IT support at different organisational levels

An information system (IS) provides information to all the three level (top, middle and lower) management to accomplish their function more effectively and efficiently. The three level management activities are strategic planning, management control and operational control. The top-level deals with strategic planning, middle level with management control and low level with operational control respectively. These levels of Management activity are discussed below:- 

Strategic planning

Strategic planning is top level management activity. It deals with long range planning activities of senior management. The senior management consists of board of directors and other chief executives. This activity tackles and addresses strategic issues to achieve the strategic growth of the business firm.

The common essentials of strategic planning include:

a) Define goals

b) Define policies and strategies

c) Determine organisational objectives

d) Develop and introduce new product in market

e) Expansion of business

f) Business aquisition and mergers

Top management may rely on executive information systems for some of their decision-making and forecasting. Strategic managers make decisions that affect the long-term impact in the organisation. The decision maker developed objectives and deals with required resources to accomplish this objectives. Sims decisions are made considering a long period of time, thus involved huge investments.

Management control for tactical management:-

Management control is middle level management activity. It serves the monitoring, controlling, decision making, and administrative activities of middle managers of the business organisation. Management information system (MIS) provide the primary support at this level, along with some types of DSS. It involves the decision for the subordinates on the basis of general guidelines received from the top level management. The managers develop medium term planning and defining objective at the departments. These managers find out the finest operational measures to accomplish this strategic decision set by the top level management. 

The common essentials of Management control include:-

a) Acquisition of resources

b) Acquisition tactics

c) Budget monitoring

d) New product establishment

e) Profit centres to measure performance

f) Decision on control actions

g) Formulate new decision rules

Operational management:-

Operational management is lower level management activity. It deals with short-term decisions for current operations. The main objective of this activity is to use available facilities and resources in effective and efficient way within budget constraints. These managers implements policies handed over to them by their superiors. 

The common essentials of operational management includes:-

a) Scheduling

b) Promotional efforts

c) Cash deposits

d) Credit decisions

e) Flow of material

f) Preparation of payroll

g) Inventory management

h) Periodic analysis of sales