Database Design and Data Mining Concepts

Management Information Systems (MIS)

• A systematic organization and presentation of information used for making better decisions within the organization.
• Focuses on managerial decision-making rather than operational staff.
• Built upon summarized operational data from various subsystems.
  • These include Human Resources, Production Management, Finance, Sales Management, and Project Management.

Strategic Information Technology

• Emphasizes technology's role as a driving force for business strategy formation.
• IT can fundamentally alter how businesses compete.

Fundamental Competitive Strategy Concepts

• Competitive Advantage: Outperforming competition by excelling in specific areas.
• Strategic Information Architecture: A collection of strategically implemented information systems that shape a company's competitive standing.
• Strategic Information Systems: Information technology systems directly contributing to a company's competitive edge.

Competitive Forces and Strategies

• Porter's Five Forces:

  • Intensity of Rivalry Among Existing Competitors: The level of competition within an industry.
  • Threat of New Entrants: The likelihood of new entrants challenging existing businesses.
  • Bargaining Power of Suppliers: The power suppliers have to influence pricing and terms.
  • Bargaining Power of Buyers: The influence buyers have on pricing and terms.
  • Threat of Substitute Products/Services: The existence of alternative products or services that can replace existing offerings.

• Five Competitive Strategies:

  • Cost Leadership: Achieving the lowest cost in the industry.
  • Differentiation: Offering unique products or services that are valued by customers.
  • Innovation: Introducing new products, services, or processes.
  • Growth: Expanding market share, product lines, or geographical reach.
  • Alliance: Collaborating with other companies to leverage resources and capabilities.

Business Process Reengineering (BPR)

• A strategic approach that fundamentally rethinks and redesigns business processes to eliminate inefficiencies and improve performance.
• Key characteristics:
  • Radical redesign: A complete overhaul of processes.
  • Focus on customer value: Prioritize delivering the highest value to customers.
  • Technology as an enabler: Employ IT as a critical tool to facilitate BPR changes.

Benefits of BPR

• Cost reduction: Streamlining and automating processes to eliminate non-value-added activities.
• Improved quality: Reducing errors and enhancing product or service quality.
• Increased speed: Streamlining processes to deliver faster results.
• Enhanced customer satisfaction: Meeting customer needs more effectively and efficiently.

The Role of Information Technology in BPR

• Automation: Automating tasks to increase efficiency.
• Integration: Connecting systems to streamline data flow and reduce redundancy.
• Communication: Facilitating communication and collaboration among stakeholders.
• Decision Support: Providing analytical tools and insights to assist decision-making.
• Innovation: Supporting the development of new products, services, and processes.

Becoming an Agile Company

• Agility: The ability to adapt quickly to changing market conditions and customer needs.
• Virtual companies: Organizations that leverage information technology to connect geographically dispersed resources and expertise.

Building a Knowledge-Creating Company

• Tacit knowledge: Unwritten, unspoken, and often difficult-to-articulate knowledge residing within individuals.
• Explicit knowledge: Formalized knowledge that is documented and readily accessible via digital media.
• Knowledge capturing: Converting tacit knowledge into explicit knowledge through various methods.
• Knowledge Management Systems (KMS): Technological backbone for storing, managing, and sharing organizational knowledge.

Key Components of KMS

• Document management systems: Storing, managing, and retrieving documents efficiently.
• Enterprise intelligence systems: Deriving insights and knowledge from data.
• Communication and collaboration tools: Facilitating information sharing and teamwork.
• Performance support: Providing guidance and assistance to employees in performing tasks.

Benefits of KMS

• Improved decision-making: Enhanced access to information and insights.
• Enhanced innovation: Facilitating the sharing and application of ideas.
• Increased efficiency: Streamlined processes and improved knowledge utilization.
• Reduced knowledge loss: Preserving valuable insights and expertise.

Knowledge Management Techniques

• Methods and tools used to implement knowledge management strategies.
• Examples include workshops, mentoring programs, communities of practice, and knowledge repositories.

Categories of Computer Systems

• Microcomputer systems: Personal computers with significant computing power at a relatively low cost.

  • Workstations: Higher-powered microcomputers often used for specialized tasks.
  • Network servers: Microcomputers dedicated to managing network resources.
  • Information appliances: Handheld devices like Personal Digital Assistants (PDAs).

• Midrange Systems: High-end systems capable of handling large-scale processing tasks.

• Mainframe Computer Systems: Large, powerful, and fast computers that are often used in organizations with high computational needs.

Computer Processing Speeds

• Throughput: The rate of completing useful computations or data processing.
• Moore's Law: The observation that the number of transistors per integrated circuit doubles approximately every 18-24 months.

Peripherals

• Generic term for input, output, and secondary storage devices that are not part of the CPU but work together with it.
• Online devices: Connected electronically to the CPU.
• Offline devices: Not under control of the CPU.

Input Technologies

• Keyboard
• Graphical User Interface (GUI)
• Electronic mouse
• Trackball
• Pointing stick
• Touchpad
• Touchscreen
• Pen-based Computing
• Speech Recognition
• Optical Scanning
• Optical Character Recognition (OCR)
• Magnetic Stripe
• Smart Cards
• Digital Cameras
• Magnetic Ink Character Recognition (MICR)

Printed Output

• Includes hard copies, reports, and other printed materials.

Bit and Byte

• Bit: The smallest element of data (0 or 1).
• Byte: A group of eight consecutive bits representing a single character or number.

Storage Capacity Measurement

• Kilobyte (KB): 1,024 bytes
• Megabyte (MB): 1,024 kilobytes
• Gigabyte (GB): 1,024 megabytes
• Terabyte (TB): 1,024 gigabytes
• Petabyte (PB): 1,024 terabytes

Direct and Sequential Access

• Direct or Random Access: Data directly stored and retrieved using devices like magnetic disks.
• Sequential Access: Data is stored and retrieved chronologically using devices like magnetic tapes.

Types of Semiconductor Memory

• Random Access Memory (RAM): Primary storage medium that is volatile and allows for both reading and writing.
• Permanent storage: Non-volatile memory where data can be read but not overwritten.
• Flash drives: Small chips used for data storage that persists without power.
• Magnetic disks: High-capacity secondary storage devices that allow for fast data access.

RAID Storage

• Redundant Arrays of Independent Disks: A configuration of multiple hard drives used for data redundancy and performance enhancement.

Magnetic Tape

• Used for archival and backup storage in the form of tape reels or cartridges.

Optical Disks

• CD-ROM: Read-only optical disks for inexpensive data storage.
• CD-RW: Rewritable optical disks for data backup and custom disk creation.
• CD-RW/DVD: Combines the features of CD-RW, CD-ROM, and DVD-ROM.
• DVD-ROM: High-capacity optical disks for storing videos, music, and other data.
• DVD-RW/-R with CD-RW: Multi-format drive for CD and DVD storage.

Radio Frequency Identification (RFID)

• A technology used to wirelessly tag and identify mobile objects.

Computer Software

• Application Software: Programs designed to perform specific tasks for end-users.
• System Software: Programs that manage and control the computer system's hardware and resources.

Application Software

• General-purpose software: Widely used for everyday information processing needs.
• Customized software: Developed for specific tasks or industries.

System Software

• System Management Programs: Manage system hardware, software, networks, and data resources.
• System Development Programs: Help users develop information system programs and procedures for processing.

Operating Systems

• An integrated system that manages the computer system's operations, including the CPU and its resources.

Middleware

• Software that enables diverse software applications to exchange data and work together seamlessly.

Programming Languages

• Machine Languages: Direct instructions for the computer's CPU, using binary code.
• Assembler Languages: Uses symbolic code (mnemonics) to represent machine language instructions.
• High-level Languages: More human-readable programming languages using brief statements and arithmetic notations.
• Fourth-generation languages: Natural, non-procedural languages using simplified statements.
• Object-oriented Languages: Combine data elements and procedures, using object-oriented concepts.
• Web Languages:
  • HTML (Hypertext Markup Language): Defines the structure and content of web pages.
  • XML (Extensible Markup Language): Describes webpage content using identifying tags and contextual labels.
  • Java: A platform-independent programming language for developing various software applications.

Web Services

• Software components built on the framework of the World Wide Web that facilitate communication and data exchange between applications.

Software Applications

• Custom software is developed within organizations for their unique business needs.
• Commercial Off-the-Shelf (COTS) software is sold to multiple organizations and the vendor retains intellectual property rights.
• Open-source software is developed collaboratively and anyone can contribute to the code.

Operating System Basic Functions

• The User Interface is a part of the Operating System that allows you to communicate with it.
• Resource Management handles hardware and networking resources.
• File Management controls file creation, deletion, and access.
• Task Management manages user computing tasks.

Programming Languages

• Language Translator programs translate programming languages into machine language.
• Assembler: translates assembler language.
• Compiler: translates high-level language.
• Interpreter: translates and executes each statement in a program.

Programming Tools

• Programming Tools help programmers identify and minimize errors during development.
• Graphical programming interfaces, programming editors, and debuggers are examples of programming tools.
• CASE Tools combine multiple programming tools into a single application.

Business Application Software

• Function-specific application software addresses specific user needs.
• Software Suites are bundled productivity packages combining several functions.
• Integrated packages combine features of various programs into one package.

Web Applications

• Web browsers navigate the web using hyperlinks.
• Search engines are used to find information on the web.
• Email facilitates communication through sending and receiving messages.
• Instant Messaging (IM) allows instant electronic message exchange.
• Weblogs (blogs) are websites in dated log format.

Word Processing and Publishing

• Word processing software creates, edits, and revises documents.
• Desktop publishing produces professionally-looking printed materials.

Electronic Spreadsheets

• Used for data analysis and calculations.

Open-Source Licensing Characteristics

• Must include source code.
• Can't restrict selling or distribution.
• Modifications allowed.
• Non-discriminatory.
• Not specific to a product.

Other System Software

• Utilities perform various housekeeping functions.
• Performance monitors monitor and adjust system functions.
• Security monitors control system access and prevent unauthorized use.

Logical Data Elements

• Character: a single alphabetic, numeric, or special symbol.
• Field or data item: represents an attribute of an entity.
• Record: a group of fields related to a single entity.
• File or table: a group of related records.
• Database: an integrated collection of logically related data elements.

Database Structures

• Hierarchical Structure: early database structure that organizes data in a tree-like structure with one-to-many relationships.
• Network Structure: allows many-to-many relationships between data elements.
• Relational Structure: the most widely used structure, organizes data in tables with rows representing records and columns representing fields.
• Object-oriented Structure: combines data and operations into objects, using encapsulation and inheritance.
• Multi-dimensional Structure: uses a cube-like representation to visualize data relationships, often used for analytical purposes.

Data Resource Management

• A managerial activity that involves data management, data warehousing, and other Information System (IS) technologies.
• Data stewards are responsible for ensuring data quality.

Types of Databases

• Operational Databases store detailed data for ongoing operations, also known as Subject Area Databases (SADB) or transaction/production databases.
• Distributed Databases store data copies or parts in servers at multiple locations.
• External Databases are available for a fee from commercial online services, or for free from the web (e.g., Google and Yahoo!).
• Hypermedia Databases contain hyperlinked multimedia pages.

Data Warehouses

• These store static data extracted from various databases.
• They can be divided into data marts, which focus on specific company aspects.
• Data Mining analyzes data in data warehouses to reveal hidden trends and patterns.

Traditional File Processing

• Data is organized, stored, and processed in independent files, leading to problems like data redundancy, lack of data integration, dependence, and integrity issues.

Database Management System (DBMS)

• A software package that creates, maintains, and provides access to databases.

Common DBMS Software Components

• Database definition language defines entities, relationships, integrity constraints, and authorization rights using both languages and graphical tools.
• Data manipulation language allows data creation, retrieval, updating, and deletion.
• Query language provides ad hoc data requests.

Database Development

• Database Administrator (DBA) oversees enterprise database development.
• Data Dictionary: stores data about data (metadata).

Database Development Process

• Data Planning: develops a model of business processes.
• Requirements Specification: defines information needs of end users.
• Conceptual Design: outlines the information requirements in a high-level model.
• Logical Design: translates the conceptual model into the data model of the DBMS.
• Physical Design: determines data storage structures and access methods.

Data Planning Process

• A top-down process that involves developing an enterprise data model, defining information needs, and identifying key data elements.

Logical Database Design

• Schema: overall logical view of relationships.
• Subschema: logical view for specific end users.

Physical Database Design

• Determines actual data storage and access methods.

Database Interrogation

• Query feature: allows immediate responses to ad hoc data requests.
• Report generator: formats data for presentation.
• SQL (Structured Query Language): international standard query language.

Database Maintenance

• Performed by Transaction Processing Systems (TPS) and other applications with DBMS support.
• Reflects new business transactions and data updates.

Application Development with DBMS

• DBMS software development tools are used to create custom application programs.
• Detailed data-handling procedures might not be necessary.
• Data manipulation language is used for data interactions.

Nonprocedural Access

• Users can access data through graphical tools and languages without complicated coding.

Application Development

• Graphical tools are used to develop menus, data entry forms, and reports.

Procedural Language Interface

• Combines nonprocedural access with the full power of a programming language.

Transaction Processing

• Control mechanisms ensure data consistency and prevent simultaneous access by multiple users.
• Recovery tools restore data after failures.

Database Tuning

• Uses tools to monitor and enhance database performance.

Boolean Logic

• George Boole developed this logic system in the mid-1800s, used to refine searches for specific information.
• Logical operators: AND, OR, NOT.

Graphical and Natural Queries

• Translate queries into SQL commands, similar to conversational English.

Database Application Development

• Uses DBMS tools to build prototypes of queries, forms, and reports.

### DBMS Major Functions

• Create: Database and Application Development
• Maintain: Database Maintenance
• Use: Database Interrogation