We explain what an information system is, its characteristics and objectives, as well as its main elements and advantages.
Every company or activity has its own information system.
What is an information system?
It is called information system (IS) a set of data and elements that interact with each other and have a specific purpose which, in general, has to do with satisfying a need. For example: Managing a library database.
Information systems must be efficient and easy to run because they process and store a large amount of data. This data are loaded, automatically or manuallyin a physical or digital medium and are used to produce information that is useful for the execution of a certain activity or objective.
The term “information system” is often used as a synonym for “computer information system,” however, an information system is anything that has different components that function to collect and store data (whether or not it uses a computer program).
Characteristics of an information system
Informal systems use things like pencil and paper.
Among the main characteristics of an information system, the following stand out:
- It is used to collect, store and incorporate data.
- It can be a formal system, when it uses computer-based means or solid structures to achieve the goal or objective, or an informal system, when it uses more elementary or artisanal structures such as, for example, a pencil and paper.
- Stores qualitative information (non-numerical information) and quantitative information (numerical variables).
- It is made up of data that is entered manually or automatically to create a database.
- Use surveys, questionnaires, field observations, censuses or research to obtain data.
- It must be evaluated and measured to be updated or to correct possible errors.
- It must be secure to prevent the information collected from being lost or stolen.
- It requires some type of feedback, this means that the information leaves the system and re-enters with greater elaboration or with more information.
Processes of an information system
An information system collects and stores data.
Every information system has certain essential internal processes. These are:
- Data collection. The process of gathering all available and necessary data. This can be done manually or through technologies such as a scanner or barcode reader.
- Data storage. Process in which data is classified and stored, this can occur on physical or digital media.
- Data processing. Process in which data is related and transformed into information available for use.
- Distribution of information. Process in which information is used for a specific purpose, such as decision-making or setting objectives.
Objective and uses of information systems
Every information system has as its main objective the obtaining certain information which is then used to make decisions or predict behaviors or phenomena.
There are different uses depending on the type of organization that uses the information systems. However, the main uses or utilities of an information system are:
- Manage and organize data.
- Provide reliable and updated information.
- Automate the different operational processes.
- Be useful in making decisions.
- Control all activities within the organization.
- Differentiate important information from that which is not.
- Integrate all available and relevant information for the company.
- Achieve competitive advantages.
Elements of an information system
Among the main essential elements to carry out an information system, the following stand out:
- Human Resources. They are those people who are responsible for collecting and organizing information. In many cases they are also responsible for loading the data both on physical media and in softwares or virtual platforms.
- Data. These are qualitative or quantitative variables about facts or phenomena. Once processed, the data becomes information that the company or organization uses.
- Technology. They are the platforms or software that are used to store and process data. In some cases, an information system may be non-digital and stored in folders or other types of physical files.
Advantages of information systems
The main advantages of information systems are:
- They reduce labor costs by optimizing times, tasks and routines.
- They manage tangible and intangible assets, and are a fundamental tool for today’s organizations.
- They are one of the main sources of competitive advantage in the business and corporate world.
- They allow all relevant information for the organization to be collected in one place.
- They facilitate innovation, problem detection and subsequent resolution.
Examples of information systems
There are various types of information systems according to their main function. Some of the most commonly used systems that operate through computer programs or software are:
- Transaction processing systemIt is an information system that collects, processes and stores all the data obtained from the transactions carried out within a company or organization.
- Decision support system. It is a support system that provides tools and data that facilitate or help in the decision-making process within a company or organization.
- Executive information system. It is an information system that provides relevant and organized information to senior officials of a company so that they can have an overview of the status of each of the areas and aspects of the organization.
- Resource organization system. It is a system that integrates and processes information from all the procedures that occur within a company.
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