information system notes.pdf

8/14/2019 INFORMATION SYSTEM NOTES.pdf

1/40

ELECTRONIC DATA INTERCHANGE: (EDI)"Electronic exchange of business documents over the internet and other network

between supply chain trading partners in standardized EDI format with complete

automation through direct links".

1) In EDI business documents other than monetary instruments are sent electronically.

2) Documents are sent in a standardized EDI format.3) Documents are sent with complete automation through direct links.

4) EDI has following benefits:

EDI is still a popular data transmission format. EDI is very reliable. EDI is time saving & accurate. EDI automatically tracks data, trigger orders, invoices & other documents

related to transactions and confirms delivery & payment.

E-COMMERCE:"Buying & selling of goods and services is called e-commerce".

1) E-commerce has following Tasks:

Inform a customer about a product. Provide detailed information about the product. Establish the customer's requirement. Perform purchase transaction. Provide the product electronically if it is such of nature. Provide customer support electronically.

2) E-commerce has following Advantagesfor e-business:

Barrier to entry are low. (in e-commerce anyone can easily enter inbusiness)

Reaching global market. Monitoring customer's buying habit & interests. Mass customization / Personalized products and services Providing better customer support. Reducing inventory management cost. Reducing cost of establishing store front. Reducing labour cost. Reducing advertising cost.

3) E-commerce has following Risks:

Security riskis how your site responds to a security threat when avirus or hacker tries to destroy your site.

Scalabilityis concerned about the size of your site that how manyconnections it can handle at a time. Confidentialityis concerned about the protection of information; a

potential customer hesitates to provide sensitive information online &

requires information protection.

Availability means in case of any interruption site can handle theoperations and server must be online & accessible from anywhere at

anytime. (i.e. 24/7)

Authenticationmeans that there must be an authentication processbefore placing an order, after authentication, e-commerce businesses

execute the order that is placed by customers online.

Page 1


2/40

Performance means whether the response of the site to a customerrequest is timely or it reacts erratically. Performance of the site matters

so it must be monitor properly for better experience.

E-COMMERCE ARCHITECTURE:

"Logical & structural layout of e-commerce is called e-commerce architecture".It has many types:

1) In two-tier architecturethe client is tier 1and the server is tier 2. A two-tier

system directs communications between the client on the internet such as a web

browser and the web server on the other end. In this mode, a user types a URL or

clicks a link on a web page, the browser then formats the request into HTTP message

and passes to the internet, web server receives the request locates the requested web

page and formats it into HTTP message and sends it back to that particular browser.

Client BrowserWeb Server

2) In three-tierarchitecture the first tier is the client, the second tier is the server,

and the third tier is a database server running in different computer. When a clientrequest a web page from the server, server interprets it, and if the web server needs to

get services from a database, it accesses the database, collects necessary data, and

returns the data formatted in HTML to the client.

Client BrowserWeb ServerDatabase Server

3) N-tier architecture system depends on multiple computer platforms; its working

is described below with the help of a diagram:

Page 2


3/40

E-COMMERCE PROCESS (9 steps):

E-BUSINESS:E-business is defined as "performing & coordinating critical business processes

through the extensive use of business".

1) E-business includes e-commerce but also includes internal processes such asproduction, inventory management, risk management, finance management &

resource management, etc.

2) E-business depends on intranet (the internet like networks inside the company)& extranet (the internet like networks between a company and other company)

to:

Make better internal processes. Implement better e-commerce system among businesses and customers

& suppliers.

Promote enterprise collaboration among business teams.3) Three primary processesare enhanced in e-business:

Production processes,which are procurement, ordering &maintenance of stock, payment processing and e-links with suppliers.

Customer-focused processes, which are promotion, marketing &selling efforts over internet, customer services etc.

Internal management processes, which are employee training,information sharing services and recruiting.

E-BUSINESS MODELS:There are six (06) Modelsof E-Business.

1) Business to business (B2B)is e-commerce between businesses. It is mostreliable, secure and fastest growing type of e-commerce. 80% of total e-

commerce relates to B2B having two primary components:

E-frastructureis the architecture of B2Bi.e. logistics, applicationservice providers & outsourcing of functions in e-commerce process.

Page 3


4/40

E-marketis a website where buyers & sellers interact and conducttransactions.

2) Business to consumer (B2C)is e-commerce between a business & aconsumer. It is second largest & earliest type of e-commerce. Examples are

amazone.com & beyond.com

3) Business to employee (B2E)is e-commerce between a business & anemployee. Examples are online insurance policy management & online supplyrequest.

4) Business to government (B2G)is e-commerce between a business &government or public sector.

5) Government to consumer (G2C)is e-commerce relation betweengovernment & consumer.

6) Consumer to consumer (C2C)is e-commerce relation between consumers.Example is olx.com.

E-BUSINESS SOFTWARES:

CRM SOFTWARE (Customer Relationship Management software)SCM SOFTWARE (Supply Chain Management software)

ERP SOFTWARE (Enterprise Resource Planning software)

EAI SOFTWARE (Enterprise Application Integration software)

CRM SOFTWARE: (Customer Relationship Management Software)"A customer-centric cross functional enterprise system that integrates and automates

many of the customers serving processes in sale, marketing and product services that

interact with a companys customers, it also integrates these processes with the rest of

the operations of the company".

1) CRM software has (05) basicComponents:A) Customer services and supportB) Retention and loyalty programsC) Contact and account managementD) Sale

Cross-Selling (Main product + Accessories supplies tocustomer)

Up-Selling (Not required by the customers but to increasecompany profit)

E) Marketing and Fulfilment2) CRM software has three (03)Phases:

Acquire Company relies on CRM software to get new customersby superior job of contact management.

Enhance Company relies on CRM management and customerservices and support tools to keep customers happy by providing

superior services from responsive networked teams of sales and

services to enhance profitability.

Retain relies on CRM analytical software and databaseto give reward to its loyal and profitable customers to retain them & to

expand their business.

3) CRM software has following Benefits: Identify and target the best customers. Personalization & customization of products and services. Track customer contacts.

Page 4


5/40


6/40

SCM SOFTWARE: (Supply Chain Management software)"Supply chain management software (SCMS) is a collective set of tools used to add

value through management of the procurement & other supply chain processes from

initiation of requirement to delivery of goods and services".

1) SCM have five (05) main Components: Customer requirement processing Accurate order processing Inventory management Timely order fulfilment Production logistics

2) SCM helps a company to get the right products to the right place at the righttime in the proper quantity and at an acceptable cost.

3) The goal of SCM software is to manage the concerned process efficiently byforecasting demand, controlling inventory, enhancing the network of business

relationship a company has with customers, suppliers, distributors and others

and receiving feedback on the status of every link in the supply chain.

4) SCM used extranet technologies.5) In SCM, EDI technology used to share information among different

stakeholders.

6) Following are the Objectives / Benefitsof SCM: Enhancing Customer Service Expanding Sales Revenue Reducing Inventory Cost Improving On-Time Delivery Reducing Order to Delivery Cycle Time Reducing Lead Time Reducing Transportation Cost Reducing Warehouse Cost Reducing / Rationalize Supplier Base Expanding Width / Depth of Distribution

ERP SOFTWARE (Enterprise Resource Planning software):

"A cross functional software system that used as a framework, with integrated &

automated functions for all major business processes across an organisation, such as

production, distribution, sales, finance and human resources management".

1) It is a cross functional enterprise software system used as a framework.2) It integrates & automates core business processes.3) It has integrated modules.4) It gives a company an integrated & automated real-time view of its core

business processes.

Page 6


7/40

5) ERP has following Benefits: Increase the efficiency & productivity of the business by integrating

and automating core business processes.

Because of integrating and automating functions it helps in makingbetter and timely decisions.

Because of increase in efficiency and productivity cost of business isdecreased.

It provides better analysis and planning capabilities. It helps in fulfilling the orders on time. It helps in improving information capabilities.

EAI SOFTWARE: (Enterprise Application Integration software)"It is a software system that interconnects various e-business application clusters such

as front-office applications and back office applications".

1) It interconnects various enterprise application clusters.2) It provides middleware to perform data conversion and coordination among

application clusters.3) It exchanges data according to rules set by users.

Page 7


8/40

4) EAI has following Benefits: It improves the efficiency and effectiveness of business processes. It also streamlines sales order processing. It improves customer and supplier experience with business. Reducing time to market. Help realign your systems to meet your short- and long-term businessneeds. Increase the responsiveness of your technology landscape to changing

business needs.

Page 8


9/40

Page 9


10/40

INFRASTRUCTURE:"A combined set of hardware, software, networks, facilities ,etc. (including all of the

information technology) used for the smooth working or operation of a business".

OPERATIONS:Activity or task used to perform some functions is known as operations. (E.g. 2+3=5)

Operations have Two(02) different parts.

1. Operand(On which function apply e.g. 2, 3 integer)

2. Operator(Function which is applied e.g. + sign)

IS OPERATIONS:"Information system operations include daily usage of software and hardware

resources". IS operations are critical for large business organizations.

There are following Typesof operations performed in an Operating System:

Recording of information

Informational retrieval Merging Data classification Filtering (process of extracting required information) Searching

MANAGEMENT OF INFORMATION SYSTEM OPERATIONS:IS management has an overall responsibility of all operations within IS department.

Operations management functions include the following:

Resource Allocation: Necessary resources are available to perform planned

activities. Standards & Procedures: These are to be established for all operations as percorporate objectives.

Process Monitoring: Monitoring & measuring the effectiveness and efficiency ofIS operations.

INFORMATION TECHNOLOGY SERVICE MANAGEMENT:"The process of implementation and management of quality IT servicesto business".

1) IT service management is performed by IT service providers through, an

appropriate mix of people, processes & information technology.

2) IT Service Management is an enabler of information technologygovernance

(orinformation management)objectives.3) The discipline is not concerned with the details of how to use a particular

vendor's product, or with the technical details of the systems under

management, instead, it focuses upon providing a framework to structureIT-

related activities and the interactions of IT technical personnel with business

customers and users.

4) ITSM is generally concerned with the "back office" or operational concerns ofinformation technology management (sometimes known as operations

architecture), and not with technology development.

5) The main vendors of ITSM solutions worldwide include BMC Software, CATechnologies, HP, IBM and Service Now who all provide various tools for

service management.

Page 10
http://en.wikipedia.org/wiki/Information_managementhttp://en.wikipedia.org/wiki/Information_management


11/40

6) Several benchmarks have emerged to measure the capability of IT servicemanagement of an organisation, some of them are:

ISO/IEC 20000. COBIT.

PROBLEM MANAGEMENT

PROBLEM:"ITIL defines a problem as the cause of one or more incidents".

PROBLEM MANAGEMENT:

"A process to manage the lifecycle of all problems is called Problem Management",

or the process of identifying and resolving Problems and Known Errors before they

become incidents, and the process of resolving existing Problems".

1) Problem management has Two aspects: Reactive,problem solving after the occurrence of an incident. Proactive,problem solving before the occurrence of an incident.2) The primary objectivesof Problem Management are to prevent

problems and resulting incidents from happening, to eliminate

recurring incidents, and to mitigate the impact of incidents that cannot

be prevented.

3) To record all the details regarding a problem in a structured way iscalled problem logging.

4) When the root causes of a problem are identified, the problem is calledknown error.

5) To identify the root cause of a problem is called problem control.

Page 11


12/40

6) Take actions to prevent the problem & to mitigate its affects is callederror control, and it can be reactive or proactive.

PROBLEM MANAGEMENT PROCESS:

Inputs To Problem Management: incident details from incident management trend analysis ( proactive PM) configuration details from configuration management notification of problems from suppliers / vendors error logsfrom event management IT service management ( help desk) any defined workarounds change details from change management

Output To Problem Management: problem

known error request for change an updated problem record closed problem record for resolved problems problem reports (for example, status updates, trends, and performance)

PROBLEM MANAGEMENT PROCESS DIAGRAM:

Page 12


13/40

BENEFITS:

1) The numbers of incidents are minimized.2) Quicker resolution of an existing problem.3) Reduction in service disruptions to the customer.4) PM has a great value to business, because when issues are resolved,

information about the resolution is recorded, over time, this information isused to speed up the resolution time and identify permanent solutions.

5) Due to the quicker resolution of problems system works smoothly.CHANGE MANAGEMENT

CHANGE:"Change means shifting from one situation to other".

CHANGE MANAGEMENT:

The process of controlling and coordinating changes to an organization's ITinfrastructure to minimize the disruption of services", or "Change Management is the

process by which the life cycle of changes is controlled".

1) Change management is responsible for managing change process involving:

Hardware. Communications equipment and software. System software. All documentation and procedures associated with the running, support and

maintenance of live systems. For user requests for products and services, refer

to Request Management.

2) Change management ensures that the following Objectivesare met: To enable beneficial changes to be made with minimal disruption to IT

Services.

Standardized methods and procedures are used for efficient and prompthandling of all changes.

Overall business risk is optimized.3) Some key Tacticsfor change management are:

Set the climate for change by creating awareness of the need for the changeand promoting desire for stakeholders to participate in and support the change.

Support stakeholders in gaining knowledge and understanding on how tochange.

Make constant change as expected part of the culture. Involve as many people as possible in e-business planning & development Effective strategic communication is the key to successfully implementing any

change, tell everyone about everything as often as possible.

CHANGE MANAGEMENT PROCESS:

We can describe change management process, change role & responsibilities as

follows:

Page 13


14/40

CAPACITY MANAGEMENT

CAPACITY:"The ability to produce work in a given time".

Page 14


15/40

CAPACITY MANAGEMENT:"The process of planning & monitoring of IT infrastructure resources to ensure that

resources are used efficiently & effectively to meet current & future business

requirements".

1) It is directly related to: Current business growth Future business expansions

2) It is subdivided into Three sub-processes:

Business capacity management (forecast & document current & futurebusiness needs)

Service capacity management (monitor, analyse, tune & report on serviceperformance)

Resource/component capacity management (monitor, analyse, tune & reporton component utilization)

3) Capacity management is concerned with:

CPU utilization/Processor utilization. Computer storage utilization. Network bandwidth utilization. I/O channel utilization. Use of new applications. Us of new technologies. SLAS. ( service level agreements)

4) Capacity management is required because of:

5) Following are the capacity planning & monitoring elements:

Developa capacity plan that fulfils current & future capacity requirements. Monitor it infrastructure for agreed upon service levels. Optimize system for current & expected workload. Implementnew capacity to meet future requirements. Forecast the behaviour of IT infrastructure to determine future requirements. Application sizingshould be considered.

Page 15


16/40

OS (OPERATING SYSTEM):"The software that supports a computer's basic functions, such as scheduling tasks,

executing applications, and controlling peripherals".DOS, LINUX, MAC, WINDOWS are examples of operating systems.

1) OS has following Features:

It is system software. It acts as a translator between user and computer. It is used to operate and control the computer system. It is used to run application software. It is a resource manager of computer. It is used to recover computers from failure stages.

2) OS has following Types:

1. Real-time, "is a multitasking OS that executes real-time applications, having

special algorithms to achieve deterministic behaviour & give quick response to

events".

RTOS has one or both event driven (switching b/t tasks according to their priorities)

& time sharing (switching b/t tasks according to clock interrupts) designs.

2. Multi-user, "an OS that allows more than one user to access the system at the

same time".

3. Single-user, "an OS that allows only one user but may allow more than one

programs to run at the same time" i.e. windows XP etc.

4. Multi-tasking, "an OS that allows more than one program to run at the same

time".

It has pre-emptive (OS slices the CPU time & give one slot to each program) & co-

operative (OS relying on each process to give time to other processes in a definedmanner) designs.

5. Single-tasking, "an OS that allows one program to run at a time".

6. Distributed, "an OS that manages a group of independent computers & makes

them appear as a single computer".

7. Embedded, an OS used on embedded computer systems i.e. PDAS.

COMPUTER ARCHITECTURE & HARDWARE COMPONENTS

COMPUTER ARCHITECTURE:"A specification detailing how a set of software and hardware technology standards

interact to form a computer system".

Page 16


17/40

COMPUTER HARDWARE:"The collection of physical components of a computer".

COMPUTER HARDWARE COMPONENTS:Following are the hardware components of a computer:

Processing device (CPU).Main memory (RAM & ROM)

Input devices. (used to give instructions)

Output devices (used to take output)

Storage device (hard disk)

PROCESSING DEVICE (CPU):"A device in a computer that processes & controls all the functions of a computer is

called CPU".

1. CPUstands for central processing unit.2. It has Twoparts:

ALU(arithmetic logic unit, performs arithmetic & logic operations) & CU(controlunit, controls all operations in a computer).

3. It processes and controls all computer functions.4. It consists of integrated circuits.

MAIN MEMORY (RAM & ROM):"A volatile memory inside the computer is called main memory".

"RAM stands for random access memory, a type ofcomputer memorythat canbe accessedrandomly; that is, anybyteof memory can be accessed without

touching the preceding bytes".

1. There are two different Typesof RAM: Dynamic random access memory (DRAM)is the more common type,

volatile, less speedy & needs tobe refreshed thousands of times per second.

Static random access memory(SRAM)is less common, volatile, veryspeedy, & does not need to be refreshed.

2. RAM allows the computer to read data quickly to run applications. It allowsreading and writing.

3. RAM is volatile i.e. its contents are lost when the device is powered off. "ROM stands for read only memory, a special memory used tostoreprograms

thatboot the computer and perform diagnostics".

1. It has two Types: Non-programmable ROMcan be modified modifiable. Programmable ROMcan be modified.2. ROM stores the program required to initially boot the computer. It only allows

reading.

3. It is non-volatile i.e. its contents are retained even when the device is poweredoff.

INPUT DEVICES:"Input devices are hardware components that allow a user to enter data and

instructions into a computer".

"Keyboard is an input device that contains keys that allow a user to enter dataand instructions into the computer".

1. There are three Types of keys in a keyboard: Alphanumeric keysare letters & numbers keys.

Page 17
http://www.webopedia.com/TERM/D/dynamic_RAM.htmlhttp://www.webopedia.com/TERM/S/SRAM.htmlhttp://www.webopedia.com/TERM/S/SRAM.htmlhttp://www.webopedia.com/TERM/S/store.htmlhttp://www.webopedia.com/TERM/B/boot.htmlhttp://www.webopedia.com/TERM/B/boot.htmlhttp://www.webopedia.com/TERM/S/store.htmlhttp://www.webopedia.com/TERM/S/SRAM.htmlhttp://www.webopedia.com/TERM/D/dynamic_RAM.html


18/40

Punctuation keysare comma, semicolon etc. Special keysare function keys, control keys, arrow keys & capital lock

key.

2. A standard computer keyboard is called a QWERTY keyboard. "Mouseis a hand-held device that helps you to select and move items on your

screen".1. A mouse is the most widely used pointing device with a GUI environment on

personal computers.

2. It has three basic Types: Mechanical mouseuses rubber ball to detect movement of the mouse. Optical mouse uses light to detect the mouse's movement. Cordless mousetransmits data using wireless technology.

"Trackballis a stationary pointing device with a ball mechanism on its top". "Joystickis a pointing device with a vertical lever mounted on a base".

1. The lever usually includes buttons called triggers, which activate certain eventswhen pressed.

2. Joysticks are mainly used for computer games and ultrasound scanners inhospitals.

"Scanneris a light-sensing input device that converts printed text and graphicsinto a digital form that can be further processed by the computer".

1. There are two basic Typesof scanner: Flatbed scannerworks like a copy machine except that it creates a file of

the document rather than a paper copy.

Handheldscannercan be manually passed over the image to be scanned.

OUTPUT DEVICES:"Output devices are hardware components that can display information to a user".

"Monitorsare the most popular output devices used for producing soft-copyoutput of text & images on screen".

1. Monitors can display graphics, text and video.2. The size of a monitor is measured in inches diagonally across the screen.3. A color monitor can display from 16 to over 1 million different colors.

"Printeris an output device that produces text and graphics on a physical mediumsuch as paper".

1. Printed information is often called hard copy.2. The speed of printers can be measured in characters per second (CPS) or pages

per minute (PPM).

3. Printer resolution is often expressed in dpi (dots per inch), the larger thenumber, the higher the resolution.4. There are two basic Typesof printers:

Impact printerforms characters and graphics on a piece of paper bystriking a mechanism against an ink ribbon that physically contacts the

paper.

Non-impact printerforms characters and graphics on a piece of paperwithout actually striking the paper.

Page 18


19/40


20/40

Page 20


21/40

DATA:"Raw facts or statistics on which operations are performed is called data".

1) Five primary Typesof data:1.Predefined data items (numbers, alphabets)2.Text3.Images4.Audio5.Video

2) Below is the Hierarchy Of Data:

DATABASE:"Organized collection of logically related data for easy and faster retrieval of

information".

Database:

Employee # Last name First name Hire date Dept. #

005-10-6321 Ali Ahsan 10-7-06 257

549-77-1001 Ali Mohsin 2-17-05 650

098-40-1370 Ali Mazhar 1-5-03 598

1)It is just like an electronic filingsystem.2)It is based on predefined relationship between predefined types of data items

related to a specific situation..

3)Toaccess information from a database, you need a database management system(DBMS).

Databaseis a collection of integrated and related files.

File is a collection of related records.

Recordis a collection of related fields.

Fieldis a group of characters.

Characteris a basic building block of information, represented by a

byte.

Page 21
http://www.webopedia.com/TERM/S/system.htmlhttp://www.webopedia.com/TERM/A/access.htmlhttp://www.webopedia.com/TERM/A/access.htmlhttp://www.webopedia.com/TERM/S/system.html


22/40

4)There are following Types Of Databases: "Relational Databaseis a set of two-dimensional tables, each table has one or

more key fields associated with correspondence fields of other tables".

Relational Database Model:

1. It is the most powerful type of database model depends on mathematical theoryof relation.

2. In relational database normalization (a technique) is used to organize thedatabase & eliminate redundancies.

3. Some relational Database Terminologiesare: Selectingis a data manipulation that eliminates rows according tocertain criteria. Projectingis a data manipulation that eliminates columns in a table. Joining is a data manipulation that combines two or more tables. Linked is a data manipulation relating tables in a relational database

together.

4. A relation is a key table consisting of records.5. A data file known as Table.6. Record is known as Row.7. Field is known as Column.8. Primary key is known as Key.9. following are the Advantagesof relational databases:

a.Relational database is faster in a data search.b.It is easier to modify.c.It is easier to convert from other database structure.d.It is easier for users to understand & implement a physical database.e.It is easier to implement projection & access control over data.

"Multidimensional-Database, used for data analysis is the database consisting ofa single file each of whose columns can be viewed as a separate dimension ".

1. These are used in data warehouse.2. Data warehouse is a collection of databases used to support management

decision making.

3. Data mart subset of a data warehouse for small and medium-size businesses ordepartments within larger companies

Page 22


23/40


24/40

Relationship, is a link or association between two entities. ( professors relateto classroom etc)

2) Entity-Relationship Diagramis a technique to identify the entity types in asituation & diagramming the relationship between those entity types.

1. The basic tool of data modeling is entity-relationship diagram.

ERD-Models (Relationship Types):

One-To-One

Each professor has one office and office is assigned to one professor.

One-To-Many