Wednesday, June 21, 2017

LO1: Information Flow

Information Flow

  • The movement of information that is relevant to business.
  • From where it produce
  • Must be speedy and fast
  • There are two (2) types of information flow:
  1. Internal information flow (within the organisation)
  2. External information flow (without the organisation)

Internal Information Flow
  • Information that are generated by functional areas 
  • shared with other functional
  • Example : organisational chart

External Information Flow
  • Information passes to agencies outside the organisation.
  • Targeted to individual customers (example: bank statement or utility bills)
  • To a group of customers (example: council's report)
  • To all customers (example: public company and annual report)

An information flow diagram shows the steps involved in data flow, it includes:
  • where data is originally produced
  • where it is turned into information
  • where decisions are made on that data
  • blue line is the internal
  • red line is external



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