Page 215 - Business Principles and Management

Unit 3

Career tip EXECUTIVE INFORMATION SYSTEM

An executive information system (EIS) combines and summarizes ongoing trans-
Many people entering the actions within the company to provide top-level executives with information
computer field in the United needed to make decisions affecting the present and future goals and direction
States have moved from pro- of an organization. Information used in executive information systems is gath-
gramming to information ered from the MIS and DSS. An EIS collects data from both internal and exter-
management. Software nal sources to help executives make decisions. For example, executives might
programming has been out- use the EIS to collect outside information that affects the company, such as
sourced to countries such as information regarding competitors, the state of the economy, and government
India where there are highly policies. With information from inside and outside the organization, top man-
qualified software engineers agers make long-term decisions that help a business survive and grow.
who work for low wages.
Designing, building, and
managing computer systems CHECKPOINT
is more difficult to outsource.
Describe the three key types of information systems.

8.2 Assessment

UNDERSTAND MANAGEMENT CONCEPTS
Circle the best answer for each of the following questions.
1. The movement of information from one location to another
electronically is called
a. a network
b. the Internet
c. telecommunication
d. computer-based communication
2. A computer that stores data and application software for all PC
workstations is called a
a. mainframe
b. server
c. network
d. local area network

THINK CRITICALLY
Answer the following questions as completely as possible.
3. Describe the advantages intranets offer to businesses.
4. Describe the advantages that information systems
offer to businesses.

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