Information
system activity refers to those functions of information system which are
carried on by information system to provide information. Information system
activities are inputs, outputs, storage, feedbackand control.
1:INPUT OF DATA:
Data
about business transactions and events are first captured and processed
entering as input to the system. Once the transaction is verified by sources
documents it is entered to the system for processing. For example data about
sale of merchandise can be obtained from invoices sent to customers and record
is made on the basis of such evidences.
2.PROCESSING OF DATA:
The
goal of any part of I.S is to provide information by processing of data when
data is entered to the system.
For
example when business transactions are entered to accounting system, it is
processed and transformed into ledgers which classify the same nature
transaction.
3.OUTPUT OF INFORMATION:
The
processed form of information is stored for future use. Large organizations
mostly use large data base for storing and retrieving information. The stored
information can be used by organizations responsible employees in their routine
work.
4.FEEDBACK OF OUTPUT:
Feedback
means that some portion of outputs is given to the system as input to check its
reliability.
For
example, sale data is communicated to sales managers to check the performance
of each region.
6.CONTORL OF SYSTEM PERFORMANCE:
An
important function of information system is to evaluate the performance of
output. If output is not meeting the standards control measures are taken being
it into desired performance level.
Any dealing between two or more
person or parties for the exchange of goods in the term of money.
Journal:
The word Journal Drived from the Latin word “jour” which means day or daily. When any business transaction took place
then first of all it is recorded in a book, called journal. It is also called
day book, original entry book, chronological entry book, Journal Proper.
Narration:
The short explanation of recorded
transaction is called narration.
General journal contains five
columns.
1): date:
in this column the date of transaction is
recorded.
2): particular/description:
In this column Name of accounts
involved in a transaction are recorded and also the narration of recorded
transaction.
3): Post Reference :
4): Debit column (Dr):
5): Credit Columns (Cr):
Ledger: the principle book of
accounts in which all the similar accounts are posted in chronological manner.
Trail balance:
The statement through which the
are thimatical accuracy of Posted Transactions from Journal are checked is
called trail balance.
Adjusting Entries:
The Entries for record of those
transaction which effect the financial statements of more than one accounting
periods.
Adjusting Balance:
The Financial statement offer the completion of adjusting entries.
Income Statement:
The statement prepared by the
business concerns in order to determine that either profit earned or lesssuffered at the end of financial period. The
preparation of income statement is compulsory by law in case of joint stock company.
Balance sheet/ statement of
position:
The statement prepared by the
business concerns. In which they show the financial of the entry is called balance sheet.
Closing entries:
The journal entries by which the revenue & expense account are being closed at the find of financial year.
Reversing Entries:
The entries for the transaction
of previous financial period which need adjustments in current period.
Data
are vital organizational resource that to be managed effectively like other
important assets. Today any business cannot survive with effectively management
of data about internal and external environment. That is why organization and
their employees practice data resource management that the set of managerial
activities that applies information system and data management tools to manage
effectively the organization data. Such as data will be beneficial for all
stakeholders of organization who use such data.
Foundation concepts:
Before
going further let us explain some foundation concepts used in data resource
management.
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1: Character:
Character
is the most logical concept used in data resource management which consists of
a single alphabetic, number or symbol. From a user of view a character is the
most basic element of data can be observed and manipulated.
2: Field:
The
next higher level or data item is field. A field consists of grouping of
relating characters. For example: the grouping of alphabets in a person. Name,
because name field. Similarly the sales figure may form a sale field. Basically
a data field represent on attributes of specific entity. For example an employee
salary is and attribute that is used to describe and entity who is employee if
that organization.
3: Record:
Related
fields are grouped to form a record. In other words the group of related fields
is called record. Thus a record represents the collection of attributes that
describes an entity. An example of record is a person’s payroll which shows
related data fields such as person name, personal number, destination wage type
etc.
4: File:
A
group of records in data base is called file or table. Thus the employee file
would contain the records of frequently classified as inventory file
transaction file and document file.
5: Database:
Database
is the integration of large data elements into a logically combined data pool.
A data base consolidates data which was previously stored in spare file into a
logically arranged from for various purposes. Thus data base is a large data
element which shows entities and their relationship.
In
the modern era computer and information technology the importance of
information system (IS) can be judged from the following points.
a.Support
of business process and operations.
b.support
of business decision making
c.support
of strategies for competitive advantages.
1. SUPPORT OF BUSINESS PROCESS AND OPERATIONS:
The
lower level of organization consists of department head, supervisors, workers
and other technical staff. Their actual performance is communicated to the top
management using various performance report for the purpose organization use IS
to communicate such reports to the top management.
2. SUPPORT OF BUSINESS DECISION MAKING:
The
goal of any part of information system is to provide information for decision
making.
Information
system thus helps for business decision making management of this level
consists of heads of sales regions administration and engineering. These head
need timely, quick, and accurate information to control the provide such
information which enable the regional heads to function efficiently ad make
analysis of sale, expense, investory level and turn over.
3. SUPPORT OF STRATEGIES FOR COMPETITIVE ADVANTAGES:
Information
system at this level provides information to managers and those who involves in
making strategies for organization. This system provides further oriented
information about market products demand and environment changes.
Information
technology is the combination of computer and network resources to share
information within and outside the organization.
Why information technology is importance for business:
To
answer this question one must be familiar with the expending role of
information technology in present era. Information technology has become a
vital component of successful business and organization. They thus constitute
an essential field of study in business administration and management to be a
manager, entrepreneur of business professional it is important to have basic
understanding of information technology like other business function such as
finance, accounting and HRM (human resource management). Information technology
can help all kind of business to improve the efficiency and effectiveness of
their business process, managerial decision making and work group
collaboration. And thus enable an organization to gain competitive advantage in
a rapidly changing market environment. The use of information technology
support product development team, customer support process, electronic commerce
transaction or any business activity.
Internet
based technology and systems are fast becoming a necessary ingredient for
business success in today’s dynamic Global environment.
The
word communication has been derived from the Latin word “communicare”
“communia” its mean to share information and thoughts with the other.
Definition:
Communication
is the main highway among the human beings.
OR
The
exchange of ideas, information among the human being is called communication.
It means that communication is necessary for all the living even animals and
birds and no one pass the life without communication.
Structure
of communication:
Business communication:
All types of communication place inside and outside
the business for the purpose of business is knows as business communication.
Inside/internal communication:
Communication takes place inside the business org is
known as internal communication.
Outside/External communication:
Communication takes place outside the business org is
known as external communication.
Manger to employees / Top to buttom
communication:
It come instruction are given to employee is top to
buttom communication.
From employee to manger is know as bottom to top
communication.
Communication in business:
All the organization are located and existed in the
human society and such human society comes into existence by making communication
with others this means that business organization cannot come into existence
without communication. Business organization deals with the internal and
external environment with communication.
A: Soul for the business communication:
It considered just like a soul because without
communication no organization can come into existence and operate.
Communication takes place internally and externally.
Internal communication means dealing the employees inside the business and
External communication dealing with the outside worlds. Through communication
the duties and responsibility are gives to the employees. The communication
system which carries the information from top level to low-level is known as
performance budgeting system and the system which carries information from
low-level to top-level is known as responsibility Reporting system.
Through communication carries type of activities and
task are given to the employeesto do
and when they do, they show the performance to top management through
communication.
There are different types of problem accrued in the
business such as finance problems, purchase problem, production problems and
sales problems. There all are solved by proper communication among the managers
and own of the business. The business organization making communication with
outside world by advertising purchasing, selling, preparing the various reports
(income statement balance sheet.
B: Saving time and Money:
A good latter E-mail or telephonic call may save the
time, money and effort of the people and brings the desired results.
C: Achieve the Organization Goal:
For achieving the organization communication is considered
the base goals of business organization can make the sales maximizing the
profit, minimizing the cost and creating the strong goodwill. All those make a good
communication with the people, such as customer and supplier. If the owner or
employees of the business making communication with others people in good
behavior people will feel joy and happy thus they will increase the dealings
with the organization that leads the achievement of organization goals.
