Limitations Of MISi]
A Management
Information System (MIS) is a valuable tool company management uses to gauge
the effectiveness of their business operations. The MIS can provide detailed
insight to certain portions of a company and also assist management with making
critical business decisions. While the style and format of the MIS has changed
over the years, its use in management decisions has increased greatly.
The Facts
An MIS is
one method a company uses to obtain reliable information regarding its business
operations. The MIS should not be concerned with whether the information can be
retrieved, but rather how and what information should be retrieved so
management can make effective decisions. Once information is provided through
the MIS, decisions can be made regarding the effectiveness of business
operations. Limitations do exist with an MIS, such as the expense to create and
implement an MIS, training time for employees, lack of flexibility and
capturing wrong or incomplete information.
MIS Expense
MIS
implementation can be very expensive for companies looking to manage their
operations more effectively. All divisions and processes must be reviewed when
determining what information management wants extracted for decision purposes.
The cost of this review followed by the installation costs can be extremely
expensive for large companies. Additionally, new employee hiring or employee
training related to the MIS can also add to the implementation costs.
Employee Training
Properly
trained employees are a critical part of an MIS. Employees are at the front
lines of business operations and create or manage the daily activities of the
company. If an MIS finds a system flaw or management decides to change a
process based on the MIS information, re-training employees will usually be
required. The length and depth of the training may vary, making it difficult to
estimate the cost of this training. Management will also have to account for
the lost productivity during this training period.
MIS Flexibility
Once an MIS
is created and installed in a company, it may prove to be an inflexible system.
Making changes quickly to reflect fluctuating business operations may not be
possible depending on the MIS style and functionality. While correcting
policies such as internal controls or operating procedures may be easy,
company-wide changes such as service changes, production enhancements or
marketing strategy may not be simple. Major business changes will require major
changes to the MIS, leading to increased costs and downtime of information
reporting.
Information Flaws
The MIS is
designed to provide information to management so sound decisions can be made
regarding company operations. The biggest flaw an MIS can have is pulling
incorrect or inadequate information for management. This problem results in
wasted time and money for the company, leading to another review of the MIS to
correct the information flaws.
I) Unemployment - While information technology may have streamlined
the business process it has also crated job redundancies, downsizing and
outsourcing. This means that a lot of lower and middle level jobs have been
done away with causing more people to become unemployed.
II) Privacy - Though information technology may
have made communication quicker, easier and more convenient, it has also bought
along privacy issues. From cell phone signal interceptions to email hacking,
people are now worried about their once private information becoming public knowledge.
III) Lack of job security - Industry experts believe that the
internet has made job security a big issue as since technology keeps on
changing with each day. This means that one has to be in a constant learning
mode, if he or she wishes for their job to be secure.
Dominant
culture - While information technology may have made the world a global
village, it has also contributed to one culture dominating another weaker one.
For example it is now argued that US influences how most young teenagers all
over the world now act, dress and behave. Languages too have become
overshadowed, with English becoming the primary mode of communication for
business and everything else.
1. Highly sensitive and requires
constant monitoring
2. Budgeting of Budgeting extremely difficult
3. Lack of flexibility to update itself
4. Lots of time required to construct or
prepare MIS
5. Constant training required.
6. In depth study or required training has to
be carried out before designing the software.
7.Organizational change: Difficult to adapt in
new settings for Human resource i.e. Employees.
8. Quality and reliability of the available
information.
9. The expense to create and implement an MIS,
10. Training time for employees,
11. Capturing wrong or incomplete information.
12.Sometimes when the information is wrong, it
create chaos in organisation.
13. Highly sensitive and requires
constant monitoring
14. Budgeting of Budgeting extremely difficult
15. Lack of flexibility to update itself
16.Organizational change: Difficult
to adapt in new settings for Human resource i.e. Employees.
18. Quality and reliability of the available
information.
19. The expense to create and implement an
MIS,
20. Training time for employees,
21. Lack of flexibility and
22. Capturing wrong or incomplete information
23.MIS incorporates a wide variety of
knowledge areas.
24.Both technology and technology-related
products are evolving at an extremely fast and unpredictable pace,
25.Many of the terma used in MIS environments
ate imprecise and controversial,
26.MIS problems often are not east to define
or structure,
27.The body of knowledge in MIS is relatively
recent and scarce
28.A lack of rapport often exists between MIS
personnel and management and also between MIS personnel and users
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