Information, Knowledge,Bussines Intelligence

Information concept
Characteristics Of Information Improves rep of an entity Update the level of knowledge Has a surprise value Reduce uncertainty Aids in decision making

 The quality of information could be called good or bad depending on the mix of these characteristics

Information Presentation
Presentation is an art. The data may be collected in the best possible manner and processed analytically ,bringing lot of value in the information. Communication of information is also important. The information and then sends reports to the various receivers, which is decoded or interpreted by the receiver at the destination. A good MIS communicates the information without noise or distortion to the user.

 The degree of communication is affected by the method of transmission ,the manner of information handling and the limitation and constraints of a receiver as the information processor and the organization as the information user. The degree of communication can improved by message routing . This principle here is to distribute information to all those who are accountable for subsequent action and decision making. It helps to spread of info to appropriate quarters.

Bias Information
While choosing the appropriate method of communication should take care that information is not biased. The presentation of information may create bias and may influence the user.

Information A quality Product

Information is a product of data processing. The quality of information is measured by a manager based on degree of motivation provides for an action and the contribution it provides for effective decision making Quality of information ( Four Dimensions are:-) 1. Utility 2. Satisfaction 3. Error 4. bias

The utility dimension has four facets The Form The Time The Access The Possession

 The common key for measuring the quality could be satisfactory of the decision maker. An error is the third dimension of the quality. It may be because various reasons, 1) An incorrect data measurement 2) An incorrect collection method 3) Failure to follow the prescribed data processing procedure 4) Loss of data or incomplete data 5) Poor application of data validation and control system 6) A deliberate falsification.

Parameter Impacting Quality

Impartiality Validity Reliability Consistency Age.

Classification of Information
Action Versus No action Information Recurring Versus Non- recurring Information Internal Versus External Information Planning Information Control Information Knowledge.

More Classifications are

Organization information Database information Functional or Operational information.

Method of Data and Information Collection

Observation Experiment Survey Subjective estimation Transaction Processing Purchased from outside Publication Government agencies.

Value of the Information

The decision maker feels more secured when you get additional information in the time of uncertaininty or a risk. The information is called Perfect Information. It wipes out all the risk and uncertain situation. The decision theory stipulates that the value of the additional information is the value of the change in the decision behavior resulted by the information, less the cost of obtaining the information . If the additional info does not any change in the decision behavior then the value of the additional info is zero.

Value of the Information

The value of the additional information making the existing information perfect(VPI) VPI=(V2-V1)-(C2-C1) Where Vis the value of the information and C is the Cost of obtaining the information.V1and C1 relate to one set of information V2,C2 relate to the new set. If VPI is very high ,then it is beneficial to serve the additional info need.

General Model Of a Human as an Information Processor

A manager or a decision maker uses his sensory receptor, normally eyes and ears to pick u information and transmit them to brain for processing and storage. The result of this processing will be a response which may be a decision , an action or a least a recognition of the event for future use. Hence manger is said to be information processor.

Method Of filtering
It is observed that when too much of info is overloaded then the manger will have constraints to take decision hence you need a method of filtering. In method of filtering it can be of frame of reference to your knowledge and experience. And universally acclaimed normal decision procedure. Or db from proven methods. Such break even analysis, Pricing selection technology etc.

Mangers' Individual Difference

The manager's may come to some decision in a given situation but they may not follow the same decision process. This is because of the cognitive style of each manager. Each manager has his own style, a method to perceive the data, organize and process the same as per his frame of reference, confidence in the decision procedures and the time available for the decision making. The managerial ability, skills and tools pay a considerable role in the cognitive style of the manager. These styles affect the information system design and the satisfaction of the manager.

Summary of Information Concepts and their Implications

Understanding of information concepts is very important and relevant to the system designer and the information user. The concepts are summarized as follows: Filtering The system designer should provide an appropriate filtering mechanism so that the information is not suppressed and relates to the frame of reference of the user. Care should be taken in the process that the certain valid information does not get blocked or over emphasized. A filtering process is used to select and suppress

Summary of Information Concepts and their Implications

Simon Model and is Application The designer should attempt to provide such information that it clearly defines the problem space and also takes cognizance of the user's knowledge. The design of the system should be such that an appropriate mix of these two sources should yield a decision, leading to a solution of the problem.

 Codes and Representation

The system designer should evolve such coding system that is easy for the users of the code to interpret. Secondly, the designer should report the data in such a
manner that the user can grasp it quickly.

 Highlighting The designer should provide the information in such a way that the significant differences between the targets and the achievements, the standards, so that they become easily noticeable by the user without search. Statistical Analysis The designer should provide the information in such a way that the information not only represents something meaningfully but also aids in the statistical analysis by the user. The information should provide the additional results such as variance, correlation, coefficients, and futuristic estimates and give a measure of statistical significance for the user to consider while decision making

 Format
The designer should present the information in the form or format which is complete in all respects and in which all data is processed as per the frame of reference of the user. The user should not be required to do additional processing with other data set through the computer systems or mentally by using the data set from the memory.

 Referencing and Adjustment The designer should evolve a system in such a way that it covers the valid system boundaries and provides a reference to an acceptable point (the year, the product, the norm, the standard, the knowledge), giving a facility to make an adjustment to results or status which the information provides Cognitive Style Each user has his own style of resolving or reconciling his internal view and an understanding of the problems or environment versus the actually perceived or seen or as it exists. In line with his individual style, he also evolves a process of the decision making which is personal to him.

 Learning Theory
The designer should appreciate that the user inadvertently is learning through the information and is building his knowledge set. Hence the information should be such that the user is not overload with the supply of information which is already known to him.

 Feedback Loop The designer should provide the information feedback loop, so that the user understands that the process of decision implementation is smooth and the results are evaluated with references to the norms or the expectations, giving the user a sufficient motivation to change, amend or act. Perceived Value of Data Some data or information may not have a value or an importance in the current operations of the business but some time in the future or in a different context some value is perceived for the information. The designer would keep this data out of the current processing and reporting.

 Information Absorption The designer should provide only that amount of information which the user to grasp and use. Any additional information, beyond the ability of the user's absorption, will be ignored or go unnoticed without any response. Individual Differences The information needs of different managers will differ based on individual human processing ability and cognitive style. The designer should support all such needs effectively by making the separate information reports.

Organization and Information

Management through decision making is a common feature to all the organization. Depending upon the levels in the organization, the nature and the complexity of the job is determined. The MIS should acknowledge the problem and difficulties in various methods of the data gathering and their sources in the organization. The people organization, the business organization, the business organization and the infrastructure of the organization has an influence on the nature, the type and the quality of information.

MIS and the Information Concepts

The goal of the MIS should be to provide the information which has a surprise value and which reduces the uncertainty. The designer of the MIS should take care of the data problems knowing that it may contain bias and error by introduction of high level validations, checking and controlling the procedures in the manual and computerized systems While designing the MIS, due regard should be given to the communication theory of transmitting the information from the source to the destination.

 The presentation of information plays a significant role in controlling the noise and distortion which might interrupt, while communicating information to the various destinations. The principles of summarization and classification should be carefully applied giving regard to the levels of management. The utility of information increase if the MIS ensures that the information possesses the necessary attributes. The information is a quality product for the organization. A failure to do so would result in a wasteful expenditure in the development of the MIS and poor usage of investment in the hardware and software.