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Chapter 7 Data Resource Management DATA CONCEPTS DATABASE MANAGEMENT TYPES OF DATABASES McGraw-Hill/Irwin c. d. e e. Explain E l i th the b business i value l off iimplementing l ti d data t resource management processes and technologies in an organization. organization 2. Outline the advantages of a database management approach h tto managing i th the d data t resources off a business, compared to a file processing approach. 3. Explain l i h how d database b management software f h helps l business professionals and supports the operations and d management off a b business. i 1. Learning g Objectives j Case 1: Harrah’s Entertainment and Others 7-3 7-4 concepts: b. 7-2 Copyright © 2007 by The McGraw-Hill Companies, Inc. All rights d 4. Provide P id examples l tto ill illustrate t t each h off th the ffollowing ll i a. Learning g Objectives j Major M j types t off d databases t b Data warehouses and data mining Logical data elements Fundamental database structures Database development y For F casinos, i one off their th i mostt iimportant t t assets t iis th the data about the high-roller customers y What h steps can b be taken k to prevent employees l ffrom stealing this data? { { { Manageriall Legal T h i l Technical Case Studyy Q Questions Real World Internet Activityy 7-5 7-6 Why h Wh have d developments l t in i IT h helped l d to t increase i the value of the data resources of many companies? 2. How have h these h capabilities bili i iincreased d the h security i challenges associated with protecting a company’s d t resources?? data 3. How can companies use IT to meet the challenges off d data resource security? i 1. { { See if you can find examples of how companies treat their data. Does there seem to be any relationship between companies that look at their data as an asset and companies that are highly successful in their respective industries? Examples p of logical g data elements 7-7 7-8 to the casino industry. In small groups, { Companies C i are iincreasingly i l adopting d ti a position iti that data is an asset that must be managed with the same level of attention as that of cash and other capital. Using the Internet, Real World Group p Activityy y The Th case illustrates ill t t h how valuable l bl d data t resources are { 1. Discuss other Di th iindustries d t i where h th their i d data t are clearly l l th their i lifeblood. For example, example it has been estimated that any firm in the financial industry would have a life expectancy of less than 100 hours if they were placed in a position where they could not access their h i organizational i i l data. d D Do you agree with i h this hi estimate? Fundamental Data Concepts p Fundamental Data Concepts p 7-9 7-10 y Character: Ch t single i l alphabetic, l h b ti numeric i or other th y File Fil or table: t bl a group off related l t d records d symbol y Field i ld or data d iitem: a grouping i off related l d characters h y Database: an integrated collection of logically { { related l dd data elements l Represents an attribute (a characteristic or quality) of some entity (object, (object person person, place or event) Example: salary y Record: grouping of all the fields used to describe the attributes of an entity { Example: payroll record with name, name SSN and rate of pay Electric Utilityy Database Database Structures 7-11 7-12 y Hierarchical Hi hi l y Network y Relational y Object-oriented j y Multidimensional Source: Adapted from Michael V. Mannino, Database Application Development and Design (Burr Ridge, IL: McGraw-Hill/Irwin, 2001), p. 6. Hierarchical Structure Hierarchical Structure 7-13 7-14 y Early E l DBMS structure t t y Records arranged in tree-like structure y Relationships are one-to-many Network Structure Network Structure 7-15 7-16 y Used U d iin some mainframe i f DBMS packages k y Many-to-many relationships Relational Structure Relational Structure 7-17 7-18 y Most M t widely id l used d structure t t y Data elements are viewed as being stored in tables y Row represents record y Column represents p field y Can relate data in one file with data in another file if both files share a common data element Relational Operations p Multidimensional Structure 7-19 7-20 yS Select: l t { Create a subset of records that meet a stated criterion { Example, E l select l t employees l who h make k more th than $ $30,000 y Join { Combine C bi two or more tables bl temporarily il { Looks like one big table yP Project j t { Create a subset of columns in a table y Variation V i ti off relational l ti l model d l y Uses multidimensional structures to organize data y Data elements are viewed as being in cubes y Popular p for analytical y databases that support pp Online Analytical Processing (OLAP) Multidimensional Model Object-oriented j Structure 7-22 7-21 y Obj Objectt consists i t off { Data values describing the attributes of an entity { Operations O ti that th t can b be performed f d on th the d data t y Encapsulation: { Combine C bi d data and d operations i y Inheritance: { New objects can be created by replicated some or all of the characteristics of parent objects 5-21 Object-oriented j Structure Object-oriented j Structure 7-23 7-24 y Used U d in i Obj Object-oriented t i t dd database t b managementt systems (OODBMS) y Supports S complex l d data types { 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. Copyright @ 1995, Association for Computing Machinery. By permission. Examples, graphic images, video clips, web pages Evaluation of Database Structures Database Development p 7-25 7-26 y Hi Hierarchical hi l { Worked for structured routine transaction processing { Can’t C ’t handle h dl many-to-many t relationships l ti hi y Network { More M fl flexible ibl than h hi hierarchical hi l { Unable to handle ad hoc requests yR Relational l ti l { Easily respond to ad hoc requests { Easier E i to work k with i h and d maintain i i { Not as efficient or quick as hierarchical or network yD Database t b Ad Administrator i i t t (DBA) { In charge of enterprise database development yD Data D Definition fi i i L Language (DDL) { Develop and specify the data contents, relationships and structure { These specifications are stored in data dictionary y Data dictionary { Data base catalog containing metadata { Metadata – data about data Database Development p Data Planning g Process 7-27 7-28 yE Enterprise t i M Model d l { Defines basic business process of the enterprise { Defined D fi d by b DBAs DBA and d designers d i with ith end d users y Data Modeling { Relationships R l i hi between b d data elements l { Entity Relationship Diagram (ERD) common tool for modeling Entityy Relationship p Diagram g Database Design g Process 7-29 7-30 yL Logical i l design d i { Schema – overall logical view of relationships { Subschema S b h – logical l i l view i ffor specific ifi end d users { Data models for DBMS y Ph Physical i l design d i { How data are to be stored and accessed on storage devices Logical g and Physical y Database Views Case 2: Emerson and Sanofi Data stewards seek data conformityy 7-31 7-32 y Data D t stewards: t d d dedicated di t d tto establishing t bli hi and d maintaining the quality of data y Data quality li team requires i b business, i technology h l and d diplomatic skills y Focus on data content Case Studyy Q Questions Real World Internet Activityy 7-33 7-34 Why is Wh i the th role l off a d data t steward t d considered id d tto b be innovative? Explain. 2. What h are the h b business i b benefits fi associated i d with i h the h data steward program at Emerson? 3. How does effective data resource management contribute to the strategic goals of an organization? Provide id examples l ffrom Emerson and d others. h 1. 1. The role Th l off data d t steward t d is i relatively l ti l new, and d it its creation is motivated by the desire to protect the valuable data assets of the firm. firm There are many job descriptions in the modern organization associated with the strategic management of data resources. Using the Internet, { { Real World Group p Activityy Data Resource Management g 7-35 7-36 y As A more and d more d data t are collected, ll t d stored, t d processed, and disseminated by organizations, new and innovative ways to manage them must be developed. In small groups, { { See if you can find evidence of other job roles that are focused on the management of an organization’s data. How might g ap person train for these new jjobs? 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? y Managerial M i l activity ti it y Applies IS technologies like data management and data warehousing d h i to manage d data resources to meet the information needs of business stakeholders Types yp of databases Operational p Databases 7-37 7-38 y Store St detailed d t il d d data t tto supportt b business i processes y Examples, customer database, inventory database Distributed Databases External Databases 7-39 7-40 y Copies or parts of databases on servers at a variety of locations y Challenge: any data change in one location must be made in all other locations y Replication: { Look at each distributed database and find changes { Apply changes to each distributed database { Very complex y Duplication D li ti { One database is master { Duplicate that database after hours in all locations { Easier y Databases D t b available il bl ffor a ffee ffrom commercial i l online li services or y For free f ffrom World ld Wide id Web b y Examples, statistical databanks, bibliographic and full text databases Hypermedia yp Database Data Warehouse 7-41 7-42 y Stores data that has been extracted from the y Website W b it database d t b y Consists of hyperlinked pages of multimedia (text, graphics, hi video id clips, li audio di segments)) operational, external and other databases y Data has been cleaned cleaned, transformed and cataloged y Used by managers and professionals for { { { { { Data mining, mining Online analytical processing, Business analysis, y , Market research, Decision support y Data mart is subset of warehouse for specific use of department Data Warehouse Data Mining g 7-43 7-44 y Data D t iin d data t warehouse h are analyzed l d tto reveall hidden patterns and trends Examples: l { { { { Source: Adapted courtesy of Hewlett-Packard. 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 Traditional File Processing g Traditional File Processing g 5-45 7-46 y Data D t stored t d in i iindependent d d t fil files y Problems: { Data redundancy { Lack of data integration { Data D d dependence d – files, fil storage d devices, i and d software f are dependent on each other { Lack of data integrity or standardization Database Management g Approach pp Database Management g Approach pp 7-47 7-48 y Consolidate C lid t d data t iinto t d databases t b th thatt can b be accessed d by different programs y Use a d database b management system ((DBMS) S) y DBMS serves as interface between users and databases DBMS Major j Functions Database Interrogation g 7-49 7-50 y End E d users use a DBMS b by asking ki ffor iinformation f ti via i a query or a report generator y Query Q llanguage – immediate i di responses to ad dh hoc data requests { { { SQL (Structured d Query Language) an internationall standard d d query language Graphical Queries -- Point-and-click Point and click methods Natural Queries – similar to conversational English y Report generator – quickly specify a report format for information you want printed in a report Natural Language g g versus SQL Q Graphical p Q Queryy 7-51 7-52 Source: Courtesy of Microsoft Corp. Database Maintenance Application pp Development p 7-53 7-54 y Updating U d ti d database t b tto reflect fl t new b business i y Use U DBMS software ft development d l t ttools l tto d develop l transactions such as a new sale y Done by b transaction i processing i systems with i h support of DBMS custom application programs y Data Manipulation i l i Language ((DML)) Case 3: Acxiom Corporation Data Demands Respect p Case Studyy Q Questions 7-55 5-56 yA Acxiom i does d three th thi things: { Managing large volumes of data { Cleaning, Cl i transforming, t f i and d enhancing h i th thatt d data t { Distilling business intelligence from that data to drive smart decisions y Provides information products y Manages clients clients’ data Acxiom A i is i iin a unique i type t off b business. i H How would ld you describe the business of Acxiom? Are they a service or a product-oriented serviceproduct oriented business? 2. From the case, it is easy to see that Acxiom has f focused d on a wide id variety i t off d data t ffrom diff differentt sources. How does Acxiom decide which data to collect ll t and d ffor whom? h ? 3. Acxiom’s business raises many issues related to privacy. i IIs the h d data collected ll db by A Acxiom i really ll private? 1. 1. Real World Internet Activityy Real World Group p Activityy 7-57 7-58 IIn the th case, it was stated t t d th thatt A Acxiom i started t t d as th the result of a spin-off from a bus company. Using the Internet, Internet { { See if you can find the history of Acxiom. How does a bus company evolve into a data collection and dissemination company? y The Th privacy i problems bl ffaced db by A Acxiom i were associated with the accidental dissemination of data deemed sensitive by a third party party. In small groups groups, { { Discuss the privacy issues associated with Acxiom’s business. Do you think they are doing anything wrong?