MIS DATABASE SYSTEMS, DATA WAREHOUSES, AND DATA MARTS CHAPTER 3 Hossein BIDGOLI

Chapter 3 Database Systems, Data Warehouses, and Data Marts l e a r n i n g o u t c o m e s LO1 Define a database and a database management system. LO2 Explain logical database design and the relational database model. LO3 Define the components of a database management system. LO4 Summarize recent trends in database design and use. LO5 Explain the components and functions of a data warehouse.

l e a r n i n g o u t c o m e s (cont’d.) Chapter 3 Database Systems, Data Warehouses, and Data Marts l e a r n i n g o u t c o m e s (cont’d.) LO6 Describe the functions of a data mart. LO7 Define business analytics, and describe its role in the decision-making process.

Databases Database File Record Data hierarchy Collection of related data that can be stored in a central location or in multiple locations Usually a group of files File Group of related records All files are integrated Record Group of related fields Data hierarchy

Exhibit 3.1 Data Hierarchy

Databases (cont’d.) Critical component of information systems Any type of analysis that’s done is based on data available in the database Database management system (DBMS) Creating, storing, maintaining, and accessing database files Advantages over a flat file system

Exhibit 3.2 Interaction between the user, DBMC, and Database

Types of Data in a Database Internal data Collected within organization External data Sources

Methods for Accessing Files Sequential file structure Records organized and processed in numerical or sequential order Organized based on a “primary key” Usually used for backup and archive files Because they need updating only rarely Random access file structure Records can be accessed in any order Fast and very effective when a small number of records needs to be processed daily or weekly

Methods for Accessing Files (cont’d.) Indexed sequential access method (ISAM) Records accessed sequentially or randomly Depending on the number being accessed Indexed access Uses an index structure with two parts: Indexed value Pointer to the disk location of the record matching the indexed value

Logical Database Design Physical view How data is stored on and retrieved from storage media Logical view How information appears to users How it can be organized and retrieved Can be more than one logical view

Logical Database Design (cont’d.) Data model Determines how data is created, represented, organized, and maintained Includes Data structure Operations Integrity rules Hierarchical model Relationships between records form a treelike structure

Exhibit 3.3 A Hierarchical Model

Logical Database Design (cont’d.) Network model Similar to the hierarchical model Records are organized differently

Exhibit 3.4 A Network Model

The Relational Model Relational model Data dictionary Uses a two-dimensional table of rows and columns of data Data dictionary Field name Field data type Default value Validation rule

The Relational Model (cont’d.) Primary key Unique identifier Foreign key Establishes relationships among tables Normalization Improves database efficiency Eliminates redundant data 1NF through 3NF (or 5NF)

The Relational Model (cont’d.) Data retrieval Select Project Join Intersection Union Difference

Components of a DBMS Database engine Data definition Data manipulation Application generation Data administration

Database Engine Heart of DBMS software Responsible for data storage, manipulation, and retrieval Converts logical requests from users into their physical equivalents

Data Definition Create and maintain the data dictionary Define the structure of files in a database Changes to a database’s structure Adding fields Deleting fields Changing field size Changing data type

Data Manipulation Add, delete, modify, and retrieve records from a database Query language Structured Query Language (SQL) Standard fourth-generation query language used by many DBMS packages SELECT statement Query by example (QBE) Construct statement of query forms Graphical interface

Application Generation Design elements of an application using a database Data entry screens Interactive menus Interfaces with other programming languages

Data Administration Used for: Create, read, update, and delete (CRUD) Backup and recovery Security Change management Create, read, update, and delete (CRUD) Database administrator (DBA) Individual or department Responsibilities

Recent Trends in Database Design and Use Data-driven Web sites Natural language processing Distributed databases Object-oriented databases

Data-Driven Web Sites Data-driven Web site Interface to a database Retrieves data and allows users to enter data Improves access to information Useful for: E-commerce sites that need frequent updates News sites that need regular updating of content Forums and discussion groups Subscription services, such as newsletters

Distributed Databases Data is stored on multiple servers placed throughout an organization Reasons for choosing Approaches for setup Fragmentation Replication Allocation Security issues

Object-Oriented Databases Object consists of attributes and methods Encapsulation Grouping objects along with their attributes and methods into a class Inheritance New objects can be created faster and more easily by entering new data in attributes Interaction with an object-oriented database takes places via methods

Data Warehouses Data warehouse Multidimensional data Characteristics Collection of data used to support decision-making applications and generate business intelligence Multidimensional data Characteristics Subject oriented Integrated Time variant Type of data Purpose

Data Warehouse Applications at InterContinental Hotels Group (IHG) IHG operates 4,000+ hotels in the world Migrated from entry-level data mart to an enterprise data warehouse (EDW) Chose Teradata Data Warehouse Increased the company’s query response time from hours to minutes

Exhibit 3.6 A Data Warehouse Configuration

Input Variety of sources External Databases Transaction files ERP systems CRM systems

ETL Extraction, transformation, and loading (ETL) Extraction Collecting data from a variety of sources Converting data into a format that can be used in transformation processing Transformation processing Make sure data meets the data warehouse’s needs Loading Process of transferring data to the data warehouse

Storage Raw data Summary data Metadata

Output Data warehouse supports different types of analysis Generates reports for decision making Online analytical processing (OLAP) Generates business intelligence Uses multiple sources of information and provides multidimensional analysis Hypercube Drill down and drill up

Exhibit 3.7 Slicing and Dicing Data

Output (cont’d.) Data-mining analysis Reports Discover patterns and relationships Reports Cross-reference segments of an organization’s operations for comparison purposes Find patterns and trends that can’t be found with databases Analyze large amounts of historical data quickly Assist management in making well-informed business decisions

Data Marts Data mart Advantages over data warehouses Smaller version of data warehouse Used by single department or function Advantages over data warehouses More limited scope than data warehouses

Business Analytics Business analytics (BA) Uses data and statistical methods to gain insight into the data Provide decision makers with information to act on More forward looking than BI Several types of BA methods Descriptive and predictive analytics Major providers of business analytics software SAS, IBM, SAP, Microsoft, and Oracle

Summary Databases Data warehouses, data marts, and business analytics Accessing files Design principles Components Recent trends Data warehouses, data marts, and business analytics

MIS PERSONAL, LEGAL, ETHICAL, AND ORGANIZATIONAL ISSUES OF INFORMATION SYSTEMS CHAPTER 4 Hossein BIDGOLI

Chapter 4 Personal, Legal, Ethical, and Organizational Issues of Information Systems l e a r n i n g o u t c o m e s LO1 Discuss information privacy and methods for improving the privacy of information. LO2 Explain the effects on information privacy of e-mail, data collection, and censorship. LO3 Discuss the ethical issues related to information technology . LO4 Discuss the principles of intellectual property and issues related to the infringement of intellectual property.

l e a r n i n g o u t c o m e s (cont’d.) Chapter 4 Personal, Legal, Ethical, and Organizational Issues of Information Systems l e a r n i n g o u t c o m e s (cont’d.) LO5 Discuss information system issues that affect organizations, including the digital divide, electronic publishing, and on the connection between the workplace and employees’ health. LO6 Describe green computing and the ways it can improve the quality of the environment.

Privacy Issues Concerns about privacy in the workplace Employers search social networking sites Employee monitoring systems Misuse and abuse of information gathered by: Healthcare organizations Financial institutions Legal firms Defining privacy is difficult Information technologies have increased ease of access to information

Social Networking Sites and Privacy Issues Stacy Snyder Former student at Millersville University of Pennsylvania Posted a photo of herself on MySpace, wearing a pirate’s hat and drinking Millersville administrators Considered the image unprofessional Refused to grant her an education degree and teaching certificate

Privacy Issues (cont’d.) Number of databases increasing rapidly Enforcement of federal laws has been lax Index and link databases using Social Security numbers Direct marketing companies major user of this information U.S. government began linking large databases to find information

Privacy Issues (cont’d.) Federal laws now regulate collecting and using information on people and corporations 1970 Fair Credit Reporting Act Acceptable use policies Set of rules specifying the legal and ethical use of a system and the consequences of noncompliance Accountability Issues involving both the user’s and the organization’s responsibilities and liabilities

Privacy Issues (cont’d.) Nonrepudiation Method for binding all the parties to a contract Hardware or software controls Determine what personal information is provided on the Web

E-mail Presents some serious privacy issues Spam Ease of access Unsolicited e-mail sent for advertising purposes Sent in bulk by using automated mailing software Ease of access People should assume that others have access to their messages Any e-mails sent on company-owned computers are the property of the organization

Data Collection on the Web Number of people shopping online is increasing Many customers reluctant to make online purchases Concerns about hackers getting access to their credit card numbers Many credit card companies reimburse fraudulent charges Other electronic payment systems are being developed

Data Collection on the Web (cont’d.) Concerned about computers’ contents being searched while they’re connected to the Web Information users provide on the Web Combined with other information and technologies to produce new information Cookies Small text files with a unique ID tag Embedded in a Web browser Saved on the user’s hard drive Many users disable cookies

Data Collection on the Web (cont’d.) Log files Generated by Web server software Record a user’s actions on a Web site Data collected on the Web must be used and interpreted with caution

Ethical Issues of Information Technologies Ethics means doing the right thing What is “right” can vary from one culture to another and even from one person to another More difficult to determine than legal versus illegal

Ethical Issues of Information Technologies (cont’d.) Information technology offers many opportunities for unethical behavior Cybercrime, cyberfraud, identity theft, and intellectual property theft Many experts believe management can reduce employees’ unethical behavior Codes of ethics Many associations promote ethically responsible use of information systems and technologies

Ten Commandments of Computer Ethics Thou shalt not use a computer to harm other people Thou shalt not interfere with other people’s computer work Thou shalt not snoop around in other people’s files Thou shalt not use a computer to steal Thou shalt not use a computer to bear false witness

Ten Commandments of Computer Ethics (cont’d.) Thou shalt not use or copy software for which you have not paid Thou shalt not use other people’s computer resources without authorization Thou shalt not appropriate other people’s intellectual output Thou shalt think about the social consequences of the program you write Thou shalt use a computer in ways that show consideration and respect

Censorship Who decides what should be on the Web? Types of information Public Private Whether or not something can be censored depends in part on who is doing the censoring Restricted access to the Web Burma, China, and Singapore U.S. citizens don’t want the government controlling Web access

Censorship (cont’d.) Parents are concerned about what their children are exposed to Pornography, violence, and adult language Search keywords Guidelines to teach their children to use good judgment while on the Web Programs such as CyberPatrol, CyberSitter, Net Nanny, and SafeSurf

Intellectual Property Protections that involve copyrights, trademarks, trade secrets, and patents for “creations of the mind” developed by people or businesses Industrial property Inventions, trademarks, logos, and industrial designs Copyrighted material Literary and artistic works May apply to online materials Exceptions under Fair Use Doctrine

Intellectual Property (cont’d.) Trademark Protects product names and identifying marks Patent Protects new processes Organizations can benefit from patents Software piracy Laws Telecommunications Act of 1996 Communications Decency Act (CDA) Laws against spamming

Intellectual Property (cont’d.) Internet use policy Avoid legal risks Cybersquatting Registering, selling, or using a domain name to profit from someone else’s trademark

Verizon’s Cybersquatting Suit Verizon sued OnlineNic OnlineNic registered domain names containing Verizon trademarks myverizonwireless.com iphoneverizonplans.com verizon-cellular. com Verizon won this suit

Social Divisions and the Digital Divide Computers still aren’t affordable for many people Companies installing cables for Internet connections might subject their communities to a type of economic “red-lining” Children are often victims of this divide Funding for computers at schools and libraries Loaner programs

The Impact of Information Technology in the Workplace New jobs for: Programmers Systems analysts Database and network administrators Network engineers Webmasters Web page developers e-commerce specialists Chief information officers (CIOs) Technicians

The Impact of Information Technology in the Workplace (cont’d.) Web designers Java programmers Web troubleshooters Telecommuting and virtual work Job deskilling Skilled labor eliminated by introducing high technology Job downgraded from a skilled to a semiskilled or unskilled position

Table 4.1 Potential benefits and potential drawbacks of telecommuting

The Impact of Information Technology in the Workplace (cont’d.) Job upgrading Clerical workers who now use computers One skilled worker might be capable doing the job of several workers Virtual organizations Networks of independent companies, suppliers, customers, and manufacturers Connected via information technologies Share skills and costs Have access to each other’s market

Information Technology and Health Issues Reports of health-related issues caused by video display terminals (VDTs) No conclusive study Health problems associated with the environment in which computers are used

Information Technology and Health Issues (cont’d.) Other reports of health problems Vision Musculoskeletal Skin Reproductive Stress-related Amount of time some people spend on the Web

Health and Social Issues of Online Gaming Online games World of Warcraft and EverQuest blamed for a host of problems Poor academic performance, divorce, suicide, and the death of a child because of parental neglect Fantasy worlds in online games believed to be addictive and to affect marriages and careers

Green Computing Computing that promotes a sustainable environment and consumes the least amount of energy Helps an organization save on energy costs Improves the quality of the environment in which we live and work

Green Computing (cont’d.) Involves the design, manufacture, use, and disposal of computers, servers, and computing devices Monitors, printers, storage devices, and networking and communications equipment Minimal impact on the environment Implemented without the cooperation of both the private and the public sector Goals

Summary Privacy issues related to information technologies Methods for protecting privacy: Personal information and organizations’ data resources Ethical issues related to information systems Censorship, intellectual property laws, digital divide Effect of information systems on the workplace and possible heath issues Green computing Impact on the environment