Information systems (IS) is the study of complementary networks of hardware and software that people and organizations use to collect, filter, process, create, and distribute data. The study bridges business and computer science using the theoretical foundations of information and computation to study various business models and related algorithmic processes within a computer science discipline.
Six reasons why information systems are so important for business today include:
1. Operational excellence – Information systems are important tools available to managers for achieving higher levels of efficiency and productivity in business operations.
2. New products, services, and business models – Information system is a major tool for firms to create new products and services, and also an entirely new business models.
3. Customer and supplier intimacy – When a business serves its customers well, the customers generally respond by returning and purchasing more, this raises revenue and profits.
4. Improved decision making – Many managers operate in an information bank, never having the right information at the right time to make an informed decision.
5. Competitive advantage – When firms achieve one or more of these business objectives( operational excellence, new products, services, and business models, customer/supplier intimacy, and improved decision making) chances are they have already achieved a competitive advantage.
6. Survival – Business firms invest in information system and technology because they are necessities of doing business.
The emegence of a global economy, transformation of industrial economies, transformation of the business enterprise, and the emergence of digital firm make information systems essential in business today. Information system is a fondation for conducting business today
I hoped this helped you in beginning to understand what an information system is.