Data, Information, Knowledge, and Wisdom

Data, Information, Knowledge, and Wisdom

The concept of transforming Data, to Information, to Knowledge, to Wisdom has been utilized in numerous
studies and by industries. However, we can take this concept and use it for the research and development of
Policies, Processes, and Procedures.

Researching and developing Policies, Processes, and Procedures requires transforming data to information, to
knowledge, and then to wisdom. Through this progression, understanding is increased. As you perform the
research and development phases, you will transform the data into information, knowledge, and wisdom for users
and the enterprise.

The goal is for the Policies, Processes, and Procedures to be clear, concise, complete, and correct™.
Understanding the relationship and progression between data, information, knowledge, and wisdom helps you
assess where you are within the Understanding scale during the research and development phases; and whether
you are properly positioned to develop and test the documentation. If you build Policies, Processes, and
Procedures before you are at the proper point on the scale, they will be fragmented and incomplete.

As you progress through the scale from data through wisdom, understanding increases; and the Policies,
Processes, and Procedures will be clearer, more concise, more complete, and more correct. We refer to this as
the Understanding Scale.

Clear, concise,
complete, and correct Wisdom

Understanding priciples

Knowledge

Information

Data Understanding

Data
Data is a fact that alone is not significant, as is doesn’t relate to other data. Data may answer a very basic
what question; such as a glossary definition, directory entry, or code listing. However, a definition or code
may require knowledge, if the definition or code is complex.

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Information
Information is data that is related and is therefore in context. It can then be transformed into a Process or
Procedure, making it useful. Information is data that relates who, what, where and when to each other,
providing a baseline for a Process (i.e. control point, cycle time) or a Procedure (i.e. date, code, screen
description).

While information may become input for a Process or Procedure, the level of understanding may limit that
Process or Procedure to an individual or department level. Enterprise and more complex Processes and
Procedures require Knowledge.

Knowledge
Knowledge is the application of information. Knowledge addresses how and why, in addition to who, what,
where and when. The knowledge links all the information together to produce a comprehensive Policy,
Process or Procedure.

Knowledge allows management to gain an accurate and complete picture of the enterprise Policies,
Processes, and Procedures. The Policies, Processes, and Procedures become transformed into an
enterprise asset.

Wisdom
Wisdom is complete understanding of the effects and outcomes of Knowledge. Wisdom addresses how and
why, in addition to who, what, where and when at the Enterprise level. Enterprise Policies, Processes, and
Procedures must be at this understanding level to be considered permanent, otherwise the Policy and
Process may be considered Conditional.

Having clear, concise, complete, and correct™ Policies, Processes, and Procedures, an enterprise may now
assess best practices and compliance issues. Wisdom allows for Policies, Processes, and Procedures to be
modified so they reflect the strategic vision, functional alignment, best practices and operational objectives of
the enterprise. Management is able to standardize Policies, Processes, and Procedures across enterprise
locations, business units and departments.

Policies, Processes, and Procedures become a tool for others within the enterprise for remodeling and
initiatives; in that they reflect the As-Is guidelines and functions of the enterprise. They can also be referred
to as a map to the organization.

Understanding
Understanding is what increases and supports the transition from data, to information, to knowledge, and to
wisdom.

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Summary
The following summarizes the use of the Understanding Scale.

What is represented? What is answered? How is it used? Who is the Audience?

Presents data with no What Simple glossary, Individuals

Data context. lists, codes Departments
Information is data that Who, what, where, Simple Processes Individual
Information is useful and has and when and Procedures Department
context.
Checklists Individuals
Cheatsheets
Knowledge is How and why Policies Department
Knowledge instructions and know- Who, what, where,
how. and when
Processes, and Department
Procedures Business Unit
Wisdom is applying Who, what, where, Policies, Enterprise level
Best Practices, strategic and when, why and Processes, and Business Unit
Wisdom goals, functional how Procedures
alignment, and
operational objectives.
Understanding is the Research and Documentation
level of comprehension Develop Policies, developer
and application of Processes, and Subject matter expert
Understanding
principles and concepts. Procedures
Management

eDocumentation™ Process phase

Introduction

Plan

Build

Implement

Change

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About KCG Consultant Group

KCG Consultant Group provides services and expertise for the research, development, and validation of Content
and Documentation for Policies, Processes, and Procedures. For more information, contact:

KCG Consultant Group

Email: KCGGroup@KCGGroup.com
Phone: (818) 985-7016
Web: http://www.kcggroup.com

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