ABSTRACT
This study sought to examine the implementation of computer-based management information system (MIS) in manufacturing organizations in Nigeria. The specific objectives of the study sought were to: (i) assess the extent to which the implementation of computer-based management information system in Nigerian’s manufacturing organizations is significant, (ii) determine whether management capacity and resistance to change are significant to the implementation of computer-based management information system in manufacturing organizations, (iii) ascertain whether the implementation of computer-based management information system positively and significantly impacts on better product designs, wider customer-base, redundancy reduction, cost minimization and profit maximization, (iv) determine if regular system development and updating, management’s commitment and staff training do positively and significantly improve computer-based management information system in Nigerian’s manufacturing organizations, (v) ascertain the impact of computer-based management information system on managerial decision making, and (vi) ascertain if there is a significant positive relationship between computer-based management information system and organizational survival. Survey research design was adopted in the study. The population of the study was 840 senior staff from the departments of Finance, Administration and Information Technology in the 145 Manufacturers’ Association of Nigeria (MAN) organisations in South East Nigeria. The sample size of 290 was determined based on the Heads of the Finance/Administration and IT departments in the 145 manufacturing organisations. Purposive sampling technique was used in the study. Data was collected using the questionnaire research instrument and oral interview guide. A pilot study was conducted using split-half method and tested with Cronbach’s Alpha, giving a coefficient of 0.83. This showed the instrument to be very reliable. The instrument was given to the researcher’s validator and management consultant for face and content validation. Both descriptive and inferential statistics were used, that is Z-tes, and Linear Regression were used for data analysis, at 5% probability level of acceptance (i.e. p < 0.05). The extent computer-based management information system being implemented in Nigerian manufacturing organisations was significant (p < 0.05, Z = 6.03).Lack of adequate management capacity to support and sustain the implementation of computer-based MIS and resistance to the implementation of newer/improved systems were significant challenges faced in the implementation of computer-based MIS in Nigerian manufacturing organisations (p < 0.05, Z = 5.48). The implementation of computer-based management information system positively and significantly impacted on better product designs and wider customer-base, and redundancy reduction, cost minimization and profit maximization (p < 0.05, r = 0.96). Regular system development and updating, management’s commitment and staff training and retraining on newer technologies positively and significantly improved computer-based MIS in manufacturing organisations (p < 0.05, r = 0.95). Computer-based MIS had significant impact on managerial decision making (p < 0.05, r = 0.98). There was a significant positive relationship between computer-based MIS and organizational survival (p < 0.05, r = 0.95). The study recommended that managements of manufacturing organisations should have a policy document that details the computer-based MIS framework for the organisation, and training and retraining should be periodically conducted for staff, especially when newer and more advanced systems are being introduced and implemented in the organisations.
TABLE OF CONTENTS
Title Page
Table of Contents
List of Tables
List of Figures
Abstract
CHAPTER ONE: INTRODUCTION
1.1 Background of Study
1.2 Statement of the Study
1.3 Research Questions
1.4 Objectives of the Study
1.5 Research Hypotheses
1.6 Significance of the Study
1.7 Scope of the Study
1.8 Operational Definition of Terms
References
CHAPTER TWO: REVIEW OF RELATED LITERATURE
2.1 Introduction
2.2 Conceptual Framework
2.2.1 Management
2.2.1.1 The Management Process
2.2.1.2 Levels of Management
2.2.1.3 Functions of Management
2.2.2 Information
2.2.2.1 Levels of Information
2.2.2.2 Time and Value Factor of Information
2.2.3 System
2.2.3.1 System Relationship
2.2.3.2 System Behaviours
2.2.3.3 Characteristics of a System
2.2.3.4 A System Approach of Accounting
2.2.3.4.1 Accounting system
2.2.3.4.2 Description of an Accounting System
2.2.4 Management Information System and Decision Making
2.2.4.1 Types of Management Information System
2.2.4.2 Decision Making Process
2.2.4.3 MIS Model
2.2.4.4 MIS Characteristics
2.2.4.5 The Role of MIS in Decision Making Process
2.2.5 MIS and Information Technology
2.2.6 MIS Planning and Strategy
2.2.7 MIS Development Process
2.2.8 Organisation
2.2.8.1 Leadership in Organisations
2.2.8.2 Organisational Objectives
2.2.8.3 Statement of Organisation’s Business
2.2.8.4 Organisational Structure
2.2.9 Management Information System and Organisational Structure
2.2.10 The Role of Management Information System in Manufacturing Firms
2.2.11 Ways to Improve Management Information System
2.2.12 Challenges of Management Information System
2.2.13 Simplifying Manufacturing Management Information Systems
2.2.14 Prospects of Management Information System
2.3 Theoretical framework
2.3.1 Information processing (IP) Theory
2.3.2 Microeconomic Theory
2.3.3 Industrial Organization Theory
2.3.4 Sociology and Socio-political perspectives Theory
2.3.5 Resource-Based view (RBV) Theory
2.4 Empirical Review
2.5 Summary of Literature Review
2.6 Research Gaps in Related Reviewed Literature
References
CHAPTER THREE: METHODOLOGY
3.1 Introduction
3.2 Research Design
3.3 Sources of Data
3.4 Area of Study
3.5 Pilot Study
3.6 Population of the Study
3.7 Sample Size Determination
3.8 Sampling Technique
3.9 Research Instrument
3.10 Data Collection Procedure
3.11 Validity of Research Instrument
3.12 Reliability of Research Instrument
3.13 Procedure for Data Analysis/ Statistical Techniques
References
CHAPTER FOUR: DATA PRESENTATION AND ANALYSIS
4.1 Introduction
4.2 Data presentation
4.3 Test of Hypotheses
4.4 Discussion
Reference
CHAPTER FIVE: SUMMARY OF FINDINGS, CONCLUSION AND RECOMMENDATIONS
5.1 Summary of Research Findings
5.2 Conclusion
5.3 Recommendations
5.4 Suggestion for Further Studies
5.5 Contribution to Knowledge
Bibliography
Appendices
CHAPTER ONE
INTRODUCTION
1.1 Background Of Study
When an individual is charged with the responsibility of running the affairs of an organization and adopts a process for discharging such responsibility, this is known as management (Modum, 2005). Thus, there cannot be a manager without an organization.Societal growth and development of many countries including Nigeria depend largely on the extent of the deployment and utilization of available resources.
Modum (2005) opines that within the overall objective of ensuring that sufficient profit ismade to guarantee the survival of the organization in a competitive environment or providing welfare services with maximum efficiency at the lowest cost, the manager possesses considerable freedom to set the company goals and to consider and choose between different options available to him for the achievement of such goals.The exercise of this function depends of course on the nature of the organization, that is to say, the assets and resources which include man, machine, material, money and information of the company and the operational areas, which make up the component parts of the company. In manufacturing companies for example, such operational areas are production, stock control, costing, purchases, sales order, payroll, staff training etc.In this regard resources include not only financial ones but also other resources created and used by organizations as a result of financial expenditures.
Many different kinds of organizations affect our daily lives. Manufacturers, retailers, service industry, firms, agro-allied business companies, non-profit organizations and government agencies provide us with a vast array of goods and services. All of these organizations have two things in common. First, every organization has a set of goals and objectives. An airline’s goals might be profitability and customer services; the police force’s goal would include public safety and security coupled with cost minimization. Second, in pursuing for an organization’s goals, managers need information. The information needs of management cut across both financial and non-financial purposes for example in production, marketing, legal and environmental issues etc. Generally the larger the organization, the greater is the management’s need for information.Information is a commodity, much like wheat or corn. Like other goods, information can be produced, purchased and consumed. It can be of high or low quality, timely or late, appropriate for its intended use or utterly irrelevant;as is true of all goods and services.
Organizations view the effective adoption of information technology (IT) as a way to combat competition by improving productivity, profitability and the level of information which is one common assets shared by all businesses regardless of their nature. This is because it is a vital part of any business entity irrespective of their forms of ownership as it enablesconceptualization and creation of new products and services;hence an information system is designed, developed, administered and maintained to accomplish those tasks (Matthews & Perera, 1996). Anderson (1974) opines that when properly collected, organized and indexed in accordance with the requirements of the organization, its stored data becomes accessible to those who need the information. A critical feature of any management information system should be the ability to not only access and retrieve data but also to keep the achieved information as current as possible (Moga, 2007). The management information system is the mechanism to ensure that information is available to the managers in the form they want it and when they need it. It is designed to support their work through providing relevant information for their decision making.
Management Information System (commonly abbreviated as MIS) has been an increasingly used tool in the institutionalization and making of decisions. According to Moga (2007), in order to define MIS, it must be principally divided into the three facets that constitute it - which are: management, information, and systems. Management is seen as the process through which managers plan, organize, initiate and control operations within their businesses. Essentially, a management can only exist when there are subjects/ workers to be managed (Al-Zhrani, 2010).Moga (2007) also states that information generally refers to analysed data. In other words, information (with regards to business) results from data that is analysed using business statutes, principles and theories.
Finally, system, according to Moga (2007), refers to “a set of elements joined together for a common objective.” More often than not, business systems normally consist of smaller systems – known as subsystems – which all function towards ensuring efficacy of the large systems. As a matter of fact, systems vary from one organization to another depending on the nature of organizational operations, size of the businesses and organizational priorities among many other salient factors.Based on the foregoing definitions, Management Information Systems refers to a system that uses information in order to ensure apt management of businesses. Fundamentally, all the facets of MIS run concomitantly in order to ensure overall efficiency of the whole system. Failure in one part means overall failure for the other parts since they are all designed to function interdependently (Melville & Kenneth, 1990).Consequentially, a good management of information systems leads to good decision making in business just in the same way poor management leads to poor decision making.
Modern business management has become a very difficult job indeed (Modum, 2005). This difficulty is due mainly to the increasing complexity of today’s society. This complexity is as a result of the limitless range of research and technology development breakthroughs, information explosion due to advancements in communications research, the need to constantly change company products or services to keep pace with technology advancements and sophistication in customer tastes. When it is understood that in addition to these problems, the modern manager runs a business organization, which is intimidating by its sheer size and that in running the organization, he should always aim at having an edge over competitors, then the enormity of the manager’s responsibilities become better understood and appreciated. (Modum, 2005).The manager is the power house of his organization. It is he who, in the final analysis, takes full responsibility for the success or failure of his organization. He must, therefore, not only possess a vast scope of perception to be able to consider, sort out and analyse all ingredients relating to decision making, he must in addition be conversant with the environmental factors which influence or are likely to influence his firm’s products and future operations.In order, therefore, to cope with these stringent demands of his position, the modern manager has no alternative but to accept the systems approach to business management. This is more-so because today’s business involves so much capital that any mistake in decision making could be disastrously costly. Thus, risks associated with intuitive compulsive decisions can be considerably reduced by adopting a time-tested, scientific approach to management...
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