MIS : Filling the Shoes of Many Managers

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Any business establishment cannot afford to ignore the importance of MIS. And no-one can insist enough on the importance of MIS in this era which is run by information and only information. We are aware of the uncertainties and risks involved in any corporate environment.

Which eventually and essentially drives them to take complicated decisions to survive in the market. And decisions can lead to downfall if not based on well researched information. And the best way for that is a good Management Information System.

What is MIS?

It will be easy to understand it as information management or management of information. And by including ‘system’ we can say that it’s a systematic way of managing information. It’s kind of a business-technology hybrid. MIS focuses on bridging the gap between the business world and the computer science world, which is so important as the distinction between those two fields has begun to blur.

One of the crucial functions that any MIS has to perform is data-mining. Data Mining is the later phase than collecting important data. First and foremost, one has to collect correct data. Data doesn’t mean any random kind of data. As data leads to information which eventually plays an important role in decision making, we have to be quite cautious as less information and too much information, neither are favorable. Data-mining is basically turning data into useful and meaningful information. 

All About Data-Mining

The most important objective of data mining is knowing the market and customers. Data mining is basically the capability of transforming raw data into information. It’s about finding anomalies, patterns and correlations within large datasets to predict outcomes which can ultimately solve business problems. Its tools and techniques enable enterprises to predict future trends and make more-informed business decisions. Data-mining is a key part of data analytics and one of the core disciplines in MIS. Effective data mining aids in various aspects of planning business strategies and managing operations. 

How Does Data Mining Contribute to Management Information System:

Data mining plays a crucial role in almost all aspects of MIS such as gathering data, preparing data, mining data and analysis and interpretation of data. Data analysts generally follow a certain flow of tasks along the data mining process. Without a structure, they may encounter an issue in the middle of their analysis that could have easily been prevented had they prepared for it earlier. Lets try to understand few of them :

• Understanding of industry and the kind of business one is entering into is very important. Like SWOT analysis, their current business situation, goals of the company, etc. It all starts by understanding their success at the end.
• Second is looking for available sources, the way they can gather data from. This step is about critically thinking about what limits are there to data, storage, security etc and assess how these constraints will impact the data mining process.
• After collecting necessary data, it is uploaded, extracted and calculated. It is then cleaned, standardized, scrubbed for outliers, assessed for mistakes and checked for reasonableness.
• Then from the above data in hand, they search for relationships, patterns, trends or associations to assess how the bits of information may translate into future outcomes.
• Now we are at the point where evaluation of information comes into play. The outcomes from the analysis may be aggregated, interpreted, and presented to decision-makers that have largely been excluded from the data mining process to this point. Organizations choose to make decisions based on the findings. 
• The whole process concludes with management taking steps in response to the findings of the analysis. The company may strategically pivot based on findings. Organizations here can identify new business problems or opportunities. This was the end goal of MIS. Now it will be a lot easier for them to make decisions for the future.

Application of MIS in NBFCs

In today’s age of information, it’s like almost every department, industry, sector and company can and should make use of MIS so that decision making is improved which leads to growth or failure of any company. Loan management system is one of the most important components of any NBFC. And loan management itself is a play of tons of data. Managing this amount of data, processing all the information to find the pattern or fault or any meaningful information that may affect the decision making will create a huge difference with the approach to achieve predefined goals. 

Some of the Benefits that MIS May Provide to Foresee in Case of NBFCs are : 

Although, every operation needs management. The bigger the company, the more the resources, and the more the resources, the higher the need for immaculate management. With MIS now, managers can efficiently monitor their complete digital lending platform too. 

Crux :

Business managers at all levels of an organization, from assistant managers to executives, rely on reports generated from Management Information Systems to help them evaluate their business’ daily activities or problems that arise, make decisions, and track progress. It provides useful information from huge data to managers or to other members in NBFCs, which will help them to make efficient decisions further based on that info. To move it one step forward, NBFC software is able to implement MIS in a more efficient way as managing data and gathering information digitally is comparatively easy. Wind Finance is one of the best software for digital lending platforms out there. And they have also incorporated MIS in their software. 

Keeping track of the multifaceted operations that NBFCs have is not possible physically.

Managing thousands of records, making sure deadlines are obeyed, assigning work, and evaluating the overall performance. There are some of the various roles a manager has to carry out in an NBFC. Since one person filling all the shoes at the same time is impossible, MIS fills this quite smoothly. 

Wind Finance will let an NBFC achieve:-

NBFCs have come a long way and have overtaken banks and are continuing to stay people’s favorites in terms of financial activities and are in dire need of an efficient Loan Management system like Wind FInance. Contact us today to know what Wind Finance can bring to your NBFC.