Financial and Management Activity

Financial and Management Information

Lecture 1:

* Data & information:

* Data: raw facts which are capable of being processed to form information -> i.e. Data is an input

* Information: data which has been processed in such a way as to be meaningful to the audience and in context, hence information is the output

* Creating information from data requires processes or a system whether they are supported with technology or not

* Information only becomes truly useful when it can be translated into intelligence and knowledge

* Once processed, analysed and summarized via an information system reports can be produced as information for the purpose of management decision making or problem solving (OUTPUT)ç

* Characteristics of quality information:

* Complete, communicable, concise, current

* Accurate, auditable -> is it a reliable source of information?

* Relevant

* Reliable

* Objective, obtainable economically

* Timely

Lecture 2:

* Users of information systems:

* Strategic

* Managerial

* Knowledge

* Operational

* People at all levels of organisations: Strategic, Tactical (Managerial) and Operational, who have decisions to make, generally referred to as managers, though this definition is too narrow today (management type activities):

* Decision Making

* Problem Solving

* Planning and Control

* Co-ordination and Communication

* Creating Stability and Predictability yet embracing…

* Creativity, Innovation and New Technologies

* Types of information systems:

* Operational:

* Transaction processing systems (simple, conducted) -> payroll

* Knowledge:

* Knowledge worker systems/office systems

* Managerial:

* Management information systems/ decision support systems (information is already in the operation level)

* Strategic:

* Executive support systems

* People doing decisions based on the nature of the business

* 80%...