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Chapter
3
Data Resource Management
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Learning Objectives
Explain
the importance of implementing data
resource management processes and
technologies in an organization.
Understand
the advantages of a database
management approach to managing the data
resources of a business.
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Learning Objectives (continued)
 Explain
how database management software helps
business professionals and supports the operations
and management of a business.
 Illustrate each of the following concepts:
 Major types of databases
 Data warehouses and data mining
 Logical data elements
 Fundamental database structures
 Database access methods
 Database development
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Section I
Managing Data Resources
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Data Resource Management
A
managerial activity
Applies information systems technology to
managing data resources to meet needs of
business stakeholders.
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Foundation Data Concepts
Levels
of data
Character
Single alphabetical, numeric, or other
symbol
Field
Groupings of characters
Represents an attribute of some entity
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Foundation Data Concepts (continued)
Records
Related
fields of data
Collection of attributes that describe an
entity
Fixed-length or variable-length
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Foundation Data Concepts (continued)
Files
(table)
A group of related records
Classified by
Primary use
Type of data
permanence
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Foundation Data Concepts (continued)
Database
Integrated
collection of logically related
data elements
Consolidates records into a common pool
of data elements
Data is independent of the application
program using them and type of storage
device
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Foundation Data Concepts (continued)
 Logical
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Data Elements
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Types of Databases
Operational
Supports
business processes and operations
Also called subject-area databases,
transaction databases, and production
databases
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Types of Databases (continued)
Distributed
Replicated
and distributed copies or parts of
databases on network servers at a variety of
sites.
Done to improve database performance and
security
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Types of Databases (continued)
External
Available
for a fee from commercial sources
or with or without charge on the Internet or
World Wide Web
Hypermedia
Hyperlinked
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Data Warehouses and Data Mining
Data
warehouse
Stores data extracted from operational,
external, or other databases of an
organization
Central source of “structured” data
May be subdivided into data marts
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Data Warehouses and Data Mining (continued)
Data
mining
A major use of data warehouse databases
Data is analyzed to reveal hidden
correlations, patterns, and trends
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Database Management Approach
Consolidates
data records and objects into
databases that can be accessed by many
different application programs
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Database Management Approach (continued)
Database
Management System
Software interface between users and
databases
Controls creation, maintenance, and use of
the database
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Database Management Approach (continued)
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Database Management Approach (continued)
Database
Interrogation
Query
Supports
ad hoc requests
Tells the software how you want to
organize the data
SQL queries
Graphical (GUI) & natural queries
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Database Management Approach (continued)
Report
Generator
Turns results of query into a useable
report
Database
Maintenance
Updating and correcting data
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Database Management Approach (continued)
Application
Development
Data manipulation language
Data entry screens, forms, reports, or web
pages
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Implementing Data Resource Management
Database Administration
Develop
and maintain the data dictionary
Design and monitor performance of
databases
Enforce database use and security standards
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Implementing Data Resource Management (continued)
Data
Planning
Corporate planning and analysis function
Developing the overall data architecture
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Implementing Data Resource Management (continued)
Data Administration
Standardize
collection, storage, and
dissemination of data to end users
Focused on supporting business processes
and strategic business objectives
May include developing policy and setting
standards
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Implementing Data Resource Management (continued)
Challenges
Technologically
complex
Vast amounts of data
Vulnerability to fraud, errors, and failures
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Section II
Technical Foundations of Database
Management
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Database Structures
Hierarchical
Treelike
One-to-many
relationship
Used for structured, routine types of
transaction processing
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Database Structures (continued)
Network
More
complex
Many-to-many relationship
More flexible but doesn’t support ad hoc
requests well
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Database Structures (continued)
Relational
Data
elements stored in simple tables
Can link data elements from various tables
Very supportive of ad hoc requests but
slower at processing large amounts of data
than hierarchical or network models
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Database Structures (continued)
Multi-Dimensional
A variation
of the relational model
Cubes of data and cubes within cubes
Popular for online analytical processing
(OLAP) applications
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Database Structures (continued)
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Database Structures (continued)
Object-oriented
Key
technology of multimedia web-based
applications
Good for complex, high-volume applications
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Database Structures (continued)
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Accessing Databases
Key
fields (primary key)
A field unique to each record so it can be
distinguished from all other records in a
table
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Accessing Databases (continued)
Sequential
access
Data is stored and accessed in a sequence
according to a key field
Good for periodic processing of a large
volume of data, but updating with new
transactions can be troublesome
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Accessing Databases (continued)
Direct
access
Methods
Key transformation
Index
Indexed sequential access
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Database Development
Data
dictionary
Directory containing metadata (data about
data)
Structure
Data elements
Interrelationships
Information regarding access and use
Maintenance & security issues
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Database Development (continued)
Data
Planning & Database Design
Planning & Design Process
Enterprise model
Entity relationship diagrams (ERDs)
Data modeling
Develop logical framework for the
physical design
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Discussion Questions
How
should an e-business enterprise store,
access, and distribute data & information
about their internal operations & external
environment?
What
roles do database management, data
administration, and data planning play in
managing data as a business resource?
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Discussion Questions (continued)
What
are the advantages of a database
management approach to organizing,
accessing, and managing an organization’s
data resources?
What
is the role of a database management
system in an e-business information system?
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Discussion Questions (continued)
Databases
of information about a firm’s
internal operations were formerly the only
databases that were considered to be
important to a business. What other kinds of
databases are important for a business today?
What
are the benefits and limitations of the
relational database model for business
applications?
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Discussion Questions (continued)
Why
is the object-oriented database model
gaining acceptance for developing applications
and managing the hypermedia databases at
business websites?
How
have the Internet, intranets, extranets,
and the World Wide Web affected the types
and uses of data resources available to
business end users?
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Real World Case 1 – IBM versus Oracle
What
key business strategies did Janet Perna
implement to help IBM catch up to Oracle in
the database management software market?
What
is the business case for both IBM’s and
Oracle’s product strategy for their database
software?
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Real World Case 1 (continued)
Which
approach would you recommend to a
company seeking a database system today?
What
do you see as the key factor to IBM’s
success?
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Real World Case 1 (continued)
The
case states that “database software has
become more of a commodity.” Do you agree?
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Real World Case 2 – Experian Automotive
How
do the database software tools discussed
in this case help companies exploit their data
resources?
What
is the business value of the automotive
database created by Experian?
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Real World Case 2 (continued)
What
other business opportunities could you
recommend to Experian that would capitalize
on their automotive database?
The
case states that Experian’s automotive
database “has raised the hackles of privacy
advocates.” What legitimate privacy concerns
and safeguard suggestions might be raised
about this database and its use?
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Real World Case 3 – Shell Exploration
Why
do companies still have problems with
the quality of the data resources stored in their
business information systems?
What
is a “data silo?”
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Real World Case 3 (continued)
How
do data warehouse approaches help
companies like Shell and OshKosh meet their
data resource management challenges?
What
business benefits can companies derive
from a data warehouse approach?
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Real World Case 4 – BlueCross BlueShield & Warner Bros.
What
is a storage area network? Why are so
many companies installing SANs?
What
are the reasons for the quick payback on
SAN investments?
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Real World Case 4 (continued)
What
are the challenges and alternatives to
SANs as a data storage technology?
What
are some advantages of SANs?
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Real World Case 5 – Sherwin-Williams & Krispy Kreme
Tips
for Managing External Data
Purchase external data from a reliable
source that will do most of the refining for
you and will work with you on contingency
plans.
Run
a test load first. A load of test data can
pave the way for accurate production loads.
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Real World Case 5 (continued)
Managing
external data (continued)
Don’t collect data until business and IT staff
have agreed on the amount, frequency,
format, and content of the data you need.
Don’t
acquire more data or use more data
sources than you really need.
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Real World Case 5 (continued)
Managing
external data (continued)
Don’t mingle external and homegrown data
without adding unique identifiers to each
record, in case you need to pull it out.
Don’t
overestimate the data’s integrity.
Nothing beats direct customer contact and
tactical details behind the data.
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Real World Case 5 (continued)
What
challenges in acquiring and using data
from external sources are identified in this
case?
Do
you prefer the Sherwin-Williams or Krispy
Kreme approach to acquiring external data?
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Real World Case 5 (continued)
What
other sources of external data might a
business use to gain valuable marketing and
competitive intelligence?
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