Information system:- An Information System (IS) is any combination of information technology and people's

activities using that technology to support operations, management, and decision-making. In a very broad sense, the
term information system is frequently used to refer to the interaction between people, algorithmic processes, data
and technology. In this sense, the term is used to refer not only to the information and communication technology
(ICT) an organization uses, but also to the way in which people interact with this technology in support of business
processes.

Computer software/ software:- Computer software, or just software is a general term primarily used for
digitally stored data such as computer programs and other kinds of information read and written by computers.
Today, this includes data that has not traditionally been associated with computers, such as film, tapes and records
The term was coined in order to contrast to the old term hardware (meaning physical devices); in contrast to
hardware, software is intangible, meaning it "cannot be touched". Software is also sometimes used in a more narrow
sense, meaning application software only.

IT in Business:- In today’s highly competitive economic environment having the right. IT in business is a
critical element of success. All businesses deal with some of the new technology whether it is just a basic computer
system or highly sophisticated software to track sales from the time the initial contact is made until they close.
Finding the right IT personnel or company to provide the right systems is not as hard as it may first appear. There
are man y opportunities right on the Internet to find the right IT in business help. If sales companies are doing
business on the Internet there is the opportunity to find good Contact Management Systems (CMS) and Search
Engine Optimization (SEO) software. The CMS software provides sales force managers with all of the tools
necessary to monitor the status of the potential sales that are being worked by the members of the sales team. The IT
in business solutions are available and affordable for businesses both large and small. It is important to do some
research to find the right company with a good reputation and that provides the services needed.

IT in Industry:- The information technology (IT) industry has become of the most robust industries in the world.
IT, more than any other industry or economic facet, has an increased productivity, particularly in the developed
world, and therefore is a key driver of global economic growth. Economies of scale and insatiable demand from
both consumers and enterprises characterize this rapidly growing sector. The Information Technology Association
of America (ITAA) explains 'information technology' as encompassing all possible aspects of information systems
based on computers.

Types of Internet Connections

1. Dial-up: This method of connecting to the internet is the oldest and slowest method. It is also the most readily
available in all places which also receive phone service. Using this type of connection requires connecting a phone
line into your PC and using a modem to communicate through the phone line.

2. DSL: This method of connection is many times faster than dial-up. Your PC is connected to a separate DSL
modem which in turn is connected to your phone line. This type of connection allows the computer to be on the
internet while someone is able to use the phone at the same time. In order to use this service you must install filters
onto your telephones to reduce the internet signal and only let through telephone information.

3. Cable: This method of connection is also many times faster than dial-up. In this case, your PC is connected to a
cable modem which is then connected through your cable TV lines at your house. Since this wire is separate from
your phone line, you may watch tv, talk on the phone, and connect to the internet all at the same time.
4. FiOs (Fiber Optic): This method of connection is the fastest available to most home users. Fiber optic internet
connections work in the same way as DSL or Cable connections do, except that a fiber optic line is run from the
telephone pole directly to your location. As with other high speed lines, you may use the phone, TV, and computer
all at the same time. The advantage of fiber optics is its speed advantage capabilities over DSL and cable.

5. Speed and Price: Prices range from location to location and between companies. Traditionally, the faster your
connection, the more it costs. Contact your local providers for more information. As far as speed is concerned, the
connections as ordered above are ordered from slowest to fastest.

6. Tier Carrier:-These types of internet connections are used by Internet Service Providers (ISP) to connect to the
internet backbone. The main difference between T-1,T-2,T-4 and T-3 internet connections are the number of
individual channels.

7. Internet2 (100Gbps):-Internet2 provides the highest internet speed connectivity. It was developed by a
networking consortium to meet the high-speed internet demand for research and education work. It has a speed of
100Gbps. The use of internet2 is not common.

The characteristics of Management Information System are as follows:

1. Management-oriented: The basic objective of MIS is to provide information support to the management in
the organization for decision making. So an effective MIS should start its journey from appraisal of management
needs, mission and goal of the business organization. It may be individual or collective goals of an organization.

2. Management directed: When MIS is management-oriented, it should be directed by the management because
it is the management who tells their needs and requirements more effectively than anybody else.

3. Integrated: It means a comprehensive or complete view of all the sub systems in the organization of a company.
Development of information must be integrated so that all the operational and functional information sub systems
should be worked together as a single entity.

4. Common data flows: The integration of different sub systems will lead to a common data flow which will
further help in avoiding delicacy and redundancy in data collection, storage and processing. For example, the
customer orders are the basis for many activities in an organization viz. billing, sales for cashing, etc.

5. Heavy planning-element: The preparation of MIS is not a one or two day exercise. It usually takes 3 to 5
years and sometimes a much longer period.

6. Sub System concept: When a problem is seen in 2 sub parts, then the better solution to the problem is
possible. Although MIS is viewed as a single entity but for its effective use, it should be broken down in small parts
or subsystems so that more attention and insight is paid to each sub system.

7. Common database: This is the basic feature of MIS to achieve the objective of using MIS in business
organizations. It avoids duplication of files and storage which leads to reduction in costs. Common database means a
“Super file or Master file” which consolidates and integrates data records formerly stored in many separate data
files.
8. Computerized: MIS can be used without a computer. But the use of computers increases the effectiveness and
the efficiency of the system. The queries can be handled more quickly and efficiently with the computerized MIS.

9. User friendly/Flexibility: An MIS should be flexible i.e. there should be room for further modification
because the MIS takes much time in preparation and our environment is dynamic in nature.

10. Information as a resource: Information is the major ingredient of any MIS. So, an MIS should be treated as
a resource and managed properly.

IMPORTANCE OF MIS:

1. MIS is always management oriented and keeps in view every level of management and gets the desired
information.

2. Integrated refers to how diff components (sub systems) are actually tied up together. e.g.: diff departments of
organization linked together.

3. Useful for planning - as every organization makes log-term and short-term plans with the help of information like
sales & production, capital investments, stocks etc management can easily plan...

4. Effective MIS helps the management to know deviations of actual performance from pre-set targets and control
things.

5. Its important for increasing efficiency.

6. MIS provides updated results of various departments to management.

7. MIS is highly computerized so it provides accurate results.

8. MIS adds to the intelligence, alertness, awareness of managers by providing them information in the form of
progress and review reports of an ongoing activity.

9. Helps managers in decision- making.

The components of MIS

1. Marketing Research System (MRS):- A management information system is a system or process which provides
information needed to manage organizations effectively. Management information systems are regarded to be a
subset of the overall internal controls procedures in a business, which cover the application of people, documents,
technologies, and procedures by management accountants to solve business problems such as costing a product,
service or a business-wide strategy. Management information systems are distinct from regular information systems
in that they are used to analyze other information systems applied in operational activities in the organization.

2. Marketing Intelligence System (MIS);- :- A set of procedures and sources used by managers to obtain everyday
information about developments in the mareting environment. Marketing managers collect marketing intelligence by
reading books, newspapers, and trade publications; talking to customers, suppliers, and distributors; monitoring
"Social Media" on the internet via online discussion groups; e-mailing lists and blogs and meeting with other
company managers.

3. Decision support system:- A Decision Support System (DSS) is a class of information systems (including but
not limited to computerized systems) that support business and organizational decision-making activities. A properly
designed DSS is an interactive software-based system intended to help decision makers compile useful information
from a combination of raw data, documents, personal knowledge, or business models to identify and solve problems
and make decisions.

Types of Information Systems

1. Transaction processing systems:- TPS processes business transaction of the organization. Transaction can
be any activity of the organization. Transactions differ from organization to organization. For example, take a
railway reservation system. Booking, canceling, etc are all transactions. Any query made to it is a transaction.
However, there are some transactions, which are common to almost all organizations. Like employee new employee,
maintaining their leave status, maintaining employees accounts, etc.

2. Management Information Systems:-These systems assist lower management in problem solving and making
decisions. They use the results of transaction processing and some other information also. It is a set of information
processing functions. It should handle queries as quickly as they arrive. An important element of MIS is database.

3. Decision Support Systems:-These systems assist higher management to make long term decisions. These type
of systems handle unstructured or semi structured decisions. A decision is considered unstructured if there are no
clear procedures for making the decision and if not all the factors to be considered in the decision can be readily
identified in advance.

4. Office Automation System:- Office automation system refers to the varied computer machinery and
software used to digitally create, collect, store, manipulate, and relay office information needed for accomplishing
basic tasks and goals. Raw data storage, electronic transfer, and the management of electronic business information
comprise the basic activities of an office automation system.[1] Office automation helps in optimizing or automating
existing office procedures.

Operational Management Systems:- OMS is a process that develops Supervisors/line Managers so that they
have a clear vision of their operation; one that is holistic and reflects input from suppliers, customers and
management. It also ensures the best possible results day-to-day, everyday.
Tactical marketing system :-Tactical marketing system is the execution of your strategic marketing plan as far as
generating leads, placing media, creating marketing tools and implementing a follow-up system. In other words, it's
the medium your message is delivered in.

Characteristics of a System

1. Organization: It says the Structure or order of built.

2. Interaction: Procedure in which the components interact.

3. Interdependence.

4. Integration

5. Central Objective

Types of Systems

1. Physical systems: - In physics the word system has a technical meaning, namely, it is the portion of the physical
universe chosen for analysis. Everything outside the system is known as the environment, which in analysis is
ignored except for its effects on the system.

2. Open or closed systems:- An open system is a system which continuously interacts with its environment. The
interaction can take the form of information, energy, or material transfers into or out of the system boundary,
depending on the discipline which defines the concept. In thermo dynamics, a closed system can exchange heat and
work (for example, energy), but not matter, with its surroundings. In contrast, an isolated system cannot exchange
any of heat, work, or matter with the surroundings, while an open system can exchange all of heat, work and matter.

3. Deterministic System:- A system in which the later states of the system follow from, or are determined by, the
earlier ones. Such a system contrasts with a stochastic or random system in which future states are not determined
from previous ones.

4. Man made systems:- Man-made systems are made with purposes that are achieved by the delivery of outputs.
Their parts must be related; they must be “designed to work as a coherent entity” - else they would be two or more
distinct systems.

Distributed data System:-Distributed database system is defined as collection of logically distributed database
which are connected with each other through a network. A distributed database management system is used for
managing distributed database. Each side has its own database and operating system.

Centralized database :-A Centralized database is a database located and maintained in one location, unlike a
distributed database. Advantages -All data is located in one place.

Administration:- In business, administration consists of the performance or management of business operations

and thus the making or implementing of major decisions. Administration can be defined as the universal process of
organizing people and resources efficiently so as to direct activities toward common goals and objectives.
Technology: - Technology is the usage and knowledge of tools, techniques, and crafts, or is systems or methods of
organization, or is a material product (such as clothing) of these things. The word technology comes from the Greek
technología— the study of something, or the branch of knowledge of a discipline. The term can either be applied
generally or to specific areas: examples include construction technology", "medical technology", or "state-of-the-art
technology".

Challenges of Information Systems

When talking about the vast field of Information Systems there is not just one pressing issue, there are three:
Accuracy, Usability, and Time. Without the combination of these three factors a business would go under in the
matter of months.

The first of these three and probably the most important of these is the accuracy of the information. The information
that you provide someone with in order to make vital decisions must be precisely accurate. If one piece of data is
incorrect it could mean the difference between life and death, literally.

Another major issue involving information systems is the information’s usability. If the business uses software to
access the information it has to be easy to use and understand for the end-user as well as the executives. The
information needs to be easily accessible from the hardware where it is stored. Also, if the information is generated
into a report form of some kind, the report must be made so that it can be interpreted effortlessly in order to make
precise decisions. The information provided should have value to the decisions at hand.

The final of the three most significant challenges of the field of Information Systems is the time factor. As time
progresses everything is built bigger and faster and people seem to be always operating at a faster pace, therefore
information needs to be received at a faster rate. If a person or business does not get the information in time to make
a prompt decision they could lose out on many opportunities.

These three aspects of Information Systems must be used in conjunction with one another. Information may be
received quickly and easy to use, but if it is inaccurate it is worthless. Just the same if the information is either too
slow or incomprehensible it is useless as well. “Being an information services provider, we especially understand
the importance of speed, accuracy, flexibility, technology and the highest level of customer service as being key
components of a successful marketing strategy in a competitive environment,” states Berkshire Information Systems
Inc. The biggest challenge of these three issues is combining them together in an efficient effective manner.