
Phases of information system
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Transaction Processing Systems: TPS processes business transaction of the
organization. Transaction can be any activity of the organization. For example,
take a railway reservation system. Booking, canceling, etc are all transactions. Any
query made to it is a transaction. Transaction processing systems provide speed
and accuracy, and can be programmed to follow routines functions of the
organization.
Management Information Systems: These systems assist lower management in
problem solving and making decisions. They use the results of transaction
processing and some other information also. It is a set of information processing
functions. It should handle queries as quickly as they arrive. An important element
of MIS is database. A database is a non-redundant collection of interrelated data
items that can be processed through application programs and available to many
users.
Decision Support Systems: These systems assist higher management to make
long term decisions. These type of systems handle unstructured or semi structured
decisions. A decision is considered unstructured if there are no clear procedures for
making the decision and if not all the factors to be considered in the decision can
be readily identified in advance. A decision support system must very flexible.
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