Management Information Systems: Managing the Digital Firm
Chapter 7
Telecommunications, the Internet, and Wireless Technology
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Wireless Technology Makes Dundee Precious Metals Good as Gold
• Problem: Inefficient manual processes; large
production environment
• Solutions: Deploy Wi-Fi network, RFID and
AeroScout tracking to monitor materials, staff in
real time, optimize transportation, and expedite
communication
• Demonstrates use of technology in production to
increase efficiency and lower costs and improve
safety
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Figure 7.1: Components of a Simple
Computer Network
Illustrated here is a very simple computer network, consisting of computers, a network operating system residing on a dedicated server computer,
cabling (wiring) connecting the devices, network interface cards (NIC), switches, and a router.
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Key Digital Networking Technologies (1 of
3)
• Client/server computing
– Distributed computing model
– Clients linked through network controlled by network server
computer
– Server sets rules of communication for network and provides
every client with an address so others can find it on the network
– Has largely replaced centralized mainframe computing
– The Internet: largest implementation of client/server computing
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What Is a Computer Network?
• Two or more connected computers
• Major components in simple network
– Client and server computers
– Network interfaces (NICs)
– Connection medium
– Network operating system (NOS)
– Hubs, switches, routers
• Software-defined networking (SDN)
– Functions of switches and routers managed by central
program
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What exactly is Software Defined
Networking?
• Software-Defined Networking (SDN) is
a network architecture approach that enables
the network to be intelligently and centrally
controlled, or 'programmed,'
using software applications. This helps operators
manage the entire network consistently and
holistically, regardless of the
underlying network technology.
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Networks in Large Companies
• Hundreds of local area networks (LANs) linked to
firm-wide corporate network
• Various powerful servers
– Website, corporate intranet, extranet
– Backend systems
• Mobile wireless LANs (Wi-Fi networks)
• Videoconferencing system
• Telephone network, wireless cell phones
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Networking and Communication Trends
• Convergence
– Telephone networks and computer networks converging into
single digital network using Internet standards
• Broadband
– As of April 2019; the percentage of internet users in Pakistan is
approximately 33.14%, which translates into approximately 70
million citizens having access to internet
– More than 74 percent U.S. Internet users have broadband access
• Broadband wireless
– Voice, data communication are increasingly taking place over
broadband wireless platforms
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Figure 7.2: Corporate Network
Infrastructure
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Key Digital Networking Technologies
• Packet switching
– Method of slicing digital messages into parcels (packets), sending
packets along different communication paths as they become
available, and then reassembling packets at destination
– Previous circuit-switched networks required assembly of complete
point-to-point circuit
– Packet switching more efficient use of network’s communications
capacity
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Figure 7.3: Packet-Switched Networks and
Packet Communications
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Key Digital Networking Technologies (3 of
3)
• TCP/IP and connectivity
– Protocols: rules that govern transmission of information between
two points
– Transmission Control Protocol/Internet Protocol (TCP/IP)
Common worldwide standard that is basis for the Internet
– Department of Defense reference model for TCP/IP
Four layers
– Application layer
– Transport layer
– Internet layer
– Network interface layer
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Figure 7.4: The Transmission Control
Protocol/Internet Protocol (TCP/IP)
Reference Model
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Types of Networks
• Signals: Digital versus analog
– Modem: translates digital signals into analog form (and vice versa)
• Types of networks
– Local area networks (LANs)
Ethernet
Client/server vs. peer-to-peer
– Wide area networks (WANs)
– Metropolitan area networks (MANs)
– Campus area networks (CANs)
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• LAN (Local Area Network): a telecommunications
network that is designed to connect personal computers
and other digital devices within a half-mile or 500-meter
radius. LANs typically connect a few computers in a small
office, all the computers in one building, or all the
computers in several buildings in close proximity. LANs
require their own dedicated channels.
• MAN (Metropolitan Area Network): a network that spans
a metropolitan area, usually a city and its major suburbs.
Its geographic scope falls between a WAN and a LAN.
• WAN (Wide Area Network): spans broad geographical
distances – entire regions, states, continents, or the entire
globe. The most universal and powerful WAN is the
Internet. Computers connect to a WAN through public
networks, such as the telephone system or private cable
systems, or through leased lines or satellites.
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Figure 7.5: Functions of the Modem
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Transmission Media and Transmission
Speed
• Physical transmission media
– Twisted pair wire (CAT5)
– Coaxial cable
– Fiber optics cable
– Wireless transmission media and devices
Satellites
Cellular systems
• Transmission speed
– Bits per second (bps)
– Hertz
– Bandwidth
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What Is the Internet?
• The Internet
– World’s most extensive network
– Internet service providers (ISPs)
Provide connections
Types of Internet connections
– Dial-up: 56.6 Kbps
– Digital subscriber line (DSL/ Fiber Optic Service ): 385 Kbps–40 Mbps
– Cable Internet connections: 1–50 Mbps
– Satellite
– T1/T3 lines: 1.54–45 Mbps
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Internet Addressing and Architecture
• Each device on Internet assigned Internet
Protocol (IP) address
• 32-bit number, e.g. 207.46.250.119
• The Domain Name System (DNS)
– Converts IP addresses to domain names
– Hierarchical structure
– Top-level domains
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Figure 7.6: The Domain Name System
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Internet Architecture and Governance
• Network service providers
– Own trunk lines (high-speed backbone networks)
• Regional telephone and cable TV companies
– Provide regional and local access
• Professional organizations and government
bodies establish Internet standards
– Internet Architecture Board (IAB) is "a committee of the Internet
Engineering Task Force
– Internet Corporation for Assigned Names and Numbers (ICANN)
– World Wide Web Consortium (W3C)
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Figure 7.7: Internet Network Architecture
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Interactive Session: Organizations: The
Battle Over Net Neutrality
• Class discussion
– What is net neutrality? Why has the Internet operated under net
neutrality up to this point?
– Who’s in favor of net neutrality? Who’s opposed? Why?
– What would be the impact on individual users, businesses, and
government if Internet providers switched to a tiered service
model for transmission over landlines as well as wireless?
– It has been said that net neutrality is the most important issue
facing the Internet since the advent of the Internet. Discuss the
implications of this statement.
– Are you in favor of legislation enforcing network neutrality? Why or
why not?
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The Future Internet: IPv6 and Internet 2
• IPv6
– New addressing scheme for IP numbers
– Will provide more than a quadrillion new addresses
– Not compatible with current IPv5 addressing
• Internet2
– Advanced networking consortium
Universities, businesses, government agencies, other institutions
– Developed high-capacity 100 Gbps testing network
– Testing leading-edge new technologies for Internet
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IP Address - IPv4 vs IPv6 Tutorial
• https://youtu.be/ThdO9beHhpA
• What is an IP address? This video is a tutorial that
explains the difference between IP address IPv4 and
IPv6 addressing and how to convert it to a binary
number is also explained.
• The reason is that the IPv5 doesn't exist. ... It was planned as a streaming
protocol, and it got to its second version ST2. Its packets had the IP version
5 ID but eventually died as a draft. To evade confusion, the next protocol
was named IPv6.
• IP Address - IPv4 vs IPv6 (Differences) Tutorial
• https://youtu.be/ThdO9beHhpA
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Internet Services and Communication Tools
(1 of 2)
• Internet services
– E-mail
– Chatting and instant messaging
– Newsgroups
– Telnet
– File Transfer Protocol (FTP)
– World Wide Web
• Voice over IP (VoIP)
– Digital voice communication using IP, packet switching
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Figure 7.8: Client/Server Computing on
the Internet
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Internet Services and Communication Tools
(2 of 2)
• Unified communications
– Communications systems that integrate voice, data, e-mail,
conferencing
• Virtual private network (VPN)
– Secure, encrypted, private network run over Internet
– Point-to-Point Tunneling Protocol (PPTP)
– Tunneling
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Figure 7.9: How Voice over IP Works
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Interactive Session: Management:
Monitoring Employees on Networks:
Unethical or Good Business?
• Class discussion
– Should managers monitor employee e-mail and Internet usage?
Why or why not?
– Describe an effective e-mail and web use policy for a company.
– Should managers inform employees that their web behavior is
being monitored? Or should managers monitor secretly? Why or
why not?
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Figure 7.10: A Virtual Private Network
Using the Internet
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The Web
• Hypertext
– Hypertext Markup Language (HTML)
– Hypertext Transfer Protocol (HTTP):
– Uniform resource locator (URL):
http://www.megacorp.com/content/features/082602.html
• Web servers
Software for locating and managing web pages
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Searching for Information on the Web (1 of
2)
• Search engines
– Google’s PageRank System
• Mobile search
• Semantic search
• Social search
• Visual search and the visual web
– Tagging
– Pinterest
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Semantic search (Cont.)
• Semantic search seeks to
improve search accuracy by understanding the
searcher's intent and the contextual meaning of
terms as they appear in the searchable
dataspace, whether on the Web or within a closed
system, to generate more relevant results.
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Searching for Information on the Web (2 of
2)
• Intelligent agent shopping bots
• Search engine marketing
• Search engine optimization (SEO)
• Search engine algorithms
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Figure 7.11: Top U.S. Web Search Engines
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Figure 7.12: How Google Works
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Web 2.0 (1 of 2)
• Second-generation services
• Enabling collaboration, sharing information, and
creating new services online
• Features
– Interactivity
– Real-time user control
– Social participation (sharing)
– User-generated content
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Web 2.0 (2 of 2)
• Blogs: chronological, informal websites created by
individuals
• Wikis: collaborative websites where visitors can
add, delete, or modify content on the site
• Social networking sites: enable users to build
communities of friends and share information
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Web 3.0 and the Future Web
• Refers to a supposed third generation of Internet-
based services that collectively comprise what
might be called 'the intelligent Web'
– More tools to make sense of trillions of pages on the Internet
– Internet of Things
– Increased cloud computing and SaaS
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Cellular Systems
• Competing standards
– CDMA: (Code-Division Multiple Access)
United States only
– GSM: (Global System for Mobile Communications)
• Third-generation (3G) networks
– 144 Kbps
– Suitable for e-mail access, web browsing
• Fourth-generation (4G) networks
– Up to 100 Mbps
– Suitable for Internet video
– LTE and WiMax
Fifth-generation (5G) networks
• Increase data communication speeds by up to three times compared to
its predecessor, 4G
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Wireless Computer Networks and Internet
Access
• Bluetooth (802.15)
– Links up to 8 devices in 10-m area using low-power, radio-based
communication
– Useful for personal networking (PANs)
• Wi-Fi (802.11)
– Set of standards: 802.11
– Used for wireless LAN and wireless Internet access
– Use access points: device with radio receiver/transmitter for
connecting wireless devices to a wired LAN
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Wireless Computer Networks and Internet Access
• Wi-Fi (cont.)
– Hotspots: one or more access points in public place to provide maximum
wireless coverage for a specific area
– Weak security features
• WiMax (802.16)
– Wireless access range of 31 miles
– Require WiMax antennas
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Wireless Computer Networks and
Internet Access
• EVDO (Enhanced Voice, Data Only)
– Is a protocol is used to establish high speed broadband
connectivity to your PC or mobile device to obtain an always-on
connection which is capable of working at speeds close to those
of a (DSL) connection.
– Extension of CDMA 2000 standard.
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Figure 7.13: A Bluetooth Network (PAN)
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Figure 7.14: An 802.11 Wireless LAN
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Radio Frequency Identification (RFID)
• Use tiny tags with microchips containing data
about an item and location
• Tag antennas to transmit radio signals over short
distances to special RFID readers
• Common uses:
– Automated toll-collection
– Tracking goods in a supply chain
• Reduction in cost of tags making RFID viable for
many firms
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Figure 7.15: How RFID Works
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Wireless Sensor Networks (WSNs)
• Networks of hundreds or thousands of interconnected
wireless devices
• Used to monitor building security, detect hazardous
substances in air, monitor environmental changes, traffic,
or military activity
• Devices have built-in processing, storage, and radio
frequency sensors and antennas
• Require low-power, long-lasting batteries and ability to
endure in the field without maintenance
• Major sources of “Big Data” and fueling “Internet of Things”
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Figure 7.16: A Wireless Sensor Network
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Telecommunications Plan
Just as you plan for new opportunities in other areas of your company, you should have a
telecommunications plan that spells out how technology can enhance your operations, increase
your competitiveness and meet your customers’ needs and wants. Approaching enterprise
networking haphazardly will cost you time and money. Where do you start? First, inventory your
current equipment, your current processes, and your current needs. Determine where you are
before you try to figure out where you’re going. Then investigate opportunities your organization
can take advantage of using networking technologies.
Your plan should mesh with your overall business plan to provide support for your organization.
Compare where you are presently in your core business processes and where you want to go.
How well does your telecommunications plan meet your business needs? You might be
surprised to find through careful analysis and comparison that the two conflict.
Finally, take a look at the potential for telecommunications to affect your organization. By giving
your sales force better networking equipment, could you reduce the time it takes to process an
order? If you increase the efficiency of your network, is it possible to increase the number of
loan applications processed by each employee?
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Implementing the Plan
Now that you know where you’re going, how are you going to get there?
• 1. Determine the necessary topology: LAN, WAN…..
• 2. Determine the type of services offered: Voice mail, email, teleconferencing, data conferencing
• 3. Determine the type and level of security
• 4. Determine the accessibility: multiple access for a thousand workers or limited access for a small
number
• 5. Determine the utilization
• 6. Determine the cost: include development, operations, maintenance, expansion, and overhead
• 7. Determine the installation difficulties: transmission media, hardware and software
• 8. Determine the connectivity standards: getting all the pieces to work together
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