BEM 251 Exam 2
Relational DBMS
- most common database model - organizes data into 2D tables called relations or files - each table contains data on entity and attributes - one table for each entity (customer, supplier, etc.)
Interactivity
-The technology works through interaction with the user •Consumers engaged in dialog that dynamically adjusts experience to the individual •Consumer becomes co-participant in process of delivering goods to market •Two-way interactions (example of one-way: TV commercial)
Decision support systems
= business intelligence and business analytics infrastructure that supplies the data and the analytics tools for supporting decision making
Operational CRM
Customer-Facing Applications: sales force automation, call center and customer service support, and marketing automation
Ensuring Data Quality...
- poor data quality - data quality problems - data quality audit - data cleansing - data should be: accurate, relevant, timely, etc.
Logical View of DBMS
- presents data as end users or business specialists would perceive them (user friendly view of data) - what users care about
E-Commerce
- use of the Internet and Web to conduct business and digitally enable transactions. - ~1994 (year of the first online retail transaction) and has grown exponentially since, even during periods of economic recession. - companies that survived the dot-com bubble burst now thrive - drastically reshaped the global marketplace - E-Commerce revolution is still in its early stages
Information Density
-Large increases in information density—the total amount and quality of information available to all market participants •Greater price transparency (comparison shopping) •Greater cost transparency (ex. Car shopping, KBB, NADA, Car Fax) •Enables merchants to engage in price discrimination
Personalization
-Technology permits modification of messages, goods •Personalized messages can be sent to individuals as well as groups •Products and services can be customized to individual preferences
Metadata
= data about data - not a separate data structure; one of the most important elements for Big Data analysis and big data solutions - provides additional information about a specific set of data
Wisdom of Crowds (theory) & Crowdsourcing (application)
= large numbers of people can make better decisions about topics and products than a single person
Consumer-to-Consumer (C2C)
marketplaces that provide consumers with platforms to interact with one another and conduct commerce (ex. Ebay)
CRM Systems Software
- CRM packages range from niche tools to large-scale enterprise applications, but they typically include tools for: •Sales Force Automation (SFA) - sales prospects and contact information, and sales quote generation capabilities. •Customer Service - assigning and managing customer service requests. •Marketing - capturing prospect and customer data, scheduling and tracking direct-marketing campaigns. •Partner Relationship Management (PRM) - integrating lead generation, pricing, promotions, order configurations, and availability. (i.e. Food Lion and Proctor & Gamble) - tools to assess partner's performance •Employee Relationship Management (ERM) - setting objectives, employee performance management, performance-based compensation, employee training, etc.
Data Hierarchy
- Database = group of related files - File = group of records of the same type - Record = a group of related fields that describes an entity - Entity = person, place, thing, or event on which we store information on - Field = group of characters as words or numbers - Attributes = specific characteristics/qualities describing each entity
Establishing Information Policy
- Information Policy = states organization's rules for organizing, managing, storing, sharing information - Data Administration = specific policies and procedures through which data can be managed as a resource - Database Administration = database design and management group responsible for defining and organizing the structure and content of databases and maintaining the database
Capabilities of Database Management Systems
- Referential Integrity Rules = used by relational databases to ensure that relationships between coupled tables (related entities) remain consistent - Data Definition Capability = specifies structure of database content, used to create tables and define characteristics of field - Data Dictionary = automated or manual file storing definitions of data elements and their characteristics (ex. password requirements) - Query & Reporting = Data manipulation language = used to add, change, delete, retrieve data from database (ex. structured query language (SQL))
6 Vs of Big Data
- Volume: amount - Variety - Velocity: speed at which it is generated - Veracity: degree to which it can be trusted - Value - Variability: ways in which it can be used
Big Data
- a combination of massive quantities of structured, semi-structured, and unstructured data collected by organizations (internally and externally) that can be mined (data mining) for information and used in machine learning projects, predictive analytic modeling, and other advanced analytics applications. - systems that process and store big data have become a common components of data management (BI) infrastructures in organizations. - big datasets provide companies with more opportunities (new perspectives) to identify patterns and gain valuable insights versus smaller datasets. - very large databases and systems require special capabilities and tools to: 1) Analyze large quantities of data 2) Access data from multiple sources.
Algorithm
- a sequence of unambiguous rules and/or instructions for solving a problem - used to obtain a required output for any legitimate input(s) in a finite amount of time
Difficulties associated with managing data
- amount of data increases exponentially over time - data is scattered throughout an organization - data is generated from multiple sources (internal & external) - new sources of data emerge on a regular basis - legal requirements change frequently
Analytical CRM
- analyze customer data output from operational CRM applications. - base on data warehouses populated by operational CRM systems and the various customer touch points through the organization. - calculates and tracks various customer related metrics •Churn Rate = number of customers who stop using or purchasing products or services from a company. Indicator of growth or decline of firm's customer base. •Customer Lifetime Value (CLTV): based on the relationship between the revenue produced by a specific customer, the expenses (may include risks) incurred in acquiring and servicing that customer and the expected relationship term.
Text Mining
- analyzes unstructured data to find trends and patterns in words and sentences - ex. sentiment analysis: mine text that come from a social space to detect opinions
Machine Learning
- clustering is a Machine Learning technique - machine Learning (ML) is an application of artificial intelligence (AI) that provides systems with the ability to automatically learn and improve from experience without being explicitly programmed. - typically computers require explicit instructions for every task. - using Machine Learning algorithms they don't, they can extrapolate/interpolate - machine Learning algorithms (learners) are trained using data (features). - Two forms of Machine Learning 1) Supervised Learning Methods ("predictive") •Build a predictive model from examples of data with known outcomes. •Use model to predict outcomes for unknown future examples. 2) Unsupervised Learning Methods ("descriptive") •Discover structures in data for which outcomes are not known
Business Intelligence Vendors
- create business intelligence infrastructure and analytics platforms purchased by firm - leading Vendors: SAP, Oracle, IBM, SAS Institute, Microsoft
Problems with the "traditional" approach
- data redundancy - data inconsistency - program-data dependence - no standardization in data structures - lack of flexibility - poor security - lack of data sharing and availability
Enterprise-Wide/Knowledge/Content Management Systems
- deals with all three types of knowledge. - general-purpose, firm-wide system that collects, stores, distributes, and applies digital content and knowledge. - repository for storing company documents and documenting processes / best practices - integrates organization collaboration websites, wiki-sites, and databases (warehouses) - includes capabilities for classifying, tagging, organizing, cataloging, and retrieving information
Non-Relational Database Management Systems (NoSQL)
- developed to handle large data sets of data that is not easily organized into structured tables, columns, and rows - provides mechanism for storage and retrieval of data that is modeled in means other than the tabular relations used in relational databases (cluster computing, large volumes of unstructured data such as social media)
Traditional File Processing
- encouraged each functional area in an organization to develop specialized applications to facilitate business processes - each application then requires a unique data file that is likely to be a subset of the master file
Enterprise Application Challenges
- expensive to purchase and implement •Average cost of ERP systems implementation is over $7 million •Average completion time is over 17 months, from analysis to full scale implementation - technology changes - business process changes - organization learning and changes (training and adoption): of 5 component framework, people are the hardest to change - switching costs and dependence on software vendors - data standardization, management, cleansing, etc.
Database Access via Web Applications
- firms use the Web to make information from their internal databases available to customers, employees, suppliers, and partners - middleware and other software to make this possible - web server = front-end/user interface - application server = middleware - database server = back-end/hosting DBMS
Global Supply Chain Management Issues
- global supply chains typically span greater geographic distances and time differences. - this results in more complex pricing and regulatory issues •Taxes, restrictions, tariffs, transportation, etc. - participants from different countries •Different performance and quality standards •Different legal requirements, tax codes, import/export limits. - internet helps companies manage many aspects of global supply chains. - outsourcing - trade wars
Digital Goods
- goods that can be delivered over a digital network - ex. music tracks, video, software, newspapers, books - cost of producing first unit almost entire cost of product: marginal cost of 2nd unit is almost zero - costs of delivery over the Internet very low - marketing costs remain the same; pricing highly variable - industries with digital goods are undergoing revolutionary changes (publishers, record labels, etc.) - *Micropayments*: a financial transaction involving a relatively small sum (typically $0.01 to ~$5.00) of money typically occurring through an online platform/site. •The term micropayment or microtransaction is frequently associated with the sale of virtual/digital goods in online games, commonly involving an in-game currency or service purchased with real world money and only available within the online game (in-game purchase) -Examples: Impacts of Digital Markets & Digital Goods?
Business Process Management (BPM) & Reengineering
- improve existing process quality (continuous improvement) - replace old processes with new processes, in a brief time period. - adapt to changes in technology and business fundamentals: •Market (new customer category, change in customer characteristics) •Product Lines •Supply Chain •Company Policy & Organization •Business Environment
Business Value (Goals) of ERP
- increase operational efficiency by standardizing and digitally coordinating business processes - provides valuable information to managers, in real-time, to support decision making at all levels - enables rapid responses to customer requests for information, services and/or products. - includes, and improves integration of, analytical tools to evaluate overall organization performance - contributes to the business intelligence architecture (data capture and knowledge management)
Business Value of CRM
- increased customer satisfaction - reduced direct-marketing costs - more effective marketing campaigns - lower costs for customer acquisition/retention - identify and retain most profitable and loyal customers - increased sales revenue - reduce churn rate
Data Lake
- large pool of unprocessed data stored in its original format - highly scalable storage systems that hold structured, semi-structured, and unstructured data in their original form and format (raw format). - does not require planning (no pre-defined data model) or prior knowledge of the data analysis needed - assumes that analysis will happen later, on-demand - serves as an on-demand, highly agile, data repository for analysts and data scientists to work with
High velocity automated decision-making
- made possible through computer algorithms precisely defining steps for a highly structured decision - humans are taken out of the decision-making process - example: trading programs at electronic stock exchanges. - require safeguards to ensure proper operation and regulation
Relationship of Business Processes and Information Systems
- many-to-many - a business process need not relate to any IS but IS relates to at least one business process - a business process can have 0 or many IS (zero if it is a manual process) - every IS has at least one application because every IS has a software component
Business Value of SCM Systems
- matchup supply to demand - reduce inventory levels - improve delivery service - speed product time to market - use assets more effectively - reduced supply chain costs lead to increased profitability •Total supply chain costs can be 75%+ of operating budget - increased sales
Analytical Tools & Methods
- once data is gathered, tools are required to consolidate, analyze, and provide access to vast amounts of data to help users make better business decisions. - various tools and methods exist to identify relationships, patterns, and trends in data. - predictive analytics methods can be applied to predict future trends and behaviors. - These tools and methods include: •Multidimensional Data Analysis (OLAP) •Data Mining (Cluster Analysis) •Machine Learning •Text Mining Web Mining
Online Analytical Processing (OLAP)
- pivot table - supports multidimensional data analysis - viewing data using multiple dimensions - each aspect of information (product, pricing, cost, region, time period) is different dimension - enables users to obtain answers to ad-hoc (as needed) questions in a rapid amount of time - how Pivot Tables/Charts work in Excel - ex. how many washers were sold in the East region during the month of June when compared against other regions?
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
Table
- rows = tuples = represents records for different entities - fields = columns = represents attributes of entity - key field = field used to uniquely identify each record (ex. SSN)
4 Basic SQL Operations
- select - update - insert - delete *language that talks to the database*
Physical View of DBMS
- shows how data is organized and structured on physical storage media (internal design and data structure) - what IT folks care about
Database Management System (DBMS)
- software allowing organizations to centralize data, manage data efficiently, and provide access to various data sources inside and outside of an organization - solves problems associated with traditional file processing approach - separates physical and logical views of data - eliminates the need for the end user to understand where and how the data is stored and organized
Enterprise Applications
- systems for linking the entire enterprise - spans across functional areas - execute business processes across firm - includes all levels of management - improves productivity and flexibility. - Four Major Enterprise Applications 1) Enterprise Resource Planning Systems (ERPs) 2) Supply Chain Management Systems (SCMs) 3) Customer Relationship Management Systems (CRMs) 4) Knowledge Management Systems
Key Concepts In E-Commerce
- the internet has created a digital marketplace where millions of people globally are able to exchange massive amounts of information directly, instantly, and for free
Data Normalization
- the process of structuring a relational database in accordance with a series of so-called normal forms in order to reduce data redundancy and improve data integrity - creates small, stable, yet flexible and adaptive data structures from complex groups of data
Business Intelligence (BI)
- the terms hardware and software vendors and technology consultant use to describe the infrastructure for warehousing, integrating, reporting, and analyzing data that comes from the business environment (internal and external) - purpose = to present actionable information to help executives, managers, and other corporate end-users make informed business decisions. - ex. databases, data warehouses, data marts
Business Analytics
- tools and techniques for analyzing data - ex. OLAP, data-mining, statistical/computational models
Key Enterprise Application Trends
- transitioning to cloud-based, software-as-a-service models - take applications more flexible, web-based, and easy to integrate with other systems
Entity-Relationship Diagrams (ERD)
- used by database/system designers to document data models - illustrates the relationships between entities - "one to many" - "many to many"
Electronic Data Interchange (EDI)
-Computer-to-computer exchange of standard transactions such as invoices, purchase orders -Major industries have EDI standards that define structure and information fields of electronic documents for that industry -More companies increasingly moving away from private networks to Internet for linking to other firms •E.g. Procurement: Businesses can now use Internet to locate most low-cost supplier, search online catalogs of supplier products, negotiate with suppliers, place orders, etc.
Ecommerce Business Models
-E-tailer: sells physical products directly to consumers or to individual businesses. Examples: Amazon, Overstock.com, etc. -Transactions Broker: Saves users money and time by processing online sales transactions and generating a fee each time a transaction occurs. Examples: Etrade.com, Expedia.com, etc. -Market Creator: provides a digital environment where buyers and sellers can meet, search for products, display products, and establish prices for those products. Can serve consumers or B2B e-commerce, generating revenue from transactions fees. Examples: eBay, Priceline.com, etc. -Content Provider: creates revenue by providing digital content, such as news, music, photos, or video, over the web. The customer may pay to access the content, or revenue may be generated by selling advertising space. Examples: Netflix, iTunes, etc. -Community Provider: provides an online meeting place where people with similar interests can communicate and find useful information. Examples: Facebook, Twitter, etc. -Portal: provides an initial point of entry to the web along with other specialized content and services. Examples: Google, Bing, Yahoo, etc. -Service Provider: provides Web 2.0 applications such as photo sharing, video sharing, and user-generated content and services. Provides other services such as online data storage and backup. Examples: Google Apps, Office 365, Cloud SaaS providers etc.
Ecommerce Revenue Models
-How firms earn revenue, generate profits, and produce superior return on investment. -Most companies rely on one, or a combination, of the following six revenue models. 1. Advertising: Attract a large audience and advertise to them. Most widely used model in e-commerce, aids in providing "free" content to users. (98% of Google's revenue) 2. Sales: Amazon.com, Micropayments systems 3. Subscription: Netflix, Hulu, Xbox, Match.com, Ancestry.com 4. Free/Freemium: Google, Pandora, Dropbox, Apple iCloud 5. Transaction Fee: eBay, eTrade, Amazon Seller 6. Affiliate: Referrals, Community Site, Bloggers, etc.
Exchanges
-Independently owned third-party Net marketplaces -Connect thousands of suppliers and buyers for spot purchasing -Typically provide vertical markets for direct goods for single industry (food, electronics) -Proliferated during early years of e-commerce; many have failed •Competitive bidding drove prices down and did not offer long-term relationships with buyers or services to make lowering prices worthwhile
Ubiquity
-Internet/Web technology available everywhere: work, home, etc., anytime. •Marketplace removed from temporal, geographic locations to become "market-space". Traditional commerce, physical location. •Enhanced customer convenience and reduced shopping costs •Reduces consumer transaction costs.
Private Industrial Networks (Private Exchange)
-Large firm using extranet to link to its suppliers, distributors and other key business partners -Owned By Buyer (ex. Apple → Foxconn) -Could be a component within a firms Supply Chain Management System -Permits sharing of: •Product design and development •Marketing •Production scheduling and inventory management •Unstructured communication (graphics and e-mail)
Ecommerce Marketing
-Largest impact of e-commerce on marketing industry. -Internet provides marketers with new ways of identifying and communicating with customers, reaching large audiences -Long Tail Marketing: Ability to market goods and services to very small online audiences, due to reduced costs of reaching those small market segments. (tails of a bell curve) -Behavioral Targeting: Tracking online behavior (click-streams) of individuals on thousands of sites to better understand their interests and intentions -Advertising formats include search engine marketing, display ads, rich media, and e-mail
Universal Standards
-One set of technology standards: Internet standards •Disparate computer systems easily communicate with each other •Lower market entry costs—costs merchants must pay to bring goods/services to market •Lower consumers' search costs—effort required to find suitable products. (easily comparison shop)
Net Marketplaces (E Hubs)
-Single market for many buyers and sellers -Industry-owned or owned by independent intermediary -Generate revenue from transaction fees, other services -Use prices established through negotiation, auction, RFQs, or fixed prices -May focus on direct or indirect goods -May be vertical or horizontal marketplaces
SCM Systems Software
-Supply Chain *Planning* Systems •Model existing supply chain •Demand planning (forecasting, aggregate sales planning) •Optimize sourcing, manufacturing plans (MRP) •Establish inventory levels (inventory control, economic order quantity) •Identifying transportation modes (capacity planning, route planning) -Supply Chain *Execution* Systems •Manages the flow of products through distribution centers and warehouses. •Routing and down-stream logistics management •Facilitates/tracks the delivery of product to consumer.
Richnes
-Supports video, audio, and text messages •Traditional markets offers rich shopping experiences. •Possible to deliver rich messages with text, audio, and video simultaneously to large numbers of people •Video, audio, and text marketing messages can be integrated into single marketing message and consumer experience
Social Technology
-The technology promotes user content generation and social networking •New Internet social and business models enable user content creation and distribution, and support social networks •Large data generation source. •Consider how you used the Internet prior to Social Networking? •Consumers have become tools!
Global Reach
-The technology reaches across national boundaries, around Earth •Commerce enabled across cultural and national boundaries seamlessly and without modification •Market-space includes, potentially, billions of consumers and millions of businesses worldwide (online user population)
3 reasons why investments in IS/IT do not always produce positive results
1) Information Quality = high quality decisions require high quality information 2) Management Filters = managers have selective attention and have variety of biases that reject information that does not conform to prior conceptions 3) organizational inertia and politics = culture resistant to change; strong forces within organizations resist making decisions calling for major change
8 Features of E-Commerce
1) Ubiquity 2) Global Reach 3) Universal Standards 4) Richness 5) Information Density 6) Interactivity 7) Personalization / Customization 8) Social Technology
Semistructured Data
= a form of structured data that does not conform with the formal structure of data models associated with relational databases or other forms of data tables, but nonetheless contain tags or other markers to separate semantic elements and enforce hierarchies of records and fields within the data - "self-describing" structure - ex. JSON and XML are forms of semi-structured data
Supply Chain
= a network of organizations and processes for: •Procuring raw materials •Transforming them into products •Distributing the products - Upstream Supply Chain = firm's suppliers, supplier's suppliers, and processes for managing relationships with them. - Downstream Supply Chain = organizations and processes responsible for delivering products to customers
Cluster Analysis
= a set of methodologies for automatic classification of samples into a number of groups using a measure of association so that the samples in one group are similar and samples belonging to different groups are not similar = the task of grouping a set of objects in such a way that objects in the same group (called a cluster) are more similar (in some sense) to each other than to those in other groups (clusters). •Input → a set of samples and a measure of similarity (or dissimilarity) •Output → number of groups (clusters) that form a partition, or a structure of partitions, of the original data set. -An additional result of cluster analysis is a generalized description of every cluster, important for deeper analysis of a dataset's characteristics. -Example: identifying and describing market segments based on various customer characteristics and attributes
Data Mining
= a subset of business analytics and refers to exploring an existing large dataset to unearth previously unknown patterns, relationships and anomalies that are present in the data - gives us the ability to find completely new insights that we weren't necessarily looking for and then infer rules to predict future behavior. - more discovery driven than OLAP (passive versus active analysis) - types of information obtainable from data mining: •Associations: Occurrences linked to single events. (if-then relationship) •Sequences: Events linked over time. (if this, and this, and this.... then) •Classification: Recognizes patterns of groups to items. (ex. classify loan applicants by risk) •Clustering (Cluster Analysis): Finds new groupings within data •Forecasting: Uses existing values to forecast future values
Knowledge Management (KM)
= business processes developed for creating, storing, transferring and applying knowledge - increases the ability of organizations to learn form their environment (internal and external) and incorporate that knowledge into routine business processes and decision making. - knowing how to do things effectively and efficiently in ways that other organizations cannot duplicate is a major source of profit and competitive advantage. - KM is not facilitated by one individual system, but more of a collection of systems and processes that support general knowledge collection and management. - format and in-format "systems" or applications. - the distribution of organization knowledge is often referred to as Knowledge Transfer (KT) - 3 kinds of knowledge: 1) Structured: structured text documents, invoices, forms, reports, etc. 2) Semi-Structured: emails, messages, images, etc. 3) Tacit Knowledge (unstructured): knowledge residing in the heads of employees, rarely documented.
Structured Data
= data that adheres to a pre-defined data model and is therefore more straightforward to analyze - conforms to a tabular format with relationships between the different rows and columns - common ex. Excel files or SQL databases - each of these have structured rows and columns that can be sorted
Data Warehouse
= designed to hold summarized data (current and historical) from many applications and data sources, usually organized by business function - example of source = Online Transaction Processing (OLTP) databases that store transaction data, customer relationship management (CRM), and Enterprise Resources Planning (ERP) - use a process called Extract Transform Load (ETL)= data is meticulously mapped from the original data sources to tables in the data warehouse, and undergoes transformations to achieve a structured format, to enable reporting and BI analysis - Enterprise Data Warehouse (EDW) = provides decision support for an entire organization - Operational Data Store (ODS) = used for routine activities like transaction recording or employee data reporting - Data Marts = smaller data warehouses for specific business functions -Key difference from standard database is that data in a warehouse can be accessed but not altered (historical archive)
Supply Chain Management Systems (SCMs)
= facilitate the management of a firm's relationships with direct and indirect suppliers, purchasing firms, distributors, and logistics companies - manage shared information related to orders, manufacturing/production, inventory levels, and delivery of products and services. - goal is to move the correct amount of product from source to point of consumption as quickly as possible and at the lowest possible cost. - may also be used to manage personnel resources (human capital); suppliers may be contracting/consulting/temp agency firms
Key Field
= field used to uniquely identify each record (ex. SSN) - Primary Key = a column or group of columns that identifies a unique row in a table *every table must have one and only one primary key* - Foreign Key = primary key used in a secondary (foreign) table as a look-up field to identify records in its original table
Customer Relationship Management Systems
= focus on "knowing the customer" - in large businesses, there are too many customers and too many ways that customers interact with firm - capture and integrate firm's customer-related processes and consolidate customer information from multiple communication channels. - distribute that customer information to the various systems, stakeholders, and customer touch points across the enterprise. •Customer Touch Point (Contact Point): a method of interaction with the customer, such as telephone, email, customer service, etc. - goal = provide single enterprise view of customers. - ex. SalesForce, ZOHO CRM, FreshSales CRM
Business value of improved decision making
= improving hundreds of thousands of "small" decisions adds up to large annual value for the business Types of decisions: - unstructured = decision maker must provide judgement, evaluation, and insight to solve a problem (ex. senior managers) - semi-structured = only part of the problem has clear cut-answers provided by accepted procedure (ex. middle managers: may include unstructured components) - structured = repetitive and routine, defined procedure for handling so they do not have to be treated as new each time; common, routine, and numerous (ex. operational managers)
Unstructured Data
= information that either does not have a predefined data model or is not organized in a pre-defined manner. Unstructured information is typically text-heavy, but may contain data such as dates, numbers, and facts as well - results in irregularities and ambiguities that make it difficult to understand using traditional programs as compared to data stored in structured databases - common ex. audio, video files or No-SQL databases
Data Mart
= smaller data warehouses for specific business functions - summarized or highly focused portion or a firm's data for use by a specific population of users. - typically focuses on a single subject or line of business, drawing data from only a few relevant sources.
Enterprise Resource Planning Systems (ERPs)
= systems that integrate data from key business processes and different firm functions into a single system (central repository) - speeds communication of information throughout the firm, enabling greater flexibility in responding to customer requests and great accuracy in order fulfillment - enables managers to assemble overall view of operations - suite of integrated software modules and a common central database - collects data from multiple divisions of firm for use in nearly all the firm's internal business activities. - information entered in one process (application component) is immediately available for other processes - built around thousands of predefined business processes that reflect best practices - more similarities than differences between organizations - to implement, map business processes to software processes - if software doesn't support/match business process, businesses can rewrite some portions, but this can compromise information and process integration; changing business processes to match software processes is better alternative
Web 2.0
= the second generation of the internet, post-dotcom bubble burst, which emphasizes user content generation tools and technologies such as social networking sites, blogs, wiki's and cloud computing SaaS. -Key features of Web 2.0 services •Collaboration •Interactivity •Real-time User Control •Social Participation (sharing) •User-Generated Content - most popular web 2.0 service = social networking
Web 3.0
= the semantic web - a collaborative effort led by W3C to add an additional layer of meaning to the existing web. - goal is to further reduce human effort in searching for and processing information - making the web more "intelligent" and intuitive - increased communication and synchronization with computing devices - leverage the "Internet of Things" (IoT) - increased cloud and mobile computing adoption.
Web Mining
Look for patterns in Web data by collecting and analyzing information in order to gain insight into trends, the industry, and users in general
Designing a Database
Must understand... 1) the relationships among the data 2) the type of data being maintained 3) how the data will be used 4) impacts to the organization in order to manage data company-wide - Conceptual (Logical) Design = describes how the data elements in the database are to be grouped (what data should be contained within the supplier table) - Physical Design = how the database is arranged on direct-access storage devices (handled for us by DBMS)
Database
collection of data organized to serve many applications by centralizing data and controlling redundant data
Business-to-Consumer (B2C)
exchange of products and/or services provided by business organizations to consumers. (i.e. retail sales, the last step in the supply chain to deliver products/services to consumers)
Consumer-to-Business (C2B)
individual consumer or end-user provides a product or service to an organization (business). For example, when a consumer writes a review or provides input/feedback for product development (consumer contributes to creating value for the business if the business adopts their input, consumer is not a "supplier" in the traditional sense.)
prediction markets
peer-to-peer betting markets on specific outcomes (sports, elections, sales figures, designs for new products)
Business Processes
set of logically related tasks and behaviors that organizations develop overtime to produce specific business results and the unique way these activities are organized and coordinated
Business-to-Business (B2B)
transactions between businesses, such as those transactions occurring within a firms supply chain where one company purchases raw materials, parts, and components from another business to be used in their manufacturing process -Commercial transactions between firms -Complex, involving a high degree of human intervention consuming resources -Procurement requires significant overhead costs, which Internet and networking helps automate -Challenges: •Changing existing systems of procurement •Implementing new Internet B2B solutions -Variety of Internet-enabled technology exist for B2B •Electronic Data Interchange (EDI) •Private Industrial Networks (Private Exchanges) •Net Marketplaces •Exchanges
Digital Markets Enable...
•Delayed Gratification - effects dependent on product •Price Discrimination •Dynamic Pricing - price of a product varies depending on demand characteristics of the customer or supply situation of seller. •Increased Market Segmentation (more specific targeting) •Disintermediation
Digital Markets Reduce...
•Information Asymmetry - one party in a transaction having more information related to the transaction. (transparency, ex. Zillow, Cars) •Search Costs and Transaction Costs •Menu Costs - merchants costs of changing prices.