How does an executive information system (EIS) benefit top management?

An executive information system (EIS) is designed specifically to support top management by providing them with high-level data that is essential for decision-making. This system aggregates and summarizes data from various sources, presenting it in a user-friendly manner that allows executives to quickly interpret and analyze information relevant to their strategic roles.

The emphasis is on delivering snapshots of key performance indicators, trends, and forecasts that aid executives in understanding the overall health of the organization and making informed decisions. By enabling access to critical information at a glance, EIS empowers top management to identify opportunities, assess risks, and formulate effective strategies without getting bogged down in tedious operational details.

In contrast, other options do not accurately reflect the primary function of an EIS. Generating reports for all employees doesn't cater specifically to the needs of top management, reducing the number of executives is not relevant to the purpose of an EIS, and focusing solely on operational details overlooks the strategic overview that EIS provides. The correct choice highlights the system's essential role in facilitating high-level decision-making for executives.