MIS is made up of three words: Management, Information and Systems. MIS is a system consisting of people, machines, procedures, databases and data models as its elements. Role of MIS in organization similar to role of heart in the body. Information is blood & MIS is heart.

Data– raw facts, describe particular phenomena- e.g. current temperature, price of movie rental or your age.

Information- data having particular meaning within specific context. EG: Current temperature becomes information if you’re deciding what to wear.

Distinction between Data & Information

Data Information
It is raw facts, figures. It is processed data presented in the form to assist decision makers.
It is usually in the form of historical records, may or may not organized, and may or may not add anything to our knowledge. It may contain element of surprise, reduce uncertainty or provoke a manager to initiate an action.

Relation of data to information





Analogy of raw material to finished product illustrates information for one person is data for another, as finished product from one mfg. division may be raw material for another. Ex: withdrawal slip is information for cashier of a bank but is raw data for branch manager.

Types of Information

Characteristics of Information

  • Timeliness
  • Accuracy
  • Relevance
  • Adequacy
  • Completeness
  • Explicitness
  • Exception-based

What is an Information System?

It can be defined as set of interrelated components that collect (or retrieve), process, store & distribute information to support decision making & control in an organization. Information systems also help managers & workers analyze problems, visualize complex subjects & create new products.

Activities in an information system produce the information that organizations need to make decisions, Control operations, Analyze operations and Create new products or services. These are: Input, Processing, and Output.

Levels of firm served by Information Systems

Significance of an MIS to an organization

  • To increase productivity
  • To reduce manufacturing assistance
  • To sustain in market
  • To fulfill the organization mission and vision
  • To complete customer desire
  • To reduce rework and wastage
  • To eliminate unnecessary activities from process
  • To develop new products
  • To use existing products efficiently

Characteristics of good MIS

  • Systems Approach
  • Management Oriented
  • Need Based
  • Exception Based
  • Future Oriented
  • Integrated
  • Flexibility
  • Easy to use
  • Common Data Flows
  • Long-term Planning
  • Sub-system Concept
  • Central Database (DB)

MIS Functions

  • Data Capturing
  • Processing of Data
  • Storage of Information
  • Retrieval of Information
  • Dissemination of Information

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