What is Data & Information?

Irrespective of specific industries, data has become the driving force

that furthers the development of a variety of technologies. Data
etymologically derives from the Latin word “datum,” which roughly
translates to “something given”.

Data is raw, unorganized, unanalyzed, uninterrupted, and unrelated

used in different contexts. For instance, facts and stats gathered by
researchers for their analysis can collectively be called data. Data in
essence lacks its informative fervor and relatively renders itself to be
meaningless unless given a purpose or direction to acquire its
significance.

But when that data is analyzed, structured, and given composure or

context to make it useful, we find information. Information
etymologically dates back to its Middle and Old french roots, which
meant “the act of informing,” mostly used in the context of knowledge,
instruction, and education. In essence, information is systematic,
filtered, and useful.

Follow this piece to know the difference between data and

information, amongst other key comparisons.
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Data Vs. Information

 Data Information

Qualitative/ Quantitative variables

that present themselves with the Data that is structured and
potential to be developed into ideas collated to further its meaning
Description or analytical conclusions. and contextual usefulness.

Information follows the

Data follows the form of either format of either ideas or
Format letters, numbers or characters. references

Information is represented as
ideas, thoughts, and languages
Data is structured either in graphs, after collating the data
Representation data trees, flowcharts, or tables. acquired.

Data when interpreted and

assigned with some meaning
Data doesn’t serve any purpose derived out of it, gives
Meaning unless given to. information.

Interrelation Data is information collected Information is data processed

 Information is data collated
Data is raw and doesn’t contain any and produced to further a
Features meaning unless analyzed. logical meaning.

Information can’t exist

Interdependence Data doesn’t depend on information. without data.

Information if mostly
measured in units like
Unit Data is measured in bits and bytes. quantity, time et al.

The information contains

Use Case for Data alone doesn’t pertain to the analytical coherence to help
Decision Making qualities to help derive decisions. derive a decision.

Information adds value and

Data acquired by researchers might usefulness to researchers
Use Case for become useless if they have no since they are readily
Researchers analytical inferences to make. available.

Defining Data
Now, what is data? Data is a collection of details or data remaining in
the form of either figures texts, symbols, descriptions, or mere
observations of entities, events, or things with a potential to be
analyzed and drawn inferences from. They are raw which requires
rendering to acquire meaningful information.
Data has various forms like letters, numbers, images, or characters.
Computer data for instance is represented in the form of 0’s and 1’s –
that can be interpreted to form a fact or value. The measuring units of
data are Nibble, Bits, kilobytes, Megabytes, Gigabytes, Bytes,
Terabytes, Petabytes, et al.

Data was formerly stored in punched cards which were soon replaced
by magnetic tapes followed by hard disk drives. You may also like to
read about What is Data Acquisition for more understanding.

1.2 There are Two Types of Data

Primary Data
 Qualitative Data

 Quantitative Data
Secondary Data
 Internal Data

 External Data

1.3 Defining Information
Information is data collated to derive meaningful inferences according
to its contextual requirement. Information is structured, processed,
and presented with assigned meaning that improves the reliability of
the data acquired. Information also ensures that there remains no
uncertainty or undesirable.

In essence, Information exists to systematize relevant and timely data

to inform or to develop ideas. Unlike data, information is critical since
it processes data through purposeful intelligence to interpret or
predict or explain.

1.4 What are the key differences between data and

information?
 Data contains raw figures and facts. Information unlike data provides
insights analyzed through the data collected.
 Information can’t exist without data but data doesn’t rely on the
information.
 Data, as an input, goes through a filtration process followed by a
meaningful organization to generate output or information.
 Data doesn’t deliver into specifics since there is rarely any relevance
scattered amongst heaps of data unless processed. Information is
particular with correlation to the inferences derived.
 Data doesn’t harbor any real meaning whereas information exists to
provide insights and meaning.

Data vs Information vs Knowledge

Data vs Information vs Knowledge Table:

Data Information Knowledge

Knowledge exists in users and is

Data is generally Information refined, stored through various human
unrefined, basic, and structured, and evolved from experiences whose insights are
unfiltered. raw data ready to be analyzed. applied to information and data.

Data has all the Information is data but with Knowledge is but information that
elements of analysis. context. has nuance.

Data requires Knowledge governs a body of

organizations before Information requires to be put information, experiences, and
they become into context to become techniques, coalescing around a
information. knowledge. specific subject.

Knowledge is the flow governing

information, anchored in the
Data flow is Information regards a flow of commitment and beliefs of its
unmitigated. messages. holder.

Knowledge is hybridized and is a

Data is discrete and The information has the fluid mixture of experiences,
objective facts or qualities of conveying and contextual information, and
records of events or communicating, impacting insights that establish a
transactions. judgments, and behavior. framework for evaluation.
Knowledge is information processed in the mind of the holder. They
are personalized information gathered via study or experiences.
Knowledge can also be viewed from differential perspectives.

Information is a message with meaning that is derived from data

which is a set of plain, unfiltered, and objective records.

So, this is how you can establish the basis of the difference between
data and information and knowledge.

What is Information in Business?

Data is what translates to establishing information followed by
strategic success. So, without data, the following steps won’t exist. A
good business stands on market analysis, gathered around data
analysis that sieves the raw data for important insights. So, with
information exists a greater scope at deriving success in most business
ventures.

From data to information and from information to business

intelligence, every business relies on the data generated. Businesses
are taking advantage of this process to create a difference in their
market approach.
Business Information like its other segments in the information
industry has several forms i.e., News, Credit & Financial Information,
Market Research, IT Research, and Industry Analysis. They can
further be categorized into directories, periodicals, stats, government
information, guides, handbooks, almanacs, and directories.

The Internet has made it relatively easier for publishers to deliver

business information, especially with subscription models that deliver
content to their user base.

Market research doesn’t just stem from a linear source of data, it is

rather an exhaustive process where analysts separate the good data –
which is the cornerstone for any business strategy.

Now, you will have business information systems that are designed to
help organizations make important decisions via objective attainment.
This system uses the resources provided in most IT Infrastructure to
satiate the needs of variant entities existing inside a business
enterprise.
The 5 key components of a business information system are Decisions,
Transaction, Information, and Functions. You can’t really see the
decisions taken, rather they are reviewed. However, transactions are
more visible, but they are mostly processed through complex
computer-based algorithms. Information and functionalities can be
observed since a workflow is established for these components to
comprise the Business Information System.

Business Analytics Tools

A prediction generated by Gartner unveiled that by 2021, 70% of
midsize to large organizations will deploy Business Analytics as a
component of their data analytics operations. The future of BA tools is
depending on their respective support for data exploration via user-
friendly interfaces. These tools are also going to support analysis
operations using NLP or ML.
Traditionally, BA tools focused on communication and visualization
elements of a data lifecycle that was devoid of data storage,
manipulation, ingestion, and management. So, cutting edge BA tools
are bridging that gap with more predictive and contextual analytics.
Here are some BA tools which might be of your interest:

 Board
Board has its own BEAM automated predictive model that lets users
create precise scenarios and forecasting via data manipulation. Board
is equipped with preconfigured statistical features to determine max,
min, standard and average variations.

 Sisense

Sisense is a dynamic and robust analytics tool that lets users convert
unstructured data into analysis worthy information via its text
analytics option. They also provide statistical functions like
covariance, correlation, and R for statistical computing.
  Dundas BI

Dundas BI lets users access real-time analytics and visuals of user

information, data, and results. This tool uses R language for
performing statistical analysis. It also provides forecasting and
automated analytics to locate future trends based on historical and
current trends.

 Tableau Big Data Analytics

Tableau Big Data Analytics uses R expressions to convert large data
sets into information ready for deep analysis.

 Microstrategy
This tool offers enhanced analytics options by enabling its users to
filter unprocessed and unstructured text data into information via
Text Analysis. The tool also creates real-time predictions via advanced
& native analytical capabilities with options like third-party data
mining.

You may also like to learn about Data Mining Techniques,

Concepts, and Its Application

Conclusion
Information science and technology have garnered potential traction
in terms of technological transition – from servers to cloud to smarter
databases, data is processed within a blink of an eye. With speed
comes the ability to process data with even low-cost hardware units
like SSDs (Solid State Drives), HDDs (Hard Disk Drives), and Cloud
Services. Organizations are now storing heaps of data in the hopes of
processing them for insights that can help them drive organizational
decisions or to predict the future market dependability of their
products or services.

From medical science, education to space programs, to name a few –

Data and information solve real-life problems at breakneck speed with
their various applications. Virtually there are no caps to their
implications across industries and the benefit they harbor,
respectively. And that is the reason for the demand for Data Analytics
courses and professionals with Data Science skills is skyrocketing! So,
to reiterate, these two concepts coexist to provide us with valuable
insights that drive informed choices and successful outcomes.
You may also like to read: 10 Free Data Analytics Tools for
Everyone

Frequently Asked Questions

 How is data different from information?
Data is unstructured and unorganized facts that have the potential to
have analytics value. Information is data that is structured, used
contextually, and is ready to be deployed for further analysis.

 What are the examples of data and information?

A day’s wind speed, temperature, humidity, etc that are recorded are
data while the percentage to which the weather will remain either cold
or warm is information. A student’s marks are their raw data while
their percentage of grade, marks, or position is information.

 Which is more useful data or information?

Information exists because of data; without data, there can be no
analytical process. You may also like to read: Why Data Science Is
Important And Why Do We Need It?
 What is data and information in computers?
Data is a set of characters, symbols, and numbers that can be coded
into a binary format for computers to process. Although data input
does not have any inherent context or meaning, once processed, data
has more contextual value as an output which we know as
information.

This piece tries to cover everything concerning data and information

along with associated topics and their real-life implications. But for
concepts as vast and complex as data information, a comprehensive
guide won’t fit certain nuances. But we are happy to assist you if you
have any queries. So, be sure to comment down below, and we will try
our best to articulate the best possible explanation for your question.