The first development in the information systems that is combined with management to improve its process is the better understanding of the decision making process. The concept of programming or automating decisions is an outstanding development and forms the core of system design to build a base for the information-systems.
The decisions are automated by formal procedures and rules, and yield better outcomes for daily problems contrasted with those based on human decision, except those in which human-decisions are indispensable. Programming decisions by some set of rules is, these days, a fundamental concern of information-system design and the management.
The management tries to improve and make a decision more economical by using a policy, rule, or a procedure. In addition, programming of a decision rule for a computer application can make the operations faster, economical, and, accurate. Common decision rules- inventory control, payroll, billing, and purchasing –are used.
Information Feedback System
The idea of information feedback system is central to the understanding of the systems approach and design of management information system. Goal-seeking and self-improving interaction among the parts of a system, mechanical, business or otherwise, is explained by the concept.
The information systems are related with the ways information is used for control in management. Information system feedback is applied to the missile, automobile, economic system, and others, and the common string is that the result of the system turns to a decision resulting in some type of action that corrects the outcome which is followed by another decision.
Even though, the notion of information system feedback is not on the whole novel and dates back to 1780s, functional in controlling speed of steam-engines, but lately was made available to be applied in business purpose. Information system feedback is important for the study and design of management information systems because cybernation, feedback control, underlie the system.
The tools of management science are closely tied to the decision rules and its program. Designing of the rules of programmed decisions is, undoubtedly, the main rationale of these techniques.
Assisting managers to take intricate decisions is it’s another function. The tools of management, coupled by the use of a computer’s ability to compute, facilitate solutions that were not possible before. A management scholar is now equipped with methods like linear-programming, probability theory, simulation, and, so on, and his problem solving approach has broadened several-folds.
Simulation is a favorite management science tool. It is helpful in constructing mathematical models of systems, business or function. The function of the model under manipulation is simulated by the behavior of the real system so as to forecast the conclusion of different policies of management, resource alternatives, or marketing assumptions.