Management Information Systems (MIS) vs. Electronic Data Processing (EDP): in what way is an MIS superior for managerial use?

Difficulty: Easy

Correct Answer: It provides summary reports without details

Explanation:


Introduction / Context:
Electronic Data Processing (EDP) focuses on high-volume transaction capture and routine processing. Management Information Systems (MIS) build on operational data to support decision making by presenting information oriented to managers, typically in summarized, exception-focused formats. The question asks where MIS offers superiority for managerial tasks.


Given Data / Assumptions:

  • EDP handles detailed transactions and often runs in batch.
  • MIS derives aggregates, trends, and summaries for decisions.
  • We compare usefulness to managers, not raw processing throughput.


Concept / Approach:
MIS provides summarized information—daily sales totals, KPI dashboards, exception lists—so managers do not wade through raw detail. Being “batch oriented” is actually a characteristic of traditional EDP, not a managerial advantage. “Most cost effective” is context dependent and not a defining superiority. The clearest, general advantage is MIS’s ability to deliver concise summaries tailored for decisions.


Step-by-Step Solution:

Identify MIS’s purpose: actionable summaries for decisions.Contrast with EDP’s purpose: detailed, operational record processing.Choose the option highlighting summaries without overwhelming detail.


Verification / Alternative check:
Typical MIS outputs include management dashboards and summary reports, whereas EDP outputs are detailed transaction listings; managerial use favors the former.


Why Other Options Are Wrong:

Batch oriented: describes EDP processing style, not an MIS advantage.Most cost effective: cannot be asserted universally; depends on scope and implementation.All/None: incorrect because only the summary-report focus consistently distinguishes MIS for managers.


Common Pitfalls:
Assuming MIS replaces the need for drill-down details; in practice, MIS summarizes while allowing drill-through as needed via DSS/BI tools.


Final Answer:
It provides summary reports without details

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