Functions of Information:
In addition to the general functions of improving knowledge, information assists management in several ways, including:
1. The Reduction of Uncertainty:
Uncertainty exist where there is lake of perfect knowledge. Relevant information helps to reduce the unknown. This is particularly important in planning and decision - making.
2. An Aid To Monitoring and Control:
By providing information about performance and extent of deviations from planned levels of performance, managers are better able to control operations.
3. A Mean of Communication:
Managers needs to know about developments, plans, forecasts, future changes, and so on.
4. As A Memory Supplement:
By heaving historical information and performance, transactions, result of past actions and decisions available for references, personal memories are supplement.
5. An Aid To Simplification:
By reducing uncertainty and enhancing understanding, problems and situations are simplified and become more manageable.