Information Technology plays a very vital role in the acquiring of information and knowledge and thus indirectly affects the decision making process. Managers play vital role in the success of a business. Through the implementation of credit data management strategies, a business succeeds.
There have been a lot of approaches used and diverse strategies employed, an example being the famous Divide and Conquer strategy. This strategy seeks to break down a large problem into smaller ones so as to solve them impeccably. The concept suggests that cognitive processing barriers leave people with few choices but to build simplified mind models of the globe.
Control of the information system is of vital consideration and very high priority as it determines the kind of information and thus knowledge that you will be getting and their relevance. Unlike the manual methods, technology allows for the existence of a great array of any kind of information at one location and significantly reduces the amount of effort put towards retrieval of the said information. For example you can get an employee information from hire to retire, procure to pay, order to cash/payment, record to report et cetera, this adds the amount of time used in the actual decision making.
The attribution theory is one product of the cognitive psychology in decision making. Several authors highlighted the importance of schemata in determining how people use new information with consideration to pre-existing beliefs. Schema is defined as a working hypothesis about a certain aspect of the environment that might be a concept of the self, other individuals, parties or sequence of events in the environment.
Schemata are not only used in the organization of environmental interpretations but also in developing plans of action. Once a schema is formed, it can hardly be changed unless new information is made available. There are some challenges faced by many organizations like volatile markets, non-consistent supply of raw materials their supply or their prices, changing demand trends and availability of cash and credit.
It is important to prevent the misuse of critical details in an organization; this is why the Data protection act was passed. The Data Protection Act controls how personal information is used by an organization, the government or businesses. The law states that everybody who uses information has to strictly follow the Data Protection Principles which are; the details should be used fairly and legally, for a specific reason and period of time, in an adequate way not excessively, accurately, in accordance with information protection rights of people, safely and securely and not transferred without adequate protection.
The content of these sources is the knowledge, this may prove valuable or not. For example, a coming across an online source of a competitors publicly filed financial statement is basically coming across information, accessing the information and getting to learn of the sales of competitors, general and administrative costs is steadily declining over recent years is gaining knowledge.
Whether this knowledge is at all useful or useless is what determines the decision that will be made by the management. However having a lot of information and knowledge may prove futile if not properly put to use by the management and advisers. For more information on this, please go to the web.
There have been a lot of approaches used and diverse strategies employed, an example being the famous Divide and Conquer strategy. This strategy seeks to break down a large problem into smaller ones so as to solve them impeccably. The concept suggests that cognitive processing barriers leave people with few choices but to build simplified mind models of the globe.
Control of the information system is of vital consideration and very high priority as it determines the kind of information and thus knowledge that you will be getting and their relevance. Unlike the manual methods, technology allows for the existence of a great array of any kind of information at one location and significantly reduces the amount of effort put towards retrieval of the said information. For example you can get an employee information from hire to retire, procure to pay, order to cash/payment, record to report et cetera, this adds the amount of time used in the actual decision making.
The attribution theory is one product of the cognitive psychology in decision making. Several authors highlighted the importance of schemata in determining how people use new information with consideration to pre-existing beliefs. Schema is defined as a working hypothesis about a certain aspect of the environment that might be a concept of the self, other individuals, parties or sequence of events in the environment.
Schemata are not only used in the organization of environmental interpretations but also in developing plans of action. Once a schema is formed, it can hardly be changed unless new information is made available. There are some challenges faced by many organizations like volatile markets, non-consistent supply of raw materials their supply or their prices, changing demand trends and availability of cash and credit.
It is important to prevent the misuse of critical details in an organization; this is why the Data protection act was passed. The Data Protection Act controls how personal information is used by an organization, the government or businesses. The law states that everybody who uses information has to strictly follow the Data Protection Principles which are; the details should be used fairly and legally, for a specific reason and period of time, in an adequate way not excessively, accurately, in accordance with information protection rights of people, safely and securely and not transferred without adequate protection.
The content of these sources is the knowledge, this may prove valuable or not. For example, a coming across an online source of a competitors publicly filed financial statement is basically coming across information, accessing the information and getting to learn of the sales of competitors, general and administrative costs is steadily declining over recent years is gaining knowledge.
Whether this knowledge is at all useful or useless is what determines the decision that will be made by the management. However having a lot of information and knowledge may prove futile if not properly put to use by the management and advisers. For more information on this, please go to the web.
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