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Running Computer Center
351 CS
Khozema Ali Shabbar
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1. Explain the business value of implementing data resource management processes and technologies in an organization.
2. Outline the advantages of a database management approach to managing the data resources of a business, compared to a file processing approach.
3. Explain how database management software helps business professionals and supports the operations and management of a business.
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4. Provide examples to illustrate each of the following concepts:
a. Major types of databases
b. Data warehouses and data mining
c. Logical data elements
d. Fundamental database structures
e. Database development
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Companies such as Amazon, eBay and Google
are unlocking their databases and sharing their data with developers, entrepreneurs and their business partners.
In the hands of top Web innovators, this data could be the dynamo of new Web sites and businesses that would expand the company’s online footprint and ultimately drive more sales.
This also involves risk in terms of misuse of company’s data and companies will have to take steps in safeguarding their data.
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1. 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? Why or why not?
2. What business factors are causing Google to move slowly in opening up its databases? Do you agree with its go-slow strategy? Why or why not?
3. Should other companies follow Amazon’s and eBay’s lead and open up some of their databases to developers and others? Defend your position with examples of the risks and benefits to an actual company.
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1. The concept of opening up a company’s product, inventory, and other databases to developers and entrepreneurs is a relatively new one. ◦ Use the Internet to find examples of companies that
have adopted this strategy and the benefits they claim for doing so.
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2. Opening up selective databases to outsiders is not a risk-free strategy for a company. What risks are involved? What safeguards should be put in place to guard against loss or misuse of a company’s data? ◦ Discuss and take a stand on these issues.
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Character: single alphabetic, numeric or other symbol
Field or data item: a grouping of related characters ◦ Represents an attribute (a characteristic or quality) of
some entity (object, person, place or event) ◦ Example: salary
Record: grouping of all the fields used to describe the attributes of an entity ◦ Example: payroll record with name, SSN and rate of
pay
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File or table: a group of related records
Database: an integrated collection of logically related data elements
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Source: Adapted from Michael V. Mannino, Database Application Development and Design
(Burr Ridge, IL: McGraw-Hill/Irwin, 2001), p. 6. 11
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Hierarchical
Network
Relational
Object-oriented
Multidimensional
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Early DBMS structure
Records arranged in tree-like structure
Relationships are one-to-many
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Used in some mainframe DBMS packages
Many-to-many relationships
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Most widely used structure
Data elements are viewed as being stored in tables
Row represents record
Column represents field
Can relate data in one file with data in another file if both files share a common data element
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Select: ◦ Create a subset of records that meet a stated criterion
◦ Example, select employees who make 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
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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)
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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 replicated some or all
of the characteristics of parent objects
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Source: Adapted from Ivar Jacobsen, Maria Ericsson, and Ageneta Jacobsen, The Object Advantage: Business Process
Reengineering with Object Technology (New York: ACM Press, 1995), p. 65.
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Used in Object-oriented database management systems (OODBMS)
Supports complex data types ◦ Examples, graphic images, video clips, web pages
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Hierarchical ◦ Worked for structured routine transaction processing
◦ Can’t handle many-to-many relationships
Network ◦ More flexible than hierarchical
◦ Unable to handle ad hoc requests
Relational ◦ Easily respond to ad hoc requests
◦ Easier to work with and maintain
◦ Not as efficient or quick as hierarchical or network
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Database Administrator (DBA) ◦ In charge of enterprise database development
Data Definition Language (DDL) ◦ Develop and specify the data contents, relationships
and structure
◦ These specifications are stored in data dictionary
Data dictionary ◦ Data base catalog containing metadata
◦ Metadata – data about data
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Enterprise Model ◦ Defines basic business process of the enterprise
◦ Defined by DBAs and designers with end users
Data Modeling ◦ Relationships between data elements
◦ Entity Relationship Diagram (ERD) common tool for modeling
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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 stored and accessed on storage
devices
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For data warehouse to work properly, data has to
be standardized.
Companies are hiring data stewards who are dedicated to establishing and maintaining the quality of data entered into the operational systems that feed the data warehouse.
Data stewards need to have business knowledge because they need to make frequent judgment calls.
Data quality is a journey, not a destination.
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1. Why is the role of a data steward considered to be innovative? Explain.
2. What are the business benefits associated with the data steward program at Emerson?
3. How does effective data resource management contribute to the strategic goals of an organization? Provide examples from Emerson and others.
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1. As discussed in the case, the role of data steward is relatively new, and its creation is motivated by the desire to protect the valuable data assets of the firm. ◦ There are many job descriptions in the modern
organization associated with the strategic management of data resources. Using the Internet, see if you can find evidence of other job roles that are focused on the management of an organization’s data. How might a person train for these new jobs?
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2. As more and more data are collected, stored, processed, and disseminated by organizations, new and innovative ways to manage them must be developed. ◦ Discuss how the data resource management
methods of today will need to evolve as more types of data emerge. Will we ever get to the point where we can manage our data in a completely automated manner?
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Managerial activity
Applies IS technologies like data management and data warehousing to manage data resources to meet the information needs of business stakeholders
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Store detailed data to support business processes
Examples, customer database, inventory database
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Copies or parts of databases on servers at a variety of locations
Challenge: any data change in one location must be made in all other locations
Replication:
◦ Look at each distributed database and find changes
◦ Apply changes to each distributed database
◦ Very complex
Duplication
◦ One database is master
◦ Duplicate that database after hours in all locations
◦ Easier
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Databases available for a fee from commercial online services or
For free from World Wide Web
Examples, statistical databanks, bibliographic and full text databases
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Website database
Consists of hyperlinked pages of multimedia (text, graphics, video clips, audio segments)
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Stores data that has been extracted from the operational, external and other databases
Data has been cleaned, transformed and cataloged
Used by managers and professionals for ◦ Data mining,
◦ Online analytical processing,
◦ Business analysis,
◦ Market research,
◦ Decision support
Data mart is subset of warehouse for specific use of department
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Source: Adapted courtesy of Hewlett-Packard. 43
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Data in data warehouse are analyzed to reveal hidden patterns and trends
Examples: ◦ Perform market-basket analysis to identify new
business processes
◦ Find root causes to quality problems
◦ Cross sell to existing customers
◦ Profile customers with more accuracy
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Data stored in independent files
Problems: ◦ Data redundancy
◦ Lack of data integration
◦ Data dependence – files, storage devices, and software are dependent on each other
◦ Lack of data integrity or standardization
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Consolidate data into databases that can be accessed by different programs
Use a database management system (DBMS)
DBMS serves as interface between users and databases
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End users use a DBMS by asking for information via a query or a report generator
Query language – immediate responses to ad hoc data requests ◦ SQL (Structured Query Language) an international
standard query language
◦ Graphical Queries -- Point-and-click methods
◦ Natural Queries – similar to conversational English
Report generator – quickly specify a report format for information you want printed in a report
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Source: Courtesy of Microsoft Corp. 52
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Updating database to reflect new business transactions such as a new sale
Done by transaction processing systems with support of DBMS
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Use DBMS software development tools to develop custom application programs
Data Manipulation Language (DML)
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Acxiom Corporation manages other companies’ data as well as manages their data centers.
Acxiom manages large volumes of data in their data center and extract business intelligence from the data to drive smart decisions.
More than half of its revenue is generated by data-related services, such as building and hosting data warehouses, integrating and cleaning customer data, running customer relationship management applications, developing customer marketing lists, and analyzing data or providing clients with the means to analyze it themselves.
Privacy and security are both important issues when it comes to managing data.
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1. Acxiom is in a unique type of business. How would you describe the business of Acxiom? Is it a service- or a product-oriented business?
2. From the case, 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?
3. Acxiom’s business raises many issues related to privacy. Are the data collected by Acxiom really private?
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1. The case states that Acxiom started as the result of a spin-off from a bus company. Using the Internet, see if you can find the history of Acxiom. ◦ How does a bus company evolve into a data
collection and dissemination company?
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2. The privacy problems faced by Acxiom were associated with the accidental dissemination of data deemed sensitive by a third party. ◦ Discuss the privacy issues associated with Acxiom’s
business. Do you think the company is doing anything wrong?
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