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Management Information Systems

Notes  The powerful worldwide changes have altered the environment of business. These changes
in the business environment and climate are classified into political, social, economical
and technological categories.
 Information work is the art of creating and processing information. We use the term “art”
because some companies do a very good job of creating, processing, and managing their
information.
 There are several different approaches to Information Systems: technical, behavioral,
socio-technical.
 The study of information systems deals with issues and insights contributed from
technological and behavioral disciplines.

 A good Management Information System meets both domestic and foreign opportunities
and challenges.

1.8 Keywords

Digital Convergence: It is an approach by which all types of media and communication will be
digitized allowing them to be used through a single worldwide network.
Information System: A collection of elements that capture data and convert it in information
and disseminate to the decision-makers in an organization.
Information Technology: Hardware and software that perform data processing tasks, such as
capturing, transmitting, storing, retrieving, manipulating or displaying data.

Input: Consists of data, instructions and involves capturing and assembling elements that enter
the system to be processed.
IT Architecture: A conceptual design for the implementation of information technology in an
organization, including its hardware, software, and network technology platforms, data resources,
application portfolio, and IS organization.
Knowledge Work Systems (KWS): These systems help create new products or improve old ones,
and they’re also used to integrate new data into the flow of information that is so vital to an
organization.

1.9 Review Questions

1. Why are information systems essential in business today? Identify at least two trends in
the global business environment that have made information systems so important.

2. Evaluate the role of information systems in supporting various levels of business strategy.
Why is there considerable resistance in organizations towards introduction of information
systems?
3. How are information systems changing the management process? What specific managerial
roles can information systems support?
4. How can information systems support an organization’s business operations, decision
making by their managers and give them a competitive advantage? Identify examples
within your organization to illustrate your answer.
5. What are the key management challenges involved in building, operating and maintaining
information systems today?

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