The systems model of management demonstrates that communication is what is needed for executing managerial functions and for integrating the organization with the outside world. Point of sale hardware exactly performs this function with the help of Management Information System (MIS).

MIS can be defined as a formal system of gathering, integrating, comparing, analyzing and dispersing information internal and external to the enterprise in a timely, effective and efficient manner. MIS has to be tailored to specific needs and may include routine information, such as monthly reports, information that points out exceptions, especially at critical points and information necessary to predict the future.

Electronic equipment allows speedy and inexpensive crunching of gigantic quantities of data. The computer can, with proper programming, process data toward logical conclusions, classify them and make them readily available for a manager