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MP3 / MM740Strategy & Information Systems
Module 1: Fall 2001Tech. Overview & Fundamentals
John Gallaugher
www2.bc.edu/~gallaugh
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Issues to be Covered• Information Technologies & Systems
– IT vs. IS; classifications of information systems
• Hardware– Moore’s Law & types of computers
• Software– Operating systems & intro. to tech. competition– What is Java & why is it important?
• Mutli-user Computing Architectures
• Data / Information
• Types of information systems
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FoxMeyer
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Massive System Projects
Deregulation
Globalization
The Internet
Skills Crunch
Mergers & Acquisitions
Technical Advances
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5 Components of an IS
Data
Procedures
Software
Hardware
People
InformationSystems
InformationSystems
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Hardware
Computers
Peripherals
Networking Equipment
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Source: Intel Corp.
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1981IBM PCProcessor: Intel 8088, 4.77 MHzDual 160 KB floppy drives$3,300
1991Compaq 486Processor: Intel 80486, 33 MHz120 MB hard drive$2,300
2001Dell Dimension
Processor: Intel Pentium 4,1.4 GHz20 GB hard drive
$950
The PC @ 20
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Storage Crib Sheet– bit = zero or one, smallest computing unit– byte = 8 bits, one Latin character– kilobyte (K) = 1,024 bytes ~ 1 thousand bytes– megabyte (MB) = 1,024 K ~ 1 million bytes– gigabyte (GB) = 1,024 MB ~ 1 billion bytes– terabyte (TB) = 1,024 GB ~ 1 trillion bytes
• Typical PC Capacity (9/01)– RAM = 64 - 256 MB– High Density (HD) diskette - 1.44 MB– Hard Drives = 10 - 80 GB– CDs = >620 MB – DVD = 4.7 GB
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Types of Computers(the distinction is blurring)
• Personal / Microcomputers– relatively compact, one primary microprocessor– desktop, laptop, palmtop, PDA, specialized
• Mid-range Systems (Servers)– may have more than one microprocessor, typically
multi-user & focused on a functional area or task (marketing, plant management).
– Vintage midranges (proprietary OS): IBM AS/400 (updated), DEC VAX (discontinued)
– Servers (UNIX/NT): Intel-based, Sun, HP, IBM
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Types of Computers (cont.)• Mainframes (IBM)
– large, expensive computer, supports multiple user groups, terminals, run several applications at once.
– costly: support staff, air conditioning, software– secure: centralized programs & data are easier to backup,
maintain, and monitor
• Super Computers (mfgs: IBM, Hitatchi, Compaq)– massively parallel and/or clustered– used to solve problems requiring long, difficult calculations
(e.g.airline scheduling, advanced modeling - biotech, weather, risk management)
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Software
Operating Systems
Applications
Applets
Java Challenges the Paradigm
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SoftwareOperating Systems
control hardware and provide an environment in which applications execute
Application Programsend-user program that performs a specific function
Individual examples: word processor, spreadsheet. Collections of apps: Office (suite), SAP R/3 (ERP)
Appletssmall application programs which execute within a
larger environment (e.g. Java applets within browser)
operating system
applications
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Competition in the OS Space
PersonalComputersWindows ME
Windows XP
Apple
Mutli-UserSystemsWindows 2000
Windows.NET
Unix (Sun, IBM, HP, Compaq)Linux
ConsumerDevicesWindows CEUltimate TV
“Talisker” XBox
Palm (handheld)Liberate (set top)Sony
MS Today
MS Future
Competition
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Java - a Cross-Platform Standard• Java Consist of Two Components
– object oriented programming language– virtual machine (software that executes Java byte code)
• Advantages– Write-once run-anywhere. Runs on any machine with a JVM
regardless of OS or microprocessor– object-oriented language (reuse, faster dev.)– secure
• Disadvantages– 1) slow due to download times, 2) slow due to interpreting line
by line, 3) inconsistent Java VMs
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Traditional Programs...
Netscape Navigator for Windows
Netscape Navigatorfor Macintosh
Windows Compiler
Macintosh Compiler
Intelcode
680x0 code
1001001001...
0101100101...
1110101110...
PowerPC code
… are written for an Operating System (Windows98, Macintosh, etc.) & compiled for a microprocessor (Intel x86, 680x0, PowerPC, etc.). Compiled code is ready to be executed by the appropriate microprocessor (fast).
DrawWindow()……
GetWindow()……
(code can execute on OS & processor)
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Java Programs...
Java Program Java Compiler
Windows,Intel JVM
0001011110...
… are written for the Java Virtual Machine (JVM). In theory, the same Java byte code can execute on any computer with a standard JVM, regardless of OS or processor (write once, run anywhere). Byte code is interpreted line-by-line for each processor (slow).
OpenWindow()……
Macintosh,PowerPC
JVM
Sun Solaris,Sparc JVM
Compaq UNIX, Alpha
JVM
Java bytecode
1011000110...
0101101100...
1100001010...
0111101100...
…and more
(code is generic & must be interpreted)
(JVM software isthe interpreter)
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Java is Often Confused With...• JavaScript
– interpreted programming language that co-exists in same files as HTML (doesn’t need to be compiled into byte code)
– slower than Java– easier to program– supported by Netscape & Microsoft (w/some
consistency problems)– unlike Java, can only be used to create web pages
(Java can be used to create stand-alone applications that execute outside the browser).
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Java is Often Confused With...• ActiveX
– Microsoft's component technology architecture (e.g. a way to string together pieces of reusable code).
– Compiled, so it’s faster than Java, but not cross platform.
– Unlike Java, it allows full access to the operating system (including file access commands). This means that ActiveX components are potentially less-secure than Java (easier to spread viruses, deploy malicious programs).
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Multi-user Systems Architecture
• Architectures– enable the range of technical options (and hence
business options) available to a firm– implications regarding cost, flexibility, security
• Host / Terminal Model
• Client / Server Model– fat clients– thin clients– three / n-tier model
• P2P & Grid Computing
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Host / Terminal Model
Dumb terminals typically display only text sent from host. They do not perform any computing & don’t have a microprocessor. PCs can run terminal programs to act like dumb terminals & access hosts.
All programs & data are on the host (usually mainframe)
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Host / Terminal Model
• Advantages– proven, reliable technology– less complexity (fewer vendors)– centralized security, version control, & backup
• Disadvantages– costly hardware & software– aging technology– text-based interface difficult to use– applications are tightly integrated with database
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Client / Server Computing• Client
– a program which makes request of another program, usually on another computer (e.g. web browser)
– requests data or other action from servers
• Server– a program (usually on another computer) that runs
services that are shared among multiple client/users on a network (ex. E-mail server, web server, database server).
– responds to client requests (delivers data, performs tasks)
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Client / Server Model
PC executes client codeclient code makes a
request
Server executes server code & responds to request, holds data
sales
accounting
wheels
chemicals
Divide & Conquer
Share & Share Alike
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Client/Server• Advantages
– easier to use (PC GUI)– faster to develop– database separate from applications (enables data
integration across systems & reuse)– cheaper hardware (if PCs are in place)
• Disadvantages– complex (multi-vendor), new technology (lowers reliability
& raises maintenance costs)– security vulnerabilities– version control
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Variants of Client/Server
Fat Clientsclient code stored
(larger files, some business logic)client code executes
Server(some b-logic)Data
Thin Clients (NCs, browser apps.)client code executes
(smaller files, mostly GUI)
client code storedServer(most b-logic)Data
Three-Tier (n-tier) Architecture
client code executes(mostly GUI)
ServerData
b-logic
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back-end logic (shared or reused)palm
pocket pc
web
southwestairlines.com dollar.com
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Data & Information
Potentially a Key Source of Competitive Advantage
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Data, Information, & Knowledge
• Data - raw facts, figures, and details.
• Information - organized, meaningful, and useful interpretation of data. Has a context, answers a question.
• Knowledge - an awareness and understanding of a set of information and how that information can be put to best use.
• Many firms are data rich and info poor: victims of an old or poorly planned architecture
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Examples of Data, Information, & Knowledge
Data: raw, no context 900,000 1,150,000 1,200,000 1,100,000
Information: meaningful, has contextQuarter 1 Quarter 2
Post 900,000 1,150,000 Kellogg's 1,200,000 1,100,000
Post lowered its prices after the first quarter.Price change has caused Post sales to rise at the expense of Kellogg’s
Knowledge: information above & other information creates an awareness of impact
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Types/Classifications ofInformation Systems
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Transaction Processing Systems (TPS)
• A shared IS that uses a combination of IT and manual procedures to process data and information and to manage transactions.
• Examples: Cash Registers (POS), ATM• Characteristics:
– transactions are similar & repeatable– support multiple users in routine, everyday transactions
(usually tactical systems)– data capture with possible report generation– accuracy is critical, TPS “feed” other IS
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Reporting Systems - MIS
• Sometimes called Management Reporting Systems or Management Information Systems
• Characteristics– use data captured and stored from TPS– reports consolidated information rather than
details of transactions– supports reoccurring decisions– provides reports in pre-specified formats (on
screen, printed, or data)
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Decision Support Systems (DSS)• Allow users interrogate computers on an ad hoc
basis, analyze information, and predict the impact of decisions before they are made. [key: unstructured, user-led exploration]
• Characteristics– Assists in ad-hoc decision making– Used when requirements, processes, or procedures are
unstructured & aren’t known in advance– Provides info needed to define & solve a problem– Provides information in format determined at time of need
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Management Levels & IS
Strategic Planning
Management Control
Operational Control
DSS
MIS
TPS
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Expert Systems (ES)
• An artificial intelligence system that uses captured human expertise to evaluate and solve problems
• Characteristics:– diagnoses situations and/or recommends a
course of action– problems are structured and repeatable– application scope is limited to a particular
problem area (domain)
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Other Types of Artificial Intelligence (AI)
• Neural Networks– hunt for patterns in historical data– build their own expertise based on prior history– require clean data & consistency between
performance history and future events
• Genetic Algorithms– search for optimal solutions based on natural
selection: (1) propose solution (2) evaluate results against earlier solution (3) mutate & return to step 1
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Keane’s Space Truss Design