MANAGEMENT INFORMATION SYSTEM

An effective management information system (MIS) assembles data available from company operations, external inputs and past activities into information that shows what the company has achieved in key areas of interest, and what is required for further progress. The purpose of a MIS is to help executives of an organization make decisions that advance the organization's goals. The most important characteristics of an MIS are those that give decision-makers confidence that their actions will have the desired consequences.

To function effectively as an interacting, interrelated, and interdependent feedback tool for management and staff, MIS must be "useable."

The five elements of a useable MIS system are:

* Timeliness * Accuracy * Consistency * Completeness * Relevance

The usefulness of MIS is hindered whenever one or more of these elements are compromised.

Timeliness:

To simplify prompt decision making, an institution's MIS should be capable of providing and distributing current information to appropriate users. Information systems should be designed to expedite reporting of information. The system should be able to quickly collect and edit data, summarize results, and be able to adjust and correct errors promptly.

Information must be on time for the purpose for which it is required. Information received too late will be irrelevant. For example, if you receive a brochure from a theatre and notice there was a concert by your favourite band yesterday, then the information is too late to be of use

Accuracy:

A sound system of automated and manual internal controls must exist throughout all information systems processing activities. Information should receive appropriate editing, balancing, and internal control checks. A comprehensive internal and external audit program should be