Strategic Management: Formulation and Implementation

Information Needs By Management Levels

Information needs differ at various organizational levels. Gory and Morton have pointed out that an organization's information system must provide information to managers with three levels of responsibilities: operational control, management control (tactical), and strategic planning. Gorry and Scott Morton based their framework on the threepart division of managerial activities described by Robert N. Anthony in Planning and Control Systems. These three categories of activities take place at different levels of the management hierarchy: top management, middle management and firstline management.

According to Kenneth C. Laudon and Jane Price Laudon, the organization is divided into strategic, managerial, knowledge, and operational levels and further divided into functional areas such as marketing, manufacturing, finance, and personnel (see Figure 85).

Knowledge and data workers are the employees in a business organization who create and o/or use knowledge (e.g., engineers) or data (e.g., clerical workers) to solve business problems. However, other researchers still consider knowledge and data workers' as middle level managers who deal with tactical issues. Management activities differ according to top, middle, and firstline management levels in the hierarchy are shown in Figure 84.