1. © 2009 Pearson Education, Inc. Publishing as Prentice Hall Managing Corporate Information Resources Chapter 7 Information Systems Management in Practice 8 th Edition

2. © 2009 Pearson Education, Inc. Publishing as Prentice Hall 7-2 Chapter 7 Identifies problems in managing data and surveys evolution of DBMS Explores various types of information that companies need to manage Provides guidelines to management of knowledge (key organizational asset) Harbinger to Chapter 14

3. © 2009 Pearson Education, Inc. Publishing as Prentice Hall 7-3 Today’s Lecture Introduction Managing Data The Three-Level Database Model Four Data Models Getting Corporate Data into Shape Enterprise Resource Planning (ERP)

4. © 2009 Pearson Education, Inc. Publishing as Prentice Hall 7-4 Today’s Lecture cont’d Managing Information Four Types of Information Data Warehouses Document Management Content Management Managing Blogs Conclusion

5. © 2009 Pearson Education, Inc. Publishing as Prentice Hall 7-5 Introduction IS continually manages new forms of information resources Corporate databases Documents (electronic or paper) and Web content Knowledge management Data—Information—Knowledge

6. © 2009 Pearson Education, Inc. Publishing as Prentice Hall 7-6 Managing Data Data management Structured way data is represented, stored and retrieved for use. Database management systems (DBMS) are the main tool for managing corporate data Two principles of DBMS Three-level conceptual model Several alternative data models for organizing the data

7. © 2009 Pearson Education, Inc. Publishing as Prentice Hall 7-7 The Three-Level Database Model Level 1: External, conceptual or local level Various “user views” of corporate data Each application program has own view Level 2: Logical or enterprise data level “Technical” (human) view of all corporate data Controlled by database administrators Level 3: Physical or storage level Specifies the way data is physically stored For use by database administrators

8. © 2009 Pearson Education, Inc. Publishing as Prentice Hall 7-8 The Three-Level Database Model cont’d

9. © 2009 Pearson Education, Inc. Publishing as Prentice Hall 7-9 Four Data Models Alternative ways of defining relationships among types of data 1. Hierarchical Model Structures data so that each element is subordinate to another in a distinct hierarchical manner e.g., Parent-child relationship

10. © 2009 Pearson Education, Inc. Publishing as Prentice Hall 7-10 Four Data Models cont’d 2. Network Model Allows each data item to have more than one parent Relationships stated by pointers stored with the data 3. Relational Model Data stored in tables (intuitive for users) “Key” uniquely defines each record “Tuple-calculus” operations  Commands such as Select, Join, Match, etc. Data normalization (optimization) Not as efficient as hierarchical but more flexible  Database technology of choice (e.g., SQL, MS Access)

11. © 2009 Pearson Education, Inc. Publishing as Prentice Hall 7-11 Four Data Models cont’d 4. Object-Oriented Database Model Extension of concept of data to objects: Piece of data Methods that can perform work on data Attributes describing the data Relationships between objects Objects can be used to store any type of data e.g., spreadsheet, video clip, photograph, music segment Object database

12. © 2009 Pearson Education, Inc. Publishing as Prentice Hall 7-12 Four Data Models Object-oriented models retain traditional DBMS features including End-user tools High-level query languages Concurrency control Recovery Ability to handle huge amounts of data Addition of two major concepts Object management Knowledge management

13. © 2009 Pearson Education, Inc. Publishing as Prentice Hall 7-13 Four Data Models cont’d Object-oriented models outperform relational systems for certain types of database manipulation Scientific and engineering applications Corporations slow to adopt due to legacy systems Tenets of objects have increasingly become important in world of computing E.g., Web Services because XML modules utilize object principles

14. © 2009 Pearson Education, Inc. Publishing as Prentice Hall 7-14 Getting Corporate Data into Shape 1. Inconsistent Data Definitions Data definitions incompatible at many levels Application, department, site, division System designers sought data from cheapest and/or politically expedient source to get systems up and running quickly Organizations end up with different files Different names for same data Same name for different data Management cannot get data consistency across the enterprise to make data-driven decisions Products, markets, control structure

15. © 2009 Pearson Education, Inc. Publishing as Prentice Hall 7-15 Getting Corporate Data into Shape cont’d 2. Proliferation of heterogeneous database DBMSs used to meet a variety of specific tasks in many organizations Small databases in hundreds or thousands of microcomputers (PCs) across the organizations Independent applications, different data structures, naming conventions, administrative procedures Difficult for IS to manage corporate data seamlessly. Imagine data management for inter- organizational or global systems

16. © 2009 Pearson Education, Inc. Publishing as Prentice Hall 7-16 Getting Corporate Data into Shape cont’d 3. Data availability, integrity and security Availability How to get the terabytes of data at the right place and right time? Integrity Data should be entered correctly once in the system Security Data protection is a top concern in organizations today

17. © 2009 Pearson Education, Inc. Publishing as Prentice Hall 7-17 Getting Corporate Data into Shape cont’d Role of Data Administration Administering databases and software that manages them to provide accurate and timely information to users Determining what data is being used outside of originating organizational unit boundaries Definition and format must be standardized “Data dictionary” used as main tool  Data elements definition, schema, database structures, usernames, roles and privileges

18. © 2009 Pearson Education, Inc. Publishing as Prentice Hall 7-18 Enterprise Resource Planning ERP provides the means to consolidate data to give management a corporate-wide view of operations An important prerequisite to installing an ERP system is data consistency Data definitions cleaned up Shared data controlled Data distribution managed Data quality maintained

19. © 2009 Pearson Education, Inc. Publishing as Prentice Hall 7-19 Managing Information Once enterprises get their data into shape, that data can more easily be turned into information “Information is power” Managing information is a critical activity Technology = infrastructure Asset = information that runs on that infrastructure

20. © 2009 Pearson Education, Inc. Publishing as Prentice Hall 7-20 Managing Information cont’d Four Types of Information Internal record-based information—original focus of IS and most used in organizations Found in databases Internal document-based information Reports, emails, proposals External record-based information Acquisition from external databases External document-based information World-Wide-Web

21. © 2009 Pearson Education, Inc. Publishing as Prentice Hall 7-21 Four Types of Information

22. © 2009 Pearson Education, Inc. Publishing as Prentice Hall 7-22 Records versus Documents

23. © 2009 Pearson Education, Inc. Publishing as Prentice Hall 7-23 Managing Information cont’d Record-based information was IS focus Easy to generate and manage Little attention to document-based information Difficult to manipulate Intranets and Internet (html) changed this Documents integral part of information now IS is involved in all four areas of information today

24. © 2009 Pearson Education, Inc. Publishing as Prentice Hall 7-24 Scope of Information Management

25. © 2009 Pearson Education, Inc. Publishing as Prentice Hall 7-25 Data Warehouses Data warehouse: Stores data used to make decisions Obtained periodically from transaction databases Snapshot of situation at specific time Different from operational databases Customer data is most common type of data housed Corporate use transcends reporting internal data to business intelligence today

26. © 2009 Pearson Education, Inc. Publishing as Prentice Hall 7-26 Data Warehouses cont’d Metadata The part of the warehouse that defines the data Explains meaning of each data element and sets standards  e.g. to reconcile data from legacy systems Quality data The cleaning process to adhere to metadata standards The older the data the more suspect its quality Datamart A subset of data pulled off the warehouse for a specific group of users Faster search time and lower costs

27. © 2009 Pearson Education, Inc. Publishing as Prentice Hall 7-27 Data Warehouses cont’d Five steps in a data warehousing project: 1. Define the business uses of the data 2. Create the data model for the warehouse 3. Cleanse the data 4. Select the user tools 5. Monitor usage and system performance

28. © 2009 Pearson Education, Inc. Publishing as Prentice Hall 7-28 Data Warehouses cont’d Data warehouses are seen as strategic assets that can yield business intelligence customer behavior, internal operations, product mixes, etc. Again, getting corporate data into shape is a key prerequisite e.g., reconciling data from legacy systems

29. © 2009 Pearson Education, Inc. Publishing as Prentice Hall 7-29 Owens & Minor Case Example: Data Warehousing O&M—a medical and surgical supplier Illustrates how O&M is innovatively using its data to achieve competitive advantage ERP Data warehousing Web O&M employs these technologies to provide internal use of data (decision support) and also revenue- generating services to customers and suppliers

30. © 2009 Pearson Education, Inc. Publishing as Prentice Hall 7-30 Owens & Minor cont’d Implemented ERP to automate order forecasting Improved inventory turns, lowered ordering rates Improved customer service Provided customers and suppliers access to its data warehouse (inventory data) through “Wisdom” (Web medium) Predefined queries Interactive system (customers add external data) Mobile Web Services

31. © 2009 Pearson Education, Inc. Publishing as Prentice Hall 7-31 Owens & Minor “Wisdom” was the first e-business intelligence application in the industry O&M’s role as an industry “infomediary” important and gave it a competitive edge Strengthened relationships with partners, suppliers, customers Enticed new customers and created switching costs Generated new source of revenue

32. © 2009 Pearson Education, Inc. Publishing as Prentice Hall 7-32 Document Management Documents more pervasive and fundamental than anything else in an organization. Paper still plays a major role in most enterprises Need to move seamlessly between digital and print Electronic document management (EDM) uses new technologies for document management to produce significant impacts Business process redesign Quality improvement

33. © 2009 Pearson Education, Inc. Publishing as Prentice Hall 7-33 Document Management cont’d Improve the publishing process Traditional process has inefficiencies Infrequent long print runs require storing documents which become obsolete between runs 60% of total cost of delivering these documents in storage and transportation EDM enables major restructuring of publishing and distribution process of print documents Electronic storage Mass distribution (over time/space) and print when needed EDM minimizes obsolescence, physical warehouse costs and delivery time

34. © 2009 Pearson Education, Inc. Publishing as Prentice Hall 7-34 Traditional Publishing Process

35. © 2009 Pearson Education, Inc. Publishing as Prentice Hall 7-35 Electronic Document Management

36. © 2009 Pearson Education, Inc. Publishing as Prentice Hall 7-36 Document Management cont’d Supporting communication among people and groups The value of documents is that they transfer information across time and space Internet can help but people often still rely on print documents EDM can be used to facilitate such communications among people and groups Tapiola case study illustrates how

37. © 2009 Pearson Education, Inc. Publishing as Prentice Hall 7-37 Tapiola Insurance Group Case Example: Supporting communications among people and groups Tapiola Group offered 150 types of insurance policies with 300 different policy forms All preprinted by outside print company Reprinting new forms often took weeks Potential loss of revenue Investigate alternate ways for document publishing Reduce costs Provide new ways of marketing insurance products Make Tapiola “the most personal insurance company in Finland”

38. © 2009 Pearson Education, Inc. Publishing as Prentice Hall 7-38 Tapiola Insurance Group cont’d Centralized Solution Reduced 300 preprinted forms to 4 standard-sized forms Used plain paper printers from Xerox to generate forms Xerox electronic document processing products enables text, data, image and graphics in documents Decentralized Expansion Moved much of printing of customer correspondence to their 62 branch offices to improve customer service through better communication with customers and partners Mix of host computing with local EDM applications Fast banking system (collaboration with Finnish banks) Mission accomplished

39. © 2009 Pearson Education, Inc. Publishing as Prentice Hall 7-39 Document Management cont’d Supporting organizational processes Documents still the vehicle for accomplishing most organizational processes Use of technology to support processes generates significant business value (transaction) Reducing physical space Faster routing Managing and tracking work flow and load Use of technology to improve management processes Decision support Problem solving Control

40. © 2009 Pearson Education, Inc. Publishing as Prentice Hall 7-40 Tennessee Valley Authority Case Example: Supporting Organizational Processes Largest supplier of power in U.S. Revamped maintenance management system System relies on documents such as manuals, drawings and instructions that are regulated by government Analyzed and charted existing work processes to determine where improvements were most needed Discerned that document workflow was inextricably linked to work orders and therefore key to significant improvements

41. © 2009 Pearson Education, Inc. Publishing as Prentice Hall 7-41 Tennessee Valley Authority cont’d Revamped maintenance management Collapsed all disparate systems into two main integrated electronic systems Maintenance work orders Procedural management documents Redesigned entire process Data diagramming techniques to map out workflow Testing retrieval times, routing efficiencies, transmission rates Work orders generated electronically and then routed for approval with most current drawings and procedures Workers can easily access documentation on equipment parts, records and instructions etc.  Enables work efficiency and planning for future

42. © 2009 Pearson Education, Inc. Publishing as Prentice Hall 7-42 Tennessee Valley Authority cont’d New system an overall success Productivity and efficiency increases (  errors) Significant cost reductions (labor) and cycle time savings Work operations made transparent to public Team underestimated change management effort Improved document management system contributed to knowledge management

43. © 2009 Pearson Education, Inc. Publishing as Prentice Hall 7-43 Content Management Corporate intranets (Web content) now replace print documents Necessary to support scale of e-business operations Automation of content Computer-readable and interchangeable format  e.g., XML Content is no longer static, but interactive

44. © 2009 Pearson Education, Inc. Publishing as Prentice Hall 7-44 Content Management cont’d To create a content management strategy, companies need to understand the three phases of content 1. Managing content creation and acquisition 2. Content administration and safeguarding 3. Content deployment and presentation

45. © 2009 Pearson Education, Inc. Publishing as Prentice Hall 7-45 Content Management cont’d 1. Managing content creation and acquisition Focus on creating content quality Content can be purchased from external specialists  syndicated content Decentralized organizational structure for content creation and maintenance to content- expert employees is best approach Central direction for dispersed experts however required Standardized organization-wide formats to integrate content into overall workflow also needed

46. © 2009 Pearson Education, Inc. Publishing as Prentice Hall 7-46 Content Management cont’d Source: Adapted from Chuck, Tueber, Dealing in Web Currency, Gartner EXP, 56 Top Gallant, Stamford, CT, June 2001.

47. © 2009 Pearson Education, Inc. Publishing as Prentice Hall 7-47 Content Management cont’d 2. Content Administration and Safeguarding Efficiency is key in this phase Content management tools can be used to identify types of content and the business rules that apply to each type Content administration should be centralized Organizational workflow  How content fits into overall organization process Content approval  e.g., foreign language translation

48. © 2009 Pearson Education, Inc. Publishing as Prentice Hall 7-48 Content Management cont’d 3. Content Deployment and Presentation Effectiveness is the emphasis in this phase— maximize effect of Web content presentation Attract visitors and gain desired outcomes  Easy site navigation, pertinent and accurate information This phase is crucial to success of e-commerce effort and so Web site design should start here Most Web sites today require certain features to attract and retain visitors Personalization Localization

49. © 2009 Pearson Education, Inc. Publishing as Prentice Hall 7-49 Content Management cont’d Selecting Web Content Management tools Wide range of COTS available today Some important selection criteria Digital asset management Information rights management Ability to handle full range of digital content types Versioning Workflow and approval routing Web publishing platform

50. © 2009 Pearson Education, Inc. Publishing as Prentice Hall 7-50 Eastman Chemical Company Case Example: Content Management Redesigned Web site in 1999 Goal to become more customer-oriented and launch e- commerce initiative Outside-in view (process starts from customer markets) Upgraded content management software for seamless process to Create pre-approved templates for employees to use (distributed), and Forward content pages for approval (centralized)

51. © 2009 Pearson Education, Inc. Publishing as Prentice Hall 7-51 Eastman Chemical Company cont’d Benefits of site redesign Web traffic growth far greater than expected Overall traffic tripled 50 percent outside of U.S. 70 percent in market sectors where Eastman sells its products Customers report that online availability of technical data significantly improved their internal decision-making processes Eastman now working on globalizing and personalizing the site even further

52. © 2009 Pearson Education, Inc. Publishing as Prentice Hall 7-52 Managing Blogs Blog = Web log Originally intended as personal electronic journal Increasingly used in lieu of traditional Web site today Competes with mainstream media Opportunities and challenges for organizations posed by this immediate form of publishing and communication Used for crisis management, knowledge management Information security Careless or deliberate leak of confidential information Company reputation vulnerable

53. © 2009 Pearson Education, Inc. Publishing as Prentice Hall 7-53 Groove Networks Company views personal Web sites and blogs positively Established employee guidelines for personal Website and blogs however Clarify to readers that personal views expressed are separate from those of the company Take care not to disclose confidential information Generally, exercise good discretion and be respectful to Company Employees Customers

54. © 2009 Pearson Education, Inc. Publishing as Prentice Hall 7-54 Conclusion IS job of managing information resources is widening significantly Get corporate data in shape Create and build infrastructure to manage full spectrum of information types Internet provides an easily accessible place to store and retrieve information ad hoc. Issues include, but are not limited to: Information glut Security

55. © 2009 Pearson Education, Inc. Publishing as Prentice Hall 7-55 All rights reserved. No part of this publication may be reproduced, stored in a retrieval system, or transmitted, in any form or by any means, electronic, mechanical, photocopying, recording, or otherwise, without the prior written permission of the publisher. Printed in the United States of America. Copyright © 2009 Pearson Education, Inc. Copyright © 2009 Pearson Education, Inc. Publishing as Prentice Hall