Lecture 16 TIM 50 Autumn 2012

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1 FOUNDATIONS OF BUSINESS INTELLIGENCE: DATABASES AND INFORMATION MANAGEMENT Lecture 16 TIM 50 Autumn 2012 Tuesday November 20, 2012

2 Announcement 1. The grades for every assignment will be given in ecommons. 2. It's important to check webpage to get the latest information and assignments changes. 3. No Office hours on Wednesday, Friday( 11/21, 11/23) No Class on Thanks Giving Day, 11/22 Thursday Final Exam 1 st Choice December 7, Friday 2 nd Choice December 10, Monday depending on Schedule Permission Format is same as Midterm Covering Up to Midterm 30 % After Midterm 70+ %

3 Topics of Business intelligences The problems of managing data resources in a traditional file environment Important database design principles The database management system The capabilities and value of a database management system Tools and technologies for accessing information from databases Business Intelligence, Data Mining The role of information policy, data administration, and data quality assurance in the management of a firm s data resources

4 Foundation of business Intelligence Division Oriented Paper File Systems Manual Processing Data redundancy: Data inconsistency: Program data dependence: Lack of flexibility Poor security Lack of data sharing and availability Data Base Systems Relational DB Object Oriented DB DBMS Data Base System Information Management File Management System File Processing Procedure Data Base Systems DBMS,SQL Intelligence from Collection of Data Information Management Business Applications System Inefficiencies Longer Business Cycle No Firm wise Information or Data Access No Data Security No Decision son Integrated Data and inform High Business Process Expenditure Less Redundancy Data Integrity Efficiency Data Confidentiality Data Integrity Control Business Data Maintenances

5 Organizing Data in a Traditional File Environment File organization concepts Database: Group of related files File: Group of records of same type Record: Group of related fields Field: Group of characters as word(s) or number Describes an entity (person, place, thing on which we store information) Attribute: Each characteristic, or quality, describing entity E.g., Attributes Date or Grade belong to entity COURSE

6 THE DATA HIERARCHY A computer system organizes data in a hierarchy that starts with the bit, which represents either a 0 or a 1. Bits can be grouped to form a byte to represent one character, number, or symbol. Bytes can be grouped to form a field, and related fields can be grouped to form a record. Related records can be collected to form a file, and related files can be organized into a database.

7 Information as Processed Data

8 Problems with the traditional file environment Old Business Process; Files maintained separately by different departments Data redundancy: Presence of duplicate data in multiple files Data inconsistency: Same attribute has different values Program data dependence: When changes in program requires changes to data accessed by program Lack of flexibility Poor security Lack of data sharing and availability

9 TRADITIONAL FILE PROCESSING The use of a traditional approach to file processing encourages each functional area in a corporation to develop specialized applications. Each application requires a unique data file that is likely to be a subset of the master file. These subsets of the master file lead to data redundancy and inconsistency, processing inflexibility, and wasted storage resources.

10 Business Processes with Old Data Processing System Inefficiencies Longer Business Cycle No Firm wise Information or Data Access No Data Security No Decision on Integrated Data and information High Business Process Expenditure

11 Introduction of Data Processing System Database collection of persistent data from business divisions Database Management System (DBMS) software system that supports creation, population, and querying of a database

12 The Database Approach to Data Management Database Serves many business applications by centralizing data and controlling redundant data across division boundaries Database management system (DBMS) Interfaces between applications and physical data files Separates logical and physical views of data Solves problems of traditional file environment Controls redundancy Eliminates inconsistency Uncouples programs and data Enables organization to centrally manage data and data security

13 Definition Although it is difficult to give a universally agreed definition of a database, we use the following common definition: Definition: A database is a collection of related, logically coherent data used by the application programs in an organization

14 DATABASE ARCHITECTURE The American National Standards Institute/Standards Planning and Requirements Committee (ANSI/SPARC) has established a three-level architecture for a DBMS: internal, conceptual and external Database architecture

15 Hardware The hardware is the physical computer system that allows access to data. Software The software is the actual program that allows users to access, maintain and update data. In addition, the software controls which user can access which parts of the data in the database. Confidentiality The data in a database is stored physically on the storage devices. In a database, data is a separate entity from the software that accesses it

16 Users In a DBMS, the term users has a broad meaning. We can divide users into two categories: end users and application programs. Procedures The last component of a DBMS is a set of procedures or rules that should be clearly defined and followed by the users of the database

17 Advantages of databases Comparing the flat-file system, we can mention several advantages for a database system. Less redundancy In a flat-file system there is a lot of redundancy. For example, in the flat file system for a university, the names of professors and students are stored in more than one file. Avoidance of Inconsistency Inconsistency If the same piece of information is stored in more than one place, then any changes in the data need to occur in all places that data is stored

18 Efficiency A database is usually more efficient that a flat file system, because a piece of information is stored in fewer locations. Data integrity In a database system it is easier to maintain data integrity, because a piece of data is stored in fewer locations. Data integrity contains guidelines for, data retention, specifying or guaranteeing the length of time of data can be retained Confidentiality It is easier to maintain the confidentiality of the information if the storage of data is centralized in one location

19 Evolution of Database Technologies

20 Evolution of database systems 2000 and beyond multi tier, client server, Distributed environments, Web based, Content addressable storage, data mining

21 DATA BASE MODEL OVERVIEW ER Model Hierarchical Model Network Model Relational Model Object Oriented Model(s)

22 ER Model Data Structures Integrity Constraints Operations The ER Model is extremely successful as a database design model Translation algorithms to many data models Commercial database design tools, e.g., ERwin No generally accepted query language No database system is based on the model ER: Entry Relation

23 ER Model Integrity Constraints E1 1 R n cardinality: 1:n for E1:E2 in R E2 E E1 R total participation of E2 in R E2 E1 d x E2 E3 disjoint exclusion E1 R E2 p partition weak entity type E2; identifying relationship type R A key attribute

24 Hierarchical Database Model In the hierarchical model, data is organized as an inverted tree. Each entity has only one parent but can have several children. At the top of the hierarchy, there is one entity, which is called the root. An example of the hierarchical model representing a university 14.24

25 Network Database Model In the network model, the entities are organized in a graph, in which some entities can be accessed through several paths (Figure 14.4). An example of the network model representing a university 14.25

26 Object-Oriented Databases(OODB) An object-oriented database tries to keep the advantages of the relational model and at the same time allows applications to access structured data. In an object-oriented database, objects and their relations are defined. In addition, each object can have attributes that can be expressed as fields XML The query language normally used for objected-oriented databases is XML (Extensible Markup Language). As we discussed in Chapter 6, XML was originally designed to add markup information to text documents, but it has also found its application as a query language in databases. XML can represent data with nested structures.

27 Object Oriented Model based on the object oriented paradigm, e.g., Simula, Smalltalk, C++, Java object oriented model has object oriented repository model; adds persistence and database capabilities; (see ODMG 93, ODL, OQL) object oriented commercial systems include GemStone, Ontos, Orion 2, Statice, Versant, O2

28 Relational Database Model In the relational model, data is organized in two-dimensional tables called relations. The tables or relations are, however, related to each other, as we will see shortly An example of the relational model representing a university

29 Relational DBMS; Represent data as two dimensional tables called relations or files. In the relational database management system (RDBMS), the data is represented as a set of relations. Each table contains data on entity and attributes Table: grid of columns and rows Rows (tuples): Records for different entities Fields (columns): Represents attribute for entity Key field: Field used to uniquely identify each record Primary key: Field in table used for key fields Foreign key: Primary key used in second table as look up field to identify records from original table

30 Relations A relation appears as a two-dimensional table. The RDBMS organizes the data so that its external view is a set of relations or tables. This does not mean that data is stored as tables: the physical storage of the data is independent of the way in which the data is logically organized An example of a relation

31 A relation in an RDBMS has the following features: Name. Each relation in a relational database should have a name that is unique among other relations. Attributes. Each column in a relation is called an attribute. The attributes are the column headings in the table in Figure Tuples. Each row in a relation is called a tuple. A tuple defines a collection of attribute values. The total number of rows in a relation is called the cardinality of the relation. Note that the cardinality of a relation changes when tuples are added or deleted. This makes the database dynamic

32 Schemas The name of a relation and the set of attributes for a relation is called a schema. We show the schema for the relation with the relation name followed by a parenthesized list of its attributes. Movies (title, year, length). Relational database schema = collection of relation schemas.

33 RELATIONAL DATABASE TABLES A relational database organizes data in the form of two dimensional tables. Illustrated here are tables for the entities SUPPLIER and PART showing how they represent each entity and its attributes. Supplier Number is a primary key for the SUPPLIER table and a foreign key for the PART table.

34 RELATIONAL DATABASE TABLES A relational database organizes data in the form of two dimensional tables. Illustrated here are tables for the entities SUPPLIER and PART showing how they represent each entity and its attributes. Supplier Number is a primary key for the SUPPLIER table and a foreign key for the PART table.

35 Operations of a Relational DBMS Three basic operations used to develop useful sets of data SELECT: Creates subset of data of all records that meet stated criteria JOIN: Combines relational tables to provide user with more information than available in individual tables PROJECT: Creates subset of columns in table, creating tables with only the information specified

36 THE THREE BASIC OPERATIONS OF A RELATIONAL DBMS The select, join, and project operations enable data from two different tables to be combined and only selected attributes to be displayed.

37 Relational Database Example Relational Database Management System (RDBMS) Consists of a number of tables and single schema (definition of tables and attributes) Students (sid, name, login, age, gpa),students identifies the table sid, name, login, age, gpa identify attributes, sid is primary key

38 An Example Table Students (sid: string, name: string, login: string, age: integer, gpa: real) S1 sid name login age gpa Dave Jones Smith Smith Madayan Guldu

39 Another table: Courses Courses (cid, instructor, quarter, dept) E cid instructor quarter dept Carnatic101 Jane Fall 06 Music Reggae203 Bob Summer 06 Music Topology101 Mary Spring 06 Math History105 Alice Fall 06 History

40 Keys Primary key minimal subset of fields that is unique identifier for a tuple sid is primary key for Students cid is primary key for Courses Foreign key connections between tables Courses (cid, instructor, quarter, dept) Students (sid, name, login, age, gpa) How do we express which students take each course?

41 Many to many relationships In general, need a new table Enrolled(cid, grade, studid) Studid is foreign key that references sid in Student table Enrolled cid Foreign key grade studid Carnatic101 C Reggae203 B Topology112 A History 105 B Student sid name login Dave dave@cs Jones jones@cs Smith smith@ee Smith smith@math Madaya n madayan@musi c Guldu guldu@music

42 Relational Algebra process for working Collection of operators for specifying queries Query describes step by step procedure for computing answer (i.e., operational) Each operator accepts one or two relations as input and returns a relation as output Relational algebra expression composed of multiple operators

43 Basic operators Selection return rows that meet some condition Projection return column values Union Cross product Difference Other operators can be defined in terms of basic operators

44 Simplified Schema Example Courses (cid, instructor, quarter, dept) Students (sid, name, gpa) Enrolled (cid, grade, studid)

45 Set Operations Union (R U S) All tuples in R or S (or both) R and S must have same number of fields Corresponding fields must have same domains Intersection (R S) All tuples in both R and S Set difference (R S) Tuples in R and not S

46 Set Operations (continued) Cross product or Cartesian product (R x S) All fields in R followed by all fields in S One tuple (r,s) for each pair of tuples r R, s S

47 Selection Select students with gpa higher than 3.3 from S1: σ gpa>3.3 (S1) S1 sid name gpa Dave Jones Smith Smith Madayan Guldu 2.0 sid name gpa Jones Smith 3.8

48 Projection Project name and gpa of all students in S1: name, gpa (S1) S1 Sid name gpa Dave Jones Smith Smith Madayan Guldu 2.0 name gpa Dave 3.3 Jones 3.4 Smith 3.2 Smith 3.8 Madayan 1.8 Guldu 2.0

49 Combine Selection and Projection Project name and gpa of students in S1 with gpa higher than 3.3: name,gpa (σ gpa>3.3 (S1)) Sid name gpa Dave Jones Smith Smith Madayan Guldu 2.0 name gpa Jones 3.4 Smith 3.8

50 S1 sid name gpa Dave Jones Smith Smith Madayan Guldu 2.0 S1 S2 = Example: Intersection S2 sid name gpa Jones Smith Tom Jerry Guldu 2.0 sid name gpa Jones Smith Guldu 2.0

51 Joins Combine information from two or more tables Example: students enrolled in courses: S1 S1.sid=E.studid E S1 Sid name gpa Dave Jones Smith Smith Madayan Guldu 2.0 E cid grade studid Carnatic101 C Reggae203 B Topology112 A History 105 B 53666

52 S1 Sid name gpa Dave Jones Smith Smith Madayan Guldu 2.0 Joins E cid grade studid Carnatic101 C Reggae203 B Topology112 A History 105 B sid name gpa cid grade studid Jones 3.4 History105 B Smith 3.8 Topology112 A Madayan 1.8 Carnatic101 C Guldu 2.0 Reggae203 B 53832

53 Relational Data Model: C a r d i n a l i t y Relation as table Rows = tuples Columns = components Names of columns = attributes Relation name + set of attribute names= schema REL (A 1,A 2,...,A n ) A 1 A 2 A 3... A n a 1 a 2 a 3 a n b 1 b 2 a 3 c n a 1. c 2 b 3 b n.. x 1 v 2 d 3 w n Arity summary Attributes Tuple Component Set theoretic Domain set of values like a data type Cartesian product (or product) D1 D2... Dn n tuples (V1,V2,...,Vn) s.t., V1 D1, V2 D2,...,Vn Dn Relation=subset of cartesian product of one or more domains FINITE only; empty set allowed Tuples = members of a relation inst. Arity = number of domains Components = values in a tuple Domains corresp. with attributes Cardinality = number of tuples

54 What is Object Oriented Database? (OODB) A database system that incorporates all the important object oriented concepts Some additional features Unique Object identifiers Persistent object handling

55 Object Oriented Concepts Abstract Data Types Class definition, provides extension to complex attribute types Encapsulation Implementation of operations and object structure hidden Inheritance Sharing of data within hierarchy scope, supports code reusability Polymorphism Operator overloading

56 Object Oriented DBMS (OODBMS) Stores data and procedures as objects Objects can be graphics, multimedia, Java applets Relatively slow compared with relational DBMS for processing large numbers of transactions Hybrid object relational DBMS: Provide capabilities of both OODBMS and relational DBMS

57 Object Relationships Object-Oriented Databases Support data abstraction, encapsulation, and inheritance. Allow object identification and communication. Reuse and modify objects. Deal with complex data types. Object Relationships Class representation Object Inheritance Employee Name Parents Date of Birth Sex GetAge() ComputeSalar y() Attributes Methods Nelson Caballero - 4/16/2001

58 Advantages of OODBS Designer can specify the structure of objects and their behavior (methods) Multimedia Contents Better interaction with object oriented languages such as Java and C++ Definition of complex and user defined types Encapsulation of operations and user defined methods

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60 Relational and Object-Oriented Databases Database Management System A software system that enables users to create and maintain the database. Object Oriented Decision support applications. Ordinary business applications. Applications that integrate with legacy systems. Conservative implementations. Engineering design applications. Multimedia applications. Knowledge bases. Applications with demanding distribution and concurrency. Applications that require advanced features. Electronic devices with embedded software. Nelson Caballero - 4/16/2001 Source: Object oriented Modeling and design for database applications. Blaha, M. and Premerlani, W.

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62 Database management system (DBMS) A specific type of software for creating, storing, organizing, and accessing data from a database Separates the logical and physical views of the data Logical view: how end users view data Physical view: how data are actually structured and organized Examples of DBMS: Microsoft Access, DB2, Oracle Database, Microsoft SQL Server, MYSQL

63 HUMAN RESOURCES DATABASE WITH MULTIPLE VIEWS A single human resources database provides many different views of data, depending on the information requirements of the user. Illustrated here are two possible views, one of interest to a benefits specialist and one of interest to a member of the company s payroll department.

64 Capabilities of Database Management Systems Data definition capability: Specifies structure of database content, used to create tables and define characteristics of fields Data dictionary: Automated or manual file storing definitions of data elements and their characteristics Data manipulation language(dml): Used to add, change, delete, retrieve data from database

65 Meta data Data that describes the properties or characteristics of other data Does not include sample data Allows database designers and users to understand the meaning of the data

66 Structured Query Language (SQL) Microsoft Access user tools for generation SQL Many DBMS have report generation capabilities for creating polished reports (Crystal Reports) Each database will have a set of schemas associated with a catalog. Schema = the structure that contains descriptions of objects created by a user (base tables, views, constraints)

67 Structured Query Language Structured Query Language (SQL) is the language standardized by the American National Standards Institute (ANSI) and the International Organization for Standardization (ISO) for use on relational databases. It is a declarative rather than procedural language, which means that users declare what they want without having to write a step-by-step procedure. The SQL language was first implemented by the Oracle Corporation in 1979, with various versions of SQL being released since then

68 SQL Is: The standard and most common language for relational database management systems An SQL based relational database application involves a user interface, a set of tables in the database, and a RDBMS with an SQL capability Within the RDBMS SQL will be used to create the tables, translate user requests, maintain the data dictionary and system catalog, update an maintain the tables, establish security, and carry out backup and recovery procedures

69 A simplified schematic of a typical SQL environment

70 3 types of SQL commands Data Definition Language (DDL) commands that define a database, including creating, altering, and dropping tables and establishing constraints Data Manipulation Language (DML) commands that maintain and query a database Data Control Language (DCL) commands that control a database, including administering privileges and committing data

71 Insert The insert operation is a unary operation that is, it is applied to a single relation. The operation inserts a new tuple into the relation. The insert operation uses the following format: Figure 14.7 An example of an insert operation

72 Delete The delete operation is also a unary operation. The operation deletes a tuple defined by a criterion from the relation. The delete operation uses the following format: An example of a delete operation

73 Update The update operation is also a unary operation that is applied to a single relation. The operation changes the value of some attributes of a tuple. The update operation uses the following format: An example of an update operation

74 Select The select operation is a unary operation. The tuples (rows) in the resulting relation are a subset of the tuples in the original relation An example of an select operation

75 Project The project operation is also a unary operation and creates another relation. The attributes (columns) in the resulting relation are a subset of the attributes in the original relation Figure An example of a project operation

76 Join The join operation is a binary operation that combines two relations on common attributes An example of a join operation

77 Union The union operation takes two relations with the same set of attributes An example of a union operation

78 Intersection The intersection operation takes two relations and creates a new relation, which is the intersection of the two An example of an intersection operation

79 Difference The difference operation is applied to two relations with the same attributes. The tuples in the resulting relation are those that are in the first relation but not the second Figure An example of a difference operation

80 DATABASE DESIGN The design of any database is a lengthy and involved task that can only be done through a step-by-step process. The first step normally involves interviewing potential users of the database. The second step is to build an entity-relationship model (ERM) that defines the entities, the attributes of those entities and the relationship between those entities.

81 Designing Databases Conceptual (logical) design: Abstract model from business perspective Physical design: How database is arranged on direct access storage devices Design process identifies Relationships among data elements, redundant database elements Most efficient way to group data elements to meet business requirements, needs of application programs Normalization Streamlining complex groupings of data to minimize redundant data elements and awkward many to many relationships

82 Entity-relationship models (ERM) Database Design In this step, the database designer creates an entityrelationship (E-R) diagram to show the entities for which information needs to be stored and the relationship between those entities. E-R diagrams uses several geometric shapes, but we use only a few of them here: Rectangles represent entity sets Ellipses represent attributes Diamonds represent relationship sets Lines link attributes to entity sets and link entity sets to relationships sets

83 A very simple E-R diagram with three entity sets, their attributes and the relationship between the entity sets

84 From E-R diagrams to relations After the E-R diagram has been finalized, relations (tables) in the relational database can be created. Relations for entity sets For each entity set in the E-R diagram, we create a relation (table) in which there are n columns related to the n attributes defined for that set. Entities, attributes and relationships in an E-R diagram 14.84

85 We can have three relations (tables), one for each entity set defined in Figure Relations for entity set

86 Relations for relationship sets For each relationship set in the E-R diagram, we create a relation (table). This relation has one column for the key of each entity set involved in this relationship and also one column for each attribute of the relationship itself if the relationship has attributes (not in our case)

87 The relations for these relationship sets are added to the previous relations for the entity set and shown Relations for E-R diagram

88 Normalization Normalization is the process by which a given set of relations are transformed to a new set of relations with a more solid structure. Normalization is needed to allow any relation in the database to be represented, to allow a language like SQL to use powerful retrieval operations composed of atomic operations, to remove anomalies in insertion, deletion, and updating, and reduce the need for restructuring the database as new data types are added

89 First normal form (1NF) When we transform entities or relationships into tabular relations, there may be some relations in which there are more values in the intersection of a row or column Figure An example of 1NF

90 Second normal form (2NF) In each relation we need to have a key (called a primary key) on which all other attributes (column values) need to depend. For example, if the ID of a student is given, it should be possible to find the student s name An example of 2NF

91 Other normal forms Other normal forms use more complicated dependencies among attributes. We leave these dependencies to books dedicated to the discussion of database topics

92 AN UNNORMALIZED RELATION FOR ORDER Example An unnormalized relation contains repeating groups. For example, there can be many parts and suppliers for each order. There is only a one to one correspondence between Order_Number and Order_Date.

93 NORMALIZED TABLES CREATED FROM ORDER An unnormalized relation contains repeating groups. For example, there can be many parts and suppliers for each order. There is only a one to one correspondence between Order_Number and Order_Date.

94 Entity relationship diagram Used by database designers to document the data model Illustrates relationships between entities

95 Map binary relationships The procedure for representing relationships depends on both the degree of the relationships (unary, binary, ternary) and the cardinalities of the relationships Map binary one to one relationships (1:1) In a 1:1 relationship, the association in one direction is nearly always optional one, whilst the association in the other direction is mandatory one You should include in the relation on the optional side of the relationship the foreign key of the entity type that has the mandatory participation in the 1:1 relationship

96 Map binary one to one relationships Any attributes associated wit the relationship itself are also included in the same relation as the foreign key The following Fig. Shows a binary 1:1 relationship between NURSE and CARE_CENTER, where each care centre must have a nurse who is in charge of that centre so the association from care centre to nurse is a mandatory one, while the association from nurse to care centre is an optional one (since any nurse may or may not be in charge of a care centre)

97 Mapping a binary 1:1 relationship Binary 1:1 relationship

98 Map binary one to many (1:M) relationships First create a relation for each of the two entity types participating in the relationship Next include the primary key attribute(s) of the entity on the one side as a foreign key in the relation that is on the manyside Submits relationship in the following Fig. shows the primary key Customer_ID of CUSTOMER (the one side) included as a foreign key in ORDER (the many side) (signified by the arrow)

99 Example of mapping a 1:M relationship Relationship between customers and orders Note the mandatory one

100 Map binary many to many (M:N) relationships If such a relationship exists between entity types A and B, we create a new relation C, then include as foreign keys in C the primary keys for A and B, then these attributes become the primary key of C In the following Fig., first a relation is created for VENDOR and RAW_MATERIALS, then a relation QUOTE is created for the Supplies relationship with primary key formed from a combination of Vendor_ID and Material_ID (primary keys of VENDOR and RAW_MATERIALS). These are foreign keys that point to the respective primary keys

101 Example of mapping an M:N relationship ER diagram (M:N) The Supplies relationship will need to become a separate relation

102 AN ENTITY RELATIONSHIP DIAGRAM This graphic shows an example of an entity relationship diagram. It shows that one ORDER can contain many LINE_ITEMs. (A PART can be ordered many times and appear many times as a line item in a single order.) Each LINE ITEM can contain only one PART. Each PART can have only one SUPPLIER, but many PARTs can be provided by the same SUPPLIER. This diagram shows the relationships between the entities SUPPLIER, PART, LINE_ITEM, and ORDER that might be used to model the database

103 Distributing databases: Operations Storing database in more than one place Partitioned: Separate locations store different parts of database Replicated: Central database duplicated in entirety at different locations

104 Distributed Databases There are alternative ways of distributing a database. The central database can be partitioned (a) so that each remote processor has the necessary data to serve its own local needs. The central database also can be replicated (b) at all remote locations.

105 Using Databases to Improve Business Performance and Decision Making Very large databases and systems require special capabilities, tools To analyze large quantities of data To access data from multiple systems Three key techniques 1.Data warehousing 2.Data mining 3.Tools for accessing internal databases through the Web

106 DATABASE MANAGEMENT SYSTEM TOOLS Five software components: 1. DBMS engine 2. Data definition subsystem 3. Data manipulation subsystem 4. Application generation subsystem 5. Data administration subsystem 3 106

107 DATABASE MANAGEMENT SYSTEM TOOLS 3 107

108 DBMS Engine DBMS engine accepts logical requests from the various other DBMS subsystems, converts them into their physical equivalent, and actually accesses the database and data dictionary as they exist on a storage device DBMS engine separates the logical from the physical 3 108

109 DBMS Engine Physical view how information is physically arranged, stored, and accessed on some type of storage device Logical view how you as a knowledge worker need to arrange and access information With a database, you only concern yourself with your logical view 3 109

110 Data Definition Subsystem Data definition subsystem helps you create and maintain the data dictionary and define the structure of the files in a database You must create a data dictionary before entering information into a database Module J covers this for Microsoft Access 3 110

111 Data Manipulation Subsystem Data manipulation subsystem helps you add, change, and delete information This is your primary DBMS interface as you work with a database Views Report generators QBE tools SQL

112 Views View allows you to see the contents of a database file Make whatever changes you want Perform simple sorting Query to find the location of information Looks similar to a workbook with no row numbers 3 112

113 3 113 Views

114 Report Generators Report generator helps you quickly define formats of reports and what information you want to see in a report You can save report formats and generate reports at any time with up to date information 3 114

115 3 115 Report Generators

116 QBE Tools Query by example (QBE) tool helps you graphically design the answer to a question What driver most often delivers concrete to Triple A Homes? 3 116

117 3 117 QBE Tools

118 SQL Structured query language (SQL) standardized fourth generation language found in most DBMSs Performs the same task as a QBE tool But uses a sentence structure instead of pointand click interface SQL is used mostly by IT people 3 118

119 Application Generation Subsystem Application generation subsystem contains facilities to help you develop transactionintensive applications Data entry screen (called forms) Programming languages Used mostly by IT specialists 3 119

120 Data Administration Subsystem Data administration subsystem helps you manage the overall database environment Backup and recovery Security management Query optimization Concurrency control Change management 3 120

121 Data Administration Subsystem Backup and recovery Periodically back up information Recover a database if a failure occurs Security management Who has access to what information Who can perform certain tasks (e.g., add, change, or delete) on information 3 121

122 Data Administration Subsystem Query optimization Restructure physical view of information to optimize response times to queries Concurrency control What happens if two people makes changes to the same information at the same time? 3 122

123 Data Administration Subsystem Change management What is the effect of structural changes to a database? What if you add a new column? What happens if you delete a column? What happens if you change a column s attributes? 3 123

124 DATA WAREHOUSES AND DATA MINING Data warehouses support OLAP and decision making Data warehouses do not support OLTP Data mining tools are the tools you use to work with a data warehouse DBMS software = database Data mining tools = data warehouse 3 124

125 What Is a Data Warehouse? Data warehouse logical collection of information gathered from operational databases used to create business intelligence that supports business analysis activities and decision making tasks 3 125

126 Components of a Data Warehouse Copyright 2010 Pearson Education, Inc. Publishing as Prentice Hall

127 Data Warehouse Summary Multidimensional Rows and columns Also layers Many times called hypercubes 3 127

128 The Database Approach to Data Management MULTIDIMENSIONAL DATA MODEL The view that is showing is product versus region. If you rotate the cube 90 degrees, the face that will show is product versus actual and projected sales. If you rotate the cube 90 degrees again, you will see region versus actual and projected sales. Other views are possible.

129 Functions Online transaction processing (OLTP) the gathering of input information, processing that information, and updating existing information to reflect the gathered and processed information Databases support OLTP Operational database databases that support OLTP 3 129

130 Functions Online analytical processing (OLAP) the manipulation of information to support decision making Databases can support some OLAP Data warehouses only support OLAP, not OLTP Why? Data warehouses are special forms of databases that support decision making 3 130

131 Online analytical processing (OLAP) Supports multidimensional data analysis Viewing data using multiple dimensions Each aspect of information (product, pricing, cost, region, time period) is different dimension E.g., how many washers sold in the East in June compared with other regions? OLAP enables rapid, online answers to ad hoc queries

132 Data marts: Subset of data warehouse Summarized or highly focused portion of firm s data for use by specific population of users Typically focuses on single subject or line of business Data warehouse: Stores current and historical data from many core operational transaction systems Consolidates and standardizes information for use across enterprise, but data cannot be altered Data warehouse system will provide query, analysis, and reporting tools

133 Data Marts Data warehouses can support all of an organization s information Data marts have subsets of an organizationwide data warehouse Data mart subset of a data warehouse in which only a focused portion of the data warehouse information is kept 3 133

134 Components of a Data Mart Copyright 2010 Pearson Education, Inc. Publishing as Prentice Hall

135 3 135 Data Marts

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137 Object in Business Information Systems Business Intelligence(BI): Tools for consolidating, analyzing, and providing access to vast amounts of data to help users make better business decisions E.g., Harrah s Entertainment analyzes customers to develop gambling profiles and identify most profitable customers Principle tools include: Software for database query and reporting Online analytical processing (OLAP) Data mining

138 More definition

139 Using Databases to Improve Business Performance and Decision Making Data mining: More discovery driven than OLAP Finds hidden patterns, relationships in large databases and infers rules to predict future behavior E.g., Finding patterns in customer data for one to one marketing campaigns or to identify profitable customers. Types of information obtainable from data mining Associations, Sequences, Classification Clustering, Forecasting

140

141 Predictive analysis in Data Mining; Uses data mining techniques, historical data, and assumptions about future conditions to predict outcomes of events E.g., Probability a customer will respond to an offer

142 3 142 Information Vs. Intelligence

143 What Are Data Mining Tools? Data mining tools software tools that you use to query information in a data warehouse Query and reporting tools Intelligence agents Multidimensional analysis tools Statistical tools 3 143

144 3 144 What Are Data Mining Tools?

145 Converging Disciplines Copyright 2010 Pearson Education, Inc. Publishing as Prentice Hall

146 Query And Reporting Tools Query and reporting tools similar to QBE tools, SQL, and report generators in the typical database environment 3 146

147 Intelligent Agents Use various artificial intelligence tools such as neural networks and fuzzy logic to form the basis for information discovery and building business intelligence Help you find hidden patterns in information 3 147

148 Multidimensional Analysis Tools Multidimensional analysis (MDA) tools slice and dice techniques that allow you to view multidimensional information from different perspectives Bring new layers to the front Reorganize rows and columns 3 148

149 Statistical Tools Help you apply various mathematical models to the information stored in a data warehouse to discover new information Regression Analysis of variance And so on 3 149

150 Enterprise Application Integration Re architecting existing programs so that an intermediate layer, termed middleware, is developed between the applications and the databases Designed to make calls to the middleware layer rather than the other applications Streamlines maintenance process because changes to an application will not affect all the interfaces connected to it Gabriele Piccoli

151 Meta Data Operations

152 The EAI Approach ERP Legacy Application Middleware Legacy Application SCM Database 2 Database 1 Gabriele Piccoli SCM: Supply Chain Management ERP: Enterprise Resource Planning

153 Gabriele Piccoli CRM Infrastructure

154

155

156 DSS Characteristics and Capabilities

157 DSS Components Data Management Subsystem DSS database DBMS Data directory Query facility

158 A Web Based DSS Architecture

159 Expert Systems vs. DSS Expert System Inject expert knowledge in to a computer system. Automate decision making. The decision environments have structure The alternatives and goals are often established in advance. The expert system can eventually replace the human decision maker. Decision Support System Extract or gain knowledge from a computer system Facilitates decision making Unstructured environment Alternatives may not be fully realized yet Use goals and the system data to establish alternatives and outcomes, so a good decision can be made

160 Artificial Intelligence and Decision Support System in Bussiness are attached in Appendix

161 Webs, Documents are Data Where House Too

162 WHAT CAN BUSINESSES LEARN FROM TEXT MINING? Text mining Extracts key elements from large unstructured data sets (e.g., stored e mails) What challenges does the increase in unstructured data present for businesses? How does text mining improve decision making? What kinds of companies are most likely to benefit from text mining software? In what ways could text mining potentially lead to the erosion of personal information privacy?

163 Web mining Discovery and analysis of useful patterns and information from WWW E.g., to understand customer behavior, evaluate effectiveness of Web site, etc. Web content mining Knowledge extracted from content of Web pages Web structure mining E.g., links to and from Web page Web usage mining User interaction data recorded by Web server

164 Databases and the Web Many companies use Web to make some internal databases available to customers or partners Typical configuration includes: Web server Application server/middleware/cgi scripts Database server (hosting DBM) Advantages of using Web for database access: Ease of use of browser software Web interface requires few or no changes to database Inexpensive to add Web interface to system

165 Firms use the Web to make information from their internal databases available to customers and partners Middleware and other software make this possible Database servers CGI(Computer Gateway Interface) Web interfaces provide familiarity to users and savings over redesigning and rebuilding legacy systems

166 LINKING INTERNAL DATABASES TO THE WEB Users access an organization s internal database through the Web using their desktop PCs and Web browser software.

167 Managing Data Resources Establishing an information policy Firm s rules, procedures, roles for sharing, managing, standardizing data Data administration: Firm function responsible for specific policies and procedures to manage data Data governance: Policies and processes for managing availability, usability, integrity, and security of enterprise data, especially as it relates to government regulations Database administration: Defining, organizing, implementing, maintaining database; performed by database design and management group

168 Nature and Quality of Data Basic : True Data Good: Many(File, Record) Better : Organized(Database, Data Where house) Best : Analysis, Intelligence( Data mining, Intelligence)

169 MANAGING THE INFORMATION RESOURCE Information is an organizational resource Just like people, capital, and equipment It must be managed effectively based on True data and Systems 3 169

170 MANAGING THE INFORMATION RESOURCE Who should oversee your organization s information resource? Chief information officer (CIO) oversees an organization s information resource Data administration plans for, oversees the development of, and monitors the information resource Database administration technical and operational aspects of managing information 3 170

171 MANAGING THE INFORMATION RESOURCE Is information ownership a consideration? If you create information, you own it You will also share it with others Because you own it, you are responsible for its quality 3 171

172 MANAGING THE INFORMATION RESOURCE How clean must your information be? Duplicate information (records) must be eliminated Inaccurate information must be corrected Information forms the basis of business intelligence If your business intelligence is bad, you will make poor decisions 3 172

173 Ensuring data quality More than 25% of critical data in Fortune 1000 company databases are inaccurate or incomplete Most data quality problems stem from faulty input Before new database in place, need to: Identify and correct faulty data Establish better routines for editing data once database in operation

174 Data quality audit: Structured survey of the accuracy and level of completeness of the data in an information system Survey samples from data files, or Survey end users for perceptions of quality Data cleansing Software to detect and correct data that are incorrect, incomplete, improperly formatted, or redundant Enforces consistency among different sets of data from separate information systems

175 CREDIT BUREAU ERRORS BIG PEOPLE PROBLEMS Assess the business impact of credit bureaus data quality problems for the credit bureaus, for lenders, for individuals. Are any ethical issues raised by credit bureaus data quality problems? Analyze the people, organization, and technology factors responsible for credit bureaus data quality problems. What can be done to solve these problems?

176 Data Mining as a Career Opportunity Knowledge of data mining can be a substantial career opportunity for you Query and Analysis and Enterprise Analytic Tools (Business Objects) Business Intelligence and Information Access tools (SAS) Many in Cognos (the data warehouse leader) PowerAnalyzer (Informatica) SAS: System Analysis Scientist

177 Review? Describe how a relational database organizes data and compare its benefits Identify and describe the principles of a database management system. Evaluate tools and technologies for providing information from databases to improve business performance and decision making.

178 CAN YOU Describe business intelligence and its role Compare databases and data warehouses by OLTP and OLAP Define 5 software components of a DBMS 3 178

179 CAN YOU List/describe key characteristics of a data warehouse Define 4 major types of data mining tools List key considerations in managing information as a resource 3 179

180 Appendix for business Intelligence DSS: Decision Support Systems and AI: Artificial Intelligence In Business

181 AI in Business Some Commercial Applications Decision Support Expert Systems Information Retrieval Virtual Reality Robotics I m ready to do some business

182 Goal of AI Overview of AI develop computer systems that exhibit intelligence or simulate the ability to think AI pioneered by Computer Science But, AI involves a combination of Computer Science, Biology, Psychology, Linguistics, Mathematics,Engineering

183 What really is Intelligence? Specifically, what are the signs of Intelligent Behavior? Think about it for a while

184 Which of the following is the best example of intelligent behavior? 1. Ability to add numbers 2. Ability to see and recognize objects 3. Ability to adapt to surroundings 4. Ability to learn for mistakes 25% 25% 25% 25%

185 What really is Intelligence? You are about to start an online chat (IM) with two entities: One entity is a human The other is a computer After hours of conversation, you can not tell which entity is a computer. Does this mean the computer is Intelligent?

186 Intelligent Behavior What are some of the signs, attributes, or characteristics of Intelligent Behavior

187 Characteristics of Intelligent Behavior 1. Learn from experience & apply the knowledge Computer can automatically improve performance based on Experience Machine Learning Computational Learning

188 Characteristics of Intelligent Behavior 2. Handle complex situations Computer Systems can often handle complexity better than humans Consider a process control system that must simultaneous track 100 different system variables.

189 Characteristics of Intelligent Behavior 3. Solve problems when important information is missing Computer Systems can find patterns and deal with all sorts of missing information

190 Characteristics of Intelligent Behavior 4. React quickly & correctly to new situations; Acquire & Apply Knowledge Here is where computers start to fail. Adapting to completely new situations is a problem for computer systems. Its very difficult to design a computer system that can combine, connect, and acquire knowledge to solve completely new problems

191 Characteristics of 5. Intelligent Behavior Determine what is important. 6. Exhibit creativity and imagination 7. Process visual information efficiently 8. Use reason to solve problems These are some other Characteristics that humans possess. Computer systems have a lot of catching up to do.

192 Which of the following do computer need to catch up on? 1. Determine what is important. 2. Exhibit creativity and imagination 3. Process visual information efficiently 4. Use reason to solve problems 25% 25% 25% 25%

193 AI in Business AI continues to improve and evolve. Scientists and Engineers are pushing the envelope of what is possible. In Business, there is a better understanding of the capabilities of Intelligent Computer Systems It is important to know which types of problems are suited for humans, and which are suited for Computers.

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