Organizations receive and generate lots of data, which have TWO sets of relevance. Information with distant use is strategic, and will be used for planning and forecasting. Strategic information is more general than any tactical information. Information with immediate use is tactical, and is used for decision making and problem solving. Operational uses of information are very occasion or situation-specific.
Information has FIVE qualities:
Brevity (specific to the context),
Accuracy (of the right context or sensible),
Timeliness or up to date,
Purposiveness (capable of causing desired actions),
Rarity (original, novel).
For organizations prime Internal Information Resources (IIR) are: experience and knowledge that comes with owners, employees, consultants, etc., and data generated from the routine activities. For organizations External information resources (EIR) are: media based such as books, periodicals, internet, CDs, tapes, etc., and input and feedback from consultants, suppliers, contractors and clients. These resources once procured by the organization, and if properly stored, can be a great internal asset.
External information is inter-organizational, fraternity level, society, community, national, or of a universal domain. External information is acquired for a payment of compensation in proportion to its quality, quantity and acuteness of need. Organizations, as a result, end up paying a stiff price for sourcing external information.
Internal information is personal, departmental or organizational. Internal information resources are nearly free, require only processing at a negligible cost, but are ignored. Organizations thrive and proliferate on the quality and quantity of data within their reach. Organizations by continuously processing their data generate synergies that in turn sharpen their data processing capacity.
Cost of information: Information as a commodity can have an ordinary cost, if it is universally available and not urgently needed. However, information of rare or proprietary nature and that requiring immediate access can have a high price. Information is also available in many free domains without any obligations. Cost of information is also formed by absolute factors like the cost of acquisition, processing, storing, retrieval and transmission.