haleeb marketing analysis

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Management information system

ABSTRACTABSTRACT

This project is made with the objective of studying the MIS of CDL

FOODS .The project is depicting the importance of MIS by studying

their department like Accounts/Finance, HRM, Milk Procurement

Department, IS Department, Production Department, Purchase

Department, etc. The managers of all the Departments prepare reports

and ultimately send to top level of management for timely and efficient

decision making. Also it shows the way of communicating information

(CBIS or Non CBIS) from formal or informal source. The project also

critically shows the MIS of CDL FOODS and recommendations for

further improvement.

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ACKNOWLEDGEMENT

We bow our heads before ALMIGHTY ALLAH in gratitude, which

blessed us with sound health, talented teachers, sympathetic Friends

and sufficient opportunity to complete our esteemed Project on

MANAGEMENT INFORMATION SYSTEM.

It is our privilege and honor to express our deep gratitude and in

calculating thanks to PROF. DR. LIAQAT ALI Who gave us an

opportunity to benefit from their immense knowledge and experience

without which the work described in this project would not have been

possible.

We feel pleasure in acknowledging with profound sense ofindebtedness, the cooperation and general help of our class fellows

during preparation of this project. We submit our earnest thanks to

our affectionate parents for their moral boosting, financial and spiritual

support during our studies.

MUHAMMAD WAJID KHAN.

MUHAMMAD FAHIM NIAZ.

ABDUL WAHID.

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ContentsS.No. Particulars Page

No.

1. Abstract 12. Acknowledgement 2

3. Dedication 3

4. Introduction Of Report 6

5. Reason For Selection 7

6. CDL Foods 7

7. History of the CDL 10

8. Products Of CDL Foods 11

9. Purpose Of Company 12

10. Structure Of Organization 13

11. Organization Chart Of Information System Department 1412. Flow Chart Of MIS In Finance Department Way Of

Communication Information

15

13. Current MIS Of CDL Foods 16

14. Flow Of Information In Various Department 17

15. Application Of Management Information System In Accounts And

Finance Department

18

16. Human Resource Department And MIS 18

17. Purchase And Sales Department And MIS 19

18. Production Department And MIS 19

19. Milk And Procurement Department And MIS 19

20. Information System Department And MIS 2021. Information Used In CDL Foods 21

22. Decision Taken By The Management On The Information Received

Through Formal Source Of Information

21

23. Flow Chart of Formal Source Information 22

24. Decision Taken By The Management On The Information Received

Through Informal Source Of Information

23

25. Flow Chart Of Informal Source Information 24

26. Critical Appraisal Of Current MIS and CDL Foods 25

27 The Decision May Support Current MIS Of Organization 25

28 Deficiencies 26

29 Recommendations 26

30 Conclusions 27

31 Reference 28

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INTRODUCTION TO THE REPORT

This report presents the investigated M.I.S of CDL Foods. In the

modern age of competition, information and information resources

must be managed efficiently and effectively. The rapid change in

information technology and Internet

demonstrates that information systems and information technologies

are essential ingredients for the success of todays sophisticate

business enterprise. Information is a valuable powerful asset; infectlife blood of a business.

Now every enterprise is emphasizing on its efforts to improve

1-Managerial Decision Making

2-Gain competitive Edge

Through Management Information System, information is gatheredthrough internal sources as well as from external sources. On the basis

of above valuable information, reports are prepared and display to

management on

1-Demand

2-Periodically, according to the set schedule

3-At the time of emergency

With the globalization of markets, and the increased quantity

and diversity of competition that occur as a consequence, the

traditional view of computer systems as a back room supporting

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function is no longer viable in companies wishing to survive and

prosper.

M.I.S provides managerial end users with information products that

support much of their day-to-day decision making needs. M.I.S

provides a variety of reports and displays to management.

The content of there information product are specified in

advance by managers so that they contain information that managers

need. M.I.S retrieves information about internal operations from

databases that have been updated by transaction processing systems.

They also obtain data about the business environment from external

sources.

This report displays the MIS of CDL FOODS that facilitates its

production operations and decision-making. MIS of CDL FOODS

includes both computer based and non computer based aspects and

providing assistance in areas like Accounting, Finance, HRM,

Marketing, Procurement Department MIS of CDL FOODS. Also it

removes the geographical constraint by using highly sophisticated

technology that links plant with head office.

Therefore, the scope of MIS cannot be overlooked by CDL

FOODS. And it is disseminating information to concerned authority for

decision making after filtering it.

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Reason for Selection

Following are the reasons for selection this organization.

The management is so much cooperative in providing

the information about the project

The organization has a comprehensive MIS for getting

the valuable information

Easily accessible

Because of reference we select this organization

Fast growing organization in foods sector

Whole system of the CDL Foods based on CBIS

CDL FOODSCDL Foods Limited (formerly Chaudhry Dairies Limited) is a fast

growing food products company. Having doubled its turnover in the

last four years, the company has a turnover of more than Rs.4 billion

presently. The company also operates as a franchise of Candia Cedilac

of France. CDL has a state of the art milk processing facility situated at

62-KM Multan road, Near Bhai Pheru, and has a team of 400

exceptional individuals to support its operations. The head office of

CDL is located in the evergreen city of Lahore at 135-Ferozepur Road.

CDL is producing a number of food products both for consumers and

industrial users.

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The main brands of CDL are as following:

CDL is the first food company and so far the only dairy company in

Pakistan to get ISO 9002 Certification - a Quality Management

System. While adhering to this Quality Management System, the

company is committed to strict quality standards in all its operations -

from the collection of milk to the provision of hygienically processed

nutritious products to its customers. The company follows the

philosophy of "delighting the customers". The company treats them as

partners and keep channel of communication open with them. The

company has succeeded in this by continuously improving the quality

of its products and by satisfying the needs of its customers. The

company believes in creating and sustaining an environment, which

encourages learning and empowerment and these in turn help

strengthen the quality culture across the business. Company's Mission:

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http://www.cdl.com.pk/tropico.htmhttp://www.cdl.com.pk/skimzliquid.htmhttp://www.cdl.com.pk/nrish.htmhttp://www.cdl.com.pk/haleebmilk.htmhttp://www.cdl.com.pk/dairyqueen.htmhttp://www.cdl.com.pk/candiamilk.htmhttp://www.cdl.com.pk/asli.htm


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providing nutritious and hygienically processed food product to our

customers. Enhancing our reputation for quality in all our operations.

Promoting mutual trust with customers, suppliers, employees and

Shareholders. providing a healthy and safe environment to our

community.

CDL Foods a trained pharmacist began experimenting with various

combinations of cow's milk, wheat flour and sugar in an attempt todevelop an alternative source ofinfant nutrition for mothers who were

unable to breast feed. His ultimate goal was to help combat the

problem of infant mortality due to malnutrition. CDLs first customer

was a premature infant who could tolerate neither his mother's milk

nor any of the conventional substitutes, and had been given up for lost

by local physicians. People quickly recognized the value of the new

product, after CDL new formula saved the child's life and within a few

years.

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http://c/My%20Documents/misc/in_your_life/baby_foods/index.htmlhttp://c/My%20Documents/misc/in_your_life/baby_foods/index.html


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History of the organization

CDL was established in 1987. It is situated on the 135, Ferozepur

Road Lahore. CDL Foods is one of the fastest growing packaged foods

companies in Pakistan with an annual turnover of Rs. 5 Billion. When

the Mill was established the management information system of

organization was completely non-computer based. Due to changes in

the technology & to achieve the efficiency and effectiveness in the

work, the company introduces the computer-based management

information system in some departments of the organization. Due to

consistently superior performance, it has achieved undisputed

leadership in the liquid packaged milk category with a market share of

over 56%. It has a very strong brand portfolio consisting of leading

national/international brands; Haleeb, Candia, dairy Queen, Nrish,

Skimz and Tropico.

It has a highly professional management team with a progressive

operating style. It can lay claim to be one of the very few Pakistani

organizations, which are truly following the model adopted by globally

successfully corporations, with clearly defined roles for shareholders

and the management team.

CDL is well known for its first mover initiatives in product and

packaging innovations. It also has one of the largest nation-wide

distribution networks delivering high quality products, even in the

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remote areas of Pakistan. It has tapped opportunities in export

marke5s including Korea, Hong Kong, Afghanistan and Bangladesh.

In order to provide best quality products to its consumes, CDL has a

well developed supply chain infra structure. It has heavily invested in

a vast network of company operated milk collection centers

Products of CDL Foods Candia Milk

Haleeb Milk

Dairy Queen Standardized Milk

Tropico Juices

Haleeb Lassi Drink

Asli Desi Ghee

Haleeb Skimmed Milk Powder

Candia Skimz

Skimz-Skimmed Milk Powder

Haleeb Yogurt

Purpose of the company

Since its foundation it has

Built consumers' trust through the quality of its products;

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Providing nutritions and hygienically processed food products to

customers.

Respected the social, political and cultural tradition.

Taken a long-term approach to strategic decision-making, which

recognizes the interests of our shareholders, consumers,

Employees, business partners as well as those of all the national

economies in which we operate.

Believe in people, rather than systems

Committed to creating value for our shareholders, but we will

not favor short-term profits at the expense of long-term

business development

As decentralized as our basic policy and strategy decisions will

allow

Committed to continuous improvement rather than dramatic,one-off changes

Above all, we are pragmatic and not dogmatic

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Structure of OrganizationStructure of Organization

13

Managing Director

Board of Directors

HRM

General Manager

Milk

Procurement

Deptt.

Marketing

Deptt.

Purchase Deptt.

MIS Deptt.

Sales Deptt.

Production Deptt.

Chairman

Quality

Analysis

Accounting/

Finance


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ORGANIZATIONAL CHART ofORGANIZATIONAL CHART ofINFORMATION SYSTEMINFORMATION SYSTEMDEPARTMENTDEPARTMENT

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FLOW CHART OF MIS IN FINANCE

DEPARTMENT

DEPUTY MANAGER

ASSISTANT MANAGER

OFFICERS

SUPERVISORS

PROGRAMER /ANALYST

SYSTEM SUPPORT MANAGER

GENERAL MANAGER

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Ways Of Communicating Information

Reports prepared by different departments

16

Information

Systems In

Finance

Cash

Management

Investment

Management

Capital

Budgeting

Financial

Planning

Forecast And

Manage Cash

Position

Manage

Short Term

And Other

Securities

Evaluate

Risk/Return

Of Capital

Expenditures

Forecast

Financial

Performance

And Financin

Needs


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Meeting organized daily, monthly, as well as when

needed by chairman and Managing Director.

E-mail, websites (internet sources), data storage

tools

Telephone, Fax, intra net used by the organization

Wide area network (WAN) is used as a

communication between different departments and is

possible through client server system

CURRENT MIS OF CDL FOODSCURRENT MIS OF CDL FOODS

The present scenario of this competitive world shows that to

survive, one must be well versed in every aspect of life. The same

phenomenon is applied to the business world.

To survive in the modern age, the business world must adopt

such kind of practices, which fulfill the modern requirement of the age

and MIS is providing a great service in this respect. CDL FOODS is the

well-reputed organization of Pakistan and also in the world, realizesthe Importance of MIS.

CDL FOODS has a well-managed MIS department. Company is

using following soft wares (Microsoft, Netscape, Oracle, SAP, mIRC,

ICQ) and Hardware (Intel, AMD, Philips, Sony, Panasonic) and

Downloads like Download.com, Shareware.com and Tucows and News

like (ZD Net, Byte Magazine, Win Mag) to make its MIS effective and

more efficient.

Flow Of Information In Various Departments

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Decision Making

Chairman

Board of Directors Reports:Analysis Report

Exceptional Report

Plan of Action Report

Managing Director

Gen. Manager of Departments

Managers

Assistant Managers

Flow of information is from low level to top level of the

management

At each level every manager has given some power to

make decision up to some extent

Specifically by having MIS department they are now achieving a

competitive edge by having Information from all the departments. MIS

is prevailing in all the departments of CDL FOODS. Which helps to

communicate information from one department to another?

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Application Of Management InformationSystem In Accounts And Finance

Department

In CDL Foods the accounting department is totally computer

based termed as Accounting Information System. The accounting

information system is based on the double entry bookkeeping concept,

which is hundreds of years old, and other, more recent accounting

concepts such as responsibility accounting and activity based costing.

Computer based accounting systems record and reports the flow of

funds in CDL Foods organization is on a historical basis and produces

important financial statements such as balance sheets and projected

financial statements and financial budgets. Financial performance of

CDL Foods is measured against such forecasts by other analytical

accounting reports.

The major function of this department is to handle all accounts

activities such as the daily transactions, checking of Accounts

preparing ledger & balance sheets through Transaction Processing

System (TPS). All these functions show a true & fair picture of the

financial position of the organization for the Finance Department to

make the forecast of future conditions such as financial budget. Apart

from the above the Finance Manager of the same department will see

cash flow statement prepared by Accounts manager amount of

expenditures and budget require to achieve the organization goals &

projects. All the above Information is analyzed. In the form of Daily,

or Monthly Report, Half yearly and Yearly by General Manager of the

concerned department who if needed will submit the report to the

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Managing Director for effective decision-making. In this department

all the activities are done by CBIS.

Human Resource Department and MIS

Human resource is concerned as a valuable asset of the

organization. CDL FOODS is giving a great consideration on this

department. They are providing a very healthy environment for their

employees. By using MIS in this department they have provided online

facility to their employees as well as database management through

which they have great and speedy access to the data related to the

employees. The data includes the history, qualification, incentives,

payroll, system; Advances etc. With the help of MIS, CDL FOODS is

able to recruit and retain the employees which is the basic of HRM.CDL

FOODS recently introduced a SYSTEM REVIEW TEAM (SRT) containing

three to four members. Their basic function is to receive information in

the form of request, recommendations of the employees. This team

will then review, analyze, check the situation and then form the report

for the GM, which if needed will submit it to the higher authority for

effective decision making. Higher authorities for effective decision

making to raise the morale of employees consider legal and social

issues.

Purchase And Sales Department & Mis

Daily, Weekly Report of Purchase Department prepared by the

concerned manager is a clear reflection of the performance. They have

fully automated system. They have direct link with the Sales

Department.

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Fin

repo

General Ledger

processing and

reporting system

Payroll

transact

processin

system


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Report is prepared on the basis of purchase requisition, purchase

order, issue note, goods received note, Bin cards. Above requisites will

provide them a clear picture of availability of inventory and the

average price, costing and payment. These reports are submitted to

manager for analysis, which at last takes necessary decisions. IS

department of CDL FOODS has developed a program for future

effective working of department. Company maintains and records of

changes in inventory level in the computers for quick access of

information available to them for decision-making.

Production Department & Mis

Information gathered for effective decision-making can be seen

by the manufacturing department of company with the help of

Production Report prepared by the manager of Production

Department. Which is prepared on daily, weekly, monthly, half yearly

and yearly basis this report includes all the activities relating with the

planning and control of production process? A computer is integratingall the activities and supports all the process. These reports will also

show the deviation from the set standard, in quality and quantity.

Production Schedule on daily basis provides a vivid picture of the

performance of Production Department. This situation will be analyzed;

check and action plan will be made (in the form of report) for

necessary decision to create flexible, agile, manufacturing process that

effectively produces products of high quality. CDL FOODS also organizea SALES AND PRODUCTION PLANNING MEETING in which sales and

production reports are submitted by the managers of the departments

to top management for effective decision making and planning.

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Milk & Procurement Department (MPD) and

MIS

This is perhaps the most critical department of the CDL FOODS

Foods Ltd and requires great attention for its operation. This

department focuses on the procurement of milk as a core raw

material, which is used in different products. This department maintain

standard of milk, which they get by checking the percentage of fats,

and applying, SNF (solid non fat) approach in this way, this

department contributes to CDL FOODS to achieve quality product.

By using MIS, this department is able to make payment to their

suppliers in proper time

Because before that their was no data base system for the

suppliers, distributors, and the percentage given to them was recorded

in register which took a lot of time for timely decision making.

Marketing Department (Research) and MIS

Marketing Department of CDL FOODS Ltd is playing an important

role by performing research for them. They have internal as well as

external sources for marketing. Basically, they depend upon the

information from the external sources and FAST information and

technology institute is rendering reliable services for them. the

representatives of FAST checks the demand of the customer,

consumers and give CDL FOODS a reliable picture of their market

share against their competitors so that they can take proper actions.

This information is transmitted to the marketing manager which is

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then ultimately in the form of Research Report is submitted to the

top level for effective decision-making. Apart from that management

can prepare Sales Promotion Strategies.

Information System Department And Mis

CDL FOODS has an energetic IS department and providing

assistance to integrate the rest of departments. This department has

developed softwares for the organization such as;

Data base

Visual basic

Fox pro

Linux

Unix

Database is being separately used for plant and head office and

is updated for time to time. On the needs and requirements of every

department, they develop software. Apart form above they have GFFS

(Grand father, fathers son) software, which is serving as storage tool.

It includes tapes in which data relating to important issues is stored as

back up and is submitted on Daily basis to General Manager

Information System

Who on the basis of these can make effective decision-making? Apart

from above they have developed

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Client Server system

A comprehensive website

Also they have forecasted the future needs and are working on

enterprise resources planning software and make the required changes

with the passage of time and also upgraded their website.

Information Used In CDL Foods

MIS of CDL FOODS incorporate the following features.

Formal source of information

Informal source of information

Decision Taken By The Management On TheInformation Received Through Formal

Source Of Information

CDL FOODS is collecting information from formal as well as from

informal source. That information facilitating the management for

effective decision-making.

The GM of HR department observes that when the employees at

the plant on Bhai Pharu. The cost increases in the shape of high bill of

telephone because it results in trunk call of Lahore.GM analyzed all

this, and prepare a report for information system manager to prepare

a system which can reduce the high cost due to trunk calls.

Information System Manager analyzed it, and makes decision that

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they should have a Fax Server System, which will eliminate the call of

Lahore.

Flow Chart of Formal Source Information

25

Human Resource Department

Seek Information

High Communication Cost High Telephone bill

GM Analyze The Situation

Check Information

Prepare Report

Deliver to MD

Review the Report

Decision-Making

Fax Server System


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Decision Taken By The Management On TheInformation Received Through InformalSource Of Information

CDL FOODS is also taking the benefit by using the

information from informal source i.e. from the source which is not the

part of the system of organization.

Through media, the organization comes to know that the

prices of raw material will be increased due to imposition of Govt.

taxes. It will enhance the cost of finished products. . This is the

information that is generated through informal ways. On the basis of

this information, management has to decide to make changes in their

price policy so management has taken the decision on the basis of

informal source of information.

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FLOW CHART

Govt. Tax Policies Results

Increase in Taxes

High Production Costs

Published Sources

Newspaper Periodicals Electronic Media

Television Radio

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Information(Received by)

Concerned Authority

Decision-Making

Readjustment of Price Policy

Critical Appraisal Of Current MIS OfCritical Appraisal Of Current MIS OfCDL FoodsCDL Foods

CDL FOODS is a worldwide, well-known and well reputed

organization. The organization has adopted computer based

information system (CBIS) is old. The organization has achieved

competitive edge due to adopting CBIS. By using the current MIS they

have remove many hindrances just like they have very big hindrances

that they dont have a immediate contact with the plants and head

office, they face some hindrances about the employees matter they

were unable to understand the employees matter, requirements, but

since they have adopted the MIS they are using to remove the

hindrances with the help of data base information system. Now they

have a big network in Pakistan. They are using various type of soft

wares and networks i.e. LAN, Intranet, WAN and Internet.

Though their MIS has resulted in the connectivity of head office

and plants. IS also resulted in increasing revenues both in domestic

and foreign markets. The organization is adopting the rapid changes in

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the field of technology. They have not to face any resistance from

employees because they adopt new soft wares after giving train to

employees. It means the organization has friendly software user

environment for introduction of new software. The organization has

highly trained expertise for development of new soft wares.

The major drawbacks of MIS of CDL Foods are that they are not

providing online shopping facilities to consumers and retailers.

The Decision May Support CurrentMIS of Organization

The HR manager says that the data which provides by IS is in

raw form and we have to finalized it. I think that if this should be

provided in final form then we make better and in time decisions.

Deficiencies in current MIS of CDLDeficiencies in current MIS of CDLFOODSFOODS

The head office of CDL FOODS is in Lahore while plant is at Bhai

Pheru. So to interact effectively, the organizations have no facility of

videoconferencing. The mean of transfer of information among head

office and plants is tele fax and telephone.

To enhance the performance they should have an integrated

system like they say that they have to see the resistance due to this

software as well as to launch as effective training programs.

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Geographical constraint results in the additional cost in the shape of

fax bill.

Though in the plant, they have an open system, but they dont

encourage interaction with in the premises of the head office.

In some departments the reports are manually prepared; they

are not entirely computer based. It is not beneficial for the effective

decision making because it is time-consuming process.

The organization is not providing online facilities to the

customers, which is the great requirement of the day.

Recommendations For TheRecommendations For TheImprovement In MISImprovement In MIS

Winston Churchill says:

To prosper change is necessary but to be perfect, continuous change

is necessary. therefore following recommendations are to be

considered by CDL FOODS for their effective working.

The organization should such easy accessible software to get

more competitive advantages over other organizations in Pakistan

(just like Toyota got a competitive edge by the following this

technique).

Reduce wastage of time but also provide a clear feedback of thewhole organization.

The organization must introduce online terminals for the

customers to receive their purchasing orders and complaints about the

products.

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They should lessen the geographical constraint but adopting fax

server system, which will eliminate the cost of trunk call of employees

contacting from plants.

The organization should introduced video conferencing facilities

among plants and head offices situated in different cities for effective

decision-making.

ConclusionsConclusions

After studying the MIS of the CDL FOODS we conclude that CDL

Foods has an effective management information system that providesa framework for the control and efficient utilization of organization

resources to achieve business objectives. Due to this effective MIS the

organization has competitive edge over other organizations in

Pakistan.

We also conclude that there are some deficiencies in the management

information system of the Enterprise and we had given some

recommendations to improve the quality and to save the time. If the

company adopts the recommendations, which are given up, the

organization can increase the efficiency and effectiveness of the work.

It can also increase its profits due to decreases in the cost and time

spent on the delivery and reception of the information.

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References:

Mr. Muhammad Wasif

General Manager HR Department

Mr. Muhammad Umar Janjoa

Assistant Manager HR Department

Mr. Muhammad Assad

Asst. Manager MIS Department

Management Information System

By Robert schultheis & Mary Sumner

Web site of the company www.cdl.com.pk

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