
Chapter 6 n Measuring the Costs of Poor Quality Information 257
P3.1.4 Identify what Information Groups are required to calculate each per-
formance measure.
P3.1.5 Describe generally how Poor Quality Information can hamper the accom-
plishment of, or skew, each measure.
tip Understand how Executives see performance effectiveness.
1. Be sure to note the critical performance measures regularly reviewed by
Executives.
2. Be sure to document the Enterprise Standard Calculations Formula for the
measures.
3. Be sure to document the change management procedure for if and when
performance measure calculations change.
Step P3.2: Calculate Information and Systems
Costs of Ownership
This step measures how well the enterprise creates effective automated business
processes that enable Knowledge Workers to perform their work efficiently and
effectively, and how well the enterprise designs its knowledge bases in a way
that delivers Quality, Just-in-Time Information to its Knowledge Workers.
The Value Proposition for the development of Information Systems and data-
bases derives from the Resource Management Life Cycle, which is used to
manage all enterprise resources and is shown in Figure 6-6.
Apply
Apply
Apply
Apply
Acquire Dispose
Maintain
Value = $ Profit or ($ Loss)
$ Benefits derived
$ Resources costs
-
Resource
Value
Basis
Resource Cost Basis
(Production
Capability
Costs)
(Production
Costs)
Plan ...