1. Computers Are Your Future
Lecture 6
Databases and Information Systems
© 2006 Prentice-Hall, Inc

2. What You Will Learn About
The potential uses of a database program
The basic components of a database
The differences between file management and relational database programs
Advanced database programs and applications
© 2006 Prentice-Hall, Inc

3. What You Will Learn About
The basic qualities of a good database
Components and functions of an information system
Functional divisions of an organization
Major types of information systems used today
Databases in retail organizations
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4. Data is any unorganized text, graphics, sounds, or videos
Database Concepts
Data is any unorganized text, graphics, sounds, or videos
A database is a collection of data
Database programs enable people to add, sort, group, summarize, and print data
Information is data that has been processed in a meaningful and useful way
© 2006 Prentice-Hall, Inc

5. The Levels of Data in a Database
The layers in a database are:
Bits – The lowest layer made of 1s and 0s
Characters – Letters, numbers, and symbols
Fields – Areas that contain data identified by field names (Examples: First Name; Address; City)
Records – Contain a group of fields
Data files – Contain related records
Databases – The top layer made of one or more data files (Example: ABC Company Address Book Mailing list, Employee list, Vendor list)
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6. Data Type Data usually consists of text, numbers, currency, and dates
Logical data – Only “yes” or “no” answers are allowed
Objects – Non-textual data
Binary large objects (BLOBs) – Very large objects
Default value – Pre-defined values such as today’s date
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7. Data Type
One field in a record is identified as the key field or primary key
The key field must be a unique entry such as a social security number or student ID
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8. Types of Database Programs
File Management Programs:
Create flat files containing one file or table
Files can not be linked to other files
Are easy to use and customize
Are not as complex as database management systems
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9. Types of Database Programs
Database Management Systems (DBMS):
Contain multiple files or tables
Are programs that enable data to be stored, modified, and extracted from a database
Are more difficult to learn than file management systems
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10. Relational Database Management Systems
Relational database management systems are the most widely used type of DBMS
Data in several files are related through the use of a common key field
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11. Data Warehousing and Data Mining
Supplements DBMSs by bringing together all data into one huge database
Organizes management’s decision-making process
Uses a technique called drill-down to view performance data of the entire company
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12. Data Warehousing and Data Mining
Data marts support one division of an organization rather than an entire firm
Data Mining:
Is a data exploration technique
Is used to find unknown
patterns of data
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13. Client/Server Database Systems
Data server – Professionally administered program that runs on a local area network (LAN); it responds to requests for data
Client – A user-friendly program that accesses the server; users can add data, maintain records, perform queries, and generate reports
Clients request data using a query language called Structured Query Language (SQL)
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14. Client/Server Database Systems
Query
Specially phrased question used to access specific information
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15. The Internet Connection: Going Public With Data
Web-based integration is the latest trend in database software
Information is stored in databases that are available through the Internet
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16. Advantages of Database Management Systems
The areas of importance for building a quality database are:
Data integrity
Data independence
Avoidance of data redundancy
Data security
Data maintenance
Data independence refers to how data is stored so that it can be used with different types of application programs.
Data integrity is the validity of the data.
Data validation defines acceptable input ranges for each field.
Types of data validation are:
Alphabetic check
Numeric check
Range check
Consistency check
Completeness check
Data security is the unavailability of data to people who would misuse it.
Data is also protected from loss due to equipment failure.
Data maintenance refers to the procedures for adding, updating, and deleting records.
Avoidance of data redundancy refers to avoiding the repetition of data.
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17. Information Systems: Tools for Global Competitiveness
An information system is designed to bring data, computers, procedures, and people together to manage information important to an organization’s mission
To be valuable, information must be:
Accessible
Accurate
Complete
Economical
Relevant
Reliable
Secure
Simple
Timely
Verifiable
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18. Functional Divisions of an Organization
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19. Transaction Processing Systems (TPSs)
TPSs handle an organization’s accounting needs
Early TPSs used batch processing systems
Online processing consists of entering transaction data and viewing the results immediately
TPSs enable managers to make operational decisions
TPSs can produce summary and exception reports
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20. Management Information Systems (MISs)
MISs are computer-based systems that support the information needs of different levels of management
MISs help management make informed tactical decisions
MISs work with transaction processing systems
MISs inform managers if their goals are being met
Drawbacks of MISs:
Reports may contain unwanted information
Information may not be available when needed
Reams of printouts
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21. Decision Support Systems (DSSs)
DSSs enable managers to ask questions that can’t be answered by MIS reports
Online Analytical Processing (OLAP) enables managers to import up-to-the-minute reports from transaction databases
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22. Executive Information Systems (EISs)
EISs are also known as executive support systems (ESSs)
EISs support strategic decisions made by top level management that will affect the entire company
EISs filter critical information so that trends are apparent
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23. Types of Decisions and Information Systems for Managers
Strategic decisions
Organizational Pyramid
Tactical decisions
Operational decisions
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24. Knowledge Management Systems
Knowledge management systems are used to capture knowledge created by employees and make it available when needed
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25. Expert Systems
Expert systems are systems that deal with expert knowledge in a particular area
Expert systems:
Help in making decisions
Use artificial intelligence principles
Provide technical support for customers
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26. Computers and Databases in the Retail Sector
Computers and databases are used for the checkout process and strategic purposes
At the checkout stand:
Point of sale terminals are replacing the cash register
Optical scanners read the universal product code (UPC) label that identifies items, their costs, and any sale prices
Credit card authorization terminals are used to process credit card transactions by placing a call to a call center which provides authorization numbers
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27. Computers and Databases in the Retail Sector
At the checkout stand (continued):
Check-screening systems read the check’s account number, then compare it with delinquent accounts
Signature capture systems capture a customer’s signature on a pressure sensitive pad
Photo checkout systems display a customer’s photo when a credit card is used
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28. Lecture 6 Summary Database software transforms data into information
Information is data that is organized to be meaningful and useful
A database file is made of:
Characters
Fields
Records
File management programs work with one database file
DBMSs can work with two or more database files at a time
A good database system contains:
Data integrity
Data independence
Data redundancy avoidance measures
Data security
Data maintenance procedures
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29. Lecture 6 Summary continued
A computer information system provides essential services to an organization
Information systems include:
Transaction processing systems (TPS)
Management information systems (MIS)
Decision support systems (DSS)
Executive information systems (EIS)
Knowledge management systems (KMS)
Expert systems (ES)
Computers and databases provide an indispensable resource for the retail sector
© 2006 Prentice-Hall, Inc