Definition of a Management Information System (MIS)


Information is data that has been processed and is useful in decision making. It helps decision makers by increasing knowledge and reducing uncertainty. Modem busi-nesses cannot be run without information; it is the lifeblood of an organization. An information system can supply many types of information. Originally, information systems provided standard reports such as accounting statements, sales summaries, payroll reports, and personnel reports. More recently, information systems have been designed to provide information to support decision making. This application is called a management information system (MIS).

In previous years, you learned how data processing takes raw facts called data and organizes them into information. Data processing is concemed with the immediate task of data organization. The emphasis in data processing is on the short-term or daily operations of an organization; it provides detailed information. An MIS is a formal information network using computers to provide management information for decision making. The emphasis in an MIS is on intermediate and long-range planning; therefore, less detailed and more summarized information is necessary. The goal of an MIS is to get the correct information to the appropriate manager at the right time and in a useful form. This is not always an easy task. See the Concept Summary below for a review of the characteristics of data processing and management information systems.

Last Updated Jan.7/99