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BUSINESS - refers to an economic activity electronic devices within an individual
that involves the purchase/procurement, person's workspace. It provides data
manufacture/production, sale/exchange transmission among devices such as and distribution of goods and services with computers, smartphones, tablets and a motive to earn profits and satisfy personal digital assistants. customers needs. LOCAL AREA NETWORK (LAN) - to a COMMERCE - refers to the exchange of group of computers and peripheral goods and services between two or more devices that share a common entities. It typically involves buying and communications line or wireless link to a selling server within a distinct, limited area. things of value. Commerce can take place between businesses, between consumers, CAMPUS AREA NETWORK (CAN) - to a or between businesses and consumers. computer network made up of an interconnection of local area networks ELECTRONIC BUSINESS - refers to any (LANs) within a limited geographical area. method of utilizing digital information and communication METROPOLITAN AREA NETWORK technologies to support or streamline (MAN) - to a computer network that business processes from preparation to connects computers within a metropolitan implementation. area, which could be a single large city, multiple cities and towns, or any given Computer Network is a system that large area with multiple buildings. connects two or more computing devices for transmitting and sharing RADIO ACCESS NETWORK (RAN) - to a information or resources. network infrastructure that connects individual devices to other parts of a CATEGORY OF COMPUTER NETWORK network through radio connections. It ● Geographical Scale resides between the user equipment, such ● Organizational Scope as a mobile phone, a computer or any remotely controlled machine, and provides NETWORK STRUCTURE PER the connection with its core network. GEOGRAPHICAL SCALE NANOSCALE NETWORK (NANO) - to a WIDE AREA NETWORK (WAN) - to set of interconnected nanomachines communication networks that span a wider which are able to perform only very simple geographical area such as across cities, tasks such as computing, data storing, states, or countries (global). sensing and actuation. Intranet is a computer network for sharing BODY AREA NETWORK (BAN) - to a information, easier communication, wireless network of wearable computing collaboration tools, operational systems, devices which may be embedded inside and other computing services within an the body as implants, or thru the use of organization, usually to the exclusion of wearable technologies or mobile sensor access by outsiders. devices. Internet is the interconnection of multiple PERSONAL AREA NETWORK (PAN) - to computer networks allowing any pair of a computer network for interconnecting device in the connected network to ● Reduced cost and time of order exchange messages and information. processing. ● Simpler, faster and cheaper supply Extranet is a controlled private network chain management. that allows access to partners, vendors ● Quick reaching of target customers and suppliers or an authorized set of for small- and medium-sized customers – normally to a subset of the enterprises (SMEs). information accessible from an ● User-friendly ordering systems. organization's intranet. DISADVANTAGES Reach simply means the number of ● Lack of privacy of e-transactions. people, at home or at work, exchanging ● Unsecured use of the Internet information. (e.g., presence of viruses, hackers, and so on. Richness is defined by three aspects of ● Depersonalized shopping. the information itself. THREATS Bandwidth – the amount of information ● Servers containing important files that can be moved from sender to receiver and customer information being in a given time. stolen. ● Imposters duplicating e-commerce Customization – the degree to which the sites to steal customers’ money. information can be customized ● Hackers attempting to steal customer information or mess up Interactivity – the aspect of engaging to a the site. conversation between two or more parties ● Authorized users with hidden motives attacking e-commerce STRATEGIC RISKS - Inappropriate systems and/or selling information approaches and execution resulting to to competitors. wrong decision making to invest FEATURES OF E-COMMERCE PRACTICAL RISKS - Poor customer ● INFORMATION DENSITY service, unsecured systems, data privacy ● INTERACTIVITY concerns, issues with online orders, etc. ● RICHNESS ● UBIQUITY ELECTRONIC COMMERCE - to the ● GLOBAL REACH & SECURITY buying and selling of goods or services ● UNIVERSAL STANDARDS using the internet, and the transfer of money and data to execute these BUSINESS MODELS OF E-COMMERCE transactions. ● Business-to-Business (B2B) - business transactions between ADVANTAGES OF E-COMMERCE different business organizations. ● Efficient transactions done anytime ● Business-to-Consumer (B2C) - anywhere. business transactions between a ● Quick electronic funds transfer. business organization and ● Convenient buying or selling from consumers wherein the business home or place of business. sells goods/services to a consumer. ● Consumer-to-Consumer (C2C) - ● Privacy business transactions between ● Availability different consumers ● Ubiquity ● Consumer-to-Business (C2B) - ● Reachability business transactions between a ● Convenience consumer and a business organization wherein the business M-COMMERCE FORCES pays for the goods/services offered ● Personalized Services by a consumer. ● iMode Access Platforms ● Business-to-Government (B2G) - ● Wireless Application Protocol business transactions between a (WAP) business organization and the ● Fourth (4th) and Third (3rd) government wherein the business Generation Technologies sells goods/services to the government E-BUSINESS ● Government-to-Business (G2B) - ● to performing all type of business refers to the relationship between activities through internet. businesses and government, ● Is a broad concept and is where government agencies of considered as a superset of various levels provide services or E-Commerce. information to a ● Business transactions are business entity via government carried out. portals or with the help of other IT ● Transactions are not limited. solutions. ● Includes activities like procurement ● Government-to-Citizen (G2C) - of raw materials/goods, customer refers to the relationship between education, supply activities buying the government and its citizens, and selling product, making where government agencies of monetary transactions, etc. over various levels provide services or the internet. information to its people via ● Requires the use of multiple government portals or with the help websites, CRMs, ERPs that of other IT solutions. connect different business processes. E-COMMERCE SECURITY SYSTEMS ● Is more appropriate in Business ● Auditability to Business (B2B) ● Authenticity ● Covers internal as well as ● Availability external business ● Confidentiality process/activities. ● Encryption ● Involves the use of internet, ● Integrity intranet or extranet. ● Non-repudiation E-COMMERCE MOBILE COMMERCE - to the delivery of ● to performing online commercial e-commerce capabilities directly to mobile activities and transactions over service users by wireless technology. the internet. ● Is a narrow concept and it is BENEFITS OF M-COMMERCE considered as a subset of ● Security E-Business. ● Commercial transactions are ● R.A. 10173 – Data Privacy Act of carried out. 2012 ● Transactions are limited. ● Consumer Protection Regulation – ● Includes activities like buying and Transactions through E-Commerce selling product, making monetary ● Tax Guidelines for E-Commerce transactions etc. over the internet. Transactions ● Usually requires the use of only a website. FUNCTIONAL AND ENTERPRISE ● Is more appropriate in Business SYSTEMS to Customer (B2C) ● Covers outward/external Management Information System (MIS) is business process. designed to pull together and keep track ● Involves mandatory use of of the data from all the systems and internet. sources you use, and to make it available for you in one place. Properly collated and M-COMMERCE organized data can be used to accurately ● to mobile commerce. predict the most likely potential actions, ● Activities are performed with the and allow you to identify the most help of mobile devices like promising courses of action for the future smartphones, tablets, personal of your business digital assistant, etc. ● A subcategory of e-commerce EXAMPLES OF FUNCTIONAL MIS which does the same activities and SUBSYSTEMS transactions via mobile devices. ● Management / Top Management ● Location tracking capabilities is - Used mainly for strategic so good as mobile apps track and planning or for resource allocation. identify user locations with the help ● Logistics - Used for planning, of GPS technology, and Wi-Fi, control and distribution. among others. ● Marketing - Used for planning, ● Push notification can be sales forecast, or sales/customer achieved. analysis. ● Human Resources - Used for FACTORS TO CONSIDER IN planning, sales forecast, or IMPLEMENTING E-COMMERCE sales/customer analysis ● TAXES, LICENCES & PERMITS ● Finance & Accounting - Used for ● TRADEMARKS, PATENTS & financial and cost analyses, among COPYRIGHTS others. ● SHIPPING RESTRICTIONS ● INVENTORY USERS OF MIS IN RELATION TO ITS ● BUSINESS RESTRICTIONS ACTIVITIES ● PAYMENT CARD INDUSTRY ● Top Management - to users that (PCI) COMPLIANCE would check and analyze reports regularly, retrieve requests, and PHILIPPINE LAWS GOVERNING assist in the identification of E-COMMERCE problems and opportunities and ● R.A. 8792 – Electroni: Commerce decision-making. Act of 2000 ● Information Specialists - to users ▪ Thus, when a database processes a that would analyze information and transaction, it is either fully assist in planning and reporting. completed or not executed at all. If a ● Managers - to users that obtain single portion of the transaction fails, the data related to operations and whole transaction will fail. assist in scheduling, planning, or making decisions. CONSISTENCY ● Clerical Staff - to users that ▪ Ensures that only valid data following all handle direct transactions, process rules and constraints is the inputs, and answer various written in the database. inquiries. ▪ When a transaction results in invalid data, the database reverts MIS FOR DECISION-MAKING to its previous state, which abides by all ● STRUCTURED / customary rules and constraints. PROGRAMMABLE If and only if ▪ All inconsistent data is discarded, and all the rules of instantly recognizable transactions that might cause an decisions rules have been inconsistency are aborted and an error is specified in advance. As the rules created or transcribed into an error log. or decisions have been pre-specified, they can be handled ISOLATION by any lower-level personnel with ▪ Guarantees the individuality of each limited knowledge. transaction, and prevents them from being ● UNSTRUCTURED / affected from other transactions. UNPROGRAMMABLE If there ▪ Ensures that concurrent execution of was no pre-established decision transactions leaves the database in the procedure or role. same state that would have been obtained if the Transaction Processing System (TPS) transactions were executed sequentially. refers to an information system that captures and processes a company’s DURABILITY business transactions necessary to ▪ Enforces completed transactions, update data and support its basic guaranteeing that once each one of them operations. has been committed, it will remain in the system even in case of subsequent TRANSACTION PROCESSING SYSTEM failures. ● INPUT ▪ If a transaction is successful, all changes ● PROCESS generated by it are stored permanently. ● OUTPUT ● STORAGE TYPES OF TPS ● BATCH PROCESSING ▪ Interprets FEATURES OF A TPS sets, or batches, of data by ATOMICITY grouping items based on ▪ Atomicity is a property that ensures that similarities.▪ Batch processing can a database follows the create a time delay because it all or nothing rule. In other words, the reviews several sets of data database considers all transaction simultaneously, requiring more operations as one whole unit or atom. computing power. ▪ Examples include electric bills and credit inventory, sales and other business card transactions. processes ● ONLINE/REAL-TIME ● DOCUMENT-DRIVEN DSS Type PROCESSING ▪ Is a method to of information management system process transactions as they that uses documents to retrieve appear.▪ This helps prevent delays data. Enables users to search in processing and can provide a webpages or databases, or find more accurate result. specific search terms, such as ▪ Examples include reservations systems those related to policies and and point of sales terminals. procedures, meeting minutes and ● HYBRID PROCESSING▪ corporate records. Combination of batch and ● COMMUNICATION DRIVEN DSS online/real-time processing.▪ It Uses a variety of communication collects data upon entry but tools to allow more than one processes them in a specific period person to work on the same task. of time, or in intervals. Increases collaboration between users and the system; improves Customer Relationship Management overall efficiency and effectiveness (CRM) is a combination of business of a system. strategies, software and processes that ● KNOWLEDGE DRIVEN DSS Data enable companies to manage interactions resides in a continuously updated and build long-lasting relationships with knowledge base that’s maintained their customers. by a knowledge management system. Provides data to users COMPONENTS OF CRM SYSTEM that’s consistent with a company’s ● Marketing Automation business processes and ● Salesforce Automation knowledge base. ● Contact Center Automation ● MODEL-DRIVEN DSS Customized ● Geolocation Technology according to a predefined set of ● Workflow Automation user requirements. Used to ● Lead Management analyze different scenarios to meet ● Human Resource Management user requirements – for example, ● Analytics assisting with scheduling or ● Artificial Intelligence developing financial statements.
Decision Support System (DSS) is a OBJECTIVES FOR USING A DSS
computerized system that gathers and ● Make decision-making processes analyzes data, synthesizing it to produce easier and more effective. comprehensive information reports. ● Assist a decision-maker, but not replace him/her. DIFFERENT TYPES OF DSS ● Improve decision made for a ● DATA-DRIVEN DSS Makes company. decisions based on data from internal or external databases. COMPONENTS OF A DSS Uses data mining techniques to ● INPUTS discern trends and patterns for ● OUTPUT predicting future events. Often ● DECISION SUPPORT SYSTEM used to help make decisions about ● USER KNOWLEDGE & ● Installation of the system with EXPERTISE DECISIONS elaborate application/data integration Strategic Information System (SIS) is a ● Deployment options include: system that assists an organization in the on-premises or cloud hosted identification, acquisition, maintenance, use and disposition of its resources. BENEFITS OF ERP IN A BUSINESS ORGANIZATION TYPES OF SIS ● ERP creates a more agile ● FINANCIAL SYSTEMS company that adapts better to ● OPERATIONAL SYSTEMS change. ● STRATEGIC SYSTEMS ● ERP can improve data security in a closed environment. Vendor Management System (VMS) acts ● ERP provides increased as a mechanism for business to manage opportunities for collaboration. and procure staffing services temporary, ● ERP offers many benefits such as and, in some cases, permanent placement standardization of common services – as well as outside contract or processes, one integrated system, contingent labor. standardized reporting, improved key performance indicators (KPI), Accounting information system (AIS) is a and access to common data. structure that a business uses to collect, store, manage, process, retrieve, and DISADVANTESG OF USING AN ERP report its financial data to be used by SYSTEM various internal and external stakeholders. ● Customization can be problematic. ● Re-engineering business Human Resources Management System processes to fit the ERP system (HRMS) is a suite of software applications may damage competitiveness or used to manage human resources and divert focus from other critical related processes throughout the activities. employee lifecycle ● ERP can cost more than less integrated or less comprehensive Enterprise Resource Planning (ERP) is solutions. software designed to manage and ● Overcoming resistance to sharing integrate the functions of core business sensitive information between processes like finance, HR, supply chain departments can divert and inventory management in a single management attention. system. ● Integration of truly independent businesses can create CHARACTERISTICS OF AN ERP unnecessary dependencies. ● An integrated system ● Extensive training requirements ● Operates in (or near) real time take resources from daily ● A common database that supports operations. all the applications ● Harmonization of ERP systems ● A consistent look and feel across can be a mammoth task modules (especially for big companies) and requires a lot of time, planning, and money. availability, usability, integrity and VENDORS OF ERP security of the data in enterprise ● TIER 1 Refers to an extensive, systems, based on internal data highly customizable system standards and policies that also typically implemented by control data usage. multilocation, international ● IT GOVERNANCE Defined as the companies. ▪ They have massive processes that ensure the effective capabilities to handle big data at and efficient use of IT in enabling lightning speed custom an organization to achieve its programming resources to put very goals. Provides a structure for diverse company locations on one aligning IT strategy with business system. strategy. ● TIER 2 Refers to a mid-size ERP ● INFORMATION GOVERNANCE Is system that has some features of a comprehensive strategy and Tier 1, but at a lower cost and with strategic framework that some of the hand-holding benefits organizations use to manage of Tier 3 ▪ There are also Tier 2 information. This not only includes ERP systems owned by Tier 1 digital information but also physical companies. assets such as servers and ● TIER 3 Provides the most “niche” computers. solutions and usually the most personal support.▪ These smaller DATA GOVERNANCE FRAMEWORK & companies offer “modern ERP”, IMPLEMENTATION which is often developed around ● PEOPLE the needs of a specific type of Before implementing a data manufacturer. governance framework, owners or custodians of different data assets, IT GOVERNANCE, ETHICAL, AND or designated surrogates, involved SECURITY ISSUES IN INFORMATION in the governance program should TECHNOLOGY be identified. ● PROCESS GOVERNANCE - to the act or process of Once the structure is in place, data governing or overseeing the control and governance policies, data direction of something (such as a country standards, rules, controls and audit or an organization). Encompasses the procedures must be developed system by which an organization is and documented to establish controlled and operates, and the clarity on how governance is to be mechanisms by which it, and its people, carried out. are held to account. ● TECHNOLOGY Data governance software can be TYPES OF GOVERNANCE used to automate aspects of ● CORPORATE GOVERNANCE managing a governance program. Refers to the combination of rules, While data governance tools aren't processes and laws by which a mandatory framework businesses are operated, component, they support program regulated and controlled. and workflow management, ● DATA GOVERNANCE Refers to collaboration, development of the process of managing the governance policies, process organizations to create predictable IT documentation, and other functions environments and to deliver the best customer service possible to customers IT GOVERNANCE FRAMEWORK to a and clients by streamlining processes and type of framework that defines the ways identifying opportunities to improve and methods through which an efficiency. organization can implement, manage and monitor IT governance within an VULNERABILITY - Refers to a weakness organization. of an asset or control that can be exploited by one or more threats. ▪ An ITG framework typically provides ● Unguarded warehouse without any reference models forms of surveillance for: ● Use of unauthorized or pirated ✓ IT processes; software ✓ process inputs and outputs; ● Complicated user interface ✓ key process objectives; and, ● Default passwords not changed ✓ performance measurement techniques ● Absence of backup procedures
COMMONLY USED IT GOVERNANCE THREAT - Refers to a potential cause of
FRAMEWORKS an unwanted incident which may result in ● Australian Standard (AS) harm to a system or an organization. 8015:2005 ● Theft ● ISO/IEC 38500:2015 ● Lawsuit, virus/malware ● COBIT ● Failure of communication links ● IGPMM ● Clerical error during data input ● ITIL ● Flooding ● CMM RISK - to the potential that a given threat COBIT - Published by ISACA, Control will exploit vulnerabilities of an asset or Objectives for Information and Related group of assets and thereby cause harm Technologies (COBIT) is a to the organization. comprehensive framework of “globally accepted practices, analytical tools and Malware, short for “malicious software,” models” designed for governance and refers to any intrusive software developed management of enterprise IT. The main by cybercriminals (often called “hackers”) COBIT framework has been created to link to steal data and damage or destroy business goals with IT operations. It is computers and computer systems. done by providing certain information metrics as well as maturity models that COMMON EXAMPLES OF THREATS TO help integrate the responsibilities of the IT IT & IS and business aspects in an organization ● VIRUSES and check the progress. ▪ Refer to malwares attached to a document or file that supports macros to Information Technology Infrastructure execute its code and spread from host to Library (ITIL) is a set of practices for IT host. service management (ITSM) that focuses ▪ Once downloaded, the virus will lay on aligning IT services with the needs of dormant until the file is opened and in use. business. The goal of ITIL is for ▪ Viruses are designed to disrupt a provide appropriate advertisements to system’s ability to operate. As a result, you. viruses can cause significant operational ▪ Adware can redirect your browser to issues and data loss. unsafe sites, and it can even contain Trojan horses and spyware. ● WORMS ▪ Additionally, significant levels of adware Refer to malwares that rapidly replicates can slow down your system noticeably. and spreads to any device within the network. ● SPYWARE ▪ Unlike viruses, worms do not need host Refers to a malware that runs secretly on programs to disseminate. a computer and reports back to a remote ▪ A worm infects a device via a user. Rather than simply disrupting a downloaded file or a network connection device’s before it multiplies and disperses at an operations, spyware targets sensitive exponential rate. information and can grant remote access ▪ Like viruses, worms can severely disrupt to predators. the operations of a device and cause data ▪ Often used to steal financial or personal loss. information. A specific type of spyware is a keylogger, which records your keystrokes ● TROJANS to reveal passwords and personal Refers to a harmful piece of software that information. looks legitimate. Users are typically tricked into loading and executing it on their ● RANSOMWARE systems. After it is activated, it can Refers to a malware that gains access to achieve any number of attacks on the sensitive information within a system, host, encrypts that information so that the user ▪ Unlike viruses and worms, Trojans do cannot access it, and then demands a not reproduce by infecting other files nor financial payout for the data to be do they self-replicate. Trojans must spread released through user interaction such as opening an e-mail attachment or downloading and ● ROOTKIT running a file from the Internet. Refers to a type of clandestine software that enables hackers to remotely access ● BOTS OR BOTNETS and possibly control a computer ▪ A bot is a malicious software application undetected. designed to hijack and spread to various ▪ Rootkits can also conceal other malware, computer devices and create a network of like keyloggers or spyware. This type of bots (also called a botnet) that performs malware can affect a computer’s automated tasks on command without end performance and steal personal or user interaction. commercial data. ▪ This type of self-propagating malware ▪ Rootkits can be spread through phishing can also connect back to central servers emails, malicious attachments, or created by the malware bot instigators. compromised shared drives.
● ADWARE THEFT OF INTELLECTUAL PROPERTY -
Refers to a malicious software used to to the unauthorized use of intellectual collect data on your computer usage and property that is considered as a violation against intellectual property rights, which involves copyright and patents, among ● Ensure that the anti-virus software others. is up-to-date. ● Employ a firewall to protect IDENTITY THEFT - Refers to the action of networks. impersonating someone in order to ● Filter all e-mail traffic. acquire his/her information. This issue is ● Back-up critical data regularly. popular across ● Educate users about suspicious social media where a hacker can act like e-mails. someone else and access the latter’s ● Scan downloads from the Internet. account with the use of log-in credentials. ● Implement an information security policy. INFORMATION EXTORTION - to the ● Implement and monitor user and stealing of a business systems logs. organization’s information for a certain ● Create and report an incident amount of money. An example of response plan. information extortion is through the use of ● Restrict end-user access to ransomware where a hacker could lock systems. information and demand money for its unlocking. COMMON ISSUES IN INFORMATION TECHNOLOGY THEFT OF EQUIPMENT & ● PRIVACY INFORMATION - to the stealing of ● HACKING information and physical assets within an ● VIRUS organization. ● DATA ACCESS RIGHTS ● PLAGIARISM SABOTAGE - Sabotaging a company with ● ERGONOMY the use of technology could be through ● HEALTH ISSUES destroying their website which would lead to customer dissatisfaction.
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