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The document discusses the definition, characteristics, and value of information. It defines information as processed data that helps reduce uncertainty and aids in decision making. Key points made include that information should be meaningful, reliable, accurate, and timely. It also discusses how data is converted into information through processes like organization, structuring, and modeling. The value of information depends on factors like its relevance, exclusivity, and how it helps reduce the uncertainty of decision makers.

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Kartik Arora
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0% found this document useful (0 votes)
39 views30 pages

4 Mod

The document discusses the definition, characteristics, and value of information. It defines information as processed data that helps reduce uncertainty and aids in decision making. Key points made include that information should be meaningful, reliable, accurate, and timely. It also discusses how data is converted into information through processes like organization, structuring, and modeling. The value of information depends on factors like its relevance, exclusivity, and how it helps reduce the uncertainty of decision makers.

Uploaded by

Kartik Arora
Copyright
© Attribution Non-Commercial (BY-NC)
We take content rights seriously. If you suspect this is your content, claim it here.
Available Formats
Download as PPT, PDF, TXT or read online on Scribd
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INFORMATION

It is defined as processed, manipulated


or organized data that is equivalent to
the finished goods produced after
processing raw materials. Information
should be:
•Meaningful
•Updates knowledge to the receiver
•Helps in Decision - making
•Improves representation of an Entity
•Has a surprise value
•Reduces uncertainty

OUTPUT
INPUT DATA PROCESS INFORMATION
KEY FEATURES OF INFORMATION
• Relevant: Should contain appropriate
level of detail
• Reliable
• Accurate DATA DATA DATA
• Verifiable
• Up-to-Date
• Timely PROCESSING
• Complete
• Consistent
• Convenient
INFORMATION
• Easy to handle
• Adequately Protected
CHARACTERISTICS OF INFORMATION
SOURCE: Internal, External, Primary, Secondary

NATURE: Quantitative, Qualitative, Formal,


Informal

LEVEL: Strategic, Tactical, Operational

TIME: Historical, Current, Future

FREQUENCY: Real Time, Hourly, Daily, Monthly

USE: Planning, Control, Decision Making

FORM: Written, Visual, Oral, Sensory


TYPE: Aggregated, disaggregated, sampled,
Detailed
GENERATING INFORMATION
CONVERSION/ EDITING ORGANIZING
INPUT
VERIFICATION STRUCTURE

UPDATING

MODELING/ANALYSIS DATABASE
OUTPUT STATISTICAL ANALYSIS
AND VISUALIZATION

Conversion of data into Information needs these four processes:


a) Conversion: Transforming data from one format to another. One
measurement to another, one feature classification to another.
b) Organization: Arranging data according to DBMS and procedures
for cost effective access.
c) Structuring: Formatting data according to software and user
requirement.
d) Modeling: Using statistical analysis and visualization of data
to improve users knowledge base and intelligence in decision
making.
TYPES OF INFORMATION
1.Descriptive Info: “WHAT IS …?
• Condition of business, analysis of business
• Production Record
• Test Result, Record maintenance
• State of financial result
2.Diagnostic Info: ”WHAT IS WRONG/RIGHT?”
• Used to define business problems
• Choose appropriate course of action for problem
solving
3.Predictive Information: “WHAT IF…?”
• Future analysis of defining and solving problems
• Used to reduce risk in technology/prices
4.Perspective Info:”WHAT SHOULD BE DONE…?”
• Action Plan
• Strategies
• Rules to be followed to meet objectives and goal
ATTRIBUTES OF INFORMATION
ATTRIBUTE EXPLANATION
ACCURACY IN The test of accuracy is how closely it represents a
REPRESENTATION situation/event. The degree of precision will decide accuracy of
representation.
FORM OF Forms are qualitative/quantitative, numeric/graphic,
PRESENTATION printed/displayed, summarized/detailed. Right form of information
representation is important
FREQUENCY OF How often Information is needed or updated?
REPORTING
SCOPE OF The coverage of information in terms of entities, area and range.
REPORTING
TIME SCALE It may relate to past, current, future time stamp. Can cover
entire time spam.
SCOPE OF Internal from organization or external to organization
COLLECTION
RELEVANCE TO The information has relevance to a situation and also to decision
DECISION MAKING making. The irrelevant information is data.
COMPLETE FOR The information which covers all the aspects of the decision
DECISION situation by the way of scope, transactions and period is
CONSIDERATIONS complete.
TIMELINESS OF The receipt of information on time or when needed is highly
REPORTING useful. The info arriving late, loses its utility as it is
outdated
CLASSIFICATION OF INFORMATION
Internal
Or
External
Action Legal
Or Or
Non Action Illegal

Control Strategic
Classification
Or Or
Operational Tactical

Digital Repetitive
Or Or
Non Digital Non Repetitive
Classified
Or
Non Classified
METHODS OF DATA COLLECTION
• ACTIVITY LOGS of action taken by organization
• SKILLED SHEETS of awards and achievements
• DOCUMENT REVIEW of performance,rating,tally
sheet, forms, procedures etc.
4.FOCUS GROUPS with moderate discussions
5.INTERVIEWS or Oral Conversation
6.OBSERVATION and on spot recording
7.QUESTIONNAIRES of well defined questions
8.SURVEYS
9.GOVERNMENT PUBLICATIONS
10.INTERNET and website data collection
GUIDELINES OF COLLECTING DATA
• Establish a firm schedule to collect data.
• Data collectors should be well trained
• Store data carefully
• Confidentially of data needs to be maintained.
• Test the authenticity of data with small data
sample.
• The time period for data collection should be
fixed.
• Unbiased, clear and relevant data needs to be
collected.
• Use more than one method for data collection to
ensure its credibility.
METHODS OF INFORMATION COLLECTION
Case CHALLENGES ?
ADVANTAGES ? Study

Observation

Document
Review

Questionnaires,
Check Lists

Surveys,
Telephone Surveys

Face to face Interview,


Online and Telephonic Interviews

Focus Groups, Expert Panel Group


DYNAMICS OF INFORMATION COLLECTION

IS THE INFORMATION WILL THE METHODS GET


IS THE COST OF INFO ALL INFORMATION
COLLECTION/ANALYSIS IN COLLECTED IN
PRACTICAL MANNER? NEEDED?
A LOW COST?

WILL THE NATURE OF WHAT INFORMATION IS


CAN ADDITIONAL AUDIENCE CONFORM TO NEEDED FOR DECISIONS
METHODS BE USED FOR THE METHODS OF INFO. ABOUT PRODUCT OR
AUTHENTICITY OF INFO. COLLECTION? PROGRAM?
COLLECTION?

WHO WILL ADMINISTER


WILL THE INFO. WHAT IS THE ACCURACY THE METHODS OF INFO.
APPEAR CREDIBLE TO OF INFORMATION? COLLECTION?
DECISION MAKERS?
U . ION
MU SIN FO T
LT G IN NTA
IP SI
LE NG ING EME
ME LE E CT MPL
TH VS
OLL R I
OD C TE
S AF
SELE
C O ST IONS
TING C AT
SOUR DATA E R
CES SID
DATA/INFORMATION N
CO
COLLECTION
ISSUES

TI NG
SELECTIN LEC
G COL BEFORE
INDIVIDU A
ALS DAT AFTER
FOR DETERMINING AND CESS
INFORMAT
ION THE SIZE OF PRO EMENT
C
COLLECTI
ON INFORMATION O MMEN
C
COLLECTION
VALUE OF INFORMATION
RELEVANCE: It is determined by the quality, accuracy, reliability,
completeness, significance and contextual criteria of info to consumer.

CHANNEL: The value of info changes with


the number of channels chosen for eg.
book, newspaper, magazine, television,
internet, etc. Depending on the type of
information (by utilization or purpose)
the value increases or Decreases.

EXCLUSIVITY: Infinite amount of information


PROCESSING: Intrinsic value of can be produced. Exclusivity depends on :
info. generated. It provides 1. What alternatives are at hand
access to info, storing, from which consumers can get the information?
structuring, processing, 2. What effort is necessary to produce the
visualizing, combining it. information by himself/herself?
3. Brand image of the information provider.
VALUE OF INFORMATION DEPENDS ON
1. UNCERTAINITY OF DECISION
LARGER VOI IF
STAKE AND MAKERS
UNCERTAINITY IS 2. STAKE AS AN OUTCOME OF
HIGHER
DECISION MAKING

3. COST OF USING INFORMATION


SMALLER VOI IF
FOR DECISION MAKING
COST IS MORE 4. COST OF NEXT BEST
SUBSTITUTE FOR THE
INFORMATION

NOTE: VOI CAN NEVER BE LESS THAN ZERO BECAUSE DECISION


MAKERS CAN ALWAYS IGNORE ADDITIONAL INFORMATION AND MAKE
DECISIONS AS IF NO INFORMATION IS AVAILABLE
ORGANIZATION AND INFORMATION SYSTEM
What is an Organization?
It is a structure and process by which a cooperative
group of people:
• allocates well defined tasks
• Identifies hierarchical relationships
• Integrates activities
• Work for a common objective

CHARACTERSTICS :
• GROUP OF INDIVIDUALS •HIERARCHY AND AUTHORITY
• COMMON GOALS
•NETWORK OF RELATIONSHIP
• DIVISION OF LABOUR
• RESOURCS •ROLES AND POSITIONS
• EXECUTIVE LEADERSHIP •COORDINATION OF EFFORTS
INFORMATION, DECISION, ORGANIZATION, MANAGEMENT
Decision Structure Info Characteristics
Adhoc, Unscheduled,
STRATEGIC Summarized, Infrequent,
MANAGEMENT Forward Looking,
Unstructured (EXECUTIVES External, Wide Scope
AND DIRECTORS)

s
on

In
si

f
Semi Structured

or
ci

TACTICAL MANAGEMENT

m
De

at
BUSINESS UNIT MANAGERS

io
SELF DIRECTED TEAMS

n
Structured
OPERATIONAL MANAGEMENT

OPERATING MANAGERS
SELF DIRECTED TEAMS

Information Characteristics: Perspective, Scheduled, Detailed, Frequent,


Historical, Internal, Narrow Focus
INFORMATION RELATED ACTIVITIES IN AN ORGANIZATION
Input Data Resources by Controlling System
recording, interviews, Performance to meet
surveys standard criteria

Processing of Data into Organization of data


Information Eg according to standard
Calculation, Comparing, criteria
Sorting, Classifying

Transmission of data for


Output Of Information proper utilization
Products according to
end user need.

Feedback of data for


Storage of Data monitoring and
Resource in the form of evaluation
fields, records, tables
SYSTEM CONCEPT
Latin word SYSTEMA: Interacting, Interdependent,
interrelationships, real or abstract elements
integrated together to form a whole so that goals
can be achieved.
System elements are arranged/joined by:
1. Rules and regulations
2. Process Logic
INPUT PROCESS OUTPUT
3. Principles
4. Policies KEY ELEMENTS OF SYSTEM

CYBERNETICS: It is the study of systems and processes


and functions that interact with themselves
CHARACTERISTICS OF SYSTEM
1. Specific structure with components and processes
2. Model of reality
3. Well defined function to perform
4. Systems have well defined inputs and outputs
5. System performance can be measured on the basis of output
6. Components of systems are structurally and functionally
interrelated to each other.
7. Every system has an environment to interact with.
8. Change in any component of system affects the whole
system.
9. System is divided into small units with each component
having specialized role
10. Each component is important.
11. All components of system must work in coordination.
12. System works with a central objective
13. Components of system are interdependent on each other.
CHARACTERISTICS OF A SYSTEM DESIGNED
 Reliability  Good documentation
 Modifiability  High Performance
 Maintainability  Well-defined interfaces
 Understandability  User-friendliness
 Adaptability  Reuse of components
 Reusability  Rapid development
 Efficiency  Minimum number of errors
 Portability  Readability
 Traceability of  Ease of learning
requirements  Ease of remembering
 Fault tolerance  Ease of use
 Backward-compatibility  Increased productivity
 Cost-effectiveness  Low-cost
 Robustness  Flexibility
ELEMENTS OF A SYSTEM
ces Sof
u r i st twa
s o al Pro re
Re ec i gra Res
o p le S S p ms our
Pe I and ces
and Pr o
s ce d
Use r u re
End System Activities s
as es

Control of System Performance


B

rces

a
e
es

Medi
ed g

Output of
c

u
Input of
r

Processing data

Reso
l

Info.
u

Data
w
o

into Information
no

and
Products
es

Resource
K
R

are
and

nes
a
Dat

Storage of Data Resources

w
Hard

i
a

Mach
Dat

Network Resources
Communication Media & Network Support
TYPES OF SYSTEM
1. Natural and Man Made
2. Open and Closed System
3. Simple and Complex System
4. Deterministic, Probabilistic
and Random System
5. Human, Machine and Human-
Machine System
6. Adaptive and Non Adaptive
System
7. Abstract and Concrete
8. Formal/Informal System
9. Computer Based System
10.Isolated System
11.Control System
TYPES OF INFORMATION SYSTEM
INFORMATION
SYSTEM

OPERATIONS SUPPORT SYSTEMS MANAGEMENT SUPPORT SYSTEM

MANAGEMENT INFORMATION
DATA PROCESSING SYSTEM
SYSTEM

TRANSACTION PROCESSING OFFICE AUTOMATION


SYSTEM SYSTEM

APPLICATION PROCESSING EXECUTIVE SUPPORT


SYSTEM SYSTEM

BUSINESS FUNCTION KNOWLEDGE WORK


PROCESSING SYSTEM SYSTEM

INTEGRATED INFORMATION EXPERT INFORMATION


PROCESSING SYSTEM SYSTEM
SYSTEM DECOMPOSITION
SYSTEM DECOMPOSITION is the process of breaking or
dividing the system in such a way that each component
can be defined without an “AND” or “OR” in the
description.

WHY DECOMPOSE THE SYSTEM ?


System 1. REUSABILITY
Break 2. REPLACEMENT
Down
3. UPGRADATION OF FUNCTIONS
Sub System and 4. CHANGE INTERFACES
System Components
5. MANAGE AND MASTER COMPLEXITY
OF LARGE SYSTEM
Hierarchical Physical
Decomposition Decomposition
TYPES OF SYSTEM DECOMPOSITION
OBJECT ORIENTED DECOMPOSITION: STRUCTURAL DECOMPOSITION:
Structural Components
Information System
Decomposed into
Decomposed into
Sub System Level
Subjects Decomposed into
Decomposed into
Individual Components
Classes End Result
Decomposed into Simplicity, Understanding
Individual and
of system construction
Unique Objects

FUNCTIONAL DECOMPOSITION: LOGICAL DECOMPOSITION:


Decomposes Functional Decomposition of logically
Relationships into constituents inter- related parts whether
parts so that original function functionally or structurally.
can be
1.Reconstructed EG. ARCHITECTURE: Doors,
Windows, Rooms, Walls, Kitchen
2. Reused
etc.
3. Obtain Modularity
4. Get insight of the process
INTEGRATION OF SUBSYSTEM
DEFINATION: Bringing together or
joining of component subsystems
into one system so that they
function as one unit by
utilizing variety of techniques
like
• Computer Networking
• Enterprise Application
Integration
• Business process

ADVANTAGES:
• Adding value to system
• Reducing duplication of data
• Reducing Cost of maintenance of
each system
• Timely delivery of products and
services
• Provides a powerful Decision
Support System
• Better communication and flow
of Information
METHODS OF SUBSYSTEM INTEGRATION
1.VERTICAL INTEGRATION:
• Integration according to functionality
• Fast Integration as it uses only necessary inputs
• Cheap or cost effective
• Cost of ownership is higher as new functionalities are created

2. STAR INTEGRATION OR SPAGHETTI INTEGRATION:


•Integration of connecting all subsystems with each other.
•Cost of Integration depends on the interfaces of the subsystems being
exported.
•Time needed to integrate such system is high.
•Highly flexible as the functionality can be used form any subsystem .

3. HORIZONTAL INTEGRATION OR ENTERPRISE SERVICE BUS:


•Specialized business subsystems (BUS) are added
•BUS is capable to translate one interface to another
•All interconnections to one per system with connects directly to BUS.
•Low cost of integration
• Provides flexibility
HUMAN AS INFORMATION PROCESSING SYSTEM
ATTENTION
STIMULI RESOURCE

SHORT TERM PATTERN DECISION


MEMORY RESPONSE
RECOGNITION AND RESPONSE
SENSOR EXECUTION
SELECTION

WORKING
MEMORY
LONG TERM
MEMORY

FEEDBACK
ROLE OF IT MANAGER
• IT Managers are responsible and accountable for an
ongoing program of IT services
• IT manager should be able to effectively manage
a) the planning of procedures and routines of an
organization
b) design
c) selection
d) implementation
e) use concepts, principles, analytical tools in
Decision making.
f) administer the emerging technologies
g) converging information technology
h) utilize communications technologies.
i) Integrate People, Information, communication and
business processes to achieve strategic goals.
j) Integrate multifaceted problems in complex
situations
k) Analyze complex factual situations
l) Explain analytical techniques and theory used IT
Mgmt.
IT APPLICATIONS IN MANAGEMENT
BETTER PRODUCTIVITY AND FLEXIBILITY TO KNOWLEDGE WORKER

DESIGN NEW INTEGRATE TECHNOLOGY


ORGANIZATIONAL STRUCTURE WITH PLANNING AND CONTROL
USER DEFINED CREATE ELECTRONIC RELATIONS
REPORT GENERATION BETWEEN CUSTOMER,SUPPLIER

BETTER CONNECTIONS INCORPORATE IT WITH NEW


WITH OTHER ORGNZ. PRODUCT OR SERVICE

BETTER FLOW OF INFO INTEGRATE IT WITH


IN INTER/INTRA DEPT PLANNING, KNOWLEDGE CENTER

PRODUCTION: REDUCE DUMP E-COMMERCE: REDUCE


BY ACCURATE PRODUCTION PURCHASE TIME

PRODUCTION: EFFICIENT CREATE INTELLIGENT


ON TIME PERFORMANCE ORGANIZATIONAL SYSTEM

BETTER COORDINATION AT WORK

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