Management Information System In Mcdonalds Information Technology Essay


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Management Information System In Mcdonalds Information Technology Essay

In any corporation, the role of information in decision making is essential. All of the effective decisions are created on the basis of timely, exact and relevant information. A business where the relevant information is not available, it causes poor planning, poor priority of needs, unacceptable decision making, and defective scheduling of programs and activities. The importance of information for proper decision making led to the development of management information system for organizations. The management information system in decision making seeks to develop something for the viable and effective use of modern information procedure in the modern management practices (Laudon and Laudon, 2009).

Management Information System (MIS) is concerned with the streamlined process of collecting, handling, storing and transmitting the relevant and required information to support entire management functions in any firm. Management Information System consists of three resources:

Academically, management information system and decision making is often described the automation of human decision making including Decision Support Systems, Expert systems and Executive information system (Laudon and Laudon, 2009).

Criteria to select data and information to aid decision making

There is for certain criterion which must be used in order to select data and information. The conditions include following factors:

Information required

Source of information

Reason that that particular source collected the information

The problem which is fixed by that information

Evaluation of different resources for acquiring best information along with best format and setting for information

Parts of information which will be used

Additional information required

Presentation of information in order to understand the problem and take decisions ((Laudon and Laudon, 2008)

Impact of Information Management System in an organization

The Management Information System is being used thoroughly by many businesses worldwide. The MIS was created by the top management and is employed as a tool for accumulating and assembling facts and results about all the top business techniques including:

Financial management

Inventory management

Technical foundation

Asset management


Time and charge management


Work pressure management

The execution of Management Information System in an organization ensures the correct circulation of information to relevant departments and folks without bottlenecks. This helps to make decisions not only at inner level but at external level too (Laudon and Laudon, 2008). The complete procedure for MIS supplies the complete, reliable, well-timed and quality information to decision manufacturers. The four types of computer structured management information systems used commonly in organizations are:

Transaction processing system

Operating information system

Expert system

Decision support system

The Management Information System impacts the business in pursuing ways:

The MIS in an group ensure the exact and timely exchange processing. The functions become successful as there are fewer chances of duplicate data access and maintenance.

The MIS in an organization helps in streamlining details and accounting management. The business enterprise procedures become standardized anticipated to MIS.

MIS provides interactive support to professionals which help them in decision making.

MIS provides a organized and easy way to dig out critical information according to specific requirements in preferred types.

MIS because of its time conserving feature allows the organizations to gain competitive advantage over others.

Although McDonalds has market show in South Asia but it requires to do more research and gather information about the flavors to be presented, customer expectations and other relevant market information. After collecting this information, this food string needs to talk this information proficiently to its employees to be able to have the internal thoughts for final decision making (O'Brien and Marakas, 2008). By collecting information combined with the data and information standards, the business can have a greater level of perception into how business really works.

Importance Of Information Posting Within The Organization

Every business has different hierarchical levels constituting professionals, executives, employers, employees, administrative staff and lower personnel. These levels within an organizational framework are developed with regard to job information and designations to make every employee, manager and professional accountable of his/her actions. Various departments in an firm have their own units of information which are of formal and casual nature. These details usually contain work explanation, company policies, regulations, cover specific department, goals for specific division, goals for department plus much more (McLeod and Schell, 2006).

For any corporation to be successful, relationship between different business departments or models is vital. The harmonized communication within the organization causes better knowledge of different jobs which are being completed. The employees understand their perspective goals and the contribution of each department in achieving those goals. The inter-departmental communication helps in developing a team force aimed towards obtaining the goals. For obtaining goals, formal information must be communicated along departments to be able to have ideas from the employees as they being part of the organization could come up with better feedback. Furthermore, the information posting within the organization has importance in the next way:

By writing information within the organization, inter-organizational communication and networking will improve. The communication between different organizational levels will support successful management of business and business procedures.

The information showing within the organization will help in the sufficient use of executive resources.

The writing of information in an organization between different departments will boost the overall capacity to make rational, sound and up to date decisions involving combination of complicated factors. The posting of information will also improve confidence and rate of decision making as well.

The time factor will certainly reduce and even more work could be done as the task drive will know every business dimension.

By knowing every office and its own role, the customer service will flourish as customer service agents will be able to answer every question easily. This will also improve the personnel relationships with the organization as every worker will understand the nature of work and specific contribution of every department.

The sharing of information will help bring clarity in communication within the business as every department would be able to understand common conditions and terminology.

With such showing, the business procedures will establish higher degree of professionalism. (O'Brien and Marakas, 2008)

Although showing information has been promoted in the majority of the organizations but there's a need for direction when it comes to information sharing. The organizations must recognize that employees must be confident that their personal information has been retained in privacy and secure from being accessed by another employee. The privacy rights of every employee have to be taken care of. The organizations must take the employees in self confidence regarding the show of information. In such a, the employees must have a definite idea how their personal data' might be seen or employed by the business. Same is the case with work related information sourcing, writing and storing. Some of the work related information of other departments must be communicated to be able to streamline the procedures to attain the organizational goals. However there are specific decisions and methods applied in department judging the requirement of the work. Such information must not be shared unless proper consent has been given by higher management. The employees must only reveal such information with an wide open consent of higher representatives (McLeod and Schell, 2006).

Similarly, the organization need to streamline and lead which information should go to which department. There should be filters in the majority of information so that the concerned employee or department gets the info only. The information of sensitive aspect must be maintained safe with secure level of privacy system so that only relevant higher management could get access to it.

Format for Offering Information

For any company, choosing information posting format must be based on underlying condition relating to which a data format should only be approved for information preservation if it's fully recognized to the organization and the specialist in charge of preserving information. There are various information sharing formats:





Publicly standardized format

Published format


Mandatory statement

These and other types can be found to organizations for offering information. However the organization must be sure that the format used must be clear to them in conditions of its performing. McDonalds must promote information sharing within departments in order to learn their opinions so a better product could be launched.

Use of information to support proper decision making

Decision making for any organization is the selection of course of action. The process of decision making produce a final choice and this choice is definitely an thoughts and opinions or an action. Your choice making process must be routed right down to lowest possible level in the business. But for each decision within an business, proper and relevant information is necessary based on which examination could be produced and further executed. Producing data and information shouldn't be an end in itself but it should be made a fundamental element of the performance management, procedures and governance arrangements of a business. Organizations that pay central attention to the utilization of information while making decisions often finish up making reliable alternatives. However, good quality data can be an essential ingredient when it comes to development of reliable decision. The info must be relevant and ideal for the purpose with well-timed and correct representation. Furthermore, a business must grab a balance between the value of information required and cost of collecting such data (Haag and Cummings, 2009).

Use of information to support tactical decision making could be achieved by following this timeline:

Identify the decision to be produced combined with the goals that company must achieve through your choice. In this regard, determine the limitations and opportunity of the decision. In case there is McDonalds, they may use this system before introducing the new product. They are able to make a decision if the new product should be launched in proper market or simply test market. On these lines, the company needs to be very clear about their goals as well.

Get as much facts as possible about your choice an organization will take. McDonalds must go for specific information regarding their shows in Asian region to have the drift of the problem. After collecting these facts, the organization must communicate these facts to employees of every department to be able to receive the view on the release of the product.

After getting the facts, develop alternatives by producing alternatives. McDonalds can change the ingredients of their products in order to prepare different tastes. Along with discovering alternatives, create as well.

This is the analysis phase of each choice. McDonalds now need to consider the negative aspect of every option (cost, problems, outcomes, time needed etc) and the positives (time saved, money saved, creativity, employees happy, customers happy etc).

In decision making, there's always some uncertainty regarding the choice made. So the risk comparison among the countless alternatives must be completed before making the choice. The decision with minimal risk along with other positive aspects works in the end.

Finally take your choice. After taking the decision, execute it and then evaluate the implementation.

Once the business follows this technique, it will become part of each proper decision making. The aggregate of this information can further be used to predict developments and patterns. In case of McDonalds, they can take up this approach and use the info and information in future before launching their new product in a difficulty area. By following these steps, McDonalds will have a an information pool from all business techniques including financial, individual learning resource, inventory, logistics, quality control, resources etc giving out a perfect foundation to McDonalds in making future tactical business decisions (McDonalds, 2011).

To support the tactical business decisions, there are many decision making tools and techniques which may be used. A business can either use one or a combination of the tools with respect to the amount of information and risks in decision making process. Your choice making tools and techniques come in various varieties and can help the organization in taking the central strategic business decision. Some of these tools are:

Cost benefit examination model

Weighted matrix

BCG Matrix

Decision support system

Decision trees



PMI- Pluses, minuses, interesting points

Pareto's Analysis

Six thinking hats

Mind mapping

McDonalds can use each one of these tools and techniques to be able to extend their market share in Asia region. The need is to do research atlanta divorce attorneys dimension and converse that information within the organization. There should not be any bottlenecks within the organizational communication. Your choice making process would become easier if all the above steps are streamlined within the given period of planning and starting the product. By building up credible information in the info pool, McDonalds will be able to expand its operation and market easily.

Evaluate and monitor Management Information System

The Management Information System within an organization primarily is determined by the grade of information and its own source that happen to be people, research and other sources. However this technique is maintained in an organization utilizing the IT and Information Systems. These days, credited to adoption of Management Information System in every organizations, the financial assets in Information Technology and Information Systems have increased. Together with the growing need for Management Information System in organizational infrastructure development, the performance and evaluation of new technology being found in these systems remains a focus for management. The analysis procedure for Management Information System requires the appraisal of techniques which can be being used in the information system development. The analysis process considers the technology which an business is using to integrate information systems between and within organizations. The evaluation purpose includes the costs, benefits and dangers from the diffusion or adoption of certain technology for information systems and impact analysis through management information system in an organization (Oz, 2008).

Information is a vital asset of any business which helps determine the enterprise in creating new products and services. Information helps the organization to either withdraw from the marketplaces or get into new marketplaces. But information provided in fresh form will not serve the reason. For making the most of the worth of information, it is captured, quantified, analyzed, compiled, manipulated, distributed and made accessible. All this requires the strong base and network of information systems (Laudon and Laudon, 2009). Along with considering cost for producing the info systems, the business must consider the next factors in monitoring and evaluation of the management information system and its components:

Number of users

Modularity of the system

Ease in integration of new components in the system

Ease to remove outdated component

Amount of information to be processed

Type of information to be processed

Computing electricity required by different organizational departments

The anticipated efficient life of components or system

User friendly components for individuals involved

For any corporation, the management information system must be managed in a way to minimize downtime. The venture must monitor the handling time of information to be able to assure the successful execution of management information system. A essential consideration in terms of monitoring the management information system is the user's access to information in the context whatever users can access the information. The organization must ensure that the machine grants access to different data by applying user-level permission for access in order to avoid any legalities regarding personal privacy of the info. For this, the business can create unique profiles for each user of the management information system with relevant user-level permissions providing proper clearance.

The venture can administer the MIS by using individual passwords to be able to delineate each consumer along with their level of access rights. Furthermore, identification of duties performed by each user will be possible with this password system. An individual id process can also assist in getting data, its way of measuring and evaluation about the performance of any user (McLeod and Schell, 2006).

One of the very most crucial aspect of monitoring the information system is maintaining the communication between your IS staff of the business that get excited about the technical point of view, and the machine users who communicate their needs or concerns in prosaic terminology. The business need to monitor this situation through the elimination of the language barriers between your IS personnel and system users with perseverance, negotiation and understanding.

The company must maintain a centralized body to provide assistance, information and services to the users of the systems. The information which has been stored by an business builds up an ongoing pool for all users. The archived of the info should not only be a place for storage space of information but it must be updated from time to time in order to make it useable for current needs and requirements. An information system is more than software or hardware and people who design it, make use of it and maintain it are the integral part of this system. The staff of IS must be combined with training department in order to upgrade their skills for better request of the info system and its own maintenance (Haag and Cummings, 2009).

McDonalds after producing the pool of information needs to monitor it so the company could evaluate the information to be able to anticipate the trends and patterns of the future. As the problem McDonalds had to face was due to the lack of reliable and authentic information, so need of the hour is to build a strong management information system.

Originally published Oct 17, 2018, updated Feb 20, 2021

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