Information System

Infrastructure
Introduction to E Business
• E-business, short for electronic business, refers to the use of digital
technologies, particularly the internet, to conduct various business
activities.
• In the context of Management Information Systems (MIS), e-business
involves integrating and leveraging electronic technologies to
streamline and enhance business processes.
• This includes online transactions, electronic communication, data
exchange, and other digital interactions to improve efficiency and
effectiveness in organizational operations.
• MIS plays a crucial role in supporting and managing the information
and technology components of e-business strategies.
Models of E Business
Categories of the internet based models or e business models

• Brokerage model
• Aggregator model
• Community model
• Subscription model
• Advertising model
• Infomediary model
• Value chain model
• Manufacturer model
• Affiliate model
Data processing
Data processing is the collection and manipulation of digital data
to produce meaningful information. Data processing is a form of
information processing, which is the modification of information in
any manner detectable by an observer.

Methods of data processing

• Manual method
• Computerized method
Steps of Data Processing
• Collection
• Preparation
• Input
• Processing
• Output and Interpretation
• Storage
Types of data processing
• Batch processing
• Online processing

Batch Processing System : An Batch processing system handles large

amounts of data which processed on a routine schedule. Processing
occurs after the economic event occurs and is recorded. It requires fewer
programming, hardware, and training resources. In this system programs
are scheduled through jobs. It allows sharing of programs and files.
Examples includes Inventory query, website shopping transaction, e-
Banking account withdrawal etc.
Advantages of Batch Processing System :
• Manages large repeated work easily.
• Repeated jobs are done fast
• Batch systems can work offline

Disadvantages of Batch Processing System :

• Difficult to debug batch systems
• Sometimes costly
• Waits for unknown time if error occurs with any job
Online System : An online processing system handles transactions in
real time and provides the output instantly. When any economic event
takes place then the processing occurs. It requires more number of
dedicated hardware resources, processing elements are required. In
this system programs are initiated through transactions. It does not
allow sharing of programs and files.

Examples includes are month end tax calculation, data transformation,

data analysis, data transformation etc.
Advantages of Online System :
• Useful for online money transactions
• Useful in online shopping
• Support and stability

Disadvantages of Online System :

• Millions of requests sometimes becomes difficult to handle
• lots of staff required to maintain inventory
• Hardware problems create big trouble
Transaction processing
A transaction processing system (TPS) is one such information system
that process data that records company transactions wherein a
transactions is an exchange between any two or more business units .
Features of TPS
• Rapid response
• Reliability
• Inflexibility
• Controlled processing
Types of transactions
Internal Transactions
Those transactions which occur at the time of internal working of the
company such as recruitment policy , promotion policy , production
policy , etc are referred to as internal transactions.

Example – when the accounts department orders stationary from the

purchase department then it is an internal transactions
External Transactions :
Those transactions which are related to external sources for
procurement are considered as external transactions.

Example - when a customer places an order for a product then it is an

external transaction .
Application Processing

• The application processing refers to the use of transaction data for

bringing out a particular status . One can change the number of
different files consisting of useful information by designing the
application .

• Applications can be designed for various purpose like for status

update and status triggered actions in related fields of applications .
An application can also be designed for the following functions

• Processing results
• Updating business status
• Triggering predefined actions
• Communicating with the other organisations which are mostly
affected .
Information system processing
• In an information system processing , the specialists to business are provided
by underlying design and structure.
• This design and structure would be different in the several business
organisations.

All business generally require the following :

• Trail balance
• Balance sheet
• Income statement
• Payable and receivables statement
• Expense analysis
• Hence the chart of account for every business would vary depending
on the type of business .
• An Information processing system takes information in one form and
processes or transforms the information into another form .

The key processing functions of an information system are as follows

• Process transaction
• Maintain master file
• Produce reports
• Process interactive support applications
Intranet and Extranet
• Intranet is owned by a single organization and is a tool for sharing
information throughout the organization.
• It is the type of Internet that is used privately. Since, intranet is a
private network so no one can use the intranet whose have not valid
username and password.
• In intranet, there are a limited number of connected devices as
compared to internet.
• Intranet is highly secure and has a small number of visitors. It is used
in order to get employee information, telephone directory etc.
• Extranet is owned by either a single or a many organization.
• It is managed on a contractual basis between organizations and is a
tool for sharing information between the internal members and
external members.
• Like intranet, it is also a private network so only those who have a
valid username and password can use the extranet.
• Extranet is used to check status, access data, send mail, place order
etc.
Difference between Intranet and Extranet
TQM of Information System
• Total quality management is a section under industrial engineering
that deals with process improvement , quality control ,best practices
in an organisation to improve the quality output of the overall
organisation .

• TQM Model is considered as an integrated system of principles ,

methods and best practices that will provide a framework for
organisations to strive for excellence in everything they do .
Seven basic statistical models for quality improvements

• Cause and effect diagram (Ishikawa or fishbone chart

• Check sheet
• Control charts
• Histogram
• Pareto chart
• Scatter diagram
• Stratification
Elements of TQM
• Customer oriented
• Complete engagement of staffs
• Process oriented
• Integrated system
• Strategic approach to TQM
• Continuous development plan
• Fact based decision making
• Communication
Networks

Computer networking refers to interconnected computing devices that

can exchange data and share resources with each other. These
networked devices use a system of rules, called communications
protocols, to transmit information over physical or wireless
technologies.
Components of a Network
Types of Networks
LAN
• The Local Area Network is a computer network which interconnects
the computer within the limited area such as a residence, school
laboratory, university campus or office building.
• LAN (Local Area Network) spans a relatively small area.
• In a wireless LAN, the users have unrestricted movement within the
coverage area.
• The wireless networks become popular in the residences and small
businesses just because of their easy installation.
• The network topology describes the layout of interconnections
between devices and network segments. The wide varieties of LAN
topologies are used at the data link layer and physical layer.
MAN

• The Metropolitan Area Network is a computer network

which is similar to the Local Area network but spans an
entire city or campus.

• In Metropolitan Area Network, we interconnect the user

with computer resources in a whole geographic area or
region. This Network is larger or broader that the Local
Area Network.
WAN

• The Wide Area Network is the telecommunication

network which extends over the large geographical area
for the primary purpose of computer networking. These
networks are often established with leased
telecommunication circuits.
• The WAN connects different smaller networks, including
the Local Area Network.
• The computers connected to the Wide Area Network are
often connected through public networks, such as
telephone systems. This Network can connect through
the leased lines or satellites.
PAN

• The Personal Area Network is used for interconnecting the devices

which are centered on a person’s workspace.

• This Network provides data transmission among devices such as

computers, smartphones, tablets, and personal digital assistants.
Data warehousing

• A data warehousing is a subject oriented , integrated non volatile ,

time varying collection of data in support of its decision making
process .

• The data warehouse acts like a storage place of information which can
be accessed by various applications and shared by them .

• Business information and standard reports and queries can be stored

in data warehouse.
Three Tier Data Warehouse
Architecture
Advantages of data
warehousing
• Provide cost effective decision making
• Better enterprise intelligence
• Enhanced customer service
• Business re engineering
• Information system re engineering
Network Topology
Basic Network Topologies

• Bus topology
• Ring topology
• Star topology
• Mesh topology
• Tree topology
Advantages to computer networks
• Resource sharing
• High reliability
• Saving money
• Scalability
• Communication medium
• Increased productivity
Disadvantages of computer
networks
• Crashes

• Data security

• Privacy
Applications of computer networks
• Business applications
• Home applications
• Mobile applications
 RDBMS
The software used to store, manage, query, and retrieve
data stored in a relational database is called a relational
database management system (RDBMS).

The RDBMS provides an interface between users and

applications and the database, as well as administrative
functions for managing data storage, access, and
performance.
World Wide Web (WWW)
Client Server Architecture
MIS in Web Environment
 Security in E Business
Internet security refers to security designed to protect
systems and the activities of employees and other users
while connected to the internet, web browsers, web apps,
websites, and networks. Internet security solutions
protect users and corporate assets from cybersecurity
attacks and threats.
Need for Internet Security
Confidentiality
Integrity
Availability
Security Threats
• Computer virus
• Adware
• Spyware
• Denial of services
• Malware
• Ransomware
• Identity theft
• Phishing
• SQL injection attacks
Electronic Payment System

Electronic Payment System (e-Payment) is a type of

payment conducted via electronic or online mediums.
Online payment systems eliminate the need for cash or
cheque payments. It is a unique payment method that
allows you to conduct online transactions via digital
wallets, bank cards and internet banking systems. The
funds are directly debited from your bank account.
Impact of web on strategic
management
• Access to information
• Competitive analysis
• Customer insights
• E Commerce and online sales
• Digital marketing and branding
• Communication and collaboration
• Globalization
• Cybersecurity