Strategies for Information Management KMS Ch10 w 11

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