Managing Business Information

Aim and purpose 

The aim of this unit is to enable learners to understand the importance of providing accurate business information to support decision making in an organisation, and to develop the skills and knowledge needed to manipulate data management software to produce information in a suitable format. 

Unit introduction 

The phrase ‘information economy’ identifies the importance that organisations attach to information as they go about their day-to-day business. Courier companies can locate all shipments at any time and keep their customers fully informed of a consignment’s whereabouts and its scheduled delivery time. Supermarkets can identify fast selling lines and restock quickly. Managers’ diaries can be synchronised and teleconference meetings can be set up with participants from around the word. 

It is important, therefore, for learners to appreciate that business information is used to obtain a competitive advantage and promote efficiency, and it is obtained from various sources. Organisations generate information internally through their business activities, recording details of products purchased, made and sold, and the associated costs. The size, composition and cost of the workforce are known. The business environment changes constantly and organisations need to respond to these changes in order to adapt their practices and survive. Markets, technology and business cultures are evolving continuously. For example Reuters moved from being a financial information provider and news agency to now also providing electronic trading systems – both hardware and software. Businesses use the information they have to manage what is currently happening in the organisation but also to plan for the future and ensure their survival. 

The first part of this unit explores the importance of business information and looks at its purpose and uses for business decision making. Factors that influence this such as legal issues, are investigated. The second part of the unit focuses on how technological change has provided an infrastructure for processing information that now provides organisations with a wide range of accurate and up-to-date information. Learners will have the opportunity to develop skills and knowledge in manipulating information in data management software to produce information in suitable formats to help with decision making.

Learning outcomes 

On completion of this unit a learner should: 

1 Understand the importance of information to organisations 

2 Know how organisations use business information 

3 Be able to maintain an information system 

4 Be able to produce information to support decision making in organisations.