NOTE IT CHAPTER 6

VALUING ORGANIZATION INFORMATION

ORGANIZATIONAL INFORMATION	•Information is everywhere in an organization •Employees must be able to obtain and analyze the many different levels, formats, and granularities of organizational information to make decisions •Successfully collecting, compiling, sorting, and analyzing information can provide tremendous insight into how an organization is performing
ORGANIZATIONAL INFORMATION	Levels, formats, and granularities of organizational information
Information Levels: Individual, Department, Enterprise	•Individual knowledge, goals and strategies. •Departmental goals, revenues, expenses, processes, and strategies •Enterprise revenues, expenses, processes, and strategies
Information Formats: Document, Presentation, Spreadsheet, Database	•Documents; letters, memos, faces emails, reports, marketing, materials, and training materials. •Presentation; Product, strategy, process, financial, customer, and competitor •Spreadsheet; Sales, marketing, industry, financial, competition, customer and order spreadsheets. •Database; Customer, employee, sales, order, supplier, and manufacturer database.
Information Granularities: Detail (Fine), Summary, aggregate (Coarse	•Detail (Fine); Reports for each salesperson, product and part •Summary; Reports for all sales personnel, all products, and all parts •Aggregate (Coarse); Reports across departments, organizations, and companies
THE VALUE OF TRANSACTIONAL AND ANALYTICAL INFORMATION	.Transactional information verses analytical information.
Transactional Information - Database:	Tickets, Sales Receipt and Packing slip.
Analytical Information - Database:	Products Statistics, Sales Projections, Future Growth, Trends.
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
THE VALUE OF QUALITY INFORMATION	Characteristics of high-quality information include: Accuracy, Completeness, Consistency, Uniqueness, Timeliness.
Completeness	Are any of the values missing? For example, is the address complete including street, city, state, and zip code?
Consistency	Is aggregate or summary information in agreement with detailed information? For example, do all total fields equal the true total of the individual fields?
Uniqueness	Is each transaction, entity, and event represented only once in the information? For example, are there any duplicate customers?
Timeliness	is the information current with the respect to the business requirements? For example, is information updated weekly, daily, or hourly?
THE VALUE OF QUALITY INFORMATION	Low quality information example: Missing Information, Incomplete Information, Probable duplicate Information, Potential wrong information, inaccurate information.
Understanding the Costs of Poor Information	four primary sources of low quality
The four primary sources of low quality information include:	1.Online customers intentionally enter inaccurate information to protect their privacy 2.Information from different systems have different entry standards and formats 3.Call center operators enter abbreviated or erroneous information by accident or to save time 4.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 nonexistent 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