"Typically information is defined in terms of data, knowledge in terms of information, and wisdom in terms of knowledge" *
The DIKW model is a common way to position methods of extracting value from data. I've used it a lot. There seems to be a plethora of ways of defining the model so I've articulated my own, drawing on a few others that I found the most useful.
Raw data, observations, measurements at the bottom of the pyramid have little value until you are able to put some structure around the data, and turn it into information. Information is capable of answering simple who, what, where, when questions. Applying meaning, understanding relationships and connections, or using the information for action turns it into knowledge. Knowledge answers the "how” question. Wisdom is attained through the application or use of knowledge and answers the ‘why’.
