3.3 Categories of Information Used by Organisations

Knowledge Management and Creation
Access to and use of information

Knowledge management is the process of bringing together all of the information held by an organisation to gain a better insight. By managing information so that it is available to all, it is hoped that such mistakes may be avoided and opportunities exploited.

Management Information Systems (MIS)
Is designed to provide key information needed to aid the management process by making strategic decisions. These systems therefore present an overview of information, rather than every detail.

Marketing, Promotion and Sales
Use information as part of the process of selling. Could be exploited via the use of targeted marketing, so that sales in this region could grow further. Such information is clearly valuable in planning marketing campaigns.

Financial Analysis and Modelling
Information of sales can be used to create models of expected customer behaviour.

Contact Management
This is the measurement of all contacts between a business and other people. The information held would be the actual date and time of the booking, as well as other information, name of client and telephone number

Decision Making
Information is researched so a decision may be made. Sales figures are gathered so that future plans may be generated.

Decision making is therefore fundamental for information use. Each decision will be based on separate sets of information

Internal and External Communication
In some cases, the information presented is the same. However, other information may only be intended for internal use, while information about a new product may be for customers.

Big Data
Is large volumes of data- structured and unstructured- that innundates on a day to day basis. Can be analysed for insights into better decisions and strategies.

Benefits and Limitations

• Effective management and use of information can be key to the success of a business
• MIS can present management with clear and concise information allowing decisions to be made based on an analysis of all of the information available
• Limitations come from choice of information that is taken into account when created, quality of analysis that is applied and extent to which information is presented at the time it is required.