"Information is power," says popular wisdom — and especially the wisdom of the IT world. Who has not used that phrase to convince others of the pressing need for more computing resources, precisely because they will deliver more information, more quickly, and therefore more power — to compete in the 21st century, for instance?
It may seem curious, but this principle is widely accepted without pausing to question its validity, its logical foundations, or its very essence. Rarely do we find challengers to the thesis of a direct relationship between the availability of information and the power — or leverage — it confers on whoever holds it.
The Origin of the Dogma
It is worth noting that the phrase "information is power" is in fact a variation of a remark by the English philosopher Sir Francis Bacon (1561–1626), who coined the expression "Knowledge is Power" — or "Wisdom is Power," in another probable rendering. This version appears to connect Bacon's statement to a biblical origin (Proverbs 24:5), where we find a direct reference between strength and wisdom:
"A wise man is strong, and a man of knowledge increases power." — Proverbs 24:5
It is precisely this religious parallel — and the ease with which we accept the contemporary dogma equating information with power — that inspired the title of this article. The analogy is not gratuitous: with the same faith applied to mysteries and creeds, it is assumed, for example, that running Data Mining on consolidated data cubes produces relevant conclusions and actionable knowledge. Nothing could be further from the truth when the underlying data is irrelevant or incomplete.
When Did the Information Age Begin?
One might ask: when did the so-called Information Age or Information Society begin? With the PC? With the first Morse message carrying information from one point to another? Or from the moment the entire world simultaneously saw and knew that man had landed on the moon? The answer depends on the vantage point — but the central issue is a different one. Regardless of when it began, what matters is what we do with that information.
It is not information itself that necessarily confers power, but the use we make of it — provided it is relevant to our objectives and properly handled. The proliferation of information is not a value in itself, either economically or as an autonomous generator of wealth or wellbeing.
The Executive Facing the Data Torrent
Would any senior corporate executive demand that their systems generate more information "as such" in order to improve results or outcompete rivals? Is it not true that with a torrent of information we process ideas more slowly — and that the relevance of information matters far more than its volume?
In the business environment particularly, the information we obtain and process is meant to underpin decision-making processes — not to confer power in and of itself. To do so, it must first be relevant, and second, serve as raw material for our reasoning and executive competencies. Tools such as OLAP analysis, Data Mining, or analytical CRM only produce useful knowledge when the underlying data has the appropriate level of detail and structure for the specific industry. Without that foundation, organizations end up among the 75% that statistics record as failed CRM initiatives — those that deliver no return.
"It is not information that confers power, but the knowledge we build from it — when it is relevant, detailed, and oriented toward our specific goals."
Still Relevant in the Age of Big Data and AI
Two decades after writing this article, the dogma has not only persisted — it has amplified. Today we speak of Big Data, Artificial Intelligence, and Analytics with the same reverence once reserved for ERP or CRM systems. The underlying logic is identical: more data, more intelligence, more power. And the error is the same: believing that the tool replaces judgment.
The most effective executives in the digital era are not those who have access to the most data, but those who know what questions to ask of that data. Information remains raw material. Knowledge — the intelligent application of that information to the specific context of each business — remains the true source of power.
Recognizing this distinction and moving beyond the quasi-religious framing of "information is power" can place the typically logical and balanced professionals of the business and technology world in a far more effective position. Don't you think?
Looking for executives who can turn data into decisions? At Top Search Peru we identify leaders with that profile.
Let's talk →Originally published in IT/Users Magazine, 2004. Updated with 2024 perspective. Armando Cavero is Managing Partner of Top Search Peru, InterSearch Worldwide representative in Peru.