general purpose integrated system that In other words MIS is a general purpose integrated system that monitor and control the internal operation of an organization.monitor and control the internal operation of an organization. MIS provides vital information to middle managers to take the tactical MIS provides vital information to middle managers to take the tactical design for the daily operations as well as for the long rang goal of the design for the daily operations as well as for the long rang goal of the company.company. The input to the MIS comes from TPS and may come from the other The input to the MIS comes from TPS and may come from the other source also( different changes in environment).source also( different changes in environment).

Conti….Conti….

TThe out of MIS is in two forms he out of MIS is in two forms 1. summary reports1. summary reports2. Special reports.2. Special reports. A summary report accumulates data from several transaction and presents A summary report accumulates data from several transaction and presents the result in compact form.the result in compact form.For Ex. A bank manger may get a summary report listing the total money For Ex. A bank manger may get a summary report listing the total money deposited and withdraw made on the previous day.deposited and withdraw made on the previous day. A special report is a report that outline any deviator from expected results. A special report is a report that outline any deviator from expected results. The primary purpose of these special report is to draw the attention to any The primary purpose of these special report is to draw the attention to any significance difference between actual performance ad expect performance.significance difference between actual performance ad expect performance.

Transaction DataTransaction Data TPS MIS

Summery report

Special report

There are three major difference between TPS and MIS.There are three major difference between TPS and MIS.

1. The primary goal of T.P.S is to record and process transaction 1. The primary goal of T.P.S is to record and process transaction that takes, that takes place in the company while the primary goal that takes, that takes place in the company while the primary goal of MIS is to produce summary and special report used in tactical of MIS is to produce summary and special report used in tactical design making.design making.

2. Output of TPS becomes the input to the MIS although TPS is 2. Output of TPS becomes the input to the MIS although TPS is not only the one source for the MIS.not only the one source for the MIS.

3. The TPS helps managers day to day operation, while the MIS 3. The TPS helps managers day to day operation, while the MIS help managers to make tactical design over a large period of time help managers to make tactical design over a large period of time such as year or six monthsuch as year or six month

DSS (Decision Supporting DSS (Decision Supporting system):-system):-

DSS are interactive computer based information system that use DSS are interactive computer based information system that use designing modules and specialized data bases to assist the designing modules and specialized data bases to assist the designing making process of managerial ad users.designing making process of managerial ad users.

A DSS provides analytics modeling data retrieval and A DSS provides analytics modeling data retrieval and information presentation capabilities that allow managers to information presentation capabilities that allow managers to generate the information that they need to take decisions.generate the information that they need to take decisions.

TYPE OF TYPE OF SYSTEMSYSTEM

INPUTINPUT PROCESSPROCESS OUTPUTOUTPUT USERSUSERS EXAMPLEEXAMPLE

OASOAS Data and Data and informationinformation

Formatting Formatting summarizing summarizing displayingdisplaying

Document Document Graphics Graphics multimediamultimedia

Clerical Clerical workers workers

Fax, Fax, multimediamultimedia, video , video conferenciconferencingng

TPSTPS Transaction Transaction related datarelated data

Procedures and Procedures and rulesrules

Summary of Summary of transactiontransaction

Low level Low level ManagersManagers

Monthly Monthly reports, reports, monthly monthly billingbilling

MISMIS Output from TPS Output from TPS and externaland external

Measures and Measures and monitorsmonitors

For operations For operations performanceperformance

Summary Summary reports special reports special reportsreports

Middle Middle ManagersManagers

Planning Planning reports for reports for month , month , YearYear

DSSDSS Internal ad Internal ad External data and External data and models models Knowledge of Knowledge of experienceexperience

Interaction with Interaction with ReportingReporting

AlternativesAlternatives Top ManagersTop Managers Investment Investment Plant Plant ExperienceExperience

MIS and Decision MakingMIS and Decision Making:-:-

Despite the fact that decision making can be treated as a central Despite the fact that decision making can be treated as a central aspect of managing, the literature and teaching surrounding decision aspect of managing, the literature and teaching surrounding decision making have generally focused on the movement of decision rather making have generally focused on the movement of decision rather than on the whole lengthy complex processes of defining and exploring than on the whole lengthy complex processes of defining and exploring the many alternative in a decision that precedes the final act of the many alternative in a decision that precedes the final act of deciding.deciding. The system analyst ad for the Managers who participate in an The system analyst ad for the Managers who participate in an utilize the M.I.S to assist in the decision making process, the step utilize the M.I.S to assist in the decision making process, the step problem solving and system design are extremely important.problem solving and system design are extremely important. The ultimate purpose of the MIS The ultimate purpose of the MISis to make decision at all level based upon the information flow.is to make decision at all level based upon the information flow. The decision making through MIS improves the ability of managers. The decision making through MIS improves the ability of managers. The decision are of two types The decision are of two types1. Program decision1. Program decision2. Non program decision2. Non program decision

Program decision:-Program decision:- Program decision are if they are repeated and routine, o add-hoc. Decisions Program decision are if they are repeated and routine, o add-hoc. Decisions are treated I new situation at every time it arises.are treated I new situation at every time it arises. The Ex of program decision are available in almost I all organization. The The Ex of program decision are available in almost I all organization. The most familiars are the pay accordance with the union agreement, company most familiars are the pay accordance with the union agreement, company policy regulation, pricing orders etc.policy regulation, pricing orders etc.

Non programsNon programs:- :- Decision which are non program are unstructured Decision which are non program are unstructured may be new, may be complex or may be involve major commitments. the Ex of may be new, may be complex or may be involve major commitments. the Ex of o program decision are advertisement budgets, new product decision ,bound o program decision are advertisement budgets, new product decision ,bound member selection etc.member selection etc.

General business planningGeneral business planning:- :- The Ist step to MIS planning is The Ist step to MIS planning is related to general business planning no.related to general business planning no.MIS department can be decide that what they should do or how they should do MIS department can be decide that what they should do or how they should do without the ground work provided by the objectives and plan of the company.without the ground work provided by the objectives and plan of the company.

MIS objectivesMIS objectives:- :- M.I.S objectives are derived from the company’s M.I.S objectives are derived from the company’s

objectives. Each company objectives should be reflected In MIS objectives.objectives. Each company objectives should be reflected In MIS objectives. The MIS objective calla for a supporting contribution to need the company The MIS objective calla for a supporting contribution to need the company goal. Let us take a Example, Suppose a company wants to increase its market goal. Let us take a Example, Suppose a company wants to increase its market share I market segment from 10 to 14 percent in the ext year.share I market segment from 10 to 14 percent in the ext year. In this example a great deal of information will l be required. In this example a great deal of information will l be required. 1. How the market currently allocated.1. How the market currently allocated.2. What product did offer to get and hold its share of the market2. What product did offer to get and hold its share of the market3. What type of customers does each of these product appeal.3. What type of customers does each of these product appeal.

MIS PlanningMIS Planning:-:-The following will be key step in the MIS Planning.The following will be key step in the MIS Planning.

11. . The problem statementThe problem statement:- :- The problem statement must be made clear to The problem statement must be made clear to those who will design and implement the MIS. The problem statement will first those who will design and implement the MIS. The problem statement will first determine the user need I specific terms. determine the user need I specific terms. The statement of the problem may be give to a computer specialist, specialist The statement of the problem may be give to a computer specialist, specialist for analysis (Expert Analysis) etc.for analysis (Expert Analysis) etc.

2.2.InputInput:- From where the input will come and how human and :- From where the input will come and how human and machine will interacts.machine will interacts.

3. 3. HowHow:- How means what process to be used.:- How means what process to be used.

4.4.OutputOutput:- The result from the system but they should be :- The result from the system but they should be detailed.detailed.

5.5.BudgetBudget:- Financial assistance required by MIS planner.:- Financial assistance required by MIS planner.

6.6.scheduleschedule:- A time table for performing these tasks.:- A time table for performing these tasks.

MIS Planning Cycle:- MIS Planning Cycle:- M.I.S is a cycle M.I.S is a cycle process the cycle is as followsprocess the cycle is as follows

General needs+ Objectives

Specific needs+Objectives

High level Planning

Low level Planning

Very Refine Plan

Conti…..Conti…..We will develop a MIS according to very refined plan.We will develop a MIS according to very refined plan.MIS Planning is iterative process.MIS Planning is iterative process.

The MIS plan will be cycle considering general needs ad The MIS plan will be cycle considering general needs ad objectives then high level plan as well as the project will a head objectives then high level plan as well as the project will a head lower level plan and finding a very refined plan will be available. lower level plan and finding a very refined plan will be available. So this activity is cyclic.So this activity is cyclic.

What Item to be kept I Planning of the MISWhat Item to be kept I Planning of the MIS:-:-

The following item to be kept in planning of the MISThe following item to be kept in planning of the MIS

A summary statement of the problem being solved by A summary statement of the problem being solved by project is required.project is required.

The break down of structure (work) to be done.The break down of structure (work) to be done. A list of dependent outside group, with target dates A list of dependent outside group, with target dates

(External Factors).(External Factors). The list of outside groups that depend on this project.The list of outside groups that depend on this project. The skill needed to complete this project.The skill needed to complete this project. The resources needed to complete this project must be The resources needed to complete this project must be

identified .identified . A Budget which must be the part of plan.A Budget which must be the part of plan. A Statement of reporting and tracing system.A Statement of reporting and tracing system. A Schedule of activitiesA Schedule of activities A Backup Plan may be the part of a plan.A Backup Plan may be the part of a plan.

WBS (Work Break Down Structure)WBS (Work Break Down Structure)

The following Work Down Structure The following Work Down Structure System to Sub-System System to Sub-System Sub-System to taskSub-System to taskTask to sub-taskTask to sub-task

sub-task to work packagesub-task to work package WBS is the structure which consists of project management to work which WBS is the structure which consists of project management to work which starts with a total and result desiredstarts with a total and result desired

MPS(Master Plan Schedule/Master Programe Schedule)MPS(Master Plan Schedule/Master Programe Schedule)

This is a time table for each activity. It may be consist of time for the work This is a time table for each activity. It may be consist of time for the work package package The master plan schedule provides the calendar dates for each major tasks as The master plan schedule provides the calendar dates for each major tasks as well as minor tasks, for a small MIS Project this may be a very small chart, well as minor tasks, for a small MIS Project this may be a very small chart, consist of date and allotted time.consist of date and allotted time.If a big MIS Project is there that may be a network structure.If a big MIS Project is there that may be a network structure.

BudgetingBudgetingBudgeting is the most important for any project development, the Budgeting is the most important for any project development, the two things must be made clear about the budgeting the projecttwo things must be made clear about the budgeting the project(1) Resources:- From where the budget will be available (1) Resources:- From where the budget will be available (2) Cost of Individual item:- (A) Reporting and Controlling:- The (2) Cost of Individual item:- (A) Reporting and Controlling:- The basic for reporting and controlling must be on the basic P\C\T basic for reporting and controlling must be on the basic P\C\T (Performance, Cost, and Time). These all three elements must (Performance, Cost, and Time). These all three elements must reported in such way that they provides the information together, reported in such way that they provides the information together, which makes reporting useful.which makes reporting useful.

MIS DevelopmentMIS Development

Management Needs

+Objectives

System Requirement

and ObjectivesPlanning

Conceptual design

DevelopmentSchedule

Development Cost

Evaluation ImplementationDetailedDesign

Conti…………….Conti…………….If we securitizes this picture conceptual Design is the centre point If we securitizes this picture conceptual Design is the centre point in the MIS development. Once the conceptual design has been in the MIS development. Once the conceptual design has been made, The answer of question that how successful The MIS made, The answer of question that how successful The MIS project will be can be answered.project will be can be answered.

The most important aspect is that what are the key task performed The most important aspect is that what are the key task performed in the conceptual design. in the conceptual design.

1. Define the problem in more detail.1. Define the problem in more detail.2. Refining the management objectives to set system objectives2. Refining the management objectives to set system objectives3.Estabilishing system constraints.3.Estabilishing system constraints.4. Determining information needs and sources.4. Determining information needs and sources.5. Document the system conceptual design.5. Document the system conceptual design.

Establishing system constraintsEstablishing system constraints Constraints provides the designer to stipulate the condition Constraints provides the designer to stipulate the condition under which objectives may be obtained and to consider the under which objectives may be obtained and to consider the limitations that restrict the design.limitations that restrict the design. Although constraints may be viewed as a negative limitation on Although constraints may be viewed as a negative limitation on system design but there is a positive benefit as well as but It is system design but there is a positive benefit as well as but It is more useful.more useful.Constraints may be classified either internal or external.Constraints may be classified either internal or external.

Conti………………Conti………………

Customer CustomerGovernment

Constraints on system Design

TopManagement

Support

Objectives and Policy

Man Power

Cost and Resources

Top Management

Support

Top Management

Support

Internal Constraints

External Constraints

Internal constraintsInternal constraintsInternal constraints are those constraint which are in the origination. The Internal constraints are those constraint which are in the origination. The following are the internal constraints.following are the internal constraints.

1.1.Top Management SupportTop Management SupportA good environment for information system must be setup and there is a one A good environment for information system must be setup and there is a one essential things is the approval and support of the top management. These essential things is the approval and support of the top management. These constraints definitely influences the kind of the system which will be used by the constraints definitely influences the kind of the system which will be used by the managers.managers.

2. 2. objective and policyobjective and policy The organizational and policy The The organizational and policy The organizational and policy consorganizational and policy consiiduration frequently set limit on the objectives duration frequently set limit on the objectives and modify the and modify the aaapproach to design a system.approach to design a system.TThe structure of the organization ahe structure of the organization annd managers occupying the various d managers occupying the various positions influences the information flow and the use of system output.positions influences the information flow and the use of system output.ThThe organization polices frequently define and limite organization polices frequently define and limitss the approach to system the approach to system design.design.TThe policy may be about the service, R & D( Research and Development) he policy may be about the service, R & D( Research and Development) marketing, finance, personal etc.marketing, finance, personal etc.

3. 3. Man PowerMan Power The personal needs and the personal and personal The personal needs and the personal and personal availability is a major limiting factor in both the design and utilization of the availability is a major limiting factor in both the design and utilization of the information system.information system.

Computer and system skill is most critical. The automation , the computer Computer and system skill is most critical. The automation , the computer system and system design after change the people, responsibilities and their system and system design after change the people, responsibilities and their facilities, organization changes etc.facilities, organization changes etc.

4. 4. Cost and resourcesCost and resources cost a major resource limitation. The cost to cost a major resource limitation. The cost to achieve the objectives should be compared with the benefits to be desired.achieve the objectives should be compared with the benefits to be desired. The computer capacity and other facilities relating to operation of data The computer capacity and other facilities relating to operation of data processing should be utilized in an optimum way.processing should be utilized in an optimum way.

5.5. AcceptanceAcceptance acceptance is a limitation to the designer itself. He\She acceptance is a limitation to the designer itself. He\She always be aware about the success of the new system. So it is easily accepted.always be aware about the success of the new system. So it is easily accepted.

66. . Self ImposedSelf Imposed The self imposed restrictions are those which are The self imposed restrictions are those which are placed on the design by designer itself.placed on the design by designer itself.These limitation may also be imposed by the manager to get the objectives.These limitation may also be imposed by the manager to get the objectives.

External ConstraintsExternal Constraints External constraints are those constraints which are outside of the organization.External constraints are those constraints which are outside of the organization.There are three possibilities from where the external constraints may apply on There are three possibilities from where the external constraints may apply on the designer during the designing of the information system.the designer during the designing of the information system.

((1)1) customer customer The most important external constraints is the customer.The most important external constraints is the customer.The interface of the customer to system must be in the mind of the designer.The interface of the customer to system must be in the mind of the designer.It’s demand, It’s acceptance to the output must be considered.It’s demand, It’s acceptance to the output must be considered.

(2) (2) Govt. and legal Govt. and legal A variety of limitation and constraints are always imposed A variety of limitation and constraints are always imposed by the government. They must be consider always.by the government. They must be consider always.

(3)(3) Other Other The other may consist of social environment constraint. They may be The other may consist of social environment constraint. They may be considered also.considered also.

(4) (4) Determined information needs Determined information needs A clear statement of information need is A clear statement of information need is fundamental and necessary for a good system design. There are several fundamental and necessary for a good system design. There are several companies which spend a lot of money on H/W and S/W for the existing system companies which spend a lot of money on H/W and S/W for the existing system and makes a big databank without knowing the real information need of and makes a big databank without knowing the real information need of management.management.

Project management of detailed system Project management of detailed system design or Project Management of M.I.S design or Project Management of M.I.S

Once the project manager and the project personal have been designated the Once the project manager and the project personal have been designated the two important aspect of project management comes ie project planning and two important aspect of project management comes ie project planning and project control.project control.The amount of efforts in each step will depend on the MIS project.The amount of efforts in each step will depend on the MIS project.

Project PlanningProject Planning

The following step will be the part of project planning.The following step will be the part of project planning.

1. Established the project objectives.1. Established the project objectives.2. Define the project task.2. Define the project task.3. Plan the logical development of sequential and concurrent task activities.3. Plan the logical development of sequential and concurrent task activities.4.Schedule the work as required by the management4.Schedule the work as required by the management5. Estimate labor, equipment devices and other cost of the project.5. Estimate labor, equipment devices and other cost of the project.6. Established a budget for the project by allocating funds to each task.6. Established a budget for the project by allocating funds to each task.7. Planned the staffing of the project organization over its life.7. Planned the staffing of the project organization over its life.

Project controlProject control

The following step may be considered for project control.The following step may be considered for project control.

1. Determined whether project objectives are being meet 1. Determined whether project objectives are being meet as the project progresses.as the project progresses.

2. Maintain a control over the schedule. So required task 2. Maintain a control over the schedule. So required task may be completed within the allocated time.may be completed within the allocated time.

3.Evaluate expenditure of fund in terms of work 3.Evaluate expenditure of fund in terms of work progress.progress.

5. Evaluate cost, time and work performance as whole5. Evaluate cost, time and work performance as whole ..

Define the subsystemDefine the subsystem The process is started by defining the subsystem with two principal block of The process is started by defining the subsystem with two principal block of information.information.

1. the conceptual design.1. the conceptual design.2. The dominant and trade of criteria.2. The dominant and trade of criteria.

Although the conceptual design requires some assumptions concerning the Although the conceptual design requires some assumptions concerning the subsystem.subsystem.It is necessary new to review these subsystem and redefine them. Based upon It is necessary new to review these subsystem and redefine them. Based upon the conceptual design investigation of detailed activity of each major of activity the conceptual design investigation of detailed activity of each major of activity must be undertaken.must be undertaken.

The subsystem may consist simply of the activities corresponding to a major The subsystem may consist simply of the activities corresponding to a major activity. The activities may be transferred from one group to another to make activity. The activities may be transferred from one group to another to make the network of the subsystem.the network of the subsystem.

Information for Defining the subsystemInformation for Defining the subsystem

The objective of the design is to find a set of sub system that satisfies the The objective of the design is to find a set of sub system that satisfies the performance requirement specified by conceptual design.performance requirement specified by conceptual design.The such information consist of The such information consist of 1. Dominant and tradeoff criteria for the operation of MIS as a whole system.1. Dominant and tradeoff criteria for the operation of MIS as a whole system.2.Available resources.2.Available resources.3. Required activates.3. Required activates.4.Necesary controlled position in the system4.Necesary controlled position in the system5.Management decision points.5.Management decision points.6. specific output required by system.6. specific output required by system.

Obtaining informationObtaining information

The designer utilizes four major source for the design of MIS.The designer utilizes four major source for the design of MIS.1. Task Force Meeting1. Task Force Meeting2. Personal Interview.2. Personal Interview.3. Observation of operation and communication.3. Observation of operation and communication.4. There may be another source in term of external and internal documents.4. There may be another source in term of external and internal documents.

1.1.Task Force MeetingTask Force Meeting For the design of large system, The task meeting are very important. The task For the design of large system, The task meeting are very important. The task force for the major activities should consist of the managers and designers as force for the major activities should consist of the managers and designers as well as specialist in term of area. The designer should chair the task of once well as specialist in term of area. The designer should chair the task of once meeting. The designer function is to draw idea and information from their meeting. The designer function is to draw idea and information from their decisions. The task force meeting bring out the groups information, The decisions. The task force meeting bring out the groups information, The operation need etc.operation need etc.After several meeting the design of the subsystem may be created.After several meeting the design of the subsystem may be created.

2.2.Personal InterviewPersonal Interview Beside the task force meeting the designer should conduct interviews the Beside the task force meeting the designer should conduct interviews the designer should conduct interview with key manager of top level and a simple designer should conduct interview with key manager of top level and a simple operating peoples. operating peoples. In the interview with managers the designer should seek information about the In the interview with managers the designer should seek information about the objective of the organization, major policies, category of information, speed objective of the organization, major policies, category of information, speed getting the information, style of decision, degree of managers, involved in the getting the information, style of decision, degree of managers, involved in the decision etc.decision etc.

33. . Internal and External documentsInternal and External documents These may be several These may be several internal document by which the information can obtain and depending upon internal document by which the information can obtain and depending upon these information is available.these information is available.The internal document may be organization policy guides, processor manuals, The internal document may be organization policy guides, processor manuals, account structure, marketing, purchasing employees etc.account structure, marketing, purchasing employees etc.

Search the detailed of operational subsystem and Search the detailed of operational subsystem and information flowinformation flow The development in the detailed design first carry out for the subsystem. In MIS design the scratches are flow chart. Generally there are three type of flow chart.

1. Task oriented chart These are block diagram showing the relationship among the various task or activities.

2. Form oriented chart These are prepared by people who give instruction to the computer. These show logical sequence of the program.

3. Program flow Chart These are prepared by people who give instruction to the computer. These show logical sequence of the program.

Input output FormInput output Form Each subsystem has requirement for information count and produce outgoing Each subsystem has requirement for information count and produce outgoing information to be used another subsystem by end user. information to be used another subsystem by end user.

Early system Testing

As soon as the designed the detailed structure of the proposed MIS on the basis conceptual design, prior to implementation. It is advisable that early system testing should be conducted.During the design effort the system have qualified and quantified as much as possible. Now attempt should be made determined quantitative range for input and outputs, the functions time for operation in the system decision for operation in the system decision models which may be developed either in the form of mathematical equations or in the form of decision table. The purpose of modeling at this state is to define the system more precisely and to improve it. Logical tables may be developed for decision models, such decision tables may include both quantitative and qualitative basis for decision making. For every small system the best may be conversion into online operation. In very large system simulation may be too complex and costly.Simulation has advantage in permitting evaluation of the system against the criteria of the conceptual design performance specifications.

Hardware and Software and ToolsHardware and Software and Tools

The software design should be done in proper attention and it should be done prior the implementation phase and when the actual implementation take place. The software are ready. There are some step which are necessary for s / w development and they are

1. Develop standard procedures for programming.2. Develop the data processing logic and also make the flow chart.3.Study the conceptual design specification and work on that. Similarly the system designer should be consider idly H/ W configuration. The following item should be guide the designer in their hardware selections.

1. Buy enough computing power to do the whole job.2. Buy enough external storage to hold the required database and backup.3. Buy some other peripheral device according to need.4.Buy computer stationary as needed.5. Buy the best documentation.6. Buy sufficient maintain support software.

MIS Implementation There are four basic method for implementing the MIS.

1. Install a system in a new organization just being formed.2. Cut of the old system and install the new one This produces a time gap during which no system is in operation. This practical only for small system, where installation required one two way.3. Cut Over by segments This method is prepared for big one also small system are substituted by old one.4. Operate In parallel and cut over The new system is installed and operate it in parallel with the current system until it has been checked out then the current system is cut over. This method is expensive.

Plan the implementation There are three main phase in implementation that takes place in series and they are

1. Initial Installation2. Test a system as a whole.3. Maintains and control of a system.

Control and Maintain of the system Control and Maintain of the system are the responsibility of the line managers. Control of the system means ,We control the system and makes the system operational. Some people make the unauthorized change to improve the system i.e. the change that are not approved or documented. It is the duty of the management at reach level in the organization to provide spot checks of system for control purposes. The maintains is closely related to control. In other words maintain of MIS is directed towards reducing errors due to design reducing error environment and improving the system scope and services.These activities are classified in four categories.1.Emergency maintains.2. Route maintains3.Request for special maintains.4.System improvements.Maintenance may be applied to the following activities.1. Change in policy statements2. Change in reports.3. Change in forms.4. Change in operating system.5.system control and security needs.

Internal Problems related to MIS Maintains

Several problem may arise in the area of maintain also. They may be summarized as follows.

1. No plan for maintains.2. No resources allocation for maintains.3. Lack of management understanding interest and commitment.4.Lack of qualified persons.

Responsibility for Maintains

The specific responsibility for the maintains of the system should be sign to a supervisors and a team of MIS Analyst, Programmers and for specialist.The fragmentation of responsibility for the MIS Maintains should be given individually for their related areas. After certain period time by a combined meeting, they can evaluated as whole they system maintains.

ERP (Enterprise Resource Planning)ERP (Enterprise Resource Planning): : ““The business information systems that integrate The business information systems that integrate various functions of business are called Enterprise various functions of business are called Enterprise Resource Planning”. Resource Planning”.

ERP systems originally evolved from manufacturing ERP systems originally evolved from manufacturing resource Planning (MRP) system. ERP systems resource Planning (MRP) system. ERP systems integrate many common applications into one system.integrate many common applications into one system.ERP system is an information system that supports ERP system is an information system that supports several areas of business by common applications into several areas of business by common applications into one system. one system. For ExampleFor Example: The finance department might want to cut : The finance department might want to cut down the advertising budget, whereas the marketing down the advertising budget, whereas the marketing department might want more money for advertising.department might want more money for advertising.

DEFINITION OF ERPDEFINITION OF ERP: : ERPERP system are computer based system are computer based system designed to process an organization transaction and system designed to process an organization transaction and facilitate integrated and real-time planning, production and facilitate integrated and real-time planning, production and customer response.customer response.

Characteristics of ERPCharacteristics of ERP::

(a) ERP system integrate the various processes in the (a) ERP system integrate the various processes in the organization. organization.(b) ERP system support multiple currencies and languages.(b) ERP system support multiple currencies and languages.(c) ERP system have the ability to customize without (c) ERP system have the ability to customize without programming. programming.(d) ERP system have support for specific industries.(d) ERP system have support for specific industries.(e) ERP system is flexible to accommodate the changing needs of (e) ERP system is flexible to accommodate the changing needs of

an enterprise. an enterprise.(f) ERP has many features like security, authorization, (f) ERP has many features like security, authorization, referencing, responsibility and the implementation business of referencing, responsibility and the implementation business of business rule. business rule.

Benefits of ERPBenefits of ERP ::(a) ERP systems employ best practice business (a) ERP systems employ best practice business processes. processes.(b) ERP enables organizational standardization (b) ERP enables organizational standardization across different location. across different location.(c) ERP eliminates information asymmetries (c) ERP eliminates information asymmetries because all the information is put into the because all the information is put into the same underlying database. same underlying database.(d) ERP systems reduce the delivery cycle, (d) ERP systems reduce the delivery cycle, customer satisfaction increases. They also to customer satisfaction increases. They also to maintain closer contact with customers. maintain closer contact with customers.(e) ERP system make the business operation (e) ERP system make the business operation transparent between business partners transparent between business partners