🔄 Processing Functions in an Information System (IS)

Unit IX: International Business and Management Information Systems

🔄Processing Functions in an Information System (IS)

In an Information System (IS), data processing follows a logical sequence to ensure smooth operations and reliable information output. Here’s the correct order and rationale:

🟢 1. Process Transaction

First, the system records day-to-day transactions such as sales, purchases, payments, etc.
This is the primary input for any further processing.

🗃️ 2. Maintain Master File

After recording transactions, the system updates master files (e.g., customer, inventory, and vendor records).

📄 3. Process Report

Based on updated data, periodic reports are generated (like sales reports, stock status, etc.).

❓ 4. Process Enquiry

Then, users can query the system for real-time information (e.g., balance enquiry, stock availability).

📊 5. Process Interactive Support Applications

Finally, the system supports interactive and decision-support tools, such as dashboards, simulations, and analytics.