Management Information Systems vs. Information Technology: Understanding the Difference

Management Information Systems vs. Information Technology: An Overview

Management information system (MIS) and information technology (IT) are terms some people assume are interchangeable. Both are concerned with computers, technology, and information. However, their functions and end goals differ.

IT is the technology used to create, process, store, and transmit information. MIS analyzes and organizes this information and sends relevant bits to company management to aid their decision-making. MIS helps a business make decisions and coordinate and analyze information. IT supports and facilitates the employment of that system.

For example, IT could be a particular interface that helps users input data into a corporate MIS operation. However, that isn’t to say that the scope of IT is narrow. In some ways, IT is a broader field than MIS. The particular goals of a particular IT application can fit neatly into a larger MIS framework; however, the reverse is not necessarily true.

Management Information System (MIS)

A management information system (MIS) uses computer-based tools and software to collect and store data about a company and distribute it to its management team. It is an information system (IS) whose main goal is to give managers and other stakeholders the information they require to make informed decisions.

The MIS can act as a database that houses all the company’s financial information and organizes it in such a way that it can be accessed to generate reports on operations at different levels of the company.

An analysis of MIS data could reveal how to utilize internal and external information better. It might help a business better implement a new social media strategy or better organize employee benefits. Alternatively, it might highlight that a company’s use of IT is outdated or poorly applied.

Much like IT professionals, MIS specialists tend to spend a lot of time troubleshooting, adjusting software, or supporting less technologically savvy associates.

Information Technology (IT)

Information technology (IT) is the use of technology to create, store, retrieve, and distribute data. In short, it is everything that businesses use computers for.

IT covers everything from company communication networks to tools to safeguard data and create and manage databases. It encompasses a wide range of technologies, including cloud computing, cybersecurity, the internet, artificial intelligence and machine learning, and the internet of things.

A company with an excellent IT framework or one that employs excellent IT technicians finds it easier to build, adjust, and deploy a MIS.

The Bottom Line

IT is the hardware and software used to communicate, transfer, and process information. MIS analyzes and organizes this information and turns it into business intelligence that companies can use to make quicker and better decisions.

MIS focuses on information handling processes while IT is the technology and people that support those processes. Even though IT can (and must) be directed toward specific ends, its general scope is unfocused outside of computing processes. Conversely, MIS begins with a focused purpose; it addresses the needs of business management.