exploring business 2.0 © 2012 flat world knowledge chapter 15: managing information and technology

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Exploring Business 2.0 © 2012 Flat World Knowledge Chapter 15: Managing Information Chapter 15: Managing Information And Technology And Technology

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Page 1: Exploring Business 2.0 © 2012 Flat World Knowledge Chapter 15: Managing Information And Technology

Exploring Business 2.0 © 2012 Flat World Knowledge

Chapter 15: Managing InformationChapter 15: Managing InformationAnd TechnologyAnd Technology

Page 2: Exploring Business 2.0 © 2012 Flat World Knowledge Chapter 15: Managing Information And Technology

Exploring Business 2.0 © 2012 Flat World Knowledge

Chapter ObjectivesChapter Objectives

1. Distinguish between data and information.

2. Define information system (IS) and identify the tasks of the information systems manager.

3. Explain how IS managers capture, store, and analyze data.

4. Discuss ways in which an IS can be designed to meet the needs of individuals at various organizational levels.

Page 3: Exploring Business 2.0 © 2012 Flat World Knowledge Chapter 15: Managing Information And Technology

Exploring Business 2.0 © 2012 Flat World Knowledge

Chapter ObjectivesChapter Objectives

5. Describe the main systems for sharing information through networked computers.

6. Define cloud computing and identify its advantages and disadvantages.

7. Explain how four networking technologies—the Internet, the World Wide Web, intranets, and extranets—make data communication possible.

8. Identify and discuss challenges faced by companies engaged in e-commerce.

9. Identify career opportunities in information management.

Page 4: Exploring Business 2.0 © 2012 Flat World Knowledge Chapter 15: Managing Information And Technology

Exploring Business 2.0 © 2012 Flat World Knowledge

Data versus Data versus InformationInformation

“…data: unprocessed facts.”

“…information: data that have been processed, or turned into some

useful form.”

Page 5: Exploring Business 2.0 © 2012 Flat World Knowledge Chapter 15: Managing Information And Technology

Exploring Business 2.0 © 2012 Flat World Knowledge

Information SystemInformation System

“…the combination of technologies, procedures, and people who collect

and distribute the information needed to make decisions and

coordinate and control company-wide activities.”

Page 6: Exploring Business 2.0 © 2012 Flat World Knowledge Chapter 15: Managing Information And Technology

Exploring Business 2.0 © 2012 Flat World Knowledge

IS ManagementIS Management Chief Information Officer

Chief Technology Officer

Information Managers• Determine information needs

• Collect data

• Convert data into information

• Direct information

Page 7: Exploring Business 2.0 © 2012 Flat World Knowledge Chapter 15: Managing Information And Technology

Exploring Business 2.0 © 2012 Flat World Knowledge

Differing Information Differing Information NeedsNeeds

Top Managers• Planning• Setting Objectives• Strategic Decisions

Middle Managers• Allocate Resources• Oversee Activities

First-Line Managers• Supervise Employees• Oversee Daily Operations• Coordinate Activities

Page 8: Exploring Business 2.0 © 2012 Flat World Knowledge Chapter 15: Managing Information And Technology

Exploring Business 2.0 © 2012 Flat World Knowledge

Information Needs and FlowsInformation Needs and Flows

Page 9: Exploring Business 2.0 © 2012 Flat World Knowledge Chapter 15: Managing Information And Technology

Exploring Business 2.0 © 2012 Flat World Knowledge

Need To Share Need To Share InformationInformation

Integrated IT

Enterprise Resource Planning System

Page 10: Exploring Business 2.0 © 2012 Flat World Knowledge Chapter 15: Managing Information And Technology

Exploring Business 2.0 © 2012 Flat World Knowledge

ERP SystemERP System

Page 11: Exploring Business 2.0 © 2012 Flat World Knowledge Chapter 15: Managing Information And Technology

Exploring Business 2.0 © 2012 Flat World Knowledge

Data and DatabasesData and Databases

Databases

Data Warehouse

Data Mining

•Customer Behavior

Page 12: Exploring Business 2.0 © 2012 Flat World Knowledge Chapter 15: Managing Information And Technology

Exploring Business 2.0 © 2012 Flat World Knowledge

Data Mining ProcessData Mining Process

Page 13: Exploring Business 2.0 © 2012 Flat World Knowledge Chapter 15: Managing Information And Technology

Exploring Business 2.0 © 2012 Flat World Knowledge

Types OfTypes OfInformation SystemsInformation Systems

Operations Support•Transaction Processing•Process Control•Design & Production

Management Support•Management information•Decision support•Executive information

Artificial Intelligence•Expert•Face-Recognition

Page 14: Exploring Business 2.0 © 2012 Flat World Knowledge Chapter 15: Managing Information And Technology

Exploring Business 2.0 © 2012 Flat World Knowledge

Transaction Processing Transaction Processing SystemSystem

Page 15: Exploring Business 2.0 © 2012 Flat World Knowledge Chapter 15: Managing Information And Technology

Exploring Business 2.0 © 2012 Flat World Knowledge

Design And Production Design And Production SystemsSystems

Computer-Aided Design

Computer-Aided Manufacturing

Computer-Integrated Manufacturing

Flexible Manufacturing

Page 16: Exploring Business 2.0 © 2012 Flat World Knowledge Chapter 15: Managing Information And Technology

Exploring Business 2.0 © 2012 Flat World Knowledge

Decision Support Decision Support SystemsSystems

Page 17: Exploring Business 2.0 © 2012 Flat World Knowledge Chapter 15: Managing Information And Technology

Exploring Business 2.0 © 2012 Flat World Knowledge

ExecutiveExecutiveInformation SystemsInformation Systems

“…provides ready access to strategic information that’s customized to … and

presented in a convenient format..”

Page 18: Exploring Business 2.0 © 2012 Flat World Knowledge Chapter 15: Managing Information And Technology

Exploring Business 2.0 © 2012 Flat World Knowledge

Artificial IntelligenceArtificial Intelligence

Artificial Intelligence Applications•Expert Systems•Face-Recognition Technology

The science of developing computer systems that can mimic human behavior

Page 19: Exploring Business 2.0 © 2012 Flat World Knowledge Chapter 15: Managing Information And Technology

Exploring Business 2.0 © 2012 Flat World Knowledge

Computer Computer NetworksNetworks

Applications Software

Local-Area Network

Wide-Area Network

Page 20: Exploring Business 2.0 © 2012 Flat World Knowledge Chapter 15: Managing Information And Technology

Exploring Business 2.0 © 2012 Flat World Knowledge

Local Area Local Area NetworkNetwork

Page 21: Exploring Business 2.0 © 2012 Flat World Knowledge Chapter 15: Managing Information And Technology

Exploring Business 2.0 © 2012 Flat World Knowledge

Cloud ComputingCloud Computing

“… performing computer tasks using services provided over the Internet”

Page 22: Exploring Business 2.0 © 2012 Flat World Knowledge Chapter 15: Managing Information And Technology

Exploring Business 2.0 © 2012 Flat World Knowledge

Application of Cloud Application of Cloud ComputingComputing

• Companies can contract for various cloud computing services. These include:– Software-as-a Service (SssA)

• Gives companies access to a large assortment of software packages

– Infrastructure-as-a-Service (IaaS)• Provides users with hardware, including servers,

network equipment and disk space

– Platform-as-a-Service (PaaS)• Provide services that enable users to develop

customized web applications

Page 23: Exploring Business 2.0 © 2012 Flat World Knowledge Chapter 15: Managing Information And Technology

Exploring Business 2.0 © 2012 Flat World Knowledge

Advantages of Cloud Advantages of Cloud ComputingComputing  

1. Cost savings2. Speed of Delivery 3. Scalable4. Employees Can Be Mobile 5. Information Technology Staff

Page 24: Exploring Business 2.0 © 2012 Flat World Knowledge Chapter 15: Managing Information And Technology

Exploring Business 2.0 © 2012 Flat World Knowledge

Disadvantages of Cloud Disadvantages of Cloud ComputingComputing

1. Disruption in Internet Service2. Security 3. Service Provider System Crash

Page 25: Exploring Business 2.0 © 2012 Flat World Knowledge Chapter 15: Managing Information And Technology

Exploring Business 2.0 © 2012 Flat World Knowledge

Data Communication NetworksData Communication Networks

Internet• Internet Service Providers• World Wide Web/Browsers

Intranets Extranets

“…transmit digital data… from one computer to another using...wired and wireless

communication channels.”

Page 26: Exploring Business 2.0 © 2012 Flat World Knowledge Chapter 15: Managing Information And Technology

Exploring Business 2.0 © 2012 Flat World Knowledge

Technology Of The WebTechnology Of The Web

Web Pages Web Sites Webmaster Home Page Uniform Resource Locator Web Server Search Engine

Page 27: Exploring Business 2.0 © 2012 Flat World Knowledge Chapter 15: Managing Information And Technology

Exploring Business 2.0 © 2012 Flat World Knowledge

Intranets/Intranets/ExtranetsExtranets

Intranet • “…a private network using… technologies…

available only to employees....”

Firewall • Software that controls access to an Intranet

Extranet • “…intranet… partially available to certain

parties outside the organization.”

Page 28: Exploring Business 2.0 © 2012 Flat World Knowledge Chapter 15: Managing Information And Technology

Exploring Business 2.0 © 2012 Flat World Knowledge

ExtranetExtranet

Page 29: Exploring Business 2.0 © 2012 Flat World Knowledge Chapter 15: Managing Information And Technology

Exploring Business 2.0 © 2012 Flat World Knowledge

E-CommerceE-Commerce

“…conducting business over the Internet...”

Page 30: Exploring Business 2.0 © 2012 Flat World Knowledge Chapter 15: Managing Information And Technology

Exploring Business 2.0 © 2012 Flat World Knowledge

Business UsesBusiness UsesOf The InternetOf The Internet

Presenting Information

Selling Products

Distributing Digital Products

Acquiring Goods/Services

Virtual Company

Page 31: Exploring Business 2.0 © 2012 Flat World Knowledge Chapter 15: Managing Information And Technology

Exploring Business 2.0 © 2012 Flat World Knowledge

Electronic Data Interchange Electronic Data Interchange & Value-Added& Value-Added

Page 32: Exploring Business 2.0 © 2012 Flat World Knowledge Chapter 15: Managing Information And Technology

Exploring Business 2.0 © 2012 Flat World Knowledge

Security Issues InSecurity Issues InElectronic CommunicationElectronic Communication

Data Security

Malicious Programs

Spoofing

Revenue Theft

Risks to Customers

Page 33: Exploring Business 2.0 © 2012 Flat World Knowledge Chapter 15: Managing Information And Technology

Exploring Business 2.0 © 2012 Flat World Knowledge

Malicious Malicious ProgramsPrograms

Viruses

Worms

Trojan Horses

Page 34: Exploring Business 2.0 © 2012 Flat World Knowledge Chapter 15: Managing Information And Technology

Exploring Business 2.0 © 2012 Flat World Knowledge

Types Of Revenue TheftTypes Of Revenue Theft

Denial of Service

Piracy

Page 35: Exploring Business 2.0 © 2012 Flat World Knowledge Chapter 15: Managing Information And Technology

Preventing Unwanted Preventing Unwanted IntrudersIntruders

• Firewalls:– Act as a gatekeeper– Inspects and screens all incoming

messages to prevent unwanted intruders

– Regulates outgoing traffic to preventing employees from sending out confidential data

Exploring Business 2.0 © 2012 Flat World Knowledge

Page 36: Exploring Business 2.0 © 2012 Flat World Knowledge Chapter 15: Managing Information And Technology

Exploring Business 2.0 © 2012 Flat World Knowledge

Risks To CustomersRisks To Customers

Credit-Card Theft

Password Theft

Invasion of Privacy

Page 37: Exploring Business 2.0 © 2012 Flat World Knowledge Chapter 15: Managing Information And Technology

Exploring Business 2.0 © 2012 Flat World Knowledge

How Cookies WorkHow Cookies Work

Page 38: Exploring Business 2.0 © 2012 Flat World Knowledge Chapter 15: Managing Information And Technology

Exploring Business 2.0 © 2012 Flat World Knowledge

Shoring Up SecurityShoring Up SecurityAnd Building TrustAnd Building Trust

Encryption • “…process of encoding data so...only individuals (or computers) armed with a

secret code (or key) can decode it.”

Certificate Authority • “…a third party… verifies the identity of the

responding computer and sends you a digital certificate stating that it trusts the

site.”

Page 39: Exploring Business 2.0 © 2012 Flat World Knowledge Chapter 15: Managing Information And Technology

Exploring Business 2.0 © 2012 Flat World Knowledge

Careers InCareers InInformation ManagementInformation Management

• Requirement for entry-level IS jobs: – Bachelor’s degree with information

systems major

– Can supplement with minors in computer science or a business area

Page 40: Exploring Business 2.0 © 2012 Flat World Knowledge Chapter 15: Managing Information And Technology

Exploring Business 2.0 © 2012 Flat World Knowledge

Careers InCareers InInformation ManagementInformation Management

•Management path or Technical path

• Senior Officers: Chief Information Officer and Chief Technology Officer