Information Technology for Management

Chapter 5:

Per OxyChem’s Cloud Computing Formula for Success:

Problem

  • Loss of IT infrastructure from divestiture

  • Limited time frame and resources

  • Inadequate in-house IT staff

Solutions

  • Managed cloud infrastructure

  • On-demand, scalable services

-Illustrates use of cloud computing to improve effectiveness and control costs. 

Infrastructure Components:

IT infrastructure:

  • Platform for supporting all information systems in the business

-Computer hardware, Computer software, Data management technology, Networking and telecommunications technology, and Technology services

Types of Computers:

  • Personal computers and mobile devices, Workstations, Servers, Mainframes, Supercomputers, and Grid computing

Client/Server Computing:

  • Form of distributed computing 

  • Splits processing between “clients and servers”

  • Two-tiered client/server architecture

  • Multi-tiered client/server architecture (N-tier): Web servers & Application servers

Storage, Input and Output Technology:

-Primary secondary storage technologies: Magnetic disk (SSD’s), Optical disks, Magnetic tape, & Storage Networking: SANs

-Input devices (i.e. Keyboard) and Output devices (i.e.Monitor)

Contemporary Hardware Trends:

-The mobile digital platform (i.e. Tablet computers/netbooks)

-Consumerization of IT and BYOD

-Nanotechnology and quantum computing

-Virtualization (i.e. Software-defined storage (SDS))

Cloud Computing:

-Computing resources obtained over the Internet

  • Infrastructure as a service (IaaS)

  • Software as a service (SaaS)

  • Platform as a Service (PaaS)

-Public vs Private clouds

-Utility computing, on-demand computing

-Hybrid Cloud

-Data storage security is in hands of the provider

Green Computing:

  • Green IT

  • Practices and technologies for minimizing impact on environment

High-performance and power-saving processors:

  • Multicore processors

  • Reduced power consumption

Operating System Software:

  • Software that controls computer activities

  • GUIs

  • Multitouch

  • PC operating systems (Windows, Mac, UNIX, Linux (Open Source))

  • Mobile Operating systems (Chrome, Android, iOS)

Application Software and Desktop Productivity Tools

Software packages and desktop productivity tools:

  • Word processing software, Spreadsheet software, Data management software, Presentation graphics, Software suites and Web browsers

HTML and HTML5:

Hypertext markup language (HTML):

  • Page description language for specifying how elements is placed on a web page and for creating links to other pages and objects

HTML5:

  • Next evolution of HTML

  • Enables multimedia embedding without 3rd party plugins like Flash

Web Services:

  • Software components that exchange information with one another using universal web communication standards and languages

  • XML (eXtensible Markup Language): foundation of webservices

  • Service oriented architecture (SOA): collection of services used to build an organization’s software systems

Software Trends:

-Open-source software: (Linux, Apache)

-Cloud-based software and tools: (SaaS (software as a service) & Google Docs)

-Mashups: (Zip Realty uses Google Maps and Zillow.com)

-Apps: (Mobile Apps)

Capacity Planning and Scalability:

-Capacity Planning

  • Predicting when hardware system becomes saturated

  • Ensuring computing power for current and future needs

  • Factors include:

  • Maximum number of users

  • Impact of current, future software

  • Performance measures

-Scalability

  • Ability of system to expand to serve large number of users without breaking down.

Total Cost of Ownership (TCO) model:

-Analyzing direct and indirect costs to determine the actual cost of owning a specific technology

  • Direct costs: hardware, software purchase costs

  • Indirect costs: ongoing administration costs, upgrades, maintenance, etc.

  • Hidden costs: support staff, downtime, etc.

-TCO can be reduced through increased centralization, standardization of hardware and software resources. 

Using Technology Service Providers:

-Outsourcing

  • Using external provider to run computer center and networks

  • Web hosting service

  • Offshore software outsourcing

  • Service level agreements (SLAs)

-Using cloud services

  • Appealing to businesses with smaller IT budgets

  • Pricing is per hour, per-use

  • Switching costs

Managing Mobile Platforms:

  • Mobile devices provide productivity gains

  • Expenses of equipping employees with devices

  • Network configuration

  • Software

  • Device security

  • Stolen or compromised devices

  • Mobile device management (MDM) software

Managing Software Localiztion for Global Business:

-Software localization

  • Local language interfaces

  • Complex software interfaces

-Differences in local cultures

-Differences in business processes

-These factors add to TCO of using technology service providers

Chapter 6

What is a database?

-Database:Collection of related filescontaining records on people,places or things.

-Entity:Generalized categoryrepresenting person,place or thing (i.e. SUPPLIER, PART)

-Attributes:

  • Specific characteristics of each entity:

  • SUPPLIER name, address

  • PART description, unit price, supplier

Relational Databases:

-Organize data into two-dimensional tables (relations) with columns and rows.

-One table for each entity:

  • i.e. (CUSTOMER, SUPPLIER, PART, SALES)

  • Fields (columns) store data representing an attribute

  • Rows store data for separate records, or tuples.

-Key field: uniquely identifies each record.

-Primary key

Establishing Relationships:

-Entity-relationship diagram: Used to clarify table relationships in a relational database.

-Relational database tables may have:

  • One-to-one relationship

  • One-to-many relationship

  • Many-to-many relationship: (Requires “join table” or intersection relation that links the two tables to join information).

-Normalization

  • Streamlining complex groups of data

  • Minimizes redundant data elements

  • Minimizes awkward many-to-many relationships

  • Increases stability and flexibility

-Referential integrity rules

  • Ensure that relationships between coupled tables remain consistent

Database Management Systems (DBMS):

-Software for creating, storing, organizing, and accessing data from a database.

-Separates the logical and physical views of the data.

  • Logical view: how end users view data

  • Physical view: how data are structured and organized.

-Examples: Microsoft Access, DB2, Oracle Database, Microsoft SQL Server, MySQL

Operations of a Relational DBMS:

-Select:Creates a subset of all records meeting stated criteria

-Join:Combines relational tables to present the server with more information than is available from individual tables

-Project:Creates a subset consisting of columns in a table & permits user to create new tablescontaining only desired information

Capabilities of Database Management Systems:

-Data definition capabilities:Specify structure of content of database

-Data Dictionary:Automated or manual file storing definitions of data elements and their characteristics

-Querying and reporting:Data manipulation language

-Structured query language (SQL)

– Microsoft Access query-building tools

  • Report generation, i.e. Crystal Reports

Non-relational databases:

– “NoSQL”

-Handle large data sets of data that are not easily organized into tables, columns, and rows

-Use more flexible data model: (Don’t require extensive structuring)

-Can manage unstructured data, such as social media and graphics

-i.e. Amazon’s Simple DB, MetLife’s Mongo DB

Cloud Databases and Distributed Databases:

-Relational database engines provided by cloud computing services

  • Pricing based on usage

  • Appeal to small or medium-sized businesses

-Amazon Relational Database Service

  • Offers MySQL, Microsoft SQL Server, Oracle Database engines

-Distributed databases

  • Stored in multiple physical locations

  • Google’s Spanner cloud service

The Challenge of Big Data:

-Massive quantities of unstructured and semi-structured data from Internet and more

  • 3Vs: Volume, variety, velocity

  • Petabytes and exabytes

-Big datasets offer more patterns and insights than smaller datasets (i.e. Customer behavior, weather patterns)

-Requires new technologies and tools

Business Intelligence Infrastructure:

-Array of tools for obtaining useful information from internal and external systems and big data

  • Data Warehouses

  • Data Marts

  • Hadoop

  • In-memory computing

  • Analytical platforms

Data Warehouses:

-Data warehouse:Database that stores current and historical data that may be of interest to decision makers.

  • Consolidates and standardizes data from many systems, operational and transactional databases

  • Data can be accessed but not altered

-Data mart:Subset of data warehouses that is highly focused and isolated for a specific population of users.

-Hadoop:Open-source software framework for big data

  • Breaks data task into sub-problems and distributes the processing to many inexpensive computer processing nodes.

  • Combines result into smaller data set that is easier to analyze.

  • Key Services: Hadoop Distributed File System (HDFS)

-In-Memory Computing:

  • Relies on computer’s main memory (RAM) for data storage

  • Eliminates bottlenecks in retrieving and reading data

  • Dramatically shortens query response times

  • Enabled by high-speed processors, multicore processing

  • Lowers processing costs

Analytic Platforms:

  • Preconfigured hardware-software systems

  • Designed for query processing and analytics

  • Use both relational and non-relational technology to analyze large data sets

  • Include in-memory systems, NoSQL DBMS

  • i.e. IBM Pure Data System for Analytics (integrated database, server, storage components).

  • Data lakes

Analytical Tools: Relationships, Patterns, Trends

  • Once data is gathered, tools are required for consolidating, analyzing, and to use insights to improve decision making.

  • Software for database querying and reporting

  • Multidimensional data analysis (OLAP)

  • Data mining

Online Analytical Processing (OLAP)

-Supports multidimensional data analysis, enabling users to view the same data in different ways using multiple dimensions.

  • Each aspect of information—product, pricing, cost, region, or time period—represents a different dimension

  • i.e. comparing sales in East in June versus May and July

-Enables users to obtain online answers to ad hoc questions like these quickly.

Data Mining:

-Finds hidden patterns and relationships in large databases and infers rules from them to predict future behavior.

-Types of information obtainable from data mining:

  • Associations: occurrences linked to a single event

  • Sequences: events linked over time

  • Classifications: patterns describing a group an item belongs to

  • Clustering: discovering yet unclassified groupings

  • Forecasting: uses series of values to forecast future values

Text Mining:

  • Unstructured data (mostly text files) accounts for 80 percent of an organization’s useful information.

  • Text mining allows businesses to extract key elements from, discover patterns in and summarize large unstructured data sets.

  • Sentiment analysis: mines online text comments online or in email to measure customer sentiment.

Web Mining:

-Discovery and analysis of useful patterns and information from the web.

  • i.e. to understand customer behavior, evaluate website, quantify success of marketing.

-Content mining: mines content of websites

-Structure mining: mines website structural elements such as links

-Usage mining: mines user interaction data gathered by web servers

Databases and the Web:

-Firms use the web to make information from their internal databases available to customers and partners.

-Middleware and other software make this possible

  • Web server

  • Application servers or CGI

  • Database server

-Web interfaces provide familiarity to users and savings over redesigning legacy systems.

Establishing an Information Policy:

-Information policy:States organization’s rules for organizing, managing,storing and sharing information

-Data administration:Responsible for specific policies and procedures through which data can be managed as a resource.

-Database administration:Database design and management group responsible for defining and organizing the structure and the content of the database andmaintaining the database.

Ensuring Data Quality:

-Poor data quality: major obstacle to successful customer relationship management.

-Data quality problems caused by:

  • Redundant and inconsistent data produced by multiple systems.

  • Data input errors

-Data quality audit

-Data cleansing