Management Information System (MIS) Practice Exam

Which term describes the practice of managing internal systems in a simpler way?

1. Cloud computing.

2. Outsourcing.

3. In-sourcing.

4. In-forming.

The correct answer is: Cloud computing.

The practice referred to by the correct answer focuses on leveraging external resources to simplify the management of internal systems, which is a fundamental aspect of cloud computing. By utilizing cloud services, organizations can offload the complexities associated with maintaining and upgrading their IT infrastructure. Cloud computing provides scalable resources on-demand, allowing companies to focus on their core activities without getting bogged down by extensive IT challenges. This practice enhances efficiency and reduces costs, as companies no longer need to invest heavily in physical servers and maintenance. Instead, they can use cloud platforms to streamline processes, access advanced technologies, and provide flexibility in managing their data and applications. As a result, cloud computing embodies the principle of simplifying internal operations through external means. In contrast, the other options do not align as closely with the idea of simplifying internal system management. Outsourcing, while related to delegating tasks or functions to external companies, often involves complexities in vendor management and integration. In-sourcing suggests bringing processes in-house rather than simplifying them, which could increase complexity. In-forming refers more to data collection and informing decision-making, rather than managing systems. Therefore, cloud computing best captures the essence of simplifying internal system management.