Systems Management

Archive for the ‘Information Management’ Category

Risk management is one of the most important parts of any business activity. Risk management is the assessment of risks related to a product, managerial decision, or any other company policy. It is an important aspect as it familiarizes the faculty with probable risks and also helps put up a backup plan in case of failure and worst case scenario conditions. Risks can be incurred from instability in various fields like finance, marketing, credit, legal issues and also from natural disasters, accidents attack from competitor or adversary etc. Risk management involves avoiding the activities that will lead to a risk or threatening condition and if a threat does occur then having a mechanism in place to deal with it.

Risk management is a simple process if done in a proper manner. It usually comes into play after the development phase of a project or before designing of a new project. There are a few simple pointers one must remember to put up a risk management plan. First of all identify the areas where risk can occur. Then identify the risk. Determine what losses will occur if risk does actually take place. Formulate a plan to ensure that all the processes and activities in the company are carried out in such a way that minimum risk is involved. But sometimes you cannot ensure that risk will not occur like in case of human error or natural disasters. For such cases formulate a risk detection and recovery plan. For new products consider product liabilities and risks involved with the product.

Though no matter how much planning is done only experience can help avoid risks. So regular meetings and discussions must be carried out for up-gradation and re-fabrication of risk management plan. For financial risk management the market should be studied regularly and proper investments and research should be done. Whenever making a decision on company policy or launching a new product all legal liabilities must be considered. It is a must to take human error into consideration. Human error cannot be predicted and hence risk assessment in such cases becomes difficult. But still every possible error should be considered as far as possible and a plan for risk management and recovery must be formulated. This can involve easy undo options or double check mechanism for critical process, auto save on unexpected shutdown etc.

One of the major risk conditions occurs during a natural disaster. Though they don’t occur that often they are the most dangerous in terms of risk for any organization. A company has loads and loads of date stored in databases of different types. This data contains important information like customer records, employee records, sales information, product information, management policies etc. A natural disaster like earthquake, volcano eruption or tornado can destroy these databases and make the company lose all its vital and sensitive information gathered from years of research. To avoid this strong and effective risk management plans for natural calamities must be formulated. Such a risk management plan involves making of duplicate databases with all sensitive information and storing them as backups in some other safe location. Also in case of failure of system these databases can be used to continue operation of critical processes.

Risk management is of great importance in any company policy and must be strongly implemented to ensure optimized working of the organization.

During “office hours” when there are no changes in your organization, the relevance of knowledge management is minimal. Imagine that your business is involved in selling bikes and this business is prosperous. But than, all of a sudden there is a fall in demand. You verify with the suppliers of the motors and indeed in other areas the demand declines. You are just selling them, and you need to decide what to do.

You need information to understand the cause of the decline in demand. After you have done this, you will find out — in this case — that because of the increase of the oil-price, the demand for bicycles has been increasing other the last months. This explains the decline in your sales.

Because of the same information you may also decide to step into the bicycle business. This should solve your problem you think and it will, although the competition is fierce. But that’s not the point.
The point is — knowledge management. What do you need to know to manage your business?
Again you need to gather a lot of information about this new market, about the potential clients, information about buying bicycles from the various (new) suppliers. It is all what you should be able to manage. Information management.

Yet, your business will not automatically take of in this new setting. You need experience. “How is the bicycle selling process different?” How do you buy bicycles, from what kind of suppliers, how do you know about quality. A lot of issues that you could translate from the other business. Yet there are also many elements you will not know about (in advance). You have to experience them, these can not be planned, because you do not know them. And in this case your business has made no real transformation. The profile is very much the same. From selling bikes to bicycles. Knowledge management would really be an issue if you switch from selling bikes to trading stocks.

A way to handle this knowledge problem is to contract someone who is experienced in — who knows about — selling bicycles. This is a common solution.

Information management makes you decide to get into this new business.
Knowledge management will determine whether you survive in this business you do not know.

For any enterprise or business organization, it is very important to take care of assets, finances and expenses. Wherever money is involved, close scrutiny becomes a basic requirement which should be done thoroughly. Also, in case of investments which are also done in form of assets, it is important to take care of them so as to keep them in a functionally active form for future use. All this and other asset information management helps in reducing operational costs and promoting the growth of the enterprise.

The possession and upkeep of any assets involves a lot of information that is produced and has to be stored. Also, the proper management of this information is also very important for the future purpose. This management of asset information forms of the heart of asset management since this information has to be processed and worked accordingly. A very careful design of information management has to be followed so as not to make any mistakes and remove all flaws from proper management.

It is through asset information management that a true picture of the condition of the assets can be built. Whether the asset is in a good working condition or not, this is decided by the information that has been stored and managed over time. By meeting the strict design and rules, there is a great reduction in operational costs of the assets and their good upkeep can be maintained thereby reducing any unwanted costs that may occur. Also, notifications about the servicing of the assets, their lease, warranty, etc are received at the right time to avoid any inconveniences. There are other advantages too which may be provided, like financial reports and also more importantly, the financial investments that are to be made are also done with complete watchfulness and forethought.

Further growth and development of the enterprise becomes really easy with the asset information management that is done properly. With proper organization, all the events are taken care of on time which reduces all costs considerably.For any enterprise or business organization, it is very important to take care of assets, finances and expenses. Wherever money is involved, close scrutiny becomes a basic requirement which should be done thoroughly. Also, in case of investments which are also done in form of assets, it is important to take care of them so as to keep them in a functionally active form for future use. All this and other asset information management helps in reducing operational costs and promoting the growth of the enterprise.