The DIKW pyramid, also known variously as the DIKW hierarchy, wisdom hierarchy, knowledge hierarchy, information hierarchy, and the data pyramid, refers loosely to a class of models for representing
purported structural and/or functional relationships between data, information, knowledge, and wisdom. "Typically information is defined in terms of data, knowledge in terms of information, and wisdom in terms of knowledge".
Data: symbols, facts, individuals, signals, events.
E.g, it is raining.
Information: data that are processed to be useful; provides answers to "who", "what", "where", and "when" questions
E.g, the temperature dropped 15 degrees and then it started raining.
Knowledge: application of data and information; answers "how" questions
E.g, If the humidity is very high and the temperature drops substantially the atmospheres is often unlikely to be able to hold the moisture so it rains.
Understanding: appreciation of "why"
E.g, It rains because it rains. And this encompasses an understanding of all the interactions that happen between raining, evaporation, air currents, temperature gradients, changes, and raining.
Wisdom(Decision making): evaluated understanding. It is the ability to increase effectiveness. Wisdom adds value, which requires the mental function that we call judgment. The ethical and aesthetic values that this implies are inherent to the actor and are unique and personal. Other authors have characterized wisdom as "knowing the right things to do" and "the ability to make sound judgments and decisions apparently without thought"
E.g, Since it was happening the drought in Anhui province, the local department adopted the artificial rainfall technology and lead to the rain as expected. Not suprisingly, it will increase the production of grain in that region.
References:
1.https://en.wikipedia.org/wiki/DIKW_pyramid
2.https://kvaes.wordpress.com/2013/05/31/data-knowledge-information-wisdom/
3.http://www.cognitivecybernetics.com/PrimerFoU.html
4.http://www.systems-thinking.org/dikw/dikw.htm