In an increasingly complex world flooded with a relentless stream of data, the ability to distinguish and understand the relationship between facts, data, and information has become a critical skill. These three elements are the foundation of science, technology, and, most importantly, Management Information Systems. As a student delving into information systems, I want to share a basic understanding of these three concepts and why information quality is paramount to successful decision-making.
Starting with Facts: Objective Reality
It all begins with a fact. A fact is an objective reality that can be observed and verified empirically through the senses. In the scientific world, facts are "atomic" or "nuclear"—they are the most basic elements that cannot be broken down further. For example, "The temperature in this room is 25°C" is a fact if it can be measured and its truth agreed upon by anyone.
However, facts are often mistaken for theories. A fact is what happened, while a theory is the explanation for why it happened. Their relationship is dynamic and reciprocal. New facts can trigger the birth of a theory, modify an existing one, or even invalidate a theory that no longer aligns with reality. Without a theoretical framework, a collection of facts is merely random data without meaning; it cannot be categorized as knowledge.
Data: The Raw Material Without Meaning
Facts are then represented as data. Data is the raw material, the unprocessed facts that have no meaning to the receiver. It is a structured representation of an object, event, or transaction. Data can be quantitative (numbers), qualitative (words), sound, images, or symbols.
Based on its source, data is divided into two:
Internal Data: describes conditions within an organization.
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External Data: originates from outside the organization.
Data quality is absolutely essential. The principle of "garbage in, garbage out" applies perfectly here. Accurate and verified data will yield quality information. Conversely, manipulated or inaccurate data becomes "garbage" that ultimately produces erroneous information, leading to poor decision-making and ineffective policies.
Information: Processed Data with Meaning
