Information Systems Resource

Management
1

Data Resource Management

 Learning Objectives
2

⚫ Explain the business value of implementing data resource

management processes and technologies in an organization
⚫ Outline the advantages of a database management approach
to managing the data resources of a business, compared to a
file processing approach
⚫ Explain how database management software helps business
professionals and supports the operations and management of a
business
⚫ Provide examples to illustrate the following concepts:
 Major types of databases
 Data warehouses and data mining
 Logical data elements
 Fundamental database structures (Models)
 Database development
 Introduction
3

⚫ Data Resource management is managerial

activity that is applied to information system and other
data management tools to the task of managing an
organization’s data resources

⚫ Doing so, will ensure company meets its business

needs, and the information they provide to their
stakeholders

⚫ Smart decision making and efficient business

operations are supported by best use of quality
information
 Logical Data Elements and Tools
4
⚫ Bits: 0s and 1s Database
⚫ Character
 A single alphabetic, numeric, or other symbol File
⚫ Field or data item
 Represents an attribute (characteristic or quality)
of some entity (object, person, place, event) Record
⯍ Example: salary, job title
⚫ Record
 Grouping of all the fields used to describe an entity
Field
⯍ Example: payroll record with name, SSN, pay rate
⚫ File or table
 A group of related records
Characte
r
⚫ Database
 An integrated collection of logically related
files bit
• Database systems: Data plus DMS
•DMS: Database Management systems: takes care of creating, managing and
using database
Logical Data Elements
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Example: Electric Utility Database

6
 Database Structures (Model)
7

⚫ Common database Models…

 Hierarchical

 Network

 Relational

 Object-oriented
 Object Relational
 Multi-dimensional
 Three Building Blocks of Data Model
8
⚫ Entity: any object, person, place or a thing about which we keep
data in a business
⚫ Attributes: a property that describes an entity
⚫ Relationship: a logical and meaningful association between or
among entities
⚫Cardinality of the relationship
⚫Degree of the relationship( unary, binary,
Ternary
and N-ary)
⚫Participation: Mandatory or optional
relationship
⚫Inheritance
Overlapping
Disjoint
 Hierarchical Structure
9

⚫ Early DBMS
structure
⚫ Records arranged in
tree-like structure
⚫ Relationships are
one-to-many
 Network Structure
10

⚫ Used in some mainframe DBMS packages

 Many-to-many relationships
 Relational Structure
11

⚫ Most widely used structure

 Data elements are stored in tables

 Row represents a record; column is a field

 Can relate data in one file with data in another,

if both files share a common data element

 Relational Operations
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⚫ Select
 Create a subset of records that meet a stated
criterion
⯍Example: employees earning more than
$30,000
⚫ Join
 Combine two or more tables temporarily
 Looks like one big table

⚫ Project
 Create a subset of columns in a table
 Multidimensional Structure
13

⚫ Variation of relational model

 Uses multidimensional structures to
organize data
 Data elements are viewed as being
in cubes
 Popular for analytical databases that support
Online Analytical Processing (OLAP)
Multidimensional Model
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 Object-Oriented Structure
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⚫ An object consists of
 Data values describing the attributes of an
entity
 Operations that can be performed on the
data
⚫ Encapsulation
 Combine data and operations

⚫ Inheritance
 New objects can be created by replicating some
or all of the characteristics of parent objects
Object-Oriented Structure
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 Object-Oriented Structure
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⚫ Used in object-oriented database management

systems (OODBMS)
⚫ Supports complex data types more efficiently than
relational databases
 Example: graphic images, video clips,
web pages
 Evaluation of Database Structures
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⚫ Hierarchical
 Works for structured, routine transactions
 Can’t handle many-to-many relationship

⚫ Network
 More flexible than hierarchical
 Unable to handle ad hoc requests

⚫ Relational
 Easily responds to ad hoc requests
 Easier to work with and maintain
 Not as efficient/quick as hierarchical or network
 Database Development
19

⚫ Database Administrator (DBA)

 In charge of enterprise database development
 Improves the integrity and security of
organizational databases
 Uses Data Definition Language (DDL) to develop
and specify data contents, relationships, and
structure
 Stores these specifications in a data dictionary or
a metadata repository
 Data Dictionary
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⚫ A data dictionary
 Contains data about data (metadata)
 Relies on specialized software component to
manage a database of data definitions
⚫ It contains information on..
 The names and descriptions of all types of data
records and their interrelationships
 Requirements for end users’ access and use of
application programs
 Database maintenance
 Security
Database Development
21
 Data Planning Process
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⚫ Database development is a top-down process

 Develop an enterprise model that defines the
basic business process of the enterprise
 Define the information needs of end users in
a business process
 Identify the key data elements that are needed to
perform specific business activities
(entity relationship diagrams)
Entity Relationship Diagram
23
 Database Design Process
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⚫ Data relationships are represented in a data model

that supports a business process
⚫ This model is the schema or subschema on which
to base…
 The physical design of the database
 The development of application programs to support business
processes
⚫ Logical Design
 Schema - overall logical view of relationships
 Subschema - logical view for specific end users
 Data models for DBMS

⚫ Physical Design
 How data are to be physically stored and
accessed on storage devices
Logical and Physical Database Views
25
 Data Resource Management
26

⚫ Data resource management is a managerial activity

 Uses data management, data warehousing,
and other IS technologies
 Manages data resources to meet the information
needs of business stakeholders
⚫ Data stewards
 Dedicated to establishing and maintaining the
quality of data
 Need business, technology, and diplomatic
skills
 Focus on data content

⚫ Judgment is a big part of the job

Types of Databases
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 Operational Databases
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⚫ Stores detailed data needed to support business

processes and operations
 Also called subject area databases (SADB),
transaction databases, and production
databases
 Database examples: customer, human resource,
inventory
 Distributed Databases
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⚫ Distributed databases are copies or parts of databases stored on servers at

multiple locations
 Improves database performance at worksites
⚫ Advantages
 Protection of valuable data
 Data can be distributed into smaller databases
 Each location has control of its local data
 All locations can access any data, any where
⚫ Disadvantages
 Maintaining data accuracy
⚫ Replication
 Look at each distributed database and find changes
 Apply changes to each distributed database
 Very complex
⚫ Duplication
 One database is master
 Duplicate the master after hours, in all locations
 Easier to accomplish
 External Databases
30

⚫ Databases available for a fee from commercial

online services, or free from the Web
 Example: hypermedia databases, statistical
databases, bibliographic and full text databases
 Search engines like Google or Yahoo are
external databases
 Hypermedia Databases
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⚫ A hypermedia database contains
 Hyperlinked pages of multimedia
 Interrelated hypermedia page elements,
rather than interrelated data records
 Big data is generated everyday
 2.5 quintillion Bytes of data is created every day
and 1.7 MB
every second for every person on earth as 2017
reports
 80% of it unstructured
 Difficult to get insight from it
 Knowledge poor—Data rich scenario is imminent
 So, we strive to efficient and effective way of analyzing this data
to turn it into knowledge
 Thus why data warehousing, data mining and machine learning
techniques came to light
Components of Web-Based System
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 Data Warehouses
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⚫ Stores static, time variant and historical data that

has been extracted from other databases in an
organization
 Central source of data that has been cleaned,
transformed, and cataloged
 Data is used for data mining, analytical
processing, analysis, research, decision support
⚫ Data warehouses may be divided into data marts
 Subsets of data that focus on specific aspects
of a company (department or business process)
Data Warehouse Components
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Applications and Data Marts
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 Data Mining
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⚫ Data in data warehouses are analyzed to reveal non

trivial, hidden but potentially useful patterns and
trends-Important insights for decision making
 Market-basket analysis to identify new
product bundles
 Find root cause of qualify or manufacturing
problems
 Prevent customer attrition
 Acquire new customers
 Cross-sell to existing customers
 Profile customers with more accuracy
 Traditional File
37
Processing
⚫ Data are organized, stored, and processed in
independent files
 Each business application designed to use
specialized data files containing specific
types of data records
⚫ Problems
 Data redundancy

 Lack of data integration

 Data dependence (files, storage devices,

software)
 Lack of data integrity or standardization
Traditional File Processing
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 Database Management
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Approach

⚫ The foundation of modern methods of managing

organizational data
 Consolidates data records formerly in separate
files into databases
 Data can be accessed by many different
application programs
 A database management system (DBMS) is the
software interface between users and databases
Database Management Approach
40
 Database Management System
41

⚫ In mainframe and server computer systems, a

software package that is used to…
 Create new databases and database
applications
 Maintain the quality of the data in an
organization’s databases
 Use the databases of an organization to provide
the information needed by end users
Common DBMS Software Components
42
⚫ Database definition
 Language and graphical tools to define entities,
relationships, integrity constraints, and
authorization rights
⚫ Nonprocedural access
 Language and graphical tools to access data
without complicated coding
⚫ Application development
 Graphical tools to develop menus, data entry
forms, and reports
 Common DBMS Software Components
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⚫ Procedural language interface

 Language that combines nonprocedural access
with full capabilities of a programming language
⚫ Transaction processing
 Control mechanism prevents interference from
simultaneous users and recovers lost data after a
failure
⚫ Database tuning
 Tools to monitor, improve database
performance
 Database Management System
44

⚫ Database Development
 Defining and organizing the content,
relationships, and structure of the data needed
to build a database
⚫ Database Application Development
 UsingDBMS to create prototypes of queries,
forms, reports, Web pages
⚫ Database Maintenance
 Using transaction processing systems and other
tools to add, delete, update, and correct data
DBMS Major Functions
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 Database Interrogation
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⚫ End users use a DBMS query feature or report

generator
 Response is video display or printed report

 No programming is required

⚫ Query language
 Immediate response to ad hoc data requests
⚫ Report generator
 Quickly specify a format for information you
want to present as a report
 Database Interrogation
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⚫ SQL Queries
 Structured,international standard query
language found in many DBMS
packages
 Query form is SELECT…FROM…
WHERE…
 Database Interrogation
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⚫ Boolean Logic
 Developed by George Boole in the mid-1800s
 Used to refine searches to specific information

 Has three logical operators: AND, OR, NOT

⚫ Example
 Cats OR felines AND NOT dogs OR Broadway
 Database Interrogation
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⚫ Graphical and Natural Queries

 Itis difficult to correctly phrase SQL and other
database language search queries
 Most DBMS packages offer easier-to-use,
point-and-click methods
 Translates queries into SQL commands

 Natural language query statements are similar

to conversational English
Graphical Query Wizard
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 Database Maintenance
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⚫ Accomplished by transaction processing systems

and other applications, with the support of the
DBMS
 Done to reflect new business transactions and
other events
 Updating and correcting data, such as customer
addresses
 Application Development
52

⚫ Use DBMS software development tools to develop

custom application programs
 Not necessary to develop detailed data-handling
procedures using conventional programming
languages
 Can include data manipulation language (DML)
statements that call on the DBMS to perform
necessary data handling
 Case 1 Sharing Business Databases
53

⚫ Amazon’s data vault

 Product descriptions

 Prices

 Sales rankings

 Customer reviews

 Inventory figures

 Countless other layers of content

⚫ Took 10 years and a billion dollars to build

Case 1 Sharing Business Databases 54

⚫ Amazon opened its data vault in 2002

 65,000 developers, businesses, and entrepreneurs have
tapped into it
 Many have become ambitious business partners
⚫ eBay opened its $3 billion databases in 2003
 15,000 developers and others have registered
to use it and to access software features
 1,000 new applications have appeared
 41 percent of eBay’s listings are uploaded to
the site using these resources
 Case 1 Sharing Business Databases
55

⚫ Google recently unlocked access to its desktop

and paid-search products
 Dozens of Google-driven services cropped
up
 Developers can grab 1,000 search results a
day for free; anything more requires
permission
 In 2005, the Ad-Words paid-search service
was opened to outside applications
 Case Study Questions
56

⚫ What are the business benefits to Amazon and

eBay of opening up some of their databases to
developers and entrepreneurs?
 Do you agree with this strategy?
⚫ What business factors are causing Google to move
slowly in opening up its databases?
 Do you agree with its go-slow strategy?
⚫ Should other companies follow Amazon and
eBay’s lead and open up some of their databases to
developers and others?
 Defend your position with an example of the risks and
benefits to an actual company
 Some of Possible Answers to the Case
Questions
57

⚫ It can be considered as a means of innovation of new products and

services, which values to business of the company
⚫ Some of the examples :
⚫Development of money making websites
⚫Developing new online shopping interface and
⚫Innovative services for thousands of self-governing sellers
⚫Increasing new products and customers using tools like
Software programs "Seller Engine" is aiding merchant on the
main site to transfer their inventory, ensure prices and
automate interaction like bestowing new listings
⚫With these benefits, you can argue that Amazon and eBay are right
to open up their database to developers and entrepreneurs
 Possible answers to business factors go slow strategy for
opening up its data vault to developers and entrepreneurs
58

⚫ Data integrity and security concern

⚫ Possibility for sensitive data leakage
⚫ Using the leakage, competitors might take advantage
outperform than Google
⚫ Concern for company’s image from possible
sabotage
⚫ It is good to have a go-slow strategy, because the risk is
low and the organization can’t predict it to prevent
⚫ Possible answer for the question “ should all companies
follow Amazon's and eBay's lead and open up their
database?”
Answer> there is no guarantee that it works for types of
organizations
 Case 3 Acxiom Corp. Data
59

⚫ Acxiom does three things really well…

 Manages large volumes of data
 Cleans, transforms, and enhances that data
 Distills business intelligence from that data to
drive smart decisions
⚫ Refined data is sold to customers
 Developing telemarketing lists
 Identifying prospects for credit card offers
 Screen prospective employees
 Detecting fraudulent financial transactions
 Case 3 Acxiom Corp. Data
60

⚫ Primary business activities

 Building its data library
 Selling data

 Managing other companies’ data and data

centers
 Case Study61 Questions
⚫ Acxiom is in a unique type of business. How would
you describe the business of Acxiom?
 Are they a service- or product-oriented
business?
⚫ It is easy to see that Acxiom has focused on a wide
variety of data from different sources.
 How does Acxiom decide which data to collect, and
for whom?
⚫ Acxiom’s business raises many issues related
to privacy.
 Are the data collected by Acxiom really
private?
 Case 4 Protecting the Data Jewels
62
⚫ Harrah’s Entertainment and other casino
companies closely guard customer data
 Both hard copy and electronic files
⚫ Concerns
 Broader access to CRM systems
 More frequent job switching
 Case 4 Protecting the Data Jewels
63

⚫ Protection methods
 Nondisclosure, non-compete, and non-solicitation
agreements that specify customer lists
 Trade-secret laws and legal action
 Limiting access to sensitive information
 Physical security
 Strong password protection
 Reinforcement of signed agreements during
exit interviews
 Monitoring electronic communication
 Case Study Questions
64

⚫ Why have developments in IT helped to

increase the value of the data resources of
many companies?
⚫ How have these capabilities increased the
security challenges associated with protecting
a company’s data resources?
⚫ How can companies use IT to meet the
challenges of data resource security?
 Case Study Questions
65

⚫ Why is the role of a data steward considered to be

innovative?
⚫ What are the business benefits associated with the
data steward program at Emerson?
⚫ How does effective data resource management
contribute to the strategic goals of an organization?