CLASSIFICATION OF INFORMATION
CLASSIFICATION OF INFORMATION
The information can be classified in a number of ways providing a better understanding. Information is classified in the following manner:-
ACTION VERSUS NON-ACTION INFORMATION
The information which includes action is called action information. The information which communicated only the status of a situation is non-action information. ‘No stock’ reports calling a purchase action is action information but the stock ledger showing the store transactions and the stock balances is non-action information.
RECURRING VERSUS NON-RECURRING ACTION
The information generated at regular intervals is recurring information. The monthly sales reports, the stock statements, the trial balance, etc. are recurring information. The financial analysis or the report on the market research study is non-recurring information.
INTERNAL VERSUS EXTERNAL INFORMATION
The information generated through the internal sources of the organization is termed as internal information, while the information generated through the government reports, the industry surveys, etc. is termed as external information, as the sources of the data are outside the organization.
The action information, the recurring information, and the internal information are the prime area for computerization and they contribute qualitatively to the MIS.
The timing and accuracy of the action information are usually important. The mix of the internal and external information changes, depending on the level of the management decisions. At the top-level of the management, the stress is more on the external information and at the operational and the middle level. The stress is more on internal information. The figure shown below shows the source and kind of information required by different levels of management in the organization.
ORGANISATION AND INFORMATION
The information can also be classified as under, in terms of its application.
A. Planning information: Certain standards, norms and specifications are used in the planning of any activity. Hence, such information is called planning information. The time standards, the operational standard, the design standards are the examples of the planning information.
B. Control information: Reporting the status of activity through a feedback mechanism is called the control information. When such information shows a deviation from the goal or the objective, it will include a decision or an action leading to control.
