Definition of Management Information
System
Management Information System can be defined as a formal method of collecting timely
information in a presentable form. in order to facilitate effective decision making and
implementation, in order to carry out organizational operations for the purpose of achieving
the organizational goal. A management information system is a system design to provide
selected decision –orientation information needed by management plan, control and evaluate
the activities of the corporation. It is designed within the frame work that emphasizes profit,
planning, performance planning and control at all levels. It complements the ultimate
integration of required business information sub system both financial with in the company.
According to Philip kolter- A marketing information system consist of people, equipment
and procedures together,sort,analyse,evaluate and distribute the needed timely and accurate
information and marketing decision makers.
Professor Allen S. Lee states that research in the information system field examines more
than the technological system,or just the social system or even the two side by side in
addition it investigates the phenomena that emerge when the two interact.
An information system can be any organized combination of people, hardware, software,
communication network and data resources that collects, transforms and disseminates
information in an organization.
Purpose of Management Information
System
Information processing is a major social activity. A significant part of an individual’s working
and personal time is spent in recording, searching for, and absorbing information, as much as
80% of a typical executive’s time is spent on processing and communication information.
Their duties involve the production and use of information outputs documents, reports,
analysis, plans, etc.
The system provides information on past, present, and project future and on relevant events
inside and outside the organization in the society. it may be define as planned and integrated
system for gathering relevant data,coverting it in to right time. The main purpose of
management information system is to provide the right and correct information to the right
people at right time.
Another important purpose of management information system is that it is needed by all
business organization because of increased complexity and rate of change of today’s business
environment foe example marketing manager needs information about sales performance and
trends financial manager needs information on returns, production manager needs
information analyzing resources requirement and workers productivity and personnel
manager needs information analyzing resources requirements and workers productivity and
personnel manager needs information concerning employee compensation and professional
development. thus effective managers with the specific marketing,financial,production and
personnel information, and products they require to support their decision making
responsibilities.
Management information system concept is a vital to effective computer use in business of
two or major reason:
1- It serves as a system framework for organizing business computer applications. business
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