Information is one of five main types of resources to which the manager has access. All the resources, including information, can be managed. The importance of information management increases as business becomes more complex and computer capabilities expand.
Computer output is used by managers, non-managers, and persons and organizations in the firm’s environment. Managers are found on all levels and in all business areas. As managers perform their functions and play their roles, they augment their basic communication and problem-solving skills with computer and information literacy.
A system is an integration of elements, all working toward an objective. All systems include three primary elements-input, transformation and output. Some systems can control their own operations; these are called closed-loop systems. Closed-loop system includes a control mechanism, objectives and a feedback loop in addition to the three primary elements. All of the systems that we study in this text are open systems, in so far as they interface with their environment. A firm is an example of both an open system and a closed-loop system.
The manager manages a physical system composed of personnel, material, machines and money. The manager monitors the physical system by using a conceptual system. The conceptual system provides information that describes the physical system of the firm in its environment.
Manager should take a systems view of their organizational units. Such a view enables managers to more easily focus the system elements on the organizational objectives.
There is a difference between information and data. Data is raw material consisting of relatively meaningless facts and figures that are transformed into information by an information processor. Information is meaningful to the user. An information processor provides information in both oral and written forms. The information comes from...