While intuition, experience and detailed knowledge will continue to be irreplaceable, Management Information Systems offer a significant advantage in that they
- make complexity more tangible,
- provide speed in order to adapt and react to change more quickly,
- create transparency when technology keeps getting overwhelming and
- reduce redundancy, inconsistencies and error-prone data-collection processes.
Decisions can be optimized and accelerated when supported by qualitative and quantitative facts and figures. Considerable improvements can be made with
- Integrated Planning Systems for Sales- Capacity- and Cost Planning
- Business Simulations that make complexity visible and manageable
- Mix Analyis, Data Correlations or Variance Analyis yiel further details
- Integration of Scorecard Systems and Cause & Effect Models
- Dashboards and Cockpits
Data Analysis are investigations into characteristics of usually large amounts of data for a given subject. Examples are mix-analysis, correlations or data comparisons. Often these solutions require that redundant data-sources are harmonized, missing data is added and erroneous data is corrected beforehand. A solid data-model is just as essential to a succesful implementation as clear responsibilities and processes for dealing with the data.
As a means to quickly familiarize oneself with the many Critical Success Factors in an organization, the use of key figures has become a widely adopted approach. An effective system of key figures is dedicated and goal-driven. Key figures can be developed for business units, processes or complete value chains. The most value offer key figures that are linked with one another, thereby providing insights to the cause-and-effect each key figure drives.
Dashboards combine the advantages of each previously mentioned solution. They combine the essentials in clear and user-friendly systems using graphical representations and tools to control further action. Dashboards are used in management discussions and in preparation decisions as well as communications. Examples for such dashboard systems are Scorecards, Performance Dashports, Productivity Reports or Decision Support Systems.