Information System is a composite of human, software, hardware, communication network and data sources in the collection, change, and dissemination of information within the organization. A system within an organization is managerial and activity. From an organization provides certain outsiders with the necessary reports.
The purpose of the information system itself is to produce information. The data is processed into something useful for the user. However, the data being processed is not enough to be told as an information. In order to be useful information, it must be supported by the accurancy of the target or relevance, timeliness, and accurate value.
Information System can be categorized into four parts, these are :
1. Management Information System
The planning system is part of a business’s internal control which includes human utilization, documents, technology, and procedures by management accounting to solve business problems such as product costs, services, or a business strategy.
2. Decision Support System
Part of computer-based information system and knowledge-based system used to support decision making within an organization or company.
3. Executive Information System
One type of management information system to facilitate and support information and decision-making needed senior executives by providing easy access to information both from within and outside that are relevant to the goals of the organization.
4. Transaction Processing System
Part of the information system is a system that runs and records the daily routine transactions necessary to run a business such as entering sales orders, hotel reservations, payroll, employee records, and shipments.