Information Systems For Business: Ly-Huong T. Pham, Tejal Desai-Naik, Laurie Hammond, & Wael Abdeljabbar

INFORMATION
SYSTEMS FOR
BUSINESS
Ly-Huong T. Pham, Tejal Desai-Naik, Laurie

Hammond, & Wael Abdeljabbar
Information Systems for Business
Revised First Edition (2021)
LY-HUONG T. PHAM, PH.D., MBA
TEJAL DESAI-NAIK
LAURIE HAMMOND
WAEL ABDELJABBAR, PH.D.

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This text was compiled on 08/28/2021

An Open Educational Resource Supported by the Academic Senate for
California Community Colleges Open Educational Resources Initiative
The Academic Senate for California Community Colleges Open Educational Resources Initiative
(OERI) was funded by the California legislature in trailer bill language during the summer of 2018.
The OERI’s mission is to reduce the cost of educational resources for students by expanding the
availability and adoption of high quality Open Educational Resources (OER). The OERI facilitates
and coordinates the curation and development of OER texts, ancillaries, and support systems. In
addition, the OERI supports local OER implementation efforts through the provision of professional
development, technical support, and technical resources.
The information in this resource is intended solely for use by the user who accepts full responsibility
for its use. Although the author(s) and ASCCC OERI have made every effort to ensure that the
information in this resource is accurate, openly licensed, and accessible at press time, the author(s)
and ASCCC OERI do not assume and hereby disclaim any liability to any party for any loss, damage,
or disruption caused by errors or omissions, whether such errors or omissions result from negligence,
accident, or any other cause.
Please bring all such errors and changes to the attention of Academic Senate of California
Community Colleges OER Initiative via e-mail ([email protected]).
Academic Senate for California Community Colleges

One Capitol Mall, Suite 230
Sacramento, CA 95814
TABLE OF CONTENTS
This book is divided into three parts. Part 1 discusses what an information system (IS) is and its components. Part 2 discusses how
people use IS for personal and professional development, how businesses use IS to create and sustain competitive advantages, and how
people build and support IS. Part 3 discusses the role of IS in globalization, the ethical and legal implications, and emerging trends of
the future.
ASCCC OERI
ABOUT THE BOOK
PREFACE
1: WHAT IS AN INFORMATION SYSTEM?
Part 1 has six chapters. It discusses what an information system is and its components: hardware, software, data and databases,
networking, and security.
1.1: INTRODUCTION
1.2: IDENTIFYING THE COMPONENTS OF INFORMATION SYSTEMS
1.3: THE ROLE OF INFORMATION SYSTEMS
1.4: CAN INFORMATION SYSTEMS BRING COMPETITIVE ADVANTAGE?
1.5: SUMMARY
1.6: STUDY QUESTIONS
2: HARDWARE
2.1: INTRODUCTION
2.2: TOUR OF A DIGITAL DEVICE
2.3: SIDEBAR- MOORE’S LAW
2.4: REMOVABLE MEDIA
2.5: OTHER COMPUTING DEVICES
2.6: SUMMARY
3: SOFTWARE
3.1: INTRODUCTION TO SOFTWARE
3.2: TYPES OF SOFTWARE
3.3: CLOUD COMPUTING
3.4: SOFTWARE CREATION
3.5: SUMMARY
4: DATA AND DATABASES
4.1: INTRODUCTION TO DATA AND DATABASES

4.2: EXAMPLES OF DATA
4.3: STRUCTURED QUERY LANGUAGE
4.4: DESIGNING A DATABASE
4.5: SIDEBAR- THE DIFFERENCE BETWEEN A DATABASE AND A SPREADSHEET
4.6: BIG DATA
4.7: DATA WAREHOUSE
4.8: DATA MINING
4.9: DATABASE MANAGEMENT SYSTEMS
4.10: ENTERPRISE DATABASES
4.11: KNOWLEDGE MANAGEMENT
4.12: SIDEBAR- WHAT IS DATA SCIENCE?
4.13: SUMMARY
5: NETWORKING AND COMMUNICATION
1 8/28/2021
5.1: INTRODUCTION TO NETWORKING AND COMMUNICATION
5.2: A BRIEF HISTORY OF THE INTERNET
5.3: NETWORKING TODAY
5.4: HOW HAS THE HUMAN NETWORK INFLUENCED YOU?
5.5: PROVIDING RESOURCES IN A NETWORK
5.6: LANS, WANS, AND THE INTERNET
5.7: NETWORK REPRESENTATIONS
5.8: THE INTERNET, INTRANETS, AND EXTRANETS
5.9: INTERNET CONNECTIONS
5.10: THE NETWORK AS A PLATFORM CONVERGED NETWORKS
5.11: RELIABLE NETWORK
5.12: THE CHANGING NETWORK ENVIRONMENT NETWORK TRENDS
5.13: TECHNOLOGY TRENDS IN THE HOME
5.14: NETWORK SECURITY
5.15: SUMMARY
6: INFORMATION SYSTEMS SECURITY
6.1: INTRODUCTION
6.2: THE INFORMATION SECURITY TRIAD- CONFIDENTIALITY, INTEGRITY, AVAILABILITY (CIA)
6.3: TOOLS FOR INFORMATION SECURITY
6.4: THREAT IMPACT
6.5: FIGHTERS IN THE WAR AGAINST CYBERCRIME- THE MODERN SECURITY OPERATIONS CENTER
6.6: SECURITY VS. AVAILABILITY
6.7: SUMMARY
2: INFORMATION SYSTEMS FOR STRATEGIC ADVANTAGE

Part 2 consists of four chapters to examine how IT contributes to companies' competitive advantage, the business process, the people
who build information systems and developing such systems.
7: LEVERAGING INFORMATION TECHNOLOGY (IT) FOR COMPETITIVE ADVANTAGE

7.1: INTRODUCTION
7.2: THE PRODUCTIVITY PARADOX
7.3: COMPETITIVE ADVANTAGE
7.4: USING INFORMATION SYSTEMS FOR COMPETITIVE ADVANTAGE
7.5: INVESTING IN IT FOR COMPETITIVE ADVANTAGE
7.6: SUMMARY
8: BUSINESS PROCESSES
8.1: INTRODUCTION
8.2: WHAT IS A BUSINESS PROCESS?
8.3: SUMMARY
9: THE PEOPLE IN INFORMATION SYSTEM
9.1: INTRODUCTION
9.2: THE CREATORS OF INFORMATION SYSTEMS
9.3: INFORMATION-SYSTEMS OPERATIONS AND ADMINISTRATION
9.4: MANAGING INFORMATION SYSTEMS
9.5: EMERGING ROLES
9.6: CAREER PATH IN INFORMATION SYSTEMS
9.7: INFORMATION-SYSTEMS USERS – TYPES OF USERS
9.8: SUMMARY
10: INFORMATION SYSTEMS DEVELOPMENT
10.1: INTRODUCTION
10.2: SYSTEMS DEVELOPMENT LIFE CYCLE (SDLC) MODEL
10.3: SOFTWARE DEVELOPMENT
10.4: IMPLEMENTATION METHODOLOGIES
10.5: SUMMARY
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10.7: SUMMARY
3: INFORMATION SYSTEMS BEYOND THE ORGANIZATION

Part 3 has three chapters to discuss the opportunities and challenges due to the rapid rise of the internet, the ethical and legal
implications, and the future information systems trends.

11.1: INTRODUCTION
11.2: THE GLOBAL FIRM
11.3: THE DIGITAL DIVIDE
11.4: SUMMARY
12: THE ETHICAL AND LEGAL IMPLICATIONS OF INFORMATION SYSTEM
12.1: INTRODUCTION
12.2: INTELLECTUAL PROPERTY
12.3: THE DIGITAL MILLENNIUM COPYRIGHT ACT
12.4: SUMMARY
13: FUTURE TRENDS IN INFORMATION SYSTEMS
13.1: INTRODUCTION
13.2: COLLABORATIVE
13.3: INTERNET OF THINGS (IOT)
13.4: FUTURE OF INFORMATION SYSTEMS
BACK MATTER
INDEX
GLOSSARY
3 8/28/2021
About the Book
An Open Educational Resource Supported by the Academic Senate for California Community
Colleges Open Educational Resources Initiative
The Academic Senate for California Community Colleges Open Educational Resources Initiative (OERI) was funded by the
California legislature in trailer bill language during the summer of 2018. The OERI’s mission is to reduce the cost of
educational resources for students by expanding the availability and adoption of high quality Open Educational Resources
(OER). The OERI facilitates and coordinates the curation and development of OER texts, ancillaries, and support systems. In
addition, the OERI supports local OER implementation efforts through the provision of professional development, technical
support, and technical resources.
The information in this resource is intended solely for use by the user who accepts full responsibility for its use. Although the
author(s) and ASCCC OERI have made every effort to ensure that the information in this resource is accurate, openly licensed,
and accessible at press time, the author(s) and ASCCC OERI do not assume and hereby disclaim any liability to any party for
any loss, damage, or disruption caused by errors or omissions, whether such errors or omissions result from negligence,
accident, or any other cause.
Please bring all such errors and changes to the resource to the attention of Academic Senate of California Community Colleges
OER Initiative via e-mail ([email protected]).
Academic Senate for California Community Colleges
One Capitol mall, Suite 230
Sacramento
Book Contributors
This book is written for a general business audience and the California Community College course C-ID-BUS 140, Business
Information System, Computer Information System.
Information Systems for Business and Beyond was originally developed in 2014 by David T. Bourgeois Ph.D., and is licensed
under CC BY 4.0.
The book was updated in 2019 by James L. Smith Ph.D., Shouhong Wong, Ph.D., and Joseph Mortati, MBA, and is licensed
under CC BY NC-SA 3.0
This Revised First Edition (2021) was edited by:
Ly-Huong T. Pham, MBA, Ph.D. (all chapters)
Tejal Desai-Naik (chapters 7, 8, 9, and 12)
Laurie Hammond (chapters 2, 4, and 11)
Wael Abdeljabbar, Ph.D. (chapters 5 and 6)
Renee N. Albrecht is acknowledged for her early contribution to our editorial process.
This Revised First Edition is licensed CC BY - NC 4.0.
Ly-Huong T. Pham, Tejal Desai-Naik, Laurie Hammond, &

8/28/2021 1 CC-BY-NC-SA https://workforce.libretexts.org/@go/page/13109
Wael Abdeljabbar
Preface
Introduction
Welcome to Information Systems for Business. In this book, you will be introduced to the concept of information systems,
their use in business, and emerging trends. You will gain insights into how firms can use information systems to sustain their
competitive advantages, how it helps connect people globally, and how you may use it for your personal and professional
career development.
Audience
This book is written as an introductory text, meant for those with little or no experience with computers or information
systems. While sometimes the descriptions can get a little bit technical, every effort has been made to convey the information
essential to understanding a topic and not getting bogged down in detailed terminology.
Chapter Outline
The text is organized around thirteen chapters divided into three major parts, as follows:
Part 1: What Is an Information System?

Chapter 1: What Is an Information System? – This chapter provides an overview of information systems and their
components, including the history of how we got where we are today.
Chapter 2: Hardware – We discuss hardware and how it works. We will look at different types of computing devices,
computer parts, learn how they interact and the effect of the commoditization of these devices.
Chapter 3: Software – Software and hardware cannot function without each other. Without software, hardware is useless.
Without hardware, the software has no hardware to run on. This chapter discusses the types of software, their purpose, and
how they support different hardware devices, individuals, groups, and organizations.
Chapter 4: Data and Databases – This chapter explores how organizations use information systems to turn data into
information and knowledge to be used for competitive advantage. We will discuss how different types of data are captured
and managed, different types of databases, and how individuals and organizations use them.
Chapter 5: Networking and Communication – Today’s computing and smart devices are expected to be always connected
devices to support the way we learn, communicate, do business, work, and play, in any place, on any devices, and at any
time. In this chapter, we review the history of networking, how the Internet works, and the use of multiple networks in
organizations today.
Chapter 6: Information Systems Security – We discuss the information security triad of confidentiality, integrity, and
availability. We will review different types of threats and associated costs for individuals, organizations, and nations. We
will discuss different security tools and technologies, how security operation centers can secure organizations’ resources
and assets, and a primer on personal information security.
Part 2: Information Systems for Strategic Advantage

Chapter 7: Leveraging Information Technology (IT) for Competitive Advantage – This chapter examines the impact that
information systems have on organizations, how they can use IT to develop and sustain competitive advantages, and
improve operational effectiveness in their value chain decision-making processes. We will discuss seminal works by
Brynjolfsson, Carr, and Porter related to IT and competitive advantage.
Chapter 8: Business Processes – Business processes are the essence of what a business does, and information systems play
an important role in making them work. This chapter will discuss business process management, business process
reengineering, and ERP systems.
Chapter 9: The People in Information Systems – This chapter will provide an overview of the different types of people
involved in information systems. This includes people(and machines) who create information systems, those who operate
and administer information systems, those who manage or support information systems, those who use information
systems, and IT's job outlook.

Wael Abdeljabbar
Chapter 10: Information Systems Development – People build information systems for people’s use. This chapter will look
at different methods to manage an information system's development process, with special attention to software
development, review mobile application development, and discuss end-user computing. We will look at key trade-offs that
organizations face in making critical decisions to “build vs. buy or subscribe,” the balancing act between scope, cost, and
time while delivering a high-quality project and obtaining the buy-in from the users.
Part 3: Information Systems beyond the Organization

Chapter 11: Globalization and the Digital Divide – The rapid rise of the Internet has made it easier than ever to do business
worldwide. This chapter will look at the impact that the Internet is having on the globalization of business. Firms will need
to manage challenges and leverage opportunities due to globalization and digitalization. It will discuss the digital divide
concept, what steps have been taken to date to alleviate it, and what more needs to be done.
Chapter 12: The Ethical and Legal Implications of Information Systems – The rapid changes in all the components of
information systems in the past few decades have brought a broad array of new capabilities and powers to governments,
organizations, and individuals alike. This chapter will discuss the effects that these new capabilities have had and the legal
and regulatory changes that have been put in place in response, and what ethical issues organizations and IT communities
need to consider in using or developing emerging solutions and services that regulations are not fully developed.
Chapter 13: Future Trends in Information Systems – This final chapter will present an overview or advance of some new or
recently introduced technologies. From wearable technology, virtual reality, Internet of Things, quantum computing to
artificial intelligence, this chapter will provide a look forward to what the next few years will bring to potentially transform
how we learn, communicate, do business, work, and play.
For the Student

Each chapter in this text begins with a list of the relevant learning objectives and ends with a chapter summary. Following the
summary is a list of study questions that highlight key topics in the chapter and suggested exercises to apply what you learn
from each chapter to the current environment. To get the best learning experience, you would be wise to begin by reading the
learning objectives, the summary, the questions at the end of the chapter and reflect how your personal or professional growth
can be enhanced.
For the Instructor

Learning objectives can be found at the beginning of each chapter. Of course, all chapters are recommended for use in an
introductory information systems course. However, for courses on a shorter calendar or courses using additional textbooks, a
review of the learning objectives will help determine which chapters can be omitted.
At the end of each chapter, there is a set of study questions and exercises. The study questions can be assigned to help focus
students’ reading on the learning objectives. The exercises are meant to be a more in-depth, experiential way for students to
learn chapter topics and reflect how what they have learned in each chapter can help them in their chosen interest or career. It
is recommended that you review any exercise before assigning it, adding any detail needed (such as length, due date, extra
resources, etc.) to complete the assignments.

Wael Abdeljabbar
SECTION OVERVIEW
Part 1 has six chapters. It discusses what an information system is and its components: hardware,
software, data and databases, networking, and security.

This chapter provides an overview of information systems, and its components, including the history
of how we got where we are today.
1.1: INTRODUCTION
1.5: SUMMARY
2: HARDWARE
We discuss hardware and how it works. We will look at different types of computing devices, computer parts, learn how they interact,
and the effect of the commoditization of these devices.
2.1: INTRODUCTION
2.6: SUMMARY
3: SOFTWARE
Software and hardware cannot function without each other. Without software, hardware is useless. Without hardware, software has no
hardware to run on. In this chapter, we discuss the types of software, their purpose, and how they support different hardware devices,
individuals, groups, and organizations.

3.5: SUMMARY

This chapter explores how organizations use information systems to turn data into information and knowledge to be used for
competitive advantage. We will discuss how different types of data are captured and managed, different types of databases, and how
individuals and organizations use them.

4.6: BIG DATA
4.7: DATA WAREHOUSE
4.8: DATA MINING
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4.13: SUMMARY

Today’s computing and smart devices are expected to be always connected devices to support the way we learn, communicate, do
business, work, and play, in any place, on any devices, and at any time. In this chapter, we review the history of networking, how the
Internet works, and the use of multiple networks in organizations today.

5.15: SUMMARY

We discuss the information security triad of confidentiality, integrity, and availability. We will review different types of threats and
associated costs for individuals, organizations, and nations. We will discuss different security tools and technologies, how security
operation centers can secure organizations’ resources and assets, and a primer on personal information security.
6.1: INTRODUCTION
6.2: THE INFORMATION SECURITY TRIAD- CONFIDENTIALITY, INTEGRITY, AVAILABILITY (CIA)
6.4: THREAT IMPACT
6.7: SUMMARY
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CHAPTER OVERVIEW
This chapter provides an overview of information systems, and its components, including the history
of how we got where we are today.
1.1: INTRODUCTION
Defining an information system is from two perspectives: What components make up an
information system, and how do they work together? What is the role of IS in providing value to
businesses and to individuals in solving their needs?

Describe the six major components of an information system and how they work together.
Information systems include six major components: hardware, software, network communications,
data, people, and processes.

We describe a brief history of the evolution of the Information system from the 1930s to today.

This section discusses the debate about information systems' role to develop and sustain firms' competitive advantage.
1.5: SUMMARY
Provide a list of study and exercise questions.
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1.1: Introduction
Introduction
In the course of a given day, think of activities that you do to entertain yourself, deliver a work product, purchase something,
or interact with your family, friends, or co-workers. How many times do you snap a picture, post a text, or email your friends?
Can you even remember the number of times you used a search engine in a day? Consider what you are using to do these
activities. Most likely, many, if not all, of these activities involve using technologies such as a smartphone, a laptop, a website,
or an app. These activities are also enabled by Wi-Fi networks that surround us everywhere, be it on the school’s campus,
workplace, the airport, or even cars. You are already a user of one or more information systems, using one or more electronic
devices, different software, or apps, and connect globally through different networks. Welcome to the world of information
systems!
Information systems affect our personal, career, society, and the global economy by evolving to change businesses and the way
we live. To prepare yourself to participate in developing or using information, building a business, or advancing your career,
you must be familiar with an information system's fundamental concepts.
Defining Information Systems

Students from diverse disciplines, including business, are often required to take a course to learn about information systems.
Let’s start with the term Information System (IS). What comes to your mind? Computers? Devices? Apps? Here are a few
definitions from a few sources:
“ Information Systems is an academic study of systems with a specific reference to information and the complementary
networks of hardware and software that people and organizations use to collect, filter, process, create and also distribute
data .” (Wikipedia Information Systems, 2020)
“Information systems are combinations of hardware, software, and telecommunications networks that people build and use
to collect, create, and distribute useful data, typically in organizational settings.” (Valacich et al., 2010)
“Information systems are interrelated components working together to collect, process, store, and disseminate information
to support decision making, coordination, control, analysis, and visualization in an organization.” (Laudon et al., 2012)
They sound similar, yet there is something different in each as well. In fact, these authors define the terms from these
perspectives:
What are the components that make up an information system? How do they work together?
What is the role of IS in providing value to businesses and to individuals in solving their needs?
Let’s examine each perspective.
References
Information Systems. (2017, June 05). Retrieved July 28, 2020, from https://en.Wikipedia.org/wiki/Information_system
Laudon, K.C. and Laudon, J. P. (2012). Management Information Systems, twelfth edition. Upper Saddle River, New Jersey:
Prentice-Hall.
Valacich, J. and Schneider, C. (2010). Information Systems Today – Managing in the Digital World, fourth edition. Upper
Saddle River, New Jersey: Prentice-Hall.

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Wael Abdeljabbar
1.2: Identifying the Components of Information Systems
Let’s use your experience as users to understand the above definitions. For example, let’s say you work for a small business,
and your manager asks you to track the expenses of the business and send her the list so that she can see where the money has
gone. You decide to use a spreadsheet on your laptop to enter the list of expenses you have collected and then email the
spreadsheet to her once you are done. You will need to have a system, a laptop, a spreadsheet running and connect to email,
and an internet connection. All these components must work together perfectly! In essence, you are using the interrelated
components in an IS to allow it to collect, process, store, and disseminate information. The role of this IS system is to enable
you to create new value (i.e., expense tracker) and for your manager to use the information you disseminate “to support
decision making, coordination, control, analysis, and visualization in an organization.” (Laudon et al., 2011) You and your
manager have obtained your goals through the processes you have created to capture the data, calculate it, check it, and how
and when your manager receives the new information you created to make her decision to manage her company.
Hence, information systems can be viewed as having six major components: hardware, software, network communications,
data, people, and processes.
Figure 1.2.1 : Components of Information Systems. Image by Ly-Huong Pham is licensed under CC BY NC
Each has a specific role, and all roles must work together to have a working information system. In this book, we group the
first four components as Technology. People and Processes are the two components that deliver value to organizations in how
they use the collection of technologies to meet specific organizations’ goals.
Technology
Technology can be thought of as the application of scientific knowledge for practical purposes. From the invention of the
wheel to the harnessing of electricity for artificial lighting, technology is a part of our lives in so many ways that we tend to
take it for granted. As discussed before, the first four components of information systems – hardware, software, network
communication, and data, are all technologies that must integrate well together. Each of these will get its own chapter and a
much lengthier discussion, but we will take a moment to introduce them to give you a big picture of what each component is
and how they work together.
Hardware
Hardware represents the physical components of an information system. Some can be seen or touched easily, while others
reside inside a device that can only be seen by opening up the device's case. Keyboards, mice, pens, disk drives, iPads,
printers, and flash drives are all visible examples. Computer chips, motherboards, and internal memory chips are the hardware

Wael Abdeljabbar
that resides inside a computer case and not usually visible from the outside. Chapter 2 will go into more details to discuss how
they function and work together. For example, users use a keyboard to enter data or use a pen to draw a picture.
Figure 1.2.2 : Keyboard and iPad by Firmbee from Pixabay, Pen by athree23 from Pixabay, Printer by Steve Buissinne from
Pixabay, Keyboard by Gerd Altmann from Pixabay. All images are licensed under CC BY 2.0
Software
Software is a set of instructions that tell the hardware what to do. Software is not tangible – it cannot be touched. Programmers
create software programs by following a specific process to enter a list of instructions that tell the hardware what to do. There
are several categories of software, with the two main categories being operating-system and application software.
Figure 1.2.3 : This image is a derivative work from David Bourgeois is licensed under CC BY 2.0. This work “Hardware,
Software, Users - Interrelated” by Ly-Huong Pham is licensed under CC BY-NC
Operating system software provides an interface between the hardware and application to protect the programmers from
learning about the underlying hardware's specifics. Chapter 3 will discuss Software more thoroughly. Here are a few examples:
Examples of Operating Systems and Applications by Devices
Devices Operating Systems Applications
Adobe Photoshop, Microsoft Excel, Google

Desktop Apple macOS, Microsoft Windows
Map
Mobile Google Android, Apple iOS Texting, Google Map
Data
The third component is data. You can think of data as a collection of non-disputable raw facts. For example, your first name,
driver's license number, the city you live in, a picture of your pet, a clip of your voice, and your phone number are all pieces of
raw data. You can see or hear your data, but by themselves, they don’t give you any additional meanings beyond the data itself.
For example, you can read a driver's license number of a person, you may recognize it as a driver's license number, but you
know nothing else about this person. They are typically what IS would need to collect from you or other sources. However,

Wael Abdeljabbar
once these raw data are aggregated, indexed, and organized together into a logical fashion using software such as a
spreadsheet, or a database, the collection of these organized data will present new information and insights that a single raw
fact can’t convey. The example of collecting all expenses (i.e., raw data) to create an expense tracker (new information
derived) discussed earlier is also a good example. In fact, all of the definitions presented at the beginning of this chapter
focused on how information systems manage data. Organizations collect all kinds of data, processed and organized them in
some fashion, and use it to make decisions. These decisions can then be analyzed as to their effectiveness, and the organization
can be improved. Chapter 4 will focus on data and databases and their uses in organizations.
Networking Communication
The components of hardware, software, and data have long been considered the core technology of information systems.
However, networking communication is another component of an IS that some believe should be in its own category. An
information system can exist without the ability to communicate. For instance, the first personal computers were stand-alone
machines that did not have access to the Internet. Information Systems, however, have evolved since they were developed. For
example, we used to have only desktop operating system software or hardware. However, in today’s environment, the
operating system software now includes mobile OS, and hardware now includes other hardware devices besides desktops. It is
extremely rare for a computer device that does not connect to another device or a network. Chapter 5 will go into this topic in
greater detail.
Figure 1.2.4 : Network by Gerd Altmann from Pixabay is licensed under CC BY-SA 2.0
People
People built computers for people to use. This means that there are many different categories in the development and
management of information systems to help organizations to create value and improve productivity, such as:
Users: these are the people who actually use an IS to perform a job function or task. Examples include: a student uses a
spreadsheet or a word processing software program.
Technical Developers: these are the people who actually create the technologies used to build an information system.
Examples include a computer chip engineer, a software programmer, and an application programmer.
Business Professionals: these are the CEOs, owners, managers, entrepreneurs, employees who use IS to start or expand
their business to perform their job functions such as accounting, marketing, sales, human resources, support customers,
among others. Examples include famous CEOs such as Jeff Bezos of Amazon, Steve Jobs of Apple, Bill Gates of
Microsoft, and Marc Benioff of Salesforce.

Wael Abdeljabbar
Figure 1.2.5 : Jeff Bezos, by Seattle City Council via Flicker, Steve Jobs and Bill Gates by Joi Ito via Flickr, Marc Benioff by
Global Climate Action Summit 2018 via Flicker, All images are licensed under CC BY-SA 2.0
IT Support: These specialized professionals are trained to keep the information systems running smoothly to support the
business and keep it safe from illegal attacks. Examples include network analysts, data center support, help-desk support.
These are just some of the key people; more details will be covered in Chapters 9 and 10.
Process
The last component of information systems is Process. A business process is a series of steps undertaken to achieve a desired
outcome or goal. Businesses have to continually innovate to either create more revenues through new products and services
that fulfill customers’ needs or to find cost-saving opportunities in the ways they run their companies. Simply automating
activities using technology is not enough. Information systems are becoming more and more integrated with organizational
processes to deliver value in revenue-generating and cost-saving activities that can give companies competitive advantages
over their competitors. Specialized standards or processes such as “business process reengineering,” “business process
management,” “enterprise resource planning,” and “customer relationship management” all have to do with the continued
improvement of these business procedures and the integration of technology with them to improve internal efficiencies and to
gain a deeper understanding of customers’ needs. Businesses hoping to gain an advantage over their competitors are highly
focused on this component of information systems. We will discuss processes in Chapter 8.
Reference
Laudon, K. C., & Laudon, J. P. (2011). Management information systems. Upper Saddle River, NJ: Prentice-Hall.

Wael Abdeljabbar
1.3: The Role of Information Systems
Now that we have explored the different components of information systems (IS), we need to turn our attention to IS's role in
an organization. From our definitions above, we see that these components collect, store, organize, and distribute data
throughout the organization, which is the first half of the definition. We can now ask what do these components actually do for
an organization to address the second part of the definition of an IS “to support decision making, coordination, control,
analysis, and visualization in an organization” Earlier, we discussed how IS collects raw data to organize them to create new
information to aid in the running of a business. To help management to make informed critical decisions, IS has to take the
information further by transforming it into organizational knowledge. In fact, we could say that one of the roles of IS is to take
data and turn it into information and then transform that into organizational knowledge. As technology has developed and the
business world becomes more data-driven, so has IS's role, from a tool to run an organization efficiently to a strategic tool for
competitive advantages. To get a full appreciation of IS's role, we will review how IS has changed over the years to create new
opportunities for businesses and address evolving human needs.
The Early Years (1930s-1950s)

We may say that computer history came to public view in the 1930s when George Stibitz developed the “Model K” Adder on
his kitchen table using telephone company relays and proved the viability of the concept of ‘Boolean logic,’ a fundamental
concept in the design of computers. From 1939 on, we saw the evolution of special-purpose equipment to general-purpose
computers by companies that are now iconic in the computing industry; Hewlett-Packard with their first product HP200A
Audio Oscillator that Disney’s Fantasia used. The 1940s gave us the first computer program running a computer through the
work of John von Newmann, Frederic Williams, Tom Kilburn, and Geoff Toothill. The 1950s gave us the first commercial
computer, the UNIVAC 1, made by Remington Rand and delivered to the US Census Bureau; it weighed 29,000 pounds and
cost more than $1,000,000 each. (Computer History Museum, n.d.)
Figure 1.3.1 : Model K Adder, Image by Arnold Reinhold is licensed under CC BY 4.0
Software evolved along with the hardware evolution. Grace Hopper completed A-0, the program that allowed programmers to
enter instructions to hardware with English-like words on the UNIVAC 1. With the arrival of general and commercial
computers, we entered what is now referred to as the mainframe era. (Computer History Museum, n.d.)
Figure 1.3.2 : Univac 1, U.S. Census Bureau employees are licensed under CC-PD (right) Commodore Grace M. Hopper,
Image by James S. Davis is licensed under CC-PD

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The Mainframe Era
From the late 1950s through the 1960s, computers were seen to more efficiently do calculations. These first business
computers were room-sized monsters, with several refrigerator-sized machines linked together. These devices' primary work
was to organize and store large volumes of information that were tedious to manage by hand. More companies were founded
to expand the computer hardware and software industry, such as Digital Equipment Corporation (DEC), RCA, and IBM. Only
large businesses, universities, and government agencies could afford them, and they took a crew of specialized personnel and
specialized facilities to install them.
IBM introduced System/360 with five models. It was hailed as a major milestone in computing history for it was targeted at
business besides the existing scientific customers, and equally important, all models could run the same software (Computer
History, n.d.). These models could serve up to hundreds of users at a time through the technique called time-sharing. Typical
functions included scientific calculations and accounting under the broader umbrella of “data processing.”
Figure 1.3.3 : Registered trademark of International Business Machines

In the late 1960s, the Manufacturing Resources Planning (MRP) systems were introduced. This software, running on a
mainframe computer, gave companies the ability to manage the manufacturing process, making it more efficient. From
tracking inventory to creating bills of materials to scheduling production, the MRP systems (and later the MRP II systems)
gave more businesses a reason to integrate computing into their processes. IBM became the dominant mainframe company.
Nicknamed “Big Blue,” the company became synonymous with business computing. Continued software improvement and the
availability of cheaper hardware eventually brought mainframe computers (and their little sibling, the minicomputer) into most
large businesses.
The PC Revolution
The 1970s ushered in the growth era in both making the computers smaller- microcomputers, and faster big machines-
supercomputers. In 1975, the first microcomputer was announced on the cover of Popular Mechanics: the Altair 8800,
invented by Ed Roberts, who coined the term “personal computer.” The Altair was sold for $297-$395, and came with 256
bytes of memory, and licensed Bill Gates and Paul Allen’s BASIC programming language. Its immediate popularity sparked
entrepreneurs' imagination everywhere, and there were quickly dozens of companies making these “personal computers.”
Though at first just a niche product for computer hobbyists, improvements in usability and practical software availability led to
growing sales. The most prominent of these early personal computer makers was a little company known as Apple Computer,
headed by Steve Jobs and Steve Wozniak, with the hugely successful “Apple II .” (Computer History Museum, n.d.)
Figure 1.3.4 : Altair 8800 Computer with 8 inch floppy disk system - Image by Swtpc6800 is licensed under CC-PD. (right)
Apple II Computer - Image by Rama is licensed under CC BY-SA 2.0 FR
Hardware companies such as Intel and Motorola continued to introduce faster and faster microprocessors (i.e., computer
chips). Not wanting to be left out of the revolution, in 1981, IBM (teaming with a little company called Microsoft for their
operating system software) released their own version of the personal computer, called the “PC.” Businesses, which had used

Wael Abdeljabbar
IBM mainframes for years to run their businesses, finally had the permission they needed to bring personal computers into
their companies, and the IBM PC took off. The IBM PC was named Time magazine’s “Man of the Year” in 1982.
Because of the IBM PC’s open architecture, it was easy for other companies to copy or “clone” it. During the 1980s, many
new computer companies sprang up, offering less expensive versions of the PC. This drove prices down and spurred
innovation. Microsoft developed its Windows operating system and made the PC even easier to use. Common uses for the PC
during this period included word processing, spreadsheets, and databases. These early PCs were not connected to any network;
for the most part, they stood alone as islands of innovation within the larger organization. The price of PCs becomes more and
more affordable with new companies such as Dell.
Today, we continue to see PCs' miniaturization into a new range of hardware devices such as laptops, Apple iPhone, Amazon
Kindle, Google Nest, and the Apple Watch. Not only did the computers become smaller, but they also became faster and more
powerful; the big computers, in turn, evolved into supercomputers, with IBM Inc. and Cray Inc. among the leading vendors.
Client-Server
By the mid-1980s, businesses began to see the need to connect their computers to collaborate and share resources. This
networking architecture was referred to as “client-server” because users would log in to the local area network (LAN) from
their PC (the “client”) by connecting to a powerful computer called a “server,” which would then grant them rights to different
resources on the network (such as shared file areas and a printer). Software companies began developing applications that
allowed multiple users to access the same data at the same time. This evolved into software applications for communicating,
with the first prevalent use of electronic mail appearing at this time.
Figure 1.3.5 : Registered trademark of SAP

This networking and data sharing all stayed within the confines of each business, for the most part. While there was sharing of
electronic data between companies, this was a very specialized function. Computers were now seen as tools to collaborate
internally within an organization. In fact, these computers' networks were becoming so powerful that they were replacing
many of the functions previously performed by the larger mainframe computers at a fraction of the cost.
During this era, the first Enterprise Resource Planning (ERP) systems were developed and run on the client-server
architecture. An ERP system is a software application with a centralized database that can be used to run a company’s entire
business. With separate modules for accounting, finance, inventory, human resources, and many more, ERP systems, with
Germany’s SAP leading the way, representing state of the art in information systems integration. We will discuss ERP systems
as part of the chapter on Process (Chapter 9).
The Internet, World Wide Web, and Web 1.0

Networking communication along with software technologies evolve through all periods: the modem in the 1940s, clickable
link in the 1950s, the email as the “killer app’ and now iconic “@” the mobile networks in the 1970s, and the early rise of
online communities through companies such as AOL in the early 1980s. First invented in 1969 as part of a US-government
funded project called ARPA, the Internet was confined to use by universities, government agencies, and researchers for many
years. However, the complicated way of using the Internet made it unsuitable for mainstream use in business.
One exception to this was the ability to expand electronic mail outside the confines of a single organization. While the first
email messages on the Internet were sent in the early 1970s, companies who wanted to expand their LAN-based email started
hooking up to the Internet in the 1980s. Companies began connecting their internal networks to the Internet to communicate
between their employees and employees at other companies. With these early Internet connections, the computer truly began
to evolve from a computational device to a communications device.
In 1989, Tim Berners-Lee from CERN laboratory developed an application (CERN, n.d.), a browser, to give a simpler and
more intuitive graphical user interface to existing technologies such as clickable link, to make the ability to share and locate
vast amounts of information easily available to the mass in addition to the researchers. This is what we called as the World

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Wide Web. 4 This invention became the launching point of the growth of the Internet as a way for businesses to share
information about themselves and for consumers to find them easily.
As web browsers and Internet connections became the norm, companies worldwide rushed to grab domain names and create
websites. Even individuals would create personal websites to post pictures to share with friends and family. For the first time,
users could create content on their own and join the global economy.
In 1991, the National Science Foundation, which governed how the Internet was used, lifted restrictions on its commercial use.
These policy changes ushered in new companies establishing new e-commerce industries such as eBay and Amazon.com. The
fast expansion of the digital marketplace led to the dot-com boom through the late 1990s and then the dot-com bust in 2000.
An important outcome of the Internet boom period was that thousands of miles of Internet connections were laid around the
world during that time. The world became truly “wired” heading into the new millennium, ushering in the era of globalization,
which we will discuss in Chapter 11.
Figure 1.3.6 : Registered trademark of Amazon Technologies, Inc.

The digital world also became a more dangerous place as more companies and users were connected globally. Once slowly
propagated through the sharing of computer disks, computer viruses and worms could now grow with tremendous speed via
the Internet and the proliferation of new hardware devices for personal or home use. Operating and application software had to
evolve to defend against this threat, and a whole new industry of computer and Internet security arose as the threats kept
increasing and became more sophisticated. We will study information security in Chapter 6.
Web 2.0 and e-Commerce

Perhaps, you noticed that in the Web 1.0 period, users and companies could create content but could not interact with each
other directly on a website. Despite the Internet's bust, technologies continue to evolve due to increased needs from customers
to personalize their experience and engage directly with businesses.
Websites become interactive; instead of just visiting a site to find out about a business and purchase its products, customers
can now interact with companies directly, and most profoundly, customers can also interact with each other to share their
experience without undue influence from companies or even buy things directly from each other. This new type of interactive
website, where users did not have to know how to create a web page or do any programming to put information online,
became known as web 2.0.
Web 2.0 is exemplified by blogging, social networking, bartering, purchasing, and post interactive comments on many
websites. This new web-2.0 world, in which online interaction became expected, had a big impact on many businesses and
even whole industries. Some industries, such as bookstores, found themselves relegated to niche status. Others, such as video
rental chains and travel agencies, began going out of business as online technologies replaced them. This process of
technology replacing an intermediary in a transaction is called disintermediation. One such successful company is Amazon
which has disintermediated many intermediaries in many industries, and it is one of the leading e-commerce websites.
As the world became more connected, new questions arose. Should access to the Internet be considered a right? What is legal
to copy or share on the internet? How can companies protect data (kept or given by the users) private? Are there laws that need
to be updated or created to protect people’s data, including children’s data? Policymakers are still catching up with technology
advances even though many laws have been updated or created. Ethical issues surrounding information systems will be
covered in Chapter 12.
The Post PC and Web 2.0 World

After thirty years as the primary computing device used in most businesses, sales of the PC are now beginning to decline as
tablets and smartphones are taking off. Just as the mainframe before it, the PC will continue to play a key role in business but
will no longer be the primary way people interact or do business. The limited storage and processing power of these mobile
devices is being offset by a move to “cloud” computing, which allows for storage, sharing, and backup of the information on a
massive scale.

Wael Abdeljabbar
Users continue to push for faster and smaller computing devices. Historically, we saw that microcomputers displaced
mainframes, laptops displaced (almost) desktops. We now see that smartphones and tablets are displacing laptops in many
situations. Will hardware vendors hit the physical limitations due to the small size of devices? Is this the beginning of a new
era of invention of new computing paradigms such as Quantum computing, a trendy topic that we will cover in more detail in
Chapter 13?
Tons of content has been generated by the users in the web 2.0 world, and businesses have been monetizing this user-generated
content without sharing any of their profits. How will the role of users change in this new world? Will the users want a share
of this profit? Will the users finally have ownership of their own data? What new knowledge can be created from the massive
user-generated and business-generated content?
Below is a chart showing the evolution of some of the advances in information systems to date.
The Eras of Business Computing
Era Hardware Operating System Applications
The first computer program was

Model K, HP’s test equipment,
Early years (1930s) written to run and store on a
Calculator, UNIVAC 1
computer.
Terminals connected to a
Mainframe (1970s) mainframe computer, IBM System Time-sharing (TSO) on MVS Custom-written MRP software
360
IBM PC or compatible. Sometimes
connected to the mainframe
PC (mid-1980s) MS-DOS WordPerfect, Lotus 1-2-3
computer via an expansion card.
Intel microprocessor
IBM PC “clone” on a Novell
Client-Server (the late 80s to early Microsoft Word, Microsoft Excel,
Network. Windows for Workgroups, MacOS
90s) email
Apple’s Apple-1
World Wide Web (the mid-90s to IBM PC “clone” connected to the
Windows XP, macOS Microsoft Office, Internet Explorer
early 2000s) company intranet.
Laptop connected to company Wi- Microsoft Office, Firefox, social
Web 2.0 (mid-2000s to present) Fi. Windows 7, Linux, macOS media platforms, blogging, search,
Smartphones texting
Mobile-friendly websites, more
Apple iPad, robots, Fitbit, watch,
Post-Web 2.0 (today and beyond) iOS, Android, Windows 10 mobile apps
Kindle, Nest, cars, drones
eCommerce
We seem to be at a tipping point of many technological advances that have come of age. The miniaturization of devices such
as cameras, sensors, faster and smaller processors, software advances in fields such as artificial intelligence, combined with
the availability of massive data, have begun to bring in new types of computing devices, small and big, that can do things that
were unheard in the last four decades. A robot the size of a fly is already in limited use, a driverless car is in the ‘test-drive’
phase in a few cities, among other new advances to meet customers’ today needs and anticipate new ones for the future.
“Where do we go from here?” is a question that you are now part of the conversation as you go through the rest of the
chapters. We may not know exactly what the future will look like, but we can reasonably assume that information systems will
touch almost every aspect of our personal, work-life, local and global social norms. Are you prepared to be an even more
sophisticated user? Are you preparing yourself to be competitive in your chosen field? Are there new norms to be embraced?
References
Timeline of Computer History: Computer History Museum. (n.d.). Retrieved July 10, 2020, from
https://www.computerhistory.org/timeline/computers/
CERN. (n.d.) The Birth of the Web. Retrieved from http://public.web.cern.ch/public/en/about/web-en.html

Wael Abdeljabbar
1.4: Can Information Systems Bring Competitive Advantage?
It has always been the assumption that the implementation of information systems will, in and of itself, bring a business
competitive advantage, especially in the cost-saving or improve efficiency. The more investment in information systems, the
more efficiencies are expected by management.
In 2003, Nicholas Carr wrote an article, “IT Doesn’t Matter,” in the Harvard Business Review (Carr, 2003) and raised the idea
that information technology has become just a commodity. Instead of viewing technology as an investment that will make a
company stand out, it should be seen as something like electricity: It should be managed to reduce costs, ensure that it is
always running, and be as risk-free as possible.
This article was both hailed and scorned at the time. While it is true that IT should be managed to reduce cost, improve
efficiencies, history has shown us that many companies have leveraged information systems to build wildly successful
businesses, such as Amazon, Apple, Walmart. Chapter 7 will discuss competitive advantage in great detail.
Sidebar: Walmart Uses Information Systems to Become the World’s Leading Retailer
Walmart is the world’s largest retailer, with gross revenue of $534.6 billion and a market of $366.7B in the fiscal year that
ended on January 31, 2020 (source: Yahoo finance on 7/13/2020). Walmart currently has approximately 11,500 stores and
e-commerce websites in 27 countries, serving nearly 265 million customers every week worldwide (Wal-Mart, 2020).
Walmart’s rise to prominence is due in no small part to its use of information systems.
Figure 1.4.1 : Registered Trademark of Walmart, Inc.

One of the keys to this success was the implementation of Retail Link, a supply-chain management system. This system,
unique when initially implemented in the mid-1980s, allowed Walmart’s suppliers to directly access the inventory levels
and sales information of their products at any of Walmart’s more than ten thousand stores. Using Retail Link, suppliers
can analyze how well their products are selling at one or more Walmart stores, with a range of reporting options. Further,
Walmart requires the suppliers to use Retail Link to manage their own inventory levels. If a supplier feels that their
products are selling out too quickly, they can use Retail Link to petition Walmart to raise their inventory levels. This has
essentially allowed Walmart to “hire” thousands of product managers, all of whom have a vested interest in managing
products. This revolutionary approach to managing inventory has allowed Walmart to continue driving prices down and
responding to market forces quickly.
However, Amazon’s fast rise as the leader in eCommerce has given Walmart a new formidable competitor. Walmart
continues to innovate with information technology combined with their physical stores to compete with Amazon, locking
the two in a fierce battle to retain the largest retailer's title. Using its tremendous market presence, any technology that
Walmart requires its suppliers to implement immediately becomes a business standard.
References
Carr, Nicholas (2003). Retrieved from https://hbr.org/2003/05/it-doesnt-matter
Wal-Mart Stores Inc. (2020 ). Retrieved July 13, 2020, from www.annualreports.com/Compan...art-stores-inc

Wael Abdeljabbar
Yahoo Finance - Stock Market Live, Quotes, Business & Finance News. (2020). Retrieved July 13, 2020, from
https://finance.yahoo.com/

Wael Abdeljabbar
1.5: Summary
Summary
In this chapter, you have been introduced to the concept of information systems. We have reviewed several definitions,
focusing on information systems components: technology (hardware, software, data, networking communication), people, and
process. We have reviewed the evolution of the technology and how the business use of information systems has evolved over
the years, from the use of large mainframe computers for number crunching, through the introduction of the PC and networks
for business applications, all the way to the era of mobile computing for both business and personal applications. During each
of these phases, innovations in technology allowed businesses and individuals to integrate technology more deeply.
It is a foregone conclusion that almost all, if not all, companies are using information systems. Yet, history also has shown us
that some companies are very successful and some are failures. By the time you complete this book, you should understand the
important role of IS in helping improve efficiencies and know-how to leverage IS to develop sustained competitive advantages
for every company or your own career.

Wael Abdeljabbar
1.6: Study Questions
Study Questions
1. What are the components that make up an information system?
2. List three examples of information system hardware
3. Identify which component of information systems include Microsoft Windows
4. What is application software?
5. Describe the different roles people play in information systems
6. Describe what a process is and its purpose
7. What was invented first, the personal computer or the Internet?
8. Which comes first, the internet or the world wide web?
9. What helps make the internet usable for the masses, not just researchers?
10. What does it mean to say we are in a “post-PC and Web 2.0 world”?
11. What is Carr’s main argument about information technology? Is it true then, and is it true now?
Exercises
1. Suppose you had to explain to a member of your family or one of your closest friends the concept of an information
system. How would you define it? Write a one-paragraph description in your own words that you feel would best describe
an information system to your friends or family.
2. Of the six components of an information system (hardware, software, data, network communications, people, process),
which do you think is the most important to a business organization's success? Write a one-paragraph answer to this
question that includes an example from your personal experience to support your answer.
3. We all interact with various information systems every day: at the grocery store, at work, at school, even in our cars (at
least some of us). Make a list of the different information systems you interact with every day. See if you can identify the
technologies, people, and processes involved in making these systems work.
4. Do you agree that we are in a post-Web 2.0 stage in the evolution of information systems? Some people argue that we will
always need the personal computer, but it will not be the primary device used to manipulate information. Others think that
a whole new era of mobile, biological, or even neurological computing is coming. Do some original research and make
your prediction about what business computing will look like in the next three to five years.
5. The Walmart case study introduced you to how that company used information systems to become the world’s leading
retailer. Walmart has continued to innovate and is still looked to as a leader in the use of technology. Do some original
research and write a one-page report detailing a new technology that Walmart has recently implemented or is pioneering to
stay competitive.

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CHAPTER OVERVIEW
2: HARDWARE
We discuss hardware and how it works. We will look at different types of computing devices,
computer parts, learn how they interact, and the effect of the commoditization of these devices.
2.1: INTRODUCTION
Discuss hardware, the first of the six components: hardware, software, data, communication,
people, and process

Examining the personal computer and its hardware components.

Experts provide insight if Moore's Law is still viable in todays times.

Advancement of technology in removable media.

As personal computer technologies have become more commonplace, many of the components have been integrated into other
devices that previously were purely mechanical. We have also seen an evolution in what defines a computer. Ever since the invention
of the personal computer, users have clamored for a way to carry them around. Here we will examine several types of devices that
represent the latest trends in personal computing.
2.6: SUMMARY
Gaining an understanding of information systems focusing on consumer devices such as the personal computer, tablet, and Bluetooth.

Test your knowledge of information systems hardware.
1 8/28/2021
2.1: Introduction
Information systems are made up of six components: hardware, software, data, communication, people, and process. In this
chapter, we will review hardware. Hardware is the tangible or physical parts of computing devices to function. We will review
the components of information systems, learn how it works, and discuss some of the current trends.
As stated above, computer hardware encompasses digital devices that you can physically touch. This includes devices such as
the following:
desktop computers
laptop computers
mobile phones
smartphones
smartwatches
tablet computers
e-readers
storage devices, such as flash drives
input devices, such as keyboards, mice, and scanners
output devices such as 3d printers and speakers
Besides these more traditional computer hardware devices, many items that were once not considered digital devices are now
becoming computerized. Digital technologies are now being integrated into many everyday objects, so the days of a device
being labeled categorically as computer hardware may be ending. Examples of these types of digital devices include
automobiles, refrigerators, and even soft-drink dispensers. In this chapter, we will also explore digital devices, beginning with
defining the term.
Digital Devices
A digital device is any equipment containing a computer or microcontroller; included in these devices are smartphones,
watches, and tablets. A digital device processes electronic signals that represent either a one (“on”) or a zero (“off”). The
presence of an electronic signal represents the “ on ” state; the absence of an electronic signal represents the “ off ” state. Each
one or zero is referred to as a bit (a contraction of binary digit); a group of eight bits is a byte. The first personal computers
could process 8 bits of data at once; modern PCs can now process 128 bits of data at a time. The larger the bit, the faster
information can be processed simultaneously.
Sidebar: Understanding Binary

As you know, the system of numbering we are most familiar with is base-ten numbering. In base-ten numbering, each column
in the number represents a power of ten, with the far-right column representing 10^0 (ones), the next column from the right
representing 10^1 (tens), then 10^2 (hundreds), then 10^3 (thousands), etc. For example, the number 1010 in decimal
represents: (1 x 1000) + (0 x 100) + (1 x 10) + (0 x 1).
Computers use the base-two numbering system, also known as binary. In this system, each column in the number represents a
power of two, with the far-right column representing 2^0 (ones), the next column from the right representing 2^1 (tens), then
2^2 (fours), then 2^3 (eights), etc. For example, the number 1010 in binary represents (1 x 8 ) + (0 x 4) + (1 x 2) + (0 x 1). In
base ten, this evaluates to 10.
As digital devices' capacities grew, new terms were developed to identify the capacities of processors, memory, and disk
storage space. Prefixes were applied to the word byte to represent different orders of magnitude. Since these are digital
specifications, the prefixes were originally meant to represent multiples of 1024 (which is 210) but have more recently been
rounded to mean multiples of 1000.
The following table contains a listing of Binary prefixes:
Binary Prefixes and Examples

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Prefix Represents Example
kilo one thousand kilobyte=one thousand bytes
mega one million megabyte=one million bytes

Giga one billion gigabyte=one billion bytes
tera one trillion terabyte=one trillion bytes
Peta one quadrillion petabyte=one quadrillion bytes
exa one quintillion exabyte=one quintillion bytes
Zetta one sextillion zettabytes=one sextillion bytes
yotta one septillion yottabytes=one septillion bytes

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2.2: Tour of a Digital Device
We will begin with the personal computers, which consist of the same basic components:
Motherboard (circuit board)
Central Processing Unit ( CPU)
Random Access Memory (RAM)
Video Card
Power Supply
Hard Drive (HDD)
Solid-State Drive (SSD)
Optical Drive (DVD/CD drive)
Card Reader (SD/SDHC, CF, etc.)
It also turns out that almost every digital device uses the same set of components, so examining the personal computer will
give us insight into the structure of various digital devices. So let’s take a “tour” of a personal computer and see what makes
them function.
Processing Data: The CPU

As stated in the previous section, most computing devices have a similar architecture. The core of this architecture is the
central processing unit or CPU. The CPU can be thought of as the “brain” of the device or main processor. Back in the day, the
CPU was made up of hundreds of wires that carried information.
Figure 2.2.1 : Personal Computer by Green Chameleon on Unsplash is licensed under CC BY-SA 2.0
These wires carried out the commands sent to it by the software and returned results to be acted upon. The earliest CPUs were
large circuit boards with limited functionality. Today, a CPU is generally on one chip and can perform a large variety of
functions. There are two primary manufacturers of CPUs for personal computers: Intel and Advanced Micro Devices (AMD).
The speed (“clock time”) of a CPU regulates the rate of instruction and executes and synchronizes the various computer
components. The faster the clock, the quicker the CPU can execute instruction per second. The clock is measured in hertz. A
hertz is defined as one cycle per second. Using the binary prefixes mentioned above, we can see that a kilohertz (abbreviated
kHz) is one thousand cycles per second, a megahertz (MHz) is one million cycles per second, and a gigahertz (GHz) is one
billion cycles per second. The CPU’s processing power increases at an amazing rate (see the sidebar about Moore’s Law).
Besides a faster clock time, many CPU chips now contain multiple processors per chip.
A multi-core processor is a single integrated circuit that contains multiple chips. These chips are commonly known as cores.
The multi-core runs and reads instructions on the cores at the same time, increasing the speed. A computer with two processors

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is known as dual-core, or quad-core (four processors), increasing the processing power of a computer by providing multiple
CPUs' capability.
When computers are running with multiple cores, additional heat is generated; this is why companies build in fans on top of
the CPU. Macs have built-in a fail-safe that the computer will shut itself down to avoid damage when the temperature builds
too rapidly. Smartphones avail themselves to hot temperatures. As our devices get smaller, we have many parts placed in a
compact area, and in turn, devices will generate more heat. Running many apps on your phone simultaneously is another way
to increase the phone's heat; this is why it is important to close applications after use.
Figure 2.2.2 : (a) Bottom view of an Intel central processing unit Core i7 Skylake type core, model 6700K. LGA 1151 socket,
14 nm process, core frequency 4.00 GHz. Manufactured in Vietnam. Image by Eric Gaba is licensed under CC BY-SA. (b) Top
view of an Intel central processing unit Core i7 Skylake type core, model 6700K. LGA 1151 socket, 14 nm process, core
frequency 4.00 GHz. Manufactured in Vietnam. Image by Eric Gaba is licensed under CC BY-SA
Graphics processing unit (GPU) is an electronic circuit designed to rapidly manipulate and alter memory to accelerate the
creation of images in a frame buffer for output. Devices that use GPUs are personal computers, smartphones, and game
consoles. Nvidia is one of the powerhouse companies that manufacture HD graphics cards. Nvidia has been a leader in GPU’s
chips, one of the most popular chips is the Nvidia GeForce, which is integrated with laptops, PCs, and virtual reality
processors. Nvidia has also worked with many companies expanding its GPU chip market. Some notable companies that
Nvidia works with are Tesla, Quadro, and GRID.
Figure 2.2.3 : NVIDIA GeForce 6800 Ultra & NVIDIA GeForce 7950 GX2. Image by Hyins is licensed under CC PD

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2.3: Sidebar- Moore’s Law
Technology is advancing, and computers are getting faster every year. Consumers often are unsure of buying today’s
smartphone, tablet, or PC model because a more advanced model will be out shortly, leaving them with regret that it won’t be
the most advanced anymore. Gordon Moore, the co-founder of Fairchild and one of Intel's founders, recognized this
phenomenon in 1965, noting that microprocessor transistor counts had been doubling every year. His insight eventually
evolved into Moore’s Law, which states that the number of transistors on a chip will double every two years. (Moore, 1965).
This has been generalized into the concept that computing power will double every two years for the same price point.
Another way of looking at this is to think that the same computing power price will be cut in half every two years. Though
many have predicted its demise, Moore’s Law has held for over fifty-five years. Technology is changing with innovation in
design and AI support. Experts now believe,
“The name of the game now is the technology may not be traditional silicon
transistors; now it may be quantum computing, which is a different structure and
nano-biotechnology, which consists of proteins and enzymes that are organic."
Therefore it is likely in the next five years, the emphasis of Moore’s Law will change. Experts believe that Moore’s law will
not be able to go on indefinitely because of physical limits on shrinking the size of components on a chip continually.
Currently, the billions of transistors on chips are not visible to the naked eye. It is thought that if Moore’s law were to continue
through 2050, engineers would have to design transistors from components that are smaller than a single atom of hydrogen.
Figure 2.3.1 : Moore’s Law over 120 years. Image by Jurvetsonis licensed under CC BY-SA 2.0
This figure represents Moore’s law empirical relationship linked to transistors' number in a dense integrated circuit that
doubles about every two years.
There will be a point, someday, where we hit the apex of processing technology as challenges occur to move forward to shrink
circuits at the time of exponential growth will get more expensive. Moore’s Law will then be outdated due to technology
innovation. Engineers will continue to strive for new ways to increase performance (Moore, 1965).
Motherboard
The motherboard is the main circuit board hub of the computer. The hub connects the inputs and components of the computer.
It also controls the power received by the hard drive and video card. The motherboard is a crucial component, housing the
central processing unit (CPU), memory, and input and output connectors. The CPU, memory, and storage components, among
other things, all connect to the motherboard. Motherboards come in different shapes and sizes; the prices of motherboards also
vary depending on complexity. Complexity depends on how compact or expandable the computer is designed to be. Most
modern motherboards have many integrated components, such as video and sound processing, requiring separate components.

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Figure 2.3.2 : Computer Motherboard by MH Rhee is licensed under CC BY-SA 2.0
Random-Access Memory
When a computer starts up, it begins to load information from the hard disk into its working memory. Your computer's short-
term memory is called random-access memory (RAM), which transfers data much faster than the hard disk. Any program that
you are running on the computer is loaded into RAM for processing. RAM is a high-speed component that stores all the
information the computer needs for current and near-future use. Accessing RAM is much quicker than retrieving it from the
hard drive. For a computer to work effectively, a minimal amount of RAM must be installed. In most cases, adding more RAM
will allow the computer to run faster. Increasing the RAM size, the number of times this access operation is carried out is
reduced, making the computer run faster. Another characteristic of RAM is that it is volatile or temporary memory. This means
that it can store data as long as it receives power; when the computer is turned off, any data stored in RAM is lost. This is why
we need hard drives and SSDs that hold the information when we shut off the system.
RAM is generally installed in a personal computer by using a dual-inline memory module (DIMM). The type of DIMM
accepted into a computer is dependent upon the motherboard. As described by Moore’s Law, the amount of memory and
speeds of DIMMs have increased dramatically over the years.
Hard Disk and Hard Drive

While the RAM is used as working memory, the computer also needs a place to store data for the longer term. Most of today’s
personal computers use a hard disk for long-term data storage. A hard disk is a magnetic material disk; a hard disk drive or
HDD is the device for storing the data into a hard disk. The disk is where data is stored when the computer is turned off and
retrieved from when the computer is turned on. The HDD provides lots of storage at an inexpensive cost compared to the SSD.
Solid-State Drives
SSD is a new generation device replacing hard disks. They are much faster, and they utilize flash-based memory.
Semiconductor chips are used to store data, not magnetic media. An embedded processor (or brain) reads and writes data. The
brain, called a controller, is an important factor in determining the read and write speed. SSD’s are decreasing in price, but
they are expensive. SSD’s have no moving parts, unlike the HDD, which deals with wear and tear of spinning and break down.
Comparison of SSD vs. HDD

The checkmarks represent the best selection in the category.
Comparison of Solid State Drives and Hard Disk Drives
Attribute SSD (Solid State Drive) HDD (Hard Disk Drive)
Less power draw, averages 2 – 3 watts, More power draw-- averages 6 – 7 watts and
Power Draw / Battery Life
resulting in 30+ minute battery boost. therefore uses more battery.
Expensive, roughly $0.20 per gigabyte (based alt Only around $0.03 per gigabyte, very
Cost
on buying a 1TB drive). cheap (buying a 4TB model)
Typically around 500GB and 2TB
Typically not larger than 1TB for notebook
Capacity maximum for notebook size drives; 10TB max
size drives; 4TB max for desktops.
for desktops.

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Attribute SSD (Solid State Drive) HDD (Hard Disk Drive)
Operating System Boot-Time Around 10-13 seconds average bootup time. Around 30-40 seconds average bootup time.
There are no moving parts and, as such, no
Noise Audible clicks and spinning can be heard.
sound.
The spinning of the platters can sometimes
Vibration No vibration as there are no moving parts.
result in vibration.
HDD doesn’t produce much heat, but it will
Lower power draw and no moving parts, so have a measurable amount more heat than an
Heat Produced
little heat is produced. SSD due to moving parts and higher power
draw.
Mean time between failure rate of 2.0 Mean time between failure rate of 1.5 million
Failure Rate
million hours. hours.
Generally above 200 MB/s and up to 550 The range can be anywhere from 50 – 120
File Copy / Write Speed
MB/s for cutting-edge drives. MB/s.
Full Disk Encryption (FDE) Supported on Full Disk Encryption (FDE) Supported on
Encryption
some models. some models.
File Opening Speed Up to 30% faster than HDD. Slower than SSD.
An SSD is safe from any effects of
Magnetism Affected? Magnets can erase data.
magnetism.
Reference
Moore, Gordon E. (1965). "Cramming more components onto integrated circuits" (PDF). Electronics Magazine. p. 4.
Retrieved 2012-10-18.

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2.4: Removable Media
Removable Media
Removable storage has changed greatly over the four decades of PCs. CD-ROM drives have replaced floppy disks, and then
they were replaced by USB (Universal Serial Bus) drives. USB (Universal Serial Bus) drives are now standard on all PCs with
capacities approaching 512 gigabytes. Speeds have also increased from 480 Megabits in USB 2.0 to 10 Gigabits in USB 3.1.
USB devices also use EEPROM technology. Since the USB is a cross-platform technology, it is supported by most operating
systems. This helps connect to other devices such as printers, tv’s external hard drives, and the list goes on. “There are now by
one count six billion USB devices in the world.” (Johnson, 2019)
Figure 2.4.1 : USB Connections. Image by Bruno /Germany is licensed under CC BY-SA 2.0
Network Connection
When personal computers were first developed, they were stand-alone units, which meant that data was brought into the
computer or removed from the computer via removable media, such as the floppy disk. Engineers as early as 1965 saw merit
in being able to connect and share information with other computers. The term used was networking as the connections
increased to multiple users, it grew to inter-networking. The abbreviated version is now called the internet. In the mid-1980s,
organizations began to see the value in connecting computers together via a digital network. Because of this, personal
computers needed the ability to connect to these networks. Initially, this was done by adding an expansion card to the
computer that enabled the network connection. By the mid-1990s, network ports were standard on most personal computers.
The configuration of these ports has evolved over the years, becoming more standardized over time. Today, almost all devices
plug into a computer through the use of a USB port. This port type, first introduced in 1996, has increased in its capabilities,
both in its data transfer rate and power supply.
For a personal computer to be useful, it must have channels for receiving input from the user and channels for delivering
output to the user. These input and output devices connect to the computer via various connection ports, which generally are
part of the motherboard and are accessible outside the computer case. In early personal computers, specific ports were
designed for each type of output device. The configuration of these ports has evolved over the years, becoming more and more
standardized over time. Today, almost all devices plug into a computer through the use of a USB port. This port type, first
introduced in 1996, has increased in its capabilities, both in its data transfer rate and power supplied.
Bluetooth
Besides USB, some input and output devices connect to the computer via a wireless-technology standard called Bluetooth.
Bluetooth was first invented in the 1990s and exchanges data over short distances using radio waves.

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Figure 2.4.2 : Bluetooth by Ranjith Alingal on Unsplash is licensed under CC BY-SA 2.0
Bluetooth generally has a range of 100 to 150 feet. It was not until 1999 that it reached its first general public users. Two
devices communicating with Bluetooth must both have a Bluetooth communication chip installed. Bluetooth devices include
pairing your phone to your car, computer keyboards, speakers, headsets, and home security, to name just a few.
Input Devices
All personal computers need components that allow the user to input data. Early computers used simply a keyboard to allow
the user to enter data or select an item from a menu to run a program. With the advent of the graphical user interface, the
mouse became a standard component of a computer. These two components are still the primary input devices to a personal
computer, though variations of each have been introduced with varying levels of success over the years. For example, many
new devices now use a touch screen as the primary way of entering data. Besides the keyboard and mouse, additional input
devices are becoming more common. Scanners allow users to input documents into a computer, either as images or as text.
Microphones can be used to record audio or give voice commands. Webcams and other video cameras can be used to record
video or participate in a video chat session. The list continues to grow, such as joysticks used for gaming, digital cameras, and
touch screens. Smartwatches are wearable compact computers on the wrist. The watch's functionality is similar to the
smartphone offering mobile apps and WiFi/Bluetooth connectivity. Specialized watches for health and sports enthusiasts have
also emerged, offering counts of steps taken, heart rate, and blood pressure monitoring; a popular brand is Fitbit.
Figure 2.4.3 : (a) Barcode scanner by PublicDomainPictures from Pixabay is licensed under CC BY-SA 2.0 (b) Fitbit. Image
by Andres Urena on Unsplash is licensed under CC BY-SA 2.0 (c) Smartphone. Image by Selwyn van Haaren on Unsplash is
licensed under CC BY-SA 2.0.
Output Devices
Output devices are essential as well. The most obvious output device is a display, visually representing the state of the
computer. In some cases, a personal computer can support multiple displays or be connected to larger-format displays such as
a projector or large-screen television. Besides displays, other output devices include speakers for audio output and printers for
printed output. 3D printers have changed the way we build toys, tools, homes, and even body parts. The process of 3D printing
that differentiates itself from a regular printer is called additive manufacturing.

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Figure 2.4.4 : 3D Printer. Image by Rob Wingate on Unsplash CC BY-SA 2.0
Additive manufacturing breaks down an object and builds it layer by layer, making three-dimensional objects.
The most popular material used is plastic, but other materials can be used, such as gold and bio-material, to make human parts
such as a nose or ear. The 3D printers have proven themselves in many different industries and have offered an inexpensive
route for prototyping.
Sidebar: What Hardware Components Contribute to the Speed of My Computer?

A computer's speed is determined by many elements, some related to hardware and some related to software. In hardware,
speed is improved by giving the electrons shorter distances to traverse to complete a circuit. Since the first CPU was
created in the early 1970s, engineers have constantly worked to figure out how to shrink these circuits and put more and
more circuits onto the same chip. And this work has paid off – the speed of computing devices has been continuously
improving ever since.
The hardware components that contribute to a personal computer's speed are the CPU, the motherboard, RAM, and the
hard disk. In most cases, these items can be replaced with newer, faster components. In the case of RAM, simply adding
more RAM can also speed up the computer.
The table below shows how each of these components contributes to the speed of a computer. Besides upgrading
hardware, many changes can be made to the software to enhance the computer's speed.
How Components Impact the Speed of a Computer
Component Speed measured by Units Description
The time it takes to complete a

circuit.
Memory does affect computer
CPU Clock speed GHz speed. The CPU moves
information from the memory
while retrieving information from
running applications.
How much data can move across
Motherboard Bus speed MHz
the bus simultaneously.
The time it takes for data to be
RAM Data transfer rate MB/s transferred from the memory to
the system.
The time it takes before the disk
Hard Disk Access time ms
can transfer data.
The time it takes for data to be
Router Data transfer rate MBit/s
transferred from disk to system.

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Reference
Johnson, J. (2019). The unlikely origins of USB, the port that changed everything. FastCompany. Retrieved August 6, 2020,
from https://www.fastcompany.com/3060705/an-oral-history-of-the-usb

Wael Abdeljabbar
2.5: Other Computing Devices
A personal computer is designed to be a general-purpose device. That is, it can be used to solve many different types of
problems. As the technologies of the personal computer have become more commonplace, many of the components have been
integrated into other devices that previously were purely mechanical. We have also seen an evolution in what defines a
computer. Ever since the invention of the personal computer, users have clamored for a way to carry them around. Here we
will examine several types of devices that represent the latest trends in personal computing.
Portable Computers
In 1983, Compaq Computer Corporation developed the first commercially successful portable personal computer. By today’s
standards, the Compaq PC was not very portable: weighing in at 28 pounds, this computer was portable only in the most literal
sense – it could be carried around. But this was no laptop; the computer was designed like a suitcase, to be lugged around and
laid on its side to be used. Besides portability, the Compaq was successful because it was fully compatible with the software
being run by the IBM PC, which was the standard for business.
In the years that followed, portable computing continued to improve, giving us laptop and notebook computers. The
“luggable” computer has given way to a much lighter clamshell computer that weighs from 4 to 6 pounds and runs on
batteries. In fact, the most recent advances in technology give us a new class of laptops that is quickly becoming the standard:
these laptops are extremely light and portable and use less power than their larger counterparts. The screens are larger, and the
weight of some can be less than three pounds.
The ACER SWIFT 7 is a good example of this. Its specification is:
CPU: Intel Core i7-7Y75
Graphics: Intel HD Graphics 615
RAM: 8GB
Screen: 14-inch Full HD
Storage: 256GB SSD
Weight: 1.179 kg (2.6 pounds)
This is simply amazing!
Finally, as more and more organizations and individuals are moving much of their computing to the Internet or cloud, laptops
are being developed that use “the cloud” for all of their data and application storage. These laptops are also extremely light
because they have no need for a hard disk at all! A good example of this type of laptop (sometimes called a netbook) is
Samsung’s Chromebook.
Smartphones
The first modern-day mobile phone was invented in 1973. Resembling a brick and weighing in at two pounds, it was priced
out of reach for most consumers at nearly four thousand dollars. Since then, mobile phones have become smaller and less
expensive; today, mobile phones are a modern convenience available to all levels of society. As mobile phones evolved, they
became more like small walking computers. These smartphones have many of the same characteristics as a personal computer,
such as an operating system and memory. The first smartphone was the IBM Simon, introduced in 1994.

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Figure 2.5.1 : Smartphone. Image by Syaibatul Hamdi from Pixabay is licensed under CC BY-SA 2.0
In January of 2007, Apple introduced the iPhone. Its ease of use and intuitive interface made it an immediate success and
solidified the future of smartphones. Running on an operating system called iOS, the iPhone was really a small computer with
a touch-screen interface. In 2008, the first Android phone was released, with similar functionality.
Consider the following data regarding mobile computing :
There are 4.57 billion global mobile Internet users as of April 2020. (Statista, 2020)
It is expected by 2024, approximately 187.5 million U.S. users will have made at least one purchase via a web browser or
mobile app on their mobile device.(Clement, 2020)
In 2020, U.S. mobile retail revenues were expected to amount to 339.03 billion U.S. dollars.(Clement, 2019)
The average order value for online orders placed on Smartphones in the second quarter of 2019 is $86.47, while the
average order value for orders placed on Tablets is $96.88.(Clement, 2020)
As of 2020, there are 4.5 billion active social media users in the world; As of July 2019, there were an estimated 3.46
billion actively using their mobile devices for social media-related activities. (Clement, 2020)
90 percent of the time spent on mobile devices is spent on apps. (Saccomani, 2019)
Mobile traffic is responsible for 51.9 percent of Internet traffic in the first quarter of 2020 — compared to 50.3 percent
from 2017. (Clement, 2020)
While the total percentage of mobile traffic is more than desktop, engagement on the desktop is 46.51 percent in 2020.
(Petrov, 2020)
2020, mobile traffic is at 51.3, and desktop engagement is at 48.7 percent over the years, users are moving away from the
desktop. (Broadband Search, 2020)
Tablet Computers
The tablet is larger than a smartphone and smaller than a notebook. A tablet uses a touch screen as its primary input and is
small enough and light enough to be easily transported. They generally have no keyboard and are self-contained inside a
rectangular case. Apple set the standard for tablet computing with the introduction of the iPad in 2010 using iOS, the operating
system of the iPhone. After the success of the iPad, computer manufacturers began to develop new tablets that utilized
operating systems that were designed for mobile devices, such as Android.
Global market share for tablets has changed since the early days of Apple’s dominance. Today the iPad has about 58.66%,
Samsung at 21.73%, and Amazon at 5.55% as of June 2020 (Statistica: E-commerce, 2020). The market popularity of the
tablet has been steadily declining in recent years.
Integrated Computing and Internet of Things (IoT)

Along with advances in computers themselves, computing technology is being integrated into many everyday products such as
security systems, thermostats, refrigerators, airplanes, cars, electronic appliances, lights in the household, alarm clocks,
speaker systems, vending machines, and commercial environments, just to name a few. Integrated computing technology has
enhanced the capabilities of these devices and adds capabilities into our everyday lives, thanks in part to IoT.
These three short videos highlight some of the latest ways computing technologies are being integrated into everyday products
through the Internet of Things (IoT):

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The video is about the internet of things.: The Internet of Things [video file: 3:21 minutes] Closed Captioned
This video is about how to update your home to a smart home.: How to start a Smart Home in 2020 [video file: 2:01
minutes] Closed Captioned
This video takes you for a drive in Tesla’s autopilot mode.: How Tesla’sAuto-pilot Mode Work [video file: 10:04 minutes]
Closed Captioned
The Commoditization of the Personal Computer

Since the late 1970’s the personal computer has gone from a technical marvel to part of our everyday lives; it has also become
a commodity. The PC has become a commodity in the sense that there is very little differentiation between computers, and the
primary factor that controls their sale is their price. Hundreds of manufacturers all over the world now create parts for personal
computers. Dozens of companies buy these parts and assemble the computers. As commodities, there are essentially no
differences between computers made by these different companies. Profit margins for personal computers are razor-thin,
leading hardware developers to find the lowest-cost manufacturing.
Apple has differentiated itself from the pack and achieved a competitive advantage in a challenging market. The cost of their
product is significantly higher, but you are buying a high-quality product and design. Apple designs both the hardware as well
as their software in-house. The hardware and software design of the Mac works seamlessly with its other products such as the
iPhone and iPad. The engineers at Apple are constantly updating software apps and updating hardware in order to remain a
leader in the PC world.
This is an interesting article on the newest innovation for smartphones (Stuff, 2020).
Smartphone shipments are forecasted from 2010 to 2023 to grow from 304.7M units in 2010 to an estimate of 1.484 billion
units in 2023 (Statista, 2019).
The Problem of Electronic Waste

Personal computers have become a common fixture in households since the early eighties. The average life span of many of
these devices is between three to five years. Recycling has become a hot subject for companies who want to be viewed by
consumers as Green companies. Consumers are demanding companies make a commitment to the environment. Worldwide,
almost 45 million tons of electronics were tossed out in 2016. Out of that staggering amount of electronic waste, only 20% has
been recycled in some shape or form. The remaining 80% made its way to a more environmentally damaging end at the
landfill. Mobile phones are now available in even the remotest parts of the world and, after a few years of use, they are
discarded. Where does this electronic debris end up?
Figure 2.5.2 : Electronic Waste. Image by George Hotelling from Flicker is licensed under CC BY-SA 2.0
Many developing nations accept this e-waste. Abroad, these recyclers re-purpose parts and extract minerals, gold, and cobalt
from these devices. These dumps have become health hazards for those living near them.
Proper safe practices are ignored, and whatever waste is not usable is dumped improperly. Consumers are trying to change this
common practice by demanding companies be transparent as to how they are addressing e-waste. Though many manufacturers
have made strides in using materials that can be recycled, electronic waste is a problem with which we must all deal with.
In 2006 the Green Electronics Council launched the Electronic Product Environmental Assessment Tool (EPEAT). This tool
helps purchasers of electronics to evaluate the effect of products on the environment. They give a ranking of how companies

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are doing in gold, silver, and bronze levels. When the first began, three manufactures of PC and electronic equipment
manufactures participated with 60 products. The US government in 2007 then created the U.S. Federal Acquisition
Regulations (FAR), requiring federal agencies to make purchases based on EPEAT status. In 2015 EPEAT added in Imaging
Equipment and Television categories. Today many large companies are using EPEAT standards such as Amazon and Apple.
EPEAT systems are widely accepted, and over 43 countries are participating, and the number continues to grow.
References
Broadband Search (2020). Mobile Vs. Desktop Internet Usage. Retrieved September 1, 2020, from
https://www.broadbandsearch.net/blog/mobile-desktop-internet-usage-statistics
Statista (2019). Mobile share of website visits worldwide 2018. Retrieved September 1, 2020, from
https://www.statista.com/statistics/241462/global-mobile-phone-website-traffic-share
Clement, J. (2020, July 16). U.S. mobile buyers 2020. Retrieved September 1, 2020, from
https://www.statista.com/statistics/241471/number-of-mobile-buyers-in-the-us
Coldfusion. (2015). How Tesla’sAuto-pilot Mode Works. Youtube. [video file: 10:04 minutes] Closed Captioned
Edureka! (2020). The Internet of Things. Youtube. [video file: 3:21 minutes] Closed Captioned
Petrov, C. (2020, August 11). 55+ Mobile Vs. Desktop Usage Stats You Should Know in 2020. Retrieved September 1, 2020,
from https://techjury.net/blog/mobile-vs-desktop-usage/
Six Months later reviews. (2020). How to start a Smart Home in 2020. Youtube. [video file: 2:01 minutes] Closed Captioned
Statista (2020). Key Figures in E-Commerce. Retrieved September 1, 2020, from https://www.statista.com/search/?
q=+Key+Figures+of+E-Commerce&qKat=search
Striapunina, K. (2020, June 08). E-commerce revenue in China 2017-2024. Retrieved September 1, 2020, from
https://www.statista.com/forecasts/246041/e-commerce-revenue-forecast-in-china

Wael Abdeljabbar
2.6: Summary
Summary
Information systems hardware consists of the components of digital technology that you can touch. In this chapter, we focused
on the personal computer and its components. We reviewed the personal computer configuration because it has many of the
same attributes as other digital computing devices. A personal computer comprises many components, most importantly the
CPU, motherboard, RAM, hard disk, removable media, and input/output devices. We also reviewed some personal computer
variations, such as the tablet computer, Bluetooth, and the smartphone. By Moore’s Law, these technologies have improved
quickly over the years, making today’s computing devices much more powerful than devices just a few years ago. Finally, we
discussed two of the consequences of this evolution: the commoditization of the personal computer and the problem of
electronic waste.

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Study Questions
1. Write your own description of what the term information systems hardware means.
2. Explain why Moore’s Law may not be a valid theory in the next five years.
3. Write a summary of one of the items linked to in the “Integrated Computing” section.
4. Explain why the personal computer is now considered a commodity.
5. What is the difference between a USB and a USB portal, and what was the reason for the need?.
6. List the following in increasing order (slowest to fastest): megahertz, kilohertz, gigahertz.
7. What are the differences between HDD and SSD?
8. Why are desktops declining in popularity?.
9. What is IoT?
10. Why is Apple a leader in the computer industry?
Exercises
1. Review the sidebar on the binary number system. How would you represent the number 16 in binary? How about the
number 100? Besides decimal and binary, other number bases are used in computing and programming. One of the most
used bases is hexadecimal, which is base-16. In base-16, the numerals 0 through 9 are supplemented with the letters A (10)
through F (15). How would you represent the decimal number 100 in hexadecimal?
2. Go to Old-Computer.com - Pick one computer from the listing and write a brief summary. Include the specifications for
CPU, memory, and screen size. Now find the specifications of a computer being offered for sale today and compare. Did
Moore’s Law hold?
3. Under the category of IoT, pick two products and explain how IoT has changed the product. Review the price before and
after the technology was introduced. Has this new technology increased popularity for the item?.
4. Go on the web and compare and contrast two smartphones on the market. Is one better than the other, and if so, why. Be
sure to include the price.
5. Review the e-waste policies in your area. Do you feel they are helping or ignoring this growing crisis?
6. Now find at least two more scholarly articles on this topic. Prepare a PowerPoint of at least 10 slides that summarize the
issue and recommend a possible solution based on your research.
7. As with any technology text, there have been advances in technologies since publication. What technology that has been
developed recently would you add to this chapter?
8. What is the current state of solid-state drives vs. hard disks? Describe the ideal user for each. Do original research online
where you can compare prices on solid-state drives and hard disks. Be sure you note the differences in price, capacity, and
speed.

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CHAPTER OVERVIEW
3: SOFTWARE
Software and hardware cannot function without each other. Without software, hardware is useless.
Without hardware, software has no hardware to run on. In this chapter, we discuss the types of
software, their purpose, and how they support different hardware devices, individuals, groups, and
organizations.

Discuss the second of the six components of an information system: software.

This section covers the different types of software: System software and application.

Introduction to Cloud computing and virtualization.

Discuss software creation and programming languages.
3.5: SUMMARY
List study and exercises.
1 8/28/2021
3.1: Introduction to Software
The second component of an information system is software. Software is the means to take a user’s data and process it to
perform its intended action. Software translates what users want to do into a set of instructions that tell the hardware what to
do. A set of instructions is also called a computer program. For example, when a user presses the letter ‘A” key on the
keyboard when using a word processing app, it is the word processing software that tells the hardware that the user pressed the
key ‘A’ on the keyboard and fetches the image of the letter A to display on the screen as feedback to the user that the user’s
data is received correctly.
Software is created through the process of programming. We will cover the creation of software in this chapter and more detail
in chapter 10. In essence, hardware is the machine, and software is the intelligence that tells the hardware what to do. Without
software, the hardware would not be functional.

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3.2: Types of Software
The software component can be broadly divided into two categories: system software and application software.
The system software is a collection of computer programs that provide a software platform for other software programs. It also
insulates the hardware's specifics from the applications and users as much as possible by managing the hardware and the
networks. It consists of
1. Operating System
2. Utilities
Application software is a computer program that delivers a specific activity for the users (i.e., create a document, draw a
picture). It can be for either
1. a general-purpose (i.e., Microsoft Word, Google doc) or
2. for a particular purpose (i.e., weather forecast, CAD engineering)
Figure 3.2.1 : Overview of software types. Image by Ly-Huong Pham is licensed under CC BY-NC
System Software
Operating Systems
The operating system provides several essential functions, including:
1. Managing the hardware resources of the computer
2. Providing the user-interface components
3. Providing a platform for software developers to write applications.
An operating system (OS) is a key component of the system software. Examples of popular operating systems are Google
AndroidTM, Microsoft WindowsTM, and Apple iOSTM.
An OS is a set of programs that coordinate hardware components and other programs and acts as an interface with application
software and networks. Some examples include getting input from a keyboard device, displaying output to a screen, storing or
retrieving data from a disk drive.

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Figure 3.2.2 : Operating System Role. Image by Ly-Huong T. Pham is licensed by CC BY NC
The above picture shows the operating system at the center; it accepts input from various input devices such as a mouse, a
keyboard, a digital pen, or a speech recognition, outputs to various output devices such as screen monitor or a printer; acts an
intermediary between applications and apps, and access the internet via network devices such as a router or a web server.
In 1984, Apple introduced the Macintosh computer, featuring an operating system with a graphical user interface, now known
as macOS. Apple has different names for its OS running on different devices such as iOS, iPadOS, watchOS, and tvOS.
In 1986, as a response to Apple, Microsoft introduced the Microsoft Windows Operating Systems, commonly known as
Windows, as a new graphical user interface for their then command-based operating system, known as MS-DOS, which was
developed for IBM’s Disk Operating System or IBM-DOS. By the 1990s, Windows dominated the desktop personal
computers market as the top OS and overtaken Apple’s OS.
Figure 3.2.3 : Tux, Linux’s Mascot. Image by [email protected] Larry Ewing and The GIMP is licensed under Creative
Commons CC0 1.0 Universal Public Domain Dedication
A third personal-computer operating system family that is gaining in popularity is Linux. Linux is a version of the Unix
operating system that runs on a personal computer. Unix is an operating system used primarily by scientists and engineers on
larger minicomputers. These computers, however, are costly, and software developer Linus Torvalds wanted to find a way to
make Unix run on less expensive personal computers: Linux was the result. Linux has many variations and now powers a large
percentage of web servers in the world. It is also an example of open-source software, a topic we will cover later in this
chapter.
In 2007, Google introduced Android to support mobile devices such as smartphones and tablets specifically. It is based on the
Linux kernel, and a consortium of developers developed other open-source software. Android quickly became the top OS for
mobile devices and overtook Microsoft.
Operating systems have continuously improved with more and more features to increase speed and performance to process
more data at once and access more memory. Features such as multitasking, virtual memory, and voice input have become
standard features of both operating systems.

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All computing devices run an operating system, as shown in the below table. The most popular operating systems are
Microsoft’s Windows, Apple’s operating system, and different Linux versions for personal computers. Smartphones and
tablets run operating systems as well, such as Apple’s iOS and Google’s Android.
Computing devices and Operating system
Operating Systems Desktop Mobile
Microsoft Windows Windows 10 Windows 10
Apple OS Mac OS iOS

Various versions of Linux Ubuntu Android (Google)
According to netmarketshare.com (2020), from August 2019 to August 2020, Windows still retains the desktop's dominant
position with over 87% market share. Still, it is losing in the mobile market share, to Android with over 70% market share,
followed by Apple’s iOS with over 28% market share.
Sidebar: Why Is Microsoft Software So Dominant in the Business World?

As we learned in chapter 1, almost all businesses used IBM mainframe computers back in the 1960s and 1970s. These
same businesses shied away from personal computers until IBM released the PC in 1981. Initially, business decisions
were low-risk decisions since IBM was dominant, a safe choice. Another reason might be that once a business selects an
operating system as the standard solution, it will invest in additional software, hardware, and services built for this OS.
The switching cost to another OS becomes a hurdle both financially and for the workforce to be retrained.
Utility
Utility software includes software that is specific-purposed and focused on keeping the infrastructure healthy. Examples
include antivirus software to scan and stop computer viruses and disk defragmentation software to optimize files' storage. Over
time, some of the popular utilities were absorbed as features of an operating system.
Application or App Software

The second major category of software is application software. While system software focuses on running the computers,
application software allows the end-user to accomplish some goals or purposes. Examples include word processing, photo
editor, spreadsheet, or a browser. Applications software are grouped in many categories, including:
Killer app
Productivity
Enterprise
Mobile
The “Killer” App

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Figure 3.2.4 :VisiCalc. Image by Gortu is licensed under Public Domain
When a new type of digital device is invented, there are generally a small group of technology enthusiasts who will purchase it
just for the joy of figuring out how it works. A “killer” application runs only on one OS platform and becomes so essential that
many people will buy a device on that OS platform just to run that application. For the personal computer, the killer
application was the spreadsheet. In 1979, VisiCalc, the first personal-computer spreadsheet package, was introduced. It was an
immediate hit and drove sales of the Apple II. It also solidified the value of the personal computer beyond the relatively small
circle of technology geeks. When the IBM PC was released, another spreadsheet program, Lotus 1-2-3, was the killer app for
business users. Today, Microsoft Excel dominates as the spreadsheet program, running on all the popular operating systems.
Productivity Software
Along with the spreadsheet, several other software applications have become standard tools for the workplace. These
applications, called productivity software, allow office employees to complete their daily work. Many times, these applications
come packaged together, such as in Microsoft’s Office suite. Here is a list of these applications and their basic functions:
Word processing: This class of software provides for the creation of written documents. Functions include the ability to
type and edit text, format fonts and paragraphs, and add, move, and delete text throughout the document. Most modern
word-processing programs also have the ability to add tables, images, voice, videos, and various layout and formatting
features to the document. Word processors save their documents as electronic files in a variety of formats. The most
popular word-processing package is Microsoft Word, which saves its files in the Docx format. This format can be
read/written by many other word-processor packages or converted to other formats such as Adobe’s PDF.
Spreadsheet: This class of software provides a way to do numeric calculations and analysis. The working area is divided
into rows and columns, where users can enter numbers, text, or formulas. The formulas make a spreadsheet powerful,
allowing the user to develop complex calculations that can change based on the numbers entered. Most spreadsheets also
include the ability to create charts based on the data entered. The most popular spreadsheet package is Microsoft Excel,
which saves its files in the XLSX format. Just as with word processors, many other spreadsheet packages can read and
write to this file format.
Presentation: This software class provides for the creation of slideshow presentations that can be shared, printed, or
projected on a screen. Users can add text, images, audio, video, and other media elements to the slides. Microsoft’s
PowerPoint remains the most popular software, saving its files in PPTX format.
Office Suite: Microsoft popularized the idea of the office-software productivity bundle with their release of Microsoft
Office. Some office suites include other types of software. For example, Microsoft Office includes Outlook, its e-mail
package, and OneNote, an information-gathering collaboration tool. The professional version of Office also includes
Microsoft Access, a database package. (Databases are covered more in chapter 4.) This package continues to dominate the
market, and most businesses expect employees to know how to use this software. However, many competitors to Microsoft
Office exist and are compatible with Microsoft's file formats (see table below). Microsoft now has a cloud-based version

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called Microsoft Office 365. Similar to Google Drive, this suite allows users to edit and share documents online utilizing
cloud-computing technology. Cloud computing will be discussed later in this chapter.
Figure 3.2.5 : Comparison of office application software suites. Image by David Bourgeois, Ph.D. is licensed under CC BY 4.0
Sidebar: “PowerPointed” to Death

As presentation software, specifically Microsoft PowerPoint, has gained acceptance as the primary method to formally
present information in a business setting, the art of giving an engaging presentation is becoming rare. Many presenters
now just read the bullet points in the presentation and immediately bore those in attendance who can already read it for
themselves.
The real problem is not with PowerPoint as much as it is with the person creating and presenting. The book Presentation
Zen by Garr Reynolds is highly recommended to anyone who wants to improve their presentation skills.
New opportunities have been presented to make presentation software more effective. One such example is Prezi. Prezi is
a presentation tool that uses a single canvas for the presentation, allowing presenters to place text, images, and other
media on the canvas and then navigate between these objects as they present.
Enterprise Software
As the personal computer proliferated inside organizations, control over the information generated by the organization began
splintering. For example, the customer service department creates a customer database to track calls and problem reports. The
sales department also creates a database to keep track of customer information. Which one should be used as the master list of
customers? As another example, someone in sales might create a spreadsheet to calculate sales revenue, while someone in
finance creates a different one that meets their department's needs. However, the two spreadsheets will likely come up with
different totals for revenue. Which one is correct? And who is managing all this information? This type of example presents
challenges to management to make effective decisions.
Enterprise Resource Planning
In the 1990s, the need to bring the organization’s information back under centralized control became more apparent. The
enterprise resource planning (ERP) system (sometimes just called enterprise software) was developed to bring together an
entire organization in one software application. Key characteristics of an ERP include:
An integrated set of modules: Each module serves different functions in an organization, such as Marketing, Sales,
Manufacturing.
A consistent user interface: An ERP is a software application that provides a common interface across all modules of the
ERP and is used by an organization’s employees to access information
A common database: All users of the ERP edit and save their information from the data source. This means that there is
only one customer database, there is only one calculation for revenue, etc.
Integrated business processes: All users must follow the same business rules and process throughout the entire
organization”: ERP systems include functionality that covers all of the essential components of a business, such as how
organizations track cash, invoices, purchases, payroll, product development, supply chain.

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Figure 3.2.6 : ERP Modules. Image by Shing Hin Yeung is licensed under CC-BY-SA
ERP systems were originally marketed to large corporations, given that they are costly. However, as more and more large
companies began installing them, ERP vendors began targeting mid-sized and even smaller businesses. Some of the more
well-known ERP systems include those from SAP, Oracle, and Microsoft.
To effectively implement an ERP system in an organization, the organization must be ready to make a full commitment,
including the cost to train employees as part of the implementation.
All aspects of the organization are affected as old systems are replaced by the ERP system. In general, implementing an ERP
system can take two to three years and several million dollars.
So why implement an ERP system? If done properly, an ERP system can bring an organization a good return on its investment.
By consolidating information systems across the enterprise and using the software to enforce best practices, most organizations
see an overall improvement after implementing an ERP. Business processes as a form of competitive advantage will be
covered in chapter 9.
Customer Relationship Management
A customer relationship management (CRM) system is a software application designed to manage customer interactions,
including customer service, marketing, and sales. It collects all data about the customers. The objectives of a CRM are:
Personalize customer relationship to increase customer loyalty
Improve communication
Anticipate needs to retain existing or acquire new customers
Some ERP software systems include CRM modules. An example of a well-known CRM package in Salesforce

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Figure 3.2.7 : Components in the different types of CRM. Image by Bgrigorov is licensed under CC-BY-SA
Supply Chain Management

Many organizations must deal with the complex task of managing their supply chains. At its simplest, a supply chain is a
linkage between an organization’s suppliers, its manufacturing facilities, and its products' distributors. Each link in the chain
has a multiplying effect on the complexity of the process. For example, if there are two suppliers, one manufacturing facility,
and two distributors, then there are 2 x 1 x 2 = 4 links to handle. However, if you add two more suppliers, another
manufacturing facility, and two more distributors, then you have 4 x 2 x 4 = 32 links to manage.

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Figure 3.2.8 : A supply and demand network. Image by Andreas Wieland is licensed under CC-BY-SA 3.0
A supply chain management (SCM) system manages the interconnection between these links and the products' inventory in
their various development stages. The Association provides a full definition of a supply chain management system for
Operations Management: “The design, planning, execution, control, and monitoring of supply chain activities to create net
value, building a competitive infrastructure, leveraging worldwide logistics, synchronizing supply with demand, and
measuring performance globally.” 2 Most ERP systems include a supply chain management module.
Mobile Software
A mobile application, commonly called a mobile app, is a software application programmed to run specifically on a mobile
device such as smartphones and tablets.
As we saw in chapter 2, smartphones and tablets are becoming a dominant form of computing, with many more smartphones
being sold than personal computers. This means that organizations will have to get smart about developing software on mobile
devices to stay relevant. With the rise of mobile devices' adoption, the number of apps is exploding in the millions
(Forbes.com, 2020), and there is an app for just about anything a user is looking to do. Examples include apps as a flashlight, a
step counter, a plant identifier, and games.
We will discuss the question of building a mobile app in Chapter 10.
References
There Are Now 8.9 Million Mobile Apps, And China Is 40% Of Mobile App Spending (2020, Feb 28). Retrieved September
4, 2020, from https://www.forbes.com/

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3.3: Cloud Computing
Historically, for software to run on a computer, an individual copy of the software had to be installed on the computer, either
from a disk or, more recently, after being downloaded from the Internet. The concept of “cloud” computing changes this
model.
“The cloud” refers to applications, services, and data stored in data centers, server farms, and storage servers and accessed by
users via the Internet. In most cases, the users don’t know where their data is actually stored. Individuals and organizations use
cloud computing.
You probably already use cloud computing in some forms. For example, if you access your email via your web browser, you
are using a form of cloud computing. If you use Google Drive’s applications, you are using cloud computing. Simultaneously,
these are free versions of cloud computing, big business in providing applications and data storage over the web. Commercial
and large applications can also exist on the cloud, such as the entire suite of CRM from Salesforce is offered via the cloud.
Cloud computing is not limited to web applications: it can also be used for phone or video streaming services.
Advantages of Cloud Computing

No software to install or upgrades to maintain.
Available from any computer that has access to the Internet.
Can scale to a large number of users easily.
New applications can be up and running very quickly.
Services can be leased for a limited time on an as-needed basis.
Your information is not lost if your hard disk crashes or your laptop is stolen.
You are not limited by the available memory or disk space on your computer.
Disadvantages of Cloud Computing

Your information is stored on someone else’s computer
You must have Internet access to use it. If you do not have access, you’re out of luck.
You are relying on a third party to provide these services.
You don’t know how your data is protected from theft or sold by your own cloud service provider.
Cloud computing can greatly impact how organizations manage technology. For example, why is an IT department needed to
purchase, configure, and manage personal computers and software when all that is really needed is an Internet connection?
Using a Private Cloud

Many organizations are understandably nervous about giving up control of their data and applications using cloud computing.
But they also see the value in reducing the need for installing software and adding disk storage to local computers. A solution
to this problem lies in the concept of a private cloud. While there are various private cloud models, the basic idea is for the
cloud service provider to rent a specific portion of their server space exclusive to a specific organization. The organization has
full control over that server space while still gaining some of the benefits of cloud computing.
Virtualization
One technology that is utilized extensively as part of cloud computing is “virtualization.” Virtualization is using software to
create a virtual machine that simulates a computer with an operating system. For example, using virtualization, a single
computer that runs Microsoft Windows can host a virtual machine that looks like a computer with a specific Linux-based OS.
This ability maximizes the use of available resources on a single machine. Companies such as EMC provide virtualization
software that allows cloud service providers to provision web servers to their clients quickly and efficiently. Organizations are
also implementing virtualization to reduce the number of servers needed to provide the necessary services. For more detail on
how virtualization works, see this informational page from VMWare.

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3.4: Software Creation
We just discussed different types of software and now can ask: How is software created? If the software is the set of
instructions that tells the hardware what to do, how are these instructions written? If a computer reads everything as one and
zero, do we have to learn how to write software that way? Thankfully, another software type is written, especially for software
developers to write system software and applications - called programming languages. The people who can program are called
computer programmers or software developers.
Analogous to a human language, a programming language consists of keywords, comments, symbols, and grammatical rules to
construct statements as valid instructions understandable by the computer to perform certain tasks. Using this language, a
programmer writes a program (called the source code). Another software then processes the source code to convert the
programming statements to a machine-readable form, the ones, and zeroes necessary to execute the CPU. This conversion
process is often known as compiling, and the software is called the compiler. Most of the time, programming is done inside a
programming environment; when you purchase a copy of Visual Studio from Microsoft; It provides the developers with an
editor to write the source code, a compiler, and help for many of Microsoft’s programming languages. Examples of well-
known programming languages today include Java, PHP, and C's various flavors (Visual C, C++, C#.)
Figure 3.4.1 : Convert a computer program to an executable. Image by Ly-Huong T. Pham is licensed under CC-BY-NC
Thousands of programming languages have been created since the first programming language in 1883 by a woman named
Ada Lovelace. One of the earlier English-like languages called COBOL has been in use since the 1950s to the present time in
services that we still use today, such as payroll, reservation systems. The C programming language was introduced in the
1970s and remained a top popular choice. Some new languages such as C#, Swift are gaining momentum as well.
Programmers select the best-matched language with the problem to be solved for a particular OS platform. For example,
languages such as HTML and JavaScript are used to develop web pages.
It is hard to determine which language is the most popular since it varies. However, according to TIOBE Index, one of the
companies that rank the popularity of the programming languages monthly, the top five in August 2020 are C, Java, Python,
C++, and C# (2020). For more information on this methodology, please visit the TIOBE definition page. For those who wish
to learn more about programming, Python is a good first language to learn because not only is it a modern language for web
development, it is simple to learn and covers many fundamental concepts of programming that apply to other languages.
One person can write some programs. However, most software programs are written by many developers. For example, it
takes hundreds of software engineers to write Microsoft Windows or Excel. To ensure teams can deliver timely and quality
software with the least amount of errors, also known as bugs, formal project management methodologies are used, a topic that
we will discuss in chapter 10.
Open-Source vs. Closed-Source Software

When the personal computer was first released, computer enthusiasts immediately banded together to build applications and
solve problems. These computer enthusiasts were happy to share any programs they built and solutions to problems they
found; this collaboration enabled them to innovate more quickly and fix problems.
As software began to become a business, however, this idea of sharing everything fell out of favor for some. When a software
program takes hundreds of hours to develop, it is understandable that the programmers do not want to give it away. This led to
a new business model of restrictive software licensing, which required payment for software to the owner, a model that is still

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dominant today. This model is sometimes referred to as closed source, as the source code remains private property and is not
made available to others. Microsoft Windows, Excel, Apple iOS are examples of closed source software.
There are many, however, who feel that software should not be restricted. Like those early hobbyists in the 1970s, they feel
that innovation and progress can be made much more rapidly if we share what we learn. In the 1990s, with Internet access
connecting more and more people, the open-source movement gained steam.
Open-source software is software that has the source code available for anyone to copy and use. For non-programmers, it
won’t be of much use unless the compiled format is also made available for users to use. However, for programmers, the open-
source movement has led to developing some of the world's most-used software, including the Firefox browser, the Linux
operating system, and the Apache webserver.
Some people are concerned that open-source software can be vulnerable to security risks since the source code is available.
Others counter that because the source code is freely available, many programmers have contributed to open-source software
projects, making the code less buggy and adding features, and fixing bugs much faster than closed-source software.
Many businesses are wary of open-source software precisely because the code is available for anyone to see. They feel that
this increases the risk of an attack. Others counter that this openness decreases the risk because the code is exposed to
thousands of programmers who can incorporate code changes to patch vulnerabilities quickly.
In summary, some benefits of the open-source model are:
The software is available for free.
The software source code is available; it can be examined and reviewed before it is installed.
The large community of programmers who work on open-source projects leads to quick bug-fixing and feature additions.
Some benefits of the closed-source model are:
Providing a financial incentive for software developers or companies
Technical support from the company that developed the software.
Today there are thousands of open-source software applications available for download. An example of open-source
productivity software is Open Office Suite. One good place to search for open-source software is sourceforge.net, where
thousands of software applications are available for free download.
Software Licenses
The companies or developers own the software they create. The software is protected by law either through patents, copyright,
or licenses. It is up to the software owners to grant their users the right to use the software through the terms of the licenses.
For closed-source vendors, the terms vary depending on the price the users are willing to pay. Examples include single user,
single installation, multi-users, multi-installations, per network, or machine.
They have specific permission levels for open-source vendors to grant using the source code and set the modified version
conditions. Examples include free to distribute, remix, adapt for non-commercial use but with the condition that the newly
revised source code must also be licensed under identical terms. While open-source vendors don’t make money by charging
for their software, they generate revenues through donations or selling technical support or related services. For example,
Wikipedia is a widely popular and online free-content encyclopedia used by millions of users. Yet, it relies mainly on
donations to sustain its staff and infrastructure.
Reference
TIOBE Index for August 2020. Retrieved September 4, 2020, from https://www.tiobe.com

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3.5: Summary
The software gives the instructions that tell the hardware what to do. There are two basic categories of software: operating
systems and applications. Operating systems provide access to the computer hardware and make system resources available.
Application software is designed to meet a specific goal. Productivity software is a subset of application software that provides
basic business functionality to a personal computer: word processing, spreadsheets, and presentations. An ERP system is a
software application with a centralized database that is implemented across the entire organization. Cloud computing is a
software delivery method that runs on any computer with a web browser and access to the Internet. Software is developed
through a process called programming, in which a programmer uses a programming language to put together the logic needed
to create the program. The software can be an open-source or a closed-source model, and users or developers are granted
different licensing terms.

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Study Questions
1. Give your own definition of software. Explain the key terms in your definition.
2. Identify the key functions of the operating system
3. Match which of the following are operating systems and which are applications: Microsoft Excel, Google Chrome, iTunes,
Windows, Android, Angry Birds.
4. List your favorite software application and explain what tasks it helps you accomplish
5. Explain what is a “killer” app and identify the killer app for the PC
6. List at least three basic categories of mobile apps and give an example of each.
7. Explain what an ERP system does.
8. Explain the difference between open-source software and closed-source software. Give an example of each.
9. Describe what a software license is.
10. Explain the process of creating a software program.
Exercises
1. Go online and find a case study about the implementation of an ERP system. Was it successful? How long did it take?
Does the case study tell you how much money the organization spent?
2. What ERP system does your university or place of employment use? Find out which one they use and see how it compares
to other ERP systems.
3. If you were running a small business with limited funds for information technology, would you consider using cloud
computing? Find some web-based resources that support your decision.
4. Download and install Open Office. Use it to create a document or spreadsheet. How does it compare to Microsoft Office?
Does the fact that you got it for free make it feel less valuable?
5. Go to sourceforge.net and review their most downloaded software applications. Report back on the variety of applications
you find. Then pick one that interests you and report back on what it does, the kind of technical support offered, and the
user reviews.
6. Go online to research the security risks of open-source software. Write a short analysis giving your opinion on the different
risks discussed.
7. What are three examples of programming languages? What makes each of these languages useful to programmers?

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CHAPTER OVERVIEW
This chapter explores how organizations use information systems to turn data into information and
knowledge to be used for competitive advantage. We will discuss how different types of data are
captured and managed, different types of databases, and how individuals and organizations use them.

Discuss advantages and disadvantages of qualitative and quantitative data.

The goal of the database is to organize a related collection of information in a meaningful way.

Making use of Structured Query Language (SQL.)

Designing a normalized database.

Discuss the difference between a spreadsheet and a database.
4.6: BIG DATA

Discuss big data to know your customers.
4.7: DATA WAREHOUSE

The use and benefits of data warehousing.
4.8: DATA MINING

Data mining helps companies analysis trends, products, and customer interest.

Companies of all sizes using database management systems.

Enterprise databases help thousands of users at one time.

Capturing insight and experience using knowledge management in a company.

The many uses of structured and unstructured data.
4.13: SUMMARY
Creating and managing databases.

Test your knowledge on data and databases.
1 8/28/2021
4.1: Introduction to Data and Databases
Introduction
You have already been introduced to the first two components of information systems: hardware and software. However, those two
components by themselves do not make a computer useful. Imagine if you turned on a computer, started typing a document, but could not
save a document. Imagine if you opened your music app, but there was no music to play. Imagine opening a web browser, but there were
no web pages. Without data, hardware and software are not very useful! Data is the third component of an information system.
Data, Information, Knowledge, and Wisdom
Figure 4.1.1 : Data to Wisdom. Image by David T. Bourgeois is licensed under CC BY-SA 2.0
Data is raw bits and pieces of information with no context, for example, your driver's license or your first name. The information system
helps organize this information in a designed systematic manner to be useful to the user. The users can be individuals or businesses. This
organized collection of interrelated data is called a database. The two highest levels of data are quantitative or qualitative. To know which
to use depends on the question to be answered and the available resources. Quantitative data is numeric, the result of a measurement,
count, or some other mathematical calculation. A quantitative example would be how many 5th graders attended music camp this
summer. Qualitative data consist of words, descriptions, and narratives. A qualitative example would be a camper wearing a red tee-shirt.
A number can be considered qualitative as well. If I tell you my favorite number is 5, that is qualitative data because it is descriptive, not
the result of a measurement or mathematical calculation.
When using qualitative data and quantitative data, we need to understand the context of its use. There are advantages and disadvantages to
each. This table encapsulates the advantages and disadvantages when gathering data.
Qualitative Data
Advantages Disadvantages
Can give a nuanced understanding of the perspectives and needs of May lend itself to working with smaller populations; may not be representative of
program participants larger demographics
Can help support or explain results indicated in quantitative analysis Data analysis can be time-consuming
Source of detailed or “rich” information that can be used to identify Analysis can be subjective; there is potential for evaluator bias in analysis and
patterns of behavior collection.
Quantitative Data
Data collection methods provide respondents with a limited number of response

Clear and specific
options
Accurate and reliable if properly analyzed
Can require complex sampling procedures
It can be easily communicated as graphs and charts
May not accurately describe a complex situation
Many large datasets already exist that can be analyzed
Some expertise with the statistical analysis required
By itself, data is a collection of components waiting to be analyzed. To be useful, it needs to be given context. Users and designers create
meaning as they collect, reference, and organize the data. Information typically involves manipulating raw data to obtain an indication of
magnitude, trends, and patterns in the data for a purpose. Returning to the example above, if I told you that “15, 23, 14, and 85″ are the
numbers of students that had registered for an upcoming camp, that would be information. By adding the context – that the numbers

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represent the count of students registering for specific classes – I have added context to data which now is information. Information is
data that has been analyzed, processed, structured, and avails itself to be useful.
Once we collect and understand the data, we put it into context, aggregate it, and analyze it. We then have information, and we can use it
to make decisions for the individual and our organization. We can say that this consumption of information produces knowledge. .
Knowledge can be viewed as information that facilitates action. This knowledge can be used to make decisions, set policies, and even
spark innovation.
The final step up the information ladder is the step from knowledge (knowing a lot about a topic) to wisdom.
Wisdom is experience coupled with understanding and insight. We can say that someone has wisdom when combining their knowledge
and experience to produce a deeper understanding of a topic. It often takes many years to develop wisdom on a particular topic and
requires patience and expertise.
Figure 4.1.2 : Data Shown on Monitors. Image by Gerd Altmann from Pixabay is licensed under CC-BY-SA 2.0

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4.2: Examples of Data
Data can be anything. Some examples of data are weights, prices, costs, numbers of items sold, names, places. Almost all
software programs require data to do something useful. It can be straightforward, as a name of a place, a person, or a number.
An example would be editing a document in a word processor such as Microsoft Word, the document you are working on is
the data. The word-processing software can manipulate the data: create a new document, duplicate a document, or modify a
document. Today we have a new type of data called biometrics, which are physical or behavioral human characteristics that
can digitally identify a person. Examples would be facial recognition used for passports. Fingerprint authentication is used to
unlock smartphones. Iris recognition uses high-resolution images of the iris. This data is stored for future identification. Many
governments and high-security companies use iris recognition because it is considered to be errorless when identifying
individuals.
Databases
Many information systems aim to transform data into information to generate knowledge that can be used for decision-making.
To do this, the system must take or read the data, then put the data into context, and provide tools for aggregation and analysis.
A database is designed for just such a purpose.
A database is an organized, meaningful collection of related information. It is an organized collection because, in a database,
all data is interrelated and associated with other data. All information in a database should be related; separate databases
should be created to manage unrelated information. For example, a database that contains information about employees'
payroll should not also hold information about the company’s stock prices. Digital databases include things created by MS
Excel, such as tables to more complicated databases used every day by people, from checking your balance at the bank to
accessing medical records and online shopping. Databases help us to eliminate redundant information. It ensures more
effective ways to access searches. Back in the day, databases would be a filing cabinet. For this text, we will only consider
digital databases.
Figure 4.2.1 : Relational Database. Image by mcmurry julie from Pixabay is licensed under CC-BY-SA 2.0
Relational Databases
Databases can be organized in many different ways and thus take many forms. DBMS (Database Management System) is
software that facilitates the organization and manipulation of data. DBMS functions as an interface between the database and
the end-user. The software is designed to store, define, retrieve and manage the data in the database. Other forms of databases
today are relational databases. Examples of relational databases are Oracle (RDBMS), MySQL, SQL, and PostgreSQL. A

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relational database is one in which stores data in an organized fashion of rows and columns, which will create one or more
tables of related information. Each table has a set of fields, which define the nature of the data stored in the table. A record is
one instance of a set of fields in a table. To visualize this, think of an excel spreadsheet, the records as the rows of the table and
the fields as the table columns. In the example below, we have a table of student information, with each row representing a
student and each column representing one piece of information about the student. The relational database model does not scale
well. The term scale here refers to a larger and larger database being distributed on a larger number of computers connected
via a network. Some companies are looking to provide large-scale database solutions by moving away from the relational
model to other, more flexible models. For example, Google now offers the App Engine Datastore, which is based on NoSQL.
Developers can use the App Engine Datastore to develop applications that access data from anywhere in the world.
Amazon.com offers several database services for enterprise use, including Amazon RDS, a relational database service, and
Amazon DynamoDB, a NoSQL enterprise solution.
Relational Database Example
Figure 4.2.2 : Relational database table adapted from David Bourgeois, Ph.D. is licensed under CC BY 4.0
Fields (Columns)
First Name Last Name Major Birthdate
Ann Marie Strong Pre-Law 2/27/1997

Records (Rows)
Evan Right Business 12/4/1996
Michelle Smith Math 6/27/1995

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4.3: Structured Query Language
Once you have a database designed and loaded with data, how will you do something useful with it? The primary way to work
with a relational database is to use Structured Query Language, SQL (pronounced “sequel,” or stated as S-Q-L). Almost all
applications that work with databases (such as database management systems, discussed below) use SQL to analyze and
manipulate relational data. As its name implies, SQL is a language that can be used to work with a relational database or for
streaming processing in a relational data stream management system. From a simple request for data to a complex update
operation, SQL is a mainstay of programmers and database administrators. To give you a taste of what SQL might look like,
here are a couple of examples using our Student Clubs database.
• The following query will retrieve a list of the first and last names of the club presidents:
SELECT "First Name," "Last Name" FROM "Students" WHERE "Students.ID" =
• The following query will create a list of the number of students in each club, listing the club name and then the number of
members:
SELECT "Clubs.Club Name", COUNT("Memberships.Student ID") FROM "Clubs"
An in-depth description of how SQL works is beyond this introductory text's scope. Still, these examples should give you an
idea of the power of using SQL to manipulate relational data. Many database packages, such as Microsoft Access, allow you
to visually create the query you want to construct and then generate the SQL query for you.
Rows and Columns in a Table

In a relational database, all the tables are related by one or more fields so that it is possible to connect all the tables in the
database through the field(s) they have in common. For each table, one of the fields is identified as a primary key. This key is
the unique identifier for each record in the table. To help you understand these terms further, let’s walk through the process of
designing the following database.
Figure 4.3.1 : Data design flow. Image by David Bourgeois, Ph.D. is licensed under CC BY 4.0

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4.4: Designing a Database
Designing a Database
Suppose a university wants to create a database to track participation in student clubs. After interviewing several people, the
design team learns that implementing the system is to give better insight into how the university funds clubs. This will be
accomplished by tracking how many members each club has and how active the clubs are. The team decides that the system
must keep track of the clubs, their members, and their events. Using this information, the design team determines that the
following tables need to be created:
Clubs: this will track the club name, the club president, and a short description of the club.
Students: student name, e-mail, and year of birth.
Memberships: this table will correlate students with clubs, allowing us to have any given student join multiple clubs.
Events: this table will track when the clubs meet and how many students showed up.
Now that the design team has determined which tables to create, they need to define the specific information that each table
will hold. This requires identifying the fields that will be in each table. For example, Club Name would be one of the fields in
the Clubs table. First Name and Last Name would be fields in the Students table. Finally, since this will be a relational
database, every table should have a field in common with at least one other table (in other words: they should have a
relationship with each other).
To properly create this relationship, a primary key must be selected for each table. This key is a unique identifier for each
record in the table. For example, in the Students table, it might be possible to use students’ first names to identify them
uniquely. However, it is more than likely that some students will share the last name (like Mike, Stefanie, or Chris), so a
different field should be selected. A student’s email address might be a good choice for a primary key since e-mail addresses
are unique. However, a primary key cannot change, so this would mean that if students changed their email addresses, we
would have to remove them from the database and then re-insert them – not an attractive proposition. Our solution is to create
a value for each student — a user ID — that will act as a primary key. We will also do this for each of the student clubs. This
solution is quite common and is the reason you have so many user IDs!
You can see the final database design in the figure below:
Figure 4.4.1 : Data design flow. Image by David Bourgeois, Ph.D. is licensed under CC BY 4.0
With this design, not only do we have a way to organize all of the information we need to meet the requirements, but we have
also successfully related all the tables together. Here’s what the database tables might look like with some sample data. Note
that the Memberships table has the sole purpose of allowing us to relate multiple students to multiple clubs.

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Figure 4.4.2 : Table: Clubs. Image by David Bourgeois, Ph.D. is licensed under CC BY 4.0
Figure 4.4.3 : Table: Students. Image by David Bourgeois, Ph.D. is licensed under CC BY 4.0
Figure 4.4.4 : Table: Memberships. Image: by David Bourgeois, Ph.D. is licensed under CC BY 4.0
Normalization
When designing a database, one important concept to understand is normalization. In simple terms, to normalize a database
means to design it in a way that:
Reduces redundancy of data between tables easier mapping
Takes out inconsistent data.
Information is stored in one place only.
Gives the table as much flexibility as possible.
In the Student Clubs database design, the design team worked to achieve these objectives. For example, to track memberships,
a simple solution might have been to create a Members field in the Clubs table and then list all of the members' names.
However, this design would mean that if a student joined two clubs, then his or her information would have to be entered a
second time. Instead, the designers solved this problem by using two tables: Students and Memberships.
In this design, when a student joins their first club, we must add the student to the Students table, where their first name, last
name, e-mail address, and birth year are entered. This addition to the Students table will generate a student ID. Now we will
add a new entry to denote that the student is a specific club member. This is accomplished by adding a record with the student
ID and the club ID in the Memberships table. If this student joins a second club, we do not have to duplicate the student’s

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name, e-mail, and birth year; instead, we only need to make another entry in the Memberships table of the second club’s ID
and the student’s ID.
The Student Clubs database design also makes it simple to change the design without major modifications to the existing
structure. For example, if the design team was asked to add functionality to the system to track faculty advisors to the clubs,
we could easily accomplish this by adding a Faculty Advisors table (similar to the Students table) and then adding a new field
to the Clubs table to hold the Faculty Advisor ID.
Data Types
When defining the fields in a database table, we must give each field a data type. For example, the field Birth Year is a year, so
it will be a number, while First Name will be text. Most modern databases allow for several different data types to be stored.
Some of the more common data types are listed here:
Text: for storing non-numeric data that is brief, generally under 256 characters. The database designer can identify the
maximum length of the text.
Number: for storing numbers. There are usually a few different number types selected, depending on how large the largest
number will be.
Yes/No: a special form of the number data type that is (usually) one byte long, with a 0 for “No” or “False” and a 1 for
“Yes” or “True.”
Date/Time: a special form of the number data type can be interpreted as a number or a time.
Currency: a special form of the number data type that formats all values with a currency indicator and two decimal places.
Paragraph Text: this data type allows for text longer than 256 characters.
Object: this data type allows for data storage that cannot be entered via keyboards, such as an image or a music file.
The importance of properly defining data type is to improve the data's integrity and the proper storing location. We must
properly define the data type of a field, and a data type tells the database what functions can be performed with the data. For
example, if we wish to perform mathematical functions with one of the fields, we must tell the database that the field is a
number data type. So if we have a field storing birth year, we can subtract the number stored in that field from the current year
to get age.
Allocation of storage space for the defined data must also be identified. For example, if the First Name field is defined as a
text(50) data type, fifty characters are allocated for each first name we want to store. However, even if the first name is only
five characters long, fifty characters (bytes) will be allocated. While this may not seem like a big deal, if our table ends up
holding 50,000 names, we allocate 50 * 50,000 = 2,500,000 bytes for storage of these values. It may be prudent to reduce the
field's size, so we do not waste storage space.

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4.5: Sidebar- The Difference between a Database and a Spreadsheet
When introducing the concept of databases to students, they quickly decide that a database is similar to a spreadsheet. There
are some similarities, but there are some big differences that we will review. A spreadsheet hopes to grow to a database one
day.
Let's start with the spreadsheet. It is easy to create, edit and format. It is simple to use for beginners. It is made up of columns
and rows and stores data in an organized fashion similar to a database table. The two leading spreadsheet applications are
Google Sheets and Microsoft Excel. One of the very convenient things about spreadsheets is shared accessibility with multiple
users. This is not the case with a database.
For simple uses, a spreadsheet can substitute for a database quite well. If a simple listing of rows and columns (a single table)
is all that is needed, then creating a database is probably overkill. In our Student Clubs example, if we only needed to track a
listing of clubs, the number of members, and the president's contact information, we could get away with a single spreadsheet.
However, the need to include a listing of events and members' names would be problematic if tracked with a spreadsheet.
When several types of data must be mixed, or when the relationships between these types of data are complex, then a
spreadsheet is not the best solution. A database allows data from several entities (such as students, clubs, memberships, and
events) to be related together into one whole. While a spreadsheet does allow you to define what kinds of values can be
entered into its cells, a database provides more intuitive and powerful ways to define the types of data that go into each field,
reducing possible errors and allowing for easier analysis. Though not good for replacing databases, spreadsheets can be ideal
tools for analyzing the data stored in a database. A spreadsheet package can be connected to a specific table or query in a
database and used to create charts or perform analysis on that data.
A database has many similarities in looks of a spreadsheet utilizing tables that are made up of columns and rows. The database
is a collection of structured raw material. The information is stored on the computer. A spreadsheet is easily editable with its
rows and columns; this is not the case of a database. The database is formatted, so the field (column) is preconfigured. The
database is also relational in that it has the ability to create relationships between records and tables. Spreadsheets and
databases can both be edited by multiple authors. In a database, a log is created as changes are made. This is not the case with
a spreadsheet. A spreadsheet is terrific for small projects, but a database would become more useful as the project grows.
Figure 4.5.1 : Database computers. Image by Gerd Altmann from Pixabay is licensed under CC BY-SA 2.0
Streaming
Streaming is a new easy way to view on-demand audio or video from a remote server. Companies offer audio and video files
from their server that can be accessed remotely by the user. The data is transmitted from their server directly and continuously
to your device. Streaming can be accessed by any device that connects to the internet. There is no need for large memory or
having to wait for a large file to download. Stream technology is becoming very popular because of its convenience and
accessibility. An example of some streaming services is Netflix, iTunes, and YouTube.

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Other Types of Databases
The relational database model is the most used today. However, many other database models exist that provide different
strengths than the relational model. In the 1960s and 1970s, the hierarchical database model connected data in a hierarchy,
allowing for a parent/child relationship between data. The document-centric model allowed for more unstructured data storage
by placing data into “documents” that could then be manipulated.
The concept of NoSQL (from the phrase “not only SQL”). NoSQL arose from the need to solve large-scale databases spread
over several servers or even across the world. For a relational database to work properly, only one person must be able to
manipulate a piece of data at a time, a concept known as record-locking. But with today’s large-scale databases (think Google
and Amazon), this is not possible. A NoSQL database can work with data more loosely, allowing for a more unstructured
environment, communicating changes to the data over time to all the servers that are part of the database. Many companies
collect data for all sorts of reasons, from how many times you visit a site to what you are viewing at the site.

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4.6: Big Data
Big Data refers to capturing large complex data sets that conventional database tools do not have the processing power to
analyze. Storing and analyzing that much data is beyond the power of traditional database management tools. Understanding
the best tools and techniques to manage and analyze these large data sets is a problem that governments and businesses alike
are trying to solve. Big data comes from many different areas such as text, images, audio, and videos. Businesses use this data
and refer to it as predictive analytics or user behavior analytics. Companies such as Walmart and Amazon are now collecting
big data, to see what searches their customers are looking at. Think of the number of customers and products these two
powerhouses have and the amount of data generated.

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4.7: Data Warehouse
As organizations have begun to utilize databases as the centerpiece of their operations, the need to fully understand and
leverage the data they are collecting has become more and more apparent. However, directly analyzing the data needed for
day-to-day operations is not a good idea; we do not want to tax the company's operations more than we need to. Further,
organizations also want to analyze data in a historical sense: How does the data we have today compare with the same data set
this time last month or last year? From these needs arose the concept of the data warehouse.
The data warehouse concept is simple: extract data from one or more of the organization’s databases and load it into the data
warehouse (which is itself another database) for storage and analysis. However, the execution of this concept is not that
simple. A data warehouse should be designed so that it meets the following criteria:
It uses non-operational data. This means that the data warehouse uses a copy of data from the active databases that the
company uses in its day-to-day operations, so the data warehouse must pull data from the existing databases on a regular,
scheduled basis.
The data is time-variant. This means that whenever data is loaded into the data warehouse, it receives a timestamp, which
allows for comparisons between different time periods.
The data is standardized. Because the data in a data warehouse usually comes from several different sources, it is possible
that the data does not use the same definitions or units. For example, our Events table in our Student Clubs database lists
the event dates using the mm/dd/yyyy format (e.g., 01/10/2013). A table in another database might use the format
yy/mm/dd (e.g., 13/01/10) for dates. For the data warehouse to match up the dates, a standard date format would have to be
agreed upon, and all data loaded into the data warehouse would have to be converted to use this standard format. This
process is called extraction-transformation-load (ETL).
There are two primary schools of thought when designing a data warehouse: bottom-up and top-down. The bottom-up
approach starts by creating small data warehouses, called data marts, to solve specific business problems. As these data marts
are created, they can be combined into a larger data warehouse. The top-down approach suggests that we should start by
creating an enterprise-wide data warehouse and then, as specific business needs are identified, create smaller data marts from
the data warehouse.
Figure 4.7.1 : Data warehouse process (top down). Image by Soha jamil is licensed under CC BY-SA 4.0
Benefits of Data Warehouses

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Organizations find data warehouses quite beneficial for many reasons:
Ability to integrate data from multiple systems formatted with different software and compile it to gain deeper insight.
The process of developing a data warehouse forces an organization to understand the data better than it is currently
collecting and, equally important, what data is not being collected.
A data warehouse provides a centralized view of all data being collected across the enterprise and provides a means for
determining inconsistent data.
Once all data is identified as consistent, an organization can generate one version of the truth. This is important when the
company wants to report consistent statistics about itself, such as revenue or employees' numbers.
By having a data warehouse, snapshots of data can be taken over time. This creates a historical record of data, which
allows for an analysis of trends.
A data warehouse provides tools to combine data, which can provide new information and analysis.

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4.8: Data Mining
Data mining is the process of sorting through big data (measured in terabytes). In the past, there was a lack of data to analyze.
The challenge is an overabundance of data that must be reviewed, which is called data overload. This becomes an issue
because the user needs to evaluate which information is useful and which is not. Many businesses do mining to get detailed
insight on their customers, products and to optimize business decisions. The analysis is executed with sophisticated programs.
The programs can combine multiple databases. The end effect is so complex that companies must find a way to store the data.
Data warehouses are needed. The data warehouse is where the information is stored and processed from the data mining. The
price for a simple warehouse could start at $10 million.
Companies like Google, Netflix, Amazon, and Facebook are big users of data mining. They seek to find out who their
consumer is and how best to keep them and sell them more products. They also review their products. The means used are
reviewing data and finding trends, patterns, and associations to make decisions. Generally, data mining is accomplished
through automated means against extensive data sets, such as a data warehouse.
Examples of data mining include:
An analysis of sales from a large grocery chain might determine that milk is purchased more frequently the day after it
rains in cities with a population of less than 50,000.
A bank may find that loan applicants whose bank accounts show particular deposit and withdrawal patterns are not good
credit risks.
A baseball team may find those collegiate baseball players with specific statistics in hitting, pitching, and fielding for more
successful major league players.
In some cases, a data-mining project is begun with a hypothetical result in mind. For example, a grocery chain may already
have some idea that the buying patterns change after it rains and want to get a deeper understanding of exactly what is
happening. In other cases, there are no presuppositions, and a data-mining program is run against large data sets to find
patterns and associations.

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4.9: Database Management Systems
A database looks like one or more files. For the data in the database to be read, changed, added, or removed, a software
program must access it. The software creates a database by building tables, forms, reports, and other important variables.
Many software applications have this ability: iTunes can read its database to give you a listing of its songs (and play the
songs); your mobile-phone software can interact with your list of contacts. Companies of all sizes use this software to enable
themselves to streamline the data they have collected to be useful for multiple purposes such as marketing, customer service,
and sales. Database management systems help businesses to collect complex data and customize it for their own use. When
selecting Database Management Software (DBMS,) the company needs to know what they want to utilize and establish goals.
Questions that need to be answered are; What software can you use to create a database, change a database’s structure, or
analyze? For example, Apache OpenOffice.org Base can create, modify, and analyze databases in open-database (ODB)
format. Microsoft’s Access DBMS is used to work with databases in its own Microsoft Access Database format. Both Access
and Base have the ability to read and write to other database formats as well.
Figure 4.9.1 : Open Office database management system. Image by David Bourgeois, Ph.D. is licensed under CC BY 4.0
Microsoft Access and Open Office Base are examples of personal database-management systems. These systems are primarily
used to develop and analyze single-user databases. These databases are not meant to be shared across a network or the Internet
but are instead installed on a particular device and work with a single user at a time.

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4.10: Enterprise Databases
Small and large organizations utilize enterprise databases for managing when collecting large complex data. An enterprise
database is robust enough to handle multiple users' queries successfully simultaneously and can handle a range of 100 to
10,000 users at a time. (Technopedia, 2020). Computers have become networked and are now joined worldwide via the
Internet, and a class of databases has emerged that can be accessed by two, ten, or even a million people. These databases are
sometimes installed on a single computer to be accessed by a group of people at a single location or a small company. They
can also be installed over several servers worldwide, meant to be accessed by millions in large companies. These relational
enterprise database packages are built and supported by companies such as Oracle, Microsoft, and IBM. The open-source
MySQL is also an enterprise database. Open-source databases are free and can be shared, storing vital information in software
that the organization can control. An open-source database allows users to create a system based on their unique requirements
and business needs. The source code can be customized to match any user preference. Open-source databases address the need
to analyze data from a growing number of new applications at a lower cost. The deluge of social media and the Internet of
Things (IoT) has ushered an age of massive data that needs to be collected and analyzed. The data only has value if an
enterprise can analyze it to find useful patterns or real-time insights. The data contains vast amounts of information that can
overload a traditional database. The flexibility and cost-effectiveness of open source database software have revolutionized
database management systems. (Omnisci, 2020).
Sidebar: What Is Metadata?

The term metadata can be understood as “data about data.” For example, when looking at one of Year of Birth's values in
the Students table, the data itself may be “1992″. The metadata about that value would be the field name Year of Birth,
the last updated time, and the data type (integer). Another example of metadata could be for an MP3 music file, like the
one shown in the image below; information such as the song's length, the artist, the album, the file size, and even the
album cover art is classified as metadata. When a database is being designed, a “data dictionary” is created to hold the
metadata, defining its fields and structure.
Data Governance
Data governance is the process of taking data and managing the availability, integrity, and usability in enterprise systems.
Proper data governance ensures the data is consistent, trustworthy, and secured. We are in a time when organizations must pay
close attention to privacy regulations and increasingly need to rely more on data analytics to optimize decision making and
optimize operations. Data governance can be used at both the micro and macro levels. When we refer to micro, the focus is on
the individual organization to ensure high data quality throughout the lifecycle to achieve optimal business objectives. The
macro-level refers to cross-border flows by countries which are called international data governance.
References
Omnisci (2020). Definition of an Open Source Database. Retrieved September 1, 2020, from
https://www.omnisci.com/technical-glossary/open-source-
database#:~:text=An%20open%20source%20database%20has,is%20protected%20to%20prevent%20copying.
Technopedia, (2020) Definition of Enterprise Database. Retrieved September 1, 2020, from
https://www.techopedia.com/definition/31683

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4.11: Knowledge Management
We end the chapter with a discussion on the concept of knowledge management (KM). All companies accumulate knowledge
over the course of their existence. Some of this knowledge is written down or saved, but not in an organized fashion. Much of
this knowledge is not written down; instead, it is stored inside its employees' heads. Knowledge management is the process of
formalizing the capture, indexing, and storing of the company’s knowledge to benefit from the experiences and insights that
the company has captured during its existence.
Privacy Concerns
Figure 4.11.1 : Cybersecurity. Image by Pete Linforth from Pixabay is licensed under CC BY-SA 2.0
The increasing power of data mining has caused concerns for many, especially in the area of privacy. It is becoming easier in
today’s digital world than ever to take data from disparate sources and combine them to do new forms of analysis. In fact, a
whole industry has sprung up around this technology: data brokers. These firms combine publicly accessible data with
information obtained from the government and other sources to create vast warehouses of data about people and companies
that they can then sell. This subject will be covered in detail in chapter 12 – the chapter on the ethical concerns of information
systems.

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4.12: Sidebar- What is data science?
Sidebar: What is data science?
Data science takes structured and unstructured data and uses scientific methods, processes, algorithms, and systems to extract
knowledge and insight. It begins by procuring data from many sources such as web servers, logs, databases, APIs (application
program interface), and online repositories. Once the acquisition has happened, the data must be cleaned and pipeline data.
This is done by sorting and organizing relevant and usable data; this is the transformation process. Data Modeling is next; the
goal is to create the best modeling that suits the company's needs when using the data. This can be done using metrics,
algorithms, and analytics. The goal is to progress to AI and deep learning or machine learning. Data science problem solves
company issues using data.
Structured Data - Is data that is found in a fixed field within a record or file. It includes data contained in relational
databases and spreadsheets. Such as:
Date
Time
Census Data
Facebook “Likes”
Unstructured Data - Is information that is not organized and does not have a pre-defined model. Such as:
Body of emails
Tweets
Facebook Status
Video Transcripts
What is data analytics?

Data Analytics takes raw data gathered from data mining and analyzes the information to uncover relationships and patterns to
find insight into the data when using it. Companies use these analytics to optimize problem-solving and assist in decision-
making. The information is helpful to understand who your consumer is as well as marketing your company or product. This is
all helpful to create efficiency and streamline operations. Data continuously being collected can then be adjusted as new
criteria happen. Today's data analytics are deeper, larger in abundance, and retrieved quicker than yesteryear. The information
is more accurate and detailed, which accelerates successful problem-solving.
Figure 4.12.1 : Analytic information. Image by xresch from Pixabay is licensed CC BY-SA 2.0
Business Intelligence and Business Analytics

This is now a new trend. With tools such as data warehousing and data mining at their disposal, businesses learn how to use
the information to their advantage. The term business intelligence is used to describe how organizations use to take data they
are collecting and analyze it to obtain a competitive advantage. Besides using data from their internal databases, firms often
purchase information from data brokers to understand their industries' big-picture understanding. Business analytics is the term
used to describe internal company data to improve business processes and practices.

Wael Abdeljabbar
4.13: Summary
Summary
In this chapter, we learned about the role that data and databases play in the context of information systems. Data is made up
of small facts and information without context. If you give data context, then you have information. Knowledge is gained
when information is consumed and used for decision-making. A database is an organized collection of related information.
Relational databases are the most widely used type of database, where data is structured into tables, and all tables must be
related to each other through unique identifiers. A database management system (DBMS) is a software application used to
create and manage databases and take the form of a personal DBMS, used by one small business or person versus an enterprise
DBMS that multiple users can use. A data warehouse is a special form of database that takes data from other databases in an
enterprise and organizes it for analysis. Data mining is the process of looking for patterns and relationships in large data sets.
Many businesses use databases, big data, data warehouses, and data-mining techniques to produce business intelligence and
gain a competitive advantage.

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Study Questions
1. What is the difference between data, information, and knowledge?
2. Explain in your own words the difference between hardware and software components of information systems.
3. What is the difference between quantitative data and qualitative data? In what situations could the number 63 be considered
qualitative data?
4. What are the characteristics of a relational database?
5. When would using a personal DBMS make sense?
6. What is the difference between a spreadsheet and a database? List three differences between them.
7. Describe what the term normalization means.
8. What is Big Data?
9. Name a database you interact with frequently. What would some of the field names be?
10. Describe the benefits and what open-source data is.
11. Name three advantages of using a data warehouse.
12. What is data mining?
Exercises
1. Review the design of the Student Clubs database earlier in this chapter. Reviewing the lists of data types given, what data
types would you assign to each of the fields in each of the tables. What lengths would you assign to the text fields?
2. Review structured and unstructured data and list five reasons to use each.
3. Using Microsoft Access, download the database file of comprehensive baseball statistics from the website
4. SeanLahman.com. (If you don’t have Microsoft Access, you can download an abridged version of the file here that is
compatible with Apache Open Office). Review the structure of the tables included in the database. Come up with three
different data-mining experiments you would like to try, and explain which fields in which tables would have to be
analyzed.
5. Do some original research and find two examples of data mining. Summarize each example and then write about what the
two examples have in common.
6. Conduct some independent research on the process of business intelligence. Using at least two scholarly or practitioner
sources, write a two-page paper giving examples of how business intelligence is being used.
7. Conduct some independent research on the latest technologies being used for knowledge management. Using at least two
scholarly or practitioner sources, write a two-page paper giving examples of software applications or new technologies
being used in this field.

Wael Abdeljabbar
CHAPTER OVERVIEW
Today’s computing and smart devices are expected to be always connected devices to support the
way we learn, communicate, do business, work, and play, in any place, on any devices, and at any
time. In this chapter, we review the history of networking, how the Internet works, and the use of
multiple networks in organizations today.

The way we communicate has affected every important aspect of our lives and the world on a
broad scale. Education, business, politics, etc.. are all heavily dependent on the internet to
communicate effectively.

This chapter presents a brief history of the Internet and the stage of information systems upon which our social and commerce
connections progressively depend.

The evolution of the world we live i has been drastically impacted by the internet. most of us cannot imagine living without social
media, texting, online shopping, etc.. in this chapter, we discuss networking today.

Online Communication has changed our lives, and one important aspect is education. Online learning has altered the education system
to affect students' learning by providing students more opportunities and not limiting them to local institutions to receive an education.

Networks connect various devices in our homes, offices, schools, etc. Many devices could be simultaneously connected to the same
network, such as a printer, a laptop, a smartphone, and an iPad.

Devices and media are the hardware of the network. The messages being sent and received from one device to another are the
software, and LANs and WANs connect the two devices to facilitate sending the message from the sender to the recipient.

Abbreviations apply to networks as well as people's names, school names, etc. Network representations are symbols utilized to
represent the different hardware and connections that make up a network.

The internet is made up of many interconnected networks. LANs are connected to each other through a WAN.

There are various ways in which one can connect to the internet. A connection to the internet could be through dial-up, cable, satellite,
cellular, and DSL.

There are different types of networks, converging networks, and separate networks. Separate networks do not allow different devices
connected to different networks to communicate because they aren't interconnected. However, converged networks are built to convey
data among various devices connected to the same network.

Networks aid various applications and services when it comes to the physical infrastructure of the service or application. Underlying
network architecture needs to deliver the four fundamental qualities, which are, Quality of Service (QoS), security, fault tolerance, and
scalability.

Technology is constantly evolving, and new network trends influence organizations and consumers.

Networking trends in the home provide more convenient and user-friendly services, such as smart home technology, which
interconnects different devices for habitual appliances.
1 8/28/2021
Like any other aspect in life, everything has its cons, and the cons of the internet are ensuring network safety and security. Ensuring a
network is secure requires technologies, protocols, devices, tools, and techniques that keep data secure and moderate threat vectors.
5.15: SUMMARY
2 8/28/2021
5.1: Introduction to Networking and Communication
We are at a basic turning point with many innovations to expand and engage our capacity to communicate. The globalization
of the Web has succeeded faster than anybody has envisioned. The way social, commercial, political, and individual
motivation happens is quickly changing to keep up with the advancement of this worldwide network. Within our improvement
network, innovators will utilize the Web as a beginning point for their efforts, creating modern items and administrations
particularly planned to require advantage of the network capabilities. As designers thrust the limits of what is conceivable, the
capabilities of the interconnected systems that shape the Web will expand part within these projects' victory.
This chapter presents a brief history of the Internet and the stage of information systems upon which our social and commerce
connections progressively depend. The fabric lays the foundation for investigating the administrations, innovations, and issues
experienced by network experts as they plan, construct, and keep up the present-day network.

Wael Abdeljabbar
5.2: A Brief History of the Internet
In the Beginning: ARPANET
The story of the Internet and networking can be traced back to the late 1950s. The US was in the Cold War's depths with the
USSR, and each nation closely watched the other to determine which would gain a military or intelligence advantage. In 1957,
the Soviets surprised the US with the launch of Sputni, propelling us into the space age. In response to Sputnik, the US
Government created the Advanced Research Projects Agency (ARPA), whose initial role was to ensure that the US was not
surprised again. From ARPA, now called DARPA (Defense Advanced Research Projects Agency), the Internet first sprang.
ARPA was the center of computing research in the 1960s, but there was just one problem: many computers could not talk to
each other. In 1968, ARPA sent out a request for a communication technology proposal that would allow different computers
located around the country to be integrated into one network. Twelve companies responded to the request, and a company
named Bolt, Beranek, and Newman (BBN) won the contract and developed the first protocol for the network (Roberts, 1978).
They began work right away and completed the job just one year later: in September 1969, the ARPANET was turned on. The
first four nodes were at UCLA, Stanford, MIT, and the University of Utah.
The Internet and the World Wide Web

Over the next decade, the ARPANET grew and gained popularity. During this time, other networks also came into existence.
Different organizations were connected to different networks. This led to a problem: the networks could not talk to each other.
Each network used its own proprietary language or protocol (see sidebar for the definition of protocol) to send information
back and forth. This problem was solved using the transmission control protocol/Internet protocol (TCP/IP). TCP/IP was
designed to allow networks running on different protocols to have an intermediary protocol that would allow them to
communicate. So as long as a network supporting TCP/IP, users could communicate with all other networks running TCP/IP.
TCP/IP quickly became the standard protocol and allowed networks to communicate with each other. We first got the term
Internet from this breakthrough, which means “an interconnected network of networks.”
As we moved into the 1980s, computers were added to the Internet at an increasing rate. These computers were primarily from
government, academic, and research organizations. Much to the engineers' surprise, the early popularity of the Internet was
driven by the use of electronic mail (see sidebar below). Using the Internet in these early days was not easy. To access
information on another server, you had to know how to type in the commands necessary to access it and know the name of that
device. That all changed in 1990 when Tim Berners-Lee introduced his World Wide Web project, which provided an easy way
to navigate the Internet through the use of linked text (hypertext). The World Wide Web gained even more steam with the
release of the Mosaic browser in 1993, which allowed graphics and text to be combined to present information and navigate
the Internet. The Mosaic browser took off in popularity and was soon superseded by Netscape Navigator, the first commercial
web browser, in 1994. The chart below shows the growth in internet users globally.

Wael Abdeljabbar
Figure 5.2.1 : Graph of "Internet users per 100 inhabitants 1997 to 2017", years on the x-axis, number of users on the y-axis,
according to the International Telecommunication Union (ITU). Image by Jeff Ogden (W163) and Jim Scarborough (Ke4roh)
is licensed CC BY-SA
According to the International Telecommunications Union (ITU, 2020), over 53.6% or 4.1 billion people worldwide are using
the internet, by the end of 2019.
The Internet has evolved from Web 1.0 to 2.0 (discussed in Chapter 1) to the many popular social media websites today.
Sidebar: “Killer” Apps for the Internet

When the personal computer was created, it was a great little toy for technology hobbyists and armchair programmers. As
soon as the spreadsheet was invented, businesses took notice, and the rest is history. The spreadsheet was the killer app for the
personal computer: people bought PCs to run spreadsheets.
The Internet was originally designed as a way for scientists and researchers to share information and computing power among
themselves. However, as soon as electronic mail was invented, it began driving demand for the Internet.
We are seeing this again today with social networks, such as Facebook, Instagram. Many who weren’t convinced to have an
online presence now feel left out without a social media account.
These killer apps and widespread adoption of the internet have driven explosive growth for information systems globally.
Sidebar: The Internet and the World Wide Web Are Not the Same Things
Many times, the terms “Internet” and “World Wide Web,” or even just “the web,” are used interchangeably. However,
they are not the same thing at all!
The Internet is an interconnected network of networks. Many services run across the Internet: electronic mail, voice and
video, file transfers, and, yes, the World Wide Web. The World Wide Web is simply one piece of the Internet. It is made
up of web servers with HTML pages being viewed on devices with web browsers.
References
ITU estimate of global population using the internet. Retrieved September 6, 2020, from https://www.itu.int/en/ITU-
D/Statistics/Pages/stat/default.aspx
Roberts, Lawrence G., The Evolution of Packet Switching, (1978, November). Retrieved on September 6, 2020, from
www.ismlab.usf.edu/dcom/Ch10_Roberts_EvolutionPacketSwitching_IEEE_1978.pdf

Wael Abdeljabbar
5.3: Networking Today
Networks in Our Daily Lives
Among all of the fundamentals for human presence, the need to interact with others ranks underneath our need to maintain life.
Communication is nearly as imperative to us as our dependence on air, water, nourishment, and shelter.
Today, networking systems have enabled people to connect from anywhere. Individuals can communicate and collaborate
immediately with others. News ideas and discoveries are shared with the world in seconds. People can indeed interface and
play with others without the physical barriers of seas and landmasses from wherever they locate.
Figure 5.3.1 : Global Networking. Image by Gerd Altmann from Pixabay is licensed CC BY 2.0
Technology Then and Now

Envision a world without the Internet. No more Google, YouTube, texting, Facebook, Wikipedia, web-based gaming, Netflix,
iTunes, and simple access to current data. No more social media, staying away from lines by shopping on the web, or rapidly
looking into telephone numbers and guide headings to different areas at the snap of a finger. How unique would our lives be
without the entirety of this? That was the world we lived in only 15 to 20 years back, as discussed in Chapter 1. Throughout
the years, information systems have gradually extended and been repurposed to improve personal satisfaction for individuals
all over the place.
No Boundaries
Progressions in systems administration advancements are maybe the most noteworthy changes on the planet today. They assist
with making a world where national fringes, geographic separations, and physical confinements become less important,
introducing ever-lessening obstacles.
Figure 5.3.2 : Registered trademark of Cisco Systems, Inc.

Cisco Systems Inc. alludes to this as the human network. The human network fixates on the effect of the Internet and networks
on individuals and organizations.

Wael Abdeljabbar
5.4: How has the Human Network Influenced you?
Networks Support the Way We Learn
Networks have changed how we learn. Access to top-notch guidance is not, at this point, confined to understudies living in the
vicinity to where that guidance is being conveyed.
Online distance learning has evacuated geographic hindrances and improved opportunities for students. Vigorous and
dependable networks bolster and improve student learning encounters. They convey learning material in a wide scope of
arrangements, including intelligent exercises, appraisals, and criticism.
Networks Support the Way We Communicate

The globalization of the Internet has introduced new types of correspondence that engage people to make data that a
worldwide crowd can access.
Figure 5.4.1 : Silver iMac near iPhone on brown wooden table. Image by Domenico Loia on Unsplash is licensed CC BY SA
2.0
A few types of communication include:
Messaging: Texting empowers moment constant correspondence between at least two individuals. WhatsApp and Skype
are examples of messaging tools that have gained huge popularity.
Internet-based life: Social media comprises intelligent sites where individuals and networks make and offer client-created
content with companions, family, peers, and the world. Facebook, Twitter, and LinkedIn are among the biggest social
media platforms at this time.
Joint effort tools: Without the limitations of area or time region, cooperation instruments permit people to speak with one
another, frequently across a continuous intelligent video. The expansive circulation of information systems implies that
individuals in remote areas can contribute on an equivalent premise with individuals in the core of largely populated
places. An example of that would be online gaming, where several players are connected to the same server.
Online journals: Blogs, which is a shortened form of "weblogs." In contrast to business sites, sites give anybody a way to
impart their musings to a worldwide crowd without specialized information on website composition.
Wikis: Wikis are website pages that gatherings of individuals can alter and see together. Like an individual diary, an
individual often writes a blog, and a wiki collects creations from many people. All things considered, it might be dependent
upon increasingly broad surveys and altering. Numerous organizations use wikis as their inner joint effort apparatus.
Podcasting: Podcasting permits individuals to convey their sound chronicles to a wide crowd. The sound document is put
on a site (or blog or wiki) where others can download it and play the account on their PCs, workstations, and other cell
phones.
Distributed (P2P) File Sharing: Peer-to-Peer document sharing permits individuals to impart records to one another
without putting away and downloading them from a local server. The client joins the P2P arrangement by just introducing
the P2P programming. Everybody has not grasped P2P document sharing. Numerous individuals are worried about
disregarding the laws of copyrighted materials.

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Napster, which was released in 1999, was the first generation of P2P systems. Some well-known P2P systems are
Xunlei, Bittorrent, and Gnutella.
Networks Support the Way We Work

In the business world, information systems were first utilized by organizations for internal uses and to oversee budgetary data,
client data, and representative finance frameworks. These business systems advanced to empower the transmission of a wide
range of data administrations, including email, video, informing, and communication.
The utilization of systems has been increasingly used to prepare workers for their effectiveness and efficiencies. Internet
learning opportunities can diminish tedious and exorbitant travel yet still guarantee that all representatives are sufficiently
prepared to play out their occupations in a protected and gainful way.
Networks Support the Way We Play

The Internet is utilized for customary types of amusement. We tune in to listen to music, see or view movies, read whole books
and download material for future disconnected access. Live games and shows can be experienced as they are occurring or
recorded and viewed on request.
Networked systems empower the making of new types of amusement, for example, internet games. Online multiplayer games
have become very popular because they allow friends to play virtually when they can’t meet in person.
Indeed, even offline activities are improved utilizing network joint effort administrations. Worldwide, people with the same
interests have interacted with each other quickly. We share normal encounters and pastimes well past our nearby
neighborhood, city, or locale. Sports fans share opinions and realities about their preferred teams. Gatherers show valued
assortments and get expert input about them.
Whatever type of entertainment we appreciate, systems are improving our experience. How would you play on the Internet?

Wael Abdeljabbar
5.5: Providing Resources in a Network
Networks of Many Sizes
Networks come in all sizes. They can go from basic networks consisting of two PCs to networks interfacing with many
gadgets.
Basic networks introduced in homes empower sharing of assets, for example, printers, archives, pictures, and music between a
couple of nearby PCs.
Worldwide internet users expect always to stay connected to the internet. They expect their connected devices to do the
following:
Stay connected to the internet to complete their work.
Have the ability to send and receive data fast.
Have the ability to send small and large quantities of data globally via any device connected to the internet.
Home office networks and small office networks are regularly set up by people who work from home or remote offices. They
need to associate with a corporate network or other concentrated assets. Moreover, numerous independently employed
business people utilize home office and little office networks to publicize and sell items, request supplies and speak with
clients.
The Internet is the biggest network presently. Indeed, the term Internet implies a network of networks. The internet is the
global worldwide network that connects millions of computers around the world. A computer can connect to another computer
in a different country via the internet.
Clients and Servers

All PCs associated with a network are named hosts. Hosts are also called end devices.
Servers are PCs with programming that empower them to give data, similar to emails or website pages, to other network
devices called clients. Each assistance requires separate server programming. For instance, a server requires web server
programming to give web administrations to the network. A PC with server programming can offer types of assistance at the
same time to one or numerous customers. Furthermore, a solitary PC can run numerous sorts of server programming. It might
be vital for one PC to go about as a document server, a web server, and an email server in a home or private company.
Clients are PCs with programming introduced that empower them to ask for and show the server's data. A case of client
programming is an internet browser, similar to Chrome or Firefox. A solitary PC can likewise run different kinds of custom
programming. For instance, a client can browse email and view a site page while texting and tuning in to Internet radio.
Peer-to-Peer
Client and server programming ordinarily run on discrete PCs, yet it is also feasible for one PC to simultaneously complete the
two jobs. In private companies and homes, hosts work as servers or clients on the network. This sort of system is known as a
shared network. An example of that would be several users connected to the same printer from their individual devices.

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5.6: LANs, WANs, and the Internet
Overview of Network Components
The link between the sender and the receiver can be as simple as a single cable connection between these two devices or more
sophisticated as a set of switches and routers between them.
Figure 5.6.1 : Lan-wan Networks. Image by Stuart Gray is licensed CC BY-SA

The network framework contains three classes of network segments:
Devices
Media
Services
Devices and media are the physical components, or equipment, of the network. Equipment is regularly the noticeable segment
of the network stage, for example, a PC, switch, remote passageway, or the cabling used to associate the devices.
Administrations incorporate a significant number of the basic network applications individuals utilize each day, similar to
email facilitating administrations and web facilitating administrations. Procedures give the usefulness that coordinates and
moves the messages through the network. Procedures are more subtle to us yet are basic to the activity of networks.
End Devices
An end device is either the source or destination of a message transmitted over the network. Each end device is identified by
an IP address and a physical address. Both addresses are needed to communicate over a network. IP addresses are unique
logical IP addresses that are assigned to every device within a network. If a device moves from one network to another, then
the IP address has to be modified.
Physical addresses, also known as MAC (Media Access Control) addresses, are unique addresses assigned by the device
manufacturers. These addresses are permanently burned into the hardware.
Intermediary Network Devices

Some devices act as intermediaries between devices. They are called delegated devices. These delegate devices give
availability and guarantee that information streams over the network.
Routers utilize the destination end device address, related to data about the network interconnections, to decide how messages
should take through the network.
Network Media

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A medium called network media carries the act of transport data. The medium gives the channel over which the message
makes a trip from source to destination.
Present-day organizations basically utilize three sorts of media to interconnect devices and give the pathway over which
information can be transmitted.
These media are:
Metallic wires within cables (Copper) - information is encoded into electrical driving forces.
Glass or plastic fibers (fiber optic cable) - information is encoded as beats of light.
Wireless transmission - information is encoded utilizing frequencies from the electromagnetic range.
Various sorts of network media have various highlights and advantages. Not all network media have similar qualities, nor are
they all appropriate for the same purpose.
Figure 5.6.2 : Network Cables. Image by blickpixel from Pixabay is licensed CC BY SA
Figure 5.6.3 : Fiber Optic Cable. Image by blickpixel from Pixabay is licensed CC BY SA
Bluetooth
While Bluetooth is not generally used to connect a device to the Internet, it is an important wireless technology that has
enabled many functionalities that are used every day. When created in 1994 by Ericsson, it was intended to replace wired
connections between devices. Today, it is the standard method for connecting nearby devices wirelessly. Bluetooth has a range
of approximately 300 feet and consumes very little power, making it an excellent choice for various purposes.
Figure 5.6.4 : Bluetooth combo wordmark 2011. Image by House is licensed under Public Domain
Some applications of Bluetooth include: connecting a printer to a personal computer, connecting a mobile phone and headset,
connecting a wireless keyboard and mouse to a computer, and connecting a remote for a presentation made on a personal
computer.

Wael Abdeljabbar
5.7: Network Representations
To draw a diagram of a network, symbols are utilized by network professionals to represent the different devices and
connections which make up a network.
A diagram gives a simple method to see how devices in a huge network are associated. This kind of "picture" of a network is
known as a topology diagram. The capacity to perceive the legitimate portrayals of the physical systems administration
segments is basic to have the option to imagine the association and activity of a network.
Notwithstanding these portrayals, particular phrasing is utilized while discussing how every one of these devices and media
interfaces with one another. Significant terms to recall are:
Network Interface Card: A NIC or LAN connector gives the physical association with the PC or opposite end device's
network. The media that are associating the PC to the network administration device plug legitimately into the NIC.
Physical Port: A connector or outlet on a network administration device where the media is associated with an end device
or another network administration device.
Interface: Specialized ports on a network administration device that associate with singular networks. Since switches are
utilized to interconnect networks, the ports on a network allude to network interfaces.
Topology Diagrams
Understanding topology diagrams are required for anybody working with a network. They give a visual guide of how the
network is associated.
There are two sorts of Topology diagrams:
Physical topology and Logical topology diagrams. The physical topology diagrams identify the physical location of
intermediary devices and cable installation.
The Logical topology diagrams identify devices, addressing schemes, and ports.
With physical topology, it is quite self-explanatory. It is how they are interconnected with cables and wires physically. The
logical topology is how connected devices are seen to the user.
Types of Networks
Networks foundations can fluctuate extraordinarily regarding:
Size of the territory secured
Number of users connected
Number and kinds of administrations accessible
Territory of obligation
The two most normal sorts of system frameworks:
Local Area Network (LAN): A network framework that gives access to clients and end devices in a little topographical
zone, commonly an enterprise, small business, home, or small business network possessed and oversaw by an individual or
IT department.
Wide Area Network (WAN): A network foundation that gives access to different networks over a wide topographical
region, commonly possessed and overseen by a broadcast communications specialist co-op.
Different kinds of networks include:
Metropolitan Area Network (MAN): A network foundation that traverses a physical region bigger than a LAN yet littler
than a WAN (e.g., a city). Keep an eye on are ordinarily worked by a solitary substance, for example, a huge association.
Wireless LAN (WLAN): Like a LAN, it remotely interconnects clients and focuses on a little geological region.
Storage Area Network (SAN): A network foundation intended to help record servers and give information stockpiling,
recovery, and replication.

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Local Area Networks
LANs are a network foundation that traverses a little topographical territory. Explicit highlights of LANs include:
LANs interconnect end devices in a restricted region, for example, a home, school, place of business, or grounds.
A solitary association or person normally directs a LAN. The managerial control that oversees the security and access
control arrangements is upheld on the network level.
LANs give rapid data transfer capacity to inward end gadgets and delegate devices.
Figure 5.7.1 : Local Area Network. Image by T.seppelt, derivative work from File:Ethernet.png, including content of the Open
Clip Art Library, by © 2007 Nuno Pinheiro & David Vignoni & David Miller & Johann Ollivier Lapeyre & Kenneth Wimer &
Riccardo Iaconelli / KDE / LGPL 3, User:George Shuklin and the Tango Project! is licensed CC BY-SA
Wide Area Networks

WANs are a network foundation that traverses a wide topographical zone. WANs are ordinarily overseen by specialist
organizations (SP) or Internet Service Providers (ISP).
Explicit highlights of WANs include:
WANs interconnect LANs over wide geological zones, for example, between urban areas, states, territories, nations, or the
mainland.
Numerous specialist organizations typically manage WANs.
WANs ordinarily give more slow speed joins between LANs

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Figure 5.7.2 : LAN WAN scheme. Image by Gateway_firewall.svg: Harald Mühlböck derivative work: Ggia is licensed CC BY-
SA

Wael Abdeljabbar
5.8: The Internet, Intranets, and Extranets
The Internet
The Internet is an overall assortment of interconnected networks (internetworks or web for short).
A portion of the LAN models is associated with one another through a WAN association. WANs are then associated with one
another. The WAN association lines speak to all the assortments of ways we interface networks. WANs can connect through
copper wires, fiber optic cables, and wireless transmissions.
No individual or group doesn't own the Internet. Guaranteeing compelling correspondence over this various framework
requires the use of steady and generally perceived advances and norms, just as the collaboration of many network organization
offices. Some associations have been produced to keep up the structure and normalization of Internet conventions and
procedures. These organizations incorporate the Internet Engineering Task Force (IETF), Internet Corporation for Assigned
Names and Numbers (ICANN), and the Internet Architecture Board (IAB), in addition to numerous others.
Have you ever wondered how your smartphone can function the way it does? Have you ever wondered how you can search for
information on the web and find it within milliseconds? The world’s largest implementation of client/server computing and
internetworking is the Internet.
The world’s largest implementation of client/server computing and internetworking is the Internet. The internet is also a
system, which is the most extensive public way of communicating. The internet began in the 20th century; it initially started as
a network for the U.S Department of Defense to globally connect university professors and scientists. Most small businesses
and homes have access to the internet by subscribing to an internet service provider (ISP), a commercial organization with a
permanent connection to the internet, which sells temporary connections to retail subscribers. For example, AT&T, NetZero,
and T-Mobile. A DSL (Digital subscriber line) operates over existing telephone lines to carry data, voice, and video
transmission rates. The base of the internet is TCP/IP networking protocol suite. When two users on the internet exchange
messages, each message is decomposed into packets using the TCP/IP protocol.
Have you ever wondered what happens when you type a URL in the browser and press enter? The browser checks a DNS
record in the cache to find the corresponding IP address to the domain. First, you type in a specific URL into your browser.
The browser then checks the cache for a DNS record to find the website's corresponding IP address. If the URL is not in the
cache, ISP’s (Internet Service Provider)’s DNS server starts a DNS query to find the server's IP address that hosts the website.
The browser then starts a TCP connection with the server. Then, the browser sends an HTTP request to the webserver. After
that, the server handles the request and sends an HTTP response back. Finally, the browser shows the HTML content. For
example, www.Wikipedia.org/ has an IP address, that specific IP address could be searched starting with http:// on a browser/
The DNS contains a list of URLs, including their IP addresses.
The DNS (Domain Name System) changes domain names into IP addresses. The domain name is the English name of the
thing, and that has 32-bits which are unique and numeric to that English name. To access a computer on the internet, they only
need to specify the domain name.
Intranets and Extranets

There are two different terms which are like the term Internet: Intranets and Extranets.
Intranet is a term frequently used to describe a private association of LANs and WANs that has a place with an association. It
is intended to be available only for approved individuals, workers, or others of an organization.
An extranet is a term used to describe the case when an organization wants to give secure and safe access to people who work
for another organization yet expect access to the association's information. Examples of extranets include:
An organization that is giving access to outside providers and temporary workers.
An emergency clinic gives a booking system to specialists so they can make arrangements for their patients.
A nearby office of training gives spending plans and staff data to the schools in its region.

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5.9: Internet Connections
Internet Access Technologies
There is a wide range of approaches to associate users and associations with the Internet.
Home clients (telecommuters) and workplaces regularly require an association with an Internet Service Provider (ISP) to
access the Internet. Association alternatives change significantly among ISP and topographical areas. Notwithstanding,
companies incorporate a broadband link, broadband computerized endorser line (DSL), remote WANs, and versatile
administrations.
Associations commonly expect access to other corporate destinations and the Internet. Quick associations are required to help
business administrations, including IP telephones, video conferencing, and server farm stockpiling.
Business-class interconnections are normally given by specialist organizations (SP). Well-known business-class
administrations incorporate business DSL, rented lines, and Metro Ethernet.
Home and Small Office Internet Connections

Regular connection choices for little office and home office users:
Cable: Typically offered by digital TV specialist co-ops, the Internet information signal is carried on a similar link that
conveys satellite TV. It gives a high transmission capacity, consistently on, association with the Internet.
DSL: Digital Subscriber Lines gives a high data transmission, consistently on, association with the Internet. DSL runs over
a phone line when all is said in done, small office and home office clients associate utilizing Asymmetrical DSL (ADSL),
which implies that the download speed is quicker than the upload speed.
Cellular: For a Cell phone network to connect, it utilizes cellular internet access. Any place you can get a phone signal,
you can get cell Internet. Execution will be restricted by the telephone's abilities and the cell tower to which it is associated.
The fourth generation of broadband cellular network technology is 4G, which most people are familiar with because it is on
smartphones. 5G is upcoming and expected to be faster than and succeed 4G by 100 times, which will have the ability to
transmit a lot more data at a much faster pace than 4G.
Satellite: Internet access through satellite is a genuine advantage in those territories that would somehow or another have
no Internet availability by any means. Satellite dishes require a clear line of sight to the satellite.
Dial-up telephone: An economical choice that utilizes any telephone line and a modem. The low transmission capacity
supported by a dial-up modem association is normally not adequate for huge information transfer. However, it is still a
valuable choice wherever other options are not available such as in rural areas or remote locations where phones are the
only means of communication.
Fiber optic links are increasingly becoming more available to home and small businesses. This empowers an ISP to give
higher data transmission speeds and bolster more administrations, for example, Internet, telephone, and TV.
Business Internet Connections

Corporate connection choices contrast from home client alternatives. Organizations may require higher transmission capacity,
devoted data transmission, and oversaw administrations. Business connection options include:
Dedicated Leased Line: Leased lines are really saved circuits inside the specialist organization's system that interface
geologically isolated workplaces for private voice or potentially information organizing. The circuits are ordinarily leased
at a month-to-month or yearly rate. They can be costly.
Ethernet WAN: Ethernet WANs broaden LAN access into the WAN. Ethernet is a LAN innovation you will find out about
in a later section. The advantages of Ethernet are currently being reached out into the WAN.
DSL: Business DSL is accessible in different organizations. A famous decision is Symmetric Digital Subscriber Lines
(SDSL) which is like the purchaser rendition of DSL. However, it gives transfers and downloads at similar paces.
Satellite: Like small office and home office clients, satellite help can give an association when a wired arrangement isn't
accessible.
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The decision of connection shifts relying upon topographical area and specialist organization accessibility.
Figure 5.9.1 : Devices connection. Image by BroadVoice is licensed CC BY 1.0
Sidebar: An Internet Vocabulary Lesson

Networking communication is full of some very technical concepts based on some simple principles. Learn the terms
below, and you will be able to hold your own in a conversation about the Internet.
Packet: The fundamental unit of data transmitted over the Internet. When a device intends to send a message to
another device (for example, your PC sends a request to YouTube to open a video), it breaks the message down into
smaller pieces, called packets. Each packet has the sender’s address, the destination address, a sequence number, and a
piece of the overall message to be sent.
Hub: A simple network device connects other devices to the network and sends packets to all the devices connected to
it.
Bridge: A network device that connects two networks and only allows packets through that are needed.
Switch: A network device that connects multiple devices and filters packets based on their destination within the
connected devices.
Router: A device that receives and analyzes packets and then routes them towards their destination. In some cases, a
router will send a packet to another router; it will send it directly to its destination in other cases.
IP Address: Every device that communicates on the Internet, whether it be a personal computer, a tablet, a
smartphone, or anything else, is assigned a unique identifying number called an IP (Internet Protocol) address.
Historically, the IP-address standard used has been IPv4 (version 4), which has the format of four numbers between 0
and 255 separated by a period. For example, the domain Saylor.org has an IP address of 107.23.196.166. The IPv4
standard has a limit of 4,294,967,296 possible addresses. As the use of the Internet has proliferated, the number of IP
addresses needed has grown to the point where IPv4 addresses will be exhausted. This has led to the new IPv6
standard, which is currently being phased in. The IPv6 standard is formatted as eight groups of four hexadecimal
digits, such as 2001:0db8:85a3:0042:1000:8a2e:0370:7334. The IPv6 standard has a limit of 3.4×1038 possible
addresses. For more detail about the new IPv6 standard, see this Wikipedia article.
Domain name: If you had to try to remember the IP address of every web server you wanted to access, the Internet
would not be nearly as easy to use. A domain name is a human-friendly name for a device on the Internet. These
names generally consist of a descriptive text followed by the top-level domain (TLD). For example, Wikipedia's
domain name is Wikipedia.org; Wikipedia describes the organization, and .org is the top-level domain. In this case, the
.org TLD is designed for nonprofit organizations. Other well-known TLDs include .com , .net , and .gov . For a
complete list and description of domain names, see this Wikipedia article.
DNS: DNS stands for “domain name system,” which acts as the directory on the Internet. A DNS server is queried
when a request to access a device with a domain name is given. It returns the IP address of the device requested,
allowing for proper routing.
Packet-switching: When a packet is sent from one device out over the Internet, it does not follow a straight path to its
destination. Instead, it is passed from one router to another across the Internet until it reaches its destination. In fact,
sometimes, two packets from the same message will take different routes! Sometimes, packets will arrive at their
destination out of order. When this happens, the receiving device restores them to their proper order. For more details
on packet switching, see this interactive web page.

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Protocol: In computer networking, a protocol is the set of rules that allow two (or more) devices to exchange
information back and forth across the network.

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5.10: The Network as a Platform Converged Networks
Traditional Separate Networks
Consider a school which was built thirty years ago. A few study halls were cabled for the data network, phone network, and
video network for TVs in those days and these different networks couldn't speak with one another.
Each network utilized various innovations to convey the correspondence signal. Each network had its own arrangement of
rules and measures to guarantee successful correspondence.
The Converging Network

Today, the separate data, phone, and video networks are converging. In contrast to traditional networks, merged networks are
equipped for conveying information, voice, and video between a wide range of sorts of devices over a similar system
foundation.
This network foundation utilizes a similar arrangement of rules, understandings, and implementation standards.

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5.11: Reliable Network
Network Architecture
Networks must help a wide scope of applications and services, just as they work over a wide range of cables and devices,
making up the physical infrastructure. In this specific situation, the term network architecture alludes to the technologies that
help the foundation and the programmed services and rules, or protocols, that move data over the network.
As networks advance, we are finding that there are four fundamental qualities that the underlying architectures need to deliver
to meet users desires:
Fault Tolerance
Scalability
Quality of Service (QoS)
Security
Fault Tolerance
The desire is that the Internet is consistently accessible to a great many clients who depend on it. This requires a network
architecture that is worked to tolerate flaws. A fault-tolerant network restrains the effect of failure, with the goal that the least
number of devices are influenced. It is additionally worked in a manner that permits brisk recuperation when such a
disappointment happens. These networks rely upon various ways between the source and goal of a message. If a path fails, the
messages can be instantly sent over an alternate link. Having numerous ways to a goal is known as redundancy.
One way dependable networks give repetition is by executing a packet-switched network. Packet switching parts traffic into
packets that are steered over a shared network. For example, a solitary message, an email, or a video stream, is broken into
multiple message blocks, called packets. Every packet has the important addressing information of the source and goal of the
message. The routers inside the network switch the packets dependent on the state of the network at that point. This implies all
the packets in a solitary message could take totally different ways to the goal.
Scalability
A scalable network can grow rapidly to help new users and applications without affecting the service's performance being
conveyed to existing users.
Another network can be effortlessly added to a current network. Furthermore, networks are versatile because the designers
observe acknowledged protocols and standards. This permits software and hardware vendors to improve items and
administrations without stressing over structuring another arrangement of rules for working inside the network.
Quality of Service
Quality of Service (QoS) is additionally a consistently expanding requirement of networks today. New applications accessible
to users over internetworks, for example, voice and live video transmissions, make better standards for the quality of the
delivered services. Have you at any point attempted to watch a video with steady breaks and stops? As information, voice, and
video content keep on combining into a similar system, QoS turns into an essential instrument for overseeing blockage and
guaranteeing dependable conveyance of substance to all users.
Congestion happens when the interest for bandwidth surpasses the amount which is accessible. Network bandwidth is
estimated in the number of bits transmitted in a solitary second or bits per second (bps). When synchronous correspondences
have endeavored over the network, the interest for network bandwidth can surpass its accessibility, making network
congestion.
When traffic volume is more prominent than what can be shipped over the network, devices queue or hold the packets in
memory until assets become accessible to transmit them.

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With a QoS strategy set up, the router can deal with data and voice traffic progression, offering priority to voice
communications if the network encounters congestion.
Security
Vital individual and business resources are the network infrastructure, services, and the data contained on network-attached
devices.
Two kinds of network security worries must be addressed: network infrastructure security and information security.
Ensuring a network infrastructure incorporates the physical securing of devices that give network connectivity and forestalling
unapproved access to the management software that resides on them.
Data security ensures that the data contained inside the packets being transmitted over the network and the data put away on
network-attached devices. To accomplish the objectives of network security, there are three essential requirements:
Confidentiality: Data secrecy implies that just the planned and approved recipients can access and read information.
Integrity: Data honesty affirms that the data has not been adjusted in transmission, from root to goal.
Availability- Data accessibility implies confirmation of timely and solid access to information services for approved users.

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5.12: The Changing Network Environment Network Trends
New Trends
As new technologies and end-user devices come to market, businesses and purchasers must keep on acclimating to this ever-
evolving condition. The job of the network is changing to empower the connections between individuals, devices, and data.
There are a few new networking trends that will impact organizations and purchasers. A portion of the top trends include:
Bring Your Own Device (BYOD)
Video communications
Online collaboration
Cloud computing
Bring Your Own Device

The idea of any device, to any content, in any way, is a significant worldwide trend that requires huge changes to the manner
in which devices are utilized. This trend is known as Bring Your Own Device (BYOD).
BYOD is about end users having the opportunity to utilize individual tools in order to get to data and convey over a business
or campus network. With the development of customer devices and the related drop in cost, representatives and students can
be relied upon to have probably the most progressive computing and networking tools for individual use. These individual
tools can be laptops, e-books, tablets, cell phones, and tablets. These can be devices bought by the organization or school,
bought by the individual, or both.
BYOD implies any device, with any possession, utilized anyplace. For instance, previously, a student who expected to get
access to the campus network or the Internet needed to utilize one of the school's PCs. These devices were commonly
constrained and seen as instruments just for work done in the study hall or in the library. Expanded availability through
portable and remote access to the campus network gives students a lot of adaptability and opens doors of learning for the
student.
Online Collaboration
People want to connect with the network, for access to data applications, in addition to team up with each other.
Collaboration is characterized as "the demonstration of working with another or others on a joint venture." Collaboration tools,
give representatives, students, instructors, clients, and accomplices an approach to quickly interface, connect, and accomplish
their targets.
For businesses, collaboration is a basic and vital need that associations are utilizing to sustain their competition. Collaboration
is additionally a need in training. Students need to work together to help each other in learning, to create group abilities
utilized in the workplace, and to cooperate on group based projects.
Video Communication
Another trend in networking that is basic to the correspondence and joint effort exertion is video. Video is being utilized for
interchanges, cooperation, and amusement. Video calls can be made to and from anyplace with an Internet connection.

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Figure 5.12.1 : A video call showing a group of people on the screen. Image by photo by Chris Montgomery on Unsplash is
licensed under CC BY SA 2.0
Video conferencing is an incredible asset for speaking with others from a distance, both locally and worldwide. Video is
turning into a basic necessity for successful joint effort as associations stretch out across geographic and social limits.
Cloud Computing
Cloud computing is another worldwide trend changing how we access and store information. Cloud computing permits us to
store individual files, even backup our whole hard disk drive on servers over the Internet. Applications, for example, word
processing, and photograph editing, can be accessed utilizing the Cloud.
When it comes to businesses, cloud computing expands IT's capabilities without requiring interest in new infrastructure,
preparing new faculty, or permitting new software. These services are accessible on request and conveyed economically to any
device on the planet without trading off security or capacity.
There are four essential Clouds: Public Clouds, Private Clouds, Hybrid Clouds, and Custom Clouds. Snap each Cloud to find
out additional.
Cloud computing is conceivable because of data centers. A data center is an office used to house PC frameworks and related
parts. A data center can consume one room of a building, at least one story, or the whole thing. Data centers are commonly
over the top expensive to manufacture and keep up. Therefore, just huge associations utilize secretly fabricated data centers to
house their information and offer users assistance. Smaller associations that can't afford to keep up their own private data
center can lessen the general expense of ownership by renting server and capacity services from a bigger data center
association in the Cloud.

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5.13: Technology Trends in the Home
Networking trends are not just influencing how we work or study, and they are also changing pretty much every part of the
home.
The most up-to-date home trends incorporate smart home technology, a technology that is coordinated into habitual
appliances, permitting them to interconnect with different devices, making them progressively 'smart' or automated. For
instance, envision having the option to set up a dish and spot it in the broiler for cooking before going out for the afternoon.
Envision if the stove knew of the dish it was cooking and was associated with your 'schedule of occasions' so it could figure
out what time you will be eating and change start times and length of cooking accordingly. It could even modify cooking times
and temperatures dependent on plan changes. Furthermore, a cell phone or tablet connection permits the user to interface with
the broiler straightforwardly to make any ideal changes. When the dish is "accessible," the stove sends an alarm message to a
predefined end-user device that the dish is done and warming.
This situation isn't long-off. Actually, smart home technology is being created for all rooms inside a house. It will turn out to
be a greater degree of reality as home networking and high-speed Internet technology become progressively far-reaching. New
home networking technologies are being grown day by day to meet these sorts of developing technology needs.
Powerline Networking
Powerline networking is a rising trend for home networking that utilizes existing electrical wiring to connect devices.
The idea of "no new wires" signifies the capacity to connect a device to the network where there is an electrical outlet. This
spares the expense of introducing data cables and with no extra expense to the electrical bill. Utilizing similar wiring that
conveys power, powerline networking sends information by sending data on specific frequencies.
Utilizing a standard powerline adapter, devices can connect with the LAN any place there is an electrical outlet. Powerline
networking is beneficial when wireless access points can't be utilized or can't arrive at all to the devices in the home.
Powerline networking isn't intended to fill in for committed cabling in data networks. But it is an alternative when data
network cables or wireless communications are not a reasonable choice.
Wireless Broadband
Connecting with the Internet is indispensable in savvy home innovation. DSL and cable are basic advances used to connect
homes and private companies to the Internet. Nonetheless, remote access might be another choice in numerous regions.
Another remote answer for home and independent companies is wireless broadband. This uses the equivalent cell innovation
to get to the Internet with an advanced mobile phone or tablet. A radio wire is introduced outside the house, giving either
remote or wired availability for home devices. In numerous zones, home wireless broadband is contending legitimately with
DSL and cable services.
Wireless Internet Service Provider (WISP)

Wireless Internet Service Provider (WISP) is an ISP that connects subscribers of an assigned passage or problem area utilizing
comparable remote innovations found in-home wireless local area networks (WLANs). WISPs are all the more usually found
in provincial situations where DSL or cable services are not accessible.
Though a different transmission tower might be introduced for the antenna, the antenna is usually connected to a current raised
structure, such as a water tower or a radio pinnacle. A little dish or radio wire is introduced on the subscriber's rooftop in the
WISP transmitter's scope. The subscriber's entrance unit is associated with the wired system inside the home. From the home
user's point of view, the arrangement isn't vastly different from DSL or cable service. The principle distinction is that the
home's connection to the ISP is remote rather than a physical link.
Sidebar: Why Doesn’t My Cell Phone Work When I Travel Abroad?

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As mobile phone technologies have evolved, providers in different countries have chosen different communication standards
for their mobile phone networks. In the US, both of the two competing standards exist GSM (used by AT&T and T-Mobile)
and CDMA (used by the other major carriers). Each standard has its pros and cons, but the bottom line is that phones using
one standard cannot easily switch to the other.
In the US, this is not a big deal because mobile networks exist to support both standards. But when you travel to other
countries, you will find that most of them use GSM networks, with the one big exception being Japan, which has standardized
on CDMA. It is possible for a mobile phone using one type of network to switch to the other type of network by switching out
the SIM card, which controls your access to the mobile network. However, this will not work in all cases. If you are traveling
abroad, it is always best to consult with your mobile provider to determine the best way to access a mobile network.

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5.14: Network Security
Security Threats
Network security is an indispensable piece of computer networking today, whether or not the network is restricted to a home
domain with a solitary connection with the Internet or as extensive as an organization with many users. The network security
that is executed must consider the environment, just as the system's devices and prerequisites. It must have the option to keep
the data secure while considering the quality of service anticipated from the network.
Ensuring a network is secure includes technologies, protocols, devices, tools, and techniques to keep data secure and moderate
threat vectors. Threat vectors might be external or internal. Numerous external network security threats today are spread over
the Internet.
The most widely recognized external threats to networks include:
Viruses, worms, and Trojan horses- malignant programming and subjective code running on a client device
Spyware and adware - software installed on a user device that covertly gathers data about the user Zero-day attacks,
likewise called zero-hour attacks - an assault that happens on a principal day that a defenselessness gets known
Hacker attacks- an assault by an educated individual to user devices or network assets
Denial of service attacks- assaults intended to slow or crash applications and procedures on a network device
Data interception and theft - an assault to catch private data from an association's network
Identity theft- an assault to take the login qualifications of a user to get to private information
It is similarly critical to think about internal threats. There have been numerous examinations showing that the most well-
known data breaches happen due to the network's internal users. This can be credited to lost or taken devices, inadvertent
abuse by workers, and in the business condition, even malignant representatives. With the advancing BYOD systems,
corporate information is considerably more powerless. Accordingly, it is critical to address both outside and interior security
dangers when building up a security strategy.
Security Solutions
No single arrangement can shield the network from the many threats that exist. Consequently, security ought to be
implemented in various layers, utilizing more than one security arrangement. If one part of the security fails to recognize and
shield the network, others will stand.
A home network security execution is typically rather essential. It is commonly executed on the interfacing end devices, just as
connected with the Internet, and can even depend on contracted services from the ISP.
Conversely, the network security implementation for a corporate network, for the most part, comprises numerous segments
incorporated with the network to screen and channel traffic.
In a perfect world, all segments cooperate, which limits maintenance and improves overall security.
Network security parts for a home or little office network should at least incorporate the following:
Antivirus and antispyware: These are utilized to shield end devices from getting contaminated with vindictive software.
Firewall filtering: This is utilized to prevent unapproved access to the network. This may incorporate a host-based firewall
system that is actualized to forestall unapproved access to the end device or an essential separating service on the home
router to keep unapproved access from the outside world into the network.
Bigger networks and corporate networks frequently have other security necessities:
Dedicated firewall systems: These are utilized to develop further firewall abilities that can channel a lot of traffic with
greater granularity.
Access control lists (ACL): These are utilized to channel access and traffic sending additionally.
Intrusion prevention systems (IPS): These are utilized to distinguish quick-spreading dangers, for example, zero-day or
zero-hour assaults.

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Virtual Private Networks (VPN): These are utilized to give secure access to telecommuters.
Networks security necessities must consider the network condition, just like the different applications and processing
prerequisites. Both home situations and organizations must have the option to secure their data yet consider the quality of
service that is anticipated from every innovation. Furthermore, the security arrangement executed must be versatile to the
developing and changing trends of the network.
The study of network security dangers and relief strategies begins with a concise understanding of the underlying switching
and routing infrastructure utilized to organize network services.

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5.15: Summary
Summary
Networks and the Internet have changed how we impart, learn, work, and even play.
Networks come in all sizes. They can run from basic networks consisting of two PCs to networks connecting a large number of
devices.
The Internet is the biggest network presently. Truth be told, the term Internet implies a 'network of networks.'
The Internet offers the types of assistance that empower us to interface and speak with our families, companions, work, and
interests.
The network foundation is the stage that underpins the network. It gives the steady and dependable channel over which
correspondence can happen. It comprises network parts, including end devices, halfway devices, and network media.
Networks must be dependable. This implies the network must be tolerant to flaws, adaptable, give quality of service, and
guarantee the network's data and assets. Network security is a basic piece of PC networking, whether or not the network is
restricted to a home situation with a solitary connection with the Internet or as extensive as an enterprise with many users. No
single arrangement can shield the network from the assortment of dangers that exist. Consequently, security ought to be
executed in numerous layers, utilizing more than one security arrangement.
The network infrastructure can change significantly based on size, many users, and the sorts of upheld administrations. The
network infrastructure must develop and change by how the network is utilized. The routing and switching stage is the
establishment of any networked framework.

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Study Questions
1. Identify the first four locations hooked up to the ARPANET
2. Describe the difference between the Internet and the World Wide Web
3. List three of your favorite Web 2.0 apps or websites
4. Identify the killer app for the Internet
5. List a few home internet connections
6. List a few business internet connections
7. Describe the difference between a LAN and a WAN
8. Describe the difference between an intranet and an extranet
9. Explain what a network topology is
10. Explain what powerline networking is
Exercises
1. Give an example of each of the following terms:
Wireless LAN (WLAN)
Wide-area network (WAN)
Intranet
Local-area network (LAN)
Extranet
2. Give an example for each of the following:
Fault tolerance
Scalability
Quality of service (QoS)
Security
3. Create a google account at - google.com, create a new document using google docs, share the document with others and
explore document sharing via your google account.
4. Find the IP address of your computer. Explain the steps how you find it.
5. Identify your or your school’s Internet service provider.
6. Pretend that you are planning a trip to three foreign countries in the next month. Consult your wireless carrier to determine
if your mobile phone would work properly in those countries. Identify if there are costs and other alternatives to have your
phone work properly.

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CHAPTER OVERVIEW
We discuss the information security triad of confidentiality, integrity, and availability. We will
review different types of threats and associated costs for individuals, organizations, and nations. We
will discuss different security tools and technologies, how security operation centers can secure
organizations’ resources and assets, and a primer on personal information security.
6.1: INTRODUCTION
Despite technology being convenient, it can also be used against us and threaten our devices'
security.
6.2: THE INFORMATION SECURITY TRIAD- CONFIDENTIALITY, INTEGRITY,

AVAILABILITY (CIA)
With power comes responsibility, and the internet comes with responsibility which includes integrity, confidentiality, and availability,
which ensure each individual's safety and security.

To ensure the confidentiality, integrity, and availability of information, organizations can choose from various tools.
6.4: THREAT IMPACT

Personally identifiable information (PII) protects people from identity fraud, credit card fraud, etc.
Like real-life crime, cybercrime exists, and Security Operations Center safeguards companies from internal and external threats.

Much of the business networks will be up and running. Security staff recognizes that network stability must be maintained for the
company to achieve its goals.
6.7: SUMMARY
1 8/28/2021
6.1: Introduction
As computers and other digital devices have become essential to business and commerce, they have also increasingly become
a target for attacks. For a company or an individual to use a computing device with confidence, they must first be assured that
the device is not compromised in any way and that all communications will be secure. This chapter reviews the fundamental
concepts of information systems security and discusses some of the measures that can be taken to mitigate security threats. The
chapter begins with an overview focusing on how organizations can stay secure. Several different measures that a company
can take to improve security will be discussed. Finally, you will review a list of security precautions that individuals can take
to secure their personal computing environment.

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6.2: The Information Security Triad- Confidentiality, Integrity, Availability (CIA)
The Information Security Triad: Confidentiality, Integrity, Availability (CIA)
Figure 6.2.1 : The Information Security triad: CIA. Image by John M. Kennedy T., is licensed under CC BY-SA
Confidentiality
Protecting information means you want to restrict access to those who are allowed to see it. This is sometimes referred to as
NTK, Need to Know, and everyone else should be disallowed from learning anything about its contents. This is the essence of
confidentiality. For example, federal law requires that universities restrict access to private student information. Access to
grade records should be limited to those who have authorized access.
Integrity
Integrity is the assurance that the information being accessed has not been altered and truly represents what is intended. Just as
people with integrity mean what they say and can be trusted to represent the truth consistently, information integrity means
information truly represents its intended meaning. Information can lose its integrity through malicious intent, such as when
someone who is not authorized makes a change to misrepresent something intentionally. An example of this would be when a
hacker is hired to go into the university’s system and change a student’s grade.
Integrity can also be lost unintentionally, such as when a computer power surge corrupts a file or someone authorized to make
a change accidentally deletes a file or enters incorrect information.
Availability
Information availability is the third part of the CIA triad. Availability means information can be accessed and modified by
anyone authorized to do so in an appropriate time frame. Depending on the type of information, an appropriate timeframe can
mean different things. For example, a stock trader needs information to be available immediately, while a salesperson may be
happy to get sales numbers for the day in a report the next morning. Online retailers require their servers to be available
twenty-four hours a day, seven days a week. Other companies may not suffer if their web servers are down for a few minutes
once in a while.
You'll learn about who, what, and why of cyber-attacks in this chapter. Different people commit cybercrime for different
purposes. Security Operations Centers are designed to fight cybercrime. Jobs in a Security Operations Center (SOC) can be
obtained by earning certifications, seeking formal education, and using employment services to gain internship experience and
job opportunities.
The Danger
In chapter 5, we discussed various security threats and possible solutions. Here are a few scenarios to illustrate how hackers
trick users.
Hijacked People

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Melanie stopped at her favorite coffee shop to grab her drink for the afternoon. She placed her order, paid the clerk, and waited
to fulfill orders' backup while the baristas worked furiously. Melanie took her phone out, opened the wireless client, and linked
to what she thought was the free wireless network for the coffee shop.
Sitting in the corner of the store, however, a hacker had just set up a free, wireless hotspot "rogue" posing as the wireless
network of the coffee shop. The hacker hijacked her session when Melanie logged on to her bank's website and accessed her
bank accounts.
Hijacked Companies
Jeremy, an employee of a large, publicly-held corporation's finance department, receives an email from his CEO with an
enclosed file in Adobe’s PDF format. The PDF regards earnings for the organization in the third quarter. Jeremy does not
recall his department making the PDF. His interest is triggered, and he opens his attachment.
The same scenario plays out around the company as thousands of other workers are enticed to click on the attachment
successfully. As the PDF opens, ransomware is mounted on the workers' computers, including Jeremy’s, and the process of
storing and encrypting corporate data begins. The attackers' target is financial gain, as they keep the company's ransom data
until they get paid. The consequences for opening an attachment in a spam mail or from an unfamiliar address could be
disastrous, as with Jeremy’s case.
Targeted Nations
Some of today's malware is so sophisticated and expensive to create that security experts believe that it could be created only
by a nation-state or group of nations. This malware can be designed to attack vulnerable infrastructures, such as the water
network or electric grid.
This was the aim of the Stuxnet worm, infecting USB drives. The movie World War 3.0 Zero Days tells a story of a malicious
computer worm called Stuxnet. Stuxnet has been developed to penetrate Programmable Logic Controllers (PLCs) from
vendors-supported nuclear installations. The worm was transmitted into the PLCs from infected USB drives and ultimately
damaged centrifuges at these nuclear installations.
Threat Actors
Threat actors include amateurs, hacktivists, organized crime groups, state-funded groups, and terrorist organizations. Threat
actors are individuals or a group of individuals conducting cyber-attacks on another person or organization. Cyberattacks are
intentional, malicious acts intended to harm another individual or organization. The major motivations behind cyberattacks are
money, politics, competition, and hatred.
Known as script kiddies, amateurs have little or no skill. They often use existing tools or instructions to start attacks found on
the Internet. Some are only curious, while others seek to show off their abilities by causing damage. While they use simple
methods, the outcomes can often be catastrophic.
Hacktivists
A hacktivist can act independently or as a member of an organized group. Hacktivists are hackers who rage against many
social and political ideas. Hacktivists openly demonstrate against organizations or governments by publishing articles and
images, leaking classified information, and crippling web infrastructure through distributed denial of service ( DDoS) attacks
with illegal traffic. A denial of service (DoS) attack is one of the most powerful cyberattacks in which the attacker bombards
the target with traffic requests that overwhelm the target server in an attempt to crash it. A distributed denial of service (DDoS)
attack is a more sophisticated version of DoS in which a set of distributed computer systems attacks the target.
Financial Gain
The financial gain motivates much of the hacking activity that constantly threatens our security. Cyber Criminals are people
who utilize technology for their own malicious intentions, such as stealing personal information to make a profit. Such
cybercriminals want access to our bank accounts, personal data, and everything else they can use for cash flow generation.
Trade Secrets and Global Politics
In the past few years, several reports have been seen of nation-states hacking other nations or otherwise intervening with
internal policies. National states are also keen to use cyberspace for industrial spying. Intellectual property theft can give a
country a considerable advantage in international trade.

Wael Abdeljabbar
Defending against the consequences of state-sponsored cyberespionage and cyber warfare will continue to be a priority for
cybersecurity professionals.
How Secure is the Internet of Things

The Internet of Things ( IoT) is rapidly expanding all around us. The internet of things is a network of physical objects that
collect and share data over the internet. We're now beginning to enjoy the IoT rewards. There is a constant creation of new
ways of using connected things. The IoT helps people link items so they can enhance their quality of life. Smart security
systems, smart kitchen appliances, smartwatches, and smart heating systems are few examples of the IoT products available
today.
For starters, many people now use connected wearable devices to monitor their fitness activities. How many devices do you
currently own that link to the Internet or your home network?
How safe are those devices? For instance, who wrote the software to support the embedded hardware (aka firmware)? Has the
programmer been paying attention to the security flaws? Are your home thermostats connected to the internet? Your Electronic
Video Recorder (DVR)? When there are security bugs, can the firmware be patched in the system to fix the vulnerability? The
new firmware will not update many computers on the Internet. For updating with patches, some older devices were not even
developed. These two conditions put the users of such devices to face threats and security risks.
Reference
World War 3 Zero Days (Official Movie Site) - Own It on DVD or Digital HD. Retrieved September 6, 2020, from
www.zerodaysfilm.com

Wael Abdeljabbar
6.3: Tools for Information Security
To ensure the confidentiality, integrity, and availability of information, organizations can choose from various tools. Each of
these tools can be utilized as a part of an overall information-security policy, which will be discussed in the next section.
Authentication
The most common way to identify people is through physical appearance, but how do we identify someone sitting behind a
computer screen or at the ATM? Tools for authentication are used to ensure that the person accessing the information is,
indeed, who they present themselves to be.
Authentication can be accomplished by identifying someone through one or more of three factors: something they know,
something they have, or something they are. For example, the most common form of authentication today is the user ID and
password. In this case, the authentication is done by confirming something that the user knows (their ID and password). But
this form of authentication is easy to compromise (see sidebar), and stronger forms of authentication are sometimes needed.
Identifying someone only by something they have, such as a key or a card, can also be problematic. When that identifying
token is lost or stolen, the identity can be easily stolen. The final factor, something you are, is much harder to compromise.
This factor identifies a user through physical characteristics, such as an eye-scan or fingerprint. Identifying someone through
their physical characteristics is called biometrics.
A more secure way to authenticate a user is to do multi-factor authentication. Combining two or more of the factors listed
above makes it much more difficult for someone to misrepresent themselves. An example of this would be the use of an RSA
SecurID token. The RSA device is something you have and will generate a new access code every sixty seconds. To log in to
an information resource using the RSA device, you combine something you know, a four-digit PIN, with the device's code.
The only way to properly authenticate is by both knowing the code and having the RSA device.
Figure 6.3.1 : An RSA SecurID SID800 token with USB connector. Image by Alexander Klink is licensed CC BY
Access Control
Once a user has been authenticated, the next step is to ensure that they can access the appropriate information resources. This
is done through the use of access control. Access control determines which users are authorized to read, modify, add, and/or
delete information. Several different access control models exist. Here we will discuss two: the access control list (ACL) and
role-based access control (RBAC).
For each information resource that an organization wishes to manage, a list of users who have the ability to take specific
actions can be created. This is an access control list or ACL. For each user, specific capabilities are assigned, such as reading,
writing, deleting, or adding. Only users with those capabilities are allowed to perform those functions. If a user is not on the
list, they have no ability even to know that the information resource exists.
ACLs are simple to understand and maintain. However, they have several drawbacks. The primary drawback is that each
information resource is managed separately. If a security administrator wanted to add or remove a user to a large set of
information resources, it would not be easy. And as the number of users and resources increases, ACLs become harder to
maintain. This has led to an improved method of access control, called role-based access control, or RBAC. With RBAC,
instead of giving specific users access rights to an information resource, users are assigned to roles, and then those roles are
assigned access. This allows the administrators to manage users and roles separately, simplifying administration and, by
extension, improving security.

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Figure 6.3.2 : Comparison of ACL and RBAC. Image by David Bourgeois is licensed CC BY 4.0
Encryption
An organization often needs to transmit information over the Internet or transfer it on external media such as a USB. In these
cases, even with proper authentication and access control, an unauthorized person can access the data. Encryption is a process
of encoding data upon its transmission or storage so that only authorized individuals can read it. This encoding is
accomplished by a computer program, which encodes the plain text that needs to be transmitted; then, the recipient receives
the ciphertext and decodes it (decryption). For this to work, the sender and receiver need to agree on the method of encoding
so that both parties can communicate properly. Both parties share the encryption key, enabling them to encode and decode
each other’s messages. This is called symmetric key encryption. This type of encryption is problematic because the key is
available in two different places.
Figure 6.3.3 : Symmetric/private key encryption. Image by Phayzfaustyn is licensed CC0 1.0
An alternative to symmetric key encryption is public-key encryption. In public-key encryption, two keys are used: a public key
and a private key. To send an encrypted message, you obtain the public key, encode the message, and send it. The recipient
then uses the private key to decode it. The public key can be given to anyone who wishes to send the recipient a message. Each
user needs one private key and one public key to secure messages. The private key is necessary to decrypt something sent with
the public key.

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Figure 6.3.4 : Public key encryption. Image by David Bourgeoi Ph.D. is licensed CC BY 4.0
Sidebar: Password Security
The security of a password depends on its strengths to guard against brute-force guesses. Strong passwords reduce overall
breaches of security because it is harder for criminals to guess.
Password policies and technologies have evolved to combat security threats, from short to long passwords, from single-factor
authentication to multi-factor authentications. Most companies now have specific requirements for users to create passwords
and how they are authenticated.
Below are some of the more common policies that organizations should put in place.
Require complex passwords that make it hard to guess. For example, a good password policy requires the use of a
minimum of eight characters, and at least one upper-case letter, one special character, and one number.
Change passwords regularly. Users must change their passwords regularly. Users should change their passwords every
sixty to ninety days, ensuring that any passwords that might have been stolen or guessed will not be used against the
company.
Train employees not to give away passwords. One of the primary methods used to steal passwords is to figure them out
by asking the users or administrators. Pretexting occurs when an attacker calls a helpdesk or security administrator and
pretends to be a particular authorized user having trouble logging in. Then, by providing some personal information about
the authorized user, the attacker convinces the security person to reset the password and tell him what it is. Another way
that employees may be tricked into giving away passwords is through email phishing.
Train employees not to click on a link. Phishing occurs when a user receives an email that looks as if it is from a trusted
source, such as their bank or their employer. In the email, the user is asked to click a link and log in to a website that
mimics the genuine website and enter their ID and password, which the attacker then captures.
Backups
Another essential tool for information security is a comprehensive backup plan for the entire organization. Not only should the
data on the corporate servers be backed up, but individual computers used throughout the organization should also be backed
up. A good backup plan should consist of several components.
A full understanding of the organizational information resources. What information does the organization actually
have? Where is it stored? Some data may be stored on the organization’s servers, other data on users’ hard drives, some in
the cloud, and some on third-party sites. An organization should make a full inventory of all of the information that needs
to be backed up and determine the best way to back it up.
Regular backups of all data. The frequency of backups should be based on how important the data is to the company,
combined with the company's ability to replace any data that is lost. Critical data should be backed up daily, while less
critical data could be backed up weekly.
Offsite storage of backup data sets. If all of the backup data is being stored in the same facility as the original copies of
the data, then a single event, such as an earthquake, fire, or tornado, would take out both the original data and the backup!

Wael Abdeljabbar
It is essential that part of the backup plan is to store the data in an offsite location.
Test of data restoration. Regularly, the backups should be put to the test by having some of the data restored. This will
ensure that the process is working and will give the organization confidence in the backup plan.
Besides these considerations, organizations should also examine their operations to determine what effect downtime would
have on their business. If their information technology were to be unavailable for any sustained period of time, how would it
impact the business?
Additional concepts related to backup include the following:
Universal Power Supply (UPS). A UPS is a device that provides battery backup to critical components of the system,
allowing them to stay online longer and/or allowing the IT staff to shut them down using proper procedures to prevent the
data loss that might occur from a power failure.
Alternate or “hot” sites. Some organizations choose to have an alternate site where their critical data replica is always
kept up to date. When the primary site goes down, the alternate site is immediately brought online to experience little or no
downtime.
As information has become a strategic asset, a whole industry has sprung up around the technologies necessary for
implementing a proper backup strategy. A company can contract with a service provider to back up all of their data or
purchase large amounts of online storage space and do it themselves. Most large businesses now use technologies such as
storage area networks and archival systems.
Firewalls
Another method that an organization should use to increase security on its network is a firewall. A firewall can exist as
hardware or software (or both). A hardware firewall is a device connected to the network and filters the packets based on a set
of rules. A software firewall runs on the operating system and intercepts packets as they arrive at a computer. A firewall
protects all company servers and computers by stopping packets from outside the organization’s network that does not meet a
strict set of criteria. A firewall may also be configured to restrict the flow of packets leaving the organization. This may be
done to eliminate the possibility of employees watching YouTube videos or using Facebook from a company computer.
Some organizations may choose to implement multiple firewalls as part of their network security configuration, creating one
or more sections of their partially secured network. This segment of the network is referred to as a DMZ, borrowing the term
demilitarized zone from the military. It is where an organization may place resources that need broader access but still need to
be secured.
Figure 6.3.5 : Network configuration with firewalls, IDS, and a DMZ. Image by David Bourgeois is licensed CC BY 4.0
Intrusion Detection Systems

Another device that can be placed on the network for security purposes is an intrusion detection system or IDS. An IDS does
not add any additional security; instead, it provides the functionality to identify if the network is being attacked. An IDS can
be configured to watch for specific types of activities and then alert security personnel if that activity occurs. An IDS also can
log various types of traffic on the network for analysis later. An IDS is an essential part of any good security setup.
Sidebar: Virtual Private Networks
Using firewalls and other security technologies, organizations can effectively protect many of their information resources by
making them invisible to the outside world. But what if an employee working from home requires access to some of these
resources? What if a consultant is hired to work on the internal corporate network from a remote location? In these cases, a
virtual private network (VPN) is called for.
A VPN allows a user outside of a corporate network to detour around the firewall and access the internal network from the
outside. A combination of software and security measures lets an organization allow limited access to its networks while at the

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same time ensuring overall security.
Physical Security
An organization can implement the best authentication scheme globally, develop the best access control, and install firewalls
and intrusion prevention. Still, its security cannot be complete without the implementation of physical security. Physical
security is the protection of the actual hardware and networking components that store and transmit information resources. To
implement physical security, an organization must identify all of the vulnerable resources and ensure that these resources
cannot be physically tampered with or stolen. These measures include the following.
Locked doors: It may seem obvious, but all the security in the world is useless if an intruder can walk in and physically
remove a computing device. High-value information assets should be secured in a location with limited access.
Physical intrusion detection: High-value information assets should be monitored through the use of security cameras and
other means to detect unauthorized access to the physical locations where they exist.
Secured equipment: Devices should be locked down to prevent them from being stolen. One employee’s hard drive could
contain all of your customer information, so it must be secured.
Environmental monitoring: An organization’s servers and other high-value equipment should always be kept in a
monitored room for temperature, humidity, and airflow. The risk of server failure rises when these factors go out of a
specified range.
Employee training: One of the most common ways thieves steal corporate information is to steal employee laptops while
employees are traveling. Employees should be trained to secure their equipment whenever they are away from the office.
Security Policies
Besides the technical controls listed above, organizations also need to implement security policies as a form of administrative
control. In fact, these policies should really be a starting point in developing an overall security plan. A good information-
security policy lays out the guidelines for employee use of the information resources of the company. It provides the company
recourse in the case that an employee violates a policy.
A security policy should be guided by the information security triad discussed above. It should lay out guidelines and
processes for employees to follow to access all resources to maintain the three categories' integrity: confidentiality, integrity,
and availability.
Policies require compliance and need to be enforceable; failure to comply with a policy will result in disciplinary action.
SANS Institute’s Information Security Policy Page (2020) lists many templates for different types of security policies. One
example of a security policy is how remote access should be managed, which can be found here.
A security policy should also address any governmental or industry regulations that apply to the organization. For example, if
the organization is a university, it must be aware of the Family Educational Rights and Privacy Act (FERPA), which restricts
who has access to student information. Health care organizations are obligated to follow several regulations, such as the Health
Insurance Portability and Accountability Act (HIPAA).
Sidebar: Mobile Security
As mobile devices such as smartphones and tablets proliferate, organizations must be ready to address the unique security
concerns that these devices use. One of the first questions an organization must consider is whether to allow mobile devices in
the workplace.
Many employees already have these devices, so the question becomes: Should we allow employees to bring their own devices
and use them as part of their employment activities? Or should we provide the devices to our employees? Creating a BYOD
(“Bring Your Own Device”) policy allows employees to integrate themselves more fully into their job and bring higher
employee satisfaction and productivity. It may be virtually impossible to prevent employees from having their own
smartphones or iPads in the workplace in many cases. If the organization provides the devices to its employees, it gains more
control over the use of the devices, but it also exposes itself to the possibility of an administrative (and costly) mess.
Mobile devices can pose many unique security challenges to an organization. Probably one of the biggest concerns is the theft
of intellectual property. It would be a straightforward process for an employee with malicious intent to connect a mobile
device either to a computer via the USB port or wirelessly to the corporate network and download confidential data. It would
also be easy to take a high-quality picture using a built-in camera secretly.

Wael Abdeljabbar
When an employee has permission to access and save company data on their device, a different security threat emerges: that
device now becomes a target for thieves. Theft of mobile devices (in this case, including laptops) is one of the primary
methods that data thieves use.
So, what can be done to secure mobile devices? It will start with a good policy regarding their use. Specific guidelines should
include password policy, remote access, camera usage, voice recording, among others.
Besides policies, there are several different tools that an organization can use to mitigate some of these risks. For example, if a
device is stolen or lost, geolocation software can help the organization find it. In some cases, it may even make sense to install
remote data-removal software, which will remove data from a device if it becomes a security risk.
Usability
When looking to secure information resources, organizations must balance the need for security with users’ need to access and
use these resources effectively. If a system’s security measures make it difficult to use, then users will find ways around the
security, which may make the system more vulnerable than it would have been without the security measures! Take, for
example, password policies. If the organization requires an extremely long password with several special characters, an
employee may resort to writing it down and putting it in a drawer since it will be impossible to memorize.
Reference:
Security Policy Templates. Retrieved September 6, 2020, from SANS Institute’s Information Security
www.sans.org/information-security-policy/

Wael Abdeljabbar
6.4: Threat Impact
Chapter 5 discussed the different security threats and solutions. However, users need to safeguard their personal information as
well.
Personally identifiable information (PII)

According to the FBI’s Internet Crime Complaint Center (IC3), $13.3 Billion of total losses has been reported from 2016 to
2020 (IC3, 2020). Examples of crime types include phishing, personal data breach, identity theft, credit card fraud. The age of
the victim ranges from 20 to 60 years old. For a detailed report, see the 2020 Internet crime report. The true number may be
even higher since many victims did not report for a variety of reasons.
Personally identifiable information (PII) is any information that can be used to identify a person positively. Particular PII
Examples include:
Name
Social
Security number
Birthday
Credit card information
Bank
Account Numbers
Government ID
Address (street, email, telephone numbers)
One of the cybercriminals' most lucrative targets is acquiring PII lists that can then be sold on the dark web. The dark web can
only be accessed through special software, and cybercriminals use it to shield their activities. Stolen PII can be used to build
fraudulent accounts, such as short-term loans and credit cards.
Protected Health Information (PHI) is a subset of PII. The medical community produces and manages PHI-containing
electronic medical records (EMRs). In the U.S., the Health Insurance Portability and Transparency Act ( HIPAA) governs PHI
handling. In the European Union, a similar law is called data security.
Lost Competitive Advantage

In cyberspace, companies are constantly concerned about corporate hacking. Another major concern is the loss of trust that
occurs when a firm cannot protect its customers' personal data. The loss of competitive advantage may result from this loss of
confidence rather than from stealing trade secrets by another firm or country.
Reference:
2020 IC3 Report. Retrieved April 6, 2021, from https://www.ic3.gov/Media/PDF/AnnualReport/2020_IC3Report.pdf

Wael Abdeljabbar
6.5: Fighters in the War Against Cybercrime- The Modern Security Operations
Center
Besides the tools and practices discussed earlier to protect ourselves, companies also have increased their investment to fight
against cybercrime. One such investment is a dedicated center called Security Operations Center to safeguard companies from
internal and external threats.
Elements of a SOC
Defending against today's threats requires a formalized, structured, and disciplined approach that is carried out by Security
Operations Centers professionals who work closely with other groups such as IT or networking staff. SOCs offers a wide
variety of services tailored to meet customer needs, from monitoring and compliance to comprehensive threat detection and
hosted protection. SOCs may be wholly in-house, owned and run by a company, or security providers, such as Cisco Systems
Inc.'s Managed Security Services, may be contracted to elements of a SOC. The key elements of a SOC are individuals,
processes, and technology.
A great way to fight against threats is through Artificial Intelligence (AI) and machine learning. AI and machine learning use
multi-factor authentication, malware scanning, and fighting spam and phishing to fight against threats.
Process in the SOC

SOC professionals monitor all suspicious activities and follow a set of rules to verify if it is a true security incident before
escalating to the next level severity for the incident for appropriate security experts to take appropriate actions.
The SOC has four principal functions:
Use network data to check the security warnings
Evaluate accidents that have been checked and determine how to proceed
Deploy specialists to evaluate risks at the highest possible level.
Provide timely communication by SOC management to the company or clients
Technologies deployed in the SOC include:

Event collection, correlation, and analysis
Security monitoring
Security control
Log management
Vulnerability assessment
Vulnerability tracking
Threat intelligence
Enterprise and Managed Security

The organization will benefit from the implementation of an enterprise-level SOC for medium and large networks. The SOC
could be a complete solution within the company. Yet many larger organizations will outsource at least part of the SOC
operations to a security solution provider such as Cisco Systems Inc.

Wael Abdeljabbar
6.6: Security vs. Availability
Much of the business networks will still be up and running. Security staff recognizes that network stability must be maintained
for the company to achieve its goals.
Any company or industry has a small tolerance for downtime on networks. Usually, this tolerance is based on calculating
downtime costs with the cost of insuring against downtime.
For example, using a router as a single point of failure could be tolerable in a small retail business with only one location.
However, if a large portion of that company's sales is from online shoppers, the owner may want to have a redundancy degree
to ensure there is always a connection.
Desired uptime is also expressed in the number of down-minutes in a year. For example, an uptime of "five nines" means the
network is up by 99.999 percent of the time or down by no more than 5.256 minutes a year. "Four nines" would be a 52.56-
minute downtime per capita.
Availability % Downtime
99.8% 17.52 hours
99.9% (“three nines”) 8.76 hours
99.99% (“four nines”) 52.56 minutes
99.999% (“five nines”) 5.256 minutes
99.9999% (“six nines”) 31.5 seconds
99.99999% (“seven nines”) 3.15 seconds
But security cannot be so powerful that it interferes with employee needs or business functions. This is often a tradeoff
between good security and allowing companies to work efficiently.

Wael Abdeljabbar
6.7: Summary
Summary
People, businesses, and even nations can all fall victim to cyberattacks. There are different types of attackers, including
amateurs attacking for fun and prestige, hacktivists hacking for a political cause, and professional hackers attacking for profit.
Besides, nations that attack other nations to gain an economic advantage by intellectual property theft or harm or destroy
another country's properties. The vulnerable networks are PC and server business networks and the thousands of computers on
the Internet of Things.
Fight against cyberattacks requires people, processes, and technology to follow best practices and good security policies.
There are tools that users can employ to protect personally identifiable information. There are policies that companies can
require of their customers and employees to protect their resources. Companies can also invest in dedicated Security
Operations Centers (SOCs) for cybercrime prevention, identification, and response.

Wael Abdeljabbar
Study Questions
1. Briefly define the three components of the information security triad
2. Explain what authentication means
3. Give two examples of a complex password
4. Give three examples of threat actors
5. Name two motivations of hacktivists to commit cybercrime
6. List five ways to defend against cyber attacks
7. List three examples of PII
8. Briefly explain the role of SOC
9. Explain the purpose of security policies
10. Explain how information availability related to a successful organization
Exercises
1. Research and analyze cybersecurity incidents to come up with scenarios of how organizations can prevent an attack.
2. Discuss some IoT (Internet of Things) application vulnerabilities with non-techie and techie technology users, then
compare and contrast their different perspectives and reactions to IoT vulnerabilities.
3. Describe one multi-factor authentication method that you have experienced and discuss the pros and cons of using multi-
factor authentication.
4. Identify the password policy at your place of employment or study. Assess if it is a good policy or not. Explain.
5. Take inventory of possible security threats that your home devices may be exposed to. List them and discuss their potential
effects and what you plan to do about them.
6. Recall when you last back up your data. Discuss the method you use. Define a backup policy for your home devices.
7. Research the career of a SOC professional. Report what certificate training it requires to become SOC professionals, what
the demand is for this career, and their salary range.

Wael Abdeljabbar
SECTION OVERVIEW
2: INFORMATION SYSTEMS FOR STRATEGIC ADVANTAGE
Part 2 consists of four chapters to examine how IT contributes to companies' competitive advantage,
the business process, the people who build information systems and developing such systems.
7: LEVERAGING INFORMATION TECHNOLOGY (IT) FOR

COMPETITIVE ADVANTAGE
This chapter examines the impact that information systems have on organizations, how they can use
IT to develop and sustain competitive advantages and to improve operational effectiveness in their
value chain and decision making processes. We will discuss seminal works by Brynjolfsson, Carr,
and Porter as they relate to IT and competitive advantage.
7.1: INTRODUCTION
7.6: SUMMARY
Business processes are the essence of what a business does, and information systems play an important role in making them work. This
chapter will discuss business process management, business process reengineering, and ERP systems.
8.1: INTRODUCTION
8.3: SUMMARY

This chapter will provide an overview of the different types of people involved in information systems. This includes people(and
machines) who create information systems, those who operate and administer information systems, those who manage or support
information systems, those who use information systems, and IT's job outlook.
9.1: INTRODUCTION
9.5: EMERGING ROLES
9.8: SUMMARY

This chapter will look at different methods to manage an information system's development process, with special attention to software
development, review mobile application development, and discuss end-user computing. We will look at key trade-offs that organizations
face in making critical decisions to “build vs. buy or subscribe,” the balancing act between scope, cost, and time while delivering a
high-quality project and obtaining the buy-in from the users.
10.1: INTRODUCTION
10.5: SUMMARY
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10.7: SUMMARY
2 8/28/2021
CHAPTER OVERVIEW
7: LEVERAGING INFORMATION TECHNOLOGY (IT) FOR COMPETITIVE
ADVANTAGE
This chapter examines the impact that information systems have on organizations, how they can use
IT to develop and sustain competitive advantages and to improve operational effectiveness in their
value chain and decision making processes. We will discuss seminal works by Brynjolfsson, Carr,
and Porter as they relate to IT and competitive advantage.
7.1: INTRODUCTION
We will look at the value IT can bring to an organization

In this section, we look at the impact of IT on productivity and the productivity paradox

What does it mean when a company has a competitive advantage? What are the factors that play into it? According to Michael Porter
in his book “Competitive Advantage: Creating and Sustaining Superior Performance,” a company is said to have a competitive
advantage over its rivals when it can sustain profits that exceed the industry's average.

This section will look at how information systems are and can be used to give businesses a competitive advantage.

In this section, we discuss the importance of investing in IT for competitive advantage and Artificial intelligence.
7.6: SUMMARY
1 8/28/2021
7.1: Introduction
For over fifty years, since the microprocessor's invention, computing technology has been a part of the business. From UPC
scanners and computer registers at your local neighborhood store to huge inventory databases used by companies like
Amazon, information technology has become the backbone of commerce. Organizations have spent trillions of dollars on
information technologies. But has all this investment in IT made a difference? Do computers increase productivity? Are
companies that invest in IT more competitive? This chapter will look at the value IT can bring to an organization and try to
answer these questions. We will begin by highlighting two important works from the past two decades.

Wael Abdeljabbar
7.2: The Productivity Paradox
In 1991, Erik Brynjolfsson wrote an article, published in the Communications of the ACM, entitled “The Productivity Paradox
of Information Technology: Review and Assessment” By reviewing studies about the impact of IT investment on productivity,
Brynjolfsson was able to conclude that the addition of information technology to business had not improved productivity at all
– the “productivity paradox.” He concluded that this paradox resulted from our inability to unequivocally document any
contribution after so much effort due to the lack of quantitative measures.
In 1998, Brynjolfsson and Lorin Hitt published a follow-up paper entitled “ Beyond the Productivity Paradox. ” In this paper,
the authors utilized new data that had been collected and found that IT did, indeed, provide a positive result for businesses.
Further, they found that sometimes the true advantages in using technology were not directly relatable to higher productivity
but to “softer” measures, such as the impact on organizational structure. They also found that the impact of information
technology can vary widely between companies.
IT Doesn’t Matter
Just as a consensus was forming about IT's value, the Internet stock market bubble burst; two years later, in 2003, Harvard
professor Nicholas Carr wrote his article “IT Doesn’t Matter” in the Harvard Business Review. In this article, Carr asserts that
as information technology has become more ubiquitous, it has also become less of a differentiator. In other words: because
information technology is so readily available and the software used so easily copied, businesses cannot hope to implement
these tools to provide any competitive advantage. IT is essentially a commodity, and it should be managed like one: low cost,
low risk. IT management should see themselves as a utility within the company and work to keep costs down. For IT,
providing the best service with minimal downtime is the goal. As you can imagine, this article caused quite an uproar,
especially from IT companies. Many articles were written in defense of IT; many others in support of Carr.
The best thing to come out of the article and the subsequent book was that it opened up discussion on IT's place in a business
strategy and exactly what role IT could play in competitive advantage. It is that question that we want to address in the rest of
this chapter.
References
Brynjolfsson, E. and Hitt, L. (1998). Beyond the Productivity Paradox. Communications of the ACM. Retrieved August 16,
2020, from https://doi.org/10.1145/280324.280332
Brynjolfsson, E. (1992). The Productivity Paradox of Information Technology: Review and Assessment. Center for
Coordination Science MIT Sloan School of Management Cambridge, MA. Retrieved from August 16, 2020, from
http://ccs.mit.edu/papers/CCSWP130/ccswp130.html
Carr, Nicholas G (2003) IT Doesn’t Matter. Retrieved August 20 from https://hbr.org/2003/05/it-doesnt-matter

Wael Abdeljabbar
7.3: Competitive Advantage
What do Walmart, Apple, and McDonald’s have in common?
Figure 7.3.1 : Image Competitive landscape by PaulaD.MezaD is licensed CC BY-SA 4.0

All three businesses have a Competitive advantage. What does it mean when a company has a competitive advantage? What
are the factors that play into it? According to Michael Porter in his book “Competitive Advantage: Creating and Sustaining
Superior Performance,” a company is said to have a competitive advantage over its rivals when it can sustain profits that
exceed the industry's average. Porter identified two basic types of competitive advantage:
Cost advantage: When the firm can deliver the same benefits as competitors but at a lower cost. McDonald's and Walmart
both utilize economies of scale to maintain their cost advantage.
Differentiation advantage: When a firm can deliver benefits that exceed those of competing products. Apple’s innovative
products that complement each other and share the same operating system offer a unique product that gives consumers a
sense of exclusivity, and their trade-in programs build consumer loyalty.
The question, then, is: How can information technology be a factor in achieving Competitive advantage? We will explore this
question by using:
Two analysis tools from Porter’s book “Competitive advantage: Creating and Sustaining Superior Performance:
The value chain
The Five Forces model.
Porter’s analysis in his 2001 article “Strategy and the Internet.”
The Value Chain

In his book, Porter analyzes the basis of competitive advantage and describes how a company can achieve it using the value
chain as a framework. A value chain is a step-by-step business model transforming a product or service from an idea (i.e.,
materials) to reality ( i.e., products or services). Value chains help increase a business’s efficiency so the business can deliver
the most value(i.e., profit) for the least possible cost. Each step (or activity) in the value chain contributes to a product or
service's overall value. While the value chain may not be a perfect model for every type of company, it does provide a way to
analyze just how a company is producing value.

Wael Abdeljabbar
Figure 7.3.2 : Porter’s Value Chain. Image by David Bourgeois is licensed CC BY 4.0
The value chain is made up of two sets of activities: primary activities and support activities. We will briefly examine these
activities and discuss how information technology can create value by contributing to cost advantage or differentiation
advantage, or both.
The primary activities are the functions that directly impact the creation of a product or service, its sales, and after-sales
service. The goal of the primary activities is to add more value than they cost. The primary activities are:
Inbound logistics: Purchasing, Receiving, and storing raw materials. Information technology can make these processes
more efficient, such as with supply-chain management systems, which allow the suppliers to manage their own inventory.
Starbucks has company-appointed coffee buyers that select the finest quality coffee beans from producers in Latin
America, Africa, and Asia.
Operations: Any part of a business involved in converting the raw materials into the final products or services is part of
operations. From manufacturing to business process management (covered in chapter 8), information technology can
provide more efficient processes and increase innovation through information flows.
Outbound logistics: These functions include order processing and warehousing required to get the product out to the
customer. As with inbound logistics, IT can improve processes, such as allowing for real-time inventory checks. IT can
also be a delivery mechanism itself.
Marketing/Sales: The functions that will entice buyers to purchase the products (advertising, salesforce) are part of sales
and marketing. Information technology is used in almost all aspects of this activity. From online advertising to online
surveys, IT can innovate product design and reach customers like never before. The company website can be a sales
channel itself.
Service: The functions a business performs after the product has been purchased, such as installation, customer support,
complaint resolution, and repair to maintain and enhance its value, are part of the service activity. Service can be enhanced
via technology as well, including support services through websites and knowledge bases.
The support activities are the functions in an organization that support and cut across all primary activities. The support
activities are:
Firm infrastructure: Organizational functions such as finance, accounting, ERP Systems (covered in chapter 9), and
quality control, all of which depend on information technology.
Technology development: Technological advances and innovations support the primary activities. These advances are then
integrated across the company to add value in different departments. Information technology would fall specifically under
this activity.
Procurement: Acquiring the raw materials used in the creation of products and services is called procurement. Business-to-
business e-commerce can be used to improve the acquisition of materials.
A value chain is a powerful tool in analyzing and breaking down a company into its relevant activities that result in higher
prices and lower cost, by understanding how these activities are connected and the company’s strategic objectives, companies
can identify their core competencies and insight into how information technology can be used to achieve a competitive
advantage.

Wael Abdeljabbar
Look at this example of the Starbucks value chain model analysis that includes a short video by Prableen Bajpai: Analyzing
Starbucks Value Chain Model.
Porter’s Five Forces

Porter recognized that other factors could impact a company’s profit in addition to competition from their rivals. He developed
the “five forces'' model as a framework for analyzing the competition in an industry and its strengths and weaknesses. The
model consists of five elements, each of which plays a role in determining an industry's average profitability.
Figure 7.3.3 : Porter’s Five Forces. Image by Grahams Child is licensed CC BY-SA 3.0
In 2001, Porter wrote an article entitled ”Strategy and the Internet,” in which he takes this model and looks at how the
Internet(and IT) impacts an industry's profitability. Although the model's details differ from one industry to another, its general
structure of the five forces is universal. Let’s have a look at how the internet plays a role in Porter’s five forces model:
Threat of New Entrants: The easier it is to enter an industry, the tougher it will be to profit in that industry. The Internet
has an overall effect of making it easier to enter industries. Traditional barriers such as the need for a physical store and
sales force to sell goods and services are drastically reduced. Dot-coms multiplied for that very reason: All a competitor
has to do is set up a website. The geographical reach of the internet enables distant competitors to compete more directly
with a local firm. For example, a manufacturer in Northern California may now have to compete against a manufacturer in
the Southern United States, where wages are lower.
Threat of Substitute Products: How easily can a product or service be replaced with something else? The more types of
products or services there can meet a particular need, and the less profitability will be in an industry. For example, the
advent of the mobile phone has replaced the need for pagers. The Internet has made people more aware of substitute
products, driving down industry profits in those industries being substituted. Any industry in which digitized information
can replace material goods such as books, music, software is at particular risk ( Think, for example, Amazon’s Kindle and
Spotify).
Bargaining Power of Suppliers: Companies can more easily find alternative suppliers and compare prices more easily.
When a sole supplier exists, then the company is at the mercy of the supplier. For example, if only one company makes the
controller chip for a car engine, that company can control the price, at least to some extent. The Internet has given
companies access to more suppliers, driving down prices. On the other hand, suppliers now also have the ability to sell
directly to customers. As companies use IT to integrate their supply chain, participating suppliers will prosper by locking
customers and increasing switching costs.
Bargaining Power of Customers: A company that is the sole provider of a unique product has the ability to control
pricing. But the Internet has given customers access to information about products and more options (small and big
business) to choose from.
Threat of Substitute Products: The more competitors in an industry, the bigger a factor price becomes. The visibility of
internet applications on the Web makes proprietary systems more difficult to keep secret. It is straightforward to copy
technology, so innovations will not last that long. For example, Sony Reader was released in 2006, followed by Amazon

Wael Abdeljabbar
Kindle in 2007, and just two years later, Barnes and Noble Nook, which was the best-selling unit in the US before iPad
(with built-in reading app iBooks) hit the market in 2010. (Wikipedia: E-Reader, 2020)
According to this model, the company's average profitability depends on the five forces' collective strength. If the five forces
are intense, for example, in the airline industry, almost no company makes a huge profit. If the forces are mild, for example,
the soft drink industry, there is room for higher profits. The Internet provides better opportunities for companies to establish
strategic advantage by boosting efficiency in various ways, as we will see in the next section. However, the internet also tends
to dampen suppliers' bargaining power and increase the threat of substitute products by making it easier for buyers and sellers
to do business. Thus, the Internet (and, by extension, information technology in general) has the overall impact of increasing
competition and lowering profitability. This is the great paradox of the internet.
While the Internet has certainly produced many big winners, the overall winners have been the consumers, who have been
given an ever-increasing market of products and services and lower prices.
References
Bajpai, P (2020). Analyzing Starbucks Value Chain Model. Retrieved August 16, 2020, from
https://www.investopedia.com/articles/investing/103114/starbucks-example-value-chain-model.asp
Porter, M. (2001). Strategy and the Internet. Harvard Business Review. Retrieved August 20, 2020, from
http://hbswk.hbs.edu/item/2165.html

Wael Abdeljabbar
7.4: Using Information Systems for Competitive Advantage
Information Systems support or shape a business unit’s organizational strategy to provide a competitive advantage. Any
information system - Business Process Management (BPM), Electronic Data Interchange (EDI), Management Information
System (MIS), Decision Support System (DSS), Transaction Processing Systems (TPS) - that helps a business deliver a
product or service at a lower cost that is differentiated that focuses on a specific market segment or is innovative is a strategic
information system. Companies typically have several different types of information systems; each type serves a different level
of decision-making - operational (workers), tactical (middle and senior managers), and strategic (executives).
Figure 7.4.1 : A four-level pyramid model of different types of Information Systems based on the different levels of hierarchy
in an organization. Image by By Compo is licensed CC BY-SA 3.0
Let’s look at a few examples.
Electronic Data Interchange (EDI)

Typically, a paper-based exchange of purchase orders and invoices takes a week to process. Using EDI, the process can be
completed within hours!. By integrating suppliers and distributors via EDI, a company can improve speed, efficiency, and
security, thus vastly reducing the resources required to manage relevant business information. Cleo, TrueCommerce EDI,
Jitterbit, GoAnywhere MFT are some of the many EDI software that can be used in conjunction with a data integration
platform.
EDI can take the role of supply chain management and the standard format of information exchange used by many systems
discussed below.

Wael Abdeljabbar
Figure 7.4.2 : Comparison of Process with and without EDI. Image by David Bourgeois is licensed CC BY 4.0
Transaction Processing Systems (TPS)

Transaction processing systems (TPS) are computerized information systems developed to process large amounts of data for
routine business transactions such as payroll, order processing, airline reservations, employee records, accounts payable, and
receivable. TPS eliminates the tedium of necessary repetitive transactions that take time and labor and makes them efficient
and accurate, although people must still input data to computerized systems. Transaction processing systems are boundary-
spanning systems that allow the organization to interact with external environments. TPS examples include ATMs, credit card
authorizations, online bill payments, and self-checkout stations at retail stores. IT enables all of this to happen in real-time.
Business Process Management (BPM)

Business process management is the automated integration of process information targeted to streamline operations, reduce
costs and improve customer service (Ken Vollmer, BPMInstitute.org). Unlike EDI, BPM is used both internally and externally,
between applications within a business and between companies. Large financial institutions like Bank of America use BPM to
link, integrate and automate different applications - Credit card, bank account, loans - thus resulting in a delivery time for
financial transactions from weeks to minutes.
Management Information Systems (MIS)

Management Information systems(MIS): users, hardware, and software that support decision making. MIS collects and stores
its key data and produces information that managers need for analysis, control, and decision-making. For example, input from
the sales of different products can be used to analyze trends of performing well and those that are not. Managers use this
analysis to make semi-structured decisions such as changes to future inventory orders and manufacturing schedules.
MIS, IS, and IT sound very similar and are often confused. MIS is a type of IS that is more organization-based and focused on
leveraging IT to increase business value(i.e., Profit). IT or IT management is the technical management of an IT department
which can include MIS.
Decision Support Systems (DSS)

A decision support system (DSS) is a computerized information system that supports business or organizational decision-
making activities by sifting through and analyzing a huge amount of data and producing comprehensive information reports.

Wael Abdeljabbar
As technology continues to advance, DSS is not limited to just huge mainframe computers - DSS applications can be loaded
on most desktops, laptops, and even mobile devices. For example, GPS route planning determines the fastest and best route
between two points: analyzing and comparing multiple options and factoring in traffic conditions.
Marketing executives at a furniture company(like Living Spaces) could run DSS models that use sales data and demographic
assumptions to develop forecasts of the types of furniture that would appeal to the fastest-growing population groups.
DSSs can exist at different levels of decision-making within the organization, from executives to senior managers, and helps
people make decisions about a wide variety of problems, ranging from highly structured decisions to unstructured decisions.
A structured decision is usually one that is repetitive and routine and is based directly on the inputs. For example, a
company decides whether or not to withdraw funds from an international account depending on the current exchange rate.
EDI and TPS typically handle structured decisions. Structured decisions are good candidates for automation, but we don’t
necessarily build decision-support systems for them.
An unstructured decision has a lot of unknowns and relies on knowledge and/or expertise. An information system can
support these decisions by providing the decision-makers with information-gathering tools and collaborative capabilities.
An example of an unstructured decision might be what types of a new product should be created and what market should
be targeted.
Decision support systems work best when the decision-maker(s) are making semi-structured decisions. A semi-structured
decision is one in which most of the factors needed for making the decision are known, but human experience and other
outside factors may still play a role. A good example of a semi-structured decision would be diagnosing a medical condition.
Farmers using crop=planning tools to determine the best time to plant, fertilize and reap is another example.
DSSs can be as simple as a spreadsheet that allows for the input of specific variables and then calculates required outputs such
as inventory management. Another DSS might assist in determining which products a company should develop. Input into the
system could include market research on the product, competitor information, and product development costs. The system
would then analyze these inputs based on the specific rules and concepts programmed into them. Finally, the system would
report its results, with recommendations and/or key indicators to decide.
A DSS can be looked at as a tool for competitive advantage in that it can give an organization a mechanism to make wise
decisions about products and innovations.
Collaborative Systems
As organizations began to implement networking technologies, information systems emerged that allowed employees to
collaborate differently. Tools such as document sharing and video conferencing allowed users to brainstorm ideas together and
collaborate without the necessity of physical, face-to-face meetings.
Broadly speaking, any software that allows multiple users to interact on a document or topic could be considered collaborative.
Electronic mail, a shared Word document, social networks, and discussion boards would fall into this broad definition.
However, many software tools have been created that are designed specifically for collaborative purposes. These tools offer a
broad spectrum of collaborative functions. They can exist as stand-alone systems or integrated with any of the information
systems above. Here is just a shortlist of some collaborative tools available for businesses today:
Cloud Services refer to a wide variety of services delivered on-demand to companies and customers over the internet without
the need for internal infrastructure or hardware.
Cloud Services
One of the first true “groupware” collaboration tools.
Provides a full suite of collaboration software, including integrated
e-mail
Obsolete with the advent of newer, easier-to-use technologies like
IBM Lotus Notes Google Drive and Microsoft SharePoint.
Code hosting platform for collaboration amongst

programmers/developers of computer software
Used primarily for version control – to track changes in source code
GitHub during software development.

Wael Abdeljabbar
Web-based document management and collaboration tool
Integrates with Office 365, which educators, students, office workers
are familiar with.
Microsoft SharePoin Sharepoint was covered in more detail in Chapter 5
Formerly known as Google Apps for Work

Software as a Service (SaaS) product that groups all cloud-based
productivity and collaboration tools developed by Google.
The innovative interface allows real-time document editing and
sharing
G Suite Allows collaboration of other products, like Office 365.
Another SaaS that you may be familiar with is Dropbox
Online Video Conferencing Services allows two or more people in different geographical locations to meet and collaborate.
Online Video Conferencing Services
Most popular online video conferencing and meeting platform due
to its user-friendly interface.
Great for small and large businesses as it can support up to 100p
participants in online meetings
Wide variety of options such as screen share, whiteboard, live chat
and messaging, recording, and breakout rooms.
Zoom Collaboration and Interaction from a variety of devices(computers,
tablets, smartphones, etc.)
Google Chrome and Linux OS support
Business communications platform that combines video and audio

Allows participants to interact with each other’s computer desktops
Top of the line security features, making it excellent for business
Cisco Webex with legitimate security concerns
Microsoft’s online meeting platform

Can support up to 250 participants for online meetings
Combines instant messaging, video conferencing, calling, and
document collaboration in a single integrated app.
Skype for Business Skype that you use at home is good for small businesses and can
support up to 50 participants.
With the explosion of the worldwide web, the distinction between these different systems has become fuzzy. Information
systems are available to automate practically any business aspect - from managing inventory to sales and customer service. "
Information Technology(IT)" is now the category to designate any software-hardware-communications structures that today
work as a virtual nervous system of society at all levels.

Wael Abdeljabbar
7.5: Investing in IT for Competitive Advantage
In 2008, Brynjolfsson and McAfee published a study in the Harvard Business Review on IT's role in competitive advantage,
titled “Investing in the IT That Makes a Competitive Difference.” Their study confirmed that IT could play a role in
competitive advantage if deployed wisely. In their study, they draw three conclusions:
First, the data show that IT has sharpened differences among companies instead of reducing them. This reflects that while
companies have always varied widely in their ability to select, adapt, and exploit innovations, technology has accelerated
and amplified these differences.
Second, good management matters: Highly qualified vendors, consultants, and IT departments might be necessary for the
successful implementation of enterprise technologies themselves, but the real value comes from the process innovations
that can now be delivered on those platforms. Fostering the right innovations and propagating them widely are executive
responsibilities that can’t be delegated.
Finally, the competitive shakeup brought on by IT is not nearly complete, even in the IT-intensive US economy. We expect
to see these altered competitive dynamics in other countries, as well, as their IT investments grow.
Artificial Intelligence (AI)

Let's watch this short video by The Royal Society, What is Artificial Intelligence? that explains what AI is and its role and
impact in society.
What is arti cial intelligence?
Figure 7.5.1 : Technology with AI at its heart has the power to change the world, but what exactly is Artificial Intelligence?
(The Royal Society; The Royal Society via https://youtu.be/nASDYRkbQIY)
In the tech-driven and ever-changing business landscape, successful leveraging and implementing IT has become the solution
for maintaining competitive advantage and growth. One such solution is artificial intelligence (AI). AI (or machine
intelligence) is intelligence demonstrated by machines - machines' ability to operate like a human brain - to learn patterns,
provide insights and even predict future occurrences based on inputted data/information. For example, AI can give companies
a competitive edge in marketing by providing insights into how to market, who to market to, when, and how to market. AI
offers insights that are objective and data-driven. Amazon uses AI to follow user’s behavior on their website - what type of
products they buy, how long they spend on a product page, etc. The AI system quickly learns to generate tailored
recommendations to each user's taste and preference based on their activity. Another advantage of AI is in cybersecurity and
fraud protection. AI technologies can use user behavior data to identify and flag any activity that is out of the ordinary for any
user (such as credit card use outside your home state). AI systems are very versatile in that they can handle all three types of
decisions - structured, semi-structured, and unstructured.
Global Competition
Many companies today are operating in a global environment. In addition to multinational corporations, many companies now
export or import and face competition from products created in countries where labor and other costs are low or where natural

Wael Abdeljabbar
resources are abundant. Electronic commerce facilitates global trading by enabling even small companies to buy from or sell
to businesses in other countries. Amazon, Netflix, Apple, Samsung, LG, and many more have customers and suppliers
worldwide.
References
McAfee, A. and Brynjolfsson, E. 2008). Investing in the IT That Makes a Competitive Difference. Harvard Business Review.
Retrieved August 16, 2020, from https://hbr.org/2008/07/investing-in-the-it-that-makes-a-competitive-difference
The Royal Society. (2018). What is Artificial Intelligence? YouTube. [video file: 2:31 minutes] Closed Captioned.

Wael Abdeljabbar
7.6: Summary
Summary
Information systems can and have been used strategically for competitive advantage by many US companies, including
Walmart, Amazon, Netflix, and Apple. Acquiring a competitive advantage is hard, and sustaining it can be just as difficult
because of technology's innovative nature. Organizations that want to gain a market edge must understand how they want to
differentiate themselves and then use all the elements of information systems (hardware, software, data, people, and process)
to accomplish that differentiation.
IT is not a panacea; just purchasing and installing the latest technology will not, by itself, make a company more successful.
Instead, the combination of the right technologies, employee training, infrastructure, and good management, together, will give
a company the best chance of a positive result.

Wael Abdeljabbar
Study Questions
1. List the five forces in Porter’s Competitive forces model.
2. What does it mean for a business to have a competitive advantage?
3. What are the primary activities and support activities of the value chain?
4. What has been the overall impact of the Internet on industry profitability? Who has been the true winner?
5. List two examples of how Amazon.com used Porter’s five forces model to gain a competitive advantage.
6. Give an example of how the internet impacted Barnes and Noble's online(bn.com) profitability.
7. List and Compare the different information systems. How are they the same? How are they better?
8. Give an example of a semi-structured decision and explain what inputs would be necessary to assist in making the decision.
9. What does a collaborative information system do?
10. How can IT play a role in competitive advantage, according to the 2008 article by Brynjolfsson and McAfee?
Exercises
1. Discuss the idea that an information system by itself can rarely provide a sustainable competitive advantage.
2. Review the Zoom website. What features of Zoom would contribute to good collaboration? What makes Zoom a better
collaboration tool than something like Skype or Google Hangouts?
3. Think of a semi-structured decision that you make in your daily life and build your own DSS using a spreadsheet to help
you make that decision.
4. Give an example of AI that you see used in your daily life. Describe one way it can be improved or combined with another
information system to gain an advantage.

Wael Abdeljabbar
CHAPTER OVERVIEW
Business processes are the essence of what a business does, and information systems play an
important role in making them work. This chapter will discuss business process management,
business process reengineering, and ERP systems.
8.1: INTRODUCTION
We will discuss the fifth component of information systems, which is Process.

This section will look at the business process and how companies can use it to gain a competitive
advantage.
8.3: SUMMARY
1 8/28/2021
8.1: Introduction
In the last seven chapters, we have gone through the first four components of an information system (IS). In this chapter, we
will discuss the fifth component of information systems, which is a process. People build information systems to solve
problems faced by people. Have you wondered how organizations use IS to run their organizations, help their people
communicate and collaborate? That is the role of Business Processes in an organization. This chapter will answer those
questions and describe how business processes can be used for strategic advantage.

Wael Abdeljabbar
8.2: What Is a Business Process?
What Is a Business Process?
We have all heard the term process before, but what exactly does it mean? A business process is a series of related tasks that
are completed in a stated sequence to accomplish a business goal. This set of ordered tasks can be simple or complicated.
However, the steps involved in completing these tasks can be documented or illustrated in a flow chart. If you have worked in
a business setting, you have participated in a business process. Anything from a simple process for making a sandwich at
Subway to building a space shuttle utilizes one or more business processes.
Processes are something that businesses go through every day to accomplish their mission. The better their processes, the more
effective the business. Some businesses see their processes as a strategy for achieving competitive advantage. A process that
uniquely achieves its goal can set a company apart. A process that eliminates costs can allow a company to lower its prices (or
retain more profit).
Documenting a Process
Every day, we will conduct many processes without even thinking about them: getting ready for work, using an ATM, reading
our email, etc. But as processes grow more complex, they need to be documented.
For businesses, it is essential to do this because it allows them to ensure control over how activities are undertaken in their
organization. It also allows for standardization: McDonald’s has the same process for building a Big Mac in its restaurants.
The simplest way to document a process is to create a list. The list shows each step in the process; each step can be checked
off upon completion. For example, a simple process, such as how to create an account on Amazon, might look like a checklist
such as::
Go to www.amazon.com.
Click on “Hello Sign in Account” on the top right of the screen
Select “start here” after the question “new customers?”
Select “Create your Amazon account.”
Enter your name, email, password
Select “Create Your Amazon account.”
Check your email to verify your new Amazon account
For processes that are not so straightforward, documenting the process as a checklist may not be sufficient. Some processes
may need to be documented as paths to be followed depending on certain conditions being met. For example, here is the
process for determining if an article for a term needs to be added to Wikipedia:
Search Wikipedia to determine if the term already exists.
If the term is found, then an article is already written, so you must think of another term. Repeat step 1.
If the term is not found, then look to see if there is a related term.
If there is a related term, then create a redirect.
If there is not a related term, then create a new article.
This procedure is relatively simple – in fact, it has the same number of steps as the previous example – but because it has some
decision points, it is more difficult to track with a simple list. In these cases, it may make more sense to use a diagram to
document the process to illustrate both the above steps and the decision points:

Wael Abdeljabbar
Figure 8.2.1 : Process diagram for determining if a new term should be added to Wikipedia. Image by David Bourgeois, Ph.D.
is licensed Public Domain
Documenting Business Processes
To standardize a process, organizations need to document their processes and continuously keep track of them to ensure
accuracy. As processes change and improve, it is important to know which processes are the most recent. It is also important to
manage the process to be easily updated, and changes can be tracked!
The requirement to manage the documentation process is made easy by software tools such as document management, project
management, or Business Process Modeling (BPM) software (discussed later in this chapter). Examples include Microsoft
Project, IBM’s Business Process Manager. It includes standardized notations and common techniques such as:
Versions and timestamps: BPM will keep multiple versions of documents. The most recent version of a document is easy
to identify and will be served up by default.
Approvals and workflows: When a process needs to be changed, the system will manage both access to the documents for
editing and the document's routing for approvals.
Communication: When a process changes, those who implement the process need to be aware of the changes. The system
will notify the appropriate people when a change to a document is approved.
Techniques to model the processes. Standard graphical representations such as a flow chart, Gantt chart, Pert diagram, or
Unified Modeling Language can be used, which we will touch upon in Chapter 10.
Of course, these systems are not only used for managing business process documentation, and they have continued to evolve.
Many other types of documents are managed in these systems, such as legal documents or design documents.
Enterprise Resource Planning (ERP) Systems

An ERP system is a software application with a centralized database that can be used to run an entire company.
Figure 8.2.2 : Enterprise systems modules. Image by Shing Hin Yeung, is licensed under CC by-SA 3.0
Let’s look at an ERP and associated modules as illustrated in Fig 8.2.

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It is a software application: The system is a software application, which means that it has been developed with specific
logic and rules. It has to be installed and configured to work specifically for an individual organization.
It has a centralized database: The inner circle of Fig 8.2 indicates that all data in an ERP system is stored in a single,
central database. This centralization is key to the success of an ERP – data entered in one part of the company can be
immediately available to other parts of the company. Examples of types of data are shown: business intelligence,
eCommerce, assets management, among others.
It can be used to run an entire company: An ERP can be used to manage an entire organization’s operations, as shown in
the outermost circle of Fig 8.2. Each function is supported by a specific ERP module, reading clockwise from the top:
Procurement, Production, Distribution, Accounting, Human Resource, Corporate performance and government, Customer
services, Sales. Companies can purchase some or all available modules for an ERP representing different organization
functions, such as finance, manufacturing, and sales, to support their continued growth.
When an ERP vendor designs a module, it has to implement the associated business processes' rules. A selling point of an ERP
system is that it has best practices built right into it. In other words, when an organization implements an ERP, it also gets
improved best practices as part of the deal.
For many organizations, implementing an ERP system is an excellent opportunity to improve their business practices and
upgrade their software simultaneously. But for others, an ERP brings them a challenge: Is the process embedded in the ERP
really better than the process they are currently utilizing? If they implement this ERP, and it happens to be the same one that all
of their competitors have, will they become more like them, making it much more difficult to differentiate themselves?
This has been one of the criticisms of ERP systems: they commoditize business processes, driving all businesses to use the
same processes, thereby losing their uniqueness. The good news is that ERP systems also have the capability to be configured
with custom processes. For organizations that want to continue using their own processes or even design new ones, ERP
systems offer ways to support this through customizations.
But there is a drawback to customizing an ERP system: organizations have to maintain the changes themselves. Whenever an
update to the ERP system comes out, any organization that has created a custom process will be required to add that change to
their ERP. This will require someone to maintain a listing of these changes and retest the system every time an upgrade is
made. Organizations will have to wrestle with this decision: When should they go ahead and accept the best-practice processes
built into the ERP system, and when should they spend the resources to develop their own processes? It makes the most sense
only to customize those processes that are critical to the competitive advantage of the company.
Some of the best-known ERP vendors are SAP, Microsoft, and Oracle.
Registered trademark of SAP

Adopting an ERP is about adopting a standard business process across the entire company. The benefits are many, so are the
risks of adopting an ERP system. Organizations can spend up to millions of dollars and a few years to fully implement an ERP.
Hence, adopting an ERP is a strategic decision to decide how a company wants to run its organization based on a set of
business rules and processes to deliver competitive advantages.
Business Process Management (BPM)

Organizations that are serious about improving their business processes will also create structures to manage those processes.
BPM can be thought of as an intentional effort to plan, document, implement, and distribute an organization’s business
processes with information technology support.
BPM is more than just automating some simple steps. While automation can make a business more efficient, it cannot provide
a competitive advantage. On the other hand, BPM can be an integral part of creating that advantage, as we saw in Chapter 7.
Not all of an organization’s processes should be managed this way. An organization should look for processes essential to the
business's functioning and those that may be used to bring a competitive advantage. The best processes to look at include
employees from multiple departments, those who require decision-making that cannot be easily automated, and processes that
change based on circumstances.
Let’s examine an example. Suppose a large clothing retailer is looking to gain a competitive advantage through superior
customer service. As part of this, they create a task force to develop a state-of-the-art returns policy that allows customers to

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return any clothing article, no questions asked. The organization also decides that to protect the competitive advantage that this
returns policy will bring, they will develop their own customization to their ERP system to implement this returns policy. As
they prepare to roll out the system, they invest in training for all of their customer-service employees, showing them how to
use the new system and process returns. Once the updated returns process is implemented, the organization will measure
several key indicators about returns that will allow them to adjust the policy as needed. For example, if they find that many
customers are returning their high-end clothing after wearing them once, they could implement a change to the process that
limits – to, say, fourteen days – the time after the original purchase that an item can be returned. As changes to the returns
policy are made, the changes are rolled out via internal communications, and updates to the system's returns processing are
made. In our example, the system would no longer allow an item to be returned after fourteen days without an approved
reason.
If done properly, business process management will provide several key benefits to an organization, contributing to
competitive advantage. These benefits include:
Empowering employees: When a business process is designed correctly and supported with information technology,
employees will implement it on their own authority. In our returns policy example, an employee would be able to accept
returns made before fourteen days or use the system to make determinations on what returns would be allowed after
fourteen days.
Built-in reporting: By building measurement into the programming, the organization can keep up to date on key metrics
regarding their processes. In our example, these can improve the returns process and, ideally, reduce returns.
Enforcing best practices: As an organization implements processes supported by information systems, it can implement
the best practices for that business process class. In our example, the organization may require that all customers returning
a product without a receipt show a legal ID. This requirement can be built into the system so that the return will not be
processed unless a valid ID number is entered.
Enforcing consistency: By creating a process and enforcing it with information technology, it is possible to create
consistency across the organization. In our example, all stores in the retail chain can enforce the same returns policy. And if
the returns policy changes, the change can be instantly enforced across the entire chain.
Business Process Re-engineering (BPR)

As organizations look to manage their processes to gain a competitive advantage, they also need to understand that their
existing ways of doing things may not be the most effective or efficient. A process developed in the 1950s will not be better
just because it is now supported by technology.
In 1990, Michael Hammer’s article (1990) “Reengineering Work: Don’t Automate, Obliterate.” discusses how simply
automating a bad process does not make it better. Instead, companies should “blow up” their existing processes and develop
new processes that take advantage of the new technologies and concepts. Instead of automated outdated processes that do not
add value, companies should use modern IT technologies to re-engineer their processes to achieve significant performance
improvements radically.
Business process reengineering is not just taking an existing process and automating it. BPR fully understands the process's
goals and then dramatically redesigns it from the ground up to achieve dramatic improvements in productivity and quality. But
this is easier said than done. Most of us think about making small, local improvements to a process; complete redesign requires
thinking on a larger scale.
Hammer provides some guidelines for how to go about doing business process reengineering. You can read an excerpt from
the July-August 1990 HBR issue (accessible with a free account at HBR, at the time of this writing). A summary of the
guidelines is below:
Organize around outcomes, not tasks. This means to design the process so that, if possible, one person performs all the
steps. Instead of repeatedly repeating one step in the process, the person stays involved in the process from start to finish.
For example, Mutual Benefit LIfe’s use of one person(a case manager) to perform all tasks required for a completed
insurance application from paperwork, medical checks, risk checks to policy pricing.
Have those who use the outcomes of the process perform the process. Using information technology, many simple tasks
are now automated to empower the person who needs the process's outcome to perform it. Hammer's example is
purchasing: instead of having every department in the company use a purchasing department to order supplies, have the
supplies ordered directly by those who need the supplies using an information system.

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Subsume information-processing work into the real work that produces the information. When one part of the
company creates information (like sales information or payment information), it should be processed by that department.
There is no need for one part of the company to process information created in another part of the company. An example of
this is Ford's redesigned accounts payable process where receiving processes the information about goods received rather
than sending it to accounts payable.
Treat geographically dispersed resources as though they were centralized. With the communications technologies in
place today, it becomes easier than ever to not worry about physical location. A multinational organization does not need
separate support departments (such as IT, purchasing, etc.) for each location.
Link parallel activities instead of integrating their results. Departments that work in parallel should share data and
communicate with each other during their activities instead of waiting until each group is done and then comparing notes.
Put the decision points where the work is performed, and build controls into the process. The people who do the work
should have decision-making authority, and the process itself should have built-in controls using information technology.
The workers become self-managing and self-controlling, and the manager’s role changes to supporter and facilitator.
Capture information once at the source. Requiring information to be entered more than once causes delays and errors.
With information technology, an organization can capture it once and then make it available whenever needed.
These principles may seem like common sense today, but in 1990 they took the business world by storm. Ford and Mutual
Benefit Life’s successful attempt at reengineering a core business process have become textbook examples of Business process
Reengineering.
Organizations can improve their business processes by many orders of magnitude without adding new employees, simply
changing how they did things (see sidebar). For examples of how modern businesses of this century undergo process
reengineering to competitive advantage, read this blog by Carly Burdova on minit.
Unfortunately, business process reengineering got a bad name in many organizations. This was because it was used as an
excuse for cost-cutting that really had nothing to do with BPR. For example, many companies used it as an excuse for laying
off part of their workforce. Today, however, many BPR principles have been integrated into businesses and are considered part
of good business process management.
Sidebar: Re-engineering the College Bookstore

The process of purchasing the correct textbooks on time for college classes has always been problematic. And now, with
online bookstores such as Amazon and Chegg competing directly with the college bookstore for students’ purchases, the
college bookstore is under pressure to justify its existence.
But college bookstores have one big advantage over their competitors: they have access to students’ data. In other words, once
a student has registered for classes, the bookstore knows exactly what books that student will need for the upcoming term. To
leverage this advantage and take advantage of new technologies, the bookstore wants to implement a new process that will
make purchasing books through the bookstore advantageous to students. Though they may not compete on price, they can
provide other advantages, such as reducing the time it takes to find the books and guaranteeing that the book is the correct one
for the class. To do this, the bookstore will need to undertake a process redesign.
The process redesign's goal is simple: capture a higher percentage of students as customers of the bookstore. The before and
after the reengineering is shown in Figure 8.2.3.
Figure 8.2.3 : College bookstore process redesign. Image by David Bourgeois, Ph.D. is licensed CC BY 4.0
Wael Abdeljabbar
The Before process steps are:
1. The students get a booklist from each instructor
2. Go to the bookstore to search for the books on the list
3. If they are available, then students can purchase them
4. If they are not available, then the students will order the missing books
5. The students purchase the missing books
6. Students may need to do step 3 if it is not yet done
After diagramming the existing process and meeting with student focus groups, the bookstore develops a new process. In the
newly redesigned process:
1. The bookstore utilizes information technology to reduce the amount of work the students need to do to get their books by
sending the students an email with a list of all the books required for their upcoming classes along with purchase options(
new, used, or rental)
2. By clicking a link in this email, the students can log into the bookstore, confirm their books, and pay for their books online.
3. The bookstore will then deliver the books to the students.
The new re-engineered process delivers the business goal of capturing a larger percentage of students as customers of the
bookstore using technology to provide a valuable value-added service to students to make it convenient and faster.
ISO Certification
Many organizations now claim that they are using best practices when it comes to business processes. To set themselves apart
and prove to their customers (and potential customers) that they are indeed doing this, these organizations seek out an ISO
9000 certification.
ISO is an acronym for International Standard Organization, representing a global network of national standards bodies
Registered trademark of International Standard Organization. Image by International Organization for Standardization is
licensed CC-by-SA 4.0 International
This body defines quality standards that organizations can implement to show that they are, indeed, managing business
processes in an effective way. The ISO 9000 certification is focused on quality.
To receive ISO certification, an organization must be audited and found to meet specific criteria. In its most simple form, the
auditors perform the following review:
Tell me what you do (describe the business process).
Show me where it says that (reference the process documentation).
Prove that this is what happened (exhibit evidence in documented records).
Over the years, this certification has evolved, and many branches of the certification now exist. The ISO 9000 family
addresses various aspects of quality management. ISO certification is one way to separate an organization from others
regarding its quality and services and meet customer expectations.
References
Hammer, Michael (1990). Reengineering work: don't automate, obliterate. Harvard Business Review 68.4: 104–112

Wael Abdeljabbar
8.3: Summary
Summary
The advent of information technologies has had a huge impact on how organizations design, implement and support business
processes. From document management to project management to ERP systems, information systems are tied into
organizational processes. Using business process management, organizations can empower employees and leverage their
processes for competitive advantage. Using business process reengineering, organizations can vastly improve their
effectiveness and the quality of their products and services. Integrating information technology with business processes is one-
way information systems can bring an organization a lasting competitive advantage.

Wael Abdeljabbar
Study Questions
1. What does the term business process mean?
2. What are three examples of business processes ( from a job you have had or an organization you have observed?
3. What is the value of documenting a business process?
4. What is an ERP system? How does an ERP system enforce best practices for an organization?
5. What is one of the criticisms of ERP systems?
6. What is business process reengineering? How is it different from incrementally improving a process?
7. Why did BPR get a bad name?
8. List the guidelines for redesigning a business process.
9. What is business process management? What role does it play in allowing a company to differentiate itself?
10. What does ISO certification signify?
Exercises
1. Think of a business process that you have had to perform in the past. How would you document this process? Would a
diagram make more sense than a checklist? Document the process both as a checklist and as a diagram.
2. Review the return policies at your favorite retailer and then answer this question: What information systems do you think
need to be in place to support their return policy.
3. If you were implementing an ERP system, in which cases would you be more inclined to modify the ERP to match your
business processes? What are the drawbacks of doing this?
4. Which ERP is the best? Do some original research and compare three leading ERP systems to each other. Write a two- to
three-page paper that compares their features.
5. Research a company that chooses to implement an ERP. Write a report to describe it.
6. Research a failed implementation of an ERP. Write a report to describe why.
7. Research and write a report on how a company can obtain an ISO quality management certification.

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CHAPTER OVERVIEW
This chapter will provide an overview of the different types of people involved in information
systems. This includes people(and machines) who create information systems, those who operate
and administer information systems, those who manage or support information systems, those who
use information systems, and IT's job outlook.
9.1: INTRODUCTION
Discuss the different ways people are involved in information systems.

In this section, we will look at the creators of information systems. This group of people design,
develop, and build information systems.

In this section, we look at the group of information-systems professionals involved in the day-to-day operations and IT administration.

In this section, we will discuss some of the jobs associated with the management of information systems.
9.5: EMERGING ROLES

In this section, we look at the new roles in industry as technology evolves.

In this section, we take a look at a career path in information systems.

In this section, we look at the information systems' users, the largest and the most important group.
9.8: SUMMARY
1 8/28/2021
9.1: Introduction
In this text's opening chapters, we focused on the technology behind information systems: hardware, software, data, and
networking. In the last chapter, we discussed business processes and the key role they can play in a business's success. In this
chapter, we will be discussing the last component of an information system: people.
Figure 9.1.1 : People in Information systems. Image by Karen Arnold - PublicDomainPicutres is licensed CCO-PD
People are involved in information systems in just about every way you can think of: people imagine information systems,
develop information systems, support information systems, and, perhaps most importantly, people use information systems.

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9.2: The Creators of Information Systems
The first group of people we are going to look at plays a role in designing, developing, and building information systems.
These people are generally very technical and have a background in programming and mathematics. Just about everyone who
works in creating information systems has a minimum of a bachelor’s degree in computer science or information systems.
However, that is not necessarily a requirement. We will be looking at the process of creating information systems in more
detail in chapter 10.
Systems Analyst
The systems analyst's role is unique in that it straddles the divide between identifying business needs and imagining a new or
redesigned computer-based system to fulfill those needs. This individual will work with a person, team, or department with
business requirements and identify the specific details of a system that needs to be built. Generally, this will require the analyst
to understand the business itself, the business processes involved, and the ability to document them well. The analyst will
identify the different stakeholders in the system and work to involve the appropriate individuals.
Once the requirements are determined, the analyst will begin translating these requirements into an information-systems
design. A good analyst will understand what different technological solutions will work and provide several different
alternatives to the requester, based on the company’s budgetary constraints, technology constraints, and culture. Once the
solution is selected, the analyst will create a detailed document describing the new system. This new document will require
that the analyst understand how to speak in systems developers' technical language.
A systems analyst generally is not the one who does the actual development of the information system. The design document
created by the systems analyst provides the detail needed to create the system and is handed off to a programmer (or team of
programmers) to do the actual creation of the system. In some cases, however, a systems analyst may create the system that he
or she designed. This person is sometimes referred to as a programmer-analyst.
In other cases, the system may be assembled from off-the-shelf components by a person called a systems integrator. This is a
specific type of systems analyst that understands how to get different software packages to work with each other.
To become a systems analyst, you should have a background in business and systems design. You also must have strong
communication and interpersonal skills plus an understanding of business standards and new technologies. Many analysts first
worked as programmers and/or had experience in the business before becoming systems analysts. The best systems analysts
have excellent analytical skills and are creative problem solvers.
Computer Programmer (or Software developer)

A computer programmer or software developer is responsible for writing the code that makes up computer software. They
write, test, debug and create documentation for computer programs. In the case of systems development, programmers
generally attempt to fulfill the design specifications given to them by a systems analyst. Many different programming styles
exist: a programmer may work alone for long stretches of time or may work in a team with other programmers. A programmer
needs to understand complex processes and the intricacies of one or more programming languages. They are usually referred
to by the programming language they most often use: Java programmer or Python programmer. Good programmers are very
proficient in mathematics and excel at logical thinking.
Computer Engineer
Computer engineers design the computing devices that we use every day. There are many types of computer engineers who
work on various types of devices and systems. Some of the more prominent engineering jobs are as follows:
Hardware engineer: A hardware engineer designs hardware components, such as microprocessors. A hardware engineer
is often at the cutting edge of computing technology, creating something brand new. Other times, the hardware engineer’s
job is to engineer an existing component to work faster or use less power. Many times, a hardware engineer’s job is to write
code to create a program that will be implemented directly on a computer chip.

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Software engineer: Software engineers do not actually design devices; instead, they create new programming languages
and operating systems, working at the lowest hardware levels to develop new kinds of software to run on the hardware.
Systems engineer: A systems engineer takes the components designed by other engineers and makes them all work
together. For example, to build a computer, the motherboard, processor, memory, and hard disk all have to work together. A
systems engineer has experience with many different hardware and software types and knows how to integrate them to
create new functionality.
Network engineer: A network engineer’s job is to understand the networking requirements and then design a
communications system to meet those needs, using the networking hardware and software available.
There are many different types of computer engineers, and often the job descriptions overlap. While many may call themselves
engineers based on a company job title, there is also a professional designation of “professional engineer,” which has specific
requirements behind it. In the US, each state has its own set of requirements for using this title, as do different countries
around the world. Most often, it involves a professional licensing exam.
References
Careers in IT. Retrieved November 13, 2020, from https://www.itcareerfinder.com/it-careers/mobile-application-
developer.html

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9.3: Information-Systems Operations and Administration
Another group of information-systems professionals is involved in the day-to-day operations and administration of IT. These
people must keep the systems running and up-to-date so that the rest of the organization can make the most effective use of
these resources.
Computer Operator
A computer operator is a person who keeps large computers running. This person’s job is to oversee the mainframe computers
and data centers in organizations. Some of their duties include keeping the operating systems up to date, ensuring available
memory and disk storage, and overseeing the computer's physical environment. Since mainframe computers have increasingly
been replaced with servers, storage management systems, and other platforms, computer operators’ jobs have grown broader
and include working with these specialized systems.
Database Administrator
A database administrator (DBA) is the person who manages the databases for an organization. This person operates and
maintains databases, including database recovery and backup procedures, used as part of applications or the data warehouse.
They are responsible for securing the data and ensuring that only users who are approved to access the data can do so. The
DBA also consults with systems analysts and programmers on projects requiring access to or creating databases.
Database Architect: Database architects design and create secure databases that meet the needs of an organization. They
work closely with software designers, design analysts, and others to create comprehensive databases that may be used by
hundreds, if not thousands, of people. Most organizations do not staff a separate database architect position. Instead, they
require DBAs to work on both new and established database projects.
Database Analyst: Some organizations create a separate position, Database Analyst, who looks at databases from a higher
level. He analyzes database design and the changing needs of an organization, recommends additions for new projects, and
designs the tables and relationships.
Oracle DBA: A DBA that specializes in Oracle database. Oracle DBA’s handle capacity planning, evaluate database server
hardware, and manage all aspects of an Oracle database, including installation, configuration, design, and data migration.
Help-Desk/Support Analyst
Most midsize to large organizations have their own information-technology help desk and are the most visible IT roles. The
help desk is the first line of support for computer users in the company. Computer users who are having problems or need
information can contact the help desk for assistance. Often, a help-desk worker is a junior-level employee who does not
necessarily know how to answer all of the questions that come his or her way. In these cases, help-desk analysts work with
senior-level support analysts or have a computer knowledgebase at their disposal to help them investigate the problem at hand.
The help desk is a great place to break into IT because it exposes you to all of the company's different technologies. A
successful help-desk analyst has conflict resolutions, active listening skills, problem-solving abilities, and a wide range of
technical knowledge across hardware, software, and networks.
Trainer
A computer trainer conducts classes to teach people specific computer skills. For example, if a new ERP system is installed in
an organization, one part of the implementation process is to teach all users how to use the new system. A trainer may work for
a software company and be contracted to come in to conduct classes when needed; a trainer may work for a company that
offers regular training sessions, or a trainer may be employed full time for an organization to handle all of their computer
instruction needs. To be successful as a trainer, you need to be able to communicate technical concepts well and have a lot of
patience!
Quality Support Engineers

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A quality engineer establishes and maintains a company’s quality standards and tests systems to ensure efficiency, reliability,
and performance. They are also responsible for creating documentation that reports issues and errors relating to the computer
and software systems.

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9.4: Managing Information Systems
The management of information-systems functions is critical to the success of information systems within the organization.
Here are some of the jobs associated with the management of information systems.
Chief Information Officer(CIO)

The CIO, or chief information officer, is the head of the information-systems function. This person aligns the plans and
operations of the information systems with the strategic goals of the organization. This includes tasks such as budgeting,
strategic planning, and personnel decisions for the information-systems function. This is a high-profile position as the CIO is
also the face of the organization's IT department. This involves working with senior leaders in all parts of the organization to
ensure good communication and planning.
Interestingly, the CIO position does not necessarily require a lot of technical expertise. While helpful, it is more important for
this person to have good management and people skills and understand the business. Many organizations do not have someone
with the CIO's title; instead, the head of the information-systems function is called vice president of information systems or
director of information systems.
Functional Manager
As an information-systems organization becomes larger, many of the different functions are grouped and led by a manager.
These functional managers report to the CIO and manage the employees specific to their function. For example, in a large
organization, a group of systems analysts reports to a systems-analysis function manager. For more insight into how this might
look, see the discussion later in the chapter of how information systems are organized.
ERP Management
Organizations using an ERP require one or more individuals to manage these systems. These people make sure that the ERP
system is completely up to date, work to implement any changes to the ERP needed, and consult with various user departments
on needed reports or data extracts.
Project Managers
Information-systems projects are notorious for going over budget and being delivered late. In many cases, a failed IT project
can spell doom for a company. A project manager is responsible for keeping projects on time and budget. This person works
with the project stakeholders to keep the team organized and communicates the status of the project to management. A project
manager does not have authority over the project team; instead, the project manager coordinates schedules and resources to
maximize the project outcomes. A project manager must be a good communicator and an extremely organized person. A
project manager should also have good people skills. Many organizations require their project managers to become certified as
project management professionals (PMP).
Information-Security Officer
An information security officer is in charge of setting information-security policies for an organization and then overseeing
those policies' implementation. This person may have one or more people reporting to them as part of the information security
team. As information has become a critical asset, this position has become highly valued. The information-security officer
must ensure that the organization’s information remains secure from both internal and external threats.

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9.5: Emerging Roles
As technology evolves, many new roles are becoming more common as other roles fade. For example, as we enter the age of
“big data,” we see the need for more data analysts and business-intelligence specialists. Many companies are now hiring social
media experts and mobile-technology specialists. The increased use of cloud computing and virtual-machine technologies also
is breeding demand for expertise in those areas.
Cloud system engineer: In the past, companies would typically store their data in large physical databases or even hire
database firms, but today, they turn to cloud storage as a low-cost and effective means of storing data. This is where cloud
engineers come in. They are responsible for the design, planning, management, maintenance, and support of an
organization's cloud computing environment.
Cyber Security Analyst (or engineer): As new technologies emerge, so do the number of security threats online.
Cybersecurity is a growing field that focuses on protecting organizations from digital attacks and keeping their information
and networks safe. The following are examples of some of the many cybersecurity roles:
Security Administrator: These professionals serve in high-level roles, overseeing the IT security efforts of their
organization. They create policies and procedures, identify weak areas of networks, install firewalls, and respond to
security breaches.
Security Architect: Security architects design, plan, and supervise systems that thwart potential computer security
threats. They must find the strengths and weaknesses of their organizations' computer systems, often developing new
security architectures.
Security Analyst: Organizations employ a security analyst to protect computer and networking systems from cyber-
attacks and hackers and keep information and networks safe.
AI/Machine Learning Engineer: These engineers develop and maintain AI (artificial intelligence) machines and systems
that have the ability to learn and utilize existing knowledge. As more and more industries turn towards automating certain
aspects of the workforce, AI engineers will be in high demand.
Computer Vision Engineer: Computer vision engineers create and use computer vision and machine learning algorithms
that acquire, process, and analyze digital images, videos, etc. Their work is closely linked to AR(augmented reality) and
VR (virtual reality). As we see the rise of such technologies as self-driving vehicles, these skills' demands will continue to
grow.
Big Data Engineer: Big Data Engineers create and manage a company's Big Data infrastructure, such as SQL engines and
tools. A big data engineer installs continuous pipelines that run to and from huge pools of filtered information from which
data scientists can pull relevant data sets for their analyses.
Health Information Technician: Health information technicians use specialized computer programs and administrative
techniques to ensure that patient's electronic health records are complete, accurate, accessible, and secure.
Mobile Application developers: Mobile App developers create software for mobile devices. They write programs inside a
mobile development environment using Objective C, C++, or Java programming languages. A mobile app developer will
typically choose an OS such as Google’s Android or Apple's IOS and develop apps for that environment.

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9.6: Career Path in Information Systems
These job descriptions do not represent all possible jobs within an information system organization. Larger organizations will
have more specialized roles; smaller organizations may combine some of these roles. Many of these roles may exist outside of
a traditional information-systems organization, as we will discuss below.
Figure 9.6.1 : Jobs in Information Systems - Image from Pickpic is licensed CCO-PD
Working with information systems can be a rewarding career choice. Whether you want to be involved in very technical jobs
(programmer, database administrator) or want to be involved in working with people (systems analyst, trainer), there are many
different career paths available.
Often, those in technical jobs who want career advancement find themselves in a dilemma: do they want to continue doing
technical work, where sometimes their advancement options are limited or do they want to become a manager of other
employees and put themselves on a management career track? In many cases, those proficient in technical skills are not gifted
with managerial skills. Some organizations, especially those that highly value their technically skilled employees, will create a
technical track that exists in parallel to the management track to retain employees who are contributing to the organization.
Today, most large organizations have dual career paths - the Managerial and Technical/Professional.
Then there are people from other fields who want to get into IT. For example, a writer wants to become a technical writer, and
a salesperson may want to become a quality tester.
People have many different reasons for transitioning into the IT industry, and the timing couldn’t be better. The IT industry is
facing a massive shortage of workers, both domestic and international, and there are many employment opportunities at every
level.
Sidebar: Are Certifications Worth Pursuing?

As technology is becoming more important to businesses, hiring employees with technical skills is becoming critical. But
how can an organization ensure that the person they are hiring has the necessary skills? These days, many organizations
are including technical certifications as a prerequisite for getting hired.
Certifications are designations given by a certifying body that someone has a specific knowledge level in a specific
technology. This certifying body is often the vendor of the product itself, though independent certifying organizations,
such as CompTIA, also exist. Many of these organizations offer certification tracks, allowing a beginning certificate as a
prerequisite to getting more advanced certificates. To get a certificate, you generally attend one or more training classes
and then take one or more certification exams. Passing the exams with a certain score will qualify you for a certificate. In
most cases, these classes and certificates are not free and, in fact, can run into the thousands of dollars. Some examples of
the certifications in the highest demand include Microsoft (software certifications), Cisco (networking), and SANS
(security), Oracle (database, SQL).
For many working in IT (or thinking about an IT career), determining whether to pursue one or more of these
certifications is an important question. For many jobs, such as those involving networking or security, the employer will
require a certificate to determine which potential employees have a basic level of skill. For those already in an IT career, a
more advanced certificate may lead to a promotion. However, other cases, when experienced with a certain technology,

Wael Abdeljabbar
will negate the need for certification. For those wondering about the importance of certification, the best solution is to talk
to potential employers and those already working in the field to determine the best choice. Perusing different job websites
to see the trend of hot IT jobs and associated requirements is a good place to start.
Organizing the Information-Systems Function

In the early years of computing, the information-systems function (generally called data processing) was placed in the
organization's finance or accounting department. As computing became more important, a separate information-systems
function was formed. However, it was still generally placed under the CFO and considered an administrative function of the
company. In the 1980s and 1990s, when companies began networking internally and then linking up to the Internet, the
information-systems function was combined with the telecommunications functions and designated the information
technology (IT) department. As information technology's role continued to increase, especially the increased risk over security
and privacy, its place in the organization also moved up the ladder. In many organizations today, the head of IT (the CIO)
reports directly to the CEO or COO. There are still places where IT reports to a VP of finance.
IT is often organized into these functions:
IT support (call support)
Security
Database
Network
Applications to support end-user apps (i.e., Office) or enterprise apps (ERP, MRP).
The size of each function varies depending on the level of outsourcing a company decides to do.
Not all IT-related tasks are done directly by IT staff. Some tasks may be done by other groups in a firm such as Marketing or
Manufacturing. For example, marketing or engineering groups may choose their own vendor to support and provide cloud
services for the company's products or services. Collaboration with IT is critical to avoid creating confusion for end-user
support and training. Some IT tasks can also be outsourced to external partners.
Outsourcing
Outsourcing- using third-party service providers- to handle some of your business processes became a popular business
strategy back in the '80s and 90’s to combat rising labor costs and allow firms to focus on their core functions. For example, an
early function that firms outsourced is payroll. With the Internet boom and bust in 2000-2001 and the rise of the global
marketplace, outsourcing is now a common business strategy for companies of all sizes.
Figure 9.6.2 : Outsourcing. Image by Jireh Gibson is licensed Pixabay

If an organization needs a specific skill for a limited period of time, instead of training an existing employee or hiring someone
new, the job can be outsourced. Outsourcing can be used in many different situations within the information-systems function,
such as designing and creating a new website or the upgrade of an ERP system. Some organizations see outsourcing as a cost-
cutting move, contracting out a whole group or department. In some cases, outsourcing has become a necessity - the only
feasible way to grow your business, launch a product, or manage operations is by using an outside vendor for certain tasks.
Job Outlook

Wael Abdeljabbar
IT jobs are projected to grow due to continued increase in cloud computing, cybersecurity concert, and firms’ expansion, from
both computing and non-computing industries, to adopt new technologies and digital platforms,
According to the Bureau of Labor Statistics, jobs in computer and information system managers are projected to grow 10%
from 2019 to 2029, 4% for network and computer systems administrators, 8% for computer support specialists.
References
Bureau of Labor Statistics, U.S. Department of Labor, Occupational Outlook Handbook, Computer and Information Systems
Managers. Retrieved November 13, 2020, from https://www.bls.gov/ooh/management/computer-and-information-systems-
managers.htm
Careers in IT. Retrieved November 13, 2020, from https://www.itcareerfinder.com/it-careers/mobile-application-
developer.html

Wael Abdeljabbar
9.7: Information-Systems Users – Types of Users
Information-Systems Users – Types of Users
Besides the people who work to create, administer, and manage information systems, one more significant group of people: the
users of information systems. This group represents a considerable percentage of the people involved. If the user cannot
successfully learn and use an information system, the system is doomed to failure.
One tool used to understand how users will adopt a new technology comes from a 1962 study by Everett Rogers. In his book,
Diffusion of Innovation, 1 Rogers explains how new ideas and technology spread via communication channels over time.
Innovations are initially perceived as uncertain and even risky. To overcome this uncertainty, most people seek out others like
themselves who have already adopted the new idea or technology. Thus, the diffusion process consists of successive groups of
consumers adopting new technology( shown in blue in the graph below); the adoption rate will start slowly and then
dramatically increase once adoption reaches a certain point - its market share(yellow curve) reaches saturation level and
becomes self-sustaining.
Figure 9.4: Technology adoption user types

Image by Rogers Everett, licensed under Public domain, via Wikimedia Commons
Rogers identified five (sections of the blue curve) specific types of technology adopters:
Innovators: Innovators are the first individuals to adopt new technology. Innovators are willing to take risks, are the
youngest in age, have the highest social class, have great financial liquidity, are very social, and have the closest contact
with scientific sources and interaction with other innovators. Risk tolerance has them adopting technologies that may
ultimately fail. Financial resources help absorb these failures (Rogers 1962 5th ed, p. 282).
Early adopters: The early adopters adopt an innovation after a technology has been introduced and proven. These
individuals have the highest degree of opinion leadership among the other adopter categories, which means that they can
influence the largest majority's opinions. They are typically younger in age, have higher social status, more financial
liquidity, more advanced education, and are more socially aware than later adopters. These people are more discrete in
adoption choices than innovators and realize the judicious choice of adoption will help them maintain a central
communication position (Rogers 1962 5th ed, p. 283).
Early majority: Individuals in this category adopt an innovation after a varying degree of time. This time of adoption is
significantly longer than the innovators and early adopters. This group tends to be slower in the adoption process, has
above average social status, has contact with early adopters, and seldom holds opinion leadership positions in a system
(Rogers 1962 5th ed, p. 283).
Late majority: The late majority will adopt an innovation after the average member of the society. These individuals
approach an innovation with a high degree of skepticism, have below-average social status, very little financial liquidity,
contact others in the late majority and the early majority, and show very little opinion leadership.
Wael Abdeljabbar
Laggards: Individuals in this category are the last to adopt an innovation. Unlike those in the previous categories,
individuals in this category show no opinion leadership. These individuals typically have an aversion to change agents and
tend to be advanced in age. Laggards typically tend to be focused on “traditions,” are likely to have the lowest social status
and the lowest financial liquidity, be the oldest of all other adopters, and be only in contact with family and close friends.
Knowledge of the diffusion theory and the five types of technology users help provide additional insight into how to
implement new information systems within an organization. For example, when rolling out a new system, IT may want to
identify the innovators and early adopters within the organization and work with them first, then leverage their adoption to
drive the implementation.
This process of diffusion of new ideas and technology can usually take months or years. But there are exceptions: the use of
the internet in the 1990s and mobile devices in recent years to communicate, interact socially, access news and entertainment
have spread more rapidly than possibly any other innovation in humankind's history.
References
Rogers, E. M. (1962). Diffusion of innovations. New York: Free Press

Wael Abdeljabbar
9.8: Summary
Summary
This chapter has reviewed the many different categories of individuals - from the front-line help-desk workers to system
analysts to chief information officer(CIO) -who make up the people component of information systems. The world of
information technology is changing so fast that new roles are being created all the time, and roles that have existed for decades
are being phased out. That said, this chapter should have given you a good idea of the importance of the people component of
information systems.

Wael Abdeljabbar
Study Questions
1. Describe the role of a systems analyst.
2. What are some of the different roles of a computer engineer?
3. What are the duties of a computer operator?
4. What does the CIO do?
5. Describe the job of a DBA.
6. Explain the point of having two different career paths in information systems.
7. What are the five types of information-systems users?
8. Why would an organization outsource?
Exercises
1. Which IT job would you like to have? Do some original research and write a two-page paper describing the duties of the
job you are interested in.
2. Spend a few minutes on Dice or Monster to find IT jobs in your area. What are IT jobs currently available? Write up a two-
page paper describing three jobs, their starting salary (if listed), and the skills and education needed for the job.
3. How is the IT function organized in your school or place of employment? Create an organization chart showing how the IT
organization fits into your overall organization. Comment on how centralized or decentralized the IT function is.
4. What type of IT user are you? Take a look at the five types of technology adopters, and then write a one-page summary of
where you think you fit in this model.

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CHAPTER OVERVIEW
This chapter will look at different methods to manage an information system's development process,
with special attention to software development, review mobile application development, and discuss
end-user computing. We will look at key trade-offs that organizations face in making critical
decisions to “build vs. buy or subscribe,” the balancing act between scope, cost, and time while
delivering a high-quality project and obtaining the buy-in from the users.
10.1: INTRODUCTION
Discuss the different methods of taking those ideas and bringing them to reality, a process known
as information systems development.

Discuss the Systems Development Life Cycle (SDLC) Model and other methods to manage IS Projects.

This section discusses the process to produce good quality software.

This section discussed various implementation methodologies and how to manage the change process.
10.5: SUMMARY
10.7: SUMMARY
1 8/28/2021
10.1: Introduction
When someone has an idea for a new function to be performed by a computer, how does that idea become a reality? If a
company wants to implement a new business process and needs new hardware or software to support it, how do they go about
making it happen? How do they decide whether to build their own solution or buy or subscribe to a solution available in the
market?
This chapter will discuss the different methods of taking those ideas and bringing them to reality, a process known as
information systems development.

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10.2: Systems Development Life Cycle (SDLC) Model
Systems Development Life Cycle (SDLC) Model
SDLC was first developed in the 1960s to manage the large projects associated with corporate systems running on mainframes.
It is a very structured process designed to manage large projects with many people's efforts, including technical, business,
support professionals. These projects are often costly to build, and they have a large impact on the organization. A failed
project or an incorrect business decision to pick a wrong project to fund can be a business or financial catastrophe for an
organization.
SDLC is a model defining a process of a set of phases for planning, analysis, design, implementation, maintenance. Chapter 1
discusses that an information system (IS) includes hardware, software, database, networking, process, and people. SDLC has
been used often to manage an IS project that may include one, some, or all of the elements of an IS. Let’s walk through each of
the five phases of an SDLC as depicted in Figure 10.1:
Fig 10.1 - Software Development Lifecycle Model. Image by Ly-Huong Pham, Ph.D. is licensed under CC BY NC
1. Planning. In this phase, a request is initiated by someone who acts as a sponsor for this idea. A small team is assembled to
conduct a preliminary assessment of the request's merit and feasibility. The objectives of this phase are:
To determine how the request fits with the company’s strategy or business goals.
To conduct a feasibility analysis, which includes an analysis of the technical feasibility (is it possible to create this?),
the economic feasibility (can we afford to do this?), and the legal feasibility (are we allowed to do this?).
To recommend a go/no go for the request. If it is a go, then a concept proposal is also produced for management to
approve.
2. Analysis. Once the concept proposal is approved, the project is formalized with a new project team (including the previous
phase). Using the concept proposal as the starting point, the project members work with different stakeholder groups to
determine the new system's specific requirements. No programming or development is done in this step. The objectives of
this phase are:
Identify and Interview key stakeholders.
Document key procedures
Develop the data requirements
To produce a system-requirements document as the result of this phase. This has the details to begin the design of the
system.
3. Design. Once the system requirements are approved, the team may be reconfigured to bring in more members. This phase
aims for the project team to take the system requirements document created in the previous phase and develop the specific

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technical details required for the system. The objectives are:
Translate the business requirements into specific technical requirement
Design the user interface, database, data inputs and outputs, and reports
Produce a system-design document as the result of this phase. . This document will have everything a programmer
will need to create the system.
4. Implementation. Once a system design is approved, the software code finally gets written in the programming phase, and
the development effort for other elements such as hardware also happens. The purpose is to create an initial working
system. The objectives are:
Develop the software code, and other IS components. Using the system- design document as a guide, developers
begin to code or develop all the IS project components.
Test the working system through a series of structured tests such as:
The first is a unit test, which tests individual parts of the code for errors or bugs.
Next is a system test, where the system's different components are tested to ensure that they work together
properly.
Finally, the user-acceptance test allows those that will be using the software to test the system to ensure that it
meets their standards.
Iteratively test any fixes again to address any bugs, errors, or problems found during testing.
Train the users
Provide documentation
Perform necessary conversions from any previous system to the new system.
Produce, as a result, the initial working system that meets the requirements laid out in the analysis phase and the
design developed in the design phase.
5. Maintenance. This phase takes place once the implementation phase is complete. In this phase, the system must have a
structured support process in place to:
Report bugs
Deploy bug fixes
Accept requests for new features
Evaluate the priorities of reported bugs or requested features to be implemented
Identify a predictable and regular schedule to release system updates and perform backups.
Dispose of data and anything else that is no longer needed
Organizations can combine or sub-divide these phases to fit their needs. For example, instead of one phase, Planning, an
organization can choose to have two phases: Initiation, Concept; or splitting the implementation into two phases:
implementation and testing.
Waterfall Model
One specific SDLC-based model is the Waterfall model, and the name is often thought to be the same as SDLC. It is used to
manage software projects as depicted in Fig 10.2 with five phases: Requirements, Design, Implement, Verification, and
Maintenance. This model stresses that each phase must be completed before the next one can begin (hence the name
waterfall). For example, changes to the requirements are not allowed once the implementation phase has begun, or changes
must be sought and approved to a change process. They may require the project to restart from the requirement phase since
new requirements need to be approved, which may cause the design to be revised before the implementation phase can begin.

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Fig 10.2 Waterfall Model of System Development. Image by Peter Kemp / Paul Smit is licensed CC BY 3.0
The waterfall model's rigid structure has been criticized for being quite rigid and causing teams to be risk-averse to avoid
going back to previous phases. However, there are benefits to such a structure too. Some advantages and disadvantages of
SDLC and Waterfall are:
Advantages and Disadvantage of SDLC and Waterfall
The robust process to control and track changes to minimize the number Take time to record everything, which leads to additional cost and time
of risks can derail the project unknowingly. to the schedule.
Standard and transparent processes help the management of large Too much time spent attending meetings, seeking approval, etc. which
teams. lead to additional cost and time to the schedule.
Documentation reduces the risks of losing personnel, easier to add Some members do not like to spend time writing, leading to the
people to the project. additional time needed to complete a project.
It is difficult to incorporate changes or customers’ feedback since the

Easier to trace a problem in the system to its root whenever errors are
project has to go back to one or more previous phases, leading teams to
found, even after the project is completed.
become risk-averse.
Other models are developed over time to address these criticisms. We will discuss two other models: Rapid Application
Development and Agile, as different approaches to SDLC.
Rapid Application Development (RAD)

Rapid application development (RAD) is a software development (or systems-development) methodology that focuses less on
planning and incorporating changes on an ongoing basis. RAD focuses on quickly building a working model of the software or
system, getting feedback from users, and updating the working model. After several iterations of development, a final version
is developed and implemented. Let’s walk through the four phases in the RAD model as depicted in Fig. 10.3.
Fig 10.3 Image Rapid Application Development Model is licensed Public domain.
1. Requirements Planning. This phase is similar to the planning, analysis, and design phases of the SDLC.

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2. User Design. In this phase, the users' representatives work with the system analysts, designers, and programmers to
interactively create the system's design. One technique for working with all of these various stakeholders is the Joint
Application Development (JAD) session. A JAD session gets all relevant users who interact with the systems from
different perspectives, other key stakeholders, including developers, to have a structured discussion about the system's
design. The objectives are for users to understand and adopt the working model and for the developers to understand how
the system needs to work from the user’s perspective to provide a positive user experience.
3. Construction. In the construction phase, the tasks are similar to SDLC’s implementation phase. The developers continue
to work interactively with the users to incorporate their feedback as they interact with the working model that is being
developed. This is an interactive process, and changes can be made as developers are working on the program. This step is
executed parallel with the User Design step in an iterative fashion until an acceptable version of the product is developed.
4. Cutover. This step is similar to some of the SDLC implementation phase tasks. The system goes live or is fully deployed.
All steps required to move from the previous state to using the new system are completed here.
Compared to the SDLC or Waterfall model, the RAD methodology is much more compressed. Many of the SDLC steps are
combined, and the focus is on user participation and iteration. This methodology is better suited for smaller projects and has
the added advantage of giving users the ability to provide feedback throughout the process. SDLC requires more
documentation and attention to detail and is well suited to large, resource-intensive projects. RAD is better suited for projects
that are less resource-intensive and need to be developed quickly. Here are some of the advantages and disadvantages of RAD:
Advantages and Disadvantage of RAD
Risks of weak implementation of features that are not visible to the

Increase quality due to the frequency of interacting with the users
users, such as security
Lack of control over the system changes due to a working version's fast
Reduce risks of users’ refusal to accept the finished product
turn-around to address users’ issues.
Improve chances of on-time, on-budget completion as users update in Lack of design since changes are being put in the system might
real-time, avoiding surprises during development. unknowingly affect other parts of the system.
Scarce resources as developers are tied up, which could slow down
Increase interaction time between developers/experts and users
other projects.
Best suited for small to medium size project teams Difficult to scale up to large teams
Agile Development Methodologies

Agile methodologies are a group of methodologies that utilize incremental changes focusing on quality and attention to detail.
Each increment is released in a specified period of time (called a time box), creating a regular release schedule with particular
objectives. While considered a separate methodology from RAD, they share some of the same principles: iterative
development, user interaction, and changeability. The agile methodologies are based on the “Agile Manifesto,” first released in
2001.
The characteristics of agile methods include:
small cross-functional teams that include development-team members and users;
daily status meetings to discuss the current state of the project;
short time-frame increments (from days to one or two weeks) for each change to be completed; and
At the end of each iteration, a working project is completed to demonstrate to the stakeholders.
In essence, the Agile approach puts a higher value on tasks that promote interaction, build frequent working versions,
customers/user collaboration, and quick response to change and less emphasis on processes and documentation. The agile
methodologies' goal is to provide an iterative approach's flexibility while ensuring a quality product.
There are a variety of models that are built using Agile methodologies. One such example is the Scrum development model.
Scrum development model
This model is suited for small teams who work to produce a set of features within fixed-time interactions, such as two- to four
weeks, called sprints. Let’s walk through the four key elements of a Scrum model as depicted in Fig 10.4.

Wael Abdeljabbar
Fig 10.4. The Scrum project management method. Image by Lakeworks is licensed CC BY-SA 4.0
1. Product backlog. This is a detailed breakdown list of work to be done. All the work is prioritized based on criteria such as
risks, dependencies, mission-critical, etc. Developers select their own tasks and self-organize to get the work done.
2. Sprint backlog. This is a list of the work to be done in the next sprint.
3. Sprint. This is a fixed time, such as 1-day, 2-weeks, or 4-weeks, as agreed by the team. A daily progress meeting is called
a daily scrum, typically a short 10-15 minute meeting facilitated by a scrum master whose role is to remove roadblocks for
the team.
4. Working increment of the software. This is a working version that is incrementally built with the breakdown lists at the
end of the sprints.
Lean Methodology
One last methodology we will discuss is a relatively new concept taken from the business bestseller The Lean Startup, by Eric
Reis.
Fig 10.5. The Lean Methodology. David T. Bourgeois, Ph.D. is licensed CC BY-SA 2.0
This methodology focuses on taking an initial idea and developing a minimum viable product (MVP). The MVP is a working
software application with just enough functionality to demonstrate the idea behind the project. Once the MVP is developed, it
is given to potential users for review. Feedback on the MVP is generated in two forms: (1) direct observation and discussion
with the users, and (2) usage statistics gathered from the software itself. Using these two forms of feedback, the team
determines whether they should continue in the same direction or rethink the project's core idea, change the functions, or
create a new MVP. This change in strategy is called a pivot. Several iterations of the MVP are developed, with new functions
added each time based on the feedback, until a final product is completed.
The biggest difference between the lean methodology and the other methodologies is that the system's full set of requirements
is unknown when the project is launched. As each iteration of the project is released, the statistics and feedback gathered are
used to determine the requirements. The lean methodology works best in an entrepreneurial environment where a company is
interested in determining if their idea for a software application is worth developing.
References:
Manifesto for Agile Software Development (2001). Retrieved December 10, 2020, from http://agilemanifesto.org/
The Lean Startup. Retrieved on December 9, 2020, from http://theleanstartup.com/

Wael Abdeljabbar
10.3: Software Development
Software Development
Many of the methodologies discussed above are used to manage software development since programming is complex, and
sometimes errors are hard to detect. We learned in chapter 2 that software is created via programming, and programming is the
process of creating a set of logical instructions for a digital device to follow using a programming language. The programming
process is sometimes called “coding” because the syntax of a programming language is not in a form that everyone can
understand – it is in “code.”
The process of developing good software is usually not as simple as sitting down and writing some code. True, sometimes a
programmer can quickly write a short program to solve a need. But most of the time, the creation of software is a resource-
intensive process that involves several different groups of people in an organization. In the following sections, we are going to
review several different methodologies for software development.
Sidebar: The project management quality triangle

When developing software or any product or service, there is tension between the developers and the different stakeholder
groups, such as management, users, and investors. Fig. 10.5 illustrates the tension of the three requirements: time, cost, and
quality that project managers need to make tradeoffs in. From how quickly the software can be developed (time), to how much
money will be spent (cost), to how well it will be built (quality). The quality triangle is a simple concept. It states that you can
only address two of the following: time, cost, and quality for any product or service being developed.
Fig 10.6 Project Management Quality Triangle. Image by Mapto is licensed Public domain
So what does it mean that you can only address two of the three? It means that the finished product's quality depends on the
three variables: scope, schedule, and the allocated budget. Changes in any of these three variables affect the other two, hence,
the quality.
For example, if a feature is added, but no additional time is added to the schedule to develop and test, the code's quality may
suffer, even if more money is added. There are times when it is not even feasible to make the tradeoff. For example, adding
more people to a project where members are so overwhelmed that they don’t have time to manage or train new people.
Overall, this model helps us understand the tradeoffs we must make when developing new products and services.
Programming Languages
One of the important decisions that a project team needs to make is to decide which programming language(s) are to be used
and associated tools in the development process. As mentioned in chapter 3, software developers create software using one of
several programming languages. A programming language is a formal language that provides a way for a programmer to
create structured code to communicate logic in a format that the computer hardware can execute. Over the past few decades,
many different programming languages have evolved to meet many different needs.
There is no one way to categorize the languages. Still, they are often grouped by type (i.e., query, scripting), or chronologically
by year when it was introduced (i.,e. Fortran was introduced in 1954s), by their “generation,” by how it was translated to the
machine code, or how it was executed. We will discuss a few categories in this chapter.

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Generations of Programming Languages
Early languages were specific to the type of hardware that had to be programmed; each type of computer hardware had a
different low-level programming language (in fact, even today, there are differences at the lower level, though higher-level
programming languages now obscure them). In these early languages, precise instructions had to be entered line by line – a
tedious process.
Some common characteristics are summarized below to illustrate some differences among these generations:
First-generation Second-generation Third-generation Fourth-generation Fifth-generation
(1GL) (2GL) (3GL) (4GL) (5GL)
Time introduced (est). 1940s or earlier 1950s 1950s-1970s 1970s-1990s 1980s-1900s
Use a set of syntax The syntax is more

They are made of
that is readable by structured and is made The syntax is friendly
Instructions binary numbers of 0s Still in progress.
human and up of more human- to non-programmers
and 1s
programmers like language
Machine dependent Machine independent
Machine dependent Machine independent
Category Low level, Assembly High-level abstraction, Logic programming
Machine code High Level
Languages Advanced 3GLs
Code can be read and More machine-
Very fast, no need for written by independent May not need
Advantage ‘translation’ to 0s and programmers easier More friendly to Easy to learn programmers to write
1s than learning machine programmers programs
code General-purpose
Must be converted to May go multiple steps
Machine dependent, Still early in the
Disadvantage machine code, still to translate to machine More specialized
not portable adoption phase
machine-dependent code
Modern 3GLs are
If needed to interact If needed to interact more commonly used.
Limited
with hardware directly with hardware directly Early 3GLs are used Database, web
Today’s usage Visual tools, Artificial
such as drivers (i.e., such as drivers (i.e., to maintain existing development
intelligence research
USB driver) USB driver) business programs or
scientific programs
Early 3GLs: COBOL,
Fortran Perl, PhP, Python,
Examples Machine language Assembly language Mercury, OPS5
Modern 3PLs: C, SQL, Ruby
C++, Java, Javascript
Statista.com reported that by early 2020, Javascript was the most used language among developers worldwide. To see the
complete list, please visit Statista.com for more details.
Sidebar: Examples of languages
First-generation language: machine code. In machine code, programming is done by directly setting actual ones and zeroes
(the bits) using binary code. Here is an example program that
adds 1234 and 4321 using machine language:
10111001 00000000
11010010 10100001
00000100 00000000
10001001 00000000
00001110 10001011
00000000 00011110
00000000 00011110

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00000000 00000010
10111001 00000000
11100001 00000011
00010000 11000011
10001001 10100011
00001110 00000100
00000010 00000000
Second-generation language. Assembly language gives English-like phrases to the machine-code instructions, making it easier
to program. An assembly-language program must be run through an assembler, which converts it into machine code. Here is
an example program that adds 1234 and 4321 using assembly language:
MOV CX,1234 MOV DS:[0],CX MOV CX,4321 MOV AX,DS:[0]
MOV BX,DS:[2] ADD AX,BX
MOV DS:[4],AX
Third-generation languages are not specific to the type of hardware they run and are much more like spoken languages. Most
third-generation languages must be compiled, a process that converts them into machine code. Well-known third-generation
languages include BASIC, C, Pascal, and Java. Here is an example using BASIC:
A=1234 B=4321 C=A+B END
Fourth-generation languages are a class of programming tools that enable fast application development using intuitive
interfaces and environments. Many times, a fourth-generation language has a particular purpose, such as database interaction
or report-writing. These tools can be used by those with very little formal training in programming and allow for the quick
development of applications and/or functionality. Examples of fourth-generation languages include Clipper, FOCUS, FoxPro,
SQL, and SPSS.
Why would anyone want to program in a lower-level language when they require so much more work? The answer is similar
to why some prefer to drive stick-shift automobiles instead of automatic transmission: control and efficiency. Lower-level
languages, such as assembly language, are much more efficient and execute much more quickly. You have finer control over
the hardware as well. Sometimes, a combination of higher- and lower-level languages is mixed together to get the best of both
worlds: the programmer will create the overall structure and interface using a higher-level language but will use lower-level
languages wherever in the program that requires more precision.
Compiled vs. Interpreted
Besides classifying a programming language based on its generation, it can also be classified as compiled or interpreted
language. As we have learned, a computer language is written in a human-readable form. In a compiled language, the program
code is translated into a machine-readable form called an executable that can be run on the hardware. Some well-known
compiled languages include C, C++, and COBOL.
An interpreted language requires a runtime program to be installed to execute. This runtime program then interprets the
program code line by line and runs it. Interpreted languages are generally easier to work with but are slower and require more
system resources. Examples of popular interpreted languages include BASIC, PHP, PERL, and Python. The web languages
such as HTML and Javascript would also be considered interpreted because they require a browser to run.
The Java programming language is an interesting exception to this classification, as it is actually a hybrid of the two. A
program written in Java is partially compiled to create a program that can be understood by the Java Virtual Machine (JVM).
Each type of operating system has its own JVM, which must be installed, allowing Java programs to run on many different
types of operating systems.
Procedural vs. Object-Oriented
A procedural programming language is designed to allow a programmer to define a specific starting point for the program and
then execute sequentially. All early programming languages worked this way. As user interfaces became more interactive and
graphical, it made sense for programming languages to evolve to allow the user to define the program's flow. The object-

Wael Abdeljabbar
oriented programming language is set up to define “objects” that can take certain actions based on user input. In other words, a
procedural program focuses on the sequence of activities to be performed; an object-oriented program focuses on the different
items being manipulated.
For example, in a human-resources system, an “EMPLOYEE” object would be needed. If the program needed to retrieve or set
data regarding an employee, it would first create an employee object in the program and then set or retrieve the values needed.
Every object has properties, which are descriptive fields associated with the object. In the example below, an employee object
has the properties “Name,” “Employee number,” “Birthdate,” and “Date of hire.” An object also has “methods,” which can
take actions related to the object. In the example, there are two methods. The first is “ComputePay(),” which will return the
current amount owed to the employee. The second is “ListEmployees(),” which will retrieve a list of employees who report to
this employee.
Employee Object
Object: EMPLOYEE
First_Name
Last_Name
Employee_ID
Birthdate
Date_of_hire
ComputePay()
ListEmployees()
Programming Tools
Another decision that needs to be made during the development of an IS is the set of tools needed to write programs. To write
programs, programmers need tools to enter code, check for the code's syntax, and some method to translate their code into
machine code. To be more efficient at programming, programmers use integrated tools such as an integrated development
environment (IDE) or computer-aided software-engineering (CASE) tools.
Integrated Development Environment (IDE)
For most programming languages, an IDE can be used. An IDE provides various tools for the programmer, all in one place
with a consistent user interface. IDE usually includes:
an editor for writing the program that will color-code or highlight keywords from the programming language;
a help system that gives detailed documentation regarding the programming language;
a compiler/interpreter, which will allow the programmer to run the program;
a debugging tool, which will provide the programmer details about the execution of the program to resolve problems in the
code; and
a check-in/check-out mechanism allows a team of programmers to work together on a project and not write over each
other’s code changes.
Statista.com reports that 80% of software developers worldwide from 2018 and 2019 use a source code collaboration tool such
as GitHub, 77% use a standalone IDE such as Eclipse, 69% use Microsoft Visual Studio. For a complete list, please visit
statista.com.
Computer-aided software engineering (CASE) Tools
While an IDE provides several tools to assist the programmer in writing the program, the code still must be written. Computer-
aided software engineering (CASE) tools allow a designer to develop software with little or no programming. Instead, the
CASE tool writes the code for the designer. CASE tools come in many varieties, but their goal is to generate quality code
based on the designer's input.
Build vs. Buy or Subscribe

When an organization decides that a new software program needs to be developed, they must determine if it makes more sense
to build it themselves or purchase it from an outside company. This is the “build vs. buy” decision. This ‘buy’ decision now
includes the option to subscribe instead of buying it outright.

Wael Abdeljabbar
There are many advantages to purchasing software from an outside company. First, it is generally less expensive to purchase a
software package than to build it. Second, when a software package is purchased, it is available much more quickly than if the
package is built in-house. Third, companies or consumers pay a one-time price and get to keep the software for as long as the
license allows and could be as long as you own it or even after the vendor stops supporting it. Software applications can take
months or years to build; a purchased package can be up and running within a month. A purchased package has already been
tested, and many of the bugs have already been worked out, and additional support contracts can be purchased. It is the role of
a systems integrator to make various purchased systems and the existing systems at the organization work together.
There are also disadvantages to purchasing software. First, the same software you are using can be used by your competitors.
If a company is trying to differentiate itself based on a business process in that purchased software, it will have a hard time
doing so if its competitors use the same software. Another disadvantage to purchasing software is the process of
customization. If you purchase a software package from a vendor and then customize it, you will have to manage those
customizations every time the vendor provides an upgrade. With the rise of security and privacy, companies may lack the in-
house expertise to respond quickly. Installing various updates and dealing with bugs encountered may also be a burden to IT
staff and users. This can become an administrative headache.
A hybrid solution is to subscribe. Subscribe means that instead of selling products individually, vendors now offer a
subscription model that the users can rent and pay periodically, such as monthly, yearly. The renting model has been used in
many other industries such as movies, books and recently has moved into high tech industries. Companies and consumers can
now subscribe to almost everything, as we discussed in earlier chapters, from additional storage in your email platforms such
as Google Drive or Microsoft Onedrive, to software such as Quickbooks, Microsoft Office 365, to hosting and web support
services such as Amazon AWS. Vendors benefit from converting one-time sales to recurring sales and increase customer
loyalty. Customers benefit from the headache of installing updates, having the software support and updates taken care of
automatically, knowing that the software continues to be updated with new features. A subscription model is now a prevalent
option for both consumers and businesses.
Even if an organization determines to buy or subscribe, it still makes sense to go through many of the same analyses to
compare the costs and benefits of building it themselves. This is an important decision that could have a long-term strategic
impact on the organization.
Web Services
Chapter 3 stated that the move to cloud computing has allowed software to be looked at as a service. One option companies
have these days to license functions provided by other companies instead of writing the code themselves. These are called web
services, and they can greatly simplify the addition of functionality to a website.
For example, suppose a company wishes to provide a map showing the location of someone who has called their support line.
By utilizing Google Maps API web services, they can build a Google Map right into their application. Or a shoe company
could make it easier for its retailers to sell shoes online by providing a shoe-size web service that the retailers could embed
right into their website.
Web services can blur the lines between “build vs. buy.” Companies can choose to build a software application themselves but
then purchase functionality from vendors to supplement their system.
End-User Computing or Shadow IT

In many organizations, application development is not limited to the programmers and analysts in the information-technology
department. Especially in larger organizations, other departments develop their own department-specific applications. The
people who build these are not necessarily trained in programming or application development, but they tend to be adept with
computers. A person, for example, who is skilled in a particular software package, such as a spreadsheet or database package,
may be called upon to build smaller applications for use by his or her own department. This phenomenon is referred to as end-
user development, or end-user computing, or shadow IT.
End-user computing can have many advantages for an organization. First, it brings the development of applications closer to
those who will use them. Because IT departments are sometimes quite backlogged, it also provides a means to have software
created more quickly. Many organizations encourage end-user computing to reduce the strain on the IT department.
End-user computing does have its disadvantages as well. If departments within an organization are

Wael Abdeljabbar
developing their own applications, the organization may end up with several applications that perform similar functions, which
is inefficient since it duplicated effort. Sometimes, these different versions of the same application provide different results,
bringing confusion when departments interact. These applications are often developed by someone with little or no formal
training in programming. In these cases, the software developed can have problems that have to be resolved by the IT
department. End-user computing can be beneficial to an organization, but it should be managed. The IT department should set
guidelines and provide tools for the departments who want to create their own solutions.
Communication between departments will go a long way towards the successful use of end-user computing.
Sidebar: Building a Mobile App

Software development typically includes building applications to run on desktops, servers, or mainframes. However, the web's
commercialization has created additional software development categories such as web design, content development, web
server. Web-related development effort for the internet is now called web development. Earlier web development activities
include building websites to support businesses or to build e-commerce systems and have made technologies such as HTML
very popular with web designers and programming languages such as Perl, Python, Java popular for programmers. Pre-
packaged websites are now available for consumers to purchase without learning HTML or hiring a web designer. For
example, entrepreneurs who want to start a bakery business can now buy a pre-build website with a shopping cart, all ready to
start a business without incurring costly expenses to build it themselves.
With the rise of mobile phones, a new type of software development called mobile app development came into being.
Statista.com forecasts that Mobile apps revenues will increase significantly from $98B in 2014 to over $935B by 2023. This
means that the need for mobile app developers has also increased.
In many ways, building an application for a mobile device is the same as building an application for a traditional computer.
Understanding the application requirements, designing the interface, working with users – all of these steps still need to be
carried out. The decision process to pick the right programming languages and tools remains the same.
However, there are specific differences that programmers must consider in building apps for mobile devices. They are:
The user interface must vary to adapt to different screen size
The use of fingers as pointers or to type in text instead of keyboard and mouse on the desktop
Specific requirements from the OS vendor must be met for the app to be included in each store (i.e., Apple’s App Store or
Android’s Play Store)
The integration with the desktop or the cloud to synch up data
Tight integration with other built-in hardware such as cameras, biometric or motion sensors.
Less available memory, storage space, and processing power
Mobile apps are now available for just about everything and continue to grow.
References:
Javascript was the most used language among developers worldwide (2020). Retrieved December 10, 2020, from
Satistica.com
Google Maps Platform Documentation. Retrieved December 10, 2020, from
https://developers.google.com/maps/documentation
Programming/development tools used by software developers worldwide from 2018 and 2019 (2020). Retrieved December 10,
2020, from Statista.com
Worldwide mobile app revenues in 2014 to 2023 (2010.) Retrieved December 10, 2020, from Statista.com

Wael Abdeljabbar
10.4: Implementation Methodologies
Implementation Methodologies
Once a new system is developed (or purchased), the organization must determine the best method for implementing it.
Convincing a group of people to learn and use a new system can be a challenging process. Using the new software and the
business processes it gives rise to can have far-reaching effects within the organization.
There are several different methodologies an organization can adopt to implement a new system. Four of the most popular are
listed below.
Direct cutover. In the direct-cutover implementation methodology, the organization selects a particular date that the old
system will not be used anymore. On that date, the users begin using the new system, and the old system is unavailable.
The advantages of using this methodology are that it is speedy and the least expensive. However, this method is the riskiest
as well. If the new system has an operational problem or is not properly prepared, it could prove disastrous for the
organization.
Pilot implementation. In this methodology, a subset of the organization (called a pilot group) starts using the new system
before the rest of the organization. This has a smaller impact on the company and allows the support team to focus on a
smaller group of individuals.
Parallel operation. With the parallel operation, the old and new systems are used simultaneously for a limited period of
time. This method is the least risky because the old system is still being used while the new system is essentially being
tested. However, this is the most expensive methodology since work is duplicated and support is needed for both systems
in full.
Phased implementation. In a phased implementation, different functions of the new application are used as functions from
the old system are turned off. This approach allows an organization to move from one system to another slowly.
These implementation methodologies depend on the complexity and importance of the old and new systems.
Change Management
As new systems are brought online, and old systems are phased out, it becomes important to manage how change is
implemented. Change should never be introduced in a vacuum. The organization should be sure to communicate proposed
changes before they happen and plan to minimize the impact of the change that will occur after implementation. Training and
incorporating users’ feedback are critical to increasing user’s acceptance of the new system. Without gaining the user’s
acceptance, the risk of failure is very high. Change management is a critical component of IT oversight.
Maintenance
Once a new system has been introduced, it enters the maintenance phase. In this phase, the system is in production and is
being used by the organization. While the system is no longer actively being developed, changes need to be made when bugs
are found, or new features are requested. During the maintenance phase, IT management must ensure that the system continues
to stay aligned with business priorities, has a clear process to accept requests, problem reports, deploy updates to ensure user’s
satisfaction with continuous improvements in the product's quality.
With the rise of privacy concerns, many companies now add policies about maintaining their customers’ data or data collected
during the project. Policies such as when to dispose of, how to dispose of, where to store are just a few examples.

Wael Abdeljabbar
10.5: Summary
Developing an IS can be costly and a complex process to manage a group of professionals to deliver a new system on time and
budget. There are several development models from the formal SDLC process to more informal processes such as agile
programming or lean methodologies to provide a framework to manage all the phases from start to finish.
Software development is about so much more than programming. Programming languages have evolved from very low-level
machine-specific languages to higher-level languages that allow a programmer to write software for a wide variety of
machines. Most programmers work with software development tools that provide them with integrated components to make
the software development process more efficient.
For some organizations, building their own software applications does not make the most sense; instead, they choose to
purchase or rent software built by a third party to save development costs and speed implementation. In end-user computing,
software development happens outside the information technology department. When implementing new software
applications, organizations need to consider several different types of implementation methodologies.
An organization’s responsibilities to complete a software development do not end with the deployment of the software. It now
includes a clear and systemic process to maintain and protect customers’ and projects’ data to address security and privacy
concerns.

Wael Abdeljabbar
Study Questions
1. What are the steps in the SDLC methodology?
2. What is RAD software development?
3. What is the Waterfall model?
4. What makes the lean methodology unique?
5. What is the difference between the Waterfall and Agile models?
6. What is a sprint?
7. What are three differences between second-generation and third-generation languages?
8. Why would an organization consider building its own software application if it is cheaper to buy one?
9. What is the difference between the pilot implementation methodology and the parallel implementation methodology?
10. What is change management?
11. What are the four different implementation methodologies?
Exercises
1. Which software-development methodology would be best if an organization needed to develop a software tool for a small
group of users in the marketing department? Why? Which implementation methodology should they use? Why?
2. Doing your own research, find three programming languages and categorize them in these areas: generation, compiled vs.
interpreted, procedural vs. object-oriented.
3. Some argue that HTML is not a programming language. Doing your own research, find three arguments for why it is not a
programming language and three arguments for why it is.
4. Read more about responsive design using the link given in the text. Provide the links to three websites that use responsive
design and explain how they demonstrate responsive-design behavior.
5. Research the criteria and cost to put a mobile app into Apple’s App Store. Write a report.
6. Research to find out what elements to use to estimate the cost to build an app. Write a report.

Wael Abdeljabbar
Welcome to the Workforce Library. This Living Library is a principal hub of the LibreTexts project, which is a multi-
institutional collaborative venture to develop the next generation of open-access texts to improve postsecondary education at
all levels of higher learning. The LibreTexts approach is highly collaborative where an Open Access textbook environment is
under constant revision by students, faculty, and outside experts to supplant conventional paper-based books.
Campus Bookshelves Bookshelves

Wael Abdeljabbar
SECTION OVERVIEW
Part 3 has three chapters to discuss the opportunities and challenges due to the rapid rise of the
internet, the ethical and legal implications, and the future information systems trends.
11: INFORMATION SYSTEMS BEYOND THE

ORGANIZATION
The rapid rise of the Internet has made it easier than ever to do business worldwide. This chapter
looks at the impact that the Internet is having on the globalization of business. Firms will need to
manage challenges and leverage opportunities due to globalization and digitalization. It will discuss
the digital divide concept, what steps have been taken to date to alleviate it, and what needs to be
done.
11.1: INTRODUCTION
11.4: SUMMARY

This chapter discusses the legal and regulatory changes that are triggered by the effects of new technologies. IT communities need to
consider ethical issues in developing emerging solutions and services that are not fully developed.
12.1: INTRODUCTION
12.4: SUMMARY

This final chapter discusses some of the new or recently introduced technologies. From wearable technology, virtual reality, the Internet
of Things, quantum computing to artificial intelligence, this chapter will provide a look forward to what the next few years will bring to
potentially transform how we learn, communicate, do business, work, and play.
13.1: INTRODUCTION
13.2: COLLABORATIVE
1 8/28/2021
CHAPTER OVERVIEW
The rapid rise of the Internet has made it easier than ever to do business worldwide. This chapter
looks at the impact that the Internet is having on the globalization of business. Firms will need to
manage challenges and leverage opportunities due to globalization and digitalization. It will discuss
the digital divide concept, what steps have been taken to date to alleviate it, and what needs to be
done.
11.1: INTRODUCTION
Discuss globalization past and present.

Discuss why firms go global.

The rapid rise of the Internet has created a Digital Divide that could prevent a certain group of people from receiving adequate access
to technologies.
11.4: SUMMARY
1 8/28/2021
11.1: Introduction
In this chapter, we will look at how the internet has opened the world to globalization. We will look at where it began and fast
forward to where we are today. We will be reviewing the influences of man, machine, and technology that enables
globalization. It is now just as simple to communicate with someone on the other side of the world as to talk to someone next
door. In this chapter, we will look at the implications of globalization and its impact on the world.
What Is Globalization?
Globalization is found in economics and refers to the integration of goods, services, and culture among the people and nations
of the world. Globalization has accelerated since the turn of the 18th century due to mass improvement in transportation and
technology. Globalization has its roots as far back as an exploration of finding the New World. Globalization creates world
markets. Places that were once limited to only providing goods and services to the immediate area now have open access to
other countries worldwide. The expansion of global markets has increased economic activities in the exchange of goods,
services, and funds, which has created global markets that are now readily feasible. Today the ease of the connectivity of
people has accelerated the speed of globalization. People no longer have to sail for a year to share goods or services.
Fig. 11.1 Globalization in Handshake, Hands, Laptop, Monitor. Image by Gerd Altmann is licensed CC BY-SA 2.0
The internet has connected nations together. From its initial beginnings in the United States in the 1970s to the World Wide
Web development, it has crept into home use with the introduction of the personal computer by the 1980s. The 90’s then
introduced social networks and e-commerce of today; the Internet has continued to increase the integration between countries,
making globalization a fact of life for citizens worldwide. The Internet is truly a worldwide phenomenon. By Q3 of 2020,
approximately 4.9 billion people, or more than half of the world’s population, use the internet. For more details, please view
the data at internetworldstats.com/stats.htm.

Wael Abdeljabbar
Fig 11.2 - World Internet Usage and Population Statistics. Source: https://internetworldstats.com/stats.htm
The Network Society

In 1996, social-sciences researcher Manuel Castells published The Rise of the Network Society. He identified new ways to
organize economic activity around the networks that the new telecommunication technologies have provided. This new, global
economic activity was different from the past because “it is an economy with the capacity to work as a unit in real-time on a
planetary scale.” (Castells, 2000) We are now into this network society, where we are all connected on a global scale.
The World Is Flat

In Thomas Friedman’s seminal book, The World Is Flat (Friedman, 2005), he unpacks the impacts that the personal computer,
the Internet, and communication software have had on business, specifically its impact on globalization. He begins the book
by defining the three eras of globalization:
“ Globalization 1.0″ occurred from 1492 until about 1800. In this era, globalization was centered around countries. It was
about how much horsepower, wind power, and steam power a country had and how creatively it was deployed. The world
shrank from size “large” to size “medium.”
“ Globalization 2.0″ occurred from about 1800 until 2000, interrupted only by the two World Wars. In this era, the dynamic
force driving change was multinational companies. The world shrank from size “medium” to size “small.”
“Globalization 3.0″ is our current era, beginning in the year 2000. The convergence of the personal computer, fiber-optic
Internet connections, and software has created a “flat-world platform” that allows small groups and even individuals to go
global. The world has shrunk from size “small” to size “tiny.”
According to Friedman (2005), this third era of globalization was brought about, in many respects, by information technology.
Some of the specific technologies he lists include:
The graphical user interface for the personal computer popularized in the late 1980s. Before the graphical user interface,
using a computer was relatively difficult. By making the personal computer something that anyone could use, it became
commonplace very quickly. Friedman points out that this digital storage of content made people much more productive
and, as the Internet evolved, made it simpler to communicate content worldwide.
The build-out of the Internet infrastructure during the dot-com boom during the late-1990s. During the late 1990s,
telecommunications companies laid thousands of miles of fiber-optic cable worldwide, turning network communications
into a commodity. At the same time, the Internet protocols, such as SMTP (e-mail), HTML (web pages), and TCP/IP
(network communications), became standards that were available for free and used by everyone.
The introduction of software to automate and integrate business processes. As the Internet continued to grow and become
the dominant form of communication, it became essential to build on the standards developed earlier so that the websites
and applications running on the Internet would work well together. Friedman calls this “workflow software,” by which he
means software that allows people to work together more easily and allows different software packages and databases to
integrate easily. Examples include payment-processing systems and shipping calculators.
These three technologies came together in the late 1990s to create a “platform for global collaboration.” Once these
technologies were in place, they continued to evolve. Friedman also points out a couple more technologies that have
contributed to the flat-world platform – the open-source movement (see chapter 10) and the advent of mobile technologies.

Wael Abdeljabbar
The World Is Flat was published in 2005. Since then, we have seen even more growth in information technologies that have
contributed to global collaborations. We will discuss current and future trends in chapter 13.
References
Castells, Manuel (2000). The Rise of the Network Society (2nd ed.). Blackwell Publishers, Inc., Cambridge, MA, USA.
Friedman, T. L. (2005). The world is flat: A brief history of the twenty-first century. New York: Farrar, Straus and Giroux.
Q3 2020 Internet usage. Retrieved December 5, 2020, from https://internetworldstats.com/stats.htm.

Wael Abdeljabbar
11.2: The Global Firm
The Global Firm
The new era of globalization allows any business to become international. By accessing this new platform of technologies or
network, Castells’ vision (Castells, 2000) of working as a unit in real-time on a planetary scale can be a reality. He believed the
collective could benefit society. Some of the advantages of this include the following:
Access to expertise and labor around the world. Organizations are no longer being limited by viable candidates locally
and can now hire people from the global labor pool. This also allows organizations to pay a lower labor cost for the same
work based on the prevailing wage in different countries.
Operate 24 hours a day. With employees in different time zones worldwide, an organization can literally operate around
the clock, handing off work on projects from one part of the world to another. Businesses can also keep their digital
storefront (their website) open all the time.
Access to a larger market for firm products. Once a product is being sold online, it is available for purchase from a
worldwide consumer base. Even if a company’s products do not appeal beyond its own country’s borders, being online has
also made the product more visible to consumers within that country.
Achieve a diversity of the market. It helps companies to stabilize their overall revenue sources. The company could be
experiencing a gain in revenues in one country and be down the other side of the world, which will help to stabilize their
revenues.
Gain more exposure to foreign investment opportunities. Globalization helps companies to become more familiar with
opportunities in the new areas that they are expanding into.
To fully take advantage of these new capabilities, companies need to understand that there are also challenges in dealing with
employees, customers from different cultures, and other countries' economies. Some of these challenges include:
Infrastructure differences. Each country has its own infrastructure, many of which are not of the same quality as the US
infrastructure. Americans are currently getting around 135 Mbps of download speed and 52 Mbps of upload speed through
their fixed broadband connections — good for eighth in the world and around double the global average. For every South
Korea (16 average speed), there is an Egypt (0.83 MBps) or an India (0.82 MBps). A business cannot depend on every
country it deals with having the same Internet speeds. See the sidebar called “How Does My Internet Speed Compare?”
Labor laws and regulations. Different countries (including the United States) have different laws and regulations. A
company that wants to hire employees from other countries must understand the different regulations and concerns.
Legal restrictions. Many countries have restrictions on what can be sold or how a product can be advertised. A business
needs to understand what is allowed. For example, in Germany, it is illegal to sell anything Nazi-related; in China, it is
illegal to put anything sexually suggestive online.
Language, customs, and preferences. Every country has its own (or several) unique culture(s), which a business must
consider when trying to market a product. Additionally, different countries have different preferences. For example, in
some parts of the world, people prefer to eat their french fries with mayonnaise instead of ketchup; in other parts of the
world, specific hand gestures (such as the thumbs-up) are offensive.
International shipping. Shipping products between countries promptly can be challenging. Inconsistent address formats,
dishonest customs agents, and prohibitive shipping costs are all factors that must be considered when trying to deliver
products internationally.
Volatility of currency. This could occur when you are buying or selling goods, the currency has big fluctuations in value
when converting to a different countries’ currency, such as the euro, yen, and dollar.
Because of these challenges, many businesses choose not to expand globally, either for labor or for customers. Whether a
business has its own website or relies on a third party, such as Amazon or eBay, the question of whether to globalize must be
carefully considered.
Globalization has changed greatly in the last several decades. It has seen positive development, with associated costs and
benefits such as organizations have seen its fortune changed and progress and modernization are brought into various parts of

Wael Abdeljabbar
the world. However, its benefits are not necessarily evenly distributed across the world. With the global pandemic of 2020
(Covid-19), globalization is now viewed by many as risks to the national supply chain of goods and services, job losses,
increased gap of inequality, and health risks. It is expected that globalization post-Covid will need to mitigate these risks to
move it to a more balanced approach between independence and integration between countries (Kobrin, 2020).
Sidebar: How Does My Internet Speed Compare?

Internet speed varies by geographies, such as states and countries, as reported by Statista.com. For example, as of August
2020, Singapore's internet speed is ~218 Mbps, while Hungary is ~156 Mbps. Please visit Statista.com for more details.
Statista.com also reported that as of June 2020, over 42% of US households did not know the download speed of their
household internet service. The download speed varies from 10 Mbps or less to over 100 Mbps. There are several free tools
that you can use to test your household internet upload and download speed, such as the app Speedtest, a free download (as of
this writing).
References
Castells, Manuel (2000). The Rise of the Network Society (2nd ed.). Blackwell Publishers, Inc., Cambridge, MA, USA.
Kobrin, S.J (2020). How globalization became a thing that goes bump in the night. J Int Bus Policy 3, 280–286.
https://doi.org/10.1057/s42214-020-00060-y
Statista. (2020). Countries with the fastest average fixed broadband internet speeds as of August 2020 (in Mbps). Retrieved
December 5, 2020, from https://www.statista.com/statistics/896772/countries-fastest-average-fixed-broadband-internet-
speeds/.
Statista. (2020). Household internet download speed of adults in the United States as of June 2020. Retrieved December 5,
2020, from https://www.statista.com/statistics/368545/us-state-high-speed-internet-households/.

Wael Abdeljabbar
11.3: The Digital Divide
The Digital Divide
As the Internet continues to make inroads across the world, it also creates a separation between those who have access to this
global network and those who do not. This separation is called the “digital divide” and is of great concern. Kilburn (2005)
summarizes this concern in his article Crossroads:
Adopted by the ACM Council in 1992, the ACM Code of Ethics and Professional Conduct focuses on issues involving the
Digital Divide that could prevent certain categories of people - those from low-income households, senior citizens, single-
parent children, the undereducated, minorities, and residents of rural areas — from receiving adequate access to the wide
variety of resources offered by computer technology. This Code of Ethics positions the use of computers as a fundamental
ethical consideration: “In a fair society, all individuals would have equal opportunity to participate in, or benefit from, the use
of computer resources regardless of race, sex, religion, age, disability, national origin, or other similar factors.” The article
discusses the digital divide in various forms and analyzes reasons for the growing inequality in people’s access to Internet
services. It also describes how society can bridge the digital divide: the serious social gap between information “haves” and
“have-nots.”
The digital divide is categorized into three stages: the economic divide, the usability divide, and the empowerment divide
(Nielson, 2006)
The economic divide is usually called the digital divide: it means that some people can afford to have a computer and
Internet access while others cannot. Because of Moore’s Law (see chapter 2), the price of hardware has continued to drop,
and, at this point, we can now access digital technologies, such as smartphones, for very little. This fact, Nielsen asserts,
means that the economic divide is a moot point for all intents and purposes, and we should not focus our resources on
solving it.
The usability divide is concerned with the fact that “technology remains so complicated that many people couldn’t use a
computer even if they got one for free.” And even for those who can use a computer, accessing all the benefits of having
one is beyond their understanding. Included in this group are those with low literacy and seniors. According to Nielsen, we
know how to help these users, but we are not doing it because there is little profit.
The empowerment divide is the most difficult to solve. It is concerned with how we use technology to empower
ourselves. Very few users truly understand the power that digital technologies can give them. In his article, Nielsen
explains that his (and others’) research has shown that very few users contribute content to the Internet, use the advanced
search, or even distinguish paid search ads from organic search results. Many people will limit what they can do online by
accepting the basic, default settings of their computer and not understanding how they can truly be empowered.
Understanding the digital divide using these three stages provides an approach to developing solutions and monitoring our
progress in bridging the digital divide gap.
The digital divide can occur between countries, regions, or even neighborhoods. There are pockets with little or no Internet
access in many US cities, while just a few miles away, high-speed broadband is common. For example, in 2020, the US
Federal Communications Commission (FCC ) reports that “In urban areas, 97% of Americans have access to high-speed fixed
service. In rural areas, that number falls to 65%. And on Tribal lands, barely 60% have access. All told, nearly 30 million
Americans cannot reap the benefits of the digital age.” Overall, Statista.com reported that as of August 2020, only ~85% of the
US population has internet access.
The global pandemic (Covid-19) has made Internet access an essential requirement due to the social distance or lockdown
mandates and has spotlighted this issue globally.
Challenges and efforts to bridge the Digital Divide gap

Solutions to the digital divide have had mixed success over the years. Initial effort focused on providing internet access and/or
computing devices with some degrees of success. However, just providing Internet access and/or computing devices is not
enough to bring true Internet access to a country, region, or neighborhood.

Wael Abdeljabbar
The Worldbank and International Monetary Fund (IMF), in their annual meeting in 2020, brought together global leaders and
private innovators to discuss how to bridge the digital gap globally. Three challenges were identified:
1. Lack of infrastructure remains a major barrier to connectivity
2. Greater collaboration is needed between the public and private sectors
3. Education and training to help connect people in underserved communities
In June 2020, the UN Secretary-General stated that Digital Divide is now ‘a Matter of Life and Death’ amid the COVID-19
Crisis and called on global leaders for global cooperation to meet the goal: every person has safe and affordable access to the
Internet by 2030.
With this challenge being made acute due to the global pandemic of 2020 (Covid-19), many leaders have increased their
investment to bridge this gap in their countries. For example, the IMF reported that countries like Kenya, Ghana, Rwanda, and
Tanzania had made great progress in using mobile to connect their citizens to financial systems (IMF, 2020). Many states in
the United States have increased their funding through public or private partnerships, such as the California Closing the Divide
initiative (CA dept of education, 2020).
Continued global investment to bridge this gap remains a critical need for the global world, both during and post-global
pandemic.
Sidebar: Using Gaming to Bridge the Digital Divide

Paul Kim, the Assistant Dean and Chief Technology Officer of the Stanford Graduate School of Education, designed a project
to address the digital divide for children in developing countries (Kim et al., 2011.) In their project, the researchers wanted to
understand if children can adopt and teach themselves mobile learning technology without help from teachers or other adults
and the processes and factors involved in this phenomenon. The researchers developed a mobile device called TeacherMate,
which contained a game designed to help children learn math. The unique part of this research was that the researchers
interacted directly with the children; they did not channel the mobile devices through the teachers or the schools. Another
important factor to consider: to understand the context of the children’s educational environment, the researchers began the
project by working with parents and local nonprofits six months before their visit. While the results of this research are too
detailed to go into here, it can be said that the researchers found that children can, indeed, adopt and teach themselves mobile
learning technologies.
What makes this research so interesting when thinking about the digital divide is that the researchers found that, to be
effective, they had to customize their technology and tailor their implementation to the specific group they were trying to
reach. One of their conclusions stated the following:
Considering the rapid advancement of technology today, mobile learning options for future projects will only increase.
Consequently, researchers must continue to investigate their impact; we believe there is a specific need for more in-depth
studies on ICT [information and communication technology] design variations to meet different localities' challenges. To read
more about Dr. Kim’s project, locate the paper referenced in the list of references.
References
ACM (2020). ACM Code of Ethics and Professional conduct. Retrieved December 5, 2020, from https://www.acm.org/code-
of-ethics.
Digital Divide ‘a Matter of Life and Death’ amid COVID-19 Crisis, Secretary‑General Warns Virtual Meeting, Stressing
Universal Connectivity Key for Health, Development. Retrieved November 1, 2020, from
www.un.org/press/en/2020/sgsm20118.doc.htm
Kiburn, Kim (2005). Challenges in HCI: Digital divide. Crossroads 12, 2 (December 2005), 2-2.
DOI=10.1145/1144375.1144377 http://doi.acm.org/10.1145/1144375.1144377.
Kim, P., Buckner, E., Makany, T., & Kim, H. (2011). A comparative analysis of a game-based mobile learning model in low-
socioeconomic communities of India. International Journal of Educational Development. doi:10.1016/j.ijedudev.2011.05.008.
Nielsen, J (2006). Digital Divide: The 3 Stages. Retrieved Nov 1, 2020, from http://www.nngroup.com/articles/digital-divide-
the-three-stages/.

Wael Abdeljabbar
Statista. (2020). Internet usage in the United States. Retrieved December 5, 2020, from
https://www.statista.com/topics/2237/internet-usage-in-the-united-states/.

Wael Abdeljabbar
11.4: Summary
Summary
Information technology has driven change on a global scale. As documented by Castells and Friedman, technology has given
us the ability to integrate with people worldwide using digital tools. These tools have allowed businesses to broaden their labor
pools, markets, and even operating hours. But they have also brought many new complications for businesses, which now
must understand regulations, preferences, and cultures from many different nations. This new globalization has also
exacerbated the digital divide using Nielson's three stages. The 2020 global pandemic has accentuated both the problems and
increased efforts in bridging the digital divide globally.

Wael Abdeljabbar
Study Questions
1. What does the term globalization mean?
2. What are the three areas of globalization?
3. Which technologies have had the biggest effect on globalization?
4. What are some of the advantages brought about by globalization?
5. What are the disadvantages of globalization?
6. What does the term digital divide mean?
7. What are Jakob Nielsen’s three stages of the digital divide?
8. Which country has the highest average Internet speed?
9. What are the effects of the global pandemic on the digital divide?
Exercises
1. Compare the concept of Friedman’s “Globalization 3.0″ with Nielsen's empowerment stage of the digital divide.
2. Do some original research to determine some of the US company's regulations before doing business in one of the
following countries: China, Mexico, Iran, and India.
3. Go to speedtest.net to determine your Internet speed. Compare your speed at home to the Internet speed at two other
locations, such as your local coffee shop, school, place of employment. Write up a one-page summary that compares these
locations.
4. Write a report to assess Nielson’s three stages based on your today’s experience.
5. Go to this website https://www.ntia.doc.gov/data/digital-nation-data-explorer#sel=internetUser&disp=map or search for
"Digital Nation Data Explorer" to locate it. Report the internet usage in your state and compare it with your own
experience
6. Give one example of the digital divide and describe what you would do to address it.
7. How the research conducted by Manuel Castells influences globalization.

Wael Abdeljabbar
CHAPTER OVERVIEW
This chapter discusses the legal and regulatory changes that are triggered by the effects of new
technologies. IT communities need to consider ethical issues in developing emerging solutions and
services that are not fully developed.
12.1: INTRODUCTION
This chapter discusses the impact of information systems on how we behave (ethics) and the new
legal structures being put in place to protect intellectual property and privacy.

This section discusses intellectual property, copyright, obtaining protection, first sale doctrine, and
fair use.

This section discusses the provisions of the anti-circumvention and the safe harbor of the Digital Millennium Copyright Act and the
different types of licenses the authors can grant to others under Creative Commons.
12.4: SUMMARY
1 8/28/2021
12.1: Introduction
Introduction
Information systems have had an impact far beyond the world of business. In the past four decades, technology has
fundamentally altered our lives: from the way we work, how we play to how we communicate, and how we fight wars. Mobile
phones track us as we shop at stores and go to work. Algorithms based on consumer data allow firms to sell us products that
they think we need or want. New technologies create new situations that we have never dealt with before. They can threaten
individual autonomy, violate privacy rights, and can also be morally contentious. How do we handle the new capabilities that
these devices empower us with? What new laws are going to be needed to protect us from ourselves and others? This chapter
will kick off with a discussion of the impact of information systems on how we behave (ethics). This will be followed by the
new legal structures being put in place, focusing on intellectual property and privacy.
Information Systems Ethics

The term ethics is defined as “a set of moral principles” or “the principles of conduct governing an individual or a group.”
Since the dawn of civilization, the study of ethics and its impact has fascinated humankind. But what do ethics have to do with
information systems?
The introduction of new technology can have a profound effect on human behavior. New technologies give us capabilities that
we did not have before, which create environments and situations that have not been specifically addressed in ethical terms.
Those who master new technologies gain new power; those who cannot master them may lose power. In 1913, Henry Ford
implemented the first moving assembly line to create his Model T cars. While this was a great step forward technologically
(and economically), the assembly line reduced human beings' value in the production process. The development of the atomic
bomb concentrated unimaginable power in the hands of one government, which then had to wrestle with the decision to use it.
Today’s digital technologies have created new categories of ethical dilemmas.
For example, the ability to anonymously make perfect copies of digital music has tempted many music fans to download
copyrighted music for their own use without making payment to the music’s owner. Many of those who would never have
walked into a music store and stolen a CD find themselves with dozens of illegally downloaded albums.
Digital technologies have given us the ability to aggregate information from multiple sources to create profiles of people.
What would have taken weeks of work in the past can now be done in seconds, allowing private organizations and
governments to know more about individuals than at any time in history. This information has value but also chips away at the
privacy of consumers and citizens.
Communication technologies like social media(Facebook, Twitter, Instagram, LinkedIn, internet blogs) give so many people
access to so much information that it's getting harder and harder to tell what’s real and what’s fake. Its widespread use has
blurred the line between professional, personal, and private. Employers now have access to information that has traditionally
been considered private and personal, giving rise to new legal and ethical ramifications.
Some technologies like self-driving vehicles(drones), artificial intelligence, the digital genome, and additive manufacturing
methods(GMO) are transitioning into a new phase, becoming more widely used or incorporated into consumer goods,
requiring new ethical and regulatory guidelines.
Code of Ethics
One method for navigating new ethical waters is a code of ethics. A code of ethics is a document that outlines a set of
acceptable behaviors for a professional or social group; generally, it is agreed to by all members of the group. The document
details different actions that are considered appropriate and inappropriate.
A good example of a code of ethics is the Code of Ethics and Professional Conduct of the Association for Computing
Machinery, an organization of computing professionals that includes educators, researchers, and practitioners. Here is an
excerpt from the preamble:

Wael Abdeljabbar
Computing professionals' actions change the world. To act responsibly, they should reflect upon the wider impacts of their
work, consistently supporting the public good. The ACM Code of Ethics and Professional Conduct ("the Code") expresses the
profession's conscience. Additionally, the Code serves as a basis for remediation when violations occur. The Code includes
principles formulated as statements of responsibility based on the understanding that the public good is always the primary
consideration. Each principle is supplemented by guidelines, which provide explanations to assist computing professionals in
understanding and applying the principle.
Section 1 outlines fundamental ethical principles that form the basis for the remainder of the Code. Section 2 addresses
additional, more specific considerations of professional responsibility. Section 3 guides individuals who have a leadership role,
whether in the workplace or a volunteer professional capacity. Commitment to ethical conduct is required of every ACM
member, and principles involving compliance with the Code are given in Section 4.
In the ACM’s code, you will find many straightforward ethical instructions, such as the admonition to be honest and
trustworthy. But because this is also an organization of professionals that focuses on computing, there are more specific
admonitions that relate directly to information technology:
No one should enter or use another’s computer system, software, or data files without permission. One must always have
appropriate approval before using system resources, including communication ports, file space, other system peripherals,
and computer time.
Designing or implementing systems that deliberately or inadvertently demean individuals or groups is ethically
unacceptable.
Organizational leaders are responsible for ensuring that computer systems enhance, not degrade, working life quality.
When implementing a computer system, organizations must consider all workers' personal and professional development,
physical safety, and human dignity. Appropriate human-computer ergonomic standards should be considered in system
design and the workplace.
One of the major advantages of creating a code of ethics is clarifying the acceptable standards of behavior for a professional
group. The varied backgrounds and experiences of the members of a group lead to various ideas regarding what is acceptable
behavior. While to many the guidelines may seem obvious, having these items detailed provides clarity and consistency.
Explicitly stating standards communicates the common guidelines to everyone in a clear manner.
Having a code of ethics can also have some drawbacks. First of all, a code of ethics does not have legal authority; in other
words, breaking a code of ethics is not a crime in itself. So what happens if someone violates one of the guidelines? Many
codes of ethics include a section that describes how such situations will be handled. In many cases, repeated violations of the
code result in expulsion from the group.
In the case of ACM: “Adherence of professionals to a code of ethics is largely a voluntary matter. However, if a member does
not follow this code by engaging in gross misconduct, membership in ACM may be terminated.” Expulsion from ACM may
not impact many individuals since membership in ACM is usually not a requirement for employment. However, expulsion
from other organizations, such as a state bar organization or medical board, could carry a huge impact.
Another possible disadvantage of a code of ethics is that there is always a chance that important issues will arise that are not
specifically addressed in the code. Technology is changing exponentially, and advances in artificial intelligence mean new
ethical issues related to machines. The code of ethics might not be updated often enough to keep up with all of the changes.
However, a good code of ethics is written in a broad enough fashion that it can address the ethical issues of potential
technology changes. In contrast, the organization behind the code makes revisions.
Finally, a code of ethics could also be a disadvantage because it may not entirely reflect the ethics or morals of every member
of the group. Organizations with a diverse membership may have internal conflicts as to what is acceptable behavior. For
example, there may be a difference of opinion on the consumption of alcoholic beverages at company events. In such cases,
the organization must choose the importance of addressing a specific behavior in the code.
Sidebar: Acceptable Use Policies(AUP) (20%)

Many organizations that provide technology services to a group of constituents or the public require an acceptable use policy
(AUP) before those services can be accessed. Like a code of ethics, it is a set of rules applied by the organization that outlines
what users may or may not do while using the organization’s services. Usually, the policy requires some acknowledgment that
the rules are well understood, including potential violations. An everyday example of this is the terms of service that must be

Wael Abdeljabbar
agreed to before using the public Wi-Fi at Starbucks, McDonald’s, or even a university. An AUP is an important document as
it demonstrates due diligence of the organization's security and protection of sensitive data, which protects the organization
from legal actions. Here is an example of an acceptable use policy from Virginia Tech.
Just as with a code of ethics, these acceptable use policies specify what is allowed and what is not allowed. Again, while some
of the items listed are obvious to most, others are not so obvious:
“Borrowing” someone else’s login ID and password are prohibited.
Using the provided access for commercial purposes, such as hosting your own business website, is not allowed.
Sending out unsolicited emails to a large group of people is prohibited.
Also, as with codes of ethics, violations of these policies have various consequences. In most cases, such as with Wi-Fi,
violating the acceptable use policy will mean that you will lose your access to the resource. While losing access to Wi-Fi at
Starbucks may not have a lasting impact, a university student getting banned from the university’s Wi-Fi (or possibly all
network resources) could greatly impact.
References
ACM Code of Ethics. Preamble. Retrieved November 10, 2020, from https://www.acm.org/code-of-ethics.

Wael Abdeljabbar
12.2: Intellectual Property
Intellectual Property
One of the domains that digital technologies have deeply impacted is the domain of intellectual property. Digital technologies
have driven a rise in new intellectual property claims and made it much more difficult to defend intellectual property.
Merriam-Webster Dictionary defines Intellectual property as “property (as an idea, invention, or process) that derives from the
work of the mind or intellect. This could include song lyrics, a computer program, a new type of toaster, or even a sculpture.
Practically speaking, it is challenging to protect an idea. Instead, intellectual property laws are written to protect the tangible
results of an idea. In other words, just coming up with a song in your head is not protected, but if you write it down, it can be
protected.
Protection of intellectual property is important because it gives people an incentive to be creative. Innovators with great ideas
will be more likely to pursue those ideas if they clearly understand how they will benefit. In the US Constitution, Article 8,
Section 8, the authors saw fit to recognize the importance of protecting creative works:
Congress shall have the power... To promote the Progress of Science and useful Arts by securing for limited Times to Authors
and Inventors the exclusive Right to their respective Writings and Discoveries.
An important point to note here is the “limited time” qualification. While protecting intellectual property is important because
of its incentives, it is also necessary to limit the amount of benefit that can be received and allow the results of ideas to become
part of the public domain.
Outside of the US, intellectual property protections vary. You can find out more about a specific country’s intellectual property
laws by visiting the World Intellectual Property Organization.
There are many intellectual property types such as copyrights, patents, trademarks, industrial design rights, plant variety rights,
and trade secrets. In the following sections, we will review three of the best-known intellectual property protection: copyright,
patent, and trademark.
Copyright
Copyright is the protection given to songs, movies, books, computer software, architecture, and other creative works, usually
for a limited time. An artist can, for example, sue if his painting is copied and sold on T-shirts without permission. A coder can
sue if another Web developer verbatim takes her code. Any work that has an “author” can be copyrighted. It covers both
published and unpublished work. Under the terms of copyright, the author of the work controls what can be done with the
work, including:
Who can make copies of the work?
Who can create derivative works from the original work?
Who can perform the work publicly?
Who can display the work publicly?
Who can distribute the work?
Often, work is not owned by an individual but is instead owned by a publisher with whom the original author has an
agreement. In return for the rights to the work, the publisher will market and distribute the work and then pay the original
author a portion of the proceeds.
Copyright protection lasts for the life of the original author plus seventy years. In the case of a copyrighted work owned by a
publisher or another third party, the protection lasts for ninety-five years from the original creation date. For works created
before 1978, the protections vary slightly. You can see the full details on copyright protections by reviewing the Copyright
Basics document available at the US Copyright Office’s website. See also the sidebar “History of Copyright Law.”
Obtaining Copyright Protection

Wael Abdeljabbar
In the United States, copyright is obtained by the simple act of creating the original work. In other words, when an author
writes down that song, makes that film, or designs that program, he or she automatically has the copyright. However, it is
advisable to register for a copyright with the US Copyright Office for a work that will be used commercially. A registered
copyright is needed to bring legal action against someone who has used a work without permission.
First Sale Doctrine

If an artist creates a painting and sells it to a collector who then, for whatever reason, proceeds to destroy it, does the original
artist have any recourse? What if the collector, instead of destroying it, begins making copies of it and sells them? Is this
allowed?
The protections that copyright law extends to creators have an important limitation. The first sale doctrine is a part of
copyright law that addresses this, as shown below:
The first sale doctrine, codified at 17 U.S.C. § 109, provides that an individual who knowingly purchases a copy of a
copyrighted work from the copyright holder receives the right to sell, display or otherwise dispose of that particular copy,
notwithstanding the interests of the copyright owner.
So, in our examples, the copyright owner has no recourse if the collector destroys her artwork. But the collector does not have
the right to make copies of the artwork.
Fair Use
Another important provision within copyright law is that of fair use. Fair use is a limitation on copyright law that allows for
protected works without prior authorization in specific cases. For example, if a teacher wanted to discuss a current event in her
class, she could pass out copies of a copyrighted news story to her students without first getting permission. Fair use allows a
student to quote a small portion of a copyrighted work in a research paper.
Unfortunately, the specific guidelines for what is considered fair use and what constitutes copyright violation are not well
defined. Fair use is a well-known and respected concept and will only be challenged when copyright holders feel that their
work's integrity or market value is being threatened. The following four factors are considered when determining if something
constitutes fair use 9 :
The purpose and character of the use, including whether such use is of commercial nature or is for nonprofit educational
purposes;
The nature of the copyrighted work;
The amount and substantiality of the portion used concerning the copyrighted work as a whole;
The effect of the use upon the potential market for, or value of, the copyrighted work.
If you are ever considering using a copyrighted work as part of something you are creating, you may be able to do so under
fair use. However, it is always best to check with the copyright owner to ensure you are staying within your rights and not
infringing upon theirs.
Sidebar: The History of Copyright Law

As noted above, current copyright law grants copyright protection for seventy years after the author’s death or ninety-five
years from the date of creation for a work created for hire. But it was not always this way.
The first US copyright law, which only protected books, maps, and charts, protected for only 14 years with a renewable term
of 14 years. Over time, copyright law was revised to grant protections to other forms of creative expressions, such as
photography and motion pictures. Congress also saw fit to extend the length of the protections, as shown in the chart below.
Today, copyright has become big business, with many businesses relying on copyright-protected works for their income.

Wael Abdeljabbar
Fig 12.1 Expansion of U.S. Copyright act by Tom Bell licensed CC-BY-SA 3.0
Many now think that the protections last too long. The Sonny Bono Copyright Term Extension Act 1998 has been nicknamed
the “Mickey Mouse Protection Act,” as it was enacted just in time to protect the copyright on the Walt Disney Company’s
Mickey Mouse character. It extended copyright terms to the life of the author plus 70 years. Because of this term extension,
many works from the 1920s and 1930s were still protected by copyright and could not enter the public domain until 2019 or
later. Mickey Mouse will not be in the public domain until 2024.
References
ACM Code of Ethics. Preamble. Retrieved November 10, 2020, from https://www.acm.org/code-of-ethics.
US copyright. Copyright basics. Retrieved November 10, 2020, from https://www.copyright.gov/.
US copyright. More information on fair use. Retrieved from https://www.copyright.gov/fair-use/more-info.html.

Wael Abdeljabbar
12.3: The Digital Millennium Copyright Act
The Digital Millennium Copyright Act
As digital technologies have changed what it means to create, copy, and distribute media, a policy vacuum has been created. In
1998, the US Congress passed the Digital Millennium Copyright Act (DMCA), which extended copyright law to consider
digital technologies. An anti-piracy statute makes it illegal to duplicate digital copyrighted works and sell or freely distribute
them. Two of the best-known provisions from the DMCA are the anti-circumvention provision and the “safe harbor”
provision.
The anti-circumvention provision makes it illegal to create technology to circumvent technology that has been put in place
to protect a copyrighted work. This provision includes the creation of the technology and the publishing of information that
describes how to do it. While this provision does allow for some exceptions, it has become quite controversial and has led
to a movement to have it modified.
The “safe harbor” provision limits online service providers' liability when someone using their services commits copyright
infringement. This provision allows YouTube, for example, not to be held liable when someone posts a clip from a
copyrighted movie. The provision does require the online service provider to take action when they are notified of the
violation (a “takedown” notice). For an example of how takedown works, here’s how YouTube handles these requests:
YouTube Copyright Infringement Notification.
Many think that the DMCA goes too far and ends up limiting our freedom of speech. The Electronic Frontier Foundation
(EFF) is at the forefront of this battle. For example, in discussing the anti-circumvention provision, the EFF states:
Yet, the DMCA has become a serious threat that jeopardizes fair use, impedes competition and innovation, chills free
expression and scientific research, and interferes with computer intrusion laws. If you circumvent DRM [digital rights
management] locks for non-infringing fair uses or create the tools to do so, you might be on the receiving end of a lawsuit.
Creative Commons
In chapter 2, we learned about open-source software. Open-source software has few or no copyright restrictions; the software
creators publish their code and make their software available for others to use and distribute for free. This is great for software,
but what about other forms of copyrighted works? If an artist or writer wants to make their works available, how can they go
about doing so while still protecting their work integrity? Creative Commons is the solution to this problem.
Creative Commons is an international nonprofit organization that provides legal tools for artists and authors around the world.
The tools offered to make it simple to license artistic or literary work for others to use or distribute consistently with the
creator's intentions. Creative Commons licenses are indicated with the symbol CC . It is important to note that Creative
Commons and the public domain are not the same. When something is in the public domain, it has absolutely no restrictions
on its use or distribution. Works whose copyrights have expired, for example, are in the public domain.
By using a Creative Commons license, creators can control the use of their work while still making it widely accessible. By
attaching a Creative Commons license to their work, a legally binding license is created. Creators can choose from the
following six licenses with varying permissions from the least open to the most open license:
CC-BY: This is the least restrictive license. It lets others distribute, remix, adapt, and build upon the original work, in any
medium or format, even commercially, as long as they give the author credit(attribution) for the original work.
CC-BY-SA: This license restricts the distribution of the work via the “share-alike” clause. This means that others can
freely distribute, remix, adapt and build upon the work, but they must give credit to the original author, and they must share
using the same Creative Commons license.
CC-BY-NC: NC stands for “non-commercial.” This license is the same as CC-BY but adds that no one can make money
with this work - non-commercial purposes only.
CC-BY-NC-SA: This license allows others to distribute, remix, adapt, and build upon the original work for non-
commercial purposes, but they must give credit to the original author and share using the same license.

Wael Abdeljabbar
CC-BY-NC-ND: This license is the same as CC-BY-NC and adds the ND restriction, which means that no derivative
works may be made from the original.
CCO: allows creators to give up their copyright and put their works into the worldwide public domain. It allows others to
distribute, remix, adapt and build upon in any medium or format with no conditions.
This book has been written under the creative commons license CC-BY. More than half a billion licensed works exist on the
Web free for students and teachers to use, build upon, and share. To learn more about Creative Commons, visit the Creative
Commons website.
Patent
Another important form of intellectual property protection is the patent. A patent creates protection for someone who invents a
new product or process. The definition of invention is quite broad and covers many different fields. Here are some examples of
items receiving patents:
circuit designs in semiconductors;
prescription drug formulas;
firearms;
locks;
plumbing;
engines;
coating processes; and
business processes.
Once a patent is granted, it provides the inventors with protection from others infringing on their patent. A patent holder has
the right to “exclude others from making, using, offering for sale, or selling the invention throughout the United States or
importing the invention into the United States for a limited time in exchange for public disclosure of the invention when the
patent is granted.”
As with copyright, patent protection lasts for a limited period of time before the invention or process enters the public domain.
In the US, a patent lasts twenty years. This is why generic drugs are available to replace brand-name drugs after twenty years.
Obtaining Patent Protection

Unlike copyright, a patent is not automatically granted when someone has an interesting idea and writes it down. In most
countries, a patent application must be submitted to a government patent office. A patent will only be granted if the invention
or process being submitted meets certain conditions:
It must be original. The invention being submitted must not have been submitted before.
It must be non-obvious. You cannot patent something that anyone could think of. For example, you could not put a pencil
on a chair and try to get a patent for a pencil-holding chair.
It must be useful. The invention being submitted must serve some purpose or have some use that would be desired.
The United States Patent and Trademark Office(USPTO) is the federal agency that grants U.S patents and registering
trademarks. It reviews patent applications to ensure that the item being submitted meets these requirements. This is not an easy
job: USPTO processes more than 600,000 patent applications and grants upwards of 300,000 patents each year. It took 75
years to issue the first million patents. The last million patents took only three years to issue; digital technologies drive much
of this innovation.
Sidebar: What Is a Patent Troll?

The advent of digital technologies has led to a large increase in patent filings and, therefore, many patents being granted. Once
a patent is granted, it is up to the patent owner to enforce it; if someone is found to be using the invention without permission,
the patent holder has the right to sue to force that person to stop and collect damages.
The rise in patents has led to a new form of profiteering called patent trolling. A patent troll is a person or organization who
gains the rights to a patent but does not actually make the invention that the patent protects. Instead, the patent troll searches
for illegally using the invention in some way and sues them. In many cases, the infringement being alleged is questionable at

Wael Abdeljabbar
best. For example, companies have been sued for using Wi-Fi or for scanning documents, technologies that have been on the
market for many years.
Recently, the US government has begun taking action against patent trolls. Several pieces of legislation are working their way
through Congress that will, if enacted, limit the ability of patent trolls to threaten innovation. You can learn a lot more about
patent trolls by listening to a detailed investigation titled When Patents Attack conducted by the radio program This American
Life.
Trademark
A trademark is a word, phrase, logo, shape, or sound that identifies a source of goods or services. For example, the Nike
“Swoosh,” the Facebook “f,” and Apple’s apple (with a bite taken out of it) Kleenex(facial tissue brand) are all trademarked.
The concept behind trademarks is to protect the consumer. Imagine going to the local shopping center to purchase a specific
item from a specific store and finding that there are several stores all with the same name!
Two types of trademarks exist – a common-law trademark and a registered trademark. As with copyright, an organization will
automatically receive a trademark if a word, phrase, or logo is being used in the normal course of business (subject to some
restrictions, discussed below). A common-law trademark is designated by placing “TM” next to the trademark. A registered
trademark has been examined, approved, and registered with the trademark office, such as the Patent and Trademark Office in
the US. A registered trademark has the circle-R (®) placed next to the trademark.
While most any word, phrase, logo, shape, or sound can be trademarked, there are a few limitations.
A trademark will not hold up legally if it meets one or more of the following conditions:
1. The trademark is likely to confuse with a mark in a registration or prior application.
2. The trademark is merely descriptive for the goods/services. For example, trying to register the trademark “blue” for a blue
product you sell will not pass muster.
3. The trademark is a geographic term.
4. The trademark is a surname. You will not be allowed to trademark “Smith’s Bookstore.”
5. The trademark is ornamental as applied to the goods. For example, a repeating flower pattern that is a design on a plate
cannot be trademarked.
As long as an organization uses its trademark and defends it against infringement, the protection afforded by it does not expire.
Thus, many organizations defend their trademark against other companies whose branding even only slightly copies their
trademark. For example, Chick-fil-A has trademarked the phrase “Eat Mor Chikin” and has vigorously defended it against a
small business using the slogan “Eat More Kale.” Coca-Cola has trademarked its bottle's contour shape and will bring legal
action against any company using a bottle design similar to theirs. As an example of trademarks that have been diluted and
have now lost their protection in the US are “aspirin” (originally trademarked by Bayer), “escalator” (originally trademarked
by Otis), and “yo-yo” (originally trademarked by Duncan).
Information Systems and Intellectual Property

The rise of information systems has forced us to rethink how we deal with intellectual property. From the increase in patent
applications swamping the government’s patent office to the new laws that must be put in place to enforce copyright
protection, digital technologies have impacted our behavior.
Privacy
The term privacy has many definitions, but privacy will mean the ability to control information about oneself for our purposes.
Our ability to maintain our privacy has eroded substantially in the past decades due to information systems.
Personally Identifiable Information(PII)

Information about a person that can uniquely establish that person’s identity is called personally identifiable information, or
PII. This is a broad category that includes information such as:
name;
social security number;
date of birth;
place of birth;
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mother‘s maiden name;
biometric records (fingerprint, face, etc.);
medical records;
educational records;
financial information; and
employment information.
Organizations that collect PII are responsible for protecting it. The Department of Commerce recommends that “organizations
minimize the use, collection, and retention of PII to what is strictly necessary to accomplish their business purpose and
mission.” They go on to state that “the likelihood of harm caused by a breach involving PII is greatly reduced if an
organization minimizes the amount of PII it uses, collects, and stores.” 4 Organizations that do not protect PII can face
penalties, lawsuits, and loss of business. In the US, most states now have laws requiring organizations that have had security
breaches related to PII to notify potential victims, as does the European Union.
Just because companies are required to protect your information does not mean they are restricted from sharing it. In the US,
companies can share your information without your explicit consent (see sidebar below), though not all do so. The FTC urges
companies that collect PII to create a privacy policy and post it on their website. California requires a privacy policy for any
website that does business with a resident of the state.
While the US's privacy laws seek to balance consumer protection with promoting commerce, in the European Union, privacy
is considered a fundamental right that outweighs the interests of commerce. This has led to much stricter privacy protection in
the EU and makes commerce more difficult between the US and the EU.
Non-Obvious Relationship Awareness

Digital technologies have given us many new capabilities that simplify and expedite the collection of personal information.
Every time we come into contact with digital technologies, information about us is being made available. From our location to
our web-surfing habits, our criminal record, to our credit report, we are constantly being monitored. This information can then
be aggregated to create profiles of every one of us. While much of the information collected was available in the past,
collecting it and combining it took time and effort. Today, detailed information about us is available for purchase from
different companies. Even information not categorized as PII can be aggregated so that an individual can be identified.
Fig 12.2: Non-obvious relationship awareness(NORA). Image by David Bourgeois, Ph.D. is licensed CC-By-NC-SA 4.0
First commercialized by big casinos looking to find cheaters, NORA is used by both government agencies and private
organizations, and it is big business. In some settings, NORA can bring many benefits, such as in law enforcement. By
identifying potential criminals more quickly, crimes can be solved more quickly or even prevented before they happen. But
these advantages come at a price: our privacy.
Restrictions on Data Collecting

Information privacy or data protection laws provide legal guidelines for obtaining, using, and storing data about its citizens.
The European Union has had the General Data Protection Regulation(GDPR) in force since 2018. The US does not have a
comprehensive information privacy law but has adopted sectoral laws. 9
Children’s Online Privacy Protection Act(COPPA)

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Websites collecting information from children under the age of thirteen are required to comply with the Children’s Online
Privacy Protection Act (COPPA), which is enforced by the Federal Trade Commission (FTC). To comply with COPPA,
organizations must make a good-faith effort to determine the age of those accessing their websites. If users are under thirteen
years old, they must obtain parental consent before collecting any information.
Family Educational Rights and Privacy Act(FERPA)

The Family Educational Rights and Privacy Act (FERPA) is a US law that protects student education records' privacy. In brief,
this law specifies that parents have a right to their child’s educational information until they reach either the age of eighteen or
begin attending school beyond the high school level. At that point, control of the information is given to the child. While this
law is not specifically about the digital collection of information on the Internet, the educational institutions collecting student
information are at a higher risk for disclosing it improperly because of digital technologies. This became especially apparent
during the Covid-19 pandemic when all face-to-face classes at educational institutions transitioned to online classes.
Institutions need to have policies in place that protect student privacy during video meetings and recordings.
Health Insurance Portability and Accountability Act (HIPAA)

The Health Insurance Portability and Accountability Act of 1996 (HIPAA) is the law that specifically singles out records
related to health care as a special class of personally identifiable information. This law gives patients specific rights to control
their medical records, requires health care providers and others who maintain this information to get specific permission to
share it, and imposes penalties on the institutions that breach this trust. Since much of this information is now shared via
electronic medical records, the protection of those systems becomes paramount.
If you key in the data in the US, you own the right to store and use it even if the data was collected without permission except
regulated by laws and rules such as above. Very few states recognize an individual’s right to privacy; California is the
exception. The California Online Privacy Protection Act of 2003(OPPA) requires operators of commercial websites or online
services that collect personal information on California residents through a website to post a privacy policy on the site
conspicuously.
Sidebar: Do Not Track

When it comes to getting permission to share personal information, the US and the EU have different approaches. In the US,
the “opt-out” model is prevalent; in this model, the default agreement is that you have agreed to share your information with
the organization and explicitly tell them that you do not want your information shared. No laws prohibit sharing your data
(beyond some specific categories of data, such as medical records). In the European Union, the “opt-in” model is required to
be the default. In this case, you must give your explicit permission before an organization can share your information.
To combat this sharing of information, the Do Not Track initiative was created. As its creators explain 3 :
Do Not Track is a technology and policy proposal that enables users to opt-out of tracking by websites they do not visit,
including analytics services, advertising networks, and social platforms. At present, few of these third parties offer a reliable
tracking opt-out, and tools for blocking them are neither user-friendly nor comprehensive. Much like the popular Do Not Call
registry, Do Not Track provides users with a single, simple, persistent choice to opt-out of third-party web tracking.
References:
EFF. Unintended consequences - 16 years under DCMA (2014). Retrieved November 10, 2020, from
https://www.eff.org/wp/unintended-consequences-16-years-under-dmca
EFF. Do not track. Retrieved November 10, 2020, from http://donottrack.us/
Guide to Protecting the Confidentiality of Personally Identifiable Information (PII). National Institute of Standards and
Technology. US Department of Commerce Special Publication 800-122. http://csrc.nist.gov/publications/nistpubs/800-
122/sp800-122.pdf
US Patent and Trademark Office, "What is a patent?" Retrieved November 10, 2020, from www.uspto.gov/patents/

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12.4: Summary
Summary
The rapid changes in information technology in the past few decades have brought a broad array of new capabilities and
powers to governments, organizations, and individuals alike. These new capabilities have required thoughtful analysis and the
creation of new norms, regulations, and laws. This chapter has seen how intellectual property and privacy have been affected
by these new capabilities and how the regulatory environment has been changed to address them.

Wael Abdeljabbar
Study Questions
1. What does the term information systems ethics mean?
2. What is a code of ethics? What is one advantage and one disadvantage of a code of ethics?
3. What does the term intellectual property mean? Give an example.
4. What protections are provided by a copyright? How do you obtain one?
5. What is fair use?
6. What protections are provided by a patent? How do you obtain one?
7. What does a trademark protect? How do you obtain one?
8. What does the term personally identifiable information mean?
9. What protections are provided by HIPAA, COPPA, and FERPA?
10. How would you explain the concept of NORA?
Exercises
1. Provide one example of how information technology has created an ethical dilemma that would not have existed before the
advent of information technology.
2. Find an example of a code of ethics or acceptable use policy related to information technology and highlight five points
that you think are important.
3. Find an example of work done under a CC license.
4. Do some original research on the effort to combat patent trolls. Write a two-page paper that discusses this legislation.
5. Give an example of how NORA could be used to identify an individual.
6. How are intellectual property protections different across the world? Pick two countries and do some original research,
then compare the patent and copyright protections offered in those countries to those in the US. Write a two- to three-page
paper describing the differences.

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CHAPTER OVERVIEW
This final chapter discusses some of the new or recently introduced technologies. From wearable
technology, virtual reality, the Internet of Things, quantum computing to artificial intelligence, this
chapter will provide a look forward to what the next few years will bring to potentially transform
how we learn, communicate, do business, work, and play.
13.1: INTRODUCTION
This chapter discusses the future trends enabled by new and improved technologies in many
industries, including social media, personalization, mobile, wearable, collaborative,
communication, virtual reality, artificial intelligence, and quantum computers.
13.2: COLLABORATIVE
Discuss collaboration effort among consumers with free content, telecommunication, virtual environment, and 3D printing

This section discusses the future trends of Internet of Things and autonomous devices.

This section discusses potential disruptive innovations that could fundamentally change the current paradigm of how information
systems are built and how we work, entertain, learn, and do business.
1 8/28/2021
13.1: Introduction
Introduction
Information systems have evolved at a rapid pace ever since their introduction in the 1950s. Today, devices that we can hold in
one hand are more powerful than the computers used to land a man on the moon. The Internet has made the entire world
accessible to people, allowing us to communicate and collaborate like never before. In this chapter, we will examine current
trends and look ahead to what is coming next.
Global
The first trend to note is the continuing expansion of globalization due to the commercialization of the internet. The use of the
Internet is growing worldwide, and with it, the use of digital devices. All regions are forecasted for significant growth, with
some regions higher than others, such as Asia and Latin America.
The United Nations June 2020 “Report of the Secretary-General Roadmap for Digital Cooperation” reports that 86.6% of
people in the developed countries are online, while only 19% people are online in the least developed countries, with Europe
being the region with the highest usage rates and Africa with the lowest usage rate.
Chapter 11 discussed that by Q3 of 2020, approximately 4.9 billion people, or more than half of the world’s population, use the
internet and forecast growth of 1,266% for the world total, with Asia being the highest 2136%, Latin America at 2489%. The
smallest growth is still forecasted over 200% growth. For more details, please view the data at
https://internetworldstats.com/stats.htm.
Social Media
Social media is one of the most popular internet activities worldwide. Statista.com reports that as of January 2020, the global
usage rate for social media is 49%, and people spend about 144 minutes per day on social media. Even then, there are still
billions of people that remain unconnected, according to datareportal.com. For more details, please read the entire report of
Digital 2020.
As of October 2020, Statista.com also reports that Facebook remains the most popular social network globally with about 2.7B
monthly active users, YouTube and WhatsApp with 2B, WeChat at 1.2B, Instagram at 1.1B, Twitter at 353M, TikTok at 689M,
etc. For more details, please view this report at Statista.com.
Personalization
With the continued increased usage of the internet and e-commerce, users have moved beyond the simple, unique ringtones on
mobile phones. They now expect increased personalized experience in the products or services, entertainment, and learning,
such as highly targeted, just-in-time recommendations that are finely tuned with their preferences from vendors' data. For
example, Netflix recommends what shows they might want to watch. Wearable devices from various vendors such as Apple,
Google, Amazon make personalized recommendations for exercises, meditation, diet, among others, based on your current
health conditions.
Mobile
Perhaps the most impactful trend in digital technologies in the last decade has been the advent of mobile technologies.
Beginning with the simple cell phone in the 1990s and evolving into the smartphones and tablets of today, mobile growth has
been overwhelming.
Smartphones were introduced in the 1990s. This new industry has exploded into a trillion-dollar industry with $484B spent on
smartphones, $176B in mobile advertising, $118B in Apps, $77B in accessories, $25B in wearables (Statista, 2020.) For more
details, please view The Trillion-Dollar Smartphone Economy.
Wearables

Wael Abdeljabbar
The wearable market, which is now a $25B economy, includes specific-purpose products such as fitness bands, smart socks,
eyewear, hearing aids. We are now seeing a convergence in general-purpose devices such as computers and televisions and
portable devices such as smartwatches and smartphones. It is also anticipated that wearable products will touch different
aspects of consumers’ life. For example, smart clothing such as Neviano smart swimsuits, Live’s Jacquard jacket (Lifewire,
2020),
Advances in artificial intelligence, sensors, and robotics will expand to wearables for front-line workers such as Exoskeletons
such as Ekso’s EVO to assist workers who have to carry heavy weight items such as firefighters, warehouse workers, or to
health industries to provide mobility for people who are limited in mobility.
References
EVO is designed to provide power without pain. Retrieved December 10, 2020, from https://eksobionics.com/ekso-evo/.
Statista. The Trillion-Dollar Smartphone Economy (2019). Retrieved December 11, 2020, from
https://www.statista.com/chart/20258/estimated-sales-of-smartphones-and-related-products-and-services/.
Lifewire. The 7 Best Smart Clothes of 2020. Retrieved December 11, 2020, from https://www.lifewire.com/best-smart-clothes-
4176104.
Report of the Secretary-General Roadmap for Digital Cooperation (June 2020.) Retrieved December 11, 2020, from
https://www.un.org/en/content/digital-cooperation-roadmap/.
World Internet Usage and Population Statistics 2020 Year-Q3 Estimates (2020). Retrieved December 11, 2020, from
https://internetworldstats.com/stats.htm.

Wael Abdeljabbar
13.2: Collaborative
Collaborative
Collaborators as free content-providers
Internet usage has continued to give rise to the collaborative effort among consumers and businesses worldwide. Consumers
have gained influence by sharing reviews of products and services. It is common for people to look up other people’s reviews
before buying a product, visiting restaurants via sites such as Yelp, instead of believing the information from vendors directly.
Businesses have leveraged consumers’ collaboration to contribute to the content of a product. For example, the smartphone
app Waze is a community-based tool that keeps track of the route you are traveling and how fast you are making your way to
your destination. In return for providing your data, you can benefit from the data being sent from all other app users. Waze will
route you around traffic and accidents based upon real-time reports from other users. These businesses rely on users spending
their free time to write free reviews to be shared with other people in these examples. In essence, they monetize people’s time
and content.
Shared economy collaborators

New types of companies such as Airbnb and Uber incorporate consumers into their business model and share a fraction of the
revenues. These companies monetize everyday person’s owned assets. For example, Airbnb uses its technology platform to
rent out rooms, houses to people by people who actually own these assets. Uber popularized the gig economy by having
people use their own cars as drivers. This trend is expected to continue and expand in other industries such as advertising.
Telecommunication
Personal communication
Video communication technologies such as Voice-over-IP (VoIP) have given consumers a means to communicate with each
other for free instead of paying for expensive traditional phone lines through free services such as Microsoft Skype and
WhatApp The combined use of smartphones, VoIP, more powerful servers, among others, have made landlines outdated and
expensive. By 2019, the number of landlines had decreased to less than 40% from 90% in 2004 (Statista.com, 2019.)
Entertainment
The above trend continues to affect other industries, such as the consumers’ exodus of cable services or pay-TV to streaming
services, a phenomenon called ‘cutting the cord’ due to the rise of companies such as Netflix and Hulu. By 2022, it is
estimated that the number of households not paying for TV services in North America will grow to around 55.1 million
(Statista.com, 2019). The convergence of TV, computers, and entertainment will continue as technologies become easier to use
and the infrastructure such as 5G networks, to deliver data becomes faster.
Virtual environment
Tele-work
Telecommuting has been a trend that ebbs and flows as companies experiment with technologies to allow their workers to
work from home. However, with the Covid-19 pandemic, telecommuting became essential as people worldwide worked from
home to comply with national or regional stay-at-home orders. The debate over the merit of telework has been set aside, and
its adoption spread to many industries that have eschewed this use of technology. For example, therapy counseling, medical
visits with primary care providers can now be done remotely. The Post-pandemic work environment may not necessarily be
the same as it was. Now, organizations have gained valuable insights about having most, if not all, of their entire workforce
work from home. In one year, Zoom, the name of a relatively unknown company providing video communications, became a
household word, gaining 37% in usage rate, with Microsoft Teams trailing at 19%, Skype at 17%, Google Hangouts at 9%,
and slack at 7% (Statista, 2020)
Immersion - virtual reality

Wael Abdeljabbar
Tele-work allows us to see other people while we remain in our physical world. Virtual reality (VR) gives us a perception of
being physically in another world. Research in building VR has been going on since the 1990s or even earlier. One example is
CAVE2, also known as the Next-Generation CAVE (NG-CAVE), a research project funded by the National Science
Foundation in 1992 to allow researchers to ‘walk around in a human brain or fly on Mars, etc.”. Please watch this video on
YouTube or search for the phrase with the keyword ‘CAVE2’ for more details.
Technologies are not yet mature enough to give us a 100% immersive experience. They may be good enough for some
products recently on a smaller scale in gaming or training. For example, if we use a VR goggle to play a game, we become a
character. The same technology can be used in training for police officers.
Figure 13.2.1 : A woman using the Manus VR glove development kit in 2016. (CC BY-SA 4.0; Manus VR via Wikipedia)
3D Printing
3D printing completely changes our current thinking of what a printer is or the notion of printing. We typically use printers to
print reports, letters, or pictures on physical papers. A 3-D printer allows you to print virtually any 3-D object based on a
model of that object designed on a computer. 3-D printers work by creating layer upon layer of the model using malleable
materials, such as different types of glass, metals, wax, or even food ingredients
3-D printing is quite useful for prototyping the designs of products to determine their feasibility and marketability. 3-D
printing has also been used to create working prosthetic legs or handguns. Icon can print a 500sqt home in 48 hours for
$10,000. NASA wants to print pizzas for astronauts, and we can now print cakes too. In 2020, The US Air Force produces the
first 3D-printed metal part for aircraft engines.
This technology can potentially affect the global value chain to develop products, and entrepreneurs can build prototypes in
their garage or provide solutions to some social challenges. For example, producing a prototype of a 3D object for research
and engineering can now be done in-house using a 3D printer which speeds up the development time. Tiny homes can be
provided at a fraction of a cost of a traditional home.
With the rising need from consumers for more personalization (as discussed earlier), this technology may help businesses
deliver on this need through shoes, clothing, and even 3D printed cars.
References
CAVE2 immerses scientists and engineers in their research -- literally! - Science Nation (2013). Retrieved December 10, 2020,
from https://www.youtube.com/watch?v=kjAviW2alpA.
I Printed a 3D Gun (2013). Retrieved December 10, 2020, from https://mashable.com/2013/06/02/3d-printed-gun/.
NASA astronauts may soon be able to 3D-print pizzas in space (2017). Retrieved December 11, 2020, from
https://www.zdnet.com/article/nasa-astronauts-may-soon-be-able-to-3d-print-pizzas-in-space/.
Printed homes (2018). Retrieved December 11, 2020, from https://www.iconbuild.com/hom.
US Air Force produces the first 3D-printed metal part for aircraft engines (2020.) Retrieved December 11, 2020, from
https://www.flightglobal.com/fixed-wing/us-air-force-produces-first-3d-printed-metal-part-for-aircraft-engines/139643.article.

Wael Abdeljabbar
Statista. Cord Cutting (2019). Retrieved December 11, 2020, from https://www.statista.com/topics/4527/cord-cutting/.
Statista. Most used collaboration tools used for remote work in the United States in 2020. Retrieved December 10, 2020, from
https://www.statista.com/statistics/1123023/top-collaboration-tools-for-remote-workers-in-the-us/.

Wael Abdeljabbar
13.3: Internet of Things (IoT)
Internet of Things (IoT)
Rouse (2019) explains that IoT is implemented as a set of web-enabled physical objects or things embedded with software,
hardware, sensors, processors to collect and send data as they acquire from their environments. A ‘thing’ could be just about
anything, a machine, an object, an animal, or even people as long as each thing has an embedded unique ID and is web-
enabled.
In a report by McKinsey & Company on the Internet of Things (Chui et al., 2010), six broad applications are identified:
Tracking behavior. When products are embedded with sensors, companies can track these products' movements and even
monitor interactions with them. Business models can be fine-tuned to take advantage of this behavioral data. Some
insurance companies, for example, are offering to install location sensors in customers’ cars. That allows these companies
to base the price of policies on how a car is driven and where it travels.
Enhanced situational awareness. Data from large numbers of sensors, for example, in infrastructure (such as roads and
buildings), or to report on environmental conditions (including soil moisture, ocean currents, or weather), can give
decision-makers a heightened awareness of real-time events, particularly when the sensors are used with advanced display
or visualization technologies. Security personnel, for instance, can use sensor networks that combine video, audio, and
vibration detectors to spot unauthorized individuals who enter restricted areas.
Sensor-driven decision analysis. The Internet of Things also can support longer-range, more complex human planning
and decision making. The technology requirements – tremendous storage and computing resources linked with advanced
software systems that generate various graphical displays for analyzing data – rise accordingly.
Process optimization. Some industries, such as chemical production, are installing legions of sensors to bring much
greater granularity to monitoring. These sensors feed data to computers, which in turn analyze the data and then send
signals to actuators that adjust processes – for example, by modifying ingredient mixtures, temperatures, or pressures.
Optimized resource consumption. Networked sensors and automated feedback mechanisms can change usage patterns
for scarce resources, such as energy and water. This can be accomplished by dynamically changing the price of these goods
to increase or reduce demand.
Complex autonomous systems. The most demanding use of the Internet of Things involves the rapid, real-time sensing of
unpredictable conditions and instantaneous responses guided by automated systems. This kind of machine decision-making
mimics human reactions, though at vastly enhanced performance levels. The automobile industry, for instance, is stepping
up the development of systems that can detect imminent collisions and take evasive action.
IoT has evolved since the 1970s, and by 2020, it is now most associated with smart homes. Products such as smart
thermostats, smart doors, lights, home security systems, home appliances, etc. For example, Amazon Echo, Google Home,
Apple’s HomePod are smart home hubs to manage all the smart IoT in the home. More and more IoT devices will continue to
be offered as vendors seek to make everything ‘smart.’
Autonomous
A trend that is emerging is autonomous robots and vehicles. By combining software, sensors, and location technologies,
devices that can operate themselves to perform specific functions are being developed. These take the form of creations such
as medical nanotechnology robots (nanobots), self-driving cars, self-driving trucks, drones, or crewless aerial vehicles (UAVs).
A nanobot is a robot whose components are on a nanometer scale, which is one-billionth of a meter. While still an emerging
field, it is showing promise for applications in the medical field. For example, a set of nanobots could be introduced into the
human body to combat cancer or a specific disease. In March of 2012, Google introduced the world to their driverless car by
releasing a video on YouTube showing a blind man driving the car around the San Francisco area (or search for "Self-Driving
Car Test: Steve Mahan). The car combines several technologies, including a laser radar system, worth about $150,000.
By 2020, 38 states have enacted some legislation allowing various activities from conducting studies, limited pilot testing, full
deployment of commercial motor vehicles without a human operator; The details can be found at ghsa.org.

Wael Abdeljabbar
The Society of Automotive Engineers (SAE, 2018) has designed a zero to five rating system detailing the varying levels of
automation — the higher the level, the more automated the vehicle is.
Level Zero: No Automation – The driver does all the driving without any help from the vehicle
Level One: Driver Assistance – The vehicle helps steer or speed up/slow down, but the driver still does the driving.
Level Two: Partial Automation – The vehicle helps with one or more systems, but the driver still does the driving.
Level Three: Conditional Automation – The vehicle helps with steering and brake/acceleration, but the driver still needs to
monitor, can intervene as necessary still sitting in the driver seat.
Level Four: High Automation – The vehicle completes all driving duties even if the driver does not intervene in limited
conditions (i.e., local taxis)
Level Five: Full Automation – The vehicle completes all duties without a driver on all roads in all conditions.
Consumers have begun seeing the features in levels 1 and 3 being integrated with today’s non-autonomous cars, and this trend
is expected to continue.
A UAV often referred to as a “drone,” is a small airplane or helicopter that can fly without a pilot. Instead of a pilot, they are
either run autonomously by computers in the vehicle or operated by a person using a remote control. While most drones today
are used for military or civil applications, there is a growing market for personal drones. For a few hundred dollars, a
consumer can purchase a drone for personal use.
Commercial use of UAV is beginning to emerge. Companies such as Amazon plan to deliver their packages to customers using
drones, Walmart plans to use drones to carry things in their stores. This sector is forecasted to become a $12.6B worldwide
market by 2025 (Statista.com, 2019).
References:
Autonomous Vehicles. Retrieved December 10, 2020, from https://www.ghsa.org/state-laws/issues/autonomous%20vehicles.
Chui, M. and Roberts R (2010, March 1). The Internet of Things. Retrieved December 10, 2020, from
https://www.mckinsey.com/industries/technology-media-and-telecommunications/our-insights/the-internet-of-things.
Rouse, Margaret (2019). Internet of things (IoT). IoT Agenda. Retrieved December 11, 2020, from
https://internetofthingsagenda.techtarget.com/definition/Internet-of-Things-IoT.
SAE International Releases Updated Visual Chart for Its “Levels of Driving Automation” Standard for Self-Driving Vehicles
(2018). Retrieved December 10, 2020, from https://www.sae.org/news/press-room/2018/12/sae-international-releases-updated-
visual-chart-for-its-%E2%80%9Clevels-of-driving-automation%E2%80%9D-standard-for-self-driving-vehicles.
Statista. Commercial Drones are Taking Off (2019). Retrieved December 11, 2020, from
https://www.statista.com/chart/17201/commecial-drones-projected-growth/.

Wael Abdeljabbar
13.4: Future of Information Systems
Future of Information Systems
Quantum computer
Today’s computers use bits as data units. A bit value can only be either 0 or 1, as we discussed in Chapter 2. Quantum
computers use qubit, which can represent a combination of both 0 and 1 simultaneously, leveraging the principles of quantum
physics. This is a game-changer for computing and will disrupt all aspects of information technology. The benefits include a
significant speed increase in calculations that will enable solutions for unsolvable problems today. However, there are many
technical problems to be solved yet since all the IS elements will need to be re-imagined. Google announced the first real proof
of a working quantum computer in 2019 (Menard, et al., 2020). Menard et al. also indicated that the industries that would
benefit from this new computer type would be industries with complex problems to solve, such as pharmaceutical,
autonomous vehicles, cybersecurity, or intense mathematical modeling such as Finance, Energy. For a full report, please visit
McKinsey.com.
Blockchain
A blockchain is a set of blocks or a list of records linked using cryptography to record a transaction and track assets in a
network. Anything of value can be considered an asset and be tracked. Examples include a house, cash, patents, a brand. Once
a transaction is recorded, it cannot be changed retroactively. Hence, it is considered highly secured.
Blockchain has many applications, but bitcoin is mostly associated with it because it was the first application using blockchain
technology. Sometimes bitcoin and blockchain are mistakenly meant to be the same thing, but they are not.
Bitcoin is digital money or a cryptocurrency. It is an open-source application built using blockchain technology. It is meant to
eliminate the need for a central bank since people can directly send bitcoins. Simply put, bitcoin keeps track of a list of who
sends how many bitcoins to another person. One difference with today’s money is that a bitcoin's value fluctuates since it
works like a stock. Anyone can buy different bitcoin cryptocurrencies or other cryptocurrencies on bitcoin exchanges such as
Coinbase. Bitcoin and other cryptocurrencies are accepted by a few organizations such as Wikimedia, Microsoft, Wholefoods.
However, bitcoin’s adoption is still uncertain. If the adoption by major companies is accelerated, then banking locally and
globally will change significantly.
Some early businesses have begun to use blockchain as part of their operations. Kroger uses IBM blockchain to trace food
from the farms to its shelves to respond to food recalls quickly (IBM.com.) Amazon Managed Blockchain is a fully managed
service that makes it easy to create and manage scalable blockchain networks.
Artificial Intelligence (AI)

Artificial intelligence (AI) comprises many technologies to duplicate the functions of the human brain. It has been in research
since the 1950s and has seen an ebb and flow of interest. To understand and duplicate a human brain, AI is a complex
interdisciplinary effort that involves multiple fields such as computer science, linguistics, mathematics, neuroscience, biology,
philosophy, and psychology. One approach is to organize the technologies as below, and commercial solutions have been
introduced:
1. Expert systems: also known as decision support systems, knowledge management. These solutions have been widely
deployed for decades, and we have discussed in earlier chapters such as knowledge management, decision support,
customer relationship management system, financial modeling.
2. Robotics: this trend is more recent even though it has been in research for decades. Robots can come in different shapes,
such as a familiar object, an animal, or a human. It can be tiny or as big as it can be designed:
1. A nanobot is a robot whose components are on the scale of about a nanometer.
2. A robot with artificial skins to look like a human is called a humanoid. They are being deployed in limited situations
such as assistants to police, senior citizens who need help, etc. Two popular robots are Atlas from Boston Dynamic and

Wael Abdeljabbar
humanoid Sophia from Hanson Robotics.
Consumer products such as the smart vacuum iRobot Roomba are now widely available. The adoption of certain types of
robots has accelerated in some industries due to the pandemic: Spot, the dog-like robot from Boston dynamics, is used to
patrol for social distancing.
Figure 13.4.1 : Sophia, First Robot Citizen at the AI for Good Global Summit 2018. Image by ITU Pictures is licensed under
CC BY 2.0
3. Natural language: voice as a form of communication with our smart devices is now the norm—for example, Apple’s Siri,
Amazon’s Alexa.
4. Vision: advanced progress has been made towards camera technologies and solutions to store and manipulate visual
images. Examples include advanced security systems, drones, face recognition, smart glasses, etc.
5. Learning systems: Learning systems allow a computer (i.e., a robot) to react to situations based on the immediate
feedback it receives or the collection of feedback stored in its system. Simple forms of these learning systems can be found
today in customers' online-chat support, also known as ‘AI bot.’ One such example is IBM’s Watson Assistant.
6. Neural networks: This is a collection of hardware and software technologies. The hardware includes wearable devices
that allow humans to control machines using thoughts such as Honda Motor’s Brain-Machine Interface. This is still in the
research phase, but its results can impact many industries such as healthcare.
The goal of 100% duplicating a human brain has not been achieved yet since no AI systems have passed the Alan Turing test
known as Turing Test to answer the question 'Can a machine think?" Alan is widely considered a founder of the AI field and
devises a test to a machine's ability to show the equivalent intelligent behavior to that humans. The test does not look for
correct answers but rather answers closely resemble those a human would give.
Figure 13.4.2 : Alan Turing Aged 16. Image is licensed Public Domain
Even though AI has not been to duplicate a human brain yet, its advances have introduced many AI-based technologies such
as AI bot, robotics in many industries. AI progress has contributed to producing many practical business information systems

Wael Abdeljabbar
that we discussed throughout this book such as, voice recognition, cameras, robots, autonomous cars, etc. It has also raised
concerns over how ethical is the development of some AI technologies as we discussed in previous chapters.
Advances in artificial intelligence depend on the continuous effort to collect vast amounts of data, information, and
knowledge, advances in hardware, sophisticated methods to analyze both unconnected and connected large datasets to make
inferences to create new knowledge, supported by secured, fast networks.
References
Boston Dynamics’ dog-like robot Spot is being used on coronavirus social distancing patrol (2020). Retrieved December 13,
2020, from https://www.cnbc.com/2020/05/15/boston-dynamics-dog-like-robot-spot-used-on-social-distancing-patrol.html.
Changing your idea of what robots can do. Retrieved December 13, 2020, from https://www.bostondynamics.com/.
Honda's Brain-Machine Interface: controlling robots by thoughts alone (2009). Retrieved December 11, 2020, from
https://newatlas.com/honda-asimo-brain-machine-interface-mind-
control/11379/#:~:text=Honda%20Research%20Institute%2C%20Japan%2C%20has,using%20nothing%20more%20than%20
thought.&text=Then%2C%20the%20doors%20will%20be,and%20act%20directly%20upon%20them.
Kroger uses IBM Blockchain technology for farm to fork food traceability. Retrieved December 11, 2020, from
https://mediacenter.ibm.com/media/Kroger+uses+IBM+Blockchain+technology+for+farm+to+fork+food+traceability/0_527q
9xfy.
Menard A., Ostojic I., and Patel M. (2020, February 6). A game plan for quantum computing. Retrieved December 10, 2020,
from https://www.mckinsey.com/business-functions/mckinsey-digital/our-insights/a-game-plan-for-quantum-computing.
The smarter AI assistant for business. Retrieved December 11, 2020, from https://www.ibm.com/cloud/watson-assistant-2/

Wael Abdeljabbar
Summary
Information systems have changed how we work, play, and learn since the internet was introduced to the mass. We may be at a
tipping point now with many significant advances of technologies that have been in research for many decades and are
converged roughly at the same time as described in the above trends.
The adoption of many technologies has also been accelerated due to the 2020 Covid-19 Pandemic. Organizations will need to
determine how they want to move forward to leverage opportunities and manage risks should any of the above trends become
a reality.
As the world of information technology moves forward, we will be constantly challenged by new capabilities and innovations
that will both amaze and disgust us. As we learned in chapter 12, many times, the new capabilities and powers that come with
these new technologies will test us and require a new way of thinking about the world. Businesses and individuals alike need
to be aware of these coming changes and prepare for them.
Study Questions
1. Which countries are the biggest users of the Internet? Social media? Mobile?
2. Which region had the largest Internet growth (in %) as of this year?
3. Identify the top three social media networks by active users?
4. How many people worldwide still need to be connected?
5. Explain what a virtual environment is.
6. What are two different applications of wearable technologies?
7. What are two different applications of collaborative technologies?
8. What capabilities do printable technologies have?
9. What makes anything an Internet of Think?
10. What is a UAV?
11. What is Conditional Automation?
12. What is a nanobot?
13. What is a humanoid?
14. Explain what Artificial intelligence is.
Exercises
1. If you were going to start a new technology business, which of the emerging trends do you think would be the biggest
opportunity? Do some original research to estimate the market size.
2. What could privacy concerns be raised by collaborative technologies such as Zoom?
3. Do some research about the first handgun printed using a 3-D printer and report some of the concerns raised.
4. Write up an example of how the Internet of Things might provide a business with a competitive advantage.
5. How do you think wearable technologies could improve overall healthcare?
6. What potential problems do you see with a rise in the number of driverless cars? Do some independent research and write a
two-page paper that describes where driverless cars are legal and what problems may occur.

Wael Abdeljabbar
7. Seek out the latest presentation by Mary Meeker on “Internet Trends” (if you cannot find it, the video from 2019 is
available https://www.youtube.com/watch?v=G_dwZB5h56E at the time of this writing). Write a one-page paper
describing what the top three trends are, in your opinion.
8. Visit ghsa.org to find what level of support your state has given to autonomous vehicles. Write a summary of the different
levels of support for all states.

Wael Abdeljabbar
Index
A C Cost advantage
Access Control Cable 7.3: Competitive Advantage
5.9: Internet Connections CPU
Agile development methodology Chief Information Officer 2.2: Tour of a Digital Device
9.4: Managing Information Systems Creative Commons
10.2: Systems Development Life Cycle (SDLC)
Model Client And Servers 12.3: The Digital Millennium Copyright Act
AI engineers 5.5: Providing Resources in a Network Cyber Security
9.5: Emerging Roles Client server 7.5: Investing in IT for Competitive Advantage
Application Software 1: What Is an Information System? Cyber Security Analyst
1.3: The Role of Information Systems 9.5: Emerging Roles
ARPANET Cloud Computing Cybercrime
3: Software 6.5: Fighters in the War Against Cybercrime- The
5.2: A Brief History of the Internet
3.3: Cloud Computing Modern Security Operations Center
Artificial intelligence 5.12: The Changing Network Environment
7.5: Investing in IT for Competitive Advantage Network Trends
13.4: Future of Information Systems Cloud Services D
Authentication Data
7.4: Using Information Systems for Competitive
Advantage 1.2: Identifying the Components of Information
Systems
Autonomous Cloud System Engineer
Data Analytics
13.3: Internet of Things (IoT) 9.5: Emerging Roles
4.12: Sidebar- What is data science?
Availability Code of Ethics
Data Center
6.2: The Information Security Triad- 12.1: Introduction
5.12: The Changing Network Environment
Confidentiality, Integrity, Availability (CIA) Collaborative systems Network Trends
6.6: Security vs. Availability
7.4: Using Information Systems for Competitive Data Governance
Advantage
B 13.2: Collaborative 4.10: Enterprise Databases
Backup Communication Data Mining
6.3: Tools for Information Security 5.4: How has the Human Network Influenced you? 4.8: Data Mining
Bargaining power of customers Competitive Advantage Data Science
7.3: Competitive Advantage 1.4: Can Information Systems Bring Competitive 4.12: Sidebar- What is data science?
Bargaining power of suppliers Advantage? Data Types
7: Leveraging Information Technology (IT) for 4.4: Designing a Database
Competitive Advantage
Benefits of Data Warehousing 7.3: Competitive Advantage
Data Warehouse
4.7: Data Warehouse 7.5: Investing in IT for Competitive Advantage 4.7: Data Warehouse
4.8: Data Mining
Big Data Components of an information system
1.1: Introduction
Database Administrator
4.6: Big Data
9.3: Information-Systems Operations and
9.5: Emerging Roles Components of Information Systems Administration
Big Data Engineer 1: What Is an Information System?
1.2: Identifying the Components of Information
Database Vs. Spreadsheet
9.5: Emerging Roles
Systems 4.5: Sidebar- The Difference between a Database
Binary and a Spreadsheet
2.1: Introduction Computer Engineer
Databases
Bits 4.2: Examples of Data
2.1: Introduction Computer Operator
DBMS
Blockchain 4.9: Database Management Systems
Administration
13.4: Future of Information Systems Decision Support Systems
Computer Programmer
Bluetooth 7.4: Using Information Systems for Competitive
2.4: Removable Media Advantage
Computer Vision Engineer
Building Information Systems Designing A Database
9.5: Emerging Roles
9.2: The Creators of Information Systems 4.4: Designing a Database
Confidentiality
Business analytics developers
6.2: The Information Security Triad-
4.12: Sidebar- What is data science? Confidentiality, Integrity, Availability (CIA) 9.1: Introduction
Business Intelligence Connection To The Internet Developing Information Systems
4.12: Sidebar- What is data science? 5.9: Internet Connections 9: The People in Information System
Business Process Connections 9.2: The Creators of Information Systems
8.2: What Is a Business Process? 5.8: The Internet, Intranets, and Extranets
Device Security
Business Process Engineering Converging Network 6.1: Introduction
8.2: What Is a Business Process? 5.10: The Network as a Platform Converged
Devices
Business Process Management Networks 5.12: The Changing Network Environment
Network Trends
7.4: Using Information Systems for Competitive COPPA
Advantage 12.3: The Digital Millennium Copyright Act
Differentiation advantage
BYOD Copyright 7.3: Competitive Advantage
5.12: The Changing Network Environment 12.2: Intellectual Property
Diffusion of Innovation
Network Trends 9.7: Information-Systems Users – Types of Users
Digital Cooperation G Integrity
13.1: Introduction Global Competition 6.2: The Information Security Triad-
Digital Devices 7.5: Investing in IT for Competitive Advantage Confidentiality, Integrity, Availability (CIA)
2.1: Introduction Global Firm Intellectual Property
Digital Divide 11.2: The Global Firm 12.2: Intellectual Property
11.1: Introduction Globalization Interconnectivity
Digital Millennium Copyright Act 11.1: Introduction 5.8: The Internet, Intranets, and Extranets
12.3: The Digital Millennium Copyright Act Globalization Benefits Internet
Direct Cutover 11.2: The Global Firm 5.2: A Brief History of the Internet
5.6: LANs, WANs, and the Internet
10.4: Implementation Methodologies Globalization Challenges 5.8: The Internet, Intranets, and Extranets
Documenting a Business Process 11.2: The Global Firm Internet Connections
8.2: What Is a Business Process? GPU 5.9: Internet Connections
Drones 2.2: Tour of a Digital Device Internet growth
13.3: Internet of Things (IoT) Grade Hopper 13.1: Introduction
DSL 1.3: The Role of Information Systems Internet of things
5.9: Internet Connections Graphics Processing Unit 13.3: Internet of Things (IoT)
2.2: Tour of a Digital Device Internet Speed
E 11.2: The Global Firm
Early Adopters H Intranet
9.7: Information-Systems Users – Types of Users Hacktivists 5.8: The Internet, Intranets, and Extranets
Early Majority 6.2: The Information Security Triad-
Intrusion Detection System
9.7: Information-Systems Users – Types of Users Confidentiality, Integrity, Availability (CIA)
Electronic Data Interchange Hardware
1: What Is an Information System?
Investing in IT
7.4: Using Information Systems for Competitive
1.2: Identifying the Components of Information 7.5: Investing in IT for Competitive Advantage
Advantage
Electronic Waste Systems IoT
2: Hardware 2.5: Other Computing Devices
2.5: Other Computing Devices 5.5: Providing Resources in a Network 13.3: Internet of Things (IoT)
Encryption HDD ISO 9000
6.3: Tools for Information Security 2.3: Sidebar- Moore’s Law 8.2: What Is a Business Process?
End User Devices Health Information Technician ISO certification
5.12: The Changing Network Environment 9.5: Emerging Roles 8.2: What Is a Business Process?
Network Trends
HIPAA IT
Enterprise Databases 12.3: The Digital Millennium Copyright Act 7.2: The Productivity Paradox
4.10: Enterprise Databases
History of information systems IT does not matter
Enterprise Software 1: What Is an Information System? 1.4: Can Information Systems Bring Competitive
How do information systems work? Advantage?
ERP 1.1: Introduction IT doesn't matter
3: Software
7.2: The Productivity Paradox
ERP management I
9.4: Managing Information Systems
IDE J
Expert systems 10.3: Software Development JAD
Identity Theft 10.2: Systems Development Life Cycle (SDLC)
6.4: Threat Impact Model
Extranet
Inbound logistics
5.8: The Internet, Intranets, and Extranets
7.3: Competitive Advantage K
Information Security Killer App
F 3.2: Types of Software
6: Information Systems Security
Fair Use Knowledge Management
Information Security Officer
9.4: Managing Information Systems 4.11: Knowledge Management
Fault Tolerance
Information Security Triad
6.2: The Information Security Triad- L
FERPA Confidentiality, Integrity, Availability (CIA) Laggards
Information Systems 9.7: Information-Systems Users – Types of Users
firewall About the Book LAN
6.3: Tools for Information Security 1.1: Introduction 5.6: LANs, WANs, and the Internet
Firm infrastructure 7.4: Using Information Systems for Competitive 5.7: Network Representations
7.3: Competitive Advantage Advantage Late Majority
First Sale Doctrine Information systems ethics 9.7: Information-Systems Users – Types of Users
12.2: Intellectual Property 12.1: Introduction Laurie Hammond
Five Forces model Information Systems for Business About the Book
7.3: Competitive Advantage Preface Learning Systems
Five levels of automation Information Systems Functions 13.4: Future of Information Systems
13.3: Internet of Things (IoT) 9.6: Career Path in Information Systems
Four Levels of Information Systems Innovators M
7.4: Using Information Systems for Competitive 9.7: Information-Systems Users – Types of Users Machine Learning Engineeers
Advantage Input Devices 9.5: Emerging Roles
Functional Manager 2.4: Removable Media Mainframe
9.4: Managing Information Systems Integrated development environment 1.3: The Role of Information Systems
Mainframe era O Privacy
1: What Is an Information System? ODB 12.3: The Digital Millennium Copyright Act
Management Information Systems 4.9: Database Management Systems Privacy Concerns
7.4: Using Information Systems for Competitive OER Business Information System 4.11: Knowledge Management
Advantage Private Cloud
textbook
Marketing 3.3: Cloud Computing
Front Matter
7.3: Competitive Advantage Productivity Paradox
OER Information System textbook
Metadata 7: Leveraging Information Technology (IT) for
About the Book
4.10: Enterprise Databases Competitive Advantage
Online Learning 7.2: The Productivity Paradox
Mickey Mouse Protection Act
5.4: How has the Human Network Influenced you? Productivity Software
Operating Systems 3.2: Types of Software
Mobile Application Developers
3.2: Types of Software Programming Languages
9.5: Emerging Roles
Operations 3.4: Software Creation
Mobile Software
7.3: Competitive Advantage 10.3: Software Development
Oracle DBA Project Management Quality Triangle
Model K
9.3: Information-Systems Operations and 10.3: Software Development
1.3: The Role of Information Systems Administration
Modern security operations center Project managers
OS 9.4: Managing Information Systems
6.5: Fighters in the War Against Cybercrime- The 3.2: Types of Software
Modern Security Operations Center
Outbound logistics Q
Moore’s law
7.3: Competitive Advantage QoS
Output Devices 5.11: Reliable Network
Moore's law
2.4: Removable Media Qualitative Data
2: Hardware
Outsourcing 4.1: Introduction to Data and Databases
Motherboard
9.6: Career Path in Information Systems Quality Support Engineers
Overview of an Information system 9.3: Information-Systems Operations and
1: What Is an Information System? Administration
N Quantitative Data
Network Architecture
P 4.1: Introduction to Data and Databases
Parallel Operation Quantum computer
Network Diagrams
10.4: Implementation Methodologies 13.4: Future of Information Systems
Password Security
Network Reliability
6.3: Tools for Information Security R
Patent RAD
Network Representations
12.3: The Digital Millennium Copyright Act 10.2: Systems Development Life Cycle (SDLC)
5.7: Network Representations Model
Patent Troll
Network Safety RAM
5.14: Network Security 2.3: Sidebar- Moore’s Law
PC revolution
Network Security Relational Database
5.11: Reliable Network 4.2: Examples of Data
5.14: Network Security Peer To Peer
4.5: Sidebar- The Difference between a Database
Network Security Threats 5.5: Providing Resources in a Network
and a Spreadsheet
5.14: Network Security people and information systems removal media
Network Symbols 9.1: Introduction
2: Hardware
5.7: Network Representations Personal computer Robotics
Network Topology 1.3: The Role of Information Systems
Personally Identifiable Information Role of information systems
Network Trends 1: What Is an Information System?
6.4: Threat Impact
5.12: The Changing Network Environment 1.3: The Role of Information Systems
Network Trends Phased Implementation
Networking 10.4: Implementation Methodologies
S
1.2: Identifying the Components of Information PII Satellite
Systems 6.4: Threat Impact 5.9: Internet Connections
Networking Communication Pilot Implementation SCRUM
1: What Is an Information System? 10.4: Implementation Methodologies 10.2: Systems Development Life Cycle (SDLC)
Networking Trends In The Home Porter’s five forces Model
5.13: Technology Trends in the Home 7.3: Competitive Advantage SDLC model
Networks Porter's Five Forces 10.2: Systems Development Life Cycle (SDLC)
5.4: How has the Human Network Influenced you? 7: Leveraging Information Technology (IT) for Model
5.5: Providing Resources in a Network Competitive Advantage Security
5.6: LANs, WANs, and the Internet Porter's Value Chain 6.6: Security vs. Availability
Neural Networks 7: Leveraging Information Technology (IT) for Security Administrator
13.4: Future of Information Systems Competitive Advantage 9.5: Emerging Roles
Normalized Database Post PC Separate Networks
4.4: Designing a Database 1: What Is an Information System? 5.10: The Network as a Platform Converged
NoSQL Powerline Networking Networks
4.5: Sidebar- The Difference between a Database 5.13: Technology Trends in the Home Shadow IT
and a Spreadsheet PowerPoint Software 10.3: Software Development
3.2: Types of Software Smart Home Technology
Smart phones growth Systems Development Life Cycle Unstructured Decision
13.1: Introduction 10.2: Systems Development Life Cycle (SDLC) 7: Leveraging Information Technology (IT) for
Smartphones Model Competitive Advantage
SOC T V
6.5: Fighters in the War Against Cybercrime- The Tablet Value Chain
Modern Security Operations Center 2.5: Other Computing Devices 7.3: Competitive Advantage
Social Media growth Technical Certifications Video Communications
13.1: Introduction 9.6: Career Path in Information Systems 5.12: The Changing Network Environment
Software Technology Network Trends
1: What Is an Information System? 1: What Is an Information System? Video streaming
3: Software Technology development 13.2: Collaborative
5.5: Providing Resources in a Network
7.3: Competitive Advantage Virtual environment
Software component of Information Telecommunication 13.2: Collaborative
Systems 13.2: Collaborative Virtualization
1.2: Identifying the Components of Information Telework 3.3: Cloud Computing
Systems
13.2: Collaborative Vision Systems
Software Developer The Digital Divide 13.4: Future of Information Systems
11.3: The Digital Divide
Software Development Threat of new entrants W
7.3: Competitive Advantage Wael Abdeljabbar
Software Licenses Threat of substitutes About the Book
3.4: Software Creation
7.3: Competitive Advantage WAN
SQL Threat Vectors 5.6: LANs, WANs, and the Internet
4.3: Structured Query Language 5.7: Network Representations
5.14: Network Security
SSD Waterfall
Trademark
2.3: Sidebar- Moore’s Law 10.2: Systems Development Life Cycle (SDLC)
12.3: The Digital Millennium Copyright Act Model
Starbucks value chain model Trainer
Wearables
9.3: Information-Systems Operations and 13.1: Introduction
Strategy and internet Administration
Web 1.0
7.3: Competitive Advantage Transaction Processing System
Structured Decision 7.4: Using Information Systems for Competitive
7: Leveraging Information Technology (IT) for Advantage Web 2.0
Competitive Advantage Types of Users 1: What Is an Information System?
Supply Chain Management 9.7: Information-Systems Users – Types of Users
Wireless Broadband
3.2: Types of Software Types of users of information systems
Support Analyst 9: The People in Information System
9.1: Introduction
WISP
Administration
U World Wide Web
UAV
System Security 1.3: The Role of Information Systems
13.3: Internet of Things (IoT)
6.1: Introduction 5.2: A Brief History of the Internet
Systems Analyst Write computer programs
9.2: The Creators of Information Systems 3: Software
Glossary
Amdahls law | a law or source language) into another execution and transfers control
argument used to find the computer language (the target to a predetermined storage
maximum expected language), with the latter often location so that another
improvement to an overall having a binary form known as procedure can be followed or a
system when only part of the object code. new operation carried out.
system is improved. Computer performance | Machine Language | Set of
Analog data | Data that is Characterized by the amount of instructions executed directly by
represented in a physical way. useful work accomplished by a a computer’s central processing
computer system or computer unit (CPU).
Assembler | Computer program network compared to the time
Micro architecture | A
which translates assembly and resources used.
description of the electrical
language to an object file or
Digital data | Discrete, circuitry of a computer, central
machine language format.
discontinuous representations of processing unit, or digital signal
Assembly Language | Low- information or works, as processor that is sufficient for
level programming language for contrasted with continuous, or completely describing the
a computer, or other analog signals which behave in operation of the hardware.
programmable device, in which a continuous manner, or
Multicore | A type of
there is a very strong (generally represent information using a
architecture where a single
one-to-one) correspondence continuous function.
between the language and the physical processor contains the
architecture’s machine code Direct memory access | A core logic of two or more
instructions. method that allows an processors or packaged into a
input/output (I/O) device to single integrated circuit
Cache memory | Random send or receive data directly to
Multiprocessor | Refers to the
access memory (RAM) that a or from the main memory,
ability of a system to support
computer microprocessor can bypassing the CPU to speed up
more than one processor and/or
access more quickly than it can memory operations. The
the ability to allocate tasks
access regular RAM. This process is managed by a chip
between them.
memory is typically integrated known as a DMA controller
directly with the CPU chip or (DMAC).
Peripheral devices | Any
placed on a separate chip that
auxiliary device such as a
has a separate bus interconnect Input / Output | the process of
input or output, encompassing computer mouse or keyboard
with the CPU that connects to and works with
the devices, techniques, media,
the computer in some way.
Compiler | Computer program and data used
Other examples of peripherals
(or a set of programs) that
transforms source code written Interrupt | A hardware signal are image scanners, tape drives,
in a programming language (the that breaks the flow of program
microphones, loudspeakers, (I/O), and is also referred to as Sampling | The reduction of a
webcams, and digital cameras. polled I/O or software-driven continuous signal to a discrete
I/O. signal. A common example is
Polling | refers to actively the conversion of a sound wave
sampling the status of an Quantization | The process of (a continuous signal) to a
external device by a client mapping a large set of input sequence of samples (a discrete-
program as a synchronous values to a (countable) smaller time signal).
activity. Polling is most often set.
used in terms of input/output

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INFORMATION

Ly-Huong T. Pham, Tejal Desai-Naik, Laurie

LY-HUONG T. PHAM, PH.D., MBA

WAEL ABDELJABBAR, PH.D.

This text was compiled on 08/28/2021

Academic Senate for California Community Colleges

1: WHAT IS AN INFORMATION SYSTEM?

4.1: INTRODUCTION TO DATA AND DATABASES

2: INFORMATION SYSTEMS FOR STRATEGIC ADVANTAGE

7: LEVERAGING INFORMATION TECHNOLOGY (IT) FOR COMPETITIVE ADVANTAGE

3: INFORMATION SYSTEMS BEYOND THE ORGANIZATION

11: INFORMATION SYSTEMS BEYOND THE ORGANIZATION

Ly-Huong T. Pham, Tejal Desai-Naik, Laurie Hammond, &

Part 1: What Is an Information System?

Part 2: Information Systems for Strategic Advantage

Ly-Huong T. Pham, Tejal Desai-Naik, Laurie Hammond, &

Part 3: Information Systems beyond the Organization

For the Student

For the Instructor

Ly-Huong T. Pham, Tejal Desai-Naik, Laurie Hammond, &

1: WHAT IS AN INFORMATION SYSTEM?

3.1: INTRODUCTION TO SOFTWARE

4: DATA AND DATABASES

4.1: INTRODUCTION TO DATA AND DATABASES

5: NETWORKING AND COMMUNICATION

5.1: INTRODUCTION TO NETWORKING AND COMMUNICATION

6: INFORMATION SYSTEMS SECURITY

1.2: IDENTIFYING THE COMPONENTS OF INFORMATION SYSTEMS

1.3: THE ROLE OF INFORMATION SYSTEMS

1.4: CAN INFORMATION SYSTEMS BRING COMPETITIVE ADVANTAGE?

Defining Information Systems

Ly-Huong T. Pham, Tejal Desai-Naik, Laurie Hammond, &

Ly-Huong T. Pham, Tejal Desai-Naik, Laurie Hammond, &

Adobe Photoshop, Microsoft Excel, Google

Ly-Huong T. Pham, Tejal Desai-Naik, Laurie Hammond, &

Ly-Huong T. Pham, Tejal Desai-Naik, Laurie Hammond, &

Ly-Huong T. Pham, Tejal Desai-Naik, Laurie Hammond, &

The Early Years (1930s-1950s)

Ly-Huong T. Pham, Tejal Desai-Naik, Laurie Hammond, &

Figure 1.3.3 : Registered trademark of International Business Machines

Ly-Huong T. Pham, Tejal Desai-Naik, Laurie Hammond, &

Figure 1.3.5 : Registered trademark of SAP

The Internet, World Wide Web, and Web 1.0

Ly-Huong T. Pham, Tejal Desai-Naik, Laurie Hammond, &

Figure 1.3.6 : Registered trademark of Amazon Technologies, Inc.

Web 2.0 and e-Commerce

The Post PC and Web 2.0 World

Ly-Huong T. Pham, Tejal Desai-Naik, Laurie Hammond, &

The first computer program was

Ly-Huong T. Pham, Tejal Desai-Naik, Laurie Hammond, &

Figure 1.4.1 : Registered Trademark of Walmart, Inc.

Ly-Huong T. Pham, Tejal Desai-Naik, Laurie Hammond, &

Ly-Huong T. Pham, Tejal Desai-Naik, Laurie Hammond, &

Ly-Huong T. Pham, Tejal Desai-Naik, Laurie Hammond, &

Ly-Huong T. Pham, Tejal Desai-Naik, Laurie Hammond, &