Financial Management Information System (MIS)

Financial Management Information System (MIS)

             Financial MIS Provides financial information to all financial managers within an organization. It integrates financial & operational information from multiple sources. Financial MIS eases analysis by providing fast financial data. It enables financial analysis from different aspects; time, product, customer. With Financial MIS, one can analyze historical and current data. Also one can monitor use of funds. Few examples or functions of Financial MIS are Costing, P&L reporting, Auditing, Funds management, etc.

Overview of a Financial MIS

Inputs to the Financial Information System

• Strategic plan or corporate policies
• Contains major financial objectives and often projects financial needs.
• Transaction processing system (TPS)
• Important financial information collected from almost every TPS – payroll, inventory control, order processing, accounts payable, accounts receivable, general ledger.
• External sources
• Annual reports and financial statements of competitors and general news items.

Financial MIS Subsystems and Outputs

• Financial subsystems
• Profit/loss and cost systems
• Auditing
• Internal auditing
• External auditing
• Uses and management of funds