MIS and Operation research Operations research, or OR, is a management science that draws heavily from math and

science to help managers make informed, feasible decisions. Operations managers use OR for planning their scheduling, assembly and production functions. On the other hand, Management information systems, or MIS, is a managerial decision-making tool that procures, analyzes and documents facts and figures for preparation of reports. MIS is used across all functional spheres of the organization, including the IT, marketing, production and finance sectors. The main difference between the two is that OR pertains only to the organizations production features whereas MIS is used in all of the operations of the business. OR models were developed in the 1940s during World War II. Extensive improvisations have been made to the models since then. Today businesses worldwide mandatorily use OR techniques. Management information systems were developed in the 1960s. MIS and development of computing systems took place simultaneously. MIS techniques are used extensively all over the world today. Organizations use operations research to find ways to maximize their production, sales and profits and minimize costs and risks. MIS are used by the organization to manage its resources--physical, material and human--as well as its policies and procedures. Under MIS, detailed formats are outlined for all processes. Lines of command are clearly demarcated in which every employee in the organization knows to whom he is reporting and who is reporting to him. OR enables managers to study and analyze the various options available to a business and choose the most feasible one. The objective is to find the one production or scheduling plan that uses the least amount of resources and yields the maximum benefits. Math and statistics are used extensively in forecasting. Linear programming, simulation, regression and decision analysis are used in analysis work. Using MIS, the organization sets SOPs (standard operating procedures), policies and internal controls. Uniform and standardized formats for each of the processes are drawn by MIS. Also under MIS, authority-responsibility and work flow diagrams are designed. Both OR and MIS facilitate informed decision making. Scientific analysis is facilitated by operations research. Using OR, management makes decisions, including what to produce, its quantity, the persons to be employed in production and how to market goods. The main benefit in using MIS is that the tool enables an organization to procure and tabulate all relevant data on all operations. Management is able to analyze the strengths and weaknesses of its processes and thus make improvements and eradicate flaws. MIS helps to integrate the work of all the departments in the company. Because OR is heavily dependent on math and computers, the risk arises that management will fail to take into account human factors that cannot be measured by figures and charts. Companies are run by human beings and organizations need to take into account the social and emotional traits and needs of staff as constituting essential factors in the success or

failure of a business. Organizations very often outsource the task of developing MIS to consultants. The consultants are new to the organization and hence are unfamiliar with its operations and culture. They must be fully apprised of all aspects of the business before they undertake their work.