Page 9 - Information Management 3rd Edition

Chapter 1 – The role of information management within a business
1.3 The role of the information function within a business
The information function is usually one of the main functions in a business. The other main functions are general management, administration, sales and marketing, operations, purchasing (and supply chain), human resources, financial, and public relations. Information management does not comprise of one position, one office or one department, rather the entire management component that works in an information capacity. In other words, all the other business functions also perform certain information tasks and activities that are not performed centrally by the information section or department. For example, they all make use of telephone calls, reprography (photocopying) and they all handle mail daily. The information function relates to reporting in the widest sense of the word. Although the focus is on the management information system and its components, it covers the whole network of records of the business, providing information for management purposes.
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The information function does not generate an income for the business. It is a function that renders a service and provides specialised support to individuals and other business functions, which enables the latter to be more cost-effective. It relieves individuals of many of their information responsibilities and enables them
to give attention to more important matters. For example, think of a manager who
appoints an office professional to take care of all office tasks such as filing, typing and correspondence, so that the manager can concentrate on management tasks.
In addition to the manager’s fields of specialisation, information is regarded
as the most important management tool, as well as one of the most fundamental
and valuable of the various business elements. Never before have managers had so
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much information at their disposal to support their decisions. Most managers will
agree that the effectiveness with which the information is managed will determine
its usefulness. The information function can make a significant contribution to
the success of the business through the provision of specialised support in the
management of information.
It is crucial for the information manager to keep up with technological
development in this field. Technological development is the largest factor responsible for the considerable increase in the amount of information available to managers. It not only creates large amounts of new information, but it also makes existing information more readily available, accessible and convenient to use. Think of the development of computer software packages that are improved almost daily to make provision for faster and better processing of data and/or information.
The information function covers a wide spectrum of information activities. The needs of different sections, including the amount of information, in the business will determine which of these activities will be found in it. Information activities are diverse and could include the handling of information in all its forms: handling mail, filing, indexing, copying and duplication, and mechanisation. It could even include reception, word processing, correspondence, costing, credit control, accounting, bookkeeping and ordering. In small businesses, many other activities are often classified as administration as well, such as the activities related to sales warehouse management and deliveries.
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