Environmental influence on management decision system and their role effective MIS

Abstract

The development of the country's economy through the development industrial sector its growth rate could not be achieved. The lack of application of proper management technique was identified as one of the main causes. The government stresses in the National Industrial Policy declared ,n 1982 to instal and maintain MIS for monitoring and evaluation of the performance of the management of public sector indUstrial enterprises of the country. In this view computer aided centralized MIS has been introduced in many corporate Head Offices of industrial enterprises. Yet the condition remained as it was - this is revealed on the eVe of the end of the Third Five Year Plan. The growth rate in the manufacturing sector was 10.1 in 1989 against the rate of 10.6 in 1981. It has been argued that the environment in which the industrial enterprises and their management operate has a definite impact on the overall management process particularly on the decision making process. The basic literacy rate, its quality and quantity, religious faith, customs, traditions, values, interests, philosophies, attitudes, policies, variom, controls, political stability etc. constitute the environment. Thie environment is often "') {, Jf f , '- I ,,:,,"~: • • obstructive, re~ulntory nnd descouraging and sometimes stimulating tn the overall management process and thus on the industrial economi~ development. Frequently management puts blames solely on these environmental construints for inefficiency and ineffectivity of the Management Decision System (MDS) and its failure to achieve the enterprise objectives. Should they also not be blamed for atleast for their part played an inefficiency. To alleviate this situation various thouf(hts have been emerged at times. In the current work the information system more specii'ically the MIS has hcen considered as a management tool to increase the effectivity of MDS of enterprises. It is pn,po$ed that An effective MIS incorporatinp; all the informations 1n a timely basis an,l appropriate decision based actioa mode from utilising lhese informlltion can make it possible. The purpose of study is to Idcnlify theBe eavironmentaL influences on "riti"al management elements and their effects "n the manaf(ement ,[e"ision makin~ system. Because nf the noaavailability pertinent iaformation for quantitative analysis of these envi,-onmental i'actors and their influence on management decision making system, study is' made on a qualitative basis. Also the reliability of the - Vl1 - information availnble and tbe time horizon permitted to carry out this study critically affects th" study proces" and lend to qualitative analysis. Howcver scope e"ists for future study and work on this isoue. The study consists a conceptuul framework to give on idea about th" environmental fa"tors whi"h deemed to be critical and important and also influen"ial to the overall managerial performance. Efforts were made to analyze the inherent defects and shortcomings in existing MIS, the causes of ineffectivity. Finally guidelines ware proposed for designing and implementing an effective MIS, in more general term. The present study focussed on - IdentifYing cultural tbe environment"l f"etors educational political and economic environment and socio their influence on critical ",anogement elements. 2. The way lhe environmental f,,,,lurs influence the managerial performance and the management decision making process. 3. How to modify or eliminate the negnlive influences (or constrainta) by taking necessary actions and atepa. 4. How lhe environroenluJ ["clor-s infl""n,,., th.- M.lS eff'.-ctivity and how an effective MIS can help