Proposal of Management Information System for

Topics: Management, Production and manufacturing, Manufacturing resource planning Pages: 14 (593 words) Published: December 26, 2014
Proposal of Management Information System for a company

Management information system
Management information system, or MIS, broadly refers to a computer-based system that provides managers with the tools to organize evaluate and efficiently manage departments within an organization. In order to provide past, present and prediction information, a management information system can include software that helps in decision making, data resources such as databases, the hardware resources of a system, decision support systems, people management and project management applications, and any computerized processes that enable the department to run efficiently.

Learning Objectives
Give examples of how Internet and other information technologies support business processes within the business functions of .. Accounting,
Human resource management,
Marketing, and
Production and operations management.

Identify the following cross-functional system concepts, and how they can provide significant business value to a company: Cross-functional enterprise systems
Enterprise application integration
Transaction processing systems
Enterprise collaboration systems

Functional Business Systems
“Business managers are moving from a tradition where they could avoid, delegate, or ignore decisions about IT to one where they cannot create a marketing, product, international, organization, or financial plan that does not involve such decisions.”

Manufacturing Information System

Support the production/operations function
Assists firms in planning, monitoring, & controlling inventories, purchases, & the flow of goods and services

Manufacture System

Quantitative Forecasting Methods

Forecasting: Simple Linear Regression


y=192.92 + 3.05 x

Inventory Control
raw material
work in process
finish goods
Cost = Cp + Co + Cs + Ch + Csh
Lead time
Order Size
Reorder Point
Safety Stock

Economic Order Quantity (Eoq)
Goal: minimized total inventory cost

Purchasing Cost  neglected,
depend on ordering frequency
Ordering Cost
= (D/Q)Co
Holding Cost
= (Q/2)Ch
Total Cost (TC)
= (D/Q)Co + (Q/2)Ch
Reorder point (R)
= L . DL
L=lead time
DL= demand at lead time

Material Requirement Planning (MRP)
Goal : Determine Requirement and Schedule
Complexity Factor:
Product Structure (level of Bill of Material – BOM)
Lot Size
FPR (Fixed Period Requirement)
FOQ (Fixed Order Quantity)
EOQ (Economic Order Quantity)
L4L (Lot for Lot)
Lead Time Change
MRP steps:


Computer-Integrated Manufacturing (CIM)

Supports the concepts of
flexible manufacturing systems,
agile manufacturing,
total quality management
Engineering System
Computer-Aided Engineering (CAE)
Help engineer to design better products
Computer-Aided Design (CAD)
Engineering drawing
Computer-Aided Manufacturing (CAM)
Automated production process
Computer-Aided Process Planning (CAPP)
creates processing instructions for CAM
Product Simulation and Prototyping
Simulate production process
Manufacturing Execution Systems (MES)
Performance monitoring systems for factory floor operations
Shop Floor Scheduling
Creating schedule of shop floor
Shop Floor Control
Control of Shop floor
Machine Control
The use of a computer to control the actions of a machine (i.e. numerical control) Process Control
The use of computers to control an ongoing physical process
Robotics Control
Programmable action of robot
Manufacturing Resource Planning (MRP II)
Production Forecasting
Process of predicting a future event
Production Scheduling
Creating schedule of production
Material Requirements Planning (MRP)
Define material required
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