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Answers To The Question: What Is MIS?

WHAT IS MIS? – In this article, we will learn more about what exactly is MIS and where it is generally used.

What Is MIS - What Is Management Information Systems
Image from: Medium

Management Information Systems use information technology, people, and business to process and make use of data. This processed data is then turned into information that decision-makers can use.

In summary, MIS is a collection of hardware, software, processes, and people. They all work together to store, process and produce relevant information that an organization can use.

Where can MIS be used? The following are some of the reasons why an MIS system is needed:

  • Decision making
  • Facilitate communication outside the org.
  • Record Keeping

MIS systems also have several components that work hand in hand to deliver quality information:

  • People
  • Data
  • Hardware
  • Software
  • Business Processes

According to an article from guro99, there are several types of Information Systems. Each of them depends on their level in the organization.

The following diagram shows us the three major levels of users within an organization as well as the type of Information System they require.

What Is MIS - What Is Management Information Systems
Image from: Guro99

Transaction Processing Systems – This type of system is used to record the daily transactions of a business. A good example of this is the Point of Sale (POS) system

Management Information System – This is used to allow managers and decision-makers to make structured decisions. This is possible due to the data processing into relevant information.

Decision Support System (DDS) – These are used by top-level managers to make semi-structured decisions. The output from the MIS is used as the input for the DDS.

What are the advantages and disadvantages of computerized management information systems?


  • Faster Data Processing
  • Improved Data accuracy
  • Improved Security
  • Reduced data duplication
  • Improved Backup Systems
  • Easy access to information


  • Expensive to set-up
  • Heavy Reliance on technology
  • Risk of fraud

Like this article? READ ALSO: Engineering Management – What Is Engineering Management?

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