CHAPTER 6 – VALUING ORGANIZATIONAL INFORMATION

>ORGANIZATIONAL INFORMATION

▪  Information is everywhere in an organization.

▪  Employees must be able to obtain and analyze the many different levels, formats and granularity of
   organizational information to make decisions.

▪  Successfully collecting, compiling, sorting and analyzing information can provide tremendous  
    insight into how an organization is performing.

▪   Levels, formats and granularity of organizational information.

>THE VALUE OF TRANSNATIONAL AND ANALYTICALLY INFORMATION

▪  Transaction information verses analytically information.

>THE VALUE OF TIMELY INFORMATION

-   Timeliness is an aspect of information that depends on the situation

-   Real-time information – immediate, up-to-date information

-   Real-time system – provides real-time information in response to query requests

>THE VALUE OF QUALITY INFORMATION

-    Business decisions are only as good as the quality of the information used to make the decisions

-   You never want to find yourself using technology to help you make a bad decision faster

-   Characteristics of high-quality information include.

-   Low quality information example.

>UNDERSTANDING THE COSTS OF POOR INFORMATION

▪ The four primary sources of low quality information include.

- Online customers intentionally enter inaccurate information to protect their privacy.

- Information from different systems have different entry standards and formats.

- Call center operators enter abbreviated or erroneous information by accident or to save time .

- Third party and external information contains inconsistencies, inaccuracies and errors.

 ▪ Potential business effects resulting from low quality information include.

- Inability to accurately track customers.

- Difficulty identifying valuable customers .

- Inability to identify selling opportunities .

- Marketing to non existent customers .

- Difficulty tracking revenue due to inaccurate invoices .

- Inability to build strong customer relationships.

>UNDERSTANDING THE BENEFITS OF GOOD INFORMATION

-   High quality information can significantly improve the chances of making a good decision.

-   Good decisions can directly impact an organization’s bottom line.