Introduction To Information System

Information System take birth from the Information Technology, but it is no more just a part of Information Technology. Today, Information System has provided highly productive results and becoming more efficient with every passing day. Essentially, it provides the necessary information for business operations. It has been designed with the aim to support all business functions. The complex business functions get help from various types of Information Systems to sustain and develop in dynamic business environment.

Information System is made up of two terms, namely, Information and System. Information can be defined as well-arranged and structured meaningful data, and System is an arrangement for accessing, using, and modifying the information by taking input and providing output after completing the required process. In simple words, Information System is an arrangement that processes data and provides meaningful information. An Information System use several interrelated components like to collect, store, process, generate, and disseminate information for effective business functioning. Such information is very important for every organization as it supports decision making and also helps in controlling various organizational departments and their functions. Information System can be useful for both individual departments and all departments collectively.

An Information System Model

The data for an Information can be collected from various sources such as employees for their personal details and competitors performance. This data can be stored in printed format over the paper and electronic format with the help of a computer. The processing of this data includes calculations, logical analysis, and other statistical methods, depending upon the information that we want to derive. After the processing of data, it is transformed into information. This information helps and supports end users for decision making, problem solving, strategy forming, and controlling functions in an organization.

For example, the data about individual sales by each sales associate in a month, the general sales target for each associate, and market sales trends for that month can be put to use. This data can be stored, classified, and analyzed to produce meaningful information about the sales trends for that time period, gaps between the targets and actual sales for individual associates, and the aggregate sales based on teams. The same data can also be used for predicting the sale for next month, target setting for the next month, and planning for future sales.

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