How will the Information System help an organization in achieving its goals?

How will the Information System help an organization in achieving its goals?

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 any business organization, data is the most important thing. Different type of information is produced from data. When the amount of data is large, it becomes more difficult to process this data manually. In order to get quick results and timely information, an Information System is used in almost all organizations.

As businesses grow, the amount of data also increases. As a result, it becomes more difficult to process this data manually. With the use of Information System, data can be processed with rapid speed and information is generated quickly. To run a business successfully, effective and timely decision-making is very important. This decision-making is based on the information we get from the stored data.

An Information System provides the required information in a complete and comprehensive way. It helps in taking effective decisions about the business. In such a system, the information can be sent to many people is less time.

The following are benefits of information systems:
1. central access
2. easy backup
3. central distribution of information
4. easy record-keeping
5. easy tax preparation
6. easy customer trait identification

An Example : Take for example a bottling line that has the capability of filling 10,000 bottles a day, but like the majority of packaging lines actually achieves about 50% of its potential on average. The production manager wants to see the throughput data and the reasons why the machine is falling short. The operators on the other hand need to see alert messages as why the machine has just stopped and what action to take to fix it. The cause may be a specific mechanical failure such as a jam up, lack of product or one of many things. The production manager will be interested to discover that the mechanical failures only amounted to 8% stoppage time and another 5% due to lack of product. He will also notice that the main reason the line did not perform is because nobody pressed the start button when the machine was ready to run!

This example shows that Information systems can be powerful tools for business. The key is having current data converted to useful information and having that delivered to people who can act upon it before it’s too late. If the information is delivered too slowly then it is only a lesson learned rather than profitable opportunity.