Final answer:
Data is argued to be the most important component in the five-component model of information systems because it drives decision-making, problem-solving, and insights. It is the raw material that enables the functionality of hardware and software systems, and it drives the development and effectiveness of procedures. Without data, these components would be useless.
Step-by-step explanation:
In the five-component model of information systems, all five components - hardware, software, data, procedures, and people - play important roles. However, the most universally argued as the most important component is data.
Data is essential for decision-making, problem-solving, and gaining insights. It is the raw material that drives the functionality of hardware and software systems. Without data, hardware and software would be useless. Additionally, data enables procedures to be developed and followed effectively.
For example, consider a computer system used by a farmer to make decisions about planting and harvesting crops. The data collected from various sources, such as historical rainfall patterns and crop yield data, is crucial in optimizing production and maximizing profitability. In this case, data takes precedence over hardware, software, procedures, and even people.