CHAPTER 4THE DATA RESOURCEThe fourth information technology component that is just as critical as those three is the data that are processed by the hardware and software and sent thorough the network both before and after processing. In fact, without the right data captured, stored, and disseminated, the other three components have no value. The data resource consists of the facts and information an organization gathers while conducting business and in order to conduct business at all levels of the organization. The data resources components include numeric, text, audio, video, and graphical data collected both within the organization and from sources external to it, as well as the metadata, which describe the business and technical characteristics of the data resources.Why Manage Data ?One way to view the importance of managing the data resources is to consider the following questions :1. How much would it cost your company to not comply with Sarbanes-oxley or other financial reporting laws because you failed to adequately control data integrity or document the source (lineage) of data in your financial statement?2. What would your company do if its critical business data, such as customer orders, product prices, account balances, or patient histories, were destroyed? Could the organization function? For how long?3. How much time does your organization spend reconciling inconsistent data?4. How difficult is it to determine what data are stored about the part of the business you manage?5. Do you know all the contacts a customer has with your organization?TECHNICAL ASPECTS OF MANAGING THE DATA RESOURCEThe Data Model and MetadataA key element in the effective management of data is an overall map for business data- a data model. A manufacturing company would never think about building a new product without developing a detailed design and using common components and parts from existing product. Data modeling involves both a methodology and a notation. The methodology includes the steps that are followed to identify and describe organizational data entities, and the nation is way to show these findings, usually graphically.An ERD is only part of metadata, or data about data, needed to unambiguously describe data for the enterprise. Metadata documents the meaning and all the business rules that govern data. For example, some metadata about an attribute of customer name would define this term, state its properties such as maximum length and the type of data (alphanumeric characters) that a value of this attribute might have, whether every customer has to have a name to be stored in database, whether the name can change in value over time, whether there can be multiple instance of the name, and who has rights to enter and change the name.Data ModelingThe role of data modeling as part of IS planning is essential. In practice, two rather different approaches are followed-one top-down, called enterprise modeling, and one bottom-up, called view integration. Many organization choose to use both approaches because they are complementary methods that emphasize different aspects of data and, hence, check and balance each other.Data modeling methods are neither simple nor inexpensive to conduct. They require considerable time,organizational commitment, and the assignment of very knowledgeable managers and data specialist. In order to deal with these concerns, certain guidelines have been developed :a. Objectiveb. Scopec. Outcomed. TimingDatabase ProgrammingData processing activity with a database can be specified in either procedural programs written in a 3 GL or via special-purpose languages developed for database processing. In the case of a 3 GL program, additional and more powerful instructions are added to the vocabulary of the programming language. For example, in a customer and order database the storage of a new order record not only necessitates storing the order data themselves but also updating various linkages that tie together a customer record with its associated order records.MANAGERIAL ISSUES IN MANAGING DATAHaving considered key technical issues involved in managing data, let us know turn to managerial issues. How to plan for data, to control data integrity, to secure access to and use data, and to make data accessible are important to the business manager. As with any business resource, quality sources for data must be identified and the acquired; enough space must be available for data storage; obsolete data must be identified, disposed of, or achieved; and usage of data must be accounted for, and, if appropriate, usages fees should be charged to those utilizing the data.Principles in Managing DataSuccessful management of the data resource depends on understanding certain key guidelines :1. The need to manage data is permanent2. Data can exist at several levels3. Application software should be separate from the database4. Application software can be classified by how they treat data5. Application software should be considered disposable6. Data should be captured once7. There should be strict data standards8. Master data must confirmThe Management Data ProcessAn important point to note is that, as with other resources, every business manager should be involved, in some way, in every one of these function for data.1. PlanData resources planning develops a blueprint for data and the relationships among data across business units and functions. As with most plans, there will be a mcaro-level data plan, typically called an enterprise data model, to identify data entities and relationships among the entities and more detailed plans to define schedules for the implementation of databases for different parts of this blueprint.2. SourceDecisions must be made about the timeliest and highest-quality source for each data element required. When selecting an external data source, the original source, the reliability of the data, the timing of when data are needed and when they were collected, the precision and detail collected, and other factors should be checked.3. Acquire and MaintainOnce the best source for data are identified and selected, data capture systems must be built to acquire and maintain these data. A systems is needed to confirm that all files were sent and received, that all customers on the list were called and that a status is received on each.4. Define/describe and InventoryA basic step in managing any resource is defining what is being managed.For a real estate manager, each property must be described, standards and scales must be set to define the size and shape of each building or land parcel, and terminology must be defined to refer to different pieces of each building.5. Organize and Make AccessibleDatabase need to be designed so that data can be retrieved and reported efficiently and in the format that business managers require. Data shoulde be arranged and stored so that information can be produced easily. Although most of the work here is rather technical, this physical arrangement of data cannot be done unless potential uses of the data are well defined, and this task is best done by business managers.6. Control Quality and IntegrityAs with employee certification, audits of financial records, and tests for hazardous materials or structural defects in buildings, quality and integrity controls must be placed on the data resource.7. Protect and SecureThe rights each manager has to each type of data must be defined. Privileges for use of data might include definition, retrieval, insertion, deletion, update, and retrieval of the datum by itself or in combination with other values.8. Account for UseBecause there is considerable cost to capture, maintain, and report data, these costs must be identified and an accounting system developed to report them. Further, an organization might choose to distribute the costs to appropriate responsibility centers. Two conditions make accounting for the use of data especially difficult as compared to other information resources.9. Recover/Restore and UpgradeWhen an asset becomes old or damaged, it is often renovated and put back into operation. When an employees skills become obsolete because of new technology or methods, the employee is trained for the new environtment. The same process is true with organizational data.10. Determine Retention and UpgradeBusiness managers must decide, on legal and other grounds, how much data history needs to be kept. Some data need to be kept in active databases, while other data may be achieved to be used only when needed. Eventually, data should be summarized, eliminated, and/or moved to the data warehouse.11. Train and Consult for Effective UseJust because data exist, they will not necessarily be effectively used. What data are stored in databases, what they mean, what presentation systems report these data, and how they can be accessed in ad hoc ways all have to be explained to business managers who might want to use the data.Data Management PoliciesThe implementation of these concepts and process for data management occurs differently in each organization. However, policies should be developed regarding data ownership and data administration. These policies are typically developed from a process called data governance. Data governance is an organizational process for establishing strategy, objectives, and politics for organizational data-that is, to oversee data stewardship, even overseeing local data stewards responsible for similar activities for specific data subject areas or business units.DATA OWNERSHIPBusiness managers can become very possessive about data, for both business and personal reasons such as the following : The need to protect personal privacy The need to protect trade secrets The requirement to allow only those with a need to know to see sensitive business or product plans The desire to promote internal competition and justify the use of scarce resources The desire to show commitment to ones job and ownership of the data needed to carry out ones job To desire to use information as power for political gain.

DATA ADMINISTRATIONTo better manage data, many organizations have created a unit to lead the efforts in data management. Typically, this grup is called data administration, although other terms may be used. This grup often report as a staff unit to the IS director, although other structures are possible. In any case, the company should have a data governance policy that outlines the role of the data administration group and the role of business managers in data administration. Key functions of the data administration group should include the following :a. Promote and control data sharing.b. Analyze the impact of changes to application systems when data definitions change.c. Maintin metadata.d. Reduce redundant data and processing.e. Reduce system maintenance costs and improve systems development productivity.f. Improve quality and security of data.g. Insure data integrity.