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HKU Faculty of Education 2
Content
• The rationale for enterprise information policy
• Major uses of information in organisations• Enterprise information policy
– Why does an organisation need an information policy?
– What information policies does it need?• Enterprise information strategy• Organisational health check
HKU Faculty of Education 3
Rationale for enterprise information policies
Information has become the most important factor of production & wealth creation in the information society. The ability of individuals & organisations to effectively use information will ultimately decide their ability to generate economic growth & enhance quality of life for all
In the private sector, information will be the basis of competitive advantage
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Uses of information & ICT in organisations
• Planning• Decision making• Changing internal communication patterns• New product development• Cost reduction• Changing client relationships• Changing distribution channels• Improving marketing• etc
Middleton, 2002
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Information & competitive advantage
Enterprise knowledge
Competitive advantage
Codified knowledge as % of total knowledge of key competitors
Tacit knowledge as % of total enterprise
knowledge
1 High Low High2 High High High3 Low High Low4 Low Low None
Tiwana, 2000
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Enterprise information policy
‘An enterprises information policy should be the primary vehicle for planning the utilisation & development of information & knowledge. It has to framed within the context of the institution’s overall mission & objectives’
Middleton, 2002
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Enterprise information policy : Contextual factors
• Organisational culture & management milieu
• Potential for ICT to support knowledge sharing & information distribution
• External factors relating to competitors & customers
• Political & legal requirements & influences
• Potential opportunities requiring information support
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An enterprise information policy defines :
1. Objectives of information use in the enterprise
2. Priorities among them3. Technology for information
management4. Systems for information management;
who manages them & their responsibilities
Enterprise information policy
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4. Enterprise’s sources of information & its resources for managing them
5. Criteria for monitoring information activities
Orna, 1999
Enterprise information policy
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An information policy is a dynamic tool which can be used to :
1. Relate everything that is done with information to the enterprise’s overall objectives
2. Enable effective decisions on resource allocation
Enterprise information policy
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3. Promote interaction, communication & mutual support between all parts of the enterprise & between the enterprise & its ‘customers’ or ‘public’
4. Provide objective criteria for assessing the results of information-based activities
Enterprise information policy
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Enterprise information policy
5. Measure the performance of information & knowledge use & assess their cost-effectiveness
6. Give feedback to the process of developing the corporate policies of the enterprise
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The detailed expression of information policy in terms of objectives, targets, & actions to achieve them, for a defined future period
Information strategy provides the framework for the management of information
Information policy strategy
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Information management is the application of an information policy to meet information objectives within the overall constraints of available resources. It is concerned with how:
1. Information is acquired, recorded & stored
2. Information flows through the enterprise
Information policy & IM
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3. Information is used by the enterprise4. People who handle information apply
their skills & co-operate with one another
5. Information technology is used6. The budget is spent
Information policy & IM
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Enterprise information policy components
Definition Identify knowledge/information required to achieve goals
Acquisition Ways of acquiring information outside the organisation & generating it within
Utilisation • Ethical use of information• Resources for
creating/maintaining information systems
• Ensuring timeliness of information delivery
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Enterprise information policy components
Authority Identify managers of specific information resources
Communication Promote information interchange between information managers & stakeholders
Infrastructure Develop ICT & other systems to support IM & internal & external communication
Access Pursue openness of access to information inside & outside the organisation
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Enterprise information policy components
Preservation • Safeguard current & historical information
• Ensure preservation of organisational memory
Familiarisation Provide appropriate training to staff in use of information systems etc
Evolution • Update policy definitions to keep aligned to organisation goals
• Match policy to information strategies
Orna, 1999
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Enterprise information policy responsibility
Information professionals have the deepest & broadest information expertise. They should be involved at all levels of information policy creation
Management FunctionalInformation professional
Strategic Decision maker Advisor AdvisorTactical - Advisor Decision makerOperational - Advisor Decision maker
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Dangers ResultsDecentralized & uncoordinated information activities
Incomplete exploitation of information; lack of awareness of information resources
Control of information by people untrained in its management; information loss, failure to find it when needed
Inappropriate information activities & products. Objectives not achieved; inadequate service to information users; missed opportunities
Innovative projects failLoss of investment; loss of competitive position; reduced market share
No or poor information policy
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No or poor information policy
Dangers ResultsOver-emphasis on technology - no strategy for determining the questions which the technology is intended to solve
Technology not operating to full potential; technology inappropriate to real needs; bad use of human resources; disillusion with IT
Information scattered through the enterprise in different databases & formats
Information can’t be brought together in an integrated form for profitable use when needed
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Information policy…..
Benefits ResultsIntegration of all information activities
Information can make its full contribution to enterprise objectives
Decision-making on resources for information activities can be objective, as it’s based on the enterprise’s objectives & priorities
Effective deployment of resources; long-term planning becomes possible; continuity in development of information activities promoted, & wasted investment avoided
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Information policy…..
Benefits Results
Sound decisions on information-technology
IT supports information objectives; permits developments in information use; allows better use of human resources, upgrading of skills, & increased job satisfaction
Constant monitoring makes possible rapid identification of environmental change & flexible response to it
Information activities continue to be appropriate to enterprise objectives; new situations can be evaluated, & new opportunities for information use are seized
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Low confidence in othersLow confidence in others
Lack of trustLack of trustLow information flow
Low information flow
Little interaction among groupsLittle interaction among groups
Poor organisational health
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Good organisational health
Confidence in othersConfidence in others
RisktakingRisk
takingInformation
flow encouraged Information
flow encouraged
Interaction among groupsInteraction among groups
Feed-
back
Feed-
back
Problem solving
Problem solving
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1. What are the main corporate objectives of your organization? Some organizations publicize a corporate mission statement which outline them. Do you know what they are?
2. List the main types of information that your organization must collect in order to meet its objectives & carry out its functions
Organisational health check
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3. Are there any types of information that your organization should be collecting but is not?
List 3 types of information that your organization could collect which may allow it to become more responsive to its ‘customers’
Organisational health check
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4. Do you suffer from information overload? - or shortage of information?
If so, briefly describe in general terms without reference to technology, the nature of your problem – ie what does it mean you can’t do effectively?
Organisational health check
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5. Write five lines under each of the following headings to describe how your problems in Q.4 could be overcome
• The organization• Information systems• Other considerations
Organisational health check
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6. Write down the main changes that have taken place over the last 5 years to services &/or products supplied by your organization
What trends do they indicate & where could these trends lead to in another 5 years?
Organisational health check
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7. Write down 3 initiatives you should personally take to prepare yourself for the changes you think likely to occur in the next 5 years
8. Write down 3 initiatives you think your organization should take to prepare itself for the changes you think likely to occur in the next 5 years.
Organisational health check
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9. Write 5 lines under each of the following headings to describe how each could benefit through better information management:
• Teamwork• Efficiency• Effectiveness
Organisational health check
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10.The total system for collecting & distributing information throughout your organization may or may not make use of computers & digital information. Suggest 1 local improvement, not necessarily involving computers, which you can cost-justify
Wilson, 1993
Organisational health check
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Middleton, M. 2002. Information management: A consolidation of operations, analysis and strategy. Centre for Information Studies, Charles Sturt University, Wagga Wagga
Orna, E. 1999, Practical information policies. Gower, Aldershot.
Tiwana, A. 2000. The knowledge management toolkit: Practical techniques for building a knowledge management system. Prentice Hall, Upper Saddle River.
Wilson, D. 1993. Managing information: For continual improvement. Butterworth-Heinemann, Oxford.
References