Essential Business IT Concepts: Data, Systems, & Projects

Posted on Jul 10, 2025 in Business Administration and Innovation Management

Data & Business Intelligence Fundamentals

Data, Information, & Business Intelligence

  • Four Primary Traits of Data Value
    1. Accuracy: Correct and reliable.
    2. Completeness: No missing values.
    3. Consistency: Same data, same format across systems.
    4. Timeliness: Up-to-date and available when needed.
  • Types of Data
    • Transactional Data: Supports daily tasks (e.g., sales receipts).
    • Analytical Data: Supports managerial decisions (e.g., trends).
  • Real-time Data: Immediate and up-to-date.
  • Data Quality Issues: Inconsistency, duplication, and errors.
  • Data Governance: Policies for data availability, integrity, and security.
  • Key Database Terminology
    • Database: Stores data about objects, people, or events.
    • DBMS: Software for creating and managing databases.
    • Entity: A data category (e.g., Customer).
    • Attribute: A data field (e.g., Name).
    • Primary Key: Uniquely identifies a record.
    • Foreign Key: Links tables together.
  • Relational Database Advantages
    • Increased flexibility, scalability, and performance.
    • Reduced redundancy, improved integrity, and enhanced security.

Business Intelligence Concepts

  • Business Intelligence (BI): Analyzes data for better decision-making.
  • Data Warehouse: Centralized storage for business decision-making.
  • ETL (Extract, Transform, Load): Process to load data into a data warehouse.
  • Data Mart: A subset of a data warehouse, focused on a specific business function.
  • Data Lake: Stores raw, unprocessed data in its native format.
  • Dirty Data: Flawed or inaccurate data.
  • Data Cleansing: The process of fixing or removing dirty data.
  • Data Visualization: Using graphs and charts to reveal data patterns.
  • Blockchain Technology
    • Distributed ledger technology.
    • Immutable records.
    • Includes concepts like hash, proof-of-work/stake, and genesis block.

Enterprise Applications & Business Systems

Supply Chain Management (SCM)

  • SCM Integration Types
    • Application, Data, Forward, Backward.
  • Enterprise Systems: Support company-wide business processes.
  • Supply Chain Activities: Plan, Source, Make, Deliver, and Return.
  • Three Main SCM Links
    1. Materials flow from suppliers.
    2. Transformation into products.
    3. Distribution to customers.
  • SCM Business Benefits
    • Reduced buyer power, increased switching costs, improved efficiency, and higher barriers to entry.
  • SCM Optimization Models
    1. Supply Chain Optimization.
    2. Inventory Optimization.
    3. Logistics Optimization.

Technologies Reinventing SCM

  • Blockchain in SCM: Improves visibility, reduces fraud, and supports traceability.
  • Smart Contracts: Self-executing contracts with rules stored on a blockchain.

CRM & ERP Systems

  • Customer Relationship Management (CRM)
    • Manages all customer interactions.
    • Increases customer loyalty, retention, and profits.
    • Utilizes RFM (Recency, Frequency, Monetary) for customer analysis.
  • Types of CRM
    • Operational CRM: Supports day-to-day front-office operations (e.g., sales, customer service).
    • Analytical CRM: Focuses on back-office analytics and customer trends.
  • CRM Technology Components
    • Reporting, analysis, and predictive tools.
    • Sales: Sales Force Automation (SFA), opportunity management.
    • Service: Call centers, self-service portals, scripting.
    • Marketing: List generators, cross-selling, and up-selling.
  • Enterprise Resource Planning (ERP)
    • Integrates all business functions into a unified system.
    • Improves decision-making with enterprise-wide data.
  • ERP System Components
    • Core Components: Accounting, Production, Human Resources.
    • Extended Components: CRM, SCM, Business Intelligence, E-business.
  • ERP Deployment Types
    • On-Premise, Cloud, Hybrid.

Systems Development & Project Management

Systems Development Life Cycle (SDLC)

Seven Phases of SDLC

  1. Planning: Define project goals and high-level scope.
  2. Analysis: Refine project goals and user requirements.
  3. Design: Define system features, layout, and rules.
  4. Development: Code and build the system.
  5. Testing: Debug and verify requirements.
  6. Implementation: Deploy the system and go live.
  7. Maintenance: Ongoing updates and improvements.

Software Development Methodologies

  • Waterfall: A sequential, phase-by-phase approach.
  • Agile: An iterative, customer-focused approach.
  • RAD (Rapid Application Development): Emphasizes rapid prototyping.
  • XP (Extreme Programming): Focuses on small, complete development phases.
  • RUP (Rational Unified Process): Structured with four gates (Inception, Elaboration, Construction, Transition).
  • Scrum: Utilizes sprints and daily stand-ups.

Project Management Essentials

Common Reasons for Project Failure

  • Poor requirements definition, skipped SDLC phases, scope creep, and unmanaged changes.

Project Feasibility Types

  • Economic, Operational, Schedule, Technical, Political, and Legal.

The Triple Constraint

Scope, Time, Cost: These three project constraints are all interdependent.

Key Project Management Terms

  • Project: A temporary effort to create a unique product, service, or result.
  • Project Manager: Oversees project planning and execution.
  • Deliverable: A measurable outcome or tangible result.
  • Milestone: A key timeline point indicating significant progress.
  • PMO (Project Management Office): An organizational unit that centralizes and coordinates project management.
  • Stakeholder: Any individual or group affected by the project.
  • Executive Sponsor: Provides project funding and high-level support.

Project Planning Diagrams

  • PERT Chart (Program Evaluation Review Technique): Shows task dependencies and the critical path.
  • Gantt Chart: Provides a timeline overview of project tasks.
  • WBS (Work Breakdown Structure): Breaks down project goals into manageable tasks.

Outsourcing Models

  • Insourcing: Internal development within the organization.
  • Onshore Outsourcing: Outsourcing to a domestic company.
  • Nearshore Outsourcing: Outsourcing to a company in a nearby country.
  • Offshore Outsourcing: Outsourcing to a company in a distant country, often for lower costs (e.g., India, China).