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Understanding Enterprise Information Systems

The document provides an overview of computer systems, including definitions of hardware, software, operating systems, data, and information. It discusses the concept of Enterprise Information Systems (EIS), their functions, categories, advantages, and disadvantages, as well as the System Development Life Cycle (SDLC) and its phases. The content emphasizes the importance of EIS in improving business processes and decision-making within organizations.
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0% found this document useful (0 votes)
27 views108 pages

Understanding Enterprise Information Systems

The document provides an overview of computer systems, including definitions of hardware, software, operating systems, data, and information. It discusses the concept of Enterprise Information Systems (EIS), their functions, categories, advantages, and disadvantages, as well as the System Development Life Cycle (SDLC) and its phases. The content emphasizes the importance of EIS in improving business processes and decision-making within organizations.
Copyright
© © All Rights Reserved
We take content rights seriously. If you suspect this is your content, claim it here.
Available Formats
Download as PPTX, PDF, TXT or read online on Scribd

ENTERPRISE

INFORMATION
SYSTEM
TRISHA
MIRCHANDANI

BY :- TRISHA
MIRCHANDANI
What is computer
A computer is an electronic device that manipulates information, or data. It has the ability
to store, retrieve, and process data. You may already know that you can use a computer to type
documents, send email, play games, and browse the Web.
Hardware is any part of your computer that has a physical structure, such as the keyboard or mouse. It
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also includes all of the computer's internal parts, which you can see in the image below.
Software is any set of instructions that tells the hardware what to do and how to do it. Examples of
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software include web browsers, games, and word processors. In a computer system, the software is
basically a set of instructions or commands that tell a computer what to do. In other words, the software is
a computer program that provides a set of instructions to execute a user’s commands and tell the computer
what to do.
WHAT IS OPERATING SYSTEM

Operating System lies in the category of system software. It basically manages all the resources of the
computer. An operating system acts as an interface between the software and different parts of the
computer or the computer hardware. The operating system is designed in such a way that it can manage the
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overall resources and operations of the computer. Operating System is a fully integrated set of specialized
programs that handle all the operations of the computer. It controls and monitors the execution of all other

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programs that reside in the computer, which also includes application programs and other system software
of the computer. Examples of Operating Systems are Windows, Linux, Mac OS, etc.
An Operating System (OS) is a collection of software that manages computer hardware resources and
provides common services for computer programs. The operating system is the most important type of
system software in a computer system.
What is Data
 Data can be texts or numbers written on papers, or it can be bytes and bits inside the memory of electronic
devices, or it could be facts that are stored inside a person’s mind.
 Data is different types of information usually formatted in a particular manner. All software is divided into two

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major categories: programs and data. We already know what data is now, and data is a distinct piece of
information that is gathered and translated for some purpose. If data is not formatted in a specific way, it does not
valuable to computers or humans. Data can be available in terms of different forms, such as bits and bytes stored

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in electronic memory, numbers or text on pieces of paper, or facts stored in a person's mind. Since the invention of
computers, people have used the word data to mean computer information, and this information is transmitted or
stored. There are different kinds of data; such are as follows: Sound, Video, Single character, Number (integer or
floating-point), Picture, Boolean (true or false), Text (string), programs are collections of instructions used to
manipulate data.
 In a computer's storage, data is stored in the form of a series of binary digits (bits) that contain the value 1 or 0.
INFORMATION
 Information is defined as classified or organized data that has some meaningful value for the user.
Information is also the processed data used to make decisions and take action. Processed data must meet
the following criteria for it to be of any significant use in decision-making:
 TRISHA
Accuracy: The information must be accurate.

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Completeness: The information must be complete.
 Timeliness: The information must be available when it’s needed
Types of information
 Conceptual information
Conceptual information comes from ideas, theories, concepts, hypotheses and more. With
conceptual information, an abstract idea is not always rooted in a scientific foundation and
rather is the fundamental creation of beliefs, thoughts, philosophies and preferences. You can

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form or share conceptual information through comparison and reflection, creating philosophies
that cannot be proven or seen.

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Procedural information
Procedural information, or imperative knowledge, is the method of how someone knows to do
something and is used by performing a task. You can refer to it as muscle memory since it is
knowledge that is hard to explain and stored deeply in your mind.
 Policy information
Policy information focuses on decision-making and the design, formation and selection of
policies. It comprises laws, guidelines, regulations, rules and oversight for an organization,
group of people or place. You can gain policy information through pictures, diagrams,
descriptions and other visual, audio or written messages.
Stimulatory information
Stimulatory information is information that creates a response or stimulation amongst a person or group of
people. Stimulation encourages the cause of activity and you can gain stimulatory information in a variety of
ways, like in person through observation, through word-of-mouth communication or through outlets like the
news.

Empirical information
Empirical information means information gained through human senses, observation, experimentation and the
testing of a hypothesis by establishing documentation of patterns or behavior. It almost always has a scientific
foundation and verifies the truth or falsehood of a claim through qualitative and quantitative factors.

Directive information
Directive and descriptive information is about providing directions to a person or group of people to achieve a
particular result and outcome. You can use directive information with or without dictating the means to
achieve the desired result. Directive information often comes in verbal or written form and can apply to
leadership at work, in the military or government and with everyday experiences, like legal, life and safety
matters.
What is EIS
 An Enterprise Information System (EIS) is any kind of information system which improves the functions of
enterprise business processes by integration. This means typically offering high quality of service, dealing with
large volumes of data and capable of supporting some large and possibly complex organization or enterprise. An
EIS must be able to be used by all parts and all levels of an enterprise.
 TRISHA
The word enterprise can have various connotations. Frequently the term is used only to refer to very large
organizations such as multi-national companies or public-sector organizations. However, the term may be used to


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mean virtually anything, by virtue of it having become a corporate-speak buzzword
Enterprise information systems provide a technology platform that enables organizations to integrate and
coordinate their business processes on a robust foundation. An EIS is currently used in conjunction with customer
relationship management and supply chain management to automate business processes. An enterprise
information system provides a single system that is central to the organization that ensures information can be
shared across all functional levels and management hierarchies.
 An EIS can be used to increase business productivity and reduce service cycles, product development cycles and
marketing life cycles. It may be used to amalgamate existing applications. Other outcomes include
higher operational efficiency and cost savings.
 Financial value is not usually a direct outcome from the implementation of an enterprise information system
Functions of EIS
Enterprise information systems have both operational (transaction-processing) and informational (data storage,
retrieval, and reporting) functions.

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The operational goals tend to be focused on efficiency. When done well, enterprise information systems
make it easier for people to complete their work in a timely and accurate manner. They also enable the

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university to standardize and streamline its operations. By contrast, poor quality enterprise systems can
actually increase workloads, lead to frustration among the people who use them, and cause costly
operational disruptions.
 The informational goals of enterprise systems focus on effectiveness. Institutional data needs to be readily
available to decision-makers in a form that marries data with context. The quality of the information is more
important than the quantity of data.
Categories of Enterprise Information System (EIS)
Enterprise Information systems are divided into several categories, each of them occupies a niche in the production
life cycle of the enterprise
•ERP (Enterprise Resource Planning)- System for planning (managing) enterprise resources.
•CRM (Customer Relationship Management) - interaction model, which is based on the assumption that the center
of all business philosophy is the client and the main activities are effective marketing, sales and customer service.
•ECM (Enterprise Content Management) - a strategic infrastructure and technical architecture to support a single
life cycle of unstructured data (content) of various types and formats. Primarily used to capture, manage, store,
preserve, and deliver content.
•CPM (Corporate Performance Management) - corporate performance management concept, which covers the
whole range of tasks in the area of strategic and financial administration of the company. It is the process of
monitoring and managing an organization's performance, according to key performance indicators.
•HRM (Human Resource Management) - the field of knowledge and practices, aimed at ensuring the staff
organization and its optimal use. HR is primarily concerned with the organization of people resources within
companies.
•EAM (Enterprise Asset Management) - is an information system designed primarily for the automation of
processes related to the maintenance of the equipment, its repair and after-sales service. It is the optimal life cycle
management of the physical assets in organization.
•EDMS (Electronic Document Management System) - enterprise document management framework. It is a
software complex based on computer programs used to track, manage and store documents. Usually has the client-
server architecture.
Advantage and disadvantages of EIS

Advantages Disadvantages
 Implementation of a full software suite requires the
 Management can easily access information to business to compromise between the way their
make data-driven decisions quickly. processes work now and the way they are designed to
work within the system. Gaps between what is needed
 Data becomes visible and accessible across and what is offered can cause employees to spend extra
time using workarounds to meet their unique needs.
the entire organization.
 Implementation itself is a complicated process that will
 Automation of transactions brings more cost a company a large amount of money, time and
resources to be successful. Recreating business
efficiency to day-to-day processes. processes, planning, implementation and training will be
a huge drain on company operations and can interfere
 There is improved transparency of data and with other critical issues.
department practices.  Customization of the enterprise information system is
not only costly but can then lock a company into a
 There is ease of obtaining records for audits certain vendor, decreasing competitiveness of services
and compliance. offered.
ADVANTAGES AND DISADVANTAGE
OF EIS
ADVANTAGES DISADVANTAGES
 Easy for upper-level executives to use,  System dependent
extensive computer experience is not required  Limited functionality, by design
in operations
 Information overload for some managers
 Provides strong drill-down capabilities to better  Benefits hard to quantify
analyze the given information.
 High implementation costs
 Information that is provided is better
 System may become slow, large, and hard to
understood
manage
 EIS provides timely delivery of information.  Need good internal processes for data
Management can make decisions promptly. management
 Improves tracking information  May lead to less reliable and less secure data
 Offers efficiency to decision makers  Excessive cost for small company
Different functional information system
 Functional Information System is based on the various business functions such as Production, Marketing, Finance
and Personnel etc. These departments or functions are known as functional areas of business. Each functional area
requires applications to perform all information processing related to the function. The popular functional areas of
the business organization are:

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• Financial Information System
• Marketing Information System

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• Production/Marketing Information System
• Human Resource Information System
 Financial Information System

Financial information system is a sub-system of organizational management information system. This sub-system
supports the decision-making process of financial functions at the level of an organization .
Marketing Information System

This sub-system of management information system provides information about various


functions of the marketing system of an organization. Marketing is another functional
area of the business organization, which is engaged in marketing (selling) of its products
to its customers.

Important functions of the marketing process include the following.


• The marketing identification function
• The purchase motivation function.
• The product adjustment function
• The physical distribution function
• The communication function
• The transaction function
• The post-transaction function

Production /manufacturing Information System

Manufacturing or production information system provides information on production


/operation activities of an organization and thus facilitates the decision-making process
of production managers of an organization. The main decisions to be taken in
manufacturing system are:
• Product Design
Human Resources Information System
This functional information system supports the functions of human resource management of an
organization. The human resource management function, in its narrow sense, it also known as
personnel management .The function involves:

• Manpower planning.
• Staffing
• Training and development
• Performance evaluation, and
• Separation activities
System development life cycle

In systems engineering, information systems and software engineering, the systems development life
cycle (SDLC), also referred to as the application development life cycle, is a process for planning, creating,
testing, and deploying an information system. The SDLC concept applies to a range of hardware and software

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configurations, as a system can be composed of hardware only, software only, or a combination of both. There are
usually six stages in this cycle: requirement analysis, design, development and testing, implementation,
documentation, and evaluation.
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A systems development life cycle is composed of distinct work phases that are used by systems engineers and
systems developers to deliver information systems. Like anything that is manufactured on an assembly line, an
SDLC aims to produce high-quality systems that meet or exceed expectations, based on requirements, by
delivering systems within scheduled time frames and cost estimates. Computer systems are complex and often link
components with varying origins. Various SDLC methodologies have been created, such
as waterfall, spiral, agile, rapid prototyping, incremental, and synchronize and stabilize
PHASES OF SYSTEM DEVELOPMENT CYCLE
 step 1:-Analysis
The first phase is the evaluation of the existing, or current, system. This is where shortcomings are officially determined by a system
analyst. These shortcomings were probably already present, so a good way to find out about them is interviewing support staff.

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After doing so, the user has to find alternative solutions. It is incredibly important that this is documented carefully so that decision
making can be adequately supported later on. Analyze and determine the associated costs and implementation of these solutions in
order to create input for the feasibility studies. Based on the information collected in the first phase, it is decided whether or not the


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system should be left as it is, improved, or if it must be replaced entirely.
Step 2:- planning and requirements
In this phase, the new system requirements are defined. The existing system’s shortcomings have to be addressed. As such, concrete
proposals for improvement must be made. During these phases architects, developers, and product managers work together with
other relevant stakeholders.
In short, this phase consists of collecting and interpreting facts, diagnosing issues, and proposing improvements for the system. It is
vital to have as diverse a team as possible during this phase. If more people who know and use the system are present, the greater
the chances are of finding valuable improvement points.
Regardless if the team works with a document of functional requirements or a handwritten list, everyone must be able to understand
each proposal, and each comment, to be involved.
Step 3: system design
During this phase of the System Development Life Cycle, the requirements and desired functions are
described in great detail, including process charts, rules, and other documentation.
The third phase is the moment when end users have an opportunity to discuss and decide their specific
information needs. This is also the phase where essential components of the system (hardware, software) and
structure are considered.
Step 4: development
During the fourth phase, the actual development starts. This is especially the case when a programmer,
engineer, or database developer is called in to do important work for the developed project. These operations
consist of, amongst other things, making flowcharts that ensure that the process and new system are carefully
organized.
The development phase marks the end of the first stage of the Systems Development Life Cycle (SDLC).
After this, the production stage of the project begins. The development phase is characterized by change.
Step 5:integration & testing
During the fifth phase the system is installed in the production environment. Users can start using the new
system now. Many organisations opt to have the system tested elsewhere first, in a special testing
environment.
If this is done in the production environment, this is usually done by a Quality Assurance professional. He or
she will determine if the proposed design meets the company’s goals. The testing must be repeated, if
necessary, until the risk of errors and bugs has reached an acceptable level.
Step 6: implementation
The sixth phase starts when the majority of testing is completed. During this
phase, the new system is actually implemented. This means, among other things,
that data and components from the old system must be moved to the new system.
This is often risky and complicated.
As such, the move is done during off-peak hours, to ensure a minimal impact on
business operations. Both professionals and end-users should be able to reap the
benefits of the new system during this phase.
Step 7: evaluation & maintenance
The seventh phases of the Systems Development Life Cycle (SDLC) is often ignored
or missed. This phase consists of maintenance and performing regular necessary
updates. Furthermore, small bugs that were not found during testing can make an
appearance later on.
These can be solved during the maintenance phase when the whole system is
refined to improve performance, or to meet new requirements. This is made
possible by the team working on the system. Sometimes staff will need additional
training to meet this goal, new procedures must be put in place, or updates must
be made.
WATERFALL MODEL
1) Preliminary analysis
Conduct with a preliminary analysis, consider alternative solutions, estimate costs and benefits, and
submit a preliminary plan with recommendations.
• Conduct preliminary analysis: Identify the organization's objectives and define the nature and scope

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of the project. Ensure that the project fits with the objectives.
• Consider alternative solutions: Alternatives may come from interviewing employees, clients,

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suppliers, and consultants, as well as competitive analysis.
• Cost-benefit analysis: Analyze the costs and benefits of the project.
2)Systems analysis, requirements definition
Decompose project goals into defined functions and operations. This involves gathering and interpreting
facts, diagnosing problems, and recommending changes.
Analyze end-user information needs and resolve inconsistencies and incompleteness:
• Collect facts: Obtain end-user requirements by document review, client interviews, observation, and
questionnaires.
• Scrutinize existing system(s): Identify pros and cons.
• Analyze the proposed system: Find solutions to issues and prepare specifications, incorporating
appropriate user proposals.
3)Systems design
At this step, desired features and operations are detailed, including screen layouts, business
rules, process diagrams, pseudocode, and other deliverables.
4)Development
Write the code.
5)Integration and testing
Assemble the modules in a testing environment. Check for errors, bugs, and interoperability.
6)Acceptance, installation, deployment
Put the system into production. This may involve training users, deploying hardware, and loading
information from the prior system.
7)Maintenance
Monitor the system to assess its ongoing fitness. Make modest changes and fixes as needed.
8)Evaluation
The system and the process are reviewed. Relevant questions include whether the newly
implemented system meets requirements and achieves project goals, whether the system is
usable, reliable/available, properly scaled and fault-tolerant. Process checks include review of
timelines and expenses, as well as user acceptance.
9)Disposal
At end of life, plans are developed for discontinuing the system and transitioning to its
replacement. Related information and infrastructure must be repurposed, archived, discarded, or
destroyed, while appropriately protecting security.
System analysis and design

 System analysis and design is a process that many companies use to evaluate particular business situations and
develop ways to improve them through more optimal methods. Companies may use this process to reshape

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their organization or meet business objectives related to growth and profitability. System analysis and design
also typically emphasize how systems act, their relationships to other subsystems and the ability of both to
meet a specific goal. This often involves analyzing a system's performance and the quality of its output.

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System analysis refers to the process of gathering data, interpreting information, identifying issues and using
the results to recommend or develop possible system improvements. During this stage, companies may also
evaluate future business needs and how improvements may answer them. System design involves the process
in which an organization, in an appropriate situation, develops a newer system or strategy to complement or
replace an existing one. This design and development cycle includes planning, analysis, design,
implementation and maintenance
Benefits of system analysis

 Enabling comprehension of complicated structures




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Allowing for better management of any business changes
Aligning the organization with its environment and strategic priorities


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Minimizing IT issues and reducing the workload of IT employees
Reducing costs in certain areas, saving the organization money and resources for use in
other departments
 Identifying potential risks and threats to the processes before they arise
 Improving the overall quality of the system
 Improving the usability of the system by employees
 Increasing productivity and customer satisfaction
Tool and techniques for system analysis
and design
 Data flow diagrams (DFD) or bubble charts

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This technique helps organizations by organizing the initial requirements of a system in graphical form. Many
companies find this technique helpful when users want a notational communication language, but the required
system design remains unclear. DFDs illustrate how information flows between various system functions and

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demonstrate the current implementation process of the system. They also summarize what information the
system processes, which transformations it performs, where it stores data, what result it produces and where
those results go. DFD graphic design often makes communication easier between a user and an analyst or an
analyst and a designer.
These diagrams come in two forms. A physical DFD describes how a current system operates and how an
organization can implement a new one. It reveals which functions a system performs and provides details on
hardware, software, files and people. A logical DFD focuses only on the data flow between processes. It
describes how the business operates, not just the system. Logical DFDs also explain system events and the data
required for each event.
 Data dictionaries
A data dictionary is a structured receptacle for data elements in a system. It stores descriptions of all data elements
in data flow diagrams. These data elements may include processes, details and definitions of data flows, data
stores and data within those data stores. It also stores information about the relationship between data elements.
Data dictionaries generally improve the communication between users and system analysts. They're also an
important part of building a database because analysts can use them to manipulate and control access of the
database.
There are two types of data dictionaries. An active dictionary relates to a specific database and updates
automatically with a data management system. Its connection to a specific database sometimes makes it more
challenging to transfer data. A passive data dictionary doesn't connect to a specific server or database, which can
improve data transference efforts. These dictionaries don't update automatically and require manual maintenance
to prevent asynchronous metadata.
 Decision tables
Decision tables can improve the general understanding of a complex logical relationship by providing a matrix of
rows and columns for defining an issue and possible actions. Organizations may find this tool useful in situations
where certain actions rely on the occurrence of one or a combination of conditions. In a decision table, decision
rules define the relationships between decisions, conditions and actions. Here are the general components of a
decision table:
•Condition stub: This section is the upper left quadrant and lists all the conditions a professional can check in a
situation.
•Action stub: This is the lower left quadrant and defines the actions the system can perform to meet a specific
condition.
•Condition entry: This is the upper right quadrant and provides answers to questions an organization asks in the
condition stub section.
•Action entry: This is the lower right quadrant and identifies the appropriate action from the answers to the
conditions in the condition entry section.
 Pseudocodes
A pseudocode typically uses structural rules of a normal programming language, but professionals use it for
human interpretation instead of machine interpretation. This means that pseudocodes often omit details
required for machine-reading, such as language-specific code. It expresses logic in plain English and often
uses physical programming logic while not using actual coding. Professionals may use this alongside
structured programming as well. They typically create a pseudocode while initially managing a new algorithm
and then translate that code into the target programming language. It often replaces flowcharts in a program.

 Simulations
A simulation usually involves developing a numerical model that illustrates a system's activity in the form of
individual events in the system's individual segments. This method helps system analysts conduct testing
investigations on the general model of a system. It often helps organizations evaluate the effects of changes in
a process or segment. Analysts can also use simulations to predict how new systems may function and perform
compared to an old system.

 Decision trees
Decision trees assist businesses with defining complex relationships and decisions in an organized diagram.
These diagrams reveal alternate conditions and actions in a horizontal tree shape and demonstrate which
conditions an organization may consider first, then each one in order of importance. A decision tree illustrates
the relationship of each condition to its action, which allows analysts to consider decision sequences and
identify the best one. This depicts a single representation of relationships between the conditions and actions,
which may limit information about other combinations of actions an analyst can test.
Decision making model
Decision-making as a team is a scientific process when that decision will affect a policy affecting an entity.
Decision-making models are used as a method and process to fulfill the following objectives:
 Every team member is clear about how a decision will be made


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The roles and responsibilities for the decision making
Who will own the process to make the final decision
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These models help the team to plan the process and the agenda for each decision-making meeting, and
the understanding of the process and collaborative approach helps in achieving the support of the team
members for the final decision to ensure commitment for the same.
Model of decision making
 Economic rationality model
When using this model, the following conditions are assumed.
 The decision will be completely rational in a means-ends sense.


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There is a complete and consistent system of preferences that allows a choice among alternatives.
There is a complete awareness of all the possible alternatives


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Probability calculations are neither frightening nor mysterious
There are no limits to the complexity of computations that can be performed to determine the best alternatives
 According to Kuwashima in an organizational decision-making context, the decision-maker approaches the
problem in a solely objective way and avoids all subjectivity. Moreover, the rational choice theory revolves
around the idea that every individual attempt to maximize their own personal happiness or satisfaction gained
from a good or service. This basic idea leads to the “rational” decision model, which is often used in the
decision-making process.
Simon's bounded rationality model
To present a more realistic alternative to the economic rationality model, Herbert Simon proposed an
alternative model. He felt that management decision-making behavior could be described as follows:
[Link] choosing between alternatives, the manager attempts to satisfy or looks for the one which is satisfactory
or “good enough”. Examples of satisfying criteria would be adequate profit or share or the market and fair
price.
[Link] recognize that the world they perceive is a drastically simplified model of the real world. They are
content with the simplification because they believe the real world is mostly empty anyway.
[Link] they satisfy rather than maximize, they can make their choices without first determining all
possible behavior alternatives and without ascertaining that these are all the alternatives.
[Link] managers treat the world as empty, they are able to make decisions with simple rules of thumb. These
techniques do not make impossible demands upon their capacity for thought.

Neuroscientific (neurocognitive) model


In cognitive neuroscience decision-making refers to the cognitive process of evaluating a number of
possibilities and selecting the most appropriate thereof in order to further a specific goal or task. This faculty
is a fundamental component of executive functions, although recent studies show that a complex brain
network is involved including motor areas.
Incrementalism
The incrementalism model, also known as disjointed incrementalism, focuses on the limited
cognitive capacities of the decision-makers. In the incremental model, the decision-maker only
concentrates on those policies which distinguish incrementally from existing policies. This leads to
a small number of policy alternatives, which are getting evaluated by a restricted number of
criteria. Accordingly, the process is more manageable for the decision-maker
Entity model
 An entity–relationship model (or ER model) describes interrelated things of interest in a specific domain of
knowledge. A basic ER model is composed of entity types (which classify the things of interest) and specifies
relationships that can exist between entities (instances of those entity types)

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ER model becomes an abstract data model, that defines a data or information structure which can be
implemented in a database, typically a relational database

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An ER model is usually the result of systematic analysis to define and describe what data is created and
needed by processes in an area of a business. Typically, it represents records of entities and events monitored
and directed by business processes, rather than the processes themselves. It is usually drawn in a graphical
form as boxes (entities) that are connected by lines (relationships) which express the associations and
dependencies between entities. It can also be expressed in a verbal form.
An ER model is typically implemented as a database. In a simple relational database implementation, each row
of a table represents one instance of an entity type, and each field in a table represents an attribute type. In
a relational database a relationship between entities is implemented by storing the primary key of one entity as
a pointer or "foreign key" in the table of another entity.

There is a tradition for ER/data models to be built at two or three levels of abstraction. Note that the
conceptual-logical-physical hierarchy below is used in other kinds of specification, and is different from
the three schema approach

• Conceptual model

This is the highest level ER model in that it contains the least granular detail but establishes the overall scope
of what is to be included within the model set. The conceptual ER model normally defines master reference
data entities that are commonly used by the organization. Developing an enterprise-wide conceptual ER model
is useful to support documenting the data architecture for an organization. A conceptual ER model may be
used as the foundation for one or more logical data models .
The purpose of the conceptual ER model is then to establish structural metadata commonality for the master
data entities between the set of logical ER models. The conceptual data model may be used to form
commonality relationships between ER models as a basis for data model integration.
• Logical data model
A logical ER model does not require a conceptual ER model, especially if the scope of the logical ER model
includes only the development of a distinct information system. The logical ER model contains more detail
than the conceptual ER model. In addition to master data entities, operational and transactional data entities
are now defined. The details of each data entity are developed and the relationships between these data
entities are established. The logical ER model is however developed independently of the specific database
management system into which it can be implemented.

• Physical data model


One or more physical ER models may be developed from each logical ER model. The physical ER model is
normally developed to be instantiated as a database. Therefore, each physical ER model must contain enough
detail to produce a database and each physical ER model is technology dependent since each database
management system is somewhat different. The physical model is normally instantiated in the structural
metadata of a database management system as relational database objects such as database tables, database
indexes such as unique key indexes, and database constraints such as a foreign key constraint or a
commonality constraint. The ER model is also normally used to design modifications to the relational
database objects and to maintain the structural metadata of the database
Object oriented analysis and design
Object-Oriented Analysis and Design (OOAD) is a software engineering methodology that involves using object-
oriented concepts to design and implement software systems. OOAD involves a number of techniques and
practices, including object-oriented programming, design patterns, UML diagrams, and use cases. Here are some
important aspects of OOAD:
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Object-Oriented Programming: Object-oriented programming involves modeling real-world objects as
software objects, with properties and methods that represent the behavior of those objects. OOAD uses this

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approach to design and implement software systems.
Design Patterns: Design patterns are reusable solutions to common problems in software design. OOAD uses
design patterns to help developers create more maintainable and efficient software systems.
 UML Diagrams: Unified Modeling Language (UML) is a standardized notation for creating diagrams that
represent different aspects of a software system. OOAD uses UML diagrams to represent the different
components and interactions of a software system.
 Use Cases: Use cases are a way of describing the different ways in which users interact with a software
system. OOAD uses use cases to help developers understand the requirements of a system and to design
software systems that meet those requirements
Advantages of (OOAD)
 Reusability: OOAD emphasizes the use of reusable components and design patterns, which can save time and effort in software
development.
 Scalability: OOAD can help developers design software systems that are scalable and can handle changes in user demand and
business requirements over time.

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Maintainability: OOAD emphasizes modular design and can help developers create software systems that are easier to maintain and
update over time.

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Flexibility: OOAD can help developers design software systems that are flexible and can adapt to changing business requirements
over time.
 However, there are also some potential disadvantages to using OOAD:
 Complexity: OOAD can be complex and may require significant expertise to implement effectively.
 Time-consuming: OOAD can be a time-consuming process that involves significant upfront planning and documentation.
 Rigidity: Once a software system has been designed using OOAD, it can be difficult to make changes without significant time and
expense.
 Cost: OOAD can be more expensive than other software engineering methodologies due to the upfront planning and documentation
required.
 Overall, OOAD can be an effective approach to designing and implementing software systems, particularly for complex or large-
scale projects. However, it’s important to weigh the advantages and disadvantages carefully before adopting this approach.
Unit -2
Data base management system , data
warehousing ,data mart , data mining
Data base management system
A database management system (DBMS) is system software for creating and managing databases. A DBMS makes it
possible for end users to create, protect, read, update and delete data in a database. The most prevalent type of data
management platform, the DBMS essentially serves as an interface between databases and users or application programs,
ensuring that data is consistently organized and remains easily accessible. The DBMS manages the data; the database
engine allows data to be accessed, locked and modified; and the database schema defines the database's logical structure.

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These three foundational elements help provide concurrency, security, data integrity and uniform data administration
procedures. The DBMS supports many typical database administration tasks, including change management, performance
monitoring and tuning, security, and backup and recovery. Most database management systems are also responsible for

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automated rollbacks and restarts as well as logging and auditing of activity in databases and the applications that access
them.
The DBMS provides a centralized view of data that can be accessed by multiple users from multiple locations in a
controlled manner. A DBMS can limit what data end users see and how they view the data, providing many views of a
single database schema. End users and software programs are free from having to understand where the data is physically
located or on what type of storage medium it resides because the DBMS handles all requests.
The DBMS can offer both logical and physical data independence to protect users and applications from having to know
where data is stored or from being concerned about changes to the physical structure of data. So long as programs use the
application programming interface (API) for the database that the DBMS provides, developers won't have to modify
programs just because changes have been made to the database.
Component of DBMS

A DBMS is a sophisticated piece of system software consisting of multiple integrated components that
deliver a consistent, managed environment for creating, accessing and modifying data in databases.
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 Storage engine. This basic element of a DBMS is used to store data. The DBMS must interface with a
file system at the operating system level to store data. It can use additional components to store data

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or interface with the actual data at the file system level.
 Metadata catalog. Sometimes called a system catalog or database dictionary, a metadata catalog
functions as a repository for all the database objects that have been created. When databases and other
objects are created, the DBMS automatically registers information about them in the metadata catalog.
The DBMS uses this catalog to verify user requests for data, and users can query the catalog for
information about the database structures that exist in the DBMS. The metadata catalog can include
information about database objects, schemas, programs, security, performance, communication and
other environmental details about the databases it manages.
 Database access language. The DBMS also must provide an API to access the data, typically in the form
of a database access language to access and modify data but may also be used to create database objects
and secure and authorize access to the data. SQL is an example of a database access language and
encompasses several sets of commands, including Data Control Language for authorizing data access, Data
Definition Language for defining database structures and Data Manipulation Language for reading and
modifying data.
 Optimization engine. A DBMS may also provide an optimization engine, which is used to parse database
access language requests and turn them into actionable commands for accessing and modifying data.
 Query processor. After a query is optimized, the DBMS must provide a means for running the query and
returning the results.
 Lock manager. This crucial component of the DBMS manages concurrent access to the same data. Locks
are required to ensure multiple users aren't trying to modify the same data simultaneously.
 Log manager. The DBMS records all changes made to data managed by the DBMS. The record of changes
is known as the log, and the log manager component of the DBMS is used to ensure that log records are
made efficiently and accurately. The DBMS uses the log manager during shutdown and startup to ensure
data integrity, and it interfaces with database utilities to create backups and run recoveries.
 Data utilities. A DBMS also provides a set of utilities for managing and controlling database activities.
Examples of database utilities include reorganization, run stats, backup and copy, recover, integrity check,
load data, unload data and repair database.
ADVANTAGES OF DBMS
 Improves the effectiveness of data exchange
With DBMS, data can be exchanged between users more effectively, and access to the data can be restricted so that only authorized users are
permitted to view it, as opposed to earlier systems when everyone with access to the system could access the data. We can more easily manage

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the data in a DBMS.

 Heightens Data Protection


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Data is now one of the most precious resources available in the modern world. Additionally, the need for data protection becomes even more
critical. A large amount of people having access to the database raises the likelihood that the data may be compromised. A simple security layout
can be provided by the database management system. Only users with such permissions will be able to view or alter the data, according to limits
placed on the information's access by the database administrator. Although it does not guarantee total security, it does offer a solid security
design.

 Safeguarding Data Integrity


It is essential to offer specific capabilities, such as executing numerous transactions and allowing continuous access to the data, when giving
many users database access. Maintaining the accuracy of the information is essential to prevent data loss when numerous users attempt to alter
the same piece of data at the same time. Data redundancy is reduced in the database by the normalized format in which the data is kept.
Additionally, it lessens any discrepancies in the data. Inside a database, the entire set of data is kept in a single file, as opposed to a file system in
which it is spread across numerous directories, files, and folders.
• Enhance the Process of Decision-Making
It is considerably simpler to study the data because it is presented in a more organized format with rows
and columns by the DBMS. We can reach certain conclusions by doing straightforward database queries.
Constraints that must be followed when storing data in DBMS improve data quality, which in turn
improves decision-making. The productivity and utility of the data improve dramatically as a result.
• Recovery and Back-up
Data is the most precious resource for the entity, as was described before; therefore, data preservation is
just as critical as data protection. By performing regular backups using a DBMS, a user can store the
most recent data on the drive or the cloud. The user can utilize the restore to retrieve the information
from the drive or even the cloud if it is deleted from the system.
Disadvantages of DBMS
 Specifications for Hardware and Software
A system with a high configuration is needed to operate the DBMS effectively. We will
unavoidably need hardware that performs well to get this height. As all of this
technology and the license for this program are relatively pricey, it raises the cost of
development. On your local system, they also take up comparatively more room. Also
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necessary is the upkeep of these systems.

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 Management scope and complexity
Due to the large range of functions, it offers, the database project's scalability is increased. To create
a user interface, it supports many GUIs. It may also be used in conjunction with other potent
software. But the complexities of the system as a whole are increased by this entire situation. The
process is highly complicated as a result of all these implementations. We need to know other SQL
languages to maintain the data and operate the database.

 Huge Dimensions
For database management software to work correctly, a lot of disc space is needed. It needs extra
software, and that software needs storage space. Gigabytes of space may be needed for the whole
DBMS configuration.
• Productivity
The productivity of complex procedures may increase thanks to the DBMS, but simple
processes are also made more difficult.

• Failure has an enormous effect


As was previously said, the DBMS stores together all data in one place. Therefore, if there is a
problem with that file, it could affect all of the other processes as well, which would halt
everything and bring the process to a total halt.
What is RDBMS
RDBMS stands for Relational Data Base Management Systems. It is basically a program that allows us to create, delete, and
update a relational database. Relational Database is a database system that stores and retrieves data in a tabular format organized in
the form of rows and columns. It is a smaller subset of DBMS which was designed by E.F Codd in the 1970s. The major DBMS like
SQL, My-SQL, ORACLE are all based on the principles of relational DBMS.

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Relational DBMS owes its foundation to the fact that the values of each table are related to others. It has the capability to handle
larger magnitudes of data and simulate queries easily.

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Relational Database Management Systems maintains data integrity by simulating the following features:

 Entity Integrity: No two records of the database table can be completely duplicate.
 Referential Integrity: Only the rows of those tables can be deleted which are not used by other tables. Otherwise, it may lead to
data inconsistency.
 User-defined Integrity: Rules defined by the users based on confidentiality and access.
 Domain integrity: The columns of the database tables are enclosed within some structured limits, based on default values, type
of data or ranges.
Characteristics of RDBMS

 Data must be stored in tabular form in DB file, that is, it should be organized in the form of rows and
columns.
 Each row of table is called record/tuple . Collection of such records is known as the cardinality of the


table
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Each column of the table is called an attribute/field. Collection of such columns is called the arity of the


table.
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No two records of the DB table can be same. Data duplicity is therefore avoided by using a candidate
key. Candidate Key is a minimum set of attributes required to identify each record uniquely.
 Tables are related to each other with the help for foreign keys.
 Database tables also allow NULL values, that is if the values of any of the element of the table are not
filled or are missing, it becomes a NULL value, which is not equivalent to zero.
Advantages of RDBMS
 Easy to manage: Each table can be independently manipulated without affecting others.
 Security: It is more secure consisting of multiple levels of security. Access of data shared can be limited.
 Flexible: Updating of data can be done at a single point without making amendments at multiple files. Databases

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can easily be extended to incorporate more records, thus providing greater scalability. Also, facilitates easy
application of SQL queries.
 Users: RDBMS supports client-side architecture storing multiple users together.


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Facilitates storage and retrieval of large amount of data.
Easy Data Handling:
 Data fetching is faster because of relational architecture.
 Data redundancy or duplicity is avoided due to keys, indexes, and normalization principles.
 Data consistency is ensured because RDBMS is based on ACID properties for data transactions(Atomicity
Consistency Isolation Durability).
 Fault Tolerance: Replication of databases provides simultaneous access and helps the system recover in case of
disasters, such as power failures or sudden shutdown
Disadvantages of RDBMS

 High Cost and Extensive Hardware and Software Support: Huge costs and setups are required to
make these systems functional.

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 Scalability: In case of addition of more data, servers along with additional power, and memory are
required.

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Complexity: Voluminous data creates complexity in understanding of relations and may lower down
the performance.
 Structured Limits: The fields or columns of a relational database system is enclosed within various
limits, which may lead to loss of data
What is OODBMS
The ODBMS which is an abbreviation for object-oriented database management system is the data model in
which data is stored in form of objects, which are instances of classes. These classes and objects together make an
object-oriented data model.

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Components of OODBMS
The OODBMS is based on three major components, namely: Object structure, Object classes, and Object identity.
These are explained below.
 Object Structure:

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The structure of an object refers to the properties that an object is made up of. These properties of an object are
referred to as an attribute. Thus, an object is a real-world entity with certain attributes that makes up the object

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structure. Also, an object encapsulates the data code into a single unit which in turn provides data abstraction by
hiding the implementation details from the user. The object structure is further composed of three types of
components: Messages, Methods, and Variables
1) Messages –
A message provides an interface or acts as a communication medium between an object and the outside world. A
message can be of two types:
• Read-only message: If the invoked method does not change the value of a variable, then the invoking message
is said to be a read-only message.
• Update message: If the invoked method changes the value of a variable, then the invoking message is said to be
an update message.
2)Methods –
When a message is passed then the body of code that is executed is known as a
method. Whenever a method is executed, it returns a value as output. A method can
be of two types:
 Read-only method: When the value of a variable is not affected by a method,
then it is known as the read-only method.
 Update-method: When the value of a variable change by a method, then it is
known as an update method.

3)Variables –
It stores the data of an object. The data stored in the variables makes the object distinguishable from one
another.

 Object Classes:
An object which is a real-world entity is an instance of a class. Hence first we need to define a class
and then the objects are made which differ in the values they store but share the same class definition.
The objects in turn correspond to various messages and variables stored in them.
DATA WAREHOUSING

A data warehouse is the secure electronic storage of information by a business or other organization. The goal of
a data warehouse is to create a trove of historical data that can be retrieved and analyzed to provide useful

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insight into the organization's operations.
A data warehouse is a vital component of business intelligence. That wider term encompasses the information

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infrastructure that modern businesses use to track their past successes and failures and inform their decisions for
the future. The need to warehouse data evolved as businesses began relying on computer systems to create, file,
and retrieve important business documents. The concept of data warehousing was introduced in 1988 by IBM
researchers Barry Devlin and Paul Murphy.
Data warehousing is designed to enable the analysis of historical data. Comparing data consolidated from
multiple heterogeneous sources can provide insight into the performance of a company. A data warehouse is
designed to allow its users to run queries and analyses on historical data derived from transactional sources.
Data added to the warehouse does not change and cannot be altered. The warehouse is the source that is used to
run analytics on past events, with a focus on changes over time. Warehoused data must be stored in a manner that is secure,
reliable, easy to retrieve, and easy to manage.
Data Warehouse Architecture
Designing a data warehouse is known as data warehouse architecture and depending on the needs of
the data warehouse, can come in a variety of tiers. Typically there are tier one, tier two, and tier three
architecture designs.

Single-tier Architecture: Single-tier architecture is hardly used in the creation of data


warehouses for real-time systems. They are often used for batch and real-time processing to process
operational data. A single-tier design is composed of a single layer of hardware with the goal of keeping
data space at a minimum.
Two-tier Architecture: In a two-tier architecture design, the analytical process is separated from
the business process. The point of this is to increase levels of control and efficiency.
Three-tier Architecture: A three-tier architecture design has a top, middle, and bottom tier;
these are known as the source layer, the reconciled layer, and the data warehouse layer. This design is
suited for systems with long life cycles. When changes are made in the data, an extra layer of review and
analysis of the data is completed to ensure there have been no errors.
Regardless of the tier, all data warehouse architectures must meet the same five properties: separation,
scalability, extensibility, security, and administrability.
Types of Data warehouses
 Cloud data warehouse
A cloud data warehouse is a data warehouse specifically built to run in the cloud, and it is offered to customers as
a managed service. Cloud-based data warehouses have grown more popular over the last five to seven years as

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more companies use cloud services and seek to reduce their on-premises data center footprint.
With a cloud data warehouse, the physical data warehouse infrastructure is managed by the cloud company,

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meaning that the customer doesn’t have to make an upfront investment in hardware or software and doesn’t have
to manage or maintain the data warehouse solution.

 Data warehouse software (on-premises/license)


A business can purchase a data warehouse license and then deploy a data warehouse on their own on-premises
infrastructure. Although this is typically more expensive than a cloud data warehouse service, it might be a better
choice for government entities, financial institutions, or other organizations that want more control over their data
or need to comply with strict security or data privacy standards or regulations.
 Data warehouse appliance

A data warehouse appliance is a pre-integrated bundle of hardware and software—CPUs, storage, operating
system, and data warehouse software—that a business can connect to its network and start using as-is. A
data warehouse appliance sits somewhere between cloud and on-premises implementations in terms of
upfront cost, speed of deployment, ease of scalability, and management control.
Benefits of Data warehouses

 Better data quality: A data warehouse centralizes data from a variety of data sources, such as transactional
systems, operational databases, and flat files. It then cleanses it, eliminates duplicates, and standardizes it to


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create a single source of the truth.
Faster, business insights: Data from disparate sources limit the ability of decision makers to set business

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strategies with confidence. Data warehouses enable data integration, allowing business users to leverage all
of a company’s data into each business decision.
 Smarter decision-making: A data warehouse supports large-scale functions such as data mining (finding
unseen patterns and relationships in data), artificial intelligence, and machine learning—tools data
professionals and business leaders can use to get hard evidence for making smarter decisions in virtually
every area of the organization, from business processes to financial management and inventory
management
 Gaining and growing competitive advantage: All of the above combine to help an organization finding
more opportunities in data, more quickly than is possible from disparate data stores.
Data warehouse vs. data mart

A data mart is a subset of a data warehouse that contains data specific to a particular
business line or department. Because they contain a smaller subset of data, data marts
enable a department or business line to discover more-focused insights more quickly than
possible when working with the broader data warehouse data set.

Data warehouse vs. database

A database is built primarily for fast queries and transaction processing, not analytics. A
database typically serves as the focused data store for a specific application, whereas a
data warehouse stores data from any number (or even all) of the applications in your
organization.
A database focuses on updating real-time data while a data warehouse has a broader
scope, capturing current and historical data for predictive analytics, machine learning, and
other advanced types of analysis.

Data warehouse vs. data lake

A data warehouse gathers raw data from multiple sources into a central repository, structured using predefined
schemas designed for data analytics. A data lake is a data warehouse without the predefined schemas. As a result,
it enables more types of analytics than a data warehouse. Data lakes are commonly built on big data platforms
such as Apache Hadoop.
Data Mart
A data mart is a subset of a data warehouse focused on a particular line of business, department, or
subject area. Data marts make specific data available to a defined group of users, which allows those
users to quickly access critical insights without wasting time searching through an entire data
warehouse. For example, many companies may have a data mart that aligns with a specific department
in the business, such as finance, sales, or marketing

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Benefits of Data Mart
 Cost-efficiency: There are many factors to consider when setting up a data mart, such as the
scope, integrations, and the process to extract, transform, and load (ETL). However, a data mart typically only
incurs a fraction of the cost of a data warehouse.

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 Simplified data access: Data marts only hold a small subset of data, so users can quickly retrieve the data they need
with less work than they could when working with a broader data set from a data warehouse.


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Quicker access to insights: Intuition gained from a data warehouse supports strategic decision-making at the enterprise
level, which impacts the entire business. A data mart fuels business intelligence and analytics that guide decisions at the
department level. Teams can leverage focused data insights with their specific goals in mind. As teams identify and
extract valuable data in a shorter space of time, the enterprise benefits from accelerated business processes and higher
productivity.

 Simpler data maintenance: A data warehouse holds a wealth of business information, with scope for multiple lines of
business. Data marts focus on a single line, housing under 100GB, which leads to less clutter and easier maintenance.

 Easier and faster implementation: A data warehouse involves significant implementation time, especially in a large
enterprise, as it collects data from a host of internal and external sources. On the other hand, you only need a small subset
of data when setting up a data mart, so implementation tends to be more efficient and include less set-up time.
Data Mining
The process of extracting information to identify patterns, trends, and useful data that would
allow the business to take the data-driven decision from huge sets of data is called Data Mining.
Data Mining is the process of investigating hidden patterns of information to various

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perspectives for categorization into useful data, which is collected and assembled in particular
areas such as data warehouses, efficient analysis, data mining algorithm, helping decision
making and other data requirement to eventually cost-cutting and generating revenue.
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the act of automatically searching for large stores of information to find trends
and patterns that go beyond simple analysis procedures. Data mining utilizes complex
mathematical algorithms for data segments and evaluates the probability of future events. Data
Mining is also called Knowledge Discovery of Data (KDD).
Types of Data Mining
 Relational Database:
A relational database is a collection of multiple data sets formally organized by tables, records, and columns from
which data can be accessed in various ways without having to recognize the database tables. Tables convey and
share information, which facilitates data search ability, reporting, and organization.
 TRISHA
Data warehouses:
A Data Warehouse is the technology that collects the data from various sources within the organization to provide
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meaningful business insights. The huge amount of data comes from multiple places such as Marketing and
Finance. The extracted data is utilized for analytical purposes and helps in decision- making for a business
organization. The data warehouse is designed for the analysis of data rather than transaction processing.
 Data Repositories:
The Data Repository generally refers to a destination for data storage. However, many IT professionals utilize the
term more clearly to refer to a specific kind of setup within an IT structure. For example, a group of databases,
where an organization has kept various kinds of information.
 Object-Relational Database:
A combination of an object-oriented database model and relational database model is called an object-relational
model. It supports Classes, Objects, Inheritance, etc.
Advantages of Data Mining
 The Data Mining technique enables organizations to obtain knowledge-based data.
 Data mining enables organizations to make lucrative modifications in operation and production.
 Compared with other statistical data applications, data mining is a cost-efficient.
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Data Mining helps the decision-making process of an organization.

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 It Facilitates the automated discovery of hidden patterns as well as the prediction of trends and
behaviors.
 It can be induced in the new system as well as the existing platforms.
 It is a quick process that makes it easy for new users to analyze enormous amounts of data in a short
time.
Disadvantages of Data Mining
 There is a probability that the organizations may sell useful data of customers to other
organizations for money. As per the report, American Express has sold credit card
purchases of their customers to other organizations.

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 Many data mining analytics software is difficult to operate and needs advance training to
work on.
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Different data mining instruments operate in distinct ways due to the different algorithms
used in their design. Therefore, the selection of the right data mining tools is a very
challenging task.
 The data mining techniques are not precise, so that it may lead to severe consequences in
certain conditions.
Knowledge based decision making

 Knowledge-Based Decision-Making (KBDM) in management is a decision-making process that


uses predetermined criteria to measure and ensure the optimal outcome for a specific topic.
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KBDM is used to make decisions by establishing a thought process and reasoning behind a decision. It
gathers vital background essentials to collectively increase understanding about a topic or agreed criteria

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Knowledge-based decision support systems are systems designed to ensure more precise decision-
making by effectively using timely and appropriate data, information, and knowledge management for
convergence industry. These systems refer to decision-making based on relevant knowledge, which is
based on artificial intelligence, and on the application of information and communication technologies.
In addition, these systems support decision-making through prediction and recommendation techniques.
Depending on the criteria, there are various classifications. Based on the knowledge used for deduction,
data is classified into knowledge-based systems using dictionary-defined knowledge, and non-
knowledge–based systems using machine learning and multi-dimensional statistical pattern recognition
techniques .
Component of knowledge based decision
system

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Unit -3
Functional modeling
Functional Modelling is represented through a hierarchy of DFDs. The DFD is a graphical
representation of a system that shows the inputs to the system, the processing upon the
inputs, the outputs of the system as well as the internal data stores. DFDs illustrate the
series of transformations or computations performed on the objects or the system, and
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the external controls and objects that affect the transformation.
“A data flow diagram is a graph which shows the flow of data values from their sources in
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objects through processes that transform them to their destinations on other objects.”
The four main parts of a DFD are −
 Processes,
 Data Flows,
 Actors, and
 Data Stores.
What is enterprise system

 An enterprise system is a software pakages that helps a business perform and


oversee certain processes, gathers data about these processes for analytics and


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maintains clear transparent records of these transactions.
The system is usually a large software package that integrates lots of other

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individual applications. A key feature of an enterprise system is that its modules are
designed for each department’s processes. For example, the purchasing
department’s module might include purchase orders, approvals and receiving
records as well as links to accounting and finance.
THREE TYPES OF ENTERPRISE SYSTEMS

There are three main areas where businesses apply enterprise systems.
•CRM (customer relationship management) systems focus on integrating customer data to help
customer interactions run consistently and smoothly across the organization. The database
manages details about customers including contacts, order history, complaints and returns. All of
this information can then be accessed together and can help forecast sales or identify marketing
strategies. These types of systems are usually used by sales, marketing and customer service
departments.

•SCM (supply chain management) systems focus on integrating and automating pieces of the
supply chain to keep production flowing and to keep delivering goods to customers. This sort of
system will start by pulling together raw material supplier information, ordering and tracking raw
material shipments and then tracking production and manufacturing rates and processes. The
system then tracks the shipment of products to customers as well as warehousing storage. The
integration of all of these pieces into an enterprise system can help automate raw materials
orders, increase inventory efficiency and provide valuable data on the manufacturing process.

•ERP (enterprise resource planning) systems are collections of different modules that can include
the above two types. An ERP system integrates a number of software modules that help specific
business functions, such as accounting, purchasing, inventory management and production.
Specialized systems can also integrate maintenance or engineering for plants or manufacturing
sites. This enterprise system helps these different business nodes work together, passing
Advantages of enterprise system

 Management can easily access information to make data-driven decisions quickly.




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Data becomes visible and accessible across the entire organization.
Automation of transactions brings more efficiency to day-to-day processes.


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There is improved transparency of data and department practices.
There is ease of obtaining records for audits and compliance.
Disadvantages of enterprise systems

 High cost of investment


 Time needed for implementation


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Risks of data loss and downtime
ERP consultants are very expensive and take approximately 60% of the budget
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The success depends on the skills and experience of the workforce, including
education and how to make the system work properly
Warehouse management
 A warehouse management system (WMS) is a software solution that offers visibility
into a business’ entire inventory and manages supply chain fulfillment operations
from the distribution center to the store shelf.

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Warehouse Management (WMS) solutions additionally enable companies to maximize
their labor and space utilization and equipment investments by coordinating and

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optimizing resource usage and material flows. Specifically, WMS systems are
designed to support the needs of an entire global supply chain, including distribution,
manufacturing, asset-intensive, and service businesses.
 A WMS is a software application that controls daily warehouse operations by
automating processes and coordinating the warehouse’s many moving parts,
including staff, equipment, inventory and orders.
 Companies are increasingly turning to WMS to achieve the accuracy and efficiency
needed to get products to customers on time without an unsustainable spike in costs.
WMS solutions may be provided as part of an enterprise resource planning (ERP) suite
of business applications or as standalone products that are cloud-based or on-
premises.
How does warehouse management
work
 A warehouse management system can provide real-time insights into any aspect of
warehouse operations, from the location of each item to the number of employees

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on the packing floor. It helps manage and optimize warehouse processes ranging
from workforce scheduling to picking items and shipping orders.
 The software can make each of these steps more efficient, saving time and money
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since the supply chain is a major cost center for most companies.
How Do You Use a Warehouse Management
System?

Warehouse management systems can be used to manage key warehouse operations, including:
 Warehouse organization: By inputting warehouse size and inventory information (such as pallet size,

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object size and product use), a WMS can generate a warehouse diagram that will help a business optimize
inventory storage by making the best use of available space.
 Optimizing daily schedule: Taking into account current orders and available staff, a WMS can devise

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daily plans that schedule the right amount of labor and estimate labor costs. A WMS can also connect to
transportation providers to schedule shipping and receiving times and locations. That ensures truck drivers
arrive at the right dock at the right time and staff is ready for them.
 Managing inventory: A WMS can gather information from mobile devices and machinery to record the
movement of inventory throughout the warehouse. An associate can scan items when they’re received and
again when stored, picked, packed and shipped. The WMS adjusts inventory levels in real time to help
minimize waste while avoiding stockouts.
 Order fulfillment: A WMS can facilitate fast and accurate order fulfillment. To fill each day’s orders, the
picking team can use a highly detailed packing list—often on a mobile device that they carry with them—
listing exactly what they need and where it’s located.
 Monitoring and reporting: A WMS can document standard operating procedures to ensure employees
follow them at all times and monitor warehouse operations to detect problems. The company can then
analyze the data collected by the WMS to assess warehouse performance, find areas for improvement,
create goals and track progress over time.
Types of warehouse management

 Standalone On-Premises WMS


A standalone on-premises WMS typically offers basic functionality, including core warehouse management

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features such as inventory management, order fulfillment and shipping. This type of WMS generally requires
an IT team to troubleshoot problems and maintain and upgrade the software. Compared to other types, on-
premises WMS typically take longer to implement because they require custom integrations with existing

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business systems.
 Cloud WMS
Cloud WMS are web-based, software-as-a-service (SaaS) solutions that users access through the internet. A
cloud WMS has the benefit of a lighter footprint than an on-premises solution; there’s less need for on-site
hardware and IT specialists.
It’s also generally faster to implement. Leading cloud WMS solutions are highly configurable, allowing
companies to tailor them to their specific needs and processes. Cloud WMS can be integrated with cloud
ERP suites and other warehouse technology such as mobile devices, conveyors and sorting machines.
 WMS ERP modules
A WMS ERP module is natively integrated with a unified ERP solution that usually includes other modules for
accounting, customer relationship management (CRM), human resources and inventory and order
management. Since all warehouse data is stored in the shared database used by the other modules,
everyone in the organization has access to the same up-to-date information at all times.
Benefits of warehouse management

 Reduce waste: Better space, inventory and labor management can help minimize waste


and cut costs.
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Optimize warehouse processes: From receiving inventory to picking, packing and

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shipping, a WMS can use data analytics to pinpoint bottlenecks and inefficient processes.
Reduce human error: Devise simple, efficient practices for putaway, picking and packing to
increase order accuracy and decrease time spent walking across the warehouse.
 Track materials in real time: Trace inventory with lot and batch numbers to see exactly
where a material or product is during each stage of its journey through the supply chain.
 Improve customer and supplier relationships: Coordinate inbound and outbound
operations by communicating with suppliers and transportation services to ensure orders are
received and shipped as efficiently as possible.
 Increase flexibility: A WMS can adapt to changes in order volume after a seasonal uptick in
sales or help a business respond to an unexpected disruption like shipping delays due to
inclement weather.
Business Process Re-engineering
Business Process Re-engineering (BPR) is a management strategy aimed at improving organizational performance by re-designing
and optimizing business processes. BPR is a systematic and radical approach to change, focused on transforming and streamlining
core business processes to achieve dramatic improvements in quality, efficiency, and customer satisfaction.
BPR involves a comprehensive analysis of existing business processes, identifying inefficiencies, bottlenecks, and waste, and then

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developing new and improved processes that align with the organization’s strategic objectives. The objective is to eliminate
unnecessary steps, reduce cycle time, and improve overall efficiency, while maximizing the value delivered to customers.

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BPR requires a fundamental shift in the way an organization thinks about its business processes, emphasizing a customer-centric
approach to process design and management. It involves a collaborative and cross-functional approach, involving stakeholders from
across the organization to ensure that process improvements are aligned with the organization’s strategic objectives.
The benefits of BPR can include reduced costs, increased productivity, improved quality, faster time-to-market, and greater customer
satisfaction. However, implementing BPR can also be a complex and challenging process, requiring significant investment in
resources, time, and expertise.
Business process re-engineering is not just a change, but actually it is a dramatic change and dramatic improvements. This is only
achieved through overhaul the organization structures, job descriptions, performance management, training and the most importantly,
the use of IT i.e. Information Technology.
OBJECTIVES OF BPR
 To dramatically reduce cost.
 To reduce time requirements.
 To improve customer services dramatically.
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To reinvent the basic rules of the business e.g. The airline industry.

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Customer satisfaction.
 Organizational learning.
ADVANTAGES AND DISADVANTAGES

ADVANTAGES DISADVANTAGES
 BPR offers tight integration among different  It depends on various factors like size and availability
of resources. So, it will not fit for every business.
modules.
 It is not capable of providing an immediate resolution.
 It offers same views for the business i.e. same  High costs: Implementing BPR can be a costly and
database, consistent reporting and analysis. time-consuming process, requiring significant
investment in resources, including technology,
 It offers process orientation facility i.e. streamline training, and consulting fees. This can be a significant
processes. barrier for small or cash-strapped organizations.

  Resistance to change: Implementing BPR can be a


It is flexible.
difficult and complex process that requires significant
 It is scalable. changes to an organization’s culture, processes, and
people. Employees may resist the changes, especially
 It is expandable. if they feel their job security is at risk, leading to
decreased morale and increased turnover.
Enterprise document security
Document security involves everything regarding the protection of information contained
in documents. It includes preventing unauthorized access to documents, preventing theft,
and ensuring documents aren’t altered or counterfeited.

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In the past, document security was easier since it only required physical safeguarding.
But, organizing an increasing number of documents became difficult, harming business

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performance. Naturally, as technology evolved, businesses began keeping digital records
and documents. Now, document security mainly refers to user access control and other
preventive measures to ensure the integrity and security of digital documents.
Importance of document security
Documents are a big part of that data, as they contain valuable information about your
business, partners, customers and patents.
Security breaches are more common than ever. Hacker groups target everyone looking to

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get their hands on sensitive business data. They do this to extract a ransom from victims
or sell the data on the dark web.

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On top of that, the amount of data each business handles has made human error more
likely, resulting in data leaks or loss. Because of these threats, every business must
prioritize the security of its documents.
Documents must be handled with care. Yet, achieving document security is easier said
than done. Each year, the number of documents each business handles increases.
Managing permissions and access to sensitive documents is impossible without a clear
document security plan.
How to improve document security
There are several ways any business can improve document security. File encryption is a fundamental measure
to ensure document protection. Sending or uploading files in plain text makes them readable to anyone. When
documents are encrypted, they can’t be altered or viewed even if they fall into the wrong hands.

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There are two main threats to document security: internal and external.
Internal security

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Before instilling measures that protect you from outside threats, you must ensure your documents are secured
internally. The best way to do that is through stricter user permissions.
Your business probably has various documents like contracts, employment agreements, NDAs, etc. There is no
need for everyone in the company to be able to see these documents. User permissions help you narrow down
document access to those people that need it.
Divide your users into groups and provide each group access at the folder or document level. Granting access
to groups instead of individuals is easier as the number of users grows. Only users in that group can view, alter,
share, or download the assigned documents. This alone will significantly reduce the risk of internal threats.
External security
Another threat you must consider is hackers or other malicious external actors who may try to access your
documents. Your online accounts, particularly messaging and data storage platforms, are crucial for
document security.
Protect these accounts with strong passwords to maximize security. Provide your employees with
an enterprise password manager to easily generate and store strong passwords for crucial accounts. That
will immensely decrease the possibility of a successful cyberattack, directed at your business.
User access control will also help with external threats as there will be a limit on how many employees can
share documents throughout the organization or externally.

Delete documents you no longer need


It’s inevitable that the number of documents you deal with increases over the years. But that doesn’t mean
you can’t control the increase. Delete all documents that are no longer needed or are outdated. For
example, expired contracts, old employment agreements, outdated internal documentation, etc.

Create backups
Having a single copy of a sensitive document is playing with fire. A simple mistake can destroy the only
copy you have and disrupt operations. You should create multiple backups, especially for critical
documents. With the right settings, cloud storage allows for an easy and consistent way to create backups.
.
Include watermarks on documents
Adding watermarks on public-facing documents is a great way to signal ownership. It can also
signal confidentiality, prompting users to be more careful when dealing with such documents.

Document security is a challenging yet necessary step that businesses must take continuously.
Security breaches and human error are the main ways your documents can come under threat.
Implement strict user access control rules and protect your cloud storage with strong passwords to
maximize security
Computer crime
Donn Parker is generally cited as the author that presented the first definitional categories for computer crime. He
clearly favors the term computer abuse as a higher-level definition and describes it as “…any incident involving an
intentional act where a victim suffered or could have suffered a loss, and an offender created or may have created a
gain and is related to computers”.

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Alternatively known as cyber crime, e-crime, electronic crime, or hi-tech crime. Computer crime is an act
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performed by a knowledgeable computer user, sometimes called a "hacker," who illegally browses or steals a
company's or individual's private information. Sometimes, this person or group of individuals may be malicious
and destroy or otherwise corrupt the computer or data files.
Robert Taylor and company expand on Parker’s definitions and present four categories of computer
crime –
•The computer as a target: The attack seeks to deny the legitimate users or owners of the system
access to their data or computers. A Denial-of-Service (a.k.a., DOS or DDOS) attack or a virus that
renders the computer inoperable would be examples of this category.
•The computer as an instrument of the crime: The computer is used to gain some information or
data which are further used for criminal objective. For example, a hacker may use a computer
system to steal personal information.
•The computer as incidental to a crime: Sometimes a computer may not the primary instrument of
the crime; it simply can facilitate it. Money laundering and the trading of child pornography would
be examples of this category.
•Crimes associated with the prevalence of computers: This includes the crimes against the
computer industry, such as intellectual property theft and software piracy etc.
Cyber crime
 1. Child Pornography OR Child sexually abusive material (CSAM)
Child sexually abusive material (CSAM) refers to a material containing sexual images in any form, of a
child who is abused or sexually exploited. Section 67 (B) of the IT Act states that “it is punishable for
publishing or transmitting of material depicting children in the sexually explicit act, etc. in electronic
form.
 2. Cyber Bullying
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A form of harassment or bullying inflicted through the use of electronic or communication devices such

 3. Cyber Stalking
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as computers, mobile phones, laptops, etc.

Cyber stalking is the use of electronic communication by a person to follow a person, or attempts to
contact a person to foster personal interaction repeatedly despite a clear indication of disinterest by
such person; or monitors the internet, email or any other form of electronic communication commits the
offence of stalking.
 4. Cyber Grooming
Cyber Grooming is when a person builds an online relationship with a young person and tricks or
pressures him/ her into doing a sexual act.
 5. Online Job Fraud
Online Job Fraud is an attempt to defraud people who are in need of employment by giving them false
[Link]
Phishing is a type of fraud that involves stealing personal information such as Customer ID, IPIN, Credit/Debit
Card number, Card expiry date, CVV number, etc. through emails that appear to be from a legitimate source.

[Link] Card Fraud or Debit Card Fraud


Credit card (or debit card) fraud involves the unauthorized use of another’s credit or debit card information for
the purpose of purchases or withdrawing funds from it.

[Link] and identity theft


Impersonation and identity theft is an act of fraudulently or dishonestly making use of the electronic signature,
password or any other unique identification feature of any other person.

9. Spamming
Spamming occurs when someone receives an unsolicited commercial message sent via email, SMS, MMS and
any other similar electronic messaging media. They may try to persuade the recipient to buy a product or
service, or visit a website where he can make purchases, or they may attempt to trick him/ her into divulging
bank account or credit card details.
Unit -4
ERP ( ENTERPRISE RESOURCE PLANNING )
ERP IS made to automate any task. With ERP, it is easy to manage every department under one single database.
This consumes not much time and is easy and fast way to do work with.
Example :
Any enterprise’s planning, manufacturing, sales and marketing efforts are put under one management system


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and then it combines to one single database system.
Evolution of ERP System :

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1. Material Requirement Planning (MRP) –
Developed in 1970s, Material Requirement Planning is widely used approach for production planning and
scheduling in industry. It is the approach embedded in many commercially available software applications.
The function of MRP is to provide material availability i.e, it is used to produce requirement quantities on
time. This process involves monitoring of stocks and demand, leading to automatic creation of procurement
proposals for purchasing or production. The main objective of MRP is to determine which material is
required, quantity required and by when it is required.
[Link] Resource Planning (MRP II) –
Developed in 1980s, Manufacturing Resource Planning is an expansion of closed loop MRP for
managing an entire manufacturing company. This system provides an information that is useful to all
functional areas and encourages cross-functional interactions.
It supports sales and marketing by providing and orders promising capability. It is a broad-based
resource co-ordination system involving other areas of a firm in planning processes, such as marketing,
finance and HR.

3. Enterprise Resource Planning (ERP) –


Developed in 1990s, Enterprise Resource Planning is foundation system for domestic and global
operations, supporting most or all functional areas in their daily operations. is one of more common
categories of business software, especially with large-scale businesses.
It is a business strategy and a set of industry-domain-specific applications that build customer and
shareholder communities value network system by enabling and optimizing enterprise and inter-
enterprise collaborative operational and financial processes. ERP at its core is an effective way of
centralizing information and workflow processes through data management. Because ERP keeps all of
your workflow data in one place.
4. Developed in 2000s, ERP II is name now use to describe ERP. Basically, it is
successor of ERP. It is a business strategy and set of collaborative operational and
financial processes internally and beyond enterprise.
These new business models reflect an increased business focus on internal
integration. It’s domain is in all sectors and segments. Data in this is internally and
externally published and subscribed. It includes departmental modules, CRM, SCM
and other stakeholders modules. It emphasis on intangible assists.
IMPLEMENTATION OF ERP CYCLE

Enterprise Resource Planning is foundation system for domestic and global

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operations, supporting most or all functional areas in their daily operations. Is one of the
more common categories of business software, especially with large-scale businesses.

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It is business strategy and set of industry-domain-specific applications that build
customer and shareholder communities value network system by enabling and optimizing
enterprise and inter-enterprise collaborative operational and financial processes. ERP at
its core is an effective way of centralizing information and workflow processes through
data management. Because ERP keeps all of your workflow data in one place.
Example :
Any enterprise’s planning, manufacturing, sales and marketing efforts are put under one
management system and then it combines to one single database system
Different phases of ERP Implementation :

[Link]-evaluation screening :
This phase starts when company decides to go for ERP system. For this, search for
package starts. It is time-consuming process because every package has to analyze first
before reaching to any decision. As all packages are not same and each has its own
strengths and weakness. This process should eliminate those packages that are not
suitable for company’s business processes.
[Link] Evaluation :
It is the most important phase in implementation. This phase depends on success and
failure of entire project with package selection. Most important factor while selecting
any package is that not every package can be totally perfect for project but at-least it
should be good fit for project.
[Link] Planning Phase :
This phase plans and designs implementation process.
[Link] Analysis :
It is the most crucial phase in this implementation. Here, gaps are analyzed between
company’s practices and that practices which are supported by ERP package. It has
been estimated that even best ERP package only meets 80-85% of company’s functional
requirements.
[Link]-engineering :
It is the fundamental rethinking and radical redesign of business processes to achieve
[Link] :
It is the main functional area of ERP Implementation. Arrived solution must match
with overall goals of company. Prototype should allow for thorough testing and
attempts to solve logistical problem.
[Link] Team Training :
Now after above processes, implementation team knows how to implement system.
This is phase where company trains its employees to implement and later run
system.
[Link] :
This is the phase where team break system. Sometimes, system overloads or
multiple users trying to login at same time etc. Test cases are designed specifically
to find weak links in system. Different types of testing are: Unit testing, integration
testing, acceptance testing, security testing, performance and stress testing.
[Link] Live :
Once technical and functional side is properly working and testing is done. There
comes next phase i.e, “Going Live”. Once system is ‘live’, old system is removed &
new system is used for doing business.
[Link]-User Training :
This is the phase where user of system is given training on how to use system. Employees and their
skills are identified and training is given to them in groups based on their current skills. Every
employee is provided with training of job which he is going to perform.
[Link]-Implementation :
It is the most important and critical factor. Post Implementation is based on two words- Operation and
Maintenance of system. Duration of this phase depends on training efficiency. Necessary
enhancements & upgrades are made in this phase.
MAINTENANCE OF ERP
 Establish a schedule for when maintenance is needed to prevent problems.
 Document everything with detailed historical records on past maintenance and performance.
 Set up testing procedures to discover issues before users do.

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Customize security measures to protect your ERP and users.

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[Link] a schedule
Creating a schedule for ERP maintenance is the first step. The best case scenario for most maintenance is to
prevent a problem from occurring in the first place. Keeping to a regular maintenance schedule, whether it’s
needed or not, is one way to stay ahead of potential issues.
The software vendor likely has their own schedule for releasing patches. If you can base your maintenance
around those updates, you can minimize potential performance interruptions.
[Link] everything
Historical records of past maintenance provide ongoing performance patterns which can shape how
future updates are handled. For instance, adding a new security patch might take a few hours to
complete. The IT department can use that information to schedule the next patch during off-peak hours
to prevent service disruption.
Real-time monitoring needs to be documented as well. Unexpected changes in software performance
over a short period of time can indicate additional maintenance is needed.

[Link] up testing procedures


A key to ERP maintenance is to repeatedly test and test again. It’s better to discover an issue on your
own terms than learn about it second-hand from a user. In-depth testing measures can reveal overall
weakness, leading to fixes and better workflow processes.
Regularly testing the ERP solution is also an opportunity to backup the database. Backups should be
made before any in-depth testing is done so the system can be restored in the event something goes
wrong.
[Link] security measures
By implementing robust security measures, you can prevent issues which
would otherwise require maintenance to fix. All it takes is one missed patch to
open up your data to a breach. Stay on top of the developer’s updates and your
own internal security practices.

Ways to increase ERP security include:


•User access control: Limit how much access different users have to the ERP
to prevent misuse or human error.
•User training: Continuous training helps users stay up-to-date on new
features and developments. Keep them informed about new practices, and
encourage them to change their password!
•Industry-specific compliance: Meet the safety standards and other
requirements set by regulatory authorities. Stay ahead of any changes in
regulations.
DATA Migration
 Data migration is the process of transferring data from one storage system or computing environment
to another.
 There are many reasons your enterprise might need to undertake a data migration project. For
example, you might be replacing servers or storage devices or consolidating or decommissioning data

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center. Data migration is also an essential step in the overall process of migrating on-premises IT
infrastructure to a cloud computing environment.

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 Whether you’re moving to a public cloud, private cloud, hybrid cloud, or multicloud environment,
you’ll need to find a secure, cost-effective, and efficient method of migrating your data to its new
storage location.
FACTORS TO CONSIDER TO DATA
MITIGATION
 Type of workload. Specialized workloads—such as virtual machines (VMs), backups, or databases—can usually
be moved with software vendor-provided tools that are specific to the type of data being migrated. If you don’t

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have access to these tools, you’ll want to carefully plan for potential downtime. You can transfer data for mission-
critical workloads in stages, testing at intervals throughout the process and keeping the source and target systems
running in parallel. Alternatively, you can plan a large-scale transfer outside of production hours (if you can

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accomplish it the available window).
Volume of data. When you’re migrating fewer than 10 terabytes (TB) of data, shipping the data to its new storage
location on a client-provided storage device is often the simplest and most cost-effective method. For transfers
involving larger amounts of data—say, up to multiple petabytes (PB)—a specialized data migration device
supplied by your cloud provider can be the most convenient and affordable option. While, in theory, you could
use online migration for any amount of data, time constraints limit its feasibility for large amounts of data.
 Speed to completion. For online migrations, the amount of data being transferred and the speed of your network
connection will determine how long data migration takes. For offline migrations, shipping time must be taken into
account. If start-to-finish migration speed is your primary concern—and if you have adequate available
bandwidth to dedicate to the migration—online transfer could be the best option. But if your migration deadline is
flexible and/or you have bandwidth or other networking constraints, offline migration might be the right choice.
RISK IN DATA MITIGATION
Though the benefits of modernizing IT systems outweigh the risks associated with data migration—
especially over the long term—data migration can be stressful and risky. Here are some of the risks to
account for:

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Security: Make sure all data is securely encrypted before migration. For offline migrations that
involve shipping data storage devices, verify security of the shipper’s freight and logistics services.

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Long transfer times: It can be challenging to predict online transfer times with complete accuracy.
Network bottlenecks may restrict connection speeds, or system hardware limitations might throttle
the amount of data that can be read from or written to them.
 Higher-than-expected costs: Unanticipated costs often result from improper planning. For
example, online transfers that take longer than expected will incur additional charges. Retaining a
vendor-provided storage appliance for longer than you’d initially agreed to keep it (which can result
from transferring the data to the appliance or shipping delays) can incur extra charges as well.

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