Saturday 22 March 2014

Facts About Credit Data Management

By Gwen Lowe


There still exists a major challenge facing the management which is on decision making. Although many decisions have been made over the years, some of them good others not as good, there is still no ultimate method of ensuring that the process of making a decision bears the best of fruits and only the best. For more on credit data management, please read on.

There have been a lot of approaches used and diverse strategies employed, an example being the famous Divide and Conquer strategy. This strategy seeks to break down a large problem into smaller ones so as to solve them impeccably. The concept suggests that cognitive processing barriers leave people with few choices but to build simplified mind models of the globe.

It is accepted that a certain measure of a business advances will go terrible and produce misfortunes. Businesses strive to diminish these misfortunes by restricting the measure of danger they tackle from the earliest starting point of the provision process, yet an alternate approach to decrease misfortunes is to avoid duplicity. Business information suppliers incorporate buyer information that could be utilized to avert misrepresentation, for example, records of past business, expert licenses, rental history, payday loan specialist data, and criminal history.

The attribution theory is one product of the cognitive psychology in decision making. Several authors highlighted the importance of schemata in determining how people use new information with consideration to pre-existing beliefs. Schema is defined as a working hypothesis about a certain aspect of the environment that might be a concept of the self, other individuals, parties or sequence of events in the environment.

Schemata are not only used in the organization of environmental interpretations but also in developing plans of action. Once a schema is formed, it can hardly be changed unless new information is made available. There are some challenges faced by many organizations like volatile markets, non-consistent supply of raw materials their supply or their prices, changing demand trends and availability of cash and credit.

It is important to prevent the misuse of critical details in an organization; this is why the Data protection act was passed. The Data Protection Act controls how personal information is used by an organization, the government or businesses. The law states that everybody who uses information has to strictly follow the Data Protection Principles which are; the details should be used fairly and legally, for a specific reason and period of time, in an adequate way not excessively, accurately, in accordance with information protection rights of people, safely and securely and not transferred without adequate protection.

The content of these sources is the knowledge, this may prove valuable or not. For example, a coming across an online source of a competitors publicly filed financial statement is basically coming across information, accessing the information and getting to learn of the sales of competitors, general and administrative costs is steadily declining over recent years is gaining knowledge.

In the decision management process of a public organization stakeholders also stand to lose or gain depending on the outcome of the decision. With this in mind the role of a stakeholder in the decision making process is encouraged to be a proactive role. A stake holder is anybody who is in any way affected by anything that happens to the company.




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