What are Data, Information, and Knowledge? - Collect data about ...
Chapter 6 - Database Management and Business Intelligence
What are Data, Information, and Knowledge? -
Collect data about various subjects to transform it into information and knowledge. Information and knowledge have tangible value. Knowledge becomes an important asset. The flow of data and information to create knowledge is what creates value in organizations. The Data-Information-Knowledge Continuum
- Data are raw unorganized facts, numbers, pictures, and so on. - Information is data that have been organized and are useful to a person. - Knowledge is created when a person combines experience and judgement with information. - Applying knowledge is how business people create and add value to organizations. - Wisdom adds insight and ethics to the experience and professional judgement inherent in knowledge. - Wisdom enables business leaders to perceive the underlying meaning and nuances of a business situation and ensures that knowledge from all relevant sources is considered in the final decision. - Humans ---> wisdom and knowledge - Computers ---> information and data - The cost and complexity of the tasks to be accomplished increase as you move up the pyramid. - Information technology and systems assist primarily with collecting, collating, and analyzing data and information. Lifelong Knowledge Creation - Explicit knowledge is knowledge that is readily codified. - Tacit knowledge is knowledge that you gain through experience, insight, and discovery. - Data ---> Information ---> Knowledge Knowledge Work Activities - Knowledge work involves the discovery, analysis, transformation, synthesis, and communication of data, information, and knowledge. - Work flows are the steps you go through. - Work product is the outcome of your building efforts.
Chapter 6 - Database Management and Business Intelligence
Discovery: Finding Data, Information, or Knowledge - Discovery is the finding of data, information, and knowledge relevant to a task, problem, issue, or opportunity (the context). - Being with an idea to look for, then reflect on where information related to the task may exist, then retrieve relevant data from those various sources and assess its value to the decision at hand. - Strong internet research skills and awareness of limitations of this source of data can help create business value for your organization. Analysis: Investigating and Examining the Available Data, Information, and Knowledge - Analysis is breaking down the whole into its more discrete parts to better understand how it works. - Process mapping if you are analyzing a business process. - Quality assurance if you are analyzing product quality. - Performance testing if you are assessing fitness or standards. - Information ---> Knowledge ---> Wisdom Transformation: Organizing Discovery Results - Transformation is knowledge work that requires you to use the results of your analysis to deepen your understanding of the data and information. - IT can help you transform data regardless of who did the discovery and analysis work. - Larger organizations with many transactions, often use database software for storing and transforming data. - Transformation ---> Synthesis Synthesis: The Sum of the Parts - Synthesis allows you to interpret trends or patterns that seem to explain the past and the present, and may suggest courses of action likely to favorable influence the future. - When correlated and synthesized into a discernible pattern, there may be a potential terrorist threat to deal with. - While systems can provide the summary information, only people have the ability to put this information into the proper context and draw conclusions from it. - Synthesis ---> Communication Communication: Sharing Analysis with Others
Chapter 6 - Database Management and Business Intelligence
- To help your employer create business value, you must have strong communication skills. - Communication is the ability to share you analysis, ideas, and solutions with others. - Communication technology includes messages such as email and instant messaging. Databases: The Primary Data Storage for Organizations - All business information systems rely on the use and storage of data. - The primary technology used to store, manage, and allow efficient access to data is the database. - A database consists of interrelated data that are stored in files and organized so that computer programs can quickly and easily access specific pieces of data. - A database management system (DBMS) is a collection of software that allows users to create and work with a database. - A database and a DBMS make up a database system. - The people who create and manage the database, sometimes known as database administrators (DBA), use the tools in the DBMS to do their work. The Data Hierarchy -
To organize data in a database, most users rely on the data hierarchy. The data hierarchy organizes stored data in increasing levels of complexity. Database ---> File (Table) ---> Record ---> Field ---> Character ---> Bit A specific combination of bits represents each data character. A combination of characters representing a data item, such as a name or a price, is known as a field. - The next higher level of the data hierarchy stores collections of fields known as records. - At the next level up, the data hierarchy assembles records into a collection called a table or file. Database System Advantages: - The organization of the data is independent of any one software application. - The organization of the data reduces data redundancy. - The DBMS can include features for maintaining the quality of the data, handling security, and synchronizing access by simultaneous users. - The database system allows for capabilities such as improved data access, allowing different views of the data for different users, and report generation.
Chapter 6 - Database Management and Business Intelligence
These advantages improve the accuracy of the data stored (data integrity), as well as increase its use. Relational Data Model - Relational data model are databases store information about entities, such as suppliers and products for a retailer, and the relationships between those entities. - Relational database management systems (RDBMS) - A record consists of one or more fields that hold data about an instance of an entity. - The data values in the fields often describe an instance of an entity are called attributes. - The product and the vendor tables each store one field that has a unique value for each record, called the primary key. - When a second table uses the primary key of one table as a reference field in its table, the field is called a foreign key. - A query is a method for asking a question of a database. - Structured Query Language provides general rules for formulating the queries on relational databases. Designing a Relational Database Data Modeling - Data modeling is the process of analyzing the data required by the processes of an organization to support it both operationally and strategically. - Are often the first, high level step in designing a relational database. - Products include a data dictionary, which documents the origin, format, and meaning of the data and other more detailed models. Entity-Relationship Diagram and Logical Data Model - The entity-relationship diagram (ERD) and the logical data model are the two most commonly used models for designing the organization of a relational database. - The ERD indicates the entities and relationships for the data that the IS will store. - The logical data model then translates the ERD into a diagram of the tables in the database. Data Flow Diagram
Chapter 6 - Database Management and Business Intelligence
- Data flow diagram (DFD) is a traditional IS model that depicts how data move or flow through a system: 1) The external entities that send input or receive output from the system. 2) Processes that show activities that move or transform data. 3) Data stores that usually correspond to tables in the data model. 4) Data flows that connect the components. ← Storing and Accessing Data, Information, and Knowledge Data Warehouses - A data warehouse is a means of storing and managing data for information access, typically composed of data from one or more transaction databases. - Consists of transaction data, cleaned and reconstructed to fit the data warehouse model and to support queries, summary reports, and analysis. - A data mart extracts and reorganizes subject-area-specific data to allow business professionals to focus on a specific subject area. - Data warehouses provide support for organizing multidimensional data, which are based on two or more characteristics, such as time and place. - Allows businesses to more easily identify trends. - Three dimensions: store, product, and fiscal quarter. - Slicing-and-dicing is the process of cutting off portions of the data until the needed information is obtained. 1. 2. 3.
4.
Automatic production of standard reports and queries Queries against summary or detailed data Data mining in detailed data a. Data visualization is organizing and presenting data in ways that allow humans to spot and analyze the patterns better. Interfacing with other applications and data stores Business Intelligence
- Business intelligence (BI) is a process for gaining competitive advantage through the intelligent use of data and information in decision making. - Key part of a corporate information strategy. - Better decisions. Using IT to Support Business Intelligence
Chapter 6 - Database Management and Business Intelligence
Action - Decision BI and OLAP - Analysis Data warehouse - Organization Transaction processing systems - Acquisition - Tactical decisions, operational decisions, strategic decisions
What are Data, Information, and Knowledge? -
Collect data about various subjects to transform it into information and knowledge. Information and knowledge have tangible value. Knowledge becomes an important asset. The flow of data and information to create knowledge is what creates value in organizations. The Data-Information-Knowledge Continuum
- Data are raw unorganized facts, numbers, pictures, and so on. - Information is data that have been organized and are useful to a person. - Knowledge is created when a person combines experience and judgement with information. - Applying knowledge is how business people create and add value to organizations. - Wisdom adds insight and ethics to the experience and professional judgement inherent in knowledge. - Wisdom enables business leaders to perceive the underlying meaning and nuances of a business situation and ensures that knowledge from all relevant sources is considered in the final decision. - Humans ---> wisdom and knowledge - Computers ---> information and data - The cost and complexity of the tasks to be accomplished increase as you move up the pyramid. - Information technology and systems assist primarily with collecting, collating, and analyzing data and information. Lifelong Knowledge Creation - Explicit knowledge is knowledge that is readily codified. - Tacit knowledge is knowledge that you gain through experience, insight, and discovery. - Data ---> Information ---> Knowledge Knowledge Work Activities - Knowledge work involves the discovery, analysis, transformation, synthesis, and communication of data, information, and knowledge. - Work flows are the steps you go through. - Work product is the outcome of your building efforts.
Chapter 6 - Database Management and Business Intelligence
Discovery: Finding Data, Information, or Knowledge - Discovery is the finding of data, information, and knowledge relevant to a task, problem, issue, or opportunity (the context). - Being with an idea to look for, then reflect on where information related to the task may exist, then retrieve relevant data from those various sources and assess its value to the decision at hand. - Strong internet research skills and awareness of limitations of this source of data can help create business value for your organization. Analysis: Investigating and Examining the Available Data, Information, and Knowledge - Analysis is breaking down the whole into its more discrete parts to better understand how it works. - Process mapping if you are analyzing a business process. - Quality assurance if you are analyzing product quality. - Performance testing if you are assessing fitness or standards. - Information ---> Knowledge ---> Wisdom Transformation: Organizing Discovery Results - Transformation is knowledge work that requires you to use the results of your analysis to deepen your understanding of the data and information. - IT can help you transform data regardless of who did the discovery and analysis work. - Larger organizations with many transactions, often use database software for storing and transforming data. - Transformation ---> Synthesis Synthesis: The Sum of the Parts - Synthesis allows you to interpret trends or patterns that seem to explain the past and the present, and may suggest courses of action likely to favorable influence the future. - When correlated and synthesized into a discernible pattern, there may be a potential terrorist threat to deal with. - While systems can provide the summary information, only people have the ability to put this information into the proper context and draw conclusions from it. - Synthesis ---> Communication Communication: Sharing Analysis with Others
Chapter 6 - Database Management and Business Intelligence
- To help your employer create business value, you must have strong communication skills. - Communication is the ability to share you analysis, ideas, and solutions with others. - Communication technology includes messages such as email and instant messaging. Databases: The Primary Data Storage for Organizations - All business information systems rely on the use and storage of data. - The primary technology used to store, manage, and allow efficient access to data is the database. - A database consists of interrelated data that are stored in files and organized so that computer programs can quickly and easily access specific pieces of data. - A database management system (DBMS) is a collection of software that allows users to create and work with a database. - A database and a DBMS make up a database system. - The people who create and manage the database, sometimes known as database administrators (DBA), use the tools in the DBMS to do their work. The Data Hierarchy -
To organize data in a database, most users rely on the data hierarchy. The data hierarchy organizes stored data in increasing levels of complexity. Database ---> File (Table) ---> Record ---> Field ---> Character ---> Bit A specific combination of bits represents each data character. A combination of characters representing a data item, such as a name or a price, is known as a field. - The next higher level of the data hierarchy stores collections of fields known as records. - At the next level up, the data hierarchy assembles records into a collection called a table or file. Database System Advantages: - The organization of the data is independent of any one software application. - The organization of the data reduces data redundancy. - The DBMS can include features for maintaining the quality of the data, handling security, and synchronizing access by simultaneous users. - The database system allows for capabilities such as improved data access, allowing different views of the data for different users, and report generation.
Chapter 6 - Database Management and Business Intelligence
These advantages improve the accuracy of the data stored (data integrity), as well as increase its use. Relational Data Model - Relational data model are databases store information about entities, such as suppliers and products for a retailer, and the relationships between those entities. - Relational database management systems (RDBMS) - A record consists of one or more fields that hold data about an instance of an entity. - The data values in the fields often describe an instance of an entity are called attributes. - The product and the vendor tables each store one field that has a unique value for each record, called the primary key. - When a second table uses the primary key of one table as a reference field in its table, the field is called a foreign key. - A query is a method for asking a question of a database. - Structured Query Language provides general rules for formulating the queries on relational databases. Designing a Relational Database Data Modeling - Data modeling is the process of analyzing the data required by the processes of an organization to support it both operationally and strategically. - Are often the first, high level step in designing a relational database. - Products include a data dictionary, which documents the origin, format, and meaning of the data and other more detailed models. Entity-Relationship Diagram and Logical Data Model - The entity-relationship diagram (ERD) and the logical data model are the two most commonly used models for designing the organization of a relational database. - The ERD indicates the entities and relationships for the data that the IS will store. - The logical data model then translates the ERD into a diagram of the tables in the database. Data Flow Diagram
Chapter 6 - Database Management and Business Intelligence
- Data flow diagram (DFD) is a traditional IS model that depicts how data move or flow through a system: 1) The external entities that send input or receive output from the system. 2) Processes that show activities that move or transform data. 3) Data stores that usually correspond to tables in the data model. 4) Data flows that connect the components. ← Storing and Accessing Data, Information, and Knowledge Data Warehouses - A data warehouse is a means of storing and managing data for information access, typically composed of data from one or more transaction databases. - Consists of transaction data, cleaned and reconstructed to fit the data warehouse model and to support queries, summary reports, and analysis. - A data mart extracts and reorganizes subject-area-specific data to allow business professionals to focus on a specific subject area. - Data warehouses provide support for organizing multidimensional data, which are based on two or more characteristics, such as time and place. - Allows businesses to more easily identify trends. - Three dimensions: store, product, and fiscal quarter. - Slicing-and-dicing is the process of cutting off portions of the data until the needed information is obtained. 1. 2. 3.
4.
Automatic production of standard reports and queries Queries against summary or detailed data Data mining in detailed data a. Data visualization is organizing and presenting data in ways that allow humans to spot and analyze the patterns better. Interfacing with other applications and data stores Business Intelligence
- Business intelligence (BI) is a process for gaining competitive advantage through the intelligent use of data and information in decision making. - Key part of a corporate information strategy. - Better decisions. Using IT to Support Business Intelligence
Chapter 6 - Database Management and Business Intelligence
Action - Decision BI and OLAP - Analysis Data warehouse - Organization Transaction processing systems - Acquisition - Tactical decisions, operational decisions, strategic decisions
