ASSIGNMENT

Subject code: MB0031

(3 credits)
Set 1
SUBJECT NAME: MANAGEMENT
INFORMATION SYSTEMS
NAME : PRANAY SRIVASTAVA
MBA 2ND SEM
ROLL NO: 510933855
L C CODE: 02782

SIKKIM MANIPAL UNIVERSITY

DDE
 ASSIGNMENT
Subject code: MB0031
(3 credits)
Set 1
Marks 60
SUBJECT NAME: MANAGEMENT INFORMATION SYSTEMS

Answer the following questions. Each Question carries 10 marks

Q.1 Define MIS? What are the objectives and characteristics of MIS ?

Answer: MIS can be defined as a system that

1. Provides information to support managerial functions like Planning, organizing,
directing, controlling.
2. Collects information in a systematic and a routine manner which is in accordance with a
well defined set of rules.
3. Includes files, hardware, software and operations research models of Processing, storing,
retrieving and transmitting information to the users.

OBJECTIVES OF MIS:-

An effective MIS has the following objectives

1. Facilitate the decision - making process by furnishing information in the proper time
frame. This helps the decision - maker to select the best course of action.
2. Provide requisite information at each level of management to carry out their functions.
3. Help in highlighting the critical factors to the closely monitored for successful
functioning of the organization.
4. Support decision-making in both structured and unstructured problem environments.
5. Provide a system of people, computers, procedures, interactive query facilities,
documents for collecting, sorting, retrieving and transmitting information to the users.
CHARACTERISTICS OF MIS:-
Management Oriented
The system is designed from the top to work downwards. It does not mean that the system is
designed to provide information directly to the top management. Other levels of management are
also provided with relevant information. For example, in the marketing information system, the
activities such as sales order processing, shipment of goods to customers and billing for the
goods are basically operational control activities. A salesman can also track this information, to
know the sales territory, size of order, geography and product line, provide the system has been
designed accordingly. However, if the system is designed keeping in mind the top management,
then data on external competition, market and pricing can be created to know the market share of
the company's product and to serve as a basis of a new product or market place introduction.

Management Directed
Because of management orientation of MIS, it is necessary that management should actively
direct the system development efforts. In order to ensure the effectiveness of system designed,
management should continuously make reviews.

Integrated
The world "integration" means that the system has to cover all the functional areas of an
organization so as to produce more meaningful management information, with a view to
achieving the objectives of the organization. It has to consider various sub-system their
objectives, information needs, and recognize the interdependence, that these subsystem have
amongst themselves, so that common areas of information are identified and processed without
repetition and overlapping

Common Data Flows

Because of the integration concept of MIS, common data flow concept avoids repetition and
overlapping in data collection and storage combining similar functions, and simplifying
operations wherever possible.

Heavy Planning Element

A management information system cannot be established overnight. It takes almost 2 to 4 years
to establish it successfully in an organization. Hence, long-term planning is required for MIS
development in order to fulfill the future needs and objectives of the organization. The designer
of an information system should therefore ensure that it will not become obsolete before it
actually gets into operation.

Flexibility and Ease Of Use

While building an MIS system all types of possible means, which may occur in future, are added
to make it flexible. A feature that often goes with flexibility is the ease of use. The MIS should
be able to incorporate all those features that make it readily accessible to the wide range of users
with easy usability.

Q.2 Explain strategic MIS categories in detail. Give illustrations for each category.

Answer: Strategic Information System - A Strategic Information System (SIS) is a system to

manage information and assist in strategic decision making. A strategic information system has
been defined as, "The information system to support or change enterprise's strategy."

A SIS is a type of Information System that is aligned with business strategy and structure.

The alignment increases the capability to respond faster to environmental changes and thus
creates a competitive advantage. An early example was the favorable position afforded American
and United Airlines by their reservation systems, Sabre and Apollo. For many years these two
systems ensured that the two carriers' flights appeared on the first screens observed by travel
agents, thus increasing their bookings relative to competitors. A major source of controversy
surrounding SIS is their sustainability.
SISs are different from other comparable systems as:

1. they change the way the firm competes.

2. they have an external (outward looking) focus.
 3. they are associated with higher project risk.
4. they are innovative (and not easily copied).

It is mainly concerned with providing and organization and its members an assistance to perform
the routine tasks efficiently and effectively. One of the major issue before any organization is the
challenge of meeting its goals and objectives. Strategic IS enable such organization in realizing
their goals. Strategic Information System (SIS) is a support to the existing system and helps in
achieving a competitive advantage over the organizations competitors in terms of its objectives.
This unit deals with the critical aspects of the strategic information system. This units indicates
the theoretical concepts and the way in which the same are realized in practice. The flow of the
unit is in such a way that it starts with the development of contemporary theory about strategic
uses of corporations' internal information systems leading to systems which transcend the
boundaries of particular organizations. The process whereby strategic information systems are
created or identified is then examined. A number of weaknesses in the existing body of theory
are identified, and suggestions made as to directions in which knowledge is or may be
progressing. A strategic information system is concerned with systems which contribute
significantly to the achievement of an organization's overall objectives. The body of knowledge
is of recent origin and highly dynamic, and the area has an aura of excitement about it. The
emergence of the key ideas, the process whereby strategic information systems come into being
is assessed, areas of weakness are identified, and directions of current and future development
suggested.

Information system is regarded as a tool to provide various services to different management

functions. The tools have been developing year by year and the application of the tool has
become more and more diverse. In management it is now a very power means to manage and
control various activities and decision making process. The original idea of automating
mechanical processes got quickly succeeded by the rationalization and integration of systems. In
both of these forms, IS was regarded primarily as an operational support tool, and secondarily as
a service to management. Subsequent to the development, it was during the last few years that an
additional potential was discovered. It was found that, in some cases, information technology
(IT) had been critical to the implementation of an organization's strategy.
An organization’s strategy supported by information system fulfilling its business objectives
came to be known as Strategic Information System. The strategic information system consists of
functions that involved gathering, maintenance and analysis of data concerning internal
resources, and intelligence about competitors, suppliers, customers, government and other
relevant organizations.

Q.3 Write a detailed note on the planning and development of Management Information
Systems.

Answer: Information is a corporate resource, as important as the capital, labour, know-how etc.
and is being used for decision-making. Its quality, therefore, is required to be very high.

A low quality information would adversely affect the organizational performance as it affects
decision-making. The quality of information is the result of the quality of the input data,
processing design, system design, system and procedures which generate such a data, and the
management of the data processing function. Quality, unlike any other product, is not an absolute
concept. Its level is determined with reference to the context and its use, and the user. Perfect
quality just as perfect information is nonachievable and has cost-benefit implications.

However, it is possible to measure the quality of information on certain parameters. All these
parameters need not have a very high value. Some parameters may have lesser importance in the
total value on account of their relevance in the information and its use.

The quality parameters which are generally considered are shown in the table
 Effect on
Individual
Explanation information Examples
Differences
processing
The degree of
perception in The production
Locus of control assessing the control More information decisions, selection
internal or external which is internal to gathering and of tools and
to the situation. the organization or analysis, if internal. materials
external to the etc.
organization.
Low dogmatism, The pricing,
The degree of faith
Personal then more advertising in a
in beliefs, opinions
dogmatism. information Competitive
and past experience.
collection and environment.
processing.
Higher, then more The top
The ability to take
information management
Risk propensity. the risk.
gathering decision-making in
and analysis. a strategic planning.
Level of clarity
Tight tolerance then
required in the Manager Constantly
Tolerance for more information
information. The asking for more
ambiguity. collection and
ability to read information.
analysis.
through the
information.
The ability to Experienced and
manipulate the data Skillful managers
Manipulative High ability, then
and information vis- rely on the
intelligence. less information and
à-vis the stored manipulative
more self analysis.
information and intelligence.
knowledge.
 The managers with a
High, then correct
wide experience in
Extent of experience filtering of data and
Experience in the different fields
at particular level of appropriate choice
decision-making. of management call
decision making. of decision making
for precise and less
process.
but pertinent
information.
The extent of
Higher, then less The Technocrat
Knowledge of the knowledge in the
information relevant scientists, and
task, tools and application of the
to and tools correct managers of
technology. tools and
analysis. technology have
technology.
definite information.

The quality of these important parameters is ensured by conducting a proper systems analysis,
designing a suitable information system and ensuring its maintenance from time to time, and also
subjecting it to audit checks to ensure the system integrity.

The quality of the parameters is assured if the following steps are taken.

1. All the input is processed and controlled, as input and process design.
2. All updating and corrections are completed before the data processing begins.
3. Inputs (transactions, documents, fields and records) are subject to validity checks.
4. The access to the data files is protected and secured through an authorization scheme.
5. Intermediate processing checks are introduced to ensure that the complete data is
processed right through, i.e. run to run controls.
6. Due attention is given to the proper file selection in terms of data, periods and so on.
7. Backup of the data and files are taken to safeguard corruption or loss of data.
8. The system audit is conducted from time to time to ensure that the information system
specifications are not violated.
 9. The system modifications are approved by following a set procedure which begins with
authorization of a change to its implementation followed by an audit.
10. Systems are developed with a standard specification of design and development.
11. Information system processing is controlled through programme control, process control
and access control.
12. Ensure MIS model confirms consistency to business plan satisfying information needs to
achieve business goals.

The assurance of quality is a continuing function and needs to be evolved over a period and
requires to be monitored properly. It cannot be assessed in physical units of measure. The user of
the information is the best judge of the quality.

Q.4 Explain in detail the necessity and importance of Systems Design in MIS.

Answer: The business application system demands designing of systems suitable to the
application in project.
The major steps involved in the design are the following:

Input Design - Input design is defined as the input requirement specification as per a format
required. Input design begins long before the data arrives at the device. The analyst will have to
design source documents, input screens and methods and procedures for getting the data into the
computer.

Output Design – The design of the output is based on the requirement of the user – manager,
customer etc. The output formats have to very friendly to the user. Therefore the designer has to
ensure the appropriateness of the output format.

Development – When the design and its methodology is approved, the system is developed
using appropriate business models. The development has to be in accordance to a given standard.
The norms have to be strictly adhered to.
Testing – Exhaustive and thorough testing must be conducted to ascertain whether the system
produces the right results. Testing is time consuming: Test data must be carefully prepared,
results reviewed and corrections made in the system. In some instances, parts of the system may
have to be redesigned. Testing an information system can be broken down into three types of
activities: unit testing, system testing and acceptance testing. Unit testing or program testing
consists of testing each program separately in the system. The purpose of such testing is to
guarantee that programs are error free, but this goal is realistically impossible. Instead, testing
should be viewed as a means of locating errors in programs, focusing on finding all ways to
make a program fail. Once pinpointed, problems can be corrected. System testing tests the
functioning of the information system as a whole. It tries to determine if discrete modules will
function together as planned and whether discrepancies exist between the way the system
actually works and the way it was conceived. Among the areas examined are performance time,
capacity for file storage and handling peak loads, recovery and restart capabilities and manual
procedures. Acceptance testing provides the final certification that the system is ready to be used
in a production setting. Systems tests are evaluated by users and reviewed by management.
When all parties are satisfied that the new system meets their standards, the system is formally
accepted for installation.

Implementation and Maintenance

Conversion – Conversion is the process of changing from the old system to the new system. Four
main conversion strategies can be employed. They are the parallel strategy, the direct cutover
strategy, the pilot strategy and the phased strategy.

In a parallel strategy both the old system and its potential replacement are run together for a time
until everyone is assure that the new one functions correctly. This is the safest conversion
approach because, in the event of errors or processing disruptions, the old system can still be
used as a backup. But, this approach is very expensive, and additional staff or resources may be
required to run the extra system.

The direct cutover strategy replaces the old system entirely with the new system on an appointed
day. At first glance, this strategy seems less costly than the parallel conversion strategy. But, it is
a very risky approach that can potentially be more costly than parallel activities if serious
problems with the new system are found. There is no other system to fall back on. Dislocations,
disruptions and the cost of corrections are enormous.
The pilot study strategy introduces the new system to only a limited area of the organization,
such as a single department or operating unit. When this version is complete and working
smoothly, it is installed throughout the rest of the organization, either simultaneously or in
stages.

The phased approach strategy introduces the new system in stages, either by functions or by
organizational units. If, for example, the system is introduced by functions, a new payroll system
might begin with hourly workers who are paid weekly, followed six months later by adding
salaried employees( who are paid monthly) to the system. If the system is introduced by
organizational units, corporate headquarters might be converted first, followed by outlying
operating units four months later.

Moving from an old system to a new system requires that end users be trained to use the new
system. Detailed documentation showing how the system works from both a technical and
enduser standpoint is finalized during conversion time for use in training and everyday
operations. Lack of proper training and documentation contributes to system failure, so this
portion of the systems development process is very important.

Production and maintenance

After the new system is installed and conversion is complete, the system is said to be in
production. During this stage the system will be reviewed by both users and technical specialists
to determine how well it has met its original objectives and to decide whether any revisions or
modifications are in order. In some instances, a formal post implementation audit document will
be prepared. After the system has been finetuned, it will need to be maintained while it is in
production to correct errors, meet requirements or improve processing efficiency.

Once a system is fully implemented and is being used in business operations, the maintenance
function begins. Systems maintenance is the monitoring, or necessary improvements. For
example, the implementation of a new system usually results in the phenomenon known as the
learning curve. Personnel who operate and use the system will make mistake simply because
they are familiar withit. Though such errors usually diminish as experience is gained with a new
system, they do point out areas where a system may be improved.

Maintenance is also necessary for other failures and problems that arise during the operation of a
system. Endusers and information systems personnel then perform a troubleshooting function to
determine the causes of and solutions to such problems.

Maintenance also includes making modifications to an established system due to changes in the
business organizations, and new ebusiness and ecommerce initiatives may require major changes
to current business systems.

Q.5 Explain in detail about e-business, e-commerce and e-collaboration. Give suitable
examples.

Answer: Managing an E-business & Challenges before an E-business - Due to Internet

capabilities and web technology, traditional business organization definition has undergone a
change where scope of the enterprise now includes other company locations, business partners,
customers and vendors. It has no geographic boundaries as it can extend its operations where
Internet works. All this is possible due to Internet and web moving traditional paper driven
organization to information driven Internet enabled E-business enterprise. E-business enterprise
is open twenty-four hours, and being independent, managers, vendors, customers transact
business any time from anywhere. Internet capabilities have given E-business enterprise a cutting
edge capability advantage to increase the business value. It has opened new channels of business
as buying and selling can be done on Internet. It enables to reach new markets across the world
anywhere due to communication capabilities. It has empowered customers and vendors /
suppliers through secured access to information to act, wherever necessary. The cost of business
operations has come down significantly due to the elimination of paper-driven processes, faster
communication and effective collaborative working. The effect of these radical changes is the
reduction in administrative and management overheads, reduction in inventory, faster delivery of
goods and services to the customers.

In E-business enterprise traditional people organization based on 'Command Control' principle

is absent. It is replaced by people organization that is empowered by information and knowledge
to perform their role. They are supported by information systems, application packages, and
decision-support systems. It is no longer functional, product, and project or matrix organization
of people but E-organization where people work in network environment as a team or work
group in virtual mode. Ebusiness enterprise is more process-driven, Technology-enabled and
uses its own information and knowledge to perform. It is lean in number, flat in structure, broad
in scope and a learning organization. In E-business enterprise, most of the things are electronic,
use digital technologies and work on databases, knowledge bases, directories and document
repositories. The business processes are conducted through enterprise software like ERP, SCM,
and CRM supported by data warehouse, decision support, and knowledge management systems.
Today most of the business organizations are using Internet technology, network, and wireless
technology for improving the business performance measured in terms of cost, efficiency,
competitiveness and profitability. They are using E-business, Ecommerce solutions to reach
faraway locations to deliver product and services. The enterprise solutions like ERP, SCM, and
CRM run on Internet (Internet / Extranet) & Wide Area Network (WAN). The business
processes across the organization and outside run on Etechnology platform using digital
technology. Hence today's business firm is also called E-enterprise or Digital firm.

The paradigm shift to E-enterprise has brought four transformations, namely:

1. Domestic business to global business.

2. Industrial manufacturing economy to knowledge-based service economy.
3. Enterprise Resource Management to Enterprise Network Management.
4. Manual document driven business process to paperless, automated, electronically
transacted business process.
These transformations have made conventional organization design obsolete.
In E-enterprise, business is conducted electronically. Buyers and sellers through Internet drive
the market and Internet-based web systems. Buying and selling is possible on Internet. Books,
CDs, computer, white goods and many such goods are bought and sold on Internet. The new
channel of business is well-known as Ecommerce. On the same lines, banking, insurance,
healthcare are being managed through Internet E-banking, E-billing, E-audit, & use of Credit
cards, Smart card, ATM, E-money are the examples of the Ecommerce application. The digital
firm, which uses Internet and web technology and uses E-business and Ecommerce solutions, is a
reality and is going to increase in number.

MIS for E-business is different compared to conventional MIS design of an organization.

The role of MIS in E-business organization is to deal with changes in global market and
enterprises. MIS produces more knowledge-based products. Knowledge management system is
formally recognized as a part of MIS. It is effectively used for strategic planning for survival and
growth, increase in profit and productivity and so on. To achieve the said benefits of E-business
organization, it is necessary to redesign the organization to realize the benefits of digital firm.
The organization structure should be lean and flat. Get rid of rigid established infrastructure such
as branch office or zonal office. Allow people to work from anywhere. Automate processes after
reengineering the process to cut down process cycle time. Make use of groupware technology on
Internet platform for faster response processing. Another challenge is to convert domestic
process design to work for international process, where integration of multinational information
systems using different communication standards, country-specific accounting practices, and
laws of security are to be adhered strictly.

Internet and networking technology has thrown another challenge to enlarge the scope of
organization where customers and vendors become part of the organization. This technology
offers a solution to communicate, coordinate, and collaborate with customers, vendors and
business partners. This is just not a technical change in business operations but a cultural change
in the mindset of managers and workers to look beyond the conventional organization. It means
changing the organization behaviour to take competitive advantage of the E-business technology.
The last but not the least important is the challenge to organize and implement information
architecture and information technology platforms, considering multiple locations and multiple
information needs arising due to global operations of the business into a comprehensive MIS.

E-COMMERCE is a second big application next to ERP. It is essential deals with buying and
selling of goods. With the advent of intent and web technology, E-Commerce today covers an
entire commercial scope online including design and developing, marketing, selling, delivering,
servicing, and paying for goods. Some E-Commerce application add order tracking as a feature
for customer to know the delivery status of the order.

The entire model successfully works on web platform and uses internet technology.

Ecommerce process has two participants, namely Buyer and Seller, like in traditional business
model. And unique and typical to E-commerce there is one more participant to seller by
authorization and authentication of commercial transaction.

E-Commerce process model can be viewed in four ways and categories:

1. B2C: Business Organisation to Customer

2. B2B: Business Organisation to Business
3. C2B: Customer to Business Organisation
4. C2C: Customer to Customer

In B2C Model, business organization uses websites or portals to offer information about
product, through multimedia clippings, catalogues, product configuration guidelines, customer
histories and so on. A new customer interacts with the site and uses interactive order processing
system for order placements. On placements of order, secured payment systems comes into
operation to authorize and authenticate payment to seller. The delivery system then take over to
execute the delivery to customer.
In B2B Model, buyer and seller are business organizations. They exchange technical &
commercial through websites and portals. Then model works on similar line like B2C. More
advanced B2B model uses Extranet and Conducts business transaction based on the information
status displayed on the buyer’s application server.

In C2B Model, customer initiates actions after logging on to seller’s website or to server. On the
server of the selling organization, E-Commerce application are present for the use of the
customer. The entire Internet banking process work on C2B model where account holders of the
bank transact a number of requirements such as seeking account balance, payment and so on.

In C2C model, Customer Participates in the process of selling and buying through the auction
website. In this model, website is used for personal advertising of products or services.
ENewspaper website is an Example of advertising and selling of goods to customer.

In B2B Model, the participants in E-business are two organisation with relations as buyer=seller,
distributor-dealer and so on.

E-Collaboration every business has a number of work scenarios where group of people work
together to complete the tasks and to achieve a common objective. The group could be teams or
virtual teams with different member strength. They come together to platform a task to achieve
some results. The process is called Collaboration. The Biggest
Advantage of ECollaboration

It taps the collective wisdom, knowledge and experience of the members. The collaboration team
or group could be within the organization and between the organization as well.

Since, E-Collaboration works on an internet platform and uses web technology, work group/team
need not be at one physical location.

E-collaboration uses E-Communication capabilities to perform collaborative tasks or project

assignment. Its effectiveness is increased by software ‘GroupWare’ that enables the members of
the group to share information, invoke an application and work together to create documents and
share them and so on.

E-Collaboration helps work effectively on applications like calendaring and scheduling tasks,
event, project management, workflow application, work group application.

E-collaboration system components are internet, Intranet, Extranet and LAN, WAN networks for
communication through GroupWare tools, browser.

Let us illustrate the model using an event in the business such as receipt of material for a job to
be processed on the shop floor. In this event there is a transaction receipt of material, which
needs to be processed, and then a workgroup will use this information of material receipt. Each
member of this workgroup has a different goal.

Q.6 What is an internet? Explain the differences between internet, intranet and extranet.

Answer: Internet is a global network of interconnected computers, enabling users to share

information along multiple channels. Typically, a computer that connects to the Internet can
access information from a vast array of available servers and other computers by moving
information from them to the computer's local memory. The same connection allows that
computer to send information to servers on the network; that information is in turn accessed and
potentially modified by a variety of other interconnected computers. A majority of widely
accessible information on the Internet consists of inter-linked hypertext documents and other
resources of the World Wide Web (WWW). Computer users typically manage sent and received
information with web browsers; other software for users' interface with computer networks
includes specialized programs for electronic mail, online chat, file transfer and file sharing.

The movement of information in the Internet is achieved via a system of interconnected

computer networks that share data by packet switching using the standardized Internet Protocol
Suite (TCP/IP). It is a "network of networks" that consists of millions of private and public,
academic, business, and government networks of local to global scope that are linked by copper
wires, fiber-optic cables, wireless connections, and other technologies.

Difference between internet, intranet and extranet as follow:

Extranet :
An extranet is a private network that uses the Internet protocols and the public
telecommunication system to securely share part of a business's information or operations with
suppliers, vendors, partners, customers, or other businesses. An extranet can be viewed as part of
a company's intranet that is extended to users outside the company. An extranet requires security
and privacy.

A new buzzword that refers to an intranet that is partially accessible to authorized outsiders.
Whereas an intranet resides behind a firewall and is accessible only to people who are members
of the same company or organization, an extranet provides various levels of accessibility to
outsiders. You can access an extranet only if you have a valid username and password, and your
identity determines which parts of the extranet you can view. An extranet is somewhat very
similar to an intranet. Extranets are designed specifically to give external, limited access to
certain files of your computer systems to:

• Certain large or priviledged customers.

• Selected industry partners.
• Suppliers and subcontractors... etc.

Therefore, a carefully designed extranet can bring additional business to your company.

Intranets and extranets all have three things in common:

• They both use secured Internet access to the outside world.

• Both can drastically save your company or organization a lot of money.
• Both need a user ID & password to control access to the whole system.
The professional development team at My Web Services has the expertise and the right tools to
design the right intranet or extranet that will meet your exact needs, both for today and the
future.

Intranet:
An internal use, private network inside an organisation that uses the same kind of software which
would also be found on the Internet. Inter-connected network within one organization that uses
Web technologies for the sharing of information internally, not world wide. Such information
might include organization policies and procedures, announcements, or information about new
products.

An intranet is a restricted-access network that works like the Web, but isn't on it. Usually owned
and managed by a company, an intranet enables a company to share its resources with its
employees without confidential information being made available to everyone with Internet
access.

A network based on TCP/IP protocols (an internet) belonging to an organization, usually a

corporation, accessible only by the organization's members, employees, or others with
authorization. An intranet's Web sites look and act just like any other Web sites, but the firewall
surrounding an intranet fends off unauthorized access. Like the Internet itself, intranets are used
to share information.

An intranet is an information portal designed specifically for the internal communications of

small, medium or large businesses, enterprises, governments, industries or financial institutions
of any size or complexity. Intranets can be custom-designed to fit the exact needs of businesses
no matter where they are situated.
Users of intranets consists mainly of:

• Members of the executive team.

• Accounting and order billing.
• Managers and directors.
• Sales people and support staff.
• Customer service, help desk, etc..

Internet:
An electronic network of computers that includes nearly every university, government, and
research facility in the world. Also included are many commercial sites. It started with four
interconnected computers in 1969 and was known as ARPAnet. A network of computer
networks which operates world-wide using a common set of communications protocols. The vast
collection of inter-connected networks across the world that all use the TCP/IP protocols.

A global network connecting millions of computers. A worldwide network of computer

networks. It is an interconnection of large and small networks around the globe. The Internet
began in 1962 as a resilient computer network for the US military and over time has grown into a
global communication tool of more than 12,000 computer networks that share a common
addressing scheme.