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Fundamentals of Information
Systems, Fifth Edition
Chapter 3
Database Systems and Business
Intelligence
Principles and Learning Objectives
• Data management and modeling are key aspects
of organizing data and information
– Define general data management concepts and
terms, highlighting the advantages of the database
approach to data management
– Describe the relational database model and outline
its basic features
Fundamentals of Information Systems, Fifth Edition
2
Principles and Learning Objectives
(continued)
• A well-designed and well-managed database is an
extremely valuable tool in supporting decision
making
– Identify the common functions performed by all
database management systems, and identify
popular database management systems
• The number and types of database applications will
continue to evolve and yield real business benefits
– Identify and briefly discuss current database
applications
Fundamentals of Information Systems, Fifth Edition
3
Data Management
• Without data and the ability to process it an
organization could not successfully complete most
business activities
• For data to be transformed into useful information,
it must first be organized in a meaningful way
Fundamentals of Information Systems, Fifth Edition
4
The Hierarchy of Data
• Bit
– Circuit that is either on or off
– Eight bits = one byte
• Character
– Basic building block of information
• Field
– Name, number, or combination of characters that
describes an aspect of a business object or activity
Fundamentals of Information Systems, Fifth Edition
5
The Hierarchy of Data (continued)
• Record
– Collection of related data fields
• File
– Collection of related records
• Database
– Collection of integrated and related files
• Hierarchy of data
– Bits, characters, fields, records, files, and databases
Fundamentals of Information Systems, Fifth Edition
6
The Hierarchy of Data (continued)
Fundamentals of Information Systems, Fifth Edition
7
Data Entities, Attributes, and Keys
• Entity
– Generalized class of people, places, or things for
which data is collected, stored, and maintained
• Attribute
– Characteristic of an entity
• Data item
– Value of an attribute
Fundamentals of Information Systems, Fifth Edition
8
Data Entities, Attributes, and Keys
(continued)
• Key
– Field or set of fields in a record that is used to
identify the record
• Primary key
– Field or set of fields that uniquely identifies the
record
Fundamentals of Information Systems, Fifth Edition
9
Data Entities, Attributes, and Keys
(continued)
Fundamentals of Information Systems, Fifth Edition
10
The Database Approach
• Traditional approach to database management
– Separate data files are created and stored for each
application program
• Database approach to database management
– Multiple application programs share a pool of related
data
Fundamentals of Information Systems, Fifth Edition
11
The Database Approach (continued)
Fundamentals of Information Systems, Fifth Edition
12
The Database Approach (continued)
Fundamentals of Information Systems, Fifth Edition
13
Data Modeling and Database
Characteristics
• When building a database, consider:
– Content: What data should be collected, at what
cost?
– Access: What data should be provided to which
users and when?
– Logical structure: How should data be arranged to
make sense to a given user?
– Physical organization: Where should data be
physically located?
Fundamentals of Information Systems, Fifth Edition
14
Data Modeling
• Building a database requires two types of designs
– Logical design
• Abstract model of how data should be structured and
arranged to meet an organization’s information needs
– Physical design
• Fine-tunes the logical database design for
performance and cost considerations
Fundamentals of Information Systems, Fifth Edition
15
Data Modeling (continued)
• Planned data redundancy
– Improves system performance
• Data model
– Diagram of data entities and their relationships
• Enterprise data modeling
– Data modeling done at the level of the entire
enterprise
• Entity-relationship (ER) diagrams
– Data models that use basic graphical symbols to
show the organization of and relationships between
data
Fundamentals of Information Systems, Fifth Edition
16
Data Modeling (continued)
Fundamentals of Information Systems, Fifth Edition
17
The Relational Database Model
• Relational model
– Describes data using a standard tabular format
– Data elements are placed in two-dimensional tables,
called relations, the logical equivalent of files
• Domain
– Allowable values for data attributes
Fundamentals of Information Systems, Fifth Edition
18
The Relational Database Model
(continued)
Fundamentals of Information Systems, Fifth Edition
19
Manipulating Data
• Selecting
– Eliminates rows according to criteria
• Projecting
– Eliminates columns in a table
• Joining
– Combines two or more tables
• Linking
– Combines two or more tables using common data
attributes
Fundamentals of Information Systems, Fifth Edition
20
Manipulating Data (continued)
Fundamentals of Information Systems, Fifth Edition
21
Manipulating Data (continued)
Fundamentals of Information Systems, Fifth Edition
22
Database Management Systems
(DBMS)
• Group of programs used as an interface between a
database and application programs or a database
and the user
• Used to manage all kinds of data for all kinds of
purposes
Fundamentals of Information Systems, Fifth Edition
23
Overview of Database Types
• Flat file
– Simple database program whose records have no
relationship to one another
• Single user
– Only one person can use the database at a time
• Multiple user
– Allows dozens or hundreds of people to access the
same database system at the same time
– Examples: Oracle, Sybase, and IBM
Fundamentals of Information Systems, Fifth Edition
24
Providing a User View
• Schema
– Logical and physical structure of the data and
relationships among the data in the database
– Can be part of the database or a separate schema
file
Fundamentals of Information Systems, Fifth Edition
25
Creating and Modifying the Database
• Data definition language (DDL)
– Collection of instructions/commands that define and
describe data and data relationships in a database
– Allows database creator to describe the data and the
data relationships that are to be contained in the
schema
• Data dictionary
– Detailed description of all the data used in the
database
Fundamentals of Information Systems, Fifth Edition
26
Creating and Modifying the Database
(continued)
Fundamentals of Information Systems, Fifth Edition
27
Creating and Modifying the Database
(continued)
Fundamentals of Information Systems, Fifth Edition
28
Storing and Retrieving Data
• One function of a DBMS is:
– To be an interface between an application program
and the database
• Concurrency control
– Method of dealing with a situation in which two or
more people need to access the same record in a
database at the same time
Fundamentals of Information Systems, Fifth Edition
29
Storing and Retrieving Data
(continued)
Fundamentals of Information Systems, Fifth Edition
30
Manipulating Data and Generating
Reports
• Query-by-example (QBE)
– Visual approach to developing database queries or
requests
• Data manipulation language (DML)
– Commands that manipulate the data in a database
• Structured Query Language (SQL)
– Standardized data manipulation language
– Lets programmers learn one powerful query
language and use it on systems ranging from PCs to
the largest mainframe computers
Fundamentals of Information Systems, Fifth Edition
31
Manipulating Data and Generating
Reports (continued)
Fundamentals of Information Systems, Fifth Edition
32
Database Administration
• Database administrator (DBA) should:
– Have a clear understanding of the fundamental
business of the organization
– Be proficient in the use of selected database
management systems
– Stay abreast of emerging technologies and new
design approaches
Fundamentals of Information Systems, Fifth Edition
33
Popular Database Management
Systems
• Popular DBMSs for end users
– Microsoft Access and FileMaker Pro
• Emerging software
– Database as a Service (DaaS) or Database 2.0
– Database administration is provided by the service
provider
Fundamentals of Information Systems, Fifth Edition
34
Special-Purpose Database Systems
• Specialized database packages
– Israeli Holocaust Database
– Morphbank
– iTunes Store music and video catalog
Fundamentals of Information Systems, Fifth Edition
35
Selecting a Database Management
System
• Important characteristics of databases:
–
–
–
–
–
–
Database size
Database cost
Concurrent users
Performance
Integration
Vendor
Fundamentals of Information Systems, Fifth Edition
36
Using Databases with Other Software
• Database management systems are often used
with other software packages or the Internet
• Front-end application
– Directly interacts with users
• Back-end application
– Interacts with applications
Fundamentals of Information Systems, Fifth Edition
37
Database Applications
• Manipulate content of a database to produce useful
information
• Common manipulations
– Searching, filtering, synthesizing, and assimilating
data
Fundamentals of Information Systems, Fifth Edition
38
Linking Databases to the Internet
• Semantic Web
– Developing a seamless integration of traditional
databases with the Internet
– Allows people to access and manipulate a number of
traditional databases at the same time through the
Internet
Fundamentals of Information Systems, Fifth Edition
39
Data Warehouses, Data Marts, and
Data Mining
• Data warehouse
– Holds business information from many sources in
the enterprise
• Data mart
– Subset of a data warehouse
• Data mining
– Information-analysis tool for discovering patterns
and relationships in a data warehouse
– Predictive analysis: Combines historical data with
assumptions about future conditions
Fundamentals of Information Systems, Fifth Edition
40
Data Warehouses, Data Marts, and
Data Mining (continued)
Fundamentals of Information Systems, Fifth Edition
41
Data Warehouses, Data Marts, and
Data Mining (continued)
Fundamentals of Information Systems, Fifth Edition
42
Business Intelligence
• Gathering the right information in a timely manner
and usable form and analyzing it to have a positive
impact on business
• Competitive intelligence
– Limited to information about competitors and the
ways that knowledge affects strategy, tactics, and
operations
• Counterintelligence
– Steps an organization takes to protect information
sought by “hostile” intelligence gatherers
Fundamentals of Information Systems, Fifth Edition
43
Distributed Databases
• Data may be spread across several smaller
databases connected via telecommunications
devices
• Give corporations and other organizations more
flexibility in how databases are organized and used
• Replicated database
– Holds a duplicate set of frequently used data
Fundamentals of Information Systems, Fifth Edition
44
Distributed Databases (continued)
Fundamentals of Information Systems, Fifth Edition
45
Online Analytical Processing (OLAP)
• Software that allows users to explore data from a
number of perspectives
• Provides top-down, query-driven data analysis
• Requires repetitive testing of user originated
theories
Fundamentals of Information Systems, Fifth Edition
46
Online Analytical Processing (OLAP)
(continued)
Fundamentals of Information Systems, Fifth Edition
47
Object-Relational Database
Management Systems
• Object-oriented database
– Database that stores both data and its processing
instructions
• Object-oriented database management system
(OODBMS)
– Programs that manipulate an object-oriented
database and provide a user interface and
connections to other application programs
• Object-relational database management system
(ORDBMS)
– Capable of manipulating audio, video, and graphical
data
Fundamentals of Information Systems, Fifth Edition
48
Visual, Audio, and Other Database
Systems
• Virtual database systems
– Allow different databases to work together as a
unified database system
• Spatial data technology
– Use of a database to store and access data
according to the locations it describes
Fundamentals of Information Systems, Fifth Edition
49
Summary
• Data
– Organized into a hierarchy that builds from the
smallest element to the largest
• Traditional file-oriented applications
– Often characterized by program-data dependence
• Data model
– Map or diagram of entities and their relationships
• DBMS
– Group of programs used as an interface between a
database and its users and other applications
Fundamentals of Information Systems, Fifth Edition
50
Summary (continued)
• After a DBMS has been installed
– It can be accessed, modified, and queried via a data
manipulation language
• Data warehouse
– Relational database management systems
specifically designed to support management
decision making
• Business intelligence
– Getting enough of the right information in a timely
manner and usable form
Fundamentals of Information Systems, Fifth Edition
51