Free Modern Business Information Systems Essay Sample

Information systems are an assortment of hardware, software, data and procedures intended to create information that facilitates business operations. It has become an integral component of modern businesses. This paper describes the various types of information system and their associated drawbacks.

Office information system is the first category of information system. It essentially employs hardware; software and computer networks to boost workflow and improve the flow of information. It involves accomplishing of tasks by deployment of computers and other electronic machines. Office information systems are a problem for people who are not proficient in IT such as older employees, and demands large amount of capital to install and execute.

 
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Transaction processing system is the second constituent of the larger information system, which performs and records necessary data during organizations transactions. Transaction process involves deposit, payment and reservation. The most modern is the online transaction processing. The drawback of online transaction processing is that it is prone data corruption in the database, system failures and network insecurity. However, it provides a faster platform for business transaction.

Management information systems involve the provision of critical management information through comparison and speedy calculation of data by the computer. Management information system creates accurate, organized and opportune information used for business management. The drawback is that it is difficult to implement and requires a lot of technical knowledge, which might not be sufficient in an organization.

Decisions support systems are information systems that aid the users make decisions in ill-structured situations. This system uses both internal and external data sources to make decisions. Internal data sources include manufacturing or financial data in the database, whereas external data sources include interest rates, population trends and pricing of raw materials. The drawback of this system is that it overemphasizes decision-making since its implementation may underpin rational viewpoint.

Expert systems imitate the abilities of an expert and implements them later. It comprises of the knowledge base and inference rules. It is an instance of artificial intelligence. This system has a drawback of inadequate common sense in decision-making. In addition, errors in the knowledge base can result in misleading decisions.

In conclusion, the categories of information systems include expert systems, office information systems, decision support system and management information systems. Each of the above has its own drawback, which must be considered during implementation.

 

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