Bwerei.

Teinabo S11212122

Chapter 2
Information Systems, IT Infrastructure, and The Cloud
Review Questions
2.1 Information System (IS) Concepts and Classification
1. Name the six components of an IS.
1. Hardware
2. Software
3. People
4. Procedures
5. Network
6. Data
2. Describe the differences between data, information, knowledge and wisdom?
• Data describes products, customers, events, activities, and transactions that are recorded,
classified, and stored.
• Information is data that have been processed, organized, or put into context with meaning
and value to the recipient. It is often organized in a way that is useful and understandable.
• Knowledge is a deeper level of understanding derived from information. It applies
understanding, experience, accumulated learning, and expertise to current problem.
• Wisdom is a collection of values, ethics, moral codes, and prior experiences that form an
evaluated understanding or commonsense judgment.
In summary, data is the building block, information is the organized data, knowledge is the
application of information, and wisdom is the insightful use of knowledge.
3. Define MIS and DSS and give an example of each.
Management Information system refers to a General-purpose reporting system that provide manager
for tracking operations, monitoring, and control. Also, helps generates reports and provides data
analysis to support decision-making. For example, Periodic: reports created or run according to a pre-
set schedule. Exception: generated only when something is outside the norm.
DSS is a knowledge-based system used by senior managers to facilitate the creation of knowledge and
allow its integration into the organization. It helps managers analyse information from sources and
make decision based on that analysis. For example, Ad hoc, or data from customer survey (on demand
report are unplanned reports), market research etc.

2.2 IT Infrastructure, IT Architecture and Enterprise Architecture

1. What is the purpose of the IT infrastructure?
The IT infrastructure is used to develop, test, operate, manage and support IT services for an
organization.
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2. What is the purpose of an enterprise architecture?

 Enterprise architecture reviews all the information systems across all departments in an
organization to develop a strategy to organize and integrate the organization’s IT
Infrastructures
 Looks after the going concern IT structures.
3. What are the business benefits of an EA? Explain why it is necessary to ensure that an EA
maintains alignment between IT and business strategy?
o Cuts IT costs; increases productivity with information, insight, and ideas

o Determines competitiveness, flexibility, and IT economics

o Aligns IT capabilities with business strategy to grow, innovate, and respond to market
demands
o Reduces risk of buying or building systems and enterprise apps

4. What four categories of KPIs are typically used to measure the success of an EA? Give two
examples of each.
• Key Performance Indicators (KPIs) are a set of quantifiable measures used to evaluate
factors that are critical to the success of an organization.
KPIs help reduce the complex nature of EA performance to a small number of understandable
measures such as capabilities, operational performance, project performance, and financial
performance
5. What is the difference between on-premise data centers and cloud computing?
 On-premises data center also refers to a physical facility that houses large numbers of
network servers used for the storage of data. Whereas, Cloud computing uses the Internet and
private networks to access, share, and deliver computing resources e.g drop box.
2.4 Virtualization and Virtual Machines
1. What are the main types of XaaS?
1. Software as a Service (SaaS) -- on-demand computing and hosted services. Instead of
buying and installing expensive packaged enterprise applications, users can access software
applications over a network, using an Internet browser
2. Platform as a Service (PaaS) -- a standard unified platform for developing, testing, and
deploying software over the Web
3. Infrastructure as a Service (IaaS) -- a way of delivering servers, storage, networks,
workload balancers, and OSs as an on-demand service
4. Data as a Service (DaaS) – an information provision and distribution model in which data
files (including text, images, sounds, and videos) are made available to customers over a
network by a service provider.
5. Technology solutions as a service (TSaaS) – combines software, hardware, networks, and
telecommunications to provide specialized technology solutions that allow companies to
adopt new technologies and transform their business.
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2. What are the advantages of using cloud computing?

 Services made available to users on demand via the Internet from the servers of a cloud
computing provider instead of being accessed through an organization’s on-premises servers.

 The cloud computing model for on-demand delivery of and access to various types of
computing resources also extends to the development of business apps.

Reflect: Critical Thinking Questions

1. Assume you had:
a. A tall ladder with a sticker that listed a weight allowance only 5 pounds more than you
weighed. You know the manufacturer and model number.
b. Perishable food with an expiration date 2 days into the future.
c. A checking account balance that indicated you had sufficient funds to cover the balance due
on an account.
In all three cases, you cannot trust the data to be correct. The data could be incorrect by about 20
percent. How might you find the correct data for each instance? Which data might not be possible to
verify? How does dirty data impact your decision making?

 In the given scenarios where the data may not be trustworthy, there are ways to verify the
correctness of each instance:
a. Tall ladder weight allowance:
To verify the weight allowance of the ladder, you could potentially contact the manufacturer directly
with the specific model number and ask for the accurate weight allowance information. Also, look for
other sources such as product manuals, reviews, or specifications provided by third-party retailers to
cross-reference the information.
b. Perishable food expiration date:
For perishable food items with a questionable expiration date, you could physically inspect the food
for signs of spoilage or use additional resources such as online databases or mobile applications that
provide information on the shelf life of various food items. You could also contact the retailer or
manufacturer for clarification.
c. Checking account balance:
To confirm the accuracy of your checking account balance, you could compare your balance with
other sources of financial information, such as bank statements, online banking portals, or contact
your bank directly to verify the current balance. You could reconcile transactions and account
activities to ensure the balance is correct.
Data that might not be possible to verify:
In scenarios where data cannot be directly confirmed, such as perishable food items that do not show
visible signs of spoilage or incorrect account balances due to banking errors, it may be challenging to
validate the accuracy of the information.
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 Impact of dirty data on decision-making:

Dirty data, which refers to inaccurate, incomplete, or inconsistent data, can significantly impact
decision-making processes. In the given examples, relying on incorrect data could lead to adverse
outcomes such as safety risks when using the ladder beyond its weight allowance, consuming spoiled
food, or overdrawing funds from a checking account. Uncertain or inaccurate data can lead to poor
decisions, financial losses, legal issues, or safety concerns, underscoring the importance of verifying
data accuracy before making decisions.
2. Why is it important for data to be standardized? Give an example of unstandardized data.
 Standardizing data is crucial for several reasons, including:
1. Consistency: Standardized data ensures uniformity and consistency across different systems,
applications, and processes. This consistency makes it easier to compare, analyze, and integrate data
from various sources without errors or discrepancies.
2. Interoperability: Standardized data enables different systems and software applications to
communicate and exchange information seamlessly. It allows for data interoperability, simplifying
data sharing and integration.
3. Data Quality: Standardization helps improve data quality by reducing errors, redundancies, and
inconsistencies. It ensures that data is accurate, up-to-date, and reliable for making informed
decisions.
4. Efficiency: Standardized data streamlines data management processes, data entry, and data
retrieval. It simplifies data processing tasks, reduces manual intervention, and enhances operational
efficiency.
 Example of unstandardized data:
An example of unstandardized data is the representation of dates in different formats across systems
or databases. For instance, one system may use the format "dd/mm/yyyy," while another system may
use "mm/dd/yyyy." This inconsistency in date formats can lead to confusion, errors in data analysis,
and challenges in data integration. standardizing date formats (e.g., using the ISO 8601 standard
"yyyy-mm-dd") ensures uniformity and consistency in date representation across various systems and
applications.
3. What are the functions of data centers?

 Enable efficient operation

 Data management and innovation
 Network connectivity
 Data storage and management
 Data processing and Analytics etc.