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Management is an activity that is needed in life. From individuals, the smallest organizations such as families to complex organizations need management to organize their activities to be organized and well controlled. Especially for a manager, you must be able to manage activities and data properly. That is because it can be a source of information, where information is important in the decision making process. Therefore, the data must be processed properly. To process and utilize data to the maximum, you can use a management information system.

Management Information System Definition

Management information system (SIM) also commonly known as management information system (MIS) is a system planned to collect, store and disseminate data in the form of information needed to carry out various management functions. Meanwhile, according to the business dictionary, management information systems are an organized approach to study organizational management information needs at every level for operational, tactical, and strategic decision making.

The way management information systems work, starting with data processing and then stored in a centralized database where it can be accessed and updated by all people who have authority according to their goals.

Benefits of Management Information Systems

Management information systems have many benefits both for management and for the organization as a whole. The benefits of Management Information Systems such as:

1. Increase the efficiency and effectiveness of data accurately and realtime .

2. Facilitating management to do the planning, supervision, direction, and delegation of work to all departments that have a relationship or coordination.

3. Improving the quality of human resources, because the work system unit is coordinated and systematic.

4. Increase productivity and cost savings in organizations

Implementation of Management Information Systems

Some of you may be some who still do not understand about the form of management information systems. To clarify, here are some examples of implementing management information systems that can help your business:

1. Enterprise Resource Planning (ERP)

This ERP system is widely used by large companies. However, small-scale companies can still implement ERP systems. ERP is usually used to manage management and conduct integrated supervision between units within the company.

2. Supply Chain Management (SCM)

The SCM system is very useful for management because it integrates data such as raw material supply management, from suppliers, producers, retailers to end consumers.

3. Transaction Processing System (TPS)

TPS is useful for processing large amounts of data or large and routine transactions. This program is commonly applied in salary and inventory management.

4. Office Automation System (OAS)

This application is useful to facilitate communication between departments within a company by integrating computer servers to every user in the company. Examples such as email.

5. Knowledge Work System (KWS)

KWS information systems integrate a new knowledge into the organization / entity.

6. Informatic Management System (IMS)

IMS functions to support the spectrum of tasks in the organization. In addition, IMS can also be used to help analyze decision making. This system can also integrate several information functions with computerized programs such as e-procurement .

7. Decision Support System (DSS)

This system helps managers in making decisions by observing the environment in the company. Examples such as electronic links.

8. Expert System (ES) and Artificial Intelligence (AI)

Both of these systems basically use artificial intelligence which is useful for analyzing problem solving by using expert knowledge that has been programmed into it. For example, the mechanical schedule system.

9. Group Decision Support System (GDSS) and Computer-Support Collaborative Work System (CSCWS)

GDSS is almost the same as DSS, the difference is that GDSS seeks solutions to problems through gathering knowledge in a group, not per individual. Usually in the form of questionnaires, consultations, and scenarios. Examples such as e-government .

10. Executive Support System (ESS)

This system helps managers interact with the company environment using graphical assistance and other communication support.

To facilitate the management of company finances, you can use assistance. Journal is a cloud-based online accounting software so data will automatically be saved. You can get the ease of recording for business needs anytime and anywhere. Not only recording transactions, we also provide automatic invoicing features, tracking item availability, and asset management that will help develop the value of your business assets in the future.

Get to know the Management Information System and its Benefits for the Company