1. Managing Information for Business Initiatives
Unit Two
Managing Information for Business Initiatives

2. Unit Two Chapter Six – Valuing Organizational Information
Chapter Seven – Storing Organizational Information – Databases
Chapter Eight – Accessing Organizational Information – Data Warehouse

3. Valuing Organizational Information
Chapter 6
Valuing Organizational Information

4. Learning Outcomes
6.1 Describe the broad levels, formats, and granularities of information
6.2 Differentiate between transactional and analytical information

5. Learning Outcomes
6.3 List, describe, and provide an example of each of the five characteristics of high quality information
6.4 Assess the impact of low quality information on an organization and the benefits of high quality information on an organization

6. 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

7. Organizational Information
Information granularity – refers to the extent of detail within the information (fine and detailed or coarse and abstract)
Levels
Formats
Granularities

8. The Value of Transactional and Analytical Information
Transactional information – encompasses all of the information contained within a single business process or unit of work, and its primary purpose is to support the performing of daily operational tasks
Analytical information – encompasses all organizational information, and its primary purpose is to support the performing of managerial analysis tasks

9. 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

10. The Value of Timely Information
Real-time systems help organizations make faster and more effective decisions

11. The Value of Quality Information
Business decisions are only as good as the quality of the information used to make the decisions
The five characteristics of high quality information include:
Accuracy
Completeness
Consistency
Uniqueness
Timeliness

12. The Value of Quality Information
Characteristics of high-quality information include:
Accuracy
Completeness
Consistency
Uniqueness
Timeliness

13. The Value of Quality Information
Low quality information example

14. 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

15. Understanding the Costs of Poor Information
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

16. 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

17. OPENING CASE STUDY QUESTIONS It Take A Village to Write an Encyclopedia
Determine if an entry in Wikipedia is an example of transactional information or analytical information
Describe the impact to Wikipedia if the information contained in its database is of low quality
Review the five common characteristics of high quality information and rank them in order of importance to Wikipedia
Explain how Wikipedia is resolving the issue of poor information

18. CHAPTER SIX CASE Fishing for Quality
Alaska’s Department of Fish and Game requires high quality information to manage the state’s natural resources, specifically to increase fishing yields, while ensuring the future of many species
Using fish counts the department makes daily decisions as to which districts will be open or closed to commercial fishing
Allowing too many fish to be caught before they swim upstream to spawn could diminish fish populations – yielding devastating effects for years to come

19. Chapter Six Case Questions
Describe the difference between transactional and analytical information and determine which type the Alaska Department of Fish and Game is using to make decisions
Explain the importance of high quality information for the Alaska Department of Fish and Game

20. Chapter Six Case Questions
Review the five common characteristics of high quality information and rank them in order of importance for the Alaska Department of Fish and Game
Do the managers at the Alaska Department of Fish and Game actually have all of the information they require to make an accurate decision? Explain the statement “it is never possible to have all of the information required to make the best decision possible”