Topic 2 The value and importrance of information & Topic 3 Quality of information

Question 1

Why managers need information? (4)

Answer 1

Aids decision making
Allows to monitor progress
Helps to allocate resources
Gives comeptitve advantage

Question 2

Information MUST be …. (3)

Answer 2

Accurate
Up-to-date
Complete

Question 3

Importance of the data being Up-to-date (3)

Answer 3

It is a legal requirement - Data Protection Act 1998
Sending bills to customers that they already paid
Sending a letter to someone who died which could distress the family

Question 4

Importance of the data being Accurate (4)

Answer 4

Customers being sent the wrong items
Customers being invoice the wrong amounts
Basing stock orders on incorrect sales information
Sending goods to the wrong address

Question 5

Importance of the data being Complete (2)

Answer 5

An order might only be partly fulfilled

Basing decisions where parts of inforamtion are missing = more risky

Question 6

Cost of collecting data

Answer 6

Time
Human Resources
Financial

Question 7

Stages of data collection (3)

Answer 7

Data collection
Data entry
Data processing and maintenance

Question 8

Characteristics of Good Quality information (6)

Answer 8

Accuracy
Relevance
Up-to-date
Completeness
Presenatiotion
Level of detail

Question 9

ICT sources of information (2)

Answer 9

Internet - wider choice of information

CD - ROMs - Information can’t be altered