Quality and value of information & Information overload

1. 1. Management Information Systems Quality and Value of Information Information Overload

Prepared By: Mohammed Jasir PV Asst. Professor NBS, Koratty Contact: 9605 69 32 66
2. 2. Quality and value of information
3. 3. Quality and Value of information • The quality and value of information can be described as how it
contributes for effective decision making • The quality of information is high, if it creates managerial
impact leading to attention, decision and action
4. 4. Value of Information • Timeliness • Presentation • Accuracy • Completeness • Integrity
5. 5. The quality of information can be measured on the four dimensions • Utility • Satisfaction • Error •
Bias
6. 6. 1)The utility Dimension • The utility dimension has four components namely the form, the time, the
access and the procession • If the information is presented in the form of manager requires, then its
utility increases • If it is available(time) when needed, the utility is optimized • If the information is
easily and quickly accessible through the online access system, its utility gets an additional boost • If
the information is processed by the manager who needs it, then its utility is the highest.
7. 7. 2) Satisfaction Dimension • The degree of satisfaction would determine the quality of the
information • If the organization has a high degree of satisfaction, then one can be safe in saying that
information systems are designed properly to meet the information needs of the managers at all the
levels
8. 8. 2) Error Dimension The error creep in on account of various reasons, namely: • An incorrect data
measurement • An incorrect collection method • Failure to follow the prescribed data processing
procedure • Loss of data or incomplete data • Poor application of data validation and control systems •
A deliberate falsification • The data should be avoided of errors, care should be taken that the
information is processed after ensuring the correctness of the data in terms of time and the number of
document, and the transactions in the period
9. 9. 4) Bias Dimension • The procedure of communicating the information should be such that the
system is able to detect the degree and the nature of the bias and correct the information accordingly
10. 10. Information Overload
11. 11. Information Overload • It is a term popularized by Alvin Toffler • Information overload occurs
when the amount of input to a system exceeds its processing capacity • It is simply the inability to
digest and apply all of the information provided • It results in anxiety and stress, delay in decision
making, lack of job satisfaction, waste of time and working longer hours
12. 12. Information Overload • It refers to difficulty of a person can have understanding an issue and
making decisions that can they caused by the presence of too much information • It is a situation
where a manager is given too much information and as a result his is confused and cannot make
optimal decisions • Information overload occurs when the amount of input to a system exceeds its
processing capacity
13. 13. Causes of Information Overload Too much information Difficult to manage information
Irrelevance or unimportance of information Multiple sources of information Lack of time to
understand information Information Overload
14. 14. Causes of Information Overload • Increasing new information • Duplication and transmission •
Increase channels of incoming information (e.g. telephone, e-mail, instant messaging) • Historical
information • Contradictions and inaccuracies • A low signal-to-noise ratio • A lack of comparing and
processing
15. 15. Causes of Information Overload • A rapidly increasing rate of new information • The ease of
duplication and transmission of data across the Internet • An increase in the available channels of
incoming information (e.g. telephone, e-mail, instant messaging) • Large amounts of historical
information to dig through • Contradictions and inaccuracies in available information • A low signal-
to-noise ratio • A lack of a method for comparing and processing different kinds of information
16. 16. Tips to solve information overload problem 1. Focus and specialize in one thing 2. Take Control 3.
Follow only valuable sources 4. Unsubscribe from most of the unwanted subscription 5. Organize the
time
17. 17. Techniques of Managing Overload 1. Data summarizing 2. Message modification or filtering 3.
Inferences 4. Message routing
18. 18. Data Summarizing • Reduction of data to a meaningful and concise form • Summarization reduces
the amount of data transmission with out changing the essential meanings of the original message
19. 19. Data Summarizing • Reduction of data to a meaningful and concise form • Summarization is a
commonly used method of data reduction and it refers to the reduction of data to a meaningful and
concise form • Summarization reduces the amount of data transmission with out changing the essential
meanings of the original message
20. 20. 2. Message modification or filtering • It refers to the removal of unwanted and irrelevant data so as
to make the information more useful to the recipient • Under this method the meaning of the message
is altered before it is transmitted • In order to prevent information overload, the data can be reduced to
a manageable size through the process of filtering
21. 21. 3. Inferences • Process of reaching a conclusion based on facts or evidence • “Conclusion based on
facts“ • “This must be either a new pencil or one which has not been used a lot” “a long pencil with an
eraser” • “This must be either an old pencil or one which has been used for a long period” “a small
pencil without an eraser”
22. 22. “The boy is crying” “The boy is hurt in knee” The boy must have fallen
23. 23. 3. Inferences • Process of reaching a conclusion based on facts or evidence • Inferences are drawn
form a large volume of data and these inferences are transmitted or communicated in the organization
instead of original data • This process reduces the volume of data considerably • Inferences may be
based on quantitative data such as statistical inference or may be more subjective • The quality of
inference depends on the ability and skill of the person who makes the inference The boy is crying
The boy is hurt in knee The boy must have fallen
24. 24. 4. Message Routing • The message should be distributed to only those persons or departments
which really require information to make decision or initiate an action
25. 25. 4. Message Routing • The message should be distributed to only those persons or departments
which really require information to make decision or initiate an action Eg: Copies of purchase order
should be sent to production, distribution and billing sections because these departments have to take
direct action based on this order. The copy of purchase order need not be sent to marketing department
since they do not require information containing in the order