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Databases and Warehouses
Building Business Intelligence
To make _______ and _______ decisions and work in the most productive and efficient way, knowledge workers today need (1) access to information and (2) tools to work with that
information.
Business Intelligence
What is it? _______________ is knowledge –
knowledge about your customers, your competitors, your partners, your competitive environment, and your own internal operations
Where is BI found? Databases & Data warehouses
Key Terms Online transaction processing (OLTP)
– the gathering of input information, processing that
information, and updating existing information to reflect the gathered and processed information. (Ex. Banking )
Operational database – database that supports _______.
Online analytical processing (OLAP) the _______ of information to support decision
making.
Business Intelligence
Hierarchy of Data
THE RELATIONAL DATABASE MODEL Database
A collection of _______ that you organize and access according to the _______ structure of that information.
Relational database model uses a series of logically related two-dimensional
_______(called relations) or _______ to store information in the form of a database.
Relation describes each two-dimensional table or file in the
relational model. The word relation here is in reference to the
collection of the data within one specific table.
By carefully examining the definition given to “relational databases” we can clearly identify two parts to it:
1. _______ – stored in a series of two dimensional tables, files, or relations.
2. _______ of the information.
Data dictionary – contains the logical structure for the information.
Database management systemDatabase management system ((DBMSDBMS)) helps you specify the helps you specify the logical logical
organization organization for a for a _______ and access and access and use (and use (_______) the information ) the information within a database.within a database.
DATABASE MANAGEMENT SYSTEM TOOLS
DBMS Engine _______ Definition _______ Data Manipulation Subsystem Application _______ Subsystem Data Administration _______
Figure 3.4Software Subsystems of a Database Management Systempage 85
The DBMS
Traditional Approach to Data Management
Database Approach to Data Management
Washington Hospital Center
Advantages of Database Approach
Improved _______ use of corporate data
Reduced data redundancy
Improved data _______ Easier modification
and updating Data and program
_______ Better access to data
and information
Standardization of data access
Framework for program development
Better overall _______ of the data
Shared data and information resources
Disadvantages of Database Approach
Relatively high cost of purchasing and operating a DBMS in a mainframe operating environment
Increased cost of specialized staff Increased vulnerability
DATA WAREHOUSES AND DATA MINING
What Is a Data Warehouse? What Are Data Mining Tools? Data Marts: Smaller Data
Warehouses Important Considerations in Using
a Data Warehouse
Data Warehouses and Data MiningData Warehouses Are Multidimensional
Figure 3.8A Multidimensional Data Warehouse with Information from Multiple Operational Databases
Elements of a Data Warehouse
Data Warehouses and Data MiningData Marts – Smaller Data Warehouses
Data mart - a subset of a data warehouse in which only a focused portion of the data warehouse information is kept.
Data Marts Are Subsets of Data Marts Are Subsets of Data WarehouseData Warehouse
Data Mining: an information analysis tool that involves the automated discovery of patterns and relationships in a data warehouse Applications
Market segmentation Customer churn Fraud detection Direct marketing Market basket analysis Trend analysis
How Up-to-Date Should Data Warehouse Information Be?
To adjust class sizes in a university registration system
To alert people to changes in weather conditions To predict scores in professional football games
To adjust radio advertisements in light of demographic changes
To monitor the success of a new product line in the clothing retail industry
To adjust production levels of foods in a cafeteria To switch jobs to various printers in a network – by
the minute. To adjust CD rates in a bank To adjust forecasted demands of tires in an auto
parts store
MANAGING THE INFORMATION RESOURCE IN AN ORGANIZATION
Who Should Oversee the Organization’s Information?
How Will Changes in Technology Affect Organizing and Managing Information?
Is Information Ownership a Consideration?
What Are the Ethics Involved in Managing and Organizing Information?
OLTP and Data Warehousing
OLAP and Data Mining
Senate Democrats try to stop Pentagon data-mining projectSome conservatives also concerned about privacy issue
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Databases and data warehouses clearly make it easier for people to access all kinds of information. This will lead to great debates in the area of privacy. Should organizations be left to police themselves with respect to providing access to information or should the government impose privacy legislation? Answer this question with respect to (1) customer information shared by organizations; (2) employee information shared within a specific organization; and (3) business information available to customers.
Consider that you work in the human resources management department of a local business and that many of your friends work there. Although you don’t personally generate payroll checks, you still have the ability to look up anyone’s pay. Would you check on your friends to see if they’re earning more money than you? For that matter, would you look up their pay just out of simple curiosity, knowing that you would never do anything with the information or share it with anyone else? Why or why not? People working at the Revenue Canada tax department were caught just curiously looking up the reported incomes of movie stars and other high-profile public figures. Is this acceptable? Why or why not?
