INPUT Input is the data that you collect. This data can be anything but it will not mean anything to anybody until it is processed. If processed in different ways it will mean different things to different people.For example: Sales figures For the management to monitor how the business is performing For the salary department for calculating bonuses For the warehouse department for reordering purposes
STORAGE Storage of information has to be secure. If it is personal information then it falls under the data protection act. The information has to be kept safe but also has to be accessible whenever the organization needs it so easy access is essential.
PROCESSINGThis is the stage that changes ‘data’ into ‘information’Some of the processes that can be carried out are: Comparing Calculating Summarizing Monitoring Identify trends
OUTPUT Output is what is provided after the data has been processed. It can be a wide variety of different results such as: Finance information Stock information Marketing information
FEEDBACKFeedback into the system will often be used to help improve things in the future.For example:Sales data for a stock control system. This could note which products have increasing sales and reorder these products from suppliers in order to reduce the likelihood of being out of stock.A similar example is management looking at the sales reports to see which products are selling well and which are not. To maximise profit, they might choose to increase the price of the products that are selling well and reduce the price or offer a promotion on those that are not selling well.