Shruti Speak's

A Typical Management Information System is based on four major components: • Data Gathering The process of collecting required data from external and internal sources • Data Entry The collected data is imputed and stored in the database. Database is the core component used in information processing. • Data Transformation The data stored in the database is transformed into useful information through the application of computer programs and judgments made by the technical support staff and the end users. • Data Utilization The data that has been transformed into useful information is retrieved as needed by the management of the firm for managing operations and decision making.

Management information systems can be used as a support to managers to provide a competitive advantage. The system must support the goals of the organization. Most organizations are structured along functional lines, and the typical systems are identified as follows: Marketing management information systems : A marketing management information system supports managerial activity in the area of distribution, product development, pricing decisions, promotional effectiveness, and sales forecasting . More than any other functional area, marketing systems rely on external sources of data. Human resources management information systems : Human resources management information systems are concerned with activities related to workers, managers, and other individuals employed by the organization. Because the personnel function relates to all other areas in business, the human resources management information system plays a valuable role in ensuring organizational success. Activities perfo...