What is one key characteristic of CBIS?

Prepare for the DSST Management Information Systems Exam with our comprehensive quiz. Study with flashcards and multiple choice questions, each offering hints and explanations. Get ready for success!

A key characteristic of a Computer-Based Information System (CBIS) is that it relies on computer hardware and software to manage and distribute information. This integration of hardware and software allows organizations to collect, process, store, and disseminate data effectively and efficiently. By utilizing technology, CBIS facilitates decision-making, enhances productivity, and improves communication within an organization.

The reliance on computer systems means that data can be processed at incredible speeds, and information can be shared seamlessly across various departments or locations. This characteristic is integral to modern business operations, as it enables organizations to maintain their competitiveness in a rapidly changing environment. For example, a company may use CBIS for inventory management, customer relationship management, or real-time data analysis, all of which depend on both hardware (servers, computers, networks) and software (applications, databases) working together.

While other characteristics might seem relevant, they do not accurately describe the necessary functional framework that defines CBIS. For instance, the notion that CBIS could operate independently of hardware contradicts the fundamental essence of a computer-based system, which cannot function without the underlying technology. Similarly, restricting CBIS to only financial transactions or dismissing its real-world applications undermines its comprehensive role in various sectors.

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