Evaluate the contribution of Management Information System to Organisations

Essay by onglt1 May 2004

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"Management information system is essential for creating competitive firms, managing global corporations, and providing useful products and services to customers." (Laudon, 2002,P1) It provides information figure of reports and displays to managers. For example, sales managers may use their computer workstations to get sales results of their products and to access weekly sales analysis reports, and then evaluate sales made by each salesperson. "Management information systems arose in the 1970s to focus on computer-based information systems aimed at managers." (Laudon, 2002, P15). Because of the growths of the Internet, globalisations of trade, and the rise of information economies, have to improve the role of information systems in business and management. And then it needs pays attention to organisation management information that issues raised by sociology, economics, environment and psychology. "An organization is a stable, formal social structure that takes resources from the environment and processes them to produce outputs."

(Laudon, 2002,P87) This essay will be evaluating the contribution of Management Information System to Organisations. Like as What relationship between information and manager's job; computer network's importance for management information development; different types of management information systems to use differences and how it is impact and limitation of information systems.

Firstly, before organisation Management Information need to understand it that have four factors determine the usefulness of information a manager: quality, timeliness, completeness, and relevance (Gareth, 2000,P613)

"Accuracy and reliability determine the quality of information." (Gareth, 2000,P613) tell us higher quality of information need have greater accuracy and reliability. The greater accuracy and reliability's information will bring correct decision for manager. For example, accounting informstions, " information as accuracy refers to the extent to which information effectively represents a situation as it really is, the accuracy of each source of data used varied widely."((Volking, 1993, P8)

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