Chapter 4 Computer
Software
James A. O'Brien, and George Marakas.
Management Information Systems with MISource
Types of Application & System
Software
Chapter 4 Computer Software 2
Application Software
General Purpose
Programs that perform common information processing
jobs for end users; e.g., word processing, spreadsheet
Also call productivity packages
Custom Software
Software applications developed within an organization for
use by that organization
Commercial Off-the-Shelf (COTS)
Many copies sold
Minimal changes beyond scheduled upgrades
Purchasers have no control over specifications, schedule,
or evolution, and no access to source code or internal
documentation
Product vendor retains the intellectual property rights of
the software
Chapter 4 Computer Software 3
Application Software
Open-source Software
Developers collaborate on the development of an
application using programming standards which allow
anyone to contribute to the software
As each developer completes a project, the application
code becomes available and free to anyone who wants it
Chapter 4 Computer Software 4
Business Application Software
Function-Specific Application Software
Thousands of these packages support
specific applications of end users
Examples: customer relationship
management, enterprise resource planning,
supply chain management, Web-enabled
electronic commerce
Chapter 4 Computer Software 5
Software Suites, Integrated
Packages
Most widely used productivity packages are
bundled together as software suites
Advantages
Cost less than buying individual packages
All have similar GUI
Work well together
Disadvantages
All features not used
Takes a lot of disk space (bloatware)
Chapter 4 Computer Software 6
Components of Top Software
Suites
Chapter 4 Computer Software 7
Integrated Packages
Integrated packages combine the functions of
several programs into one package
E.g., Microsoft Works, AppleWorks
Advantages
Many functions for lower price
Uses less disk space
Frequently pre-installed on microcomputers
Disadvantages
Limited functionality
Chapter 4 Computer Software 8
Web Browsers
Software applications that support navigation
through the point-and-click hyper-linked
resources of the Web
Becoming the universal platform from which end
users launch…
Information searches
E-mail
Multimedia file transfer
Discussion groups
Other Internet-based applications
Chapter 4 Computer Software 9
Search Engines
Browsers are used to gain access to Internet
search engines
Google, Ask Jeeves, Look Smart, Lycos,
Overture, Yahoo!
Using search engines to find information has
become an indispensable part of Internet,
intranet, and extranet applications
Chapter 4 Computer Software 10
E-mail, Instant Messaging, and
Weblogs
E-mail
Software to communicate by sending and
receiving messages and attachments via the
Internet, intranet, or extranet
Instant messaging (IM)
Receive electronic messages instantly
Weblog or blog
A personal website in dated log format
Updated with new information about a subject
or range of subjects
Chapter 4 Computer Software 11
Word Processing/Desktop
Publishing
Word Processing
Create, edit, revise, and print documents
Example: Microsoft Word, Lotus WordPro,
Corel WordPerfect
Desktop Publishing
Produce printed materials that look
professionally published
Example: Adobe PageMaker, Microsoft
Publisher, QuarkXPress
Chapter 4 Computer Software 12
Electronic Spreadsheets
Used by virtually every business for…
Analysis, planning, modeling
Electronic Spreadsheet
Worksheet of rows and columns
Can be stored on local computer or on
network
Requires designing format and developing the
relationships (formulas)
Most help you develop charts and graphic
displays of spreadsheet results
Supports what-if questions
Chapter 4 Computer Software 13
Presentation Graphics
Common presentation graphics packages…
Converts numeric data into graphics displays
Used to create multimedia presentations of
graphics, photos, animation, and video clips
E.g., Microsoft PowerPoint, Lotus Freelance,
Corel Presentations
Top packages can tailor files for transfer in
HTML format to websites
Chapter 4 Computer Software 14
Personal Information Managers
Software for end user productivity and
collaboration
Stores information about clients
Manages schedules, appointments, tasks
Most include ability to access the Web and
provide e-mail capabilities
Some support team collaboration by sharing
information with other PIM users
Example: Lotus Organizer, Microsoft Outlook
Chapter 4 Computer Software 15
Groupware
Software that helps workgroups collaborate on
group assignments
E-mail, discussion groups, databases, video
conferencing
Example: Lotus Notes, Novell GroupWise,
Microsoft Exchange
Windows SharePoint Services and
WebSphere both allow teams to create
websites for information sharing and
document collaboration
Chapter 4 Computer Software 16
Software Alternatives
Outsourcing development and maintenance of
software
Application service providers (ASPs)
Companies that own, operate, and maintain
application software and computer system
resources
Use the application for a fee over the Internet
Pay-as-you-go
Use expected to accelerate in the coming
years
Chapter 4 Computer Software 17
Software Licensing
All COTS and ASP software is licensed
Involves the underlying..
Intellectual property rights
Copyright
Trademark
Trade secrets
Also involves traditional contract law, including
Uniform Commercial Code (UCC)
You don’t buy software
You buy a license to use the software
Licensed to protect the vendor’s property rights
Chapter 4 Computer Software 18
Interface Between End Users and
Computer
Chapter 4 Computer Software 19
Operating Systems
Integrated system of programs that…
Manages the operations of the CPU
Controls the input/output, storage resources,
and activities of the computer system
Provides support services as the computer
executes application programs
The operating system must be loaded and
activated before other tasks can be
accomplished
Chapter 4 Computer Software 20
Operating System Basic
Functions
Chapter 4 Computer Software 21
User Interface
The part of the operating system that allows you
to communicate with it
Three main types…
Command-driven
Menu-driven
Graphical user interfaces (GUI)
Chapter 4 Computer Software 22
Resource Management
Part of the operating system that manages the
hardware and networking resources of a
computer system
Includes CPU, memory, secondary storage
devices, telecommunications, and
input/output peripherals
Common functions
Keeping track of where data and programs
are stored
Subdividing memory; providing virtual
memory capability
Chapter 4 Computer Software 23
File Management
Part of the operating system that controls the
creation, deletion, and access of files and
programs
Keeps track of physical location on storage
devices
Maintains directories of information about the
location and characteristics of stored files
Chapter 4 Computer Software 24
Task Management
Part of the operating system that manages the
accomplishment of end user computing tasks
Controls which task gets access to the CPU,
and for how long
Can interrupt the CPU at any time to
substitute a higher priority task
Supports preemptive and cooperative multi-
tasking and multi-processing
Chapter 4 Computer Software 25
Popular Operating Systems
Windows
GUI, multitasking, networking, multimedia
Microsoft’s operating system
NT, XP, 2003
Different versions manage servers
Unix
Multitasking, multi-user, network-managing
Portable - can run on mainframes, midrange,
and PCs
Linux
Low-cost, powerful reliable Unix-like
operating system
Open-source
MAC OS X
Apple operating system for the iMac
GUI
Multitasking
Multimedia
Chapter 4 Computer Software 26
Open-Source Licensing
Characteristics
The Program
Must include source code and allow distribution in
source code as well as compiled form
The License
Shall not restrict any party from selling or giving
away the software as a component of an
aggregate software distribution containing
programs from several sources
Must allow modifications and derived works, and
must allow them to be distributed under the same
terms as the license of the original software
Chapter 4 Computer Software 27
Open-Source Licensing
Characteristics
The License (cont’d)
Must allow modifications and derived works and
allow them to be distributed under the same
terms as the license of the original software
May restrict source code from being distributed in
modified form only if the license allows the
distribution of patch files with the source code
for the purpose of modifying the program at build
time
Must not discriminate against any person or any
group of persons
Chapter 4 Computer Software 28
Other System Management
Programs
Chapter 4 Computer Software 29
Application Servers
Provide an interface between an operating
system and the application programs of users
Middleware
Software that helps diverse software
applications exchange data and work together
more efficiently
Chapter 4 Computer Software 30
Programming Languages
Examples of programming in each language
Chapter 4 Computer Software 31
Web Languages
HTML
A page description language that creates
hypertext documents for the Web
XML
Describes Web page content by applying
identifying tags or contextual labels to the data
Java
Object-oriented programming language that is
simple, secure, and platform independent
Java applets can be executed on any computer
Chapter 4 Computer Software 32
J2EE versus .Net
Chapter 4 Computer Software 33
Web Services How Web Services Work
Web services are
software components
that are
Based on framework
of Web and object-
oriented standards
and technology
Used to link the
applications of
different users and
computing platforms
via the Web
Chapter 4 Computer Software 34
Foundation Concepts
Information Systems in Business
Information System (IS)
• What is IS? Simply, Information System is an organized
system for collection, organization, storage and
communication of information.
• Specifically, IS is concerned with the study of
complementary networks that people and organization
use to collect, filter, process, create and distribute data
• ‘Why we need IS?’ This question has evolved into a
moot issue. As marketing, accounting, finance, human
resource management, operation management,
information system has become an integral part of
many business organizations.
• In today’s world of technology, many call it business
imperative.
Information System
• Since, you probably intend to become entrepreneurs,
managers, investors, business professionals; it is just as
important to have a basic knowledge of information
system as it is to understand any other functional areas
in business.
• Thus, it is essential to study information system in
business administration and management programs
• Information systems help many businesses improve
the efficiency and effectiveness of their business
process, managerial decision making and workgroup
collaboration to strengthen the competitive position
in rapidly changing marketplace.
Information System
• Improvised definition of IS: An organized system
of complementary networks of hardware and
software that people and organization use to
collect, filter, process, store, transform and
disseminate data and information to support
decision making, coordination and control,
analysis and visualization in an organization.
• eCourier – Booking and Tracking automation
Information Systems
Any organized
combination of people,
hardware, software,
communication
networks, data
resources, and policies
and procedures that
stores, retrieves,
transforms and
disseminates
information in an
organization
Fundamental Role of IS in Business
• Support business processes and operations
– Computer based IS help employees to record customer
purchases, track inventory & warehouse, pay employees,
evaluate sales trend and buy new merchandize.
– Store would come to a halt without such IS
• Support decision making by employees and managers
– Decision about what merchandize to be added or discontinued,
what kind of investments they require are typically made after
analysis provided by computer based IS
• Support strategies for competitive advantage
– Installing Self-check out kiosks
– Gaining strategic advantage over competitors requires
innovative application of information technologies.
Trends in Information Systems
“Big Five” IT trends
Mobile
Cloud Social
Big
Data
The role of e-Business in Business
• Internet, related technologies and business applications
have changed the way businesses operate, people work
and how IS support business processes, decision making
and competitive advantage
• Businesses create eBusiness applications
– Using Internet to Web-enable business processes
– Depending on Intranet, Extranet to implement and
manage innovative eBusiness applications
• eBusiness uses Internet technologies to empower
business processes, eCommerce, and enterprise
collaboration within a company and beyond the
company - with its customers, suppliers, stakeholders
The role of e-Business in Business
• eBusiness is online exchange of value
• Any online exchange of information, money,
resources, services or any combination there of falls
under the eBusiness umbrella
• eBusiness application are used by companies to
– Reengineer internal business processes
– Implement eCommerce system with customers and
suppliers
– Promote enterprise collaboration among business
teams and workgroups
The role of e-Business in Business
• Enterprise Collaboration uses software tools,
Enterprise Collaboration System, to support
communication, coordination and collaboration
among the members of networked teams and
workgroups
– Virtual team of employees and consultants uses
intranet, extranet and internet for e-mail,
videoconferencing, creating e-discussion groups
(blogs), communicating Work-in-Progress in Web
pages and for sharing documents to collaborate on
different projects.
The role of e-Business in Business
• eCommerce is buying, selling, marketing and servicing of
products, services and information over a variety of
computer networks.
• eCommerce supports every step of commercial process
– Advertising, sales and customer support on the web
– Internet Security for safe transaction & payment
– Assurance of delivery completion from dispatcher/delivery
company
• eCommerce systems include
– Online sales through internet website
– Extranet access to customer’s inventory database
– Intranet for sales reps to access customer records for CRM
Typical eBusiness Architecture
Internet
Suppliers & Other
Business Partners
Extranet Company
Boundary
Supply Chain Management:
Procurement, Distribution & Logistics
Intranet
Engineering Manufacturing Accounting
& Research & Production & Finance
Intranet
Customer Relationship Management:
Marketing, Sales, Customer Service
Extranet
Consumers & Business Customers
Types of Information Systems
Information System
Operation Support System Management Support System
Support Business Operations Support Management Decision Making
Transaction Processing System Management Information System
Process Control System Decision Support System
Enterprise Collaboration System Executive Information System
Specialized Processing System Specialized Processing System
Knowledge Strategic Functional
Expert
Management Information Business
System
System System System
System
• A set of interrelated components, with a clearly defined
boundary, working together to achieve a common set of
objectives by accepting inputs and producing outputs through
a transformation process in an organized manner
• 3 basic functions of a system
– Input involves capturing and assembling elements that enter
the system (to be processed).
– Processing involves transformation method (that convert input
elements to output).
– Output involves transferring elements that have been produced
by transformation process to ultimate destination.
• Feedback is data about the performance of a system.
• Control involves monitoring and evaluating feedback, and
making necessary adjustment to inputs & process
Components of Information System
• Information Systems use people, hardware, software, data and network
resources to perform input, processing, output, storage and control
activities that transform data into information products.
Information System Resources
1. People are the essential ingredient for the successful
operation of all information system. It includes end
users and IS specialist.
END USERS are people who use an information system or
the information it produces. They can be customers , sales
person, clerks, engineers, accountants, managers who are
found at all levels.
Knowledge workers who collaborate & communicate
IS SPECIALIST are people who develop and operate
information system. It includes system analysts, software
developers, system operators, technical & clerical IS persons
Information System Resources
2. Hardware Resources includes all physical devices and
material used in information processing. It includes not
only machines, such as computers but also all data
media, i.e. tangible objects on which data is recorded.
COMPUTER SYSTEM : consist of central processing units
containing micro processors and a variety of
interconnected devices such as printers , scanners etc.
COMPUTER PERIPHERALS: are devices such as keyboard,
electronic mouse for the input of data and commands , a
video screen or printers for the output of the
information, magnetic or optical drives for storage of
data resources
Information System Resources
3. Software resources includes all sets of information
processing instructions.
It includes the sets of operating instructions called programs
which direct and control computer hardware and the set of
information processing instruction called procedure that
people need.
Example:
• System software: OS which control and supports the
operation of computer system
• Application software: sales analysis, payroll, word processing
programs
• Procedures: Operating instructions for the people who use IS
Information System Resources
4. Data resources are the input elements that are stored in
databases. This concept has been broadened by managers
and information system professionals. They realize the data
constitute valuable organizational resources.
Data can take many forms: alphanumeric, text, images,
video, audio
Data can take many forms including traditional numeric data
composed of numbers etc. The data resources of information
system are typically organized, stored, accessed by a variety
of data resource management technologies into:
Data base that hold processed and organize data.
Knowledge bases that hold knowledge in a variety of forms
such as facts, rules and cases of best business practices
Information System Resources
5. Network resources includes communications technologies
and networks that are fundamental to all information
system. It includes:
Communication Media- includes twisted pair wire,
microwave, cellular wireless technologies.
Network Infrastructure- emphasizes that many hardware,
software and data technologies are needed to support the
operations and use of communication network.
– Communication processors such as modems,
communication control software, network OS, internet
browser packages.
Information System Activities
• Input of Data Resources
• Processing of Data into Information
• Output of Information Products
• Storage of Data Resources
• Control of System Performance
Input of Data Resources
• Data entry
• Editing
• Formal record of a transaction
• optical scanning of bar coded tags on
merchandise
• Machine readable
• Source documents
Processing of Data into Information
• Calculate
• Compare
• Sort
• Classify
• Summarize
– calculating employee pay, taxes, and
other payroll deductions
• The quality of the data must be maintained by a
continual process of correcting and updating activities
Output of Information Products
• Transmit information to users
• Producing reports and displays about sales
performance
• Display; paper; audio, reports, forms
Storage of data
• Maintaining records on customers,
employees, products, sales
• Data are retained in an organized manner
• Fields; records; files; data bases, knowledge bases
Control of system performance
• Generating audible signals to indicate proper
entry of data
• Feedback must be monitored and evaluated
to determine if the information system is
meeting established performance standards.
• Control system checks the feedback and
makes necessary changes
INFORMATION SYSTEM ACTIVITIES
Input. (optical scanning of bar coded tags on
merchandise)
Processing. (calculating employee pay, taxes, and
other payroll deductions)
Output. (producing reports and displays about sales
performance)
Storage. (maintaining records on customers,
employees, and products)
Control. (generating audible signals to indicate proper entry
of sales data.)
MANAGERIAL CHALLENGES
• IS and technologies must be managed to support business
strategies, business processes and organizational structures
and culture of a business enterprise
• Success and failure of IT should not be measured only by
efficiency in terms of minimizing cost, time and the use of
information resources.
• It should also be measured by effectiveness in supporting
business strategy, enabling business processes, enhancing
organizational structure and culture and increasing the
business and customer values
• However, IS & technology could be mismanaged and
misapplied resulting into not only technical problem but
also a business failure.
• Ex. Dell - Corporate Support call center
Shop Direct
MANAGERIAL CHALLENGES
• Developing IS Solutions
– Agile : system is defined at high level and then developed
in short iterations
– Usable software after each iteration
• Challenges and Ethics of IT
– What might be considered improper, irresponsible and
harmful to other people or society
– Proper business use of IT, internet and organization’s IT
resources
– How to protect yourself from computer crime and other IT
risks
– Ex. CRM and HRM cases
– Ex. Hannaford Bros – Importance of securing cust. Data
MANAGERIAL CHALLENGES
• Challenges of IT career
– Expensive pay to IT specialist
– Raising labor costs
– Off-shore outsourcing to India, Asia Pacific,
Middle-East.
– Decrease in the cost of IT and software resulting in
more use of them by companies
– To stay competitive and efficient, business must
use it
– More new and complex IS are being implemented
and used
Chapter 5 Data
Resource Management
James A. O'Brien, and George Marakas.
Management Information Systems with MISource
Logical Data Elements
Chapter 5 Data Resource ManagementChapter 5 2
Logical Data Elements
Character
A single alphabetic, numeric, or other symbol
Field or data item
Represents an attribute (characteristic or quality)
of some entity (object, person, place, event)
Example: salary, job title
Record
Grouping of all the fields used to describe the attributes of an
entity
Example: payroll record with name, SSN, pay rate
File or table
A group of related records
Database
An integrated collection of logically related
data elements
Chapter 5 Data Resource ManagementChapter 5 3
Electric Utility Database
Chapter 5 Data Resource ManagementChapter 5 4
Database Structures
Common database structures…
Hierarchical
Network
Relational
Object-oriented
Multi-dimensional
Chapter 5 Data Resource ManagementChapter 5 5
Hierarchical Structure
Early DBMS structure
Records arranged in tree-
like structure
Relationships are one-to-
many
Chapter 5 Data Resource ManagementChapter 5 6
Network Structure
Used in some mainframe DBMS packages
Many-to-many relationships
Chapter 5 Data Resource ManagementChapter 5 7
Relational Structure
Most widely used structure
Data elements are stored in tables
Row represents a record; column is a field
Can relate data in one file with data in another,
if both files share a common data element
Chapter 5 Data Resource ManagementChapter 5 8
Relational Operations
Select
Create a subset of records that meet a stated
criterion
Example: employees earning more than
$30,000
Join
Combine two or more tables temporarily
Looks like one big table
Project
Create a subset of columns in a table
Chapter 5 Data Resource ManagementChapter 5 9
Multidimensional Structure
Variation of relational model
Uses multidimensional structures to
organize data
Data elements are viewed as being in cubes
Popular for analytical databases that support
Online Analytical Processing (OLAP)
Chapter 5 Data Resource ManagementChapter 5 10
Multidimensional Model
Chapter 5 Data Resource ManagementChapter 5 11
Object-Oriented Structure
An object consists of
Data values describing the attributes of an
entity
Operations that can be performed on the data
Encapsulation
Combine data and operations
Inheritance
New objects can be created by replicating
some or all of the characteristics of parent
objects
Chapter 5 Data Resource ManagementChapter 5 12
Object-Oriented Structure
Source: Adapted from Ivar Jacobsen, Maria Ericsson, and Ageneta Jacobsen, The Object
Advantage: Business Process Reengineering with Object Technology (New York: ACM Press,
1995), p. 65.
Copyright @ 1995, Association for Computing Machinery. By permission.
Chapter 5 Data Resource ManagementChapter 5 13
Object-Oriented Structure
Used in object-oriented database management
systems (OODBMS)
Supports complex data types more efficiently
than relational databases
Example: graphic images, video clips,
web pages
Chapter 5 Data Resource ManagementChapter 5 14
Evaluation of Database Structures
Hierarchical
Works for structured, routine transactions
Can’t handle many-to-many relationship
Network
More flexible than hierarchical
Unable to handle ad hoc requests
Relational
Easily responds to ad hoc requests
Easier to work with and maintain
Not as efficient/quick as hierarchical or network
Chapter 5 Data Resource ManagementChapter 5 15
Database Development
Database Administrator (DBA)
In charge of enterprise database development
Improves the integrity and security of
organizational databases
Uses Data Definition Language (DDL) to
develop and specify data contents,
relationships, and structure
Stores these specifications in a data
dictionary or a metadata repository
Chapter 5 Data Resource ManagementChapter 5 16
Data Dictionary
A data dictionary
Contains data about data (metadata)
Relies on specialized software component to
manage a database of data definitions
It contains information on..
The names and descriptions of all types of
data records and their interrelationships
Requirements for end users’ access and use
of application programs
Database maintenance
Security
Chapter 5 Data Resource ManagementChapter 5 17
Database Development
Chapter 5 Data Resource ManagementChapter 5 18
Data Planning Process
Database development is a top-down process
Develop an enterprise model that defines the
basic business process of the enterprise
Define the information needs of end users in
a business process
Identify the key data elements that are
needed to perform specific business activities
(entity relationship diagrams)
Chapter 5 Data Resource ManagementChapter 5 19
Entity Relationship Diagram
Chapter 5 Data Resource ManagementChapter 5 20
Database Design Process
Data relationships are represented in a data model that
supports a business process
This model is the schema or subschema on which to
base…
The physical design of the database
The development of application programs to support
business processes
Logical Design
Schema - overall logical view of relationships
Subschema - logical view for specific end users
Data models for DBMS
Physical Design
How data are to be physically stored and
accessed on storage devices
Chapter 5 Data Resource ManagementChapter 5 21
Logical and Physical Database Views
Chapter 5 Data Resource ManagementChapter 5 22
Data Resource Management
Data resource management is a managerial activity
Uses data management, data warehousing,
and other IS technologies
Manages data resources to meet the information
needs of business stakeholders
Data stewards
Dedicated to establishing and maintaining the
quality of data
Need business, technology, and diplomatic skills
Focus on data content
Judgment is a big part of the job
Chapter 5 Data Resource ManagementChapter 5 23
Types of Databases
Chapter 5 Data Resource ManagementChapter 5 24
Operational Databases
Stores detailed data needed to support business
processes and operations
Also called subject area databases (SADB),
transaction databases, and production
databases
Database examples: customer, human
resource, inventory
Chapter 5 Data Resource ManagementChapter 5 25
Distributed Databases
Distributed databases are copies or parts of databases stored on
servers at multiple locations
Improves database performance at worksites
Advantages
Protection of valuable data
Data can be distributed into smaller databases
Each location has control of its local data
All locations can access any data, any where
Disadvantages
Maintaining data accuracy
Replication
Look at each distributed database and find changes
Apply changes to each distributed database
Very complex
Duplication
One database is master
Duplicate the master after hours, in all locations
Easier to accomplish
Chapter 5 Data Resource ManagementChapter 5 26
External Databases
Databases available for a fee from commercial
online services, or free from the Web
Example: hypermedia databases, statistical
databases, bibliographic and full text
databases
Search engines like Google or Yahoo are
external databases
Chapter 5 Data Resource ManagementChapter 5 27
Hypermedia Databases
A hypermedia database contains
Hyperlinked pages of multimedia
Interrelated hypermedia page elements,
rather than interrelated data records
Chapter 5 Data Resource ManagementChapter 5 28
Components of Web-Based
System
Chapter 5 Data Resource ManagementChapter 5 29
Data Warehouses
Stores static data that has been extracted from
other databases in an organization
Central source of data that has been cleaned,
transformed, and cataloged
Data is used for data mining, analytical
processing, analysis, research, decision support
Data warehouses may be divided into data marts
Subsets of data that focus on specific aspects
of a company (department or business process)
Chapter 5 Data Resource ManagementChapter 5 30
Data Warehouse Components
Chapter 5 Data Resource ManagementChapter 5 31
Applications and Data Marts
Chapter 5 Data Resource ManagementChapter 5 32
Data Mining
Data in data warehouses are analyzed to reveal
hidden patterns and trends
Market-basket analysis to identify new
product bundles
Find root cause of qualify or manufacturing
problems
Prevent customer attrition
Acquire new customers
Cross-sell to existing customers
Profile customers with more accuracy
Chapter 5 Data Resource ManagementChapter 5 33
Traditional File Processing
Data are organized, stored, and processed in
independent files
Each business application designed to use
specialized data files containing specific
types of data records
Problems
Data redundancy
Lack of data integration
Data dependence (files, storage devices,
software)
Lack of data integrity or standardization
Chapter 5 Data Resource ManagementChapter 5 34
Traditional File Processing
Chapter 5 Data Resource ManagementChapter 5 35
Database Management
Approach
The foundation of modern methods of managing
organizational data
Consolidates data records formerly in
separate files into databases
Data can be accessed by many different
application programs
A database management system (DBMS) is
the software interface between users and
databases
Chapter 5 Data Resource ManagementChapter 5 36
Database Management
Approach
Chapter 5 Data Resource ManagementChapter 5 37
Database Management System
In mainframe and server computer systems, a
software package that is used to…
Create new databases and database
applications
Maintain the quality of the data in an
organization’s databases
Use the databases of an organization to
provide the information needed by end users
Chapter 5 Data Resource ManagementChapter 5 38
Common DBMS Software
Components
Database definition
Language and graphical tools to define
entities, relationships, integrity constraints,
and authorization rights
Nonprocedural access
Language and graphical tools to access data
without complicated coding
Application development
Graphical tools to develop menus, data entry
forms, and reports
Chapter 5 Data Resource ManagementChapter 5 39
Common DBMS Software
Components
Procedural language interface
Language that combines nonprocedural access
with full capabilities of a programming language
Transaction processing
Control mechanism prevents interference from
simultaneous users and recovers lost data after
a failure
Database tuning
Tools to monitor, improve database performance
Chapter 5 Data Resource ManagementChapter 5 40
Database Management System
Database Development
Defining and organizing the content,
relationships, and structure of the data needed
to build a database
Database Application Development
Using DBMS to create prototypes of queries,
forms, reports, Web pages
Database Maintenance
Using transaction processing systems and
other tools to add, delete, update, and correct
data
Chapter 5 Data Resource ManagementChapter 5 41
DBMS Major Functions
Chapter 5 Data Resource ManagementChapter 5 42
Database Interrogation
End users use a DBMS query feature or report
generator
Response is video display or printed report
No programming is required
Query language
Immediate response to ad hoc data requests
Report generator
Quickly specify a format for information you
want to present as a report
Chapter 5 Data Resource ManagementChapter 5 43
Database Interrogation
SQL Queries
Structured, international standard query
language found in many DBMS packages
Query form is SELECT…FROM…WHERE…
Chapter 5 Data Resource ManagementChapter 5 44
Database Interrogation
Boolean Logic
Developed by George Boole in the mid-1800s
Used to refine searches to specific
information
Has three logical operators: AND, OR, NOT
Example
Cats OR felines AND NOT dogs OR
Broadway
Chapter 5 Data Resource ManagementChapter 5 45
Database Interrogation
Graphical and Natural Queries
It is difficult to correctly phrase SQL and other
database language search queries
Most DBMS packages offer easier-to-use,
point-and-click methods
Translates queries into SQL commands
Natural language query statements are similar
to conversational English
Chapter 5 Data Resource ManagementChapter 5 46
Graphical Query Wizard
Chapter 5 Data Resource ManagementChapter 5 47
Database Maintenance
Accomplished by transaction processing
systems and other applications, with the support
of the DBMS
Done to reflect new business transactions and
other events
Updating and correcting data, such as
customer addresses
Chapter 5 Data Resource ManagementChapter 5 48
Application Development
Use DBMS software development tools to
develop custom application programs
Not necessary to develop detailed data-
handling procedures using conventional
programming languages
Can include data manipulation language
(DML) statements that call on the DBMS to
perform necessary data handling
Chapter 5 Data Resource ManagementChapter 5 49
Chapter 6
Telecommunications
and Networks
James A. O'Brien, and George Marakas.
Management Information Systems with MISource
Learning Objectives
Understand the concept of a network
Apply Metcalfe’s law in understanding the value of a network
Identify major developments and trends in the industries,
technologies, and business applications of telecommunications
and Internet technologies
Provide examples of the business value of Internet, intranet, and
extranet applications
Identify the basic components, functions, and types of
telecommunications networks used in business
Explain the functions of major components of
telecommunications network hardware, software, media, and
services
Explain the concept of client/server networking
Understand the two forms of peer-to-peer networking
Explain the difference between digital and analog signals
Identify the various transmission media
Chapter 6 Telecommunications and Networks 2
Case 1 Wireless Mobile
Applications
Best Buy’s Geek Squad remains connected via
a Pocket PC phone
It connects wirelessly to Best Buy’s IT and
ordering system
It also have Web browsing capabilities, for
access to Google and Yahoo maps
Handwriting recognition software bypasses
small keyboard problem
Voice recognition is being tested
Chapter 6 Telecommunications and Networks 3
Case 1 Wireless Mobile
Applications
Biggest problems
Lack of application software
Reduced functionality of software that exists
Requires middleware to synchronize data
between back-end systems and the devices
Applications don’t always meet worker’s
needs
Chapter 6 Telecommunications and Networks 4
Case Study Questions
What are the business advantages and limitations of
the Best Buy Geek Squad’s use of their wireless
Pocket PC mobile devices?
How have they overcome the limitations?
What are the software development challenges of
wireless mobile devices?
How are MedStar Health and Unifi meeting
those challenges?
Why don’t the companies in this case use some of the
thousands of software packages available for their
wireless mobile devices?
What are the advantages and limitations of this
approach?
Chapter 6 Telecommunications and Networks 5
Network Concepts
A network is an interconnected or interrelated
chain, group, or system
The number of possible connections on a
network is N(N–1) or N2 –N
N = number of nodes (points of connection)
Example: 10 computers on a network =
10(10–1)
= 10x9 = 90 possible connections
Chapter 6 Telecommunications and Networks 6
Metcalfe’s Law
The usefulness, or utility, of a network equals
the square of the number of users
The more users on a network, the more useful
it becomes
Until critical mass is reached, a change in
technology only affects the technology
Once critical mass is attained, social, political,
and economic systems change
Example: The Internet is growing
exponentially. We can expect more value, for
less cost, virtually every time we log on.
Chapter 6 Telecommunications and Networks 7
Telecommunication Trends
Chapter 6 Telecommunications and Networks 8
Telecommunications-Based
Services
Chapter 6 Telecommunications and Networks 9
Internet Networking Technologies
Internet networking technologies are being
used as technology platform
Web browser suites
HTML Web page editors
Network management software
Firewalls
Being applied in Internet, intranet, and
extranet applications
Reinforces previous move toward client/server
networks based on open-systems architecture
Chapter 6 Telecommunications and Networks 10
Open Systems
Open systems use common standards for
hardware, software, applications, and networks
Internet networking technologies are a
common standard for open systems
Connectivity
Open systems provide greater connectivity
and network interoperability
Middleware may be needed to help diverse
systems work together
Chapter 6 Telecommunications and Networks 11
Middleware
Middleware
A general term for any programming that
mediates between two separate programs
Allows a particular database to access other
databases without custom programming
Commonly known as the “plumbing” of an
information system
It routes data and information between back-
end data sources and end user applications
An essential component of any IT
infrastructure
Chapter 6 Telecommunications and Networks 12
Digital Network Technologies
Telecommunications are being revolutionized by
switch from analog to digital
Analog: voice-oriented transmission
Digital: discrete pulse transmission
Benefits
Higher transmission speeds
Moves larger amounts of information
Greater economy and much lower error rates
Transmits multiple types of communications
(data, voice, video) on the same circuits
Chapter 6 Telecommunications and Networks 13
Wireless Technologies
Fiber-optic
Uses pulses of laser-generated light
Reduced size and installation effort
Vastly greater communication capacity
Faster transmission speeds
Freedom from electrical interference
Satellite Transmission
Can move massive quantities of data, audio,
and video over global networks
Especially useful in isolated areas
Chapter 6 Telecommunications and Networks 14
Business Application Trends
Telecommunications networks now play a vital
and pervasive role in Web-enabled…
E-business processes
Electronic commerce
Enterprise collaboration
Other applications that support operations,
management, and strategic objectives
Chapter 6 Telecommunications and Networks 15
Internet2
Next generation of the Internet
High-performance
Different infrastructure than the current
Internet
Will not replace the current Internet
In use at over 200 universities, scientific
institutions, communications corporations
May never become totally open
Users are connected via Abilene, a backbone
that supports throughput of 10 Gbps
Infinite bandwidth
Chapter 6 Telecommunications and Networks 16
Value of Telecommunications
Networks
Chapter 6 Telecommunications and Networks 17
The Internet Revolution
The Internet has become a global information
superhighway
Millions of smaller, private networks operating
independent of, or in harmony with, each
other
10 servers in 1991 to over 46 million today
Sustained growth in excess of 1 million
servers per month
No central computer system
No governing body
Based on common standards
Chapter 6 Telecommunications and Networks 18
Internet Service Providers
ISP
A company that specializes in providing easy
access to the Internet
For a monthly fee, provides software, user
name, password, and Internet access
ISPs themselves are connected to one another
through network access points
One ISP can easily connect to another to
obtain addresses of websites or user nodes
Chapter 6 Telecommunications and Networks 19
Internet Applications
Most popular Internet applications and uses
E-mail
Instant messaging
Browsing the Web
Newsgroups
Chat rooms
Publish opinions, subject matter, creative work
Buy and sell
Downloading (data, software, reports, pictures,
music, videos)
Chapter 6 Telecommunications and Networks 20
Business Use of the Internet
Chapter 6 Telecommunications and Networks 21
Business Value of the Internet
Chapter 6 Telecommunications and Networks 22
The Role of Intranets
Many companies have sophisticated and
widespread intranets, offering…
Detailed data retrieval
Collaboration
Personalized customer profiles
Links to the Internet
Intranets use Internet technologies
Web browsers and servers
TCP/IP network protocols
HTML publishing and databases
Chapter 6 Telecommunications and Networks 23
Intranets
Intranets are protected by…
Passwords
Encryption
Firewalls
Customers, suppliers, and other business
partners can access an intranet via extranet
links
Chapter 6 Telecommunications and Networks 24
Business Value of Intranets
Intranets support
Communications and collaboration
Business operations and management
Web publishing
Intranet portal management
Chapter 6 Telecommunications and Networks 25
Intranets as Information Portals
Chapter 6 Telecommunications and Networks 26
Extranets
Network links that use Internet technologies to
connect the intranet of a business to the
intranets of another
Virtual Private Networks
Direct private network links, or private secure
Internet links between companies
Unsecured Extranet
Link between a company and others via the
Internet, relying on encryption of sensitive
data and firewall security systems
Chapter 6 Telecommunications and Networks 27
Extranet Connectivity
Chapter 6 Telecommunications and Networks 28
Business Value of Extranets
Web browser technology makes customer and
supplier access to intranets easier and faster
Another way to build and strengthen strategic
relationships
Enables and improves collaboration between a
business, customers, and partners
Facilitates online, interactive product development
and marketing
Chapter 6 Telecommunications and Networks 29
Telecommunications Network
Alternatives
Telecommunications is a highly technical,
rapidly changing field
Most business professionals don’t need
detailed technical knowledge
However, understanding basic components
and their characteristics is necessary
Can help you make informed decisions about
telecommunications alternatives
Chapter 6 Telecommunications and Networks 30
Case 2 Wireless Sensor Networks
HP experimenting with wireless networked
sensors
Reinventing how companies manage the flow
of goods
Wireless sensor devices (motes) combine a
circuit board with networking and application
software
Powered by a pair of AA batteries
Mesh networking
Each device wakes for a fraction of a second
to transmit information to its nearest neighbor
Chapter 6 Telecommunications and Networks 31
Case 2 Wireless Sensor Networks
Other uses
Ground-sensor networks can detect illegal
crossings of people or vehicles
Monitoring of industrial plants and ships
Remotely adjusting lighting and heat
Testing soil for pollutants
Detecting chemical storage leaks
Monitoring vibration levels
Analyzing traffic patterns
Chapter 6 Telecommunications and Networks 32
Case Study Questions
What are some of the business benefits
associated with using wireless networks to collect
and transmit data?
What are some of the challenges being faced in
this use of wireless technologies?
What solutions can you offer?
The use of wireless networking as described in
the case is both innovative and functional.
What other business uses can you envision
for this approach?
Chapter 6 Telecommunications and Networks 33
Telecommunications Network Model
A telecommunications network is any
arrangement where
A sender transmits a message
To a receiver
Over a channel
Consisting of some sort of medium
Chapter 6 Telecommunications and Networks 34
Telecommunications Network
Components
Terminals
Any input/output device that uses networks
to transmit or receive data
Telecommunications processors
Devices that support data transmission,
reception
Telecommunications channels
Media over which data are transmitted,
received
Computers
All sizes and types
Chapter 6 Telecommunications and Networks 35
Telecommunications Network
Components
Telecommunications control software
Controls telecommunications activities
Manages the functions of telecommunications
networks
Includes network management programs of all
kinds
Telecommunications monitors (mainframes)
Network operating systems (network servers)
Web browsers (microcomputers)
Chapter 6 Telecommunications and Networks 36
Network Component Alternatives
Chapter 6 Telecommunications and Networks 37
Types of Communications
Networks
Primary types of communications networks
Wide Area
Local Area
Virtual Private
Client/Server
Peer-to-peer
Chapter 6 Telecommunications and Networks 38
Wide Area Network (WAN)
Telecommunication network that covers a large
geographic area
Chapter 6 Telecommunications and Networks 39
Local Area Network (LAN)
Connects
computers
within a limited
physical area,
such as an
office,
classroom, or
building
Chapter 6 Telecommunications and Networks 40
Virtual Private Networks (VPN)
Used to establish secure intranets and extranets
The Internet is the main backbone network
Relies on network firewalls, encryption, and
other security features to build a “pipe”
through the Internet
Creates a private network without the high
cost of a separate proprietary connection
Chapter 6 Telecommunications and Networks 41
Virtual Private Network
Chapter 6 Telecommunications and Networks 42
Client/Server Networks
Clients
End user personal computers or networked
computers
Servers
Used to manage the networks
Processing
Shared between the clients and servers
Sometimes called a two-tier architecture
Larger computer systems are being replaced with
multiple client/server networks
Chapter 6 Telecommunications and Networks 43
Client/Server Network
Chapter 6 Telecommunications and Networks 44
Network Computing
Networks are the central computing resource of
the organization
Thin clients provide a browser-based user
interface for processing applets
Thin clients include
Network computers
Net PCs
Other low-cost network devices or
information appliances
Chapter 6 Telecommunications and Networks 45
Network Computing
Application and database servers provide
The operating system
Application software
Applets
Databases
Database management software
Sometimes called a three-tier client/server
model because it consists of
Thin clients
Application servers
Database servers
Chapter 6 Telecommunications and Networks 46
Network Computing
Chapter 6 Telecommunications and Networks 47
Peer-to-Peer Networks
Central Server Architecture
P2P file-sharing software connects all PCs
to a central server
When a PC requests a file, the server
searches
all active peers on the network
The server sends the requesting PC a list of
links to all active peers who have the file
Clicking a link connects the two PCs and
automatically transfers the file to the
requesting PC
Chapter 6 Telecommunications and Networks 48
Peer-to-Peer Networks
Pure Peer-to-Peer Architecture
No central directory or server
File-sharing software connects one PC to
another online user
When you request a file, the software
searches every online user and sends you a
list of active file names
Clicking a link automatically transfers the file
from that user’s hard drive to yours
Chapter 6 Telecommunications and Networks 49
Central Server Peer-to-Peer
Networks
Advantages
Can better protect the integrity and security
of the content and users of the network
Disadvantages
Directory server can be slowed or
overwhelmed by too many users or technical
problems
Chapter 6 Telecommunications and Networks 50
Peer-to-Peer Network Diagrams
Chapter 6 Telecommunications and Networks 51
Digital and Analog Signals
Analog or digital refers to the method used to
convert information into an electrical signal
Analog: an electrical current is generated that
is proportional to the quantity being observed
Digital: the quantity being observed is
expressed as a number
Analog: if the temperature is 83 degrees, a
measuring device would generate 8.3 volts
Digital: a measurement of 83 degrees
would be displayed as the number 83
Chapter 6 Telecommunications and Networks 52
Telecommunications Media
Twisted-Pair Wire
Ordinary telephone wire
Copper wire is twisted
into pairs
Coaxial Cable
Sturdy copper or
aluminum wire wrapped
with spacers to insulate
and protect it
Fiber-Optic Cable
One or more hair-thin
filaments of glass
fiber wrapped in a
protective jacket
Chapter 6 Telecommunications and Networks 53
The Problem of “The Last Mile”
Network providers use fiber optic cable as a
communications backbone
Houses connected to the backbone are wired
with twisted pair
Users don’t benefit from the faster, better
technology
Chapter 6 Telecommunications and Networks 54
Wireless Technologies
Terrestrial Microwave
Earthbound microwave systems transmit
high-speed radio signals
Follows a line-of-sight path between relay systems
spaced about 30 miles apart
Communications Satellites
Serve as relay stations
Use microwave radio signals
Earth stations beam signals to the satellites
Not suitable for interactive, real-time processing
Chapter 6 Telecommunications and Networks 55
Wireless Technologies
Cellular and PCS Telephone and Pager Systems
Geographic areas are divided into cells
Each cell has a low-power transmitter or radio relay
antenna
Computers and other communications processors
coordinate and control the transmissions to and from
mobile users
Wireless LANS
Uses wireless radio-wave technology to
connect PCs within an office or a building
Can be high-frequency, similar to digital
cellular, or low frequency (spread spectrum)
Chapter 6 Telecommunications and Networks 56
Wireless Technologies
Bluetooth
Short-range wireless technology
Connects PCs to devices, such as a printer
Fairly low cost to implement
Other Wireless Systems
Cellular phones
Mobile radio
PDAs
Telecommunications networks now play vital and
pervasive roles in
Web-enabled e-business processes
Electronic commerce
Enterprise collaboration
Other applications that support business operations,
management, and strategic objectives
Chapter 6 Telecommunications and Networks 57
The Wireless Web
Wireless Internet access is growing as Web-
enabled information appliances proliferate
Smart telephones, pagers, PDAs
All are very thin clients in wireless networks
Chapter 6 Telecommunications and Networks 58
Telecommunications Processors
Modems
The most common type of communications
processor
Converts a digital signal to an analog
frequency that can be transmitted over phone
lines, then back into a digital signal
Modulation and demodulation
Chapter 6 Telecommunications and Networks 59
Comparing Technologies
Chapter 6 Telecommunications and Networks 60
Inter-Network Processors
Switch… makes connections between
telecommunications circuits in a network
Router… intelligent communications processor
that interconnects networks based on different
protocols
Hub… a port-switching communications
processor
Gateway… connects networks with different
communications architectures
Chapter 6 Telecommunications and Networks 61
Communications Processors
Chapter 6 Telecommunications and Networks 62
Communications Processors
Multiplexer… allows a single communications
channel to carry simultaneous data
transmissions from many terminals
In time division multiplexing (TDM), the
multiplexer divides the time each terminal can
use the high-speed into short time slots
Multiplexers increase the number of
transmissions possible
Does not increase the number of physical
data channels
Chapter 6 Telecommunications and Networks 63
Telecommunications Software
May reside in PCs, servers, mainframes, and
communications processors
Vital part of all telecommunications networks
Used to manage network performance
WANs often use telecommunications
monitors or teleprocessing monitors
Other networks use operating system
software
Middleware helps diverse networks
communicate with each other
Chapter 6 Telecommunications and Networks 64
Network Management Functions
Traffic Management
Manage network resources and traffic to
avoid congestion and optimize service levels
Security
Provide authentication, encryption, firewall, auditing,
and enforcement
Network Monitoring
Troubleshoot and watch over the network, alerting
administrators of potential problems
Capacity Planning
Survey network resources, traffic patterns, and users’
needs
Determine the best way to accommodate the needs
of the network as it grows and changes
Chapter 6 Telecommunications and Networks 65
Network Topologies
Topology - The structure of a network
Star Network - Ties end user computers to a central
computer
Ring Network - Ties local computer processors together
in a ring on a relatively equal basis
Bus Network - Local processors share the same
communications channel
Mesh Network - Uses direct communications lines to
connect some or all of the computers in the ring to
each other
Switch - A message-switching computer that handles
data communication between autonomous
local computers
Chapter 6 Telecommunications and Networks 66
Network Topologies
Chapter 6 Telecommunications and Networks 67
Network Architectures and
Protocols
Protocol
A standard set of rules and procedures for the control of
communications in a network
Handshaking
The process of exchanging predetermined
signals and characters
Establishes a telecommunications session between terminals
and computers
Network Architecture
Master plan of standard protocols, hardware, software, and
interfaces between end users
and computer systems
Goal is to promote an open, simple, flexible,
and efficient telecommunications environment
Chapter 6 Telecommunications and Networks 68
OSI and TCP/IP Models
Open Systems Interconnection (OSI) Model
A seven-layer model that serves as a
standard model for network architectures
Model for how messages should be
transmitted between two points in a network
Each layer adds functions
Transmission Control Protocol/Internet Protocol
(TCP/IP)
A five-layer telecommunications protocol used
by the Internet
Chapter 6 Telecommunications and Networks 69
OSI and TCP/IP Models
Chapter 6 Telecommunications and Networks 70
Voice Over IP
Internet Telephony
Using an Internet connection to pass voice
data using IP instead of a telephone network
Often referred to as voice over IP or VoIP
Works like a regular phone, but skips long-
distance charges
Runs over standard network infrastructure
Requires a well-configured network to work
smoothly
Chapter 6 Telecommunications and Networks 71
Bandwidth
Bandwidth
The frequency range of a telecommunications
channel that determines the maximum
transmission rate
Speed and capacity typically measured in bits
per second (bps)
Sometimes call baud rate
Transmission Rates
Narrow-band = low speed
Broadband = high speed
Chapter 6 Telecommunications and Networks 72
Transmission Speeds
Chapter 6 Telecommunications and Networks 73
Switching Alternatives
Circuit Switching
Switch opens a circuit to establish a link
between a sender and a receiver
It remains open until the communication
session is completed
Packet Switching
Breaks messages into groups called packets
Transmits packets separately
Chapter 6 Telecommunications and Networks 74
Network Interoperability
Ensures that anyone anywhere on one network
can communicate with anyone anywhere on
another network
From a telecommunications perspective, no
need to speak a common language
Telecommunications would be possible without
Complete accessibility
Transparency
Seamless interoperability across all networks
Chapter 6 Telecommunications and Networks 75
Case 3 Leading the Way for VoIP
VoIP works by
Digitizing a voice signal
Chopping it into packets
Sending them over a network or the Internet
Reassembling them at the destination
VoIP allowed the Minnesota Dept. of Labor
to cut its phone bill in half
Chapter 6 Telecommunications and Networks 76
Case Study Questions
What are the main benefits that can be gained
by companies that switch to VoIP systems?
What are some of the major cost factors that
may limit a positive rate of return from
investments in VoIP projects?
Should more companies switch to VoIP
systems?
Chapter 6 Telecommunications and Networks 77
Case 4 Serving Citizens with
Wireless
Earth Alert Emergency Management System in
Maryland provides
Devices to communicate warnings to
individuals before a disaster
Tools to collect timely information after a
disaster
Aurora, Colorado
Connects police and fire department vehicles
via wireless connections
Chapter 6 Telecommunications and Networks 78
Case Study Questions
What is the business value of advanced mobile
technologies in Maryland’s emergency
management services?
In what other government services could GPS
serve to provide business value?
As there disadvantages or risks associated with
the deployment of GPS systems to monitor the
location of people?
Chapter 6 Telecommunications and Networks 79