Management reports are a means of communication that provide managers with the data they need to make decisions. An effective reporting system provides the right information to managers in a timely, clear and comparable format. The key requisites of a good reporting system include good form and content, promptness, comparability, consistency, simplicity, appropriateness, accuracy, effective communication and coordination while controlling costs. Reports should be tailored to different management levels, with higher-level reports being more concise. Information is vital for businesses and reporting systems are how management observes organizational performance.