Information is a vital part of every managers job. For information to be useful, it must be accurate, timely, complete, and accurate. Information technology is best conceived of as part of the control process. Information technology systems contain five basic components. These are an input medium, a processor, an output medium, a storage device, and a control system. Although the form will vary, both manual and computerized information systems have these components.

An organizations information technology needs are determined by several factorsmost notably, user groups and systems requirements. There are several basic levels of information systems, including transaction-processing systems, systems for various types of workers, basic management information systems, decision support systems, and executive support systems, as well as artificial intelligence and expert systems. Each provides certain types of information and is most valuable for specific types of managers. Each should also be matched to the needs of user groups.

Managing information systems involves five basic elements. The first is deciding how to create information systems. Of course, this step actually involves a wide array of specific activities and steps. The systems must then be integrated. Managers must also be able to use them. Information security is also an important consideration in managing information systems. Finally, managers should be aware of the limitations of information systems.

Information systems have an impact on organizations in a variety of ways. Major influences include leaner organizations, more flexible operations, increased collaboration, more flexible work sites, improved management processes, and changed employee behaviors.