Chapter 1 information & management

B. H. Gardi College of Engineering & Technology, RAJKOT
Department of Master of Computer Application
Prepared by : Ajay A. Ardeshana
Email : ajay.24021985@gmail.com Mobile : 9558820298 1
Prepared By :-
Mr. Ajay A. Ardeshana
MCA Lecturer
At GARDI VIDYAPITH
RAJKOT.
Email :- ajay.24021985@gmail.com
Mobile :- + 91 – 95588 20298
What to learn in this chapter?
 Distinction between Data and Information.
 Types of Information.
 Levels of Management.
 Information needs at each of the functional and
hierarchical levels of management.
 The desirable attributes of Information (Quality of
Information)
C h a p t e r – 1
INFORMATION and
management

Introduction
Prepared By :- Ajay A. Ardeshana Email :- ajay.24021985@gmail.com Mobile :- 9558820298
Every one in his or her day-to-day work gathers processed
data.
Data may be processed in other way to obtain different
information.
Example - 1 :-
 Housewife buys milk every morning.
 She writes in notebook numbers of liters she brought.
 At the end of month she adds the data and multiply it
with the price of milk.
 The result is Information she use to pay to milkman.
Total milk brought per month  Data
No. of Family Members  Data
Average Milk Consumption Per Head  Information
 So that,
Data is Row Material and,
Information is Processed Data
Data is the row material with which we begins and
Information is the finished Product.
Arithmetic operations are not the only operations used
to process the data.

Example - 2 :-
Survey the preference of consumer regarding some
product.
 Then some one has to go out, take interviews of
customers and collect data.
 No. Of Interviews increase, the cost of data collection
increase.
 the data by itself is useless unless it is processed to
obtain information, which can be used to take the
decision.
Types of Information
 The same data may be processed in different way to obtain different types
of Information.
 For Example, Information required for small retail store owner are as
following:
 Which Items in his store are about to be exhausted and need to be re-order.
 Which items are sold faster so that he can order more and keep them well
stocked.
 Which items are not sold so that he can dispose them at discount price and not
stocked them in future.
 Bills remain unpaid beyond due date.
 How much is the daily sale. e. t. c. …

 The information required my be classified into following three different
categories :
1. Strategic Information.
2. Tactical Information
3. Operational Information.
Justify the answer using following question :
• What is the purpose for collecting Information?
• Who will use this Information?
• Example.
• Whether the information is Structured or not?
• Whether the information is Detailed or Summarized?
• Whether the Information is Easy to obtain or Complex?
1. Strategic Information :-
 This information is needed for large range planning or it is
useful for taking some long term decisions.
 It will be used by Top Level Managers. (e.g. CEO)
 For Example an Information that is used to take the
decision for expanding the Organization or Opening a new
branch of an organization.
 These type of information are Summarized information not
as much detailed as the Operational Information are.
 These information are not well structured.
 And it is quit difficult to obtain this type of information
compare to other.

2. Tactical Information :-
 This information is needed for short range decision for
running the business efficiently.
 It will be used by Middle Level Managers. (e.g. HR Mgr.)
 For Example an Information of the payments of bill by
customers may be used to decide the appropriate credit
limits to be given to the customers.
 These type of information are Less Summarized then to
Strategic Information.
 These information are Less structured.
 And it is quit Quite Easy to obtain this type of information
compare to Structured Information.
3. Operational Information :-
 This information is needed for Day-to-Day decision for
running the business efficiently.
 It will be used by Line Managers. (e.g. Storekeeper.)
 For Example List out Items of stick on particular day would
be used to trigger the action of ordering them.
 These type of information are More Detailed then the other
types of Information.
 These information are Well structured.
 And it is quit Very Easy to obtain this type of information
compare to other types of Information.

Why do we need a
Computer-Based Information System?
 We required Computer-Based Information System
because of the following reasons.
1. The size of an organization is become larger.
2. Computer-Based processing enables the same data to be
processed in many different ways.
3. The volume of data and Variety of Information are increased.
4. Organizations are now distributed with many branches.
5. Markets are becoming competitive.
6. The general Social-Economic environment demands more up
to date and accurate Information.
Management Structure

As the business grows it becomes essential to delegate
responsibility to specialist in each area and make them
accountable for their efficient functioning.
The Chief Executive who is overall in charge of the
organization. He will require a Strategic Information.
The Middle Level Managers will, in turn, have many assistants
who are responsible for day-to-day operations, they are known
as Line Managers.
The Middle Level Managers require Tactical Information to
perform their functions and the Line Managers being responsible
for day-to-day operation would required Operational Information.
Thus we see that the manager rises higher in the hierarchy
he received Summarized Information which is also Less
Structured.

Quality of Information
1. Accurate :-
 The Information must be accurate. The correctness of the input
data and that of the processing rules should be ensured so that
the resulting information is accurate.
2. Complete :-
 The Information must be complete. That is, it should include all
the data and not exclude some.
3. Trustworthy :-
 It should also be trustworthy. The processing should not hide
some virtual information which may, for example, point out the
efficiency of some individual.
4. Timely :-
 The information should be timely. It should be given to the manager
when he needs it. Delayed information may sometimes be of no value.
5. Up to Date :-
 The information should also be up to date. It should include all the data
available at the time of processing.
6. Relevant :-
 The information should be tailored to the needs of user and be relevant
to him. Massive volumes of irrelevant information would waste a los of
time and there is dangerous of missing important relevant information.
7. Brief :-
 It is essential to give summarized information to ensure quick action.
8. Significant :-
 Use attractive format and graphical chart to perceive its significance.

Chapter 1 information & management

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