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STRATEGIES FOR INFORMATION MANAGEMENT
By: Zainal A. Hasibuan
Toward Knowledge Management(Chapter 10)
The Rationale…
Information management strategy must aligned with application portfolio management strategy
Aiming at the greatest value of information IS strategy based on how the organization uses
information and for what purpose. Information must be ensured to the right one
Various nature of information (text, images, pictures, graphic, etc.), hence need information management.
More business depends on information management (ebay.com, amazon.com, etc.)
Scope of information management: acquisition, protection, utilization, accessibility, dissemination
Problems with Information
Poor information leads to disaster Explosion of information leads to difficulty
of finding relevant information Lack of information integration Information resides in multiple electronic
‘libraries’ Well structured versus less structured
information Information inconsistencies Information requirement versus legacy
system Complex information exchanges
Poor Quality of Information
• Many managers simply assumed information is available in the computer. It is accurate.
• At operational level, poor information leads to customer dissatisfaction and increased cost
• Contribute to mistrust (i.e.: customer billing)• Turn thing into infeasible (i.e.: just in time
mnfg)• Ineffective the implementation of business
strategies
Information as an Asset
Quality of information: timelines, accuracy, completeness, confidence in source, valid, reliability, usability, availability, importance, relevance, and appropriateness.
Determine the organizational performance. Information as a business asset Responsibilities for the information asset Management of information Information policy
Kontinum Pengontrolan Informasi
Anarki
Feudalisme
Federalisme
Monarki
Semakin Tidak Terkontrol
Kem
ajua
n T
I
Source Devenport , 97
Information Culture
What constitute information culture? Values Attitudes Behaviors
Types of Information culture Functional Sharing Enquiring Discovery
CollectOrganizeProcessCommunicateUse
Influencethe way employee
Creating Information Culture• Behavior of employees at all level on how to
collect, organize, process, communicate and use information– Functional culture: means to exercise power– Sharing culture: means to improve performance– Enquiring culture: means to anticipate future– Discovery culture: means to compete (create
competitive opportunity)
• Each type of culture influences the way employees use information
• Effective information management must begin by thinking about “how people use information”, not with “how people use machines” (Davenport, 1997)
Business-wide Information Management Information-based organization Management of information support
information independence: how/where it’s stored, how it’s accessed and applied by different users. Independence of database with application
A framework for implementing IM A set of objectives and policies A programs for introducing the IM to meet
objectives The creation and maintenance of information
architecture What information services should be provided What implementation issues exist
Objectives of IM
Enabling the business to make the right decisions
Improving the effectiveness of processes and their outcomes
Providing timely and focused performance information
The preservation of organizational memory Improving the productivity Cost, quality, accessibility, safety, stability
of information
Managing Information Asset
It’s components Activities Scope Organizational focus Policies Tools
Another name: Information resource management
Obstacles in Managing Information Information resides in multiplatform Available in various forms: structured and
unstructured information Inconsistencies: created by different
people, different times, different purposes, and different definition
Different version: new versus legacy system
Complex form of information: electronic, paper, verbal
Competencies Associated with Information Management• IT practices
– Able to manage IT application for operational support, business process support, innovation support, and management support
• Information Management Practices– Able to manage life-cycle of information
(sensing, collecting, organizing, processing, maintaining)
• Information behavior and values– Able to promote values (integrity, formality,
control, sharing, transparency, pro-activeness)
Value of Information to Current Strategy
Benefit of Integrated Information Business better equipped Direct saving Improved intra and inter organizational
cooperation Support for managing business
Activities of IAM
Data and information administration tasks Information planning Business information requirement Setting information standard and procedures Managing corporate information model Coordinating, communicating, implementing,
controlling Data dictionary administration tasks Database administration tasks Information access tasks
Policies and Implementation Issues Extent of the “managed” information Organization responsibility for IAM Authority and responsibility for
information Information security Implementation issues
Managing Knowledge Resources Scope: acquisition, creating, storing, and
sharing Knowledge about: customer,
competitors, pricing, new product, etc Knowledge is information that has been
given meaning Information is data that has been given
structure
Managing Knowledge Resources
• Questions related to knowledge– How do I do that?– How do I ensure that my organization exploits
its knowledge?
• Use for winning the market competition
• Know-how about customers’ needs, preferences, etc
Knowledge Management: A Context for Data Warehousing and the Future
An Environment That:• Supports the collection aggregation, management, distribution, and
analysis of information to positively effect the management decision-making process. This information is derived from an organisation's unique experience with its:
– Customers – Products
– Markets – Competitors
– Organisation structure – Employees
– Business events – Performance measures
– External information, etc...
• The Data Warehouse is a fundamental enabling architecture which supports Knowledge Management
Coveney, 97
What is Knowledge Management?
Organisational Knowledge Results measurements Shared information
Management Information Process measurements
Atomic Data Integrated, high grain
Transaction Data Very high grain Perishable, unaudited
HighlyHighlySummarisedSummarised
DataData
LightlyLightlySummarized DataSummarized Data
TransactionsTransactions
Operational Data StoreOperational Data Store
Information Pyramid
What is Knowledge Management? Defined in a variety of ways. KM in education: a strategy to enable people
to develop a set of practices to create, capture, share & use knowledge to advance.
KM focuses on: people who create and use knowledge. processes and technologies by which knowledge
is created, maintained and accessed. artifacts in which knowledge is stored (manuals,
databases, intranets, books, heads).
Sources: Petrides, L.A. & Nodine, T.R (2003). Knowledge management in education: Defining the landscape. Edvinsson, L. & Malone, M.S. (1997). Intellectual capital: Realizing your company's true value by finding its hidden brainpower. Ford, N. (1989). From information- to knowledge-management. Journal of Information Science Principles & Practice.
What is Knowledge Management? “Knowledge management is a discipline that
promotes an integrated approach to identifying, managing and sharing all of an enterprise’s information needs. These information assets may include databases, documents, policies and procedures as well as previously unarticulated expertise and experience resident in individual workers.”
Source: GartnerGroup Research.
Two Types of Knowledge
Explicit knowledge Formal or codified Documents: reports,
policy manuals, white papers, standard procedures
Databases Books, magazines,
journals (library)
Implicit (Tacit) knowledge
Informal and uncodified
Values, perspectives & culture
Knowledge in heads Memories of staff,
suppliers and vendors
Documented information that can facilitate action.
Know-how & learning embedded within the minds people.
Knowledge informs decisions and actions.
Sources: Polanyi, M. (1967). The tacit dimension. Leonard, D. & Sensiper, S. (1998). The Role of Tacit Knowledge in Group Innovation. California Management Review.
Knowledge Management Architecture
OperationalOperationalData StoreData Store
DataDataIntegrationIntegration
andandCleansingCleansingProcessProcess
Quality Assurance ProcessQuality Assurance Process
MetadataMetadata
DataDataWarehouseWarehouse
BusinessBusinessModelsModels
DataData MiningMiningToolsTools
DepartmentalDepartmentalInfoMartsInfoMarts
DSS/EISDSS/EISSolutionsSolutions
Source DataSource Data TransformationTransformation Data StoreData Store Data Warehouse Data Warehouse
Inter/IInter/IIntraNetIntraNet
LegacyLegacy
ExternalExternalSourceSource
OLTPOLTP
The DIKAR Model
END OF CHAPTER 10
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