Sources of information for good business management

 Sources of information for good business management

Business management is defined as all actions focused on making the company known, affecting both market loyalty and the opening of a new one. Given this definition, it is key to know what sources of information we have within our reach.

Good business management leads to better sales. No one doubts – or nobody should doubt it – of that axiom. Nor should anyone doubt that we are in the era of information. For this reason, this commercial management has its strength in information management. In sales, it is what is translated as Marketing Information System or SIM.

This information system for the correct commercial management is defined as that flow of information resulting from the set of data obtained from the relationships between human capital, procedures, tools and information technologies. On the resulting information, the decision making that will determine the good or bad business management of the company will depend.

Level of Marketing Information Systems

It should be noted, in this regard, that there are different levels of information use depending on whether it is a strategic, tactical or operational system.

  • Strategic Information System: in this case, the use of information would be exploited by CEOs and managers, that is, the top vertex of the company, who set the company’s direction.
  • Tactical Information System: At this level the bosses and business administrators would be located, who must have much more detailed information than the previous level in order to design the company’s tactical plan.
  • Information System Operational: the base of the pyramid, operators and vendors who need information to perform their own commercial management with customers. In addition, the components of the operational level also serve as a source of information for the other estates.

On the other hand, there are authors who indicate that, in addition, there are Knowledge systems, aimed at knowledge and data workers whose objective is to include current knowledge in the commercial management process

Business management in MIS

However, in all the areas contemplated, knowing and managing the flow of information is very necessary if you want to have a highly effective commercial management.

Types of information sources

Business management based on an effective Information System, that is, which results in improved results, sales and / or KPIs, requires that there be a structured information collection system. In this case, the search process would involve the following steps:

  1. Define the information needs
  2. Decide the sources of information
  3. Treat the information
  4. Transmit the information.
  5. Control and monitoring of it.

Market Research and Techniques has become, due to the success that is obtained, a duty of every company to determine how the market beats. For this reason, companies with the objective of carrying out a highly effective business management must decide which sources of information they use, which may be internal sources and external sources. In addition, they can be subdivided, in turn, into primary sources and secondary sources.

As internal sources are known to all those who come from the internal investigation of the company and that can be exchanged with customers and suppliers. Within this type, a distinction must be made between primary internal sources and secondary internal sources.

Primary Sources

The primary internal sources are all those that report data generated within the company itself by internal elements of commercial management such as sales, customers, prices, products and human capital, among others. In this sense, it is worth highlighting the role played by the administrative and commercial teams of the company as emanating elements and data collectors. (In this section, it is necessary to underline the importance of CRM in the management of information aimed at improving sales).

On the other hand, external sources are all those coming from various ways outside the company. In addition, they represent the most popular source being named by LILIEN and KOTLER as sources of marketing intelligence.

Within the external sources, it is also necessary to underline the primary external sources: all those that throw information either by the internal means of the company, or through external elements such as agencies or research companies. This information comes from the primary information unit of the company (consumers, distributors, shareholders and employees).

Secondary Sources

On the other hand, secondary sources are those from which information comes from other organizations; those data that come from other alternative investigations that do not coincide with those of the company. In this case, secondary data could be data from the National Statistics Institute, the Center for Sociological Research, the Mercantile Registry, the BOE, etc.

In addition, there are authors who also divide the sources into quantitative and qualitative, depending on the type of information that is being sought, in the case of quantitative sources , a type of information based on data, while, in contrast, the qualitative sources pour intangible data more related to emotions.

In any case, a 100% effective business management requires being in possession of information that allows, both strategically, tactically, operatively or administratively, to implement business actions and plans with the objective of improving the company’s and company’s results. Commercial team. In Commercial Force, after having worked for more than 1,000 companies, we can help you achieve these objectives by showing you all the keys that surround the perfect commercial process, the one that improves the results of your company and your business team. Feature image By metamorworks


First Business Solution aim to provide excellent content to its readers in different categories like Business Management, Marketing information system, marketing intelligence, Big Data and more, follow us on social profiles to get regular updates.

Related post

1 Comment

Leave a Reply

This site uses Akismet to reduce spam. Learn how your comment data is processed.