What is a manual information system?

A manual system is an accounting system in which records are kept by hand rather than by computer. However, transactions are processed in journals, and the data is individually compiled into a financial report. These systems have a considerable probability of error and therefore are generally slower than computer systems. Small businesses with few operations are most likely to use manual processes.

There are no computerized tools in a manual information system. The data is manually recorded, stored, and retrieved by the professionals who are in charge of the information system.
The major elements of a manual information system are listed below:

  • People- The consumers of the information system are people.

  • Business Procedures - These are procedures for analyzing information, storing it, analyzing it, and creating information that has been set in place.

  • Data- these are the transactions that are documented daily.

  • Filing system- A filing system is a method of storing well-organized information.

  • Reports - reports are prepared after manually examining and combining data from the filing system.