Data: Rawfacts,figures,wordsandsentenceswhichhavenomeaningforuser. Information: ProcesseddataiscalledInformationwhichhasmeaningforuser.

Data cannot be used as information but information can be used as data for further processing. Forexample: A company decides to give bonus to its employs but criteria for this bonus is that employ have been working for 3 years working in company and have age above 40 years. ProvidedData:
Mr. A B C D E F JoiningYear 2006 2008 2003 2004 2009 2005 Qualified NotQualified Qualified Qualified NotQualified Qualified

InformationObtained(Processing):
Mr. A C D F Age 45 42 39 38 Qualified Qualified NotQualified NotQualified

FurtherProcessing:

Finalinformationwhichhasusedtouseristhat: Mr.AandMr.Carequalifiedforcompanybonus. We obtainedthisinformationwithrawdata,thenwe processed itand aftermorefurther processing,wegotourfinalresults. Management: PeopleinchargeofrunningabusinessiscalledManagement. Inmanagement,everyperson workingforthesakeofcompany isincludedfrom top tobottomevensweepersandwatchmanalso. ManagementInformation: Information required by management for running a business is called management information. Forexample: Numberofproductsproduced. Numberofproductsold. Numberofmachines. Numberofemploys. Structureoftheorganization. e.g.IncaseofSKANS. Principal Coordinator AssistantCoordinator PurposeofManagement: Planning,ControllingandDecisionMaking. 1. Planning: Defineagoalofthebusiness Mainpurposeoftheorganization Main purpose should be for whole organization including sweepers and watchman. MaximumProfit BestqualityProducts

 LowPriceProducts For your main purpose, you can even choice combinations of different goals like maximumprofitandbestqualityproductatatime. SetObjectives Subdivision goals at departmental levels (Divide small tasks and distribute it indifferentdepartmenttoachieveyourgoals).Forexample ProductionDepartmenthastoreducecostofproductupto5%. SaleDepartmenthastoincreasesalesby2%. Foreachdepartment. Acourseofaction(Tofulfillyourgoal) Reducingproductioncostsby5%,itcanbedonebyfollowingways: LaboursshouldbereplacedbyMachines. Lowpricematerialpurchase. Skilledemploysshouldbereplacedbysemiskilledemploys. Evaluate,selectandimplementastrategy We should evaluate good and bad points of a strategy like expelling labours cause decrease in morale ofotherlaboursand similarlylow price materialcan be of low quality resulting in bad quality products. We can select few good pointfromevaluationandthenimplementthem. StartOperation(business) 2. Controlling: Compareactualresultswithplan In this phase, we should compare our planned (theoretical value of different parameters like cost) values with actual facts after starting business up to a limitlikeayearoramonth.Forexample PlannedCost=$10,000 ActualCost=$12,000 Variance=$2,000 Variance is similar to difference, there is two type of difference like positive (our planned values is greaterthanactual whichresults inprofit orsaving)andnegative(our planned value is less than actual whichresultsinlossorspending),ifitispositivethen we need to not worry about our plan but if it is negative just like above example then wehavetotakesomeactionstocontrolit. Wecantakethesekindofactionstoreduceactualcostfromaboveexample: We can negotiate with supplier to give us concession. We can purchase

bulk quantity of material to get discount. We can ask for concession because of old customer of supplier. We can rent our ware house in noncommercialarea. Takecorrectiveactionsifrequired 3. DecisionMaking: In this phase, we select one option on another, similarly like switching between suppliers.Wetakeourdecisionsontwodifferentlevelsexplainedbelow: AtPlanningStage AtControllingStage There is another possibility that if government of that country is not stable and switch between your operating business and changes policies then you can compensate by increasingproductpriceorrevisionourplanandmakechangesinit. Examspointofview: 1. If in the statement, there is sense or word of reporting then it will be decision makingphase. 2. If in thestatement,thereisacomparisonofactualwithplannedvaluesthenitwill becontrollingphase. 3. If statement is general like making future plans, considering of purchasing anythingthenitwillbeplanningphase. FeaturesofManagementInformation: Totakegoodandinformeddecision,thereshouldbesomequalitiesininformation. 1. Reliable: Sourceofinformationshouldbereliable. 2. Relevant: Provide information which is required (to the point information) no too much details.Forexample Required:ProductAsalesinformation Sales=$10,000 Cost = $7,000 > if you start giving advertisement cost and other details and similarlyProfit=$3,000,thisisnotgoodway. 3. Complete: Provide all information which is required. Provided information should be completeineveryway.

4. Accurate: Right information should be delivered to right person, like figures of sales. Informationcanberoundedoff,alsoitcannotbeabsolute.Forexample Ifsmallscalebusiness, $10,959.6 $10,960 Iflargescalebusiness, $11,000 5. Clear: Understandablelanguageandavoid usingaccountingtermslikebreakeventetc.,in thisway,yourprovidedinformationwillbeclear. 6. Timely: Provide information when required. It should be necessary because it take very hugepartindecisionmaking.Forexample If managementofacompanyrequiresinformationof January profitthen itisbetter to deliver informationeither on 31stDecemberor1stFebruary,sothatmanagement cantakeappropriatestepsifmandatory. JanuaryProfitReport Sale Cost Profit $10,000 $7,000 $3,000

7. Timeliness: Mention time period to which information relate (Time period should be mentionedwhenyougavereport).Forexample Sales=$10,000 (Time period not mentioned). So if we need yearly profit detail, we can conclude fromaboveinformationconsideringasonemonthprofitthenyearlyprofitwillbe: Sales=$120,000(peryear) Soitisnecessarytomentiontimeperiodtoavoidconflicts. 8. Costeffective: Cost should be less than benefits. In during report generating information

collection,compilingandprovidingtousercostshouldbelessthanitsbenefits. SourcesofInformation: Fromwheretocollectinformation.Therearetwotypesofsources: 1. InternalSource: Internal sources mean information collected with in the organization. There are furthertwowaysforthecollectionofinformation: Formal way: Calling meetings by higher authorities to communicate with lowermanagement. Informalway:Stafftostaffdiscussionlikedinnerpartiesbyauthorities. 2. ExternalSource: External sources mean outside of the organization like from sales department, supplier,customers,newspaperandmagazines. RoutineInformation: Such information which you used to get after regular intervals like tax information, legal advices,healthandsafety etc.Yougettheseinformation from tax authorities, from legal advisors and law implementation departments etc. Since there are chances of introduction of new laws by governmentandnewtaxesimplementations. NonroutineInformation: Such information which you get from casual and going through from different information sources like newspapers, magazines, industrial magazines,librariesandInternetetc. ManagementLevels: Therearethreedifferentlevelsofmanagement: 1. StrategicLevel: It is most senior level (in rank) of management. It is the highest level of management. They used to do high level of planning, controlling and decision making. This management defines goals, objective and control whether they achieve goal or objective. This managementdolongterm planning(5to 10 years). They have qualitative (quality good or bad, colours andgender)and quantitative (quantity measurable data like 10 students) information. This management consistsofdirectorsandchiefexecutivesofficers(CEO). 2. TacticalLevel: It is middleline management. It has department level managers. They do short

term (maximum of 1 year) planning, controlling anddecisionmakingascompared to strategic level management. They do medium term planning. They acts as intermediatebetweenupperandlowerlevelmanagement. 3. OperationalLevel: It is low level management. It consists of workers and other staff. They do short term planning, controlling and decision making (maximum for 1 week). Labour departmentincludedinoperationallevel. Strategic level makes decision, which are fulfilled by operational level. Strategic level has most information about upcoming new plans and goals and tactical levelislittlelessandoperationallevelhasveryleastinformation.