Introduction to CBIS (Computer Based Information System): An information system can be defined technically as a set of interrelated components that collect (or retrieve), process, store, and distribute information to support decision-making and control in an organization.
A Computer-Based Information System (CBIS) is an information system that uses computer technology to perform some or all of its intended tasks. Such a system can include as little as a personal computer and software. Or it may include several thousand computers of various sizes with hundreds of printers, plotters, and other devices, as well as communication networks (wire-line and wireless) and databases. In most cases an information system also includes people.
Components of CBIS (Computer Based Information System):
- People (end users and CBIS specialists)
- Hardware (Physical computer equipment and associated devices, machines, and media)
- Software (programs and procedures)
- Database, and
- Networks (communications media and network support)
Types of CBIS (Computer Based Information System):
1. Transaction Processing Systems: The most fundamental computer-based system in an organization pertains to the processing of business transactions. A transaction processing system can be defined as a computer-based system that captures, classifies, stores maintains, updates, and retrieves transaction data for record keeping and for input to other types of CBIS. Transaction Processing Systems are aimed at improving the routine business activities on which all organizations depend. A transaction is any event or activity that affects the whole organization. Placing orders, billing customers, hiring employees, and depositing cheques are some of the common transactions. The types of transactions that occur vary from organization to organization. Transaction processing systems provide speed and accuracy and can be programmed to follow routines without any variance.
2. Management Information System: Data processing by computers has been extremely effective because of several reasons. The main reason being that a huge amounts of data relating to accounts and other transactions can be processed. very quickly. Earlier most of the computer applications were concerned with record keeping and the automation of routine clerical processes. However, in recent years, 1ncreasing attention has been focused on compute applications providing information for policy-making, management planning, and control purposes. Management Information systems are more concerned with management function. MIS can be described as an information system that can provide all levels of management with information essential to the running of the smooth business. The information must be as relevant, timely, accurate, complete and concise, and economically feasible
3. Decision Support Systems: It is an information system that offers the kind of information that may not be predictable, the kind that business professionals may need only once. These systems do not produce regularly scheduled management reports. Instead, they are designed to respond to a wide range of requests. It is true that all the decisions in an organization are not of a recurring nature, Decision support systems assist managers who must make decisions chat are not highly structured, often called 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. Judgment of the manager plays a vital role in decision-making where the problem is not structured. The decision support system supports but does not replace, judgment of the manager.
4. Office Automation Systems: Office automation systems are among the newest and most rapidly expanding computer-based information systems. They are being developed with the hopes and expectations that they will increase the efficiency and productivity of office workers, typists, secretaries, administrative assistants, staff professionals, managers, and the like. Many organizations have taken the First step toward automating their offices. Often this step involves the use of word processing equipment to facilitate the typing, and storing, revising and printing of textual materials. Another development is a computer-based communications system Such as electronic mail which allows people to communicate in an electronic mode through computer terminals. An office automation system can be described as a multi-function, integrated computer-based system that allows many office activities to be performed in an electronic mode.
Significance of CBIS
1. Efficiency Improvement: CBIS streamline operations by automating routine tasks, reducing the time and effort required for data processing and management, leading to significant efficiency improvements.
2. Enhanced Decision Making: With accurate and timely data provided by CBIS, managers can make more informed decisions. The availability of comprehensive data analytics and reporting tools supports strategic planning and problem-solving.
3. Cost Reduction: By automating processes and reducing the need for manual intervention, CBIS can significantly lower operational costs. They help in optimizing resource allocation and reducing waste.
4. Data Accuracy and Reliability: CBIS ensure that data collected and processed is accurate and reliable, minimizing errors that can occur in manual processes. This is crucial for financial reporting, inventory management, and other critical business operations.
5. Improved Customer Service: CBIS enable organizations to better understand and meet their customers' needs through advanced data analysis, leading to improved customer satisfaction and loyalty.
6. Enhanced Communication: They facilitate better communication within an organization and with external stakeholders by providing platforms for sharing information quickly and efficiently.
7. Competitive Advantage: Organizations that effectively use CBIS can gain a competitive edge by identifying market trends, optimizing operations, and offering superior customer service.
8. Regulatory Compliance: CBIS help organizations comply with legal and regulatory requirements by ensuring that data is accurately recorded, stored securely, and can be retrieved as needed.
9. Scalability: CBIS are scalable, allowing organizations to adjust their systems as they grow or as their needs change, ensuring that the information system continues to support organizational goals effectively.
10. Innovation Facilitation: By providing tools for data analysis and modeling, CBIS can facilitate innovation within an organization, enabling the development of new products, services, and business models.
Q. What is the Primary Purpose of Computer Based Information System?
The primary purpose of a Computer-Based Information System (CBIS) is to facilitate the management and processing of information within an organization. These systems are designed to collect, process, store, and distribute information, thereby supporting decision-making, coordination, control, analysis, and visualization within an organization. CBIS integrates various components, including hardware, software, databases, and networks, to streamline the flow of information and improve operational efficiency.
One of the core objectives of a CBIS is to enhance decision-making processes by providing accurate and timely information. It allows managers and stakeholders to access critical data, analyze trends, and make informed decisions based on reliable information. This contributes to strategic planning, problem-solving, and achieving organizational goals.
Additionally, CBIS helps in automating routine tasks, reducing manual effort, and minimizing errors. This automation leads to increased productivity, cost savings, and improved data accuracy. By centralizing information, CBIS also facilitates better communication and collaboration across different departments within an organization, promoting a unified approach to business processes.
In summary, the primary purpose of a Computer-Based Information System is to support the efficient management of information, enhance decision-making capabilities, automate processes, and improve overall organizational performance by ensuring the availability of relevant and accurate information. This system is crucial for the strategic and operational success of modern organizations.
