There are several types of computer-based information systems, which serve different levels of management :
- Transaction Processing Systems
- Management Information Systems
- Office Automation Systems
- Knowledge Work Systems
- Decision Support Systems
- Executive Support Systems
In this post let’s take a look at the above mentioned types information systems. After reading the entire page you will be able to understand the concept and explain these types of information systems.
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Types Of Information Systems
- Transaction Processing Systems – A transaction is a recorded event having to do with routine business activities. A transaction may be recorded manually or via a computer system and includes everything concerning the product or service in which the organization is engaged: production, distribution, sales, orders. It also includes materials purchased, employees hired, taxes paid, and so on.
A transaction processing system (TPS) is a computer-based information system that keeps track of the transactions needed to conduct business. They process transactions in two basic ways. In batch processing, transactions data are accumulated over a period of time and processed periodically. In real-time (or online) processing, data are processed immediately after a transaction occurs.
- Management Information Systems – A management information system (MIS) is a computer-based information system that uses data recorded by a TPS as input into programs that produce routine reports as output. Inputs consist of processed transaction data, such as bills, orders, and paychecks, plus other internal data. Outputs consist of summarized, structured reports: budget summaries, production schedules, and the like.
- Office Automation Systems (OASs), also called office information systems (OISs), combine various technologies to reduce the manual labor required in operating an efficient office environment and to increase productivity. Used throughout all levels of an organization, OIS technologies include fax, voice mail, email, scheduling software, word processing, and desktop publishing, among others.
- Knowledge Work Systems, knowledge-based systems or an expert system, is a set of interactive computer programs that helps users solve problems that would otherwise require the assistance of a human expert. Expert systems are created on the basis of knowledge collected on specific topics from human specialists, and they imitate the reasoning process of a human being.
- Decision Support Systems – A decision support system (DSS) is a computer-based information system that provides a flexible tool for analysis and helps managers focus on the future. A DSS aims to produce collected information known as business intelligence, gathering data from a wide range of sources in a way that can be interpreted by humans and used to support better business decision-making.
- Executive Support Systems – Also called an executive information system (EIS), an executive support system (ESS) is an easy-to-use DSS made especially for strategic managers; it specifically supports strategic decision-making. It draws on data not only from systems internal to the organization but also from those outside, such as news services or market-research databases.
Understanding the types of information systems guides one to identify the information systems in an organization.
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