Management Misinformation Systems

Abstract

Five assumptions commonly made by designers of management information systems are identified. It is argued that these are not justified in many (if not most) cases and hence lead to major deficiencies in the resulting systems. These assumptions are: (1) the critical deficiency under which most managers operate is the lack of relevant information, (2) the manager needs the information he wants, (3) if a manager has the information he needs his decision milking will improve, (4) better communication between managers improves organizational performance, and (5) a manager does not have to understand how his information system works, only how to use it. To overcome these assumptions and the deficiencies which result from them, a management information system should be imbedded in a management control system. A procedure for designing such a system is proposed and an example is given of the type of control system which it produces.