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Applications Of Management Information System IT Essay

Here is examination of the MIS in food services and marketing company Sainsbury. In this report there is information about the taking care of system of Sainsbury that how they control their information system to run the organisation. This statement is conversation of the value of managing information system in the Sainsbury centering gat the three main areas of study information system. These aspects covers that how to provide information across the various departments of any company, how information system facilitates your choice making process and how its applications functions as the reliable methods to run the many business processes. It also concludes that how an company related to management information system also to improve this technique in order to make the organisation better with the mentioned tips.

Managing information is a process which provides required information used to mange an organisation. This system use to analyse the information regarded to differing of the company in functional activities. This term is used to explain the group of information management methods that happen to be tied to support the human being decision making the types of these are Decision Support System, Expert System and exec information System.

MIS is referred to as the planed system used to gather process, form and disseminate the info by means of information used to run the functions of management.

"A marketing information system is comprising people, equipment and types of procedures to gather, form, analyze, examine distributive needed and correct information to marketing decision manufacturer" (Philip Kotler, 2000)

For understanding the Managing Information System ( Prof. Allen Lee. , 1999) state governments that the various researches in the info system is more than the technical system or sociable system or even both all together. Rather than this it also investigates the procedure that occurs when these two features connect to one another.

Process of MIS






Data I Information

Flows Flows


Managing information process

Mainly managing information is some type of computer based system which gives the equipment for organising, assessing, decision making and working the many departments of a company. This technique work effectively to provide present past and predictive information. MIS use the software system which help to facilitate your choice making, used repository to store data resources, Decision support system, management for people and project application and the computerised process that assist the departments to perform effectively.

Importance of MIS

Managing information system is utilized to collect the info regarding the following areas:

Recording the data related to the support function.

Data regarding sales and orders

Information of purchased

Payroll information.

Account information

Information related to the various business programs and risk management.

Information related to customer romance management.

In monitoring the performance of production.

In decision making process.

Applications of Management Information System

What can be an Information system?

Information system

Information system is that area which is concerned with the proper, managerial includes and operational activities. Which the handling, gathering, storing, circulation and use of information and the technology related to the problem in an organisation. In information system there is people, data, methods, hardware and software system which are used to acquire and analyse the digital.

According to Sterling silver Et. al (2004) "an information system is implemented within an organisation for the method of improving the success and proficiently of the company. There are functions of information system and characteristics of the organisation, its work system, its people, and its own development and execution methodology gets mutually to look for the extent where the desired purpose is achieved. "

Importance of information system

Following are the primary features which reveal the importance of the controlling information system.

Operational excellence

New product, services and business models

Survival day to day

Competitive advantage

Improved decision making

Information systems regarded as the base of running the business. Every industry incorporate with the information system as it performs a essential role in increasing the efficiency. Is usually providing the bas e for new production, ways to run the business, providing services offering lots of tactical advantages to the business.

An information system is that professional system which related to the strategically, managerial and operational level activities and used to collect the info, store it and use that information and the systems used in it.

Source: Project Management for Information 3rd Ed. Prentice hall ( Cadle, J. , and Donald, Y. , 2001)

In business each and every area is be based upon the successful collection, storage space and request of the info. Evidently information is a assortment of data which includes simple fact and statics. This data collected is always highly relevant to the particular problem and decisions. T systems are mainly computer founded here we can make the exemplory case of data about the several products in profile department. The info continue to be data until this data is use to solve the trouble, make decision and answer a question.

An information system can be used to at least one 1. Increase the organisational efficiency.

2. Supporting in staying forward to the rivals.

3. Finding new customers

4. Planning organising leading and controlling the company.

As there is a continuous development in the technology large range. Information management are mainly computer based mostly system which can be use to access the buyer product and data. nowadays ecommerce technology carry on the many business procedures using electronic forms, internets, software produced by the companies of their own as the internet become trusted. ( McKenna, 2002, 142). an effective information system hinge upon the interconnection of the various systems. the system even influence the client loyalty as it offers the pathway to provide good and much better services to them. Corresponding to (Mckeena, 2002)that if these various systems are interconnected e. g. there may be interconnection of Kiosks, cell phones, computers, laptops, car systems this results that the customer become more dedicated reliant on them. Sainsbury having an attempt to use this system physically.

The marriage between an organisational framework and IT system I snot a straightforward as one think (Eral, 1998) there's always a need of new tools and creativity techniques which are being used to manage, interpret and comprehend the prevailing environment( Beard, 1999).

BACKGROUND of company

J. Sainsbury plc

J Sainsbury plc is a normal food retailing company. The corporation is another greatest company in the chain of supermarket of UK. Sainsbury will serve in these regions of supermarket, convince stores and Sainsbury lender etc. . . The Sainsbury was founded in 1869 by John James Sainsbury and his better half Marry Ann. They have the stagey of great products at good prices and customer services at heart. As this company was traditional its Information System is also traditional. In 2002 when Sir Peter Davis got the demand of CEO of the company, the information system of the business was at mess. There was still use of screen 3. 1 at the personal computer of the business and the specialist of e-mail was that old green screen mainframe structured system. Then your IT system of Sainsbury was under invested and its ability to answer quickly is influenced by this e. g. the primary rival for Sainsbury i. e. Tesco who launched successful golf club card loyalty plan, but for this Sainsbury got 16 calendar months to react. Instead because of this they are on the path to improving and growing in order to offer the clients good and quick services. According to the (Annual Report, 2005) it is the major food retailing string in the Britain. At the moment there is about153, 000employes work there which ones 32% rate regular and for their recovery plan they will recruit 3000 extra personnel for their restoration plan mainly target at the client services (Philip Hampton, Annual Survey, 2005).

For the further improvement the It system of the business would have to be updated. To be able to achieve this task the company decide to update the complete. IT system has big offer with Accenture for seven tears for 1. 8 Billion. The business enterprise change director and CIO Margreta Miller required charge for controlling marriage with the Accenture can own an eagle attention over the whole process. In his interview with Information Years she instructs that how they are going to control their information system in approaching future. (www. sainsburys. co. uk)

Management Information system in Sainsbury

Almost at present all companies have their own Information systems or management. For the many purposes like accounting, stock control and marketing keep an eye on are very common in all. Due to the transfer of electricity of technology the info system become necessary for the business enterprise firms. Information is undoubtedly the pulse of an company. Without information system a corporation cannot survive (Papow, 1998).

The management information system in Sainsbury was traditional however now there are lots of new enhancements regarding this. As the management information system perform main function of the company like data collection, data safe-keeping, and retrieval of data. The key aspect of a corporation in only rely after the technology employed by them (Hugo 2006, P. 103, 104). because of this Sainsbury come frontward to revise its information system in advance way. Pursuing are the main aspects of controlling information in the Sainsbury.

Beside everything an information system is so that it can be permit to create the web site of the company as in these days for online stores it is necessary to have a website of their own (Boyson & Harrington 2004) management information system is useful in three main areas as:

· As a supplier for information across the various departments of the company.

· Facilitates your choice making process at the three tiers of management.

· Serve as the successful means for taking care of business processes.

As the name means the information system provide the information about the various departments of the Sainsbury.

Following systems are used to provide this information

Supply string strategy of Sainsbury

In the source string strategy the Sainsbury plc replaces the existing system with new sot wares to make the supply string process more identified there is innovation of Ware House management in the business. The company has the project of 4. 5 Euro Billion projects for this. It is bigger step for the latest technology implementation.



Sainsbury Information Direct (SID) according to the present situation all the Sainsbury's SCSs are updated with new hardware and software system all these works are managed by the SID.

SID an result of integrating the rules of the company into easy and smart web website which is very helpful for the customers as well as for the company.


It is performance data site which runs to supply the every useful information about the securities in control, provider services, customer availability, sales and forecast etc. PDS is employed in order to assemble all the information regarding these areas.


It can be an integrated system which includes the security password control system that ensure that only suppliers and haulers and find out their own data is this. Emptorium has all the information about the transportation management of the company. This system is even used to assess all the expenses that have to be paid to the suppliers and also to the haulers.

Ware house management

Sainsbury gets the involved and top ranked WHM (ware house management). In to work faster they need to consider at the source string management system and fro the resource chain management system is put in place.

RFID system

The early use of this technology was in US Military to find the positioning of the adversary. (Mayfield, 2002)

From the entire year 1980 the utilization of RFID becomes commercial. (Jones, 2004)

This is technology which is employed the radio regularity to identify the items. (Jones et. 2004). RFID is comprising a small chip which is placed in to the small tags which are attached to the merchandise. And these have the ability to respond the many frequencies that stored in the tag system. . . then through the computer all data prepared is then accumulated, (Attaran, 2007).

Use of RFID in retailing process

As the bar code system is quite common in the retail industry for last 25 years. By this the product can be scanned easily. If the club code is ruined or tampered in can not be possible to learn that pub code. On the other hand in RFID there e is no such situation. It could identify multiple items at one time. Therefore the RFID is very effective in the retailing process for the business.


Information System in your choice making process at three tiers of management level

Decision making process is very important part of the company but this part is strictly depend upon the information system of the business information about the various departments and financial areas used to make the decisions.

Decision making at three degrees of management

Alerts and Quality Management System (ARS)

This is web based system utilized by the Sainsbury. This technique enables the business to learn the is he the positioning of the company. It helps to locate the most notable position for just about any business issue that may be arise, affect the relationship at work and increase the source chain management. There is certainly indirect relation regarding the performance management. As an organisation Sainsbury knows that the value of communication is the key to supply string management.

ARM feature to provide the performance data which include reports and alerts which information then handles the problems by sending the notifications to Sainsbury. These Informational notifications are very beneficial to receive the results about the various departments. by the collection these results a management resolution pattern and the recipients interact to solve problems(Supply Chain Management Review, 2004) certain level, the Sainsbury's buyer and supplier are informed why there's a problems and where it stems from. So if there is a challenge Sainsbury's can work through that problem with the supplier with all celebrations having the same bottom information (Mike Quinn, CEO Epos; 2005).

EDI Cost Document Exchange (CFE)

CFE is the process in which there may be regular check of cost price of the product in their RMS. If these prices are not same then that organisation will not paid with their suppliers. This supplier CFE information is transmitted every weekly through EDI. Benefits

In addition to all or any the financial information is also very important in your choice making process as the info or information collected supply the clear idea about the expansion, expenditure, sales, earnings/ damage etc.

Profitability Ratios

According to Maclaney and Atrill (2002) the success ratio clearly shows the idea that success of the business the success ratios of Sainsbury:

Profitability Ratios



Return on Capital Employed

8. 53%

9. 29%

Return on Equity

7. 64%

8. 95%

Gross Revenue Margin

8. 65%

8. 14%

Net Income Margin

3. 91%

4. 25%

Information system running a business process

For the business enterprise process the value of the info system can't be defined. It really is base for all your processes as each and every process can be handled with the info provided. For a successful business it should be useful and must be up-to-date as it provides the info to the managerial process through the tactical and functional level. Management information system is a powerful tool for process the business.


From the above matter it is concluded that the managing information system is the heart of the business. A company can't live without it and even its condition also influences the condition of the company. In Sainsbury plc there is new modified m information system which includes the new technologies. The acquisition if IT system is impressive steps towards making of company strong and present way to position in your competition. This is the IT system that includes all the areas like information of varied departments, decision making process and also to run the business process in an effective way. There may be some fluctuation anticipated to supply string management. The thing is that supply chain are more difficult for the retailing food.


The company must apply the information technology for the improvement to its romance and reference to different area in the supply chain management.

Mega website can be used as it is online and online information and services which can certainly reached by using the various devices like computers and mobile phones. It can help the manger cope with all the information in better way.

The company must make the unified data picture about the various deal of the business.

As the manager has the responsibility to see the customer value they must provide the enough products on the cabinets and the design of the brief queues.

The Sainsbury must have the stock in back again warehouse so that when the product is out of stock the client should not hang on until these details pass though the whole system and May takes days for it.

They must emphasise to enhance their sales to meet their targets. They have to be centered on more marketing of the merchandise. They have the option to include the bio products or good trading products to get the first choice of the customers.

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