Essentials of Management Information Systems, 6e
Chapter 6
Chapter 6 Hardware and Software in the Enterprise
Hardware and Software in the
Enterprise
6.1
© 2005 by Prentice Hall
Essentials of Management Information Systems, 6e
Chapter 6 Hardware and Software in the Enterprise
Objectives
1. What computer processing and storage
capability does our organization need to handle
its information and business transactions?
2. What arrangement of computers and computer
processing would best benefit our organization?
3. What kinds of software and software tools do we
need to run our business? What criteria should
we use to select our software technology?
6.2
© 2005 by Prentice Hall
Essentials of Management Information Systems, 6e
Chapter 6 Hardware and Software in the Enterprise
Objectives
•
What new software technologies are available?
How would they benefit our organization?
•
How should we acquire and manage the firm’s
hardware and software assets?
6.3
© 2005 by Prentice Hall
Essentials of Management Information Systems, 6e
Chapter 6 Hardware and Software in the Enterprise
Management Challenges
1. The centralization versus decentralization
debate.
2. The application backlog.
6.4
© 2005 by Prentice Hall
Essentials of Management Information Systems, 6e
Chapter 6 Hardware and Software in the Enterprise
Computer Hardware and Information Technology Infrastructure
Hardware components of a computer system
Figure 6-1
6.5
© 2005 by Prentice Hall
Essentials of Management Information Systems, 6e
Chapter 6 Hardware and Software in the Enterprise
Computer Hardware and Information Technology Infrastructure
The Computer System
Bit
• Binary digit
• Represents 0 or 1
Byte
• String of eight bits
• Stores one number, symbol, character, part of
picture
6.6
© 2005 by Prentice Hall
Essentials of Management Information Systems, 6e
Chapter 6 Hardware and Software in the Enterprise
Computer Hardware and Information Technology Infrastructure
Bits and bytes
Figure 6-2
6.7
© 2005 by Prentice Hall
Essentials of Management Information Systems, 6e
Chapter 6 Hardware and Software in the Enterprise
Computer Hardware and Information Technology Infrastructure
The Computer System
The Central Processing Unit (CPU)
• Controls other parts of computer
• Arithmetic-logic unit performs principle
logical/mathematical operations
• Control unit coordinates other parts, such as
reading a stored program
6.8
© 2005 by Prentice Hall
Essentials of Management Information Systems, 6e
Chapter 6 Hardware and Software in the Enterprise
Computer Hardware and Information Technology Infrastructure
The Computer System
Primary Storage
•
•
•
•
6.9
Located near CPU
Stores all or part of active software program
Stores operating system software
Stores data the program is using
© 2005 by Prentice Hall
Essentials of Management Information Systems, 6e
Chapter 6 Hardware and Software in the Enterprise
Computer Hardware and Information Technology Infrastructure
The Computer System
Primary Storage
• Composed of semi-conductors
• RAM (random access memory): Used for shortterm, temporary storage
• ROM (read-only memory): Semiconductor
memory chips with program instructions
6.10
© 2005 by Prentice Hall
Essentials of Management Information Systems, 6e
Chapter 6 Hardware and Software in the Enterprise
Computer Hardware and Information Technology Infrastructure
The CPU and primary storage
Figure 6-3
6.11
© 2005 by Prentice Hall
Essentials of Management Information Systems, 6e
Chapter 6 Hardware and Software in the Enterprise
Computer Hardware and Information Technology Infrastructure
Computer Processing
Microprocessors
• Semiconductor chips integrate memory, logic, and control
circuits for entire CPU
• Speed depends on number of bits processed at one time;
amount of data that can be moved between devices; and
cycle speed (MHz)
• RISC (reduced instruction set computing) increases speed;
used for scientific, workstation computing
6.12
© 2005 by Prentice Hall
Essentials of Management Information Systems, 6e
Chapter 6 Hardware and Software in the Enterprise
Computer Hardware and Information Technology Infrastructure
Computer Processing
Parallel processing
• Multiple CPUs work simultaneously on same
problem
• More than one instruction processed at a time
• Massively parallel computers: use hundreds,
thousands of processing chips
6.13
© 2005 by Prentice Hall
Essentials of Management Information Systems, 6e
Chapter 6 Hardware and Software in the Enterprise
Computer Hardware and Information Technology Infrastructure
Sequential and parallel processing
Figure 6-4
6.14
© 2005 by Prentice Hall
Essentials of Management Information Systems, 6e
Chapter 6 Hardware and Software in the Enterprise
Computer Hardware and Information Technology Infrastructure
Storage, Input, and Output Technology
Secondary Storage Technology
• Used for relatively long-term storage of data outside CPU
• Magnetic disk: floppies, hard disks, RAID
• Optical disk: CD-ROM, CD-RW, DVD
• Magnetic tape
• Storage networking: direct-attached storage; networkattached storage; storage area networks
6.15
© 2005 by Prentice Hall
Essentials of Management Information Systems, 6e
Chapter 6 Hardware and Software in the Enterprise
Computer Hardware and Information Technology Infrastructure
A storage area network (SAN)
Figure 6-5
6.16
© 2005 by Prentice Hall
Essentials of Management Information Systems, 6e
Chapter 6 Hardware and Software in the Enterprise
Computer Hardware and Information Technology Infrastructure
Storage, Input, and Output Technology
Input Devices
•
•
•
•
•
•
•
•
•
6.17
Keyboard and mouse
Touch screen
Optical character recognition
Magnetic ink character recognition (MICR)
Pen-based input
Digital scanner
Audio input
Sensors
Radio-frequency identification (RFID)
© 2005 by Prentice Hall
Essentials of Management Information Systems, 6e
Chapter 6 Hardware and Software in the Enterprise
Computer Hardware and Information Technology Infrastructure
Storage, Input, and Output Technology
Output Devices
• Cathode-ray tube (CRT)
• Printers
• Audio output
6.18
© 2005 by Prentice Hall
Essentials of Management Information Systems, 6e
Chapter 6 Hardware and Software in the Enterprise
Computer Hardware and Information Technology Infrastructure
Storage, Input, and Output Technology
Batch Processing
• Accumulates and stores transactions in group or batch until
time to process them
• Found primarily in older systems for occasional reporting
• Use tape storage
Online Processing
• Transactions processed immediately
• Use disk storage
6.19
© 2005 by Prentice Hall
Essentials of Management Information Systems, 6e
Chapter 6 Hardware and Software in the Enterprise
Computer Hardware and Information Technology Infrastructure
Storage, Input, and Output Technology
Interactive Multimedia
• Integrates sound, video or animation, graphics,
text into computer-based application
• Streaming technology
• New compression standards: MP3 (MPEG3)
6.20
© 2005 by Prentice Hall
Essentials of Management Information Systems, 6e
Chapter 6 Hardware and Software in the Enterprise
Categories of Computers and Computer Systems
Classifying Computers
• Mainframe: Largest computer; handles massive amounts of
data; used for large business, scientific, military
applications
• Midrange computer: Smaller, less expensive
minicomputers or servers; used for smaller organizations
or managing networks
• Minicomputers: Used in systems for universities, factories,
research labs
• Servers: Manage internal company networks or Web sites
6.21
© 2005 by Prentice Hall
Essentials of Management Information Systems, 6e
Chapter 6 Hardware and Software in the Enterprise
Categories of Computers and Computer Systems
Classifying Computers
• Personal computer: Portable or desktop
microcomputer
• Workstation: More powerful desktop computer
used for computation-intense tasks
• Supercomputer: Sophisticated, powerful computer
used for tasks requiring rapid, complex
calculations; weapons research, weather
forecasting
6.22
© 2005 by Prentice Hall
Essentials of Management Information Systems, 6e
Chapter 6 Hardware and Software in the Enterprise
Categories of Computers and Computer Systems
Computer Networks and Client/Server Computing
• Distributed processing: Distribution of processing
work among multiple computers
• Centralized processing: Accomplished by one
large central computer
• Client/server computing: Splits processing
between “clients” and “servers” on network
6.23
© 2005 by Prentice Hall
Essentials of Management Information Systems, 6e
Chapter 6 Hardware and Software in the Enterprise
Categories of Computers and Computer Systems
Client/server computing
Figure 6-6
6.24
© 2005 by Prentice Hall
Essentials of Management Information Systems, 6e
Chapter 6 Hardware and Software in the Enterprise
Categories of Computers and Computer Systems
Types of client/server computing
Figure 6-7
6.25
© 2005 by Prentice Hall
Essentials of Management Information Systems, 6e
Chapter 6 Hardware and Software in the Enterprise
Categories of Computers and Computer Systems
Network Computers and Peer-to-Peer Computing
• Network computer (NC): Simplified desktop
computer, does not store data permanently
• Peer-to-peer computing: Distributed processing
that links computers through Internet or private
networks
• Grid computing: Applies computational resources
of many networked computers to solve a large,
complex problem
6.26
© 2005 by Prentice Hall
Essentials of Management Information Systems, 6e
Chapter 6 Hardware and Software in the Enterprise
Types of Software
• Software program: A series of statements or
instructions to the computer
• Two major types of software: System software and
application software
• System software: Generalized programs that
manage the computer’s resources
• Application software: Programs written for or by
users to perform a specific task
6.27
© 2005 by Prentice Hall
Essentials of Management Information Systems, 6e
Chapter 6 Hardware and Software in the Enterprise
Types of Software
The major types of software
Figure 6-8
6.28
© 2005 by Prentice Hall
Essentials of Management Information Systems, 6e
Chapter 6 Hardware and Software in the Enterprise
Types of Software
System Software and PC Operating Systems
• Operating system software: Manages the computer
system, resources; controls memory, input, output,
and task scheduling
• Computer language translation programs:
Compiles source code of high-level language
programs (C, FORTRAN) into object code machine language the computer can execute
• Utility programs: Perform routine, repetitive tasks
such as copying, clearing primary storage
6.29
© 2005 by Prentice Hall
Essentials of Management Information Systems, 6e
Chapter 6 Hardware and Software in the Enterprise
Types of Software
System Software and PC Operating Systems
Operating System Capabilities
• Multiprogramming: Concurrent use of CPU by multiple
programs
• Virtual storage: Breaks programs into smaller portions to
read as needed
• Time-sharing: Allows many users to share CPU time
• Multi-processing: Links two or more CPUs to work in
parallel in single computer system
6.30
© 2005 by Prentice Hall
Essentials of Management Information Systems, 6e
Chapter 6 Hardware and Software in the Enterprise
Types of Software
System Software and PC Operating Systems
PC Operating Systems
• Software written for one OS generally cannot run
on another
• Graphical User Interface (GUI): Dominant model
for user interface for operating systems and
applications
6.31
© 2005 by Prentice Hall
Essentials of Management Information Systems, 6e
Chapter 6 Hardware and Software in the Enterprise
Types of Software
System Software and PC Operating Systems
Leading PC Operating Systems
•
•
•
•
•
•
•
•
•
6.32
Windows XP
Windows 2000
Windows Server 2003
Windows 98/ME
Windows CE
Unix
Linux
Mac OS
DOS
© 2005 by Prentice Hall
Essentials of Management Information Systems, 6e
Chapter 6 Hardware and Software in the Enterprise
Types of Software
Window on Management
The Case for Linux
•
Should a company select Linux as an operating
system for its major business applications?
•
What are the management benefits Linux
provides?
•
What are the business as well as the technology
issues that should be addressed when making that
decision?
6.33
© 2005 by Prentice Hall
Essentials of Management Information Systems, 6e
Chapter 6 Hardware and Software in the Enterprise
Types of Software
Application Programming Languages
Machine
language
C
1st generation; binary
C++
Object-oriented; application software
COBOL
Business administration; alphanumeric
processing
Operating systems; application software
Visual Basic Visual tool; Windows applications
6.34
© 2005 by Prentice Hall
Essentials of Management Information Systems, 6e
Chapter 6 Hardware and Software in the Enterprise
Types of Software
Application Programming Languages
6.35
FORTRAN
Processing numeric data; scientific,
engineering programs
BASIC
Used for teaching
Pascal
Used primarily for teaching programming
Assembly
language
Second generation; close to machine
language; system software
© 2005 by Prentice Hall
Essentials of Management Information Systems, 6e
Chapter 6 Hardware and Software in the Enterprise
Types of Software
Programming Languages and Contemporary Software Tools
• Fourth generation languages: Enable end users to develop
applications with minimal or no assistance; less procedural
• Procedural languages: Require sequence of steps
• Nonprocedural languages: Specify tasks but not details on
sequence
• Natural languages: Nonprocedural languages resembling
human speech
• Query languages: Software tools for providing online
answers to information requests
6.36
© 2005 by Prentice Hall
Essentials of Management Information Systems, 6e
Chapter 6 Hardware and Software in the Enterprise
Types of Software
Categories of Fourth-Generation Languages
6.37
PC software tools
General-purpose packages
WordPerfect, Microsoft Access
Query language
Retrieve data stored in databases or
files
SQL
Report generator
Retrieve data, more formatting control;
Crystal Reports
Graphics language
Retrieve data, graphics format
SAS Graph; Systat
© 2005 by Prentice Hall
Essentials of Management Information Systems, 6e
Chapter 6 Hardware and Software in the Enterprise
Types of Software
Categories of Fourth-Generation Languages
6.38
Application generator
Preprogrammed modules
FOCUS, Microsoft FrontPage
Application software
package
Commercial software replacing need
for custom, in-house software
PeopleSoft HCM, SAP R/3
Very high-level
programming
language
Generate code with fewer instructions;
productivity tool for programmers
APL, Nomad2
© 2005 by Prentice Hall
Essentials of Management Information Systems, 6e
Chapter 6 Hardware and Software in the Enterprise
Types of Software
Programming Languages and Contemporary Software Tools
Object-Oriented Programming
• Combine data and methods (procedures) into one
object
• Objects are independent, reusable building blocks
• Based on concepts of class and inheritance
6.39
© 2005 by Prentice Hall
Essentials of Management Information Systems, 6e
Chapter 6 Hardware and Software in the Enterprise
Types of Software
Class and inheritance
Figure 6-9
6.40
© 2005 by Prentice Hall
Essentials of Management Information Systems, 6e
Chapter 6 Hardware and Software in the Enterprise
Types of Software
Programming Languages and Contemporary Software Tools
Java
•
•
•
•
•
6.41
Object-oriented
Platform-independent
Robust; handles data, graphics, video, sound
Can create “applets”; often used on Web
Java applications tend to run slower than “native”
programs
© 2005 by Prentice Hall
Essentials of Management Information Systems, 6e
Chapter 6 Hardware and Software in the Enterprise
Types of Software
Programming Languages and Contemporary Software Tools
• Hypertext Markup Language (HTML): Page
description language; creates Web pages and other
hypermedia documents
• XML (eXtensible Markup Language): Describes
the structure of a document; provides standard
format for data exchange
• XHTML: Reformulates HTML with XML
document-type definitions
6.42
© 2005 by Prentice Hall
Essentials of Management Information Systems, 6e
Chapter 6 Hardware and Software in the Enterprise
Types of Software
Application Software Packages and Productivity Software
• Word processing software: Create, format, print documents
• Desktop publishing software: Produce professional-quality
documents with greater formatting, design capabilities
• Spreadsheets: Display data in grid for recalculating
numerical data
• Data management software: Store, manipulate data in lists
and databases
6.43
© 2005 by Prentice Hall
Essentials of Management Information Systems, 6e
Chapter 6 Hardware and Software in the Enterprise
Types of Software
Text and the spell-checking option in Microsoft Word
Figure 6-10
6.44
© 2005 by Prentice Hall
Essentials of Management Information Systems, 6e
Chapter 6 Hardware and Software in the Enterprise
Types of Software
Spreadsheet software
Figure 6-11
6.45
© 2005 by Prentice Hall
Essentials of Management Information Systems, 6e
Chapter 6 Hardware and Software in the Enterprise
Types of Software
Data management software
Figure 6-12
6.46
© 2005 by Prentice Hall
Essentials of Management Information Systems, 6e
Chapter 6 Hardware and Software in the Enterprise
Types of Software
Application Software Packages and Productivity Software
• Presentation graphics: Create professional-quality graphics
and multimedia presentations
• Integrated Software Packages and Suites: Combine two or
more applications; easy data transfer
• E-mail software: Computer exchange of messages
• Web browsers: Access and display Web, Internet resources
• Groupware: Support activities of workgroups
6.47
© 2005 by Prentice Hall
Essentials of Management Information Systems, 6e
Chapter 6 Hardware and Software in the Enterprise
Types of Software
Software for Enterprise Integration and E-Business
• Enterprise software: Integrates multiple business
processes
• Legacy system: System in place for long time
• Middleware: Software that connects two disparate
systems
• Enterprise application integration (EAI) software:
Middleware to create hub connecting applications
and application clusters
6.48
© 2005 by Prentice Hall
Essentials of Management Information Systems, 6e
Chapter 6 Hardware and Software in the Enterprise
Types of Software
Enterprise application integration (EAI) software versus traditional integration
Figure 6-13
6.49
© 2005 by Prentice Hall
Essentials of Management Information Systems, 6e
Chapter 6 Hardware and Software in the Enterprise
Types of Software
Software for Enterprise Integration and E-Business
• Web services: Universal standards using Internet
technology for exchanging data between systems
• Web server: Manages requests for Web pages on
computer where they are stored
• Application server: Middleware software handling
application operations between user and back-end
business systems
6.50
© 2005 by Prentice Hall
Essentials of Management Information Systems, 6e
Chapter 6 Hardware and Software in the Enterprise
Types of Software
A multitiered architecture for e-commerce and e-business
Figure 6-14
6.51
© 2005 by Prentice Hall
Essentials of Management Information Systems, 6e
Chapter 6 Hardware and Software in the Enterprise
Types of Software
Window on Technology
Application Integration to the Rescue
• How can enterprise application integration and
Web services technology provide value for
organizations?
• What management, organization, and technology
issues should be addressed when making the
decision about whether to use these technologies?
6.52
© 2005 by Prentice Hall
Essentials of Management Information Systems, 6e
Chapter 6 Hardware and Software in the Enterprise
Managing Hardware and Software Assets
Hardware Technology Requirements
For Electronic Commerce and the Digital Firm
• Capacity planning: Process of predicting when a
computer hardware system becomes saturated
• Scalability: Ability of a computer, product, or
system to expand to serve a larger number of users
without breaking down
6.53
© 2005 by Prentice Hall
Essentials of Management Information Systems, 6e
Chapter 6 Hardware and Software in the Enterprise
Managing Hardware and Software Assets
Total Cost of Ownership (TCO) of Technology Assets
• Includes both direct and indirect costs
• Hardware and software acquisitions account for
only 20% of TCO
• TCO for a PC may run to three times original
purchase price
• Hidden costs can make distributed architecture
more expensive than centralized mainframes
6.54
© 2005 by Prentice Hall
Essentials of Management Information Systems, 6e
Chapter 6 Hardware and Software in the Enterprise
Managing Hardware and Software Assets
Total Cost of Ownership (TCO) Cost Components
•
•
•
•
•
•
•
•
•
6.55
Hardware acquisition
Software acquisition
Installation
Training
Support
Maintenance
Infrastructure
Downtime
Space and energy
© 2005 by Prentice Hall
Essentials of Management Information Systems, 6e
Chapter 6 Hardware and Software in the Enterprise
Managing Hardware and Software Assets
Rent or Build Decisions: Using Technology Service Providers
• Storage service provider: Provides online access to
storage devices and storage area network
technology
• Application service provider: Delivers
applications over networks on subscription basis
• Management service provider: Manages
applications, systems, security, storage, Web sites,
system performance
6.56
© 2005 by Prentice Hall
Essentials of Management Information Systems, 6e
Chapter 6 Hardware and Software in the Enterprise
Types of Software
Model of an Application Service Provider (ASP)
Figure 6-15
6.57
© 2005 by Prentice Hall
Essentials of Management Information Systems, 6e
Chapter 6 Hardware and Software in the Enterprise
Managing Hardware and Software Assets
Rent or Build Decisions: Using Technology Service Providers
• Business continuity provider: Defines procedures
for recovery from system malfunctions, disaster
recovery
• Utility computing: Model in which companies pay
only for resources used in a specific time period
6.58
© 2005 by Prentice Hall
Essentials of Management Information Systems, 6e
Chapter 6 Hardware and Software in the Enterprise
Chapter 6 Case Study
Zurich North America Hunts Down Its IT Assets
1.
Evaluate Zurich North America Canada using the value
chain and competitive forces models. Why did IT asset
management become so important to this company?
2.
Why did Zurich North America have problems
managing its hardware and software assets? How serious
were these problems? What management, organization,
and technology factors were responsible for those
problems?
3.
How did Zurich North America solve its asset
management problem? What managerial and technology
tools did it use?
6.59
© 2005 by Prentice Hall
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