1.0Explain the differences and focus of MIS systems andKMS systems. Information Systems is a crucial topic in the fieldenterprise Information system. “Aninformation system is a social system, which has embedded in it informationtechnology.” (F.Land: 1985, p 215). This led us to themain point to discuss in this paper, which is Management Information System(MIS) and the Knowledge Management System (KMS).
Managementinformation system is also one of the crucial tools in any company, which aimsat providing reliable, complete, accessible and understandable information in atimely manner to the users of that particular system (Al-mamry, Shamasuddin& Aziati; 2014). In most cases it isdefined as a computer programme that holds financial information organized and programmedto automatically produce reports on operations for every level of management inan organisation. These programmes provide special reports easily.
The mainfocus of MIS is to provide manager with feedbacks about their ownparticipations which will in turn help them to monitor the organisation as awhole. These programmes provide actual data over planned results from aspecific period of time.Whereas, on the other side of the coin, KnowledgeManagement System (KMS), According to Assegaff and Hussin in their paper titled”Review of Knowledge Management Systems as Socio-Technical System” they definedKMS as the IT that enables organisations to manage effective and efficientlyknowledge. In their papers, they go further by explaining it as a class ofinformation systems applied for managing organizational knowledge based on thedefinition by Alavi and Leider. It is really a system of applying and usingknowledge management principles.
It includes data driven objectives around thecompany productivity, a competitive model and business intelligence analysis.Some of this programmes features ca allow for data mining on customers inputsand communication, together with the documents provided and shared. Thisconcept can help organizations to train their staff and orientate them on whatthey have to do to effectively cut cost and becoming more productive. Inaddition, these programmes also support sales and also help business leaders tomake informed critical decisions.
Somebusiness commentators tend to confuse Knowledge management with businessintelligence, which also looks at the acquiring data for decisions makings. The major difference between the two is managementconcepts are as follows:The Management Information systems is concentratedmore managing organsiations resources that then will help to improve theperformance of the organization as whole. It also focuses on the things neededto make sure that the organization records are controlled. This is done throughinformation management and IT resources.
When it comes to these systems, people arevery relevant rather than resources. Butwhen you look at Knowledge management systems, it cares more with the way ofcreating acquiring, sharing and using knowledge to help understanding in theorganization. In this system people are critical component to be managed. It isfocuses is to improve the company performances and to add value through properprocess. 1.
1Companies that most benefits from MIS and KMS Exampleof company using Management Information System One of the organisations that used MIS quitesuccessfully was one of the Multinational companies from the United Stated ofAmerica called McDonald. McDonald was founded as restaurant operated by theMcDonalds family. It is one of the world’s largest restaurant operated byrevenue, it is well known for it hamburgers all over the world. The restaurant began as a small restaurant andthe business expanded quickly. This is because they have been analyzing themarket. Inspired by the world of IT, McDonald developed wireless servicesaround their restaurants, which enabled them to gather information about their customerservices, length of stay and the sales level.
This inspired them to join theworld of Information Management system. HowMcDonalds implemented MIS?They implemented MIS which is used to produce importantreports in their work place. Reports such as daily list of employees and hoursthey worked or monthly reports on expenses as compared to a budget was readilyavailable because of the system implemented.They use these facilities to provide information tomanagers and staff to understand the performance and plans is has for thefuture. Exampleof company that use Knowledge Management System Xerox corporations, is an America global company thatsells documents solutions and services and documents technology products to alot of countries in the world. To helptheir engineers to work efficiently and the support staff, Xerox designedEureka, an Knowledge based application that leverages web-based document sharetools using a database called Oracle.
Isthey log into Eureka, engineers can now easily document newly created solutionsusing various templets via their office laptops.How Xerox benefited from KM?After implementing a KM system in their organisations,Xerox experienced a 10 percentage reductions in labor and cost improvement justwithin the initial Eureka rollout in France. The return on investment hasdrastically increased as they continue to open the application to its otherengineers in other countries. According to one website, it stated that whenXerox corp implemented this system, it solved 350.000 helpdesk problems andsave the company about $ 4m a each year. 1.2Benefits from MIS and KM systems in organizationsMIS helps a lot of organization to keep track of itsimportant resources and stay organized. It allows managers to create reportsfor the company’s activities.
This includes reports on daily activities,products sales, the services being used and for future decisions. It also helpswith the following activities:1. Planning: MIS helps to improve the decision makingprocess in an organization, this by helping the managers to make proper planningand informed decisions.2.
Noinformation overload: MIS helps to minimize the information overload, thisbecause large number of data is summarized to make decision making by managerseasy.3. Coordination:it help department to be aware of the any problem that my arise and alsosolutions to other departments.4. Italso collects development, stock, recovers, assesses and distributes theinformation.