GKM College Management Information System

G.K.M College of Engineering & Technology

Department of Management Studies

SubjectName: Management Information System R/TP/01

Subject Code: BA9225 Issue C: Rev 01 Class: MBAI year/II Semester PEer

Class: MBA I Year/II Semester

1

Period: 01

Topic: Introduction of MIS

A definition of management information system, as the term is generally

understood, is an integrated, user machine system for providing information to

support operations, management, and decision making functions in an organization.

The system utilizes computer hardware and software; manual procedures; models for

analysis, planning, control and decision making; and a database. The fact that it is an

integrated system does not mean that it is a single, monolithic structure; rather, it

means that the parts fit into an overall design.

The elements of the definition are highlighted below:

A management information system is an integrated user machine system for providing

information. To support the operation, management, analysis, and decision making

function in an organization

The system utilizes computer hardware and software manual procedures model for

analysis, planning, control and decision making and a database.

The elements of the definition are highlighted below:

A management information system is

an Integrated user machine system

for providing information

to support the operation, management, analysis, and decision making

function

in an organization

The system utilizes

computer hardware and software

manual procedures

mdel for analysis, planning, control and decision making and

a database






2

Period: 02

Topic: Data, Information, and Intelligence,

The term data means groups of information that represent the qualitative or quantitative

attributes of a variable or set of variables. Data are typically the results of measurements and

can be the basis of graphs, images, or observations of a set of variables.

Information is the result of processing, manipulating and organizing data in a way that

adds to the knowledge of the person receiving it.

Information is a term with many meanings depending on context, but is as a rule closely

related to such concepts as meaning, knowledge, instruction, communication, representation,

and mental stimulus. Information is a message received and understood. In terms of data, it

can be defined as a collection of facts from which conclusions may be drawn.

Information management (IM) is the collection and management of information from one

or more sources and the distribution of that information to one or more audiences. This

sometimes involves those who have a stake in, or a right to that information.

In short, information management entails organizing, retrieving, acquiring and

maintaining information.

Intelligence refers to discrete or secret information with currency and relevance, and the

abstraction, evaluation, and understanding of such information for its accuracy and value.

Theories of Intelligence:

We can become more intelligent through study and practice, through access to

appropriate tools, and through learning to make effective use of these tools (Perkins,

1995).

Howard Gardner

David Perkins

Robert Sternberg






3

Period: 03

Topic: Information Technology

Information technology (IT), as defined by the Information Technology Association of

America (ITAA), is "the study, design, development, implementation, support or

management of computer-based information systems, particularly software applications and

computer hardware."

IT deals with the use of electronic computers and computer software to convert, store,

protect process, transmit, and securely retrieve information.

IT can be defined as a collection of computer hardware, software, databases, networking and

telecommunication devices that helps the organization to manage the business process more

effectively and efficiently.

A Computer is essentially a system of input/output devices and a processor. The computer performs

arithmetic and logic operations in a CPU- central processing unit, based on program instructions.

The two capabilities most computer share are:

High speed processing

Arithmetic and logic






4

Period: 04

Topic: Meaning of IS & its functions

An information system is a collection of hardware, software, data, people and procedures that are

designed to generate information that supports the day-to-day, short-range, and long-range activities

of users in an organization. Information systems generally are classified into five categories: office

information systems, transaction processing systems, management information systems, decision

support systems, and expert systems

An information system (IS) - or application landscape - is any combination of information

technology and people's activities that support operations, management, and decision making.

Information system is computer system that support end-users, giving them access to the

information. The transformation of data into information is primary function of

information system [IS].

COLLECTION

OF DATA

DATA

PROCESSING OUTPUT

INFORMATION USER DECISION

SOURCE

TO REDUCE UNCERTAINITY

TACKLE BUSINESS PROBLEM

TO BE COMPETITIVE

ALLOCATION






5

Period: 05

Topic: Evolution of information system

Based on the needs and requirements of the organization MIS has been evolving though the

period of time. MIS was manually operational before the invention of computer application in

this area. The following table illustrates the evolution of information system.

Decade Information systems Characteristics of information systems

1951-60 Electronic data processing Collecting, manipulating, storing of data.

No scope for decision making

1961-70 Management information

system

Pervasive in all level of the management

decisions.

Solution for structured decisions

1971-80 Decision Support System,

expert system

Analytical models for semi structured decisions

1981 and above Artificial intelligence,

Executive information system

Solution for unstructured decision making

through advanced graphics

1985 and above Knowledge management

system, end user computing

Intelligence workstation for knowledge work

which involves thinking, processing information

and formulating analyses , recommendations and

procedures

types of information systems:

transaction processing systems

MIS

decision support systems

expert systems

executive information systems

geographical information systems

E-commerce systems

multi-media systems

differences in:

users

size, scope

complexity, certainty, familiarity






6

Period: 06

Topic: Types based on functions & hierarchy

The IT provides support in 3 major areas:

communication

collaboration

Data access (including knowledge sharing).

Such support is usually given by an information system that we call an application program.

An application is a system developed for specific purpose or function, such as facilitating

each function properly.

Types based on functions:

Departmental IS

Plant IS

Divisional IS

Enterprise wide IS

Inter organizational IS

Key functional areas.

A TYPE IS based on hierarchy:

One way to classify IS by their organizational structure and hierarchical structure.

Executive IS, DSS, MIS, and TPS.

BASIC KINDS OF IS:

Operational-level systems

Management-level systems

Strategic-level systems






7

Period: 07

Topic: Introduction to System Analyst

A systems analyst researches problem, plans solutions, recommends software and systems,

and coordinates development to meet business or other requirements. They will be familiar

with multiple varieties of programming languages, operating systems, and computer

hardware platforms. Because they often write user requests into technical specifications, the

systems analysts are the liaisons between vendors and information technology professionals.

They may be responsible for developing cost analysis, design considerations, and

implementation time-lines.

A systems analyst may:

Plan a system flow from the ground up.

Interact with customers to learn and document requirements that are then used to

produce business requirements documents.

Write technical requirements from a critical phase.

Interact with designers to understand software limitations.

Help programmers during system development, ex: provide use cases, flowcharts or even

Database design.

Perform system testing.

Deploy the completed system.

Document requirements or contribute to user manuals.

Whenever a development process is conducted, the system analyst is responsible for

designing components and providing that information to the developer.

Who is system analyst: A system analyst is the person who selects and configures computer

systems for an organization or business. His or her job typically begins with determining the

intended purpose of the computers. When configuring computer systems for a business, the

analyst must select both hardware and software.






8

Period: 08

Topic: Role of System Analyst

The system analyst is the person (or persons) who guides through the development of an IS.

The primary objective of any system analyst is to identify the need of the organization by

acquiring information by various means and methods. Information acquired by the analyst

can be either computer based or manual. Collection of information is the vital step as

indirectly all the major decisions taken in the organizations are influenced. The system

analyst has to coordinate with the system users, computer programmers, manager and number

of people who are related with the use of system. Following are the tasks performed by the

system analyst.

The systems analyst systematically assesses how users interact with technology and

businesses function by examining the inputting and processing of data and the outputting of

information with the intent of improving organizational processes. Many improvements

involve better support of users work tasks and business functions through the use of

computerized information systems. This definition emphasizes a systematic, methodical

approach to analyzingand potentially improvingwhat is occurring in the specific context

experienced by users and created by a business.

In performing these tasks the analyst must always match the information system objectives

with the goals of the organization.

Systems analysts as a consultant

Systems analysts as a programmer

Systems analysts as supporting expert

Systems analysts as agent of change

The architects






9

Period: 09

Topic: Responsibilities & functions of system analysts

A person who conducts a methodical study and evaluation of an activity such as business to identify

its desired objective in order to determine procedures by which these objectives can be gained is

technically designated as system analysts.

Skills of system analysts:

Technical skills

Interpersonal skills

Management skills

Analytical skills

Functions:

Examining the existing IS and procedures of the procedures of the organization with a view to

find problems and inefficiencies.

Analyzing the findings to develop a basis for designing a new improved system effectively.

Designing a new system that maximizes efficiency, minimizes problem and achieves the set

objectives.

Testing and implementing the new system, including its appraisal before and after

implementation, its documentation and regular maintenance.

Examining the feasibility of new or replacement system proposal.






10

Unit -2 Period: 10

Topic: Introduction of system analysis & system design

System analysis is the process of investing a system, identifying problems, and using the

information to recommend improvements to the system.

System analysis is a systematic investigation of areal or planned system to determine the functions of the system and how they relate to each other and to other system

Characteristics:

Top-down approach Use of tools and techniques Abstraction of models Users role Iterative development Use of advanced technology

Objectives:

To describe what the customer requires. To establish a basis for the creation of a software design To define a set of requirement that can be validated once the software is built,

special notation and graphical symbols are used to describe and partition the

functionality of system.

System design is the process of planning a new business system or one to replace or

complement an existing system.






11

Unit -2 Period: 11

Topic: SDLC

System Development Life Cycle: The Systems Development Life Cycle (SDLC) is a

conceptual model used in project management that describes the stages involved in an

information system development project from an initial feasibility study through maintenance

of the completed application.

Phases of software development cycle:

System study

Feasibility study

System analysis

System design

Coding

Testing

Implementation

Maintenance






12

Unit -2 Period: 12

Topic: SSLC

SYSTEM SOFTWARE LIFE CYCLE MODELS: software development process, also

known as a software development life cycle (SDLC), is a structure imposed on the development of a

software product. Similar terms include software life cycle and software process. It is often considered

a subset of systems development life cycle. There are several models for such processes, each

describing approaches to a variety of tasks or activities that take place during the process. Some

people consider a lifecycle model a more general term and a software development process a more

specific term. For example, there are many specific software development processes that 'fit' the spiral

lifecycle model. ISO/IEC 12207 is an international standard for software lifecycle processes. It aims

to be the standard that defines all the tasks required for developing and maintaining software.

1. Classical waterfall model

2. Iterative waterfall model

3. Prototyping model

4. Evolutionary model

5. Spiral model






13

Unit -2 Period: 13

Topic: System analysis & system design

Systems analysis is a process of collecting factual data, understand the processes involved,

identifying problems and recommending feasible suggestions for improving the system

functioning. This involves studying the business processes, gathering operational data,

understand the information flow, finding out bottlenecks and evolving solutions for

overcoming the weaknesses of the system so as to achieve the organizational goals. System

Analysis also includes subdividing of complex process involving the entire system,

identification of data store and manual processes.

System Design

Based on the user requirements and the detailed analysis of the existing system, the new

system must be designed. This is the phase of system designing. It is the most crucial phase

in the developments of a system. The logical system design arrived at as a result of systems

analysis is converted into physical system design. Normally,

the design proceeds in two stages:

1. Preliminary or General Design

2. Structured or Detailed Design

Preliminary or General Design: In the preliminary or general design, the features of the

new system are specified. The costs of implementing these features and the benefits to be

derived are estimated. If the project is still considered to be feasible, we move to the detailed

design stage.

Structured or Detailed Design: In the detailed design stage, computer oriented work begins

in earnest. At this stage, the design of the system becomes more structured. Structure design

is a blue print of a computer system solution to a given problem having the same components

and inter-relationships among the same components as the original problem. Input, output,

databases, forms, codification schemes and processing specifications are drawn up in detail.

In the design stage, the programming language and the hardware and software platform in

which the new system will run are also decided.






14

Unit -2 Period: 14

Topic: Tools

Systems Analysis

Analysis of existing hardware/software

User requirements analysis

Logical systems design:

Conceptual data model (Entity-Relationship Diagram)

Conceptual process model (Data Flow Diagram)

Functional application description

Systems Design

Relational database model and data dictionary (sometimes included in Systems Analysis phase)

Detailed description of application inputs and outputs

Detailed conceptual design of forms, reports, application programs and other application components

Yields System Design Specification

There are several tools and techniques used for describing the system design of the system.

These tools and techniques are:

1. Flowchart

2. Data flow diagram (DFD)

3. Data dictionary

4. Structured English

5. Decision table

6. Decision tree






15

Unit -2 Period: 15

Topic: Data flow diagram & Entity relationship

A data-flow diagram (DFD) is a graphical representation of the "flow" of

data through an information system. DFDs can also be used for the

visualization of data processing (structured design).

An entity-relationship model (ERM) is an abstract and conceptual

representation of data.

Entity-relationship modeling is a database modeling

method, used to produce a type of conceptual representation data model of

a system, often a relational database. Diagrams created by this process are

called Entity-Relationship Diagrams (or) ER diagrams, or ERDs.

COMPONENTS OF AN ERD:

1. Object types

2. Relationships

3. Associative object type indicators

4. Super type / sub type indicators.






16

Unit -2 Period: 16

Topic: Object Modeling

OBJECT MODELING TECHNIQUE (OMT) is a well-known example of a software

engineering methodology .it deals with object- oriented development in the analysis &

design phases.

The analysis phase starts with a problem statement which includes a list of goals & a

definitive enumeration of key concepts within a domain.

This problem statement is then expanded into three views or models.

- object model

- dynamic model

-functional model

The system design phase follows the analysis phase. Here the overall architecture is

established.

The OMT software engineering methodology is sequential in the sense that first comes

analysis, followed by design. In each phase, a cyclical approach is taken among the smaller

steps. The OMT is very much like the Booch methodology where emphasis is placed on the

analysis and design phases for initial product delivery. Both the OMT and Booch do not

emphasize implementation, testing, or other life cycle stages.

OOAD-Object oriented analysis and design.






17

Unit -2 Period: 17

Topic: DBMS-database management system

DATA BASE: A Collection of integrated data items that can be retrieved for various applications. A Database is a collection of related files

DBMS is a set of systems software programs that organizes and maintains in a database for

providing the information.

DBMS is system software used to manage the organization, storage, access, security and

integrity of data in a structured database.

That permits an organization to centralize data, manage them efficiently, and provide

access to the stored data by application programs.

DBMS- Special software to create & maintain a database & enable individual business

applications to extracts the data they need without having to create separate files or

data definitions in their computer programs

A DBMS has three components:

Data Definition Language

Data Manipulation Language

Data dictionary

TYPES OF DATABASE

Operational database

Analytical database

Data warehouse

Distributed database

End-user database

External database

Function of DBMS: Stores data in a uniform and consistent way, Organizes the data,

Accesses the files updates the records, Retrieves data as requested, Adding and deleting

records, Reorganizing the data base by reassigning storage space processing more efficient.,

Provides data security






18

Unit -2 Period: 18

Topic: RBMS

RDBMS RELATIONAL DBMS

RDBMS may be a DBMS in which data is stored in the form of tables and the

relationship among the data is also stored in the form of tables.It represents all data in the

database as simple two dimensional tables called relations. Tables may be referred to as files.

Information in more than one file can be extracted and combined.

RDMBS structured query language (SQL) is the principal data manipulation language for

relational DBMS & major tool for querying , updating , reading a relational database.

The most popular RDBMS are MS SQLserver,DB2, Oracle, and MySQL

RDBMS components

Interface drivers

SQL engine

Transaction engine

Relational engine

Storage engine

Difference between DBMA & RDBMS

DBMS is single user system. RDBMS is a multi user system.

DBMS do not store data in the table format while RDBMS stores data in the form of

table.

Most of the DBMS are not supporting client / server architecture as it is supported by

RDBMS

Most of the DBMS do not support distributed databases while RDBMS is do that.






19

Unit -2 Period: 19

Topic: OODBMS

In programming languages is to utilize objects, thereby making OODBMS in the 1980s. OO (Object Oriented) programmers can develop the product, store them as

objects, and can replicate or modify existing objects to make new objects within the

OODBMS. Information today includes not only data but video, audio, graphs, and photos

which are considered complex data types that relational database could not.

Its consistent, data independent, secure, controlled & extensible data management services to support the object oriented model. They were created to handle big & complex data that relational databases could not.

Its stores the data & procedure as objects that can be automatically retrieved & shared. OODBMS are becoming popular because they can be used to manage the

various multimedia components or java applets used in web applications, drawings

images , photographs, voice, and full motion videos etc.

OBJECT ORIENTED PROGRAMMING RESULTS IN 4 CHARACTERSITICS:

1. INHERITANCE

2. DATA ENCAPSULATION

3. OBJECT IDENTITY

4. POLYMORPHISM

ADVANTAGES:

Object oriented is a more natural way of thinking

The defined operations of those types of systems are dependent on the particular database applications running at a given moment.

Data types of object oriented databases can be extend to support complex data, such as images , digital & audio/ video along with other multi-media operations.






20

Unit -3 Period: 20

Topic: Financial Information system

FINANCIAL INFORMATION SYSTEM

Finance function is responsible for overall financial planning and raising of capital.

Financial IS has a significant impact on other IS when one considers that the ultimate

common denominator of many operating decisions in finance.

INPUT SUBSYSTEM: OUTPUT SUBSYSTEM:

Transactional data forecasting

Forecasting data funds management

Financial intelligence audit and control

Financial strategic data

INPUT SUBSYSTEM OUTPUT SUBSYSTEM

TRANSACTIONAL DATA

FORECASTING DATA

FINANCIAL

INTELLIGENCE DATA

FINANCIAL

STRATEGIC

DATA

DATA

BASE

FORECASTING

USERS

FUNDS

MANAGEMENT

AUDIT &

CONTROL






21

Unit -3 Period: 21

Topic: Marketing Information system

MARKETING INFORMATION SYSTEM

Marketing is concerned with identifying the needs & wants of customers & effectively offer

goods & services.The role of Marketing IS to assess the managers information needs, develop

the needed information and distribute that information in a timely fashion.

The INPUT subsystems of marketing IS are:

Internal records system

Marketing intelligence system

Marketing research system

Marketing decision support and analysis system

MARKETING INFORMATION SYSTEM

INTERNAL RECORDS

MARKETING

INTELIGENCE DATA

MARKETING

RESEARCH DATA

MARKETING

DECISION

SUPPORT

DATA

DATA

BASE

PRODUCT

PLAAN

PRICE PLAN

PLACE

PLAN

PROMOTION

PLAN

OTHER

AREAS

EXTERNAL

ENVIRONMENT

INPUT SUB SYSTEM OUTPUT SUB SYSTEM






22

Unit -3 Period: 21

Topic: Personnel Information system

PERSONNEL INFORMATION SYSTEM-PIS

PIS is a staff function that supports the activities of the firms line functions. The functions

carried out by personnel administration generally impact all other functional areas of an

organization.

INPUT SUBSYSTEM: OUTPUT SUBSYSTEM

Transactional Data organizational resource planning

Functional plans organizational management

External data payroll & admin

INPUT OUTPUT

TRANSACTIONAL DATA

FUNCTIONAL PLANS

EXTERNAL DATA

DATA

BASE

ORGANISATIONAL

RESOURCE

PLANNING

USERS ORGANISATIONAL

MANAGEMENT

PAYROLL

ADMIN






23

Unit -3 Period: 22

Topic: Production Information system

Inputs to the Manufacturing MIS

Strategic plan or corporate policies.

The TPS:

Order processing

Inventory data

Receiving and inspecting data

Personnel data

Production process

External sources

Manufacturing MIS Subsystems and Outputs

Design and engineering

Master production scheduling

Inventory control

Manufacturing resource planning

Just-in-time inventory and manufacturing

Process control

Computer-integrated manufacturing (CIM)

Quality control and testing






24

Unit -3 Period: 24

Topic: Materials Information System

Materials Information System signifies one and the same system, which

helps the materials managers to know where the required item is available

for production.

Materials intelligence

Selection of right quality, quantity, and supplier.

Planning for both short & long term

MRP

Budgeting

Unit -3 Period: 25






25

Topic: DSS-Decision Support System

MANAGEMENT SUPPORT SYSTEM MSS: Management support system focus on managerial uses of information resources. These systems provide information to managers for

planning and decision making by internal & external data.

3 types of Management support system:

Decision support system-DSS

Executive information support system-EIS

Expert system.

DSS are designed to support the decision making process of managers to improve their

effectiveness & thereby efficiency of the enterprise. DSS are also described as interactive IS

that help managers utilize data analysis models to solve unstructured problems.

A DSS is an interactive , flexible , and adaptable computer based information system that utilizes decision rules , models, & model base coupled with a comprehensive

database & the decision makers own insight, leading to specific, implemental decisions

in solving problems that would not be amenable to a management science models per..

This definition clearly presents the characteristics of a DSS:

Is a MSS whose capabilities go beyond those of MIS?

Is only supportive in nature & human decision makers still retain their supremacy.

Is individual specific.

Extensively uses databases.

Also incorporates various mathematical, statistical, operational research models.

Provides good user interfaces for decision makers.

TYPES AND FEATURES OF DSS:

DSS may be a data or model oriented.

The data oriented DSS have greater input of data RETRIEVEL & DATA ANALYSIS.

Model oriented DSS has powerful facilities for simulation of decision scenarios by estimating the outcome of action & generating suggestions.

Unit -3 Period: 26

Topic: EIS-EXECUTIVE INFORMATION SYSTEMS-EIS






26

The top executives need fast access to up-to-date, concise information & exception reports

with facilities to personalized information & analysis. The IS designed to provide to such

needs of top executives are called executive IS (EIS) or executive support systems. IS is a

software, front ended by a user-terminal and a interface. It electronically provides executives

with rapid & reliable access to information regarding key areas of business, and helps them to

perm their management functions and achieve business objectives.

CHARACTERISTICS OF EIS:

Need for a separate executive database.

Data aggregation facilities

Highly user-friendly interface

Flexible menu- based data retrieval

High-quality business graphics

Simple modeling facilities

Communications

Automated links to others databases.

HOW DOES AN EIS WORK

On the basis of identification & monitoring of key performance indicators (KPI) & critical success factors (CSF).

Typical status reporting facilities provided by an EIS include

Drill-down- offer highest level of summary data with over-view of performance of each.

Exception reporting- opposite of drill down , instead of starting with aggregate information and later digging for details , looks for details against user- defined levels

of acceptability.

Trend monitoring- finding out the directions in which a given set of numbers is

moving.






27

Unit -3 Period: 27

Topic: KMS

KMS refers to a system for managing knowledge in organizations for

supporting creation, capture, storage and dissemination of information.

The idea of a KM system is to enable employees to have ready access to the

organization's documented base of facts, sources of information, and solutions.

Sharing of valuable organizational information throughout organizational

hierarchy.

Can avoid re -inventing the wheel, reducing surplus work.

May reduce training time for new employees

Retention of Intellectual Property after the employee leaves if such knowledge

can be stored.

KNOWLEDGE WORK SYSTEMS (KWS):

The KWS are specially designed to promote the creation of

knowledge and to ensure that new knowledge & technical expertise are properly

integrated into the business.

Includes researchers, designers, architects, scientist and engineers who

primarily create knowledge and information for the org..

Examples CAD/CAM, 3D visualization, virtual reality systems, Investment

workstations.






28

Unit -3 Period: 28

Topic: GIS-GEOGRAPHICAL INFORMATION SYSTEM

A Geographic information system (GIS) is a computer program for storing, retrieving,

analyzing, & displaying cartographic data. Technically, a GIS is a system that includes

mapping software & its application to remote sensing, land surveying, aerial photography,

geography, & tools that can be implemented with GIS software.

A Geographic information system is a computer system that uses location information:

Address

Postal code

Census block

Latitude / longitude coordinates

With a GIS, you can:

Map customers to study demographics

Look for patterns in the way a disease is spreading

Model the path of atmospheric pollution

And much more

A GIS can also map information stored in:

Spreadsheets

Database

GIS allows you to see:

Patterns

Relationships

Trends






29

Unit -3 Period: 29

Topic: INTERNATIONAL INFORMATION SYSTEM-IIS

Business is turning themselves into global organization. To handle these challenges the

companies will need faster communications and information processing.

Company will have to rely more on information technology to manage global

organization. This type of creation of IS in co operating in one or more countries is

referred to as IIS.

Globalization

Barriers to ISS:

Legal issues

Market access issues

Financial issues

Language and translation

Purchasing in different currencies

Challenges of ISS:

Technological challenges

Regulations and tariffs

Differences in payment mechanisms

Language differences

Cultural differences

Conflicting economic, scientific and security interests

Political challenges

Different standards

Legal barriers

Different time zones.






30

Unit -4 Period: 30

Topic: Introduction to SECURITY AND CONTROL

SECURITY:

Security refers to the protection of computer based resources hardware, software,

data, procedures and people against alteration, destruction, or unauthorized use.

All computer systems & communications channels face security threats that can compromise

systems, the services provided by the systems, and data stored on or transmitted between

systems.

The most common threats are:

denial-of-service

Interception

Manipulation

Masquerading

repudiation

CONTROLS

The combination of manual and automated measures that safeguards IS and ensure that they perform according to management standards is termed controls.

Controls consist of all the methods, policies, and organizational procedures that ensure the safety of the organization assets the accuracy and reliability of its

accounting records, and operational adherence to management standards.

Properly designed controls may prevent errors from occurring, deter criminals from attacking the system, and deny access to authorized persons.

General controls

Physical controls

Access controls

Biometric controls

Data security controls

Other general controls






31

Unit -4 Period: 31

Topic: Security system & types of testing

CHALLENGES OF IS SECURITY:

Internal the mode of attack is within the organization. For example, employees misusing their authentication right and access permissions.

External originating outside the organization, for example, hackers and viruses.

Natural due to natural disasters or system failure, for example, earthquakes.

TESTING

Security testing is possibly the surest determinant of whether a system is configured and continues to be configured to the correct security controls and policy.

Security testing is a process to determine that an information system protects data and maintains functionally as intended.

Security testing provides insight into the other system development life cycle activities such as risk analysis and contingency planning.

Security testing results should be documented and made available foe staff involved in other IT AND Security related areas.

Specifically, security testing results can be used in the following ways:

As a reference point for corrective action.

In defining mitigation activities to address identified vulnerabilities.

As a benchmark for tracking an organization progress in meeting security

requirement.

To assess implementation status of system security requirement.

To conduct cost/ benefit analysis for improvement to system security

To enhance other life-cycle activities, such as risk assessments, certification and

authorization (C&A), performance improvement efforts.






32

Unit -4 Period: 32

Topic: Error Deduction & controls: Controls consist of all the methods, policies, and

organizational procedures that ensure the safety of the organization assets the accuracy and

reliability of its accounting records, and operational adherence to management standards.

Properly designed controls may prevent errors from occurring, deter criminals from attacking

the system, and deny access to authorized persons.

General controls

Physical controls

Access controls

Biometric controls

Data security controls

Other general controls

Application controls

Input controls

Processing controls

Output controls

Controls for network protection

Access control

Encryption

Cable testers

firewalls






33

Unit -4 Period: 33

Topic: IS Vulnerability

VULNERABILITY

In computer security, the term vulnerability is a weakness which allows an attacker to

reduce a system information assurance.

vulnerability is the intersection of 3 elements:

A system susceptibility or flaw, attacker access to the flaw, and attacker capacity to

exploit the flaw.

IS vulnerability

It is termed as a flaw [fault] or weakness in system security procedure, design,

implementation, or internal controls that could be exercised (accidentally triggered or

intentionally exploited) and result in a security breach or a violation of the system

security policy.

CAUSES OF VULNERABILITY

Complexity

Familiarity

Connectivity

Password management flaws

Fundamental operating system design flaws

Internet website browsing

Software bugs

Unchecked user input






34

Unit -4 Period: 34

Topic: Computer crimes

Its includes traditional criminal acts committed with a computer as well as new

offenses that lack any parallels with non-computer crimes

The U.S department of justice [DOJ] broadly defines computer crimes as any

violations of criminal law that involve knowledge of computer technology for their

perpetration, investigation, or prosecution.

Cyber-crimes are frequently grouped into 3 categories.

The first are those in which the computer comprises the object of crime and in which the perpetrator targets the computer itself.

The second category involves those in which the computer forms the subject of a crime, either as the physical site of the offense or as the source of some form of loss

or damage.

Third, which computer serves the instrument used to commit traditional crimes in cyberspaces? This encompasses offenses like cyber-fraud, online harassment, and

child pornography.

Types of computer crimes:

Spam

Fraud

Obscene or offensive content

Harassment

Drug trafficking

Cyber terrorism

Cyber crime: Any criminal activity that uses a computer either as an instrumentally, target

or means for perpetuating further crimes comes within the ambit of cyber crime. A

generalized definition is unlawful acts wherein the computer is either a tool or target or

both

Reasons for cyber crimes:

Capacity to store data in comparatively small space.

Easy to access. Complex, Negligence, Loss of evidence






35

Unit -4 Period: 35

Topic: SECURING THE WEBSITE

Right when choosing your web hosting company you need to ask about their servers & how

secure they are. Do they update software quickly & automatically? What operating system is

used & is used and is it secure?

Make sure that if you have sensitive data such as a customer credit card / personal

information that is transmitted or stored, keep data secure.

Use packet filtering and firewall settings to restrict unauthorized sites. Make it password

protected.

Vulnerability scanners are used in some cases to find the weakness in yours sites security.

Once your business is connected to the internet, its your responsibility to protect your

business data & information against unwanted intruders.

You should ensure that your connection to the internet is secure. Some issues to consider

when securing your website are:

Working procedures

Virus and spy ware protection software

Firewalls

Back up data

Using secure passwords

Ensure the security of your electronic transactions:

Spoofing

Unauthorized disclosure

Unauthorized action

Data alteration

Antivirus:

Malware Viruses, Trojans, Spy ware, Worms, Bots.

Anti-spy ware






36

Unit -4 Period: 36

Topic: security the Intranets and Wireless Networks

Securing the intranet: An intranet is an internal information system based on internet

technology, web services, TCP/IP and HTTP communication protocols and HTML

publishing

The intranet is a technology that allows an organization to define itself as a whole entity, a

group, where everyone knows their roles, and everyone is working on the improvement and

health of organization

Its a smaller version of internet that only the members of an organization can see internal

network by keeping it private, secure and affordable.

Business applications of intranet: organization use intranets for variety of internal functions.

Human resources intranet

Sales and marketing intranet

Information system intranet

Executive or corporate intranet

Customer service intranet

Finance intranet

Advantages of an intranet:

Exchange files with other branches, co or people is much faster than traditional

methods

Global communication is another advantages

Inter-office network communication network

Timely updates






37

Unit -4 Period: 37

Topic: Software Audit

AUDIT:

Audits provide an independent evaluation of software products or process to ascertain

compliance to standards, specifications, and procedures based on objectives criteria that

included documents that specify.

Software audit is a regular investigation of the software installed on all computers in an

organization to ensure that it is authorized or licensed.

Software audit minimize the risk of prosecution for software theft, minimize the risk of

viruses through uncontrolled software copying and ensure technical support is available to all

users.

Purpose or need for software audit:

To identify critical security issues before they are exploited.

To perform extensive, regular security audit on the installed software or systems to

reduce vulnerabilities

To locate the most problematic crashes of application, and improving debug (clear up,

correct, sort out) capabilities.

To conduct software vulnerability assessment, and gain control over organization

private data etc.

Auditing regularly the commercial software, provide quality assurance requirement .

SOFTWARE AUDIT REVIEW:

Type of software review in which one or more auditors who are not members of the

software development organization conduct.

An independent examination of software product, software process, or set of

software process to access compliance with specifications, standards, contractual

agreement, or other criteria.

Software product is kind of technical document, IEEE std.1028 offers a list of 32

examples of software products subjects to audit






38

Unit -4 Period: 38

Topic: Ethics in IT

Ethics is a moral code and set of rules which establishes boundaries of generally accepted

behavior. Morality is social conventions about right and wrong. Ethics is a set of beliefs

about right and wrong behavior. Ethical behavior conforms to generally accepted social

norms.

Ethics in IT:

Data mining

Social networking

E-mail spam

Intellectual property / IT

Filtering online content

Ethics and IT professionals:

The IT professional like programmers , system analysts, software, software engineers,

database administrators, local area network [LAN] administrators, chief information

officers [CIO's] are responsible to following stakeholders in terms of keeping ethical

behavior in IT.

Relationships between IT professionals and employers.

Relationships between IT professionals and clients

Relationships between IT professionals and suppliers

Relationships between IT professionals and other professionals

Relationships between IT professionals and IT users

Relationships between IT professionals and society






39

Unit -5 Period: 39

Topic: e-Business & its Classification

Electronic commerce or e-commerce refers to a wide range of online business activities for

products and services.1 It also pertains to any form of business transaction in which the parties interact electronically rather than by physical exchanges or direct physical contact.

Is e-commerce the same as e-business?

While some use e-commerce and e-business interchangeably, they are distinct concepts. In e-

commerce, information and communications technology (ICT) is used in inter-business or

inter-organizational transactions (transactions between and among firms/organizations) and in

business-to-consumer transactions (transactions between firms/organizations and

individuals).

In e-business, on the other hand, ICT is used to enhance ones business. It includes any process that a business organization (either a for-profit, governmental or non-profit entity)

conducts over a computer-mediated network.

A more comprehensive definition of e-business is: The transformation of an organizations processes to deliver additional customer value through the application of technologies, philosophies and computing paradigm of the new economy.

What are the different types of e-commerce?

The major different types of e-commerce are:

1. business-to-business (B2B);

2. business to-consumer (B2C);

3. business-to-government (B2G);

4. consumer-to-consumer (C2C);

5. mobile commerce (m-commerce)






40

Unit -5 Period: 40

Topic: e-governance

The term e-government is of recent origin and there exists no standard definition since the

conceptual understanding is still evolving. The generally accepted definition is: "e-

government" or electronic government refers to the use of Information and Communication

Technologies (ICTs) by government agencies for any or all of the following reasons:

Exchange of information with citizens, businesses or other government departments Speedier and more efficient delivery of public services Improving internal efficiency Reducing costs or increasing revenue Re-structuring of administrative processes

Defining e-governance: The application of electric means in: [1] the interaction between

government and citizens and government and business, as well as in [2] internal

government operations to simplify and improve democratic, government and business

aspects of governance.

E-administration

E-services

E-governance

E-democracy

Delivery models & activities of e- governance:

Government-to-citizen or Government-to-customer[G2C]

Government-to-business[G2B]

Government-to- Government[G2G]

Government-to-employees[G2E]






41

Unit -5 Period: 41

Topic: ERP

Enterprise resource planning (ERP) systems integrate internal and external management

information across an entire organization, embracing finance/accounting, manufacturing,

sales and service, customer relationship management, etc. ERP systems automate this activity

with an integrated software application. Their purpose is to facilitate the flow of information

between all business functions inside the boundaries of the organization and manage the

connections to outside stakeholders.ERP is a software architecture that facilitates the flow of

information among the different functions within an enterprise. Similarly, ERP facilitates

information sharing across organizational units and geographical locations. It enables

decision-makers to have an enterprise-wide view of the information they need in a timely,

reliable and consistent fashion.

A 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

Installing an ERP system has many advantages - both direct and indirect. The direct

advantages include improved efficiency information integration for better decision-making,

faster response time to customer queries, etc.

The indirect benefits include better corporate image, improved customer goodwill, customer

satisfaction and so on. Some of the benefits are quantitative (tangible) while others are non-

quantitative (intangible).

Tangible benefits are those measured in monetary terms and intangible benefits cannot be

measured in monetary terms but they do have a very significant business impact.

Tangible benefits:

Improves the productivity of process and personnel

Lowering the cost of products and services purchased

Paper and postage cost reductions

Inventory reduction

Lead time reduction

Reduced stock obsolescence

Faster product / service look-up and ordering saving time and money

Automated ordering and payment, lowering payment processing and paper costs

Intangible benefits:

Increases organizational transparency and responsibility

Accurate and faster access to data for timely decisions

Can reach more vendors, producing more competitive bids ;






42

Unit -5 Period: 42

Topic: SCM

A supply chain is a network of facilities and distribution options that performs the functions of

procurement of materials, transformation of these materials into intermediate and finished products,

and the distribution of these finished products to customers. Supply chains exist in both service and

manufacturing organizations, although the complexity of the chain may vary greatly from industry to

industry and firm to firm.

There are four major decision areas in supply chain management: 1) location, 2) production,

3) inventory, and 4) transportation (distribution), and there are both strategic and operational

elements in each of these decision areas.

Information In The Supply Chain

Source Make Deliver Sell

Suppliers Manufacturers Warehouses &

Distribution Centers

Retailer

Order Lead

Time

Delivery Lead

Time

Production Lead

Time

Each facility further away from actual customer demand must make forecasts of demand

Lacking actual customer buying data, each facility bases its forecasts on downstream orders, which are more variable than actual demand

To accommodate variability, inventory levels are overstocked thus increasing inventory carrying costs

Its estimated that the

typical pharmaceutical

company supply chain

carries over 100 days of

product to

accommodate

uncertainty

Plan






43

Unit -5 Period: 43

Topic: e-CRM

e-CRM This concept is derived from E-commerce. It also uses net environment i.e., intranet, extranet

and internet. Electronic CRM concerns all forms of managing relationships with customers making

use of Information Technology (IT). eCRM is enterprises using IT to integrate internal organization

resources and external marketing strategies to understand and fulfill their customers needs.

Comparing with traditional CRM, the integrated information for eCRM intraorganizational

collaboration can be more efficient to communicate with customers.

Major differences between CRM and eCRM :

Customer contacts

CRM Contact with customer made through the retail store, phone, and fax. eCRM All of the traditional methods are used in addition to Internet, email, wireless,

and PDA technologies.

System interface

CRM Implements the use of ERP systems, emphasis is on the back-end. eCRM Geared more toward front end, which interacts with the back-end through use of

ERP systems, data warehouses, and data marts.

System overhead (client computers)

CRM The client must download various applications to view the web-enabled applications. They would have to be rewritten for different platform.

eCRM Does not have these requirements because the client uses the browser.

Customization and personalization of information

CRM Views differ based on the audience, and personalized views are not available. Individual personalization requires program changes.

eCRM Personalized individual views based on purchase history and preferences. Individual has ability to customize view.

System focus

CRM System (created for internal use) designed based on job function and products. Web applications designed for a single department or business unit.

eCRM System (created for external use) designed based on customer needs. Web application designed for enterprise-wide use.






44

Unit -5 Period: 44

Topic: Data warehousing & data mining

In computing, a data warehouse (DW) is a database used for reporting and analysis. The

data stored in the warehouse is uploaded from the operational systems. The data may pass

through an operational data store for additional operations before it is used in the DW for

reporting.

A data warehouse maintains its functions in three layers: staging, integration, and access.

Staging is used to store raw data for use by developers. The integration layer is used to

integrate data and to have a level of abstraction from users. The access layer is for getting

data out for users.Data warehouses can be subdivided into data marts. Data marts store

subsets of data from a warehouse.

Data mining (the analysis step of the knowledge discovery in databases process or KDD),

a relatively young and interdisciplinary field of computer science is the process of

discovering new patterns from large data sets involving methods at the intersection of

artificial intelligence, machine learning, statistics and database systems. The goal of data

mining is to extract knowledge from a data set in a human-understandable structure and

involves database and data management, data preprocessing, model and inference

considerations, interestingness metrics, complexity considerations, post-processing of found

structure, visualization and online updating.






45

Unit -5 Period: 45

Topic: Business Intelligence

Business intelligence (BI) mainly refers to computer-based techniques used in identifying,

extracting and analyzing business data, such as sales revenue by products and/or departments,

or by associated costs and incomes. BI technologies provide historical, current and predictive

views of business operations. Common functions of business intelligence technologies are

reporting, online analytical processing, analytics, data mining, process mining, complex event

processing, business performance management, benchmarking, text mining and predictive

analytics.

BI is a business management term which refers to applications and technologies which are

used to gather, provide access to, and analyze data and information about their company

operations

The 5 key stages of BI:

1. Data sourcing

2. data analysis

3. data situation awareness

4. risk assessment

5. decision support






46

Unit -5 Period: 46

Topic: Pervasive computing

The word pervasive and ubiquitous mean existing everywhere. It is growing trend

towards embedding microprocessors in everyday objects so they can communicate

information.

According to Mark Weise, Pervasive computing is roughly the opposite of virtual

reality. Where virtual reality puts people inside a computer -generated world, Pervasive

computing forces the computer to live out here in the world with people.

PRINCIPLES:

DECENTRALIZATION

DIVERSIFICATION

CONNECTIVITY

SIMPLICITY

TECHNOLOGIES:

COMPUTING-DEVICES

COMMUNICATIONS-CONNECTIVITY

USER INTERFACES






47

Unit -5 Period: 47

Topic: CMM

What is the Capability Maturity Model (CMM)?

The application of process management and quality improvement

concepts to software development and maintenance.

A guide for evolving toward a culture of engineering excellence.

A model for organizational improvement.

Focuses on practices that are under control of the software group

Presents a minimum set of recommended practices that have been shown to

enhance a software development and maintenance capability

It defines the expectation (the what)

Without overly constraining the implementation (the how)

Levels of CMM:

1. Initial level

2. Repeatable level

3. Defined level

4.Managed level

5.Optimizing level

GKM College Management Information System

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