Introduction to Management Information System

Topics: BusinessManagement


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Last updated: October 6, 2019

Research by O’Brien, J (1999) supports that a combination of hardware and software that used to process information automatically is called Management Information System (MIS). Management Information System is the term given to the discipline focused on the integration of computer systems with the aims and objectives on an organisation. Management information systems may provide the information needed to manage organizations with efficiently and effectively. Management Information System may classify to three primary resources which are technology, information, and people.Management Information System is regarded as a subset of the overall internal controls procedures in a business, which cover the application of people, documents, technologies, and procedures used by management accountants to solve business problem such as costing a product, service or a business-wide strategy.

Normally, MIS is used to allow individual to access and modify information. It has been said that the purpose of information systems is to get the right information to the right people at the right time in the right amount and in the right format.Because information systems are intended to supply useful information, the information may defined into data, information and knowledge. Refer to Leo Lingham (2006) said that one of the primary goals of information systems is to economically process data into information and knowledge. Data items refer to an elementary description of thing, event, activities, and transactions that are recorded, classified, and stored but not organized to convey any specific meaning. Data items can be numbers, letters, figures, sounds, or image.

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Information refers to data that have been organized so that they have meaning and value to the recipient. The recipient interprets the meaning and draws conclusions and implications from the information. Knowledge consists of data or information that have been organized and processed to convey understanding, experience, accumulated learning, and expertise as they apply to a current business problem.

Research by R. Kelly Rainer and Casey G. Cegielski supports that Information systems are important to us for a variety of reasons.First, information systems and information technologies are integral to our life. There are many examples of the ways in which information systems and technologies are embedded in your lives such as register for classes, access class syllabus, conduct banking and etc. In addition to all the activities can perform online, there are other examples of how information systems and information technologies are essential to daily living. For example, you may not use a regular wire line telephone.

Rather, you use a smartphone that has a calendar, an address book, a calculator, a digital camera, and several types of software to download music and movie. This phone enables you to seamlessly switch between different wireless mode such as Bluetooth, Wi-Fi, cellular and Wi-Max to communicate by voice, e-mail, instant messaging, and text messaging. Second, the information system field offers many career opportunities. Becoming knowledgeable about IT can improve chances of landing a good job. Even through computerization eliminates some jobs, it creates many more.Because of information technology is vital to the operation of modern business, it offers many employment opportunities. The demand for traditional IT staff – programmers, business analysts, system analysts, and designers – is substantial.

In addition, many well-paid jobs exist in emerging areas such as the Internet and e-commerce, mobile commerce, network security, object – oriented programming, telecommunications, and multimedia design. Finally, all functional areas in an organization utilize information system. Simply put, organizations cannot operate without information technology.For this reason, every manager and professional staff member should learn about IT within his or her specialized field as well as across the entire organization and among organizations. IT system is integral to every functional area of an organization.

In finance and accounting, for example, managers use IT system to forecast revenue and business activity, to determine the best sources and uses of funds, and to perform audits to ensure that the organization is fundamentally sound and that all financial reports and documents are accurate.References Leo Lingham (2006). Managing a Business : Management Information System. Retrieved on 25th October 2011, from http://en. allexperts. com/q/Managing-Business-1088/management-information-system.

htm O’Brien, J (1999). Management Information Systems: Managing Information Technology in the Internetworked Enterprise. Boston R. Kelly Rainer Jr. & Casey G. Cegielski . Introduction to Information System : Enabling and Transforming Business (3rd Ed).

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