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Module II: Computer Networks

and Internet Technology


DATA COMMUNICATIONS

The word data refers to information presented in whatever


form is agreed upon by the parties creating and using the
data.

Data communications are the exchange of data between


two devices via some form of transmission medium such as
a wire cable.
Five components of data communication
Direction of Data flow (simplex, half-duplex, and full-duplex)

• Communication is unidirectional

• Only one of the two devices on a link can transmit; the other can only
receive

• Example : the keyboard can only introduce input, the monitor can only
accept output
Direction of Data flow (simplex, half-duplex, and full-duplex)

• Each station can both transmit and receive, but not at the same time

• The entire capacity of the channel is taken over by whichever of the two
devices is transmitting at that time

• Example : Walkie-talkies
Direction of Data flow (simplex, half-duplex, and full-duplex)

• Both stations can receive and transmit simultaneously

• The signals going in either direction share the capacity of the link

• Example : Telephone network


NETWORKS

A network is a set of devices (often referred to as nodes)


connected by communication links. A node can be a
computer, printer, or any other device capable of sending
and/or receiving data generated by other nodes on the
network.
Types of connections: point-to-point and multipoint

• Point-to-point connection provides a dedicated link between two devices

• The entire capacity of the link is reserved for transmission between those
two devices
Types of connections: point-to-point and multipoint

• Multipoint also called multidrop connection is one in which more than two
specific devices share a single link

• The capacity of the channel is shared between devices


Designing a Network Topology

The term topology refers to the arrangement or physical layout of computers,


cables, and other components on the network.
Physical layout
Design
Diagram
Map

The choice of one topology over another will have an impact on the:
Type of equipment the network needs.
Capabilities of the equipment.
Growth of the network.
Way the network is managed.
Categories of topology
A fully connected mesh topology (five devices)
Mesh topology

• A mesh topology network offers superior redundancy and reliability

• Each computer is connected to every other computer by separate cabling.


This configuration provides redundant paths throughout the network so that
if one cable fails, it does not incapacitate the whole network.
A fully connected mesh network thus has n (n – 1 ) / 2 physical links to
connect n devices.

• Ease of troubleshooting and increased reliability

• These networks are expensive to install because they use a lot of cabling

•Example : Telephone exchanges


Categories of topology
A fully connected mesh topology (five devices)
Mesh topology

• A mesh topology network offers superior redundancy and reliability

• Each computer is connected to every other computer by separate cabling.


This configuration provides redundant paths throughout the network so that
if one cable fails, it does not incapacitate the whole network.
A fully connected mesh network thus has n (n – 1 ) / 2 physical links to
connect n devices.

• Ease of troubleshooting and increased reliability

• These networks are expensive to install because they use a lot of cabling

•Example : Telephone exchanges


Mesh topology

•Advantages
•Eliminates traffic problem
•Robust
•Private and secure
•Fault identification and fault isolation easy

•Disadvantages
•Since every device needs to be connected to each other, installation and
reconnection is difficult
•Sheer bulk of the wiring can be greater than the available space(in walls,
ceiling, floor)
•Hardware requirement to connect (i.e. I/O ports) can be expensive
A star topology connecting four stations
Star topology

•In the star topology, every device has a dedicated point-to-point link only
to a central controller called a hub.

•Devices are not directly linked to one another.

•If one device wants to send data to another, it sends the data to the
controller, which then relays the data to the other connected device

•This topology originated in the early days of computing when computers


were connected to a centralized mainframe computer.
Star topology

•Advantages
•Less expensive than mesh topology
•Easy to install and reconfigure
•Less cabling needs to be housed
•Robust : If one link fails, only that link is affected, other links remain
active
•Fault identification and fault isolation easy

•Disadvantages
•Often more cabling is required in star than in other topologies
•Problem in hub incapacitates the whole setup
A bus topology connecting three stations

Terminator
Bus topology

• In bus topology every computer and network device is connected to single


cable.

• The nodes are connected to the channel via drop lines.

•Computers using bus topology communicate by addressing data to a particular


computer and sending out that data on the cable as electronic signals. To
understand how computers communicate on a bus, you need to be familiar
with three concepts:
•Sending the signal
•Signal bounce
•Terminator
Bus topology

• Sending the signal - Data in the form of electronic signals is sent to all the computers
on the network. Only the computer whose address matches the address encoded in the
original signal accepts the information. All other computers reject the data. Only one
computer at a time can send messages. Because only one computer at a time can send
data on a bus network, the number of computers attached to the bus will affect network
performance. The more computers there are on a bus, the more computers will be
waiting to put data on the bus and, consequently, the slower the network will be.

•Signal bounce - data, or electronic signal, is sent to the entire network, it travels from
one end of the cable to the other. If the signal is allowed to continue uninterrupted, it
will keep bouncing back and forth along the cable and prevent other computers from
sending signals. Therefore, the signal must be stopped after it has had a chance to reach
the proper destination address.

•Terminator - To stop the signal from bouncing, a component called a terminator is


placed at each end of the cable to absorb free signals. Absorbing the signal clears the
cable so that other computers can send data.
Bus topology

•Advantages
•Less expensive than mesh topology
•Easy to install and reconfigure
•Easy to add new devices
•Less cabling than mesh and star

•Disadvantages
•Difficult reconnection and fault identification
•Difficult to add new devices (degradation of signals)
•Fault or break in the bus incapacitates the whole setup
A ring topology connecting six stations
Ring topology

• In this topology, it forms a ring connecting devices with its exactly two
neighboring devices.

• A number of repeaters are used for Ring topology with a large number of
nodes, because if someone wants to send some data to the last node in the ring
topology with 100 nodes, then the data will have to pass through 99 nodes to
reach the 100th node. Hence to prevent data loss repeaters are used in the
network.

• The transmission is unidirectional.

• To transmit the data, station has to hold the token. After the transmission is
done, the token is to be released for other stations to use. When no station is
transmitting the data, then the token will circulate in the ring.

•If one device does not receive a signal within a specified period, it can issue
an alarm.
Ring topology

•Advantages
•The possibility of collision is minimum in this type of topology
•Cheap to install and expand
•Easy to identify faults

•Disadvantages
•Unidirectional traffic
•A break in the ring disables the entire network
Tree topology

Tree topology is a combination of star and bus topology.


This topology is mostly used on larger networks.
Ethernet protocol uses the tree network topology.
Tree topology

Advantages

1. It provides high scalability, as leaf nodes can add more nodes in the hierarchical
chain.
2. Other nodes in a network are not affected, if one of their nodes get damaged
3. It provides easy maintenance and fault identification.
4.Point-to-point wiring for individual segments.

Disadvantages

1. Large cabling is required as compared to star and bus topology.


2. On the failure of a hub, the entire network fails.
A hybrid topology: a star backbone with three bus networks
Types of networks
Personal Area Network

PAN is a computer network formed around a person. It generally consists of a


computer, mobile, or personal digital assistant. PAN can be used for establishing
communication among these personal devices for connecting to a digital network
and the internet.

Characteristics of PAN
•It is mostly personal devices network equipped within a limited area.
•Allows you to handle the interconnection of IT devices at the surrounding of a single user.
PAN includes mobile devices, tablet, and laptop.
•It can be wirelessly connected to the internet called WPAN.
•Appliances use for PAN: cordless mice, keyboards, and Bluetooth systems.
Personal Area Network

Advantages of PAN
•PAN networks are relatively secure and safe
•It offers only short-range solution up to 10 m
•Strictly restricted to a small area

Disadvantages of PAN
•It may establish a bad connection to other networks at the same radio bands
•Distance limits
Local Area Network

A Local Area Network (LAN) is a group of


computer and peripheral devices which are
connected in a limited area such as school,
laboratory, home, and office building. It is a
widely useful network for sharing resources
like files, printers, games, and other
application. The simplest type of LAN network
is to connect computers and a printer in
someone's home or office. In general, LAN will
be used as one type of transmission medium.
It is a network which consists of less than 5000
interconnected devices across several buildings.

Characteristics of LAN
•It is a private network, so an outside regulatory body never controls it.
•LAN operates at a relatively higher speed compared to other WAN systems.
•There are various kinds of media access control methods like Token Ring and Ethernet.
Local Area Network

Advantages of LAN Disadvantages of LAN


•Computer resources like hard-disks, DVD- •LAN will indeed save cost because of shared
ROM, and printers can share local area computer resources, but the initial cost of
networks. This significantly reduces the cost of installing Local Area Networks is high.
hardware purchases. •The LAN admin can check personal data files
•You can use the same software over the of every LAN user, so it does not offer good
network instead of purchasing the licensed privacy.
software for each client in the network. •Unauthorized users can access critical data of
•Data of all network users can be stored on a an organization in case LAN admin is not able
single hard disk of the server computer. to secure centralized data repository.
•One can easily transfer data and messages •Local Area Network requires a constant LAN
over networked computers. administration as there are issues related to
•Local Area Network offers the facility to share software setup and hardware failures
a single internet connection among all the LAN
users.
Metropolitan Area Network

A Metropolitan Area Network or MAN


is consisting of a computer network
across an entire city, college campus,
or a small region. This type of network
is large than a LAN, which is mostly
limited to a single building or site.
Depending upon the type of
configuration, this type of network
allows to cover an area from several
miles to tens of miles.

Characteristics of MAN
•It mostly covers towns and cities in a maximum 50 km range
•Mostly used medium is optical fibers, cables
•Data rates adequate for distributed computing applications.
Metropolitan Area Network

Advantages of MAN
•It offers fast communication using high-speed carriers, like fiber optic cables.
•It provides excellent support for an extensive size network and greater access to
WANs.
•A MAN network mostly includes some areas of a city or an entire city.

Disadvantages of MAN
•You need more cable to establish MAN connection from one place to another.
•In MAN network it is tough to make the system secure from hackers
Wide Area Network

WAN (Wide Area Network) is another


important computer network which is
spread across a large geographical area.
WAN network system could be a
connection of a LAN/MAN which connects
with other LAN's/MAN’s using telephone
lines and radio waves.

Characteristics of WAN:
•Any organization can form its global
integrated network using WAN.
Wide Area Network

Advantages of WAN
•WAN helps to cover a larger geographical area. Therefore business offices
situated at longer distances can easily communicate.
•Contains devices like mobile phones etc.

Disadvantage of WAN
•It is difficult to maintain the WAN network. You need skilled technicians and
network administrators.
•There are more errors and issues because of the wide coverage and the use of
different technologies.
•It requires more time to resolve issues because of the involvement of multiple
wired and wireless technologies.
•Offers lower security compared to other types of networks.
Internet, Intranet, Extranet

Intranet is shared content accessed by members within a single organization.


Extranet is shared content accessed by groups through cross-enterprise boundaries.
Internet is global communication accessed through the Web.
Intranet, Extranet and Internet

Intranet: An intranet is a private, secured computer network to


securely share any part of an organization's information or operational
systems within that organization. Employees can create content,
communicate, get stuff done and develop the company culture.

Extranet: An extranet is a private network designed specially to allow


individuals (clients, vendors, suppliers, partners, etc.) to communicate.
An extranet can be viewed as part of a company's intranet that is
extended to users outside the company, usually via the Internet.

Internet: The Internet is a global system of interconnected computer


networks that use the standard Internet Protocol Suite (TCP/IP) to
serve billions of users worldwide.
Advantages of Intranet

Workforce productivity. Intranets can help users to locate and view information faster and
use applications relevant to their roles and responsibilities.

Enhanced collaboration. Information is easily accessible by all authorized users, which


enables teamwork. Being able to communicate in real-time through integrated third party tools
promotes the sharing of ideas and helps boost a business’ productivity.

Time Savings. Intranets allow organizations to distribute information to employees on an as-


needed basis in real time. Employees may link directly to relevant information as soon as the
organization makes it available on the intranet.

Reduced Costs. This can potentially save the business money on printing, duplicating
documents, and the environment as well as document maintenance overhead.

Improved Communication. Intranets can serve as powerful tools for communication within
an organization.
Extranet

In some cases organizations make the decision to allow external parties such as customers
and suppliers to have access to their intranet. When these outside parties are provided
access to a subset of the information accessible from an organization’s intranet the intranet
becomes an extranet.
For example a large construction company may share drawings with architects or
inspectors, photographs to their customers and loan documents to their bankers by
implementing online applications that allow these external parties to access and even mark-
up and make changes to documents.

Company can use an extranet to manage project-related communications.


Data such as invoice and order that were traditionally transmitted via paper can now
instantly be shared among organizations (EDI).
E.g. Some of the most sophisticated extranets are run by large retailers like Walmart and
Target who constantly transmit data via their extranet to vendors and suppliers, ensuring
that merchandise arrives when it is needed, where it is needed.
Advantages of Extranet

Build customer relationships. In business-to-business relationships, the more timely and accurate
information a business makes available to their customers, the more likely they are to retain that
business. Collaborate with other companies on joint development efforts.

Reduced margin of error. An extranet can reduce a company’s margin of error thereby reducing or
eliminating costly errors, especially with something as complex as processing orders from distributors
and suppliers. E.g. Customers can be given access to their accounts to verify order history, account
balances and payments.

Timely and accurate information. On an extranet a business can instantly change, edit, and update
sensitive information such as price lists or inventory information. Compared to typical paper-based
publishing processes, an extranet offers a unique opportunity to quickly get information into the right
hands before it’s out-of-date.

Reduced inventory. One of the greatest advantage of a business-to-business extranet is its impact on
supply-chain management. By linking the inventory system directly to a supplier, businesses can
process orders as soon as the system knows they are needed.

Flexibly. A well designed extranet allows remote and mobile staff to access core business information
24 hours a day, irrespective of location. This allows employees to work remotely or respond to critical
requests for information after normal working hours.
Differences
Client-Server Architecture

Server: provides services

Client: requests for services

Service: any resource (e.g. data, file, control, display device, etc.)

Architecture of a computer network in which many clients (remote processors)


request and receive service from a centralized server (host computer).
Client computers provide an interface to allow a computer user to request services
of the server and to display the results the server returns.
Servers wait for requests to arrive from clients and then respond to them.
Clients are often situated at workstations or on personal computers, while servers
are located elsewhere on the network, usually on more powerful machines.
IP Addresses: Classful Addressing

• An IP address is a 32-bit address that identifies a connection to the Internet.

•The IP addresses are universally unique.

•The address space of IPv4 is 2^32 or 4,294,967,296.

•IP address is written as a Binary (hexadecimal) or a Dotted-Decimal (w/out


leading zeros) notation.

•The IP address space (all possible IP values) is divided into five classes: A, B, C,
D, and E.
2^7 2^6 2^5 2^4 2^3 2^2 2^1 2^0 2^7
128 64 32 16 8 4 2 1 128
1 1 1 1 1 1 1 1 1

128 64 32 16 8 4 2 1 128
255

________.________. ________.________

Binary - 10111111 . 01000011 . 00111010 . 01110000

Decimal - 191.67.58.112

1*2^7+0*2^6+1*2^5+1*2^4+1*2^3+1*2^2+1*2^1+1*2^0
IP Addresses: Classful Addressing

• An IP address is a 32-bit address that identifies a connection to the Internet.

•The IP addresses are universally unique.

•The address space of IPv4 is 2^32 or 4,294,967,296.

•IP address is written as a Binary (hexadecimal) or a Dotted-Decimal (w/out


leading zeros) notation.

•The IP address space (all possible IP values) is divided into five classes: A, B, C,
D, and E.
2^7 2^6 2^5 2^4 2^3 2^2 2^1 2^0 2^7
128 64 32 16 8 4 2 1 128
1 1 1 1 1 1 1 1 1

128 64 32 16 8 4 2 1 128
255

________.________. ________.________

Binary - 10111111 . 01000011 . 00111010 . 01110000

Decimal - 191.67.58.112

1*2^7+0*2^6+1*2^5+1*2^4+1*2^3+1*2^2+1*2^1+1*2^0
•Private addresses include IP addresses from the following subnets:
Range from 10.0. 0.0 to 10.255. 255.255 — Class A
Range from 172.16. 0.0 to 172.31. 255.255 — Class B
Range from 192.168. 0.0 to 192.168. 255.255 - Class C

• The very large IPv6 address space supports a total of

2128 or 340,282,366,920,938,463,463,374,607,431,768,211,456 (about


3.4×1038) addresses

• 128 bits divided into eight 16-bits blocks.


Each domain name has a corresponding IP address
When the user types the domain name in the address bar, the corresponding IP
address is supplied. Such a translation is possible with the help of system called DNS
(DOMAIN NAME SYSTEM)

DEFINITION: “DOMAIN NAME SYSTEM is a collection of the databases that


contain information about domain names and their corresponding IP address.”
When an application program
Working of DNS
needs to communicate with other
computer, it needs to translate the
name into its IP address. The
applications program that requests
the service then becomes the client
of DNS.

It then sends the request to DNS


server. The server looks up the
name and then returns correct IP
address.
A large number of DNS servers
may be involved to get the right IP
address. After receiving the correct
IP address, the communication
between two computers starts.
Domain Name System (DNS)

• Domain name is a way to identify and locate computers connected to internet.

• No two organizations can have same domain name.

• A domain name always consists of two or more components separated by


periods called dots (.)
EXAMPLE: www.yahoo.co.in, www.facebook.com etc.

• Once a domain has been established sub-domains can be created within the
domain.
EXAMPLE: The domain could be “amity.edu” and within this domain sub-
domains can be created for each university. E.g.: kol.amity.edu,
auup.amity.edu

• Hierarchical Name Space is used. Names are made up of several parts:


e.g. kol.amity.edu

• Domain Name Space: names are defined in an inverted tree structure.

• Read names from node up to root of tree.


Organizational / Generic Domains
It consists of three/four-character code which indicates the primary function of the
organization or their generic behavior.

Most commonly used top level domains are:


• .com for commercial organization eg www.yahoo.com
• .net for networking organizations eg www.zedge.net
• .gov for government organizations eg www.newjersey.gov
• .edu for educational organizations eg www.uducause.edu
• .org for non-commercial organizations eg www.eklavya.org
• .mil for military organizations eg www.dod.mil
• .int for international organizations eg www.itu.int
Geographical / Country Domains
It consists of two characters which represents different countries/regions all
around the world.
EXAMPLE:
.in India
.jp Japan
.us United States
.fr France
.it Italy
.cn China
.au Australia
PROTOCOLS

A protocol is synonymous with rule. It consists of a set of


rules that govern data communications. It determines what
is communicated, how it is communicated and when it is
communicated.

Key elements of a protocol


▪ Syntax
▪ Semantics
▪ Timing
Elements of a Protocol

• Syntax
– Structure or format of the data
– Indicates how to read the bits - field delineation
• Semantics
– Interprets the meaning of the bits
– Knows which fields define what action
• Timing
– When data should be sent and
– What speed at which data should be sent or speed at which it is
being received.
THE INTERNET

The Internet has revolutionized many aspects of our


daily lives.

It has affected the way we do business as well as the way


we spend our leisure time.

The Internet is a communication system that has brought


a wealth of information to our fingertips and organized
it for our use.
Internet History

• In the mid 1960’s , computers in research organizations were standalone devices.

• Computers from different manufactures were unable to communicate with each other.

• The Advanced Research Projects Agency (ARPA) in the Department of Defense was
interested in finding a way to connect computers so that the researchers they funded
could share their findings.

• In 1967, ARPA presented its idea for ARPANET, a small network of connected
computers.

• In 1969, ARPANET was a reality, Software called the Network Control Protocol
(NCP) provided communication between hosts.

• In 1972 – 73, Vint Cerf and Bob Kahn, both of whom were part of the core ARPANET
group outlined protocols to achieve delivery of packets. The internetworking protocol s
are Transmission Control Protocol (TCP) and Internetworking Protocol (IP).
Hierarchical organization of the Internet
How is India connected to the internet?

More than 99% of the internet traffic relies on high quality fiber optic cables connecting
various countries. Only a part of the traffic goes through satellites.

These cable networks are laid and maintained by various governments and giant
companies.
How is India connected to the internet?

There are three tiers which differentiates the size of the network held by a company.
Tier-1 :- These are the companies which have a global network connecting so many cables
around the world. They will be able to provide access to any destination on the internet
without paying fee to others. They usually access the network of other tier-1 companies
without paying any fee. This network acts as the backbone of the internet.
Tier-2 :- These are companies which have a regional networks and are usually connected to
one or more tier-1 networks. They must pay a fee to access the tier-1 company's network.
Tier-3 :- These are the Internet Service Providers(ISPs) from whom we buy our broadband
connections. They are the last tier, connecting the internet to the end users.

India is connected to the world at Mumbai, Cochin, Chennai and Tuticorine. All our
international internet traffic goes through these port cities (landing stations).
Tata Communications owns 3 landing stations in Mumbai, Chennai and Cochin. They are the
only Tier-1 company from India.
Bharti Airtel owns 2 landings stations in Chennai and Mumbai.
Reliance Globalcom owns 1 landing station in Mumbai.
Sify Technologies owns 1 landing station in Mumbai
BSNL owns 1 landing station in Tuticorine connecting to Sri Lanka.
Online Privacy
Internet privacy is the privacy and security level of personal data published via the Internet.
It is a broad term that refers to a variety of factors, techniques and technologies used to
protect sensitive and private data, communications, and preferences. Internet privacy is also
known as online privacy.

Internet privacy is cause for concern for any user planning to make an online purchase, visit a
social networking site, participate in online games or attend forums. If a password is
compromised and revealed, a victim's identity may be fraudulently used or stolen.

Internet privacy risks include:


• Phishing: An Internet hacking activity used to steal secure user data, including username,
password, bank account number, security PIN or credit card number.
• Pharming: An Internet hacking activity used to redirect a legitimate website visitor to a
different IP address.
• Spyware: An offline application that obtains data without a user's consent. When the
computer is online, previously acquired data is sent to the spyware source.
• Malware: An application used to illegally damage online and offline computer users
through Trojans, viruses and worms.
Online Privacy
Internet privacy violation risks may be minimized, as follows:
• Always use preventative software applications, such as anti-virus, anti-malware, anti-
spam and firewalls
• Avoid shopping on unreliable websites
• Avoid exposing personal data on websites with lower security levels
• Clear the browser's cache and browsing history on a consistent basis
• Always use very strong passwords consisting of letters, numerals and special characters
Internet Censorship
• Internet censorship is control or suppression of the publishing or accessing of
information on the Internet.

• Each Nation sets their own laws on censorship of the internet. Some Nations
are stricter than others.

• For example, China blocks or filters Internet content relating to Tibetan


independence, Taiwan independence, police brutality, certain religious
movements, and many blogging websites.
However, a nation like Mexico does not have any internet censorship laws or
filters.
Criticisms of Censorship
• Censoring the internet––the greatest source of information––seriously hampers the
flow of creative, original, free thought.
• Censorship directly restrain some kinds of ideas from being created.

Is Internet Censorship possible?


❑ Internet is immense - Tracking down criminals is an extremely hard task.
❑ Internet is anonymous - Difficult to determine the identity & age of user.
❑ Internet has no physical boundaries – Hard to tell when a law is broken.
❑ Once any information is posted online, deleting this material becomes almost impossible.
❖ Duplication of information.
❑ Anti-Spam and Popup blockers are inefficient.
TRANSMISSION MEDIA

• It is a physical path between transmitter and receiver in data communication.


• The quality of data transmission is determined by the characteristics of medium
and signal.
• Transmission media is of two types wired media and wireless media. In wired
media, medium characteristics are more important whereas, in wireless media,
signal characteristics are more important.
• Different transmission media have different properties such as bandwidth,
delay, cost and ease of installation and maintenance.
GUIDED MEDIA

Guided media, which are those that provide a conduit from one
device to another.
Twisted-Pair Cable
Coaxial Cable
Fiber-Optic Cable
Twisted-pair cable

• Twisted pair is a physical media made up of a pair of cables twisted with each
other.
• A twisted pair cable is cheap as compared to other transmission media.
• Installation of the twisted pair cable is easy, and it is a lightweight cable.
• The degree of reduction in noise interference is determined by the number of
turns per foot. Increasing the number of turns per foot decreases noise
interference.
UTP and STP cables
Unshielded Twisted Pair

An unshielded twisted pair is widely used in telecommunication.


•Category 1: Category 1 is used for telephone lines that have low-speed data.
•Category 2: It can support upto 4Mbps.
•Category 3: It can support upto 16Mbps.
•Category 4: It can support upto 20Mbps.
•Category 5: It can support upto 200Mbps.

Advantages Of Unshielded Twisted Pair:


•It is cheap.
•Installation of the unshielded twisted pair is easy.
•It can be used for high-speed LAN.
Disadvantage:
•This cable can only be used for shorter distances because of attenuation.
UTP connector
Shielded Twisted Pair

Advantages
•The cost of the shielded twisted pair cable is not very high and not very low.
•An installation of STP is easy.
•It has higher capacity as compared to unshielded twisted pair cable.

Disadvantages
•It is more expensive as compared to UTP and coaxial cable.
•It has a higher attenuation rate.
Coaxial cable
Coaxial cable

•Coaxial cable is very commonly used transmission media, for example, TV


wire is usually a coaxial cable.
•The name of the cable is coaxial as it contains two conductors parallel to each
other.
•It has a higher frequency as compared to Twisted pair cable.
•The inner conductor of the coaxial cable is made up of copper, and the outer
conductor is made up of copper mesh. The middle core is made up of non-
conductive cover that separates the inner conductor from the outer conductor.
•The middle core is responsible for the data transferring whereas the copper
mesh prevents from the EMI(Electromagnetic interference).
Coaxial cable

Coaxial cable are of two types:


1.Baseband transmission: It is defined as the process of transmitting a single
signal at high speed.
2.Broadband transmission: It is defined as the process of transmitting
multiple signals simultaneously.

Advantages Of Coaxial cable:


•The data can be transmitted at high speed.
•It has better shielding as compared to twisted pair cable.
•It provides higher bandwidth.

Disadvantages Of Coaxial cable:


•It is more expensive as compared to twisted pair cable.
•If any fault occurs in the cable causes the failure in the entire network.
Fiber Optic

•Fiber optic is a cable that holds the optical fibers coated in plastic that are
used to send the data by pulses of light.
•The plastic coating protects the optical fibers from heat, cold,
electromagnetic interference from other types of wiring.
•Fiber optics provide faster data transmission than copper wires.
Bending of light ray
Optical fiber

•Core: The optical fiber consists of a narrow strand of glass or plastic known as a
core. A core is a light transmission area of the fiber. The more the area of the core,
the more light will be transmitted into the fiber.
•Cladding: The concentric layer of glass is known as cladding. The main
functionality of the cladding is to provide the lower refractive index at the core
interface as to cause the reflection within the core so that the light waves are
transmitted through the fiber.
•Jacket: The protective coating consisting of plastic is known as a jacket. The
main purpose of a jacket is to preserve the fiber strength, absorb shock and extra
fiber protection.
Optical fiber

Advantages of fiber optic cable over copper:

•Greater Bandwidth: The fiber optic cable provides more bandwidth as


compared copper. Therefore, the fiber optic carries more data as compared to
copper cable.
•Faster speed: Fiber optic cable carries the data in the form of light. This
allows the fiber optic cable to carry the signals at a higher speed.
•Longer distances: The fiber optic cable carries the data at a longer distance
as compared to copper cable.
•Better reliability: The fiber optic cable is more reliable than the copper
cable as it is immune to any temperature changes while it can cause obstruct
in the connectivity of copper cable.
Propagation modes
Fiber construction
Fiber-optic cable connectors
UNGUIDED MEDIA: WIRELESS

Unguided media transport electromagnetic waves


without using a physical conductor. This type of
communication is often referred to as wireless
communication.
Radio Waves
Microwaves
Infrared
Electromagnetic spectrum for wireless communication
Propagation methods
Bands
Wireless transmission waves
Radio Waves

•Radio waves are the electromagnetic waves


that are transmitted in all the directions of
free space.
•Radio waves are omnidirectional, i.e., the
signals are propagated in all the directions.
•The range in frequencies of radio waves is
from 3Khz to 1Ghz.
•In the case of radio waves, the sending and
receiving antenna are not aligned, i.e., the
wave sent by the sending antenna can be
received by any receiving antenna.
•An example of the radio wave is FM radio.
Applications of Radio waves:
•A Radio wave is useful for multicasting when there is one sender and many
receivers.
•An FM radio, television, cordless phones are examples of a radio wave.

Advantages of Radio transmission:


•Radio transmission is mainly used for wide area networks and mobile
cellular phones.
•Radio waves cover a large area, and they can penetrate the walls.
•Radio transmission provides a higher transmission rate.
Microwaves

Characteristics of Microwave:
•Frequency range: The frequency range of terrestrial microwave is
from 4-6 GHz to 21-23 GHz.
•Bandwidth: It supports the bandwidth from 1 to 10 Mbps.
•Short distance: It is inexpensive for short distance.
•Long distance: It is expensive as it requires a higher tower for a
longer distance.
•Attenuation: Attenuation means loss of signal. It is affected by
environmental conditions and antenna size.
Unidirectional antennas
Microwaves

Advantages Of Microwave:
•Microwave transmission is cheaper than using cables.
•It is free from land acquisition as it does not require any land for the installation of
cables.
•Microwave transmission provides an easy communication in terrains as the installation of
cable in terrain is quite a difficult task.

Disadvantages of Microwave transmission:


•Eavesdropping: An eavesdropping creates insecure communication. Any malicious user
can catch the signal in the air by using its own antenna.
•Susceptible to weather condition: A microwave transmission is susceptible to weather
condition. This means that any environmental change such as rain, wind can distort the
signal.
•Bandwidth limited: Allocation of bandwidth is limited in the case of microwave
transmission.
Microwaves
Terrestrial Microwave Transmission

•Terrestrial Microwave transmission is a technology that transmits the focused


beam of a radio signal from one ground-based microwave transmission antenna to
another.

•Microwaves are unidirectional as the sending and receiving antenna is to be


aligned, i.e., the waves sent by the sending antenna are narrowly focused.

•In this case, antennas are mounted on the towers to send a beam to another
antenna which is km away.

•It works on the line-of-sight transmission, i.e., the antennas mounted on the towers
are the direct sight of each other.
Satellite Microwave Transmission

•A satellite is a physical object that revolves around the earth at a known


height.
•Satellite communication is more reliable nowadays as it offers more
flexibility than cable and fiber optic systems.
•We can communicate with any point on the globe by using satellite
communication.

How Does Satellite work?


The satellite accepts the signal that is transmitted from the earth station, and
it amplifies the signal. The amplified signal is retransmitted to another earth
station.
Infrared

•An infrared transmission is a wireless technology used for communication


over short ranges.
•The frequency of the infrared in the range from 300 GHz to 400 THz.
•It is used for short-range communication such as data transfer between two
cell phones, TV remote operation, data transfer between a computer and cell
phone resides in the same closed area.

Characteristics Of Infrared:
•It supports high bandwidth, and hence the data rate will be very high.
•Infrared waves cannot penetrate the walls. Therefore, the infrared
communication in one room cannot be interrupted by the nearby rooms.
•An infrared communication provides better security with minimum
interference.
•Infrared communication is unreliable outside the building because the sun rays
will interfere with the infrared waves.
Virtual private network
Addressing in a VPN
Addressing in a VPN
Module 5
Database Management System
Data, Information & Knowledge

• Data – means a single piece of information. Data is defined as a known


fact that can be recorded and have implicit meaning.

• Information – it is defined as a collection of related data that when put


together, communicate meaningful and useful message to a recipient who
uses it, to make decision or to interpret the data to get the meaning.

• Knowledge – is the data (facts), information and skills acquired through


experience and education.
Data, Information & Knowledge
• Data – 4, 2 (without content these values are meaningless)

• Information – Temp 4o C, Dew point 2o C (content adds meaning)

• Knowledge – A temp of 4o C and a dew point of 2o C, together with rain,


means that there is a chance of icing.(connection established)

This icing can adversely affect the aircraft.(consequences identified)

Last year this situation caused accidents.(comparison made)

I should not fly.(action taken, risk mitigated)


Date Temperature(oC) Dew Point(oC)
18/11/2020 4 4
19/11/2020 4 2
Data, Information & Knowledge

• Data represents a fact or statement of event without relation to other


things.
Ex: It is raining.
• Information embodies the understanding of a relationship of some sort,
possibly cause and effect.
Ex: The temperature dropped 15 degrees and then it started raining.
• Knowledge represents a pattern that connects and generally provides a
high level of predictability as to what is described or what will happen
next.
Ex: If the humidity is very high and the temperature drops
substantially the atmospheres is often unlikely to be able to hold the
moisture, so it rains.
Database, DBMS & Database System

• Database – a set of related data is called database.


Student(Enrollment_no, Student_name, Department, Year, Address)
Employee(Employee_no, Employee_name, Department, Address, DOJ, Sal)

• Database Management System-is a software system that allows its users


to access the data contained in the database, in the form that they want.
DBMS acts as a interface between the user and the database. The user
requests the DBMS to perform various operations(insert, update, delete,
select) on the database.

Database + DBMS = Database System

Eg. Salary Management System


Ticket Reservation System
Traditional Approach for Data Storage
and the Need of DBMS
Traditional Data Storage Model
• In traditional approach, information is stored in flat files which are
maintained by the file system under the operating system’s control.
• Application programs go through the file system in order to access these
flat files
How data is stored in flat files

• Data is stored in flat files as records.


• Records consist of various fields which are delimited by a space, comma,
pipe, any special character etc.
• End of records and end of files will be marked using any predetermined
character set or special characters in order to identify them
• Example: Storing employee data in flat files
Problems with traditional approach for storing data
• Data Security
– The data stored in the flat file(s) can be easily accessible and hence it is not secure.
• Data Redundancy
– In this storage model, the same information may get duplicated in two or more files. This may
lead to higher storage and access cost. It also may lead to data inconsistency.
• Data Isolation
– Isolation is nothing but locking the row while performing some task, so that other transaction
can not access or will wait for the current transaction to finish its job.
• Lack of Flexibility
– The traditional systems can retrieve information for predetermined requests for data.
Example : Consider a software application which can generate employee salary report.
Assume that all the data is stored in flat files. Suppose we now have a requirement to retrieve
all the employee details whose salary is greater than Rs.10000. It is not easy to generate such
on-demand reports and lot of time is needed for application developers to modify the
application to meet such requirements.
• Concurrent Access Anomalies
– Many traditional systems allow multiple users to access and update the same piece of data
simultaneously. However, this concurrent updates may result in inconsistent data. To guard
against this possibility, the system must maintain some form of supervision

These difficulties lead to the development of database systems.


Benefits of DBMS over Traditional File System

• Controlling Redundancy
• Integrity can be enforced
• Inconsistency can be avoided
• Accessing data through DBMS is easy
• Data can be Shared
• Standards can be enforced
• Restricting unauthorized access
• Concurrency anomalies can be reduced
• Providing Backup and Recovery
Organizing Data

• Bit: Smallest unit of data; binary digit(0,1)

• Byte: Group of bits that represent a single character

• Field: Group of words or a complete number

• Record: Group of related fields

• File: Group of records of same type

• Database: Group of related files


Data Hierarchy
File Organization Terms & Concepts

• Entity: Person, place, thing, event about which information is maintained

• Attribute: Description of a particular entity

• Key field: Identifier field used to retrieve, update, sort a record


File Organization Terms & Concepts

• Entity: Person, place, thing, event about which information is maintained

• Attribute: Description of a particular entity

• Key field: Identifier field used to retrieve, update, sort a record


Keys

• Super Key: is a set of one or more attributes that, taken collectively, allow
us to identify uniquely a tuple in the relation.

• Candidate Key: minimal set of super key is called candidate key.

• Primary Key: although several candidate keys may exist, one of the
candidate keys is selected by a designer as the principal means of
identifying tuples within a relation.

• Foreign Key: A relation say r1, may include among its attributes the
primary key of another relation schema, say r2. This attribute is called the
foreign key from r1, referencing r2.
Enroll No Name Address Ph No Dept

Super Key –
Candidate key –
Primary key –
Alternate key/Secondary key –
Unique -
Foreign Key
Enroll No Name Address Ph No Dept
Foreign Key
SQL – Structured Query Language
Constraints used in SQL
• NOT NULL: That indicates that the column must have some value and
cannot be left NULL.

• UNIQUE: This constraint is used to ensure that each row and column has a
unique value, and no value is being repeated in any other row or column.

• PRIMARY KEY: This constraint is used in association with NOT NULL and
UNIQUE constraints such as on one or the combination of more than one
column to identify the particular record with a unique identity.

• FOREIGN KEY: It is used to ensure the referential integrity of data in the


table. It matches the value in one table with another using the PRIMARY
KEY.

• CHECK: It ensures whether the value in columns fulfills the specified


condition.
SQL commands
1. DDL(Data Definition Language) : DDL or Data Definition Language
consists of the SQL commands that can be used to define the database
schema. It simply deals with descriptions of the database schema and is
used to create and modify the structure of database objects in the
database.
Examples of DDL commands:
• CREATE – is used to create the database or its objects (like table, index,
function, views, store procedure and triggers).
• DROP – is used to delete objects from the database.
• ALTER-is used to alter the structure of the database.
• TRUNCATE–is used to remove all records from a table, including all spaces
allocated for the records are removed.
• COMMENT –is used to add comments to the data dictionary.
• RENAME –is used to rename an object existing in the database.
2. DQL (Data Query Language) : DML statements are used for performing
queries on the data within schema objects. The purpose of DQL Command
is to get some schema relation based on the query passed to it.
Example of DQL:
• SELECT – is used to retrieve data from a database.

3. DML(Data Manipulation Language) : The SQL commands that deals with


the manipulation of data present in the database belong to DML or Data
Manipulation Language and this includes most of the SQL statements.
Examples of DML:
• INSERT – is used to insert data into a table.
• UPDATE – is used to update existing data within a table.
• DELETE – is used to delete records from a database table.
4. DCL(Data Control Language) : DCL includes commands such as GRANT and
REVOKE which mainly deals with the rights, permissions and other
controls of the database system.
Examples of DCL commands:
• GRANT-gives user’s access privileges to database.
• REVOKE-withdraw user’s access privileges given by using the GRANT
command.

5. TCL(transaction Control Language) : TCL commands deals with the


transaction within the database.
Examples of TCL commands:
• COMMIT– commits a Transaction.
• ROLLBACK– rollbacks a transaction in case of any error occurs.
• SAVEPOINT–sets a savepoint within a transaction.
• SET TRANSACTION–specify characteristics for the transaction.
Entity Relationship Diagram

Outline of the ER Model

• The ER data model employs three basic concepts:


– entity sets
– relationship sets
– attributes

• The ER model also has an associated diagrammatic


representation, the ER diagram, which can express the
overall logical structure of a database graphically.
Entity
• An entity is an object that exists and is
distinguishable from other objects.
• An entity is represented by a set of attributes;
i.e., descriptive properties possessed by all
members of an entity set.
– Example:
instructor = (ID, name, street, city, salary )
course= (course_id, title, credits)
• A subset of the attributes form a primary key of
the entity set; i.e., uniquely identifying each
member of the set.
Entity Sets -- instructor and student

instructor_ID instructor_name student-ID student_name


Relationship

• A relationship is an association among


several entities.

Example:

44553 (Peter) advisor 22222 (Einstein)


student entity relationship set instructor entity
Relationship - advisor
Attributes
• Attribute types:
– Simple and composite attributes.
– Single-valued and multivalued attributes
• Example: multivalued attribute: phone_numbers
– Derived attributes
• Can be computed from other attributes
• Example: age, given date_of_birth
• Domain – the set of permitted values for
each attribute
Composite Attributes
Symbols Used in E-R Notation
Symbols Used in E-R
Notation
A Sample Relational Database
E-R Diagrams

Rectangles represent entity sets.


Diamonds represent relationship sets.
Lines link attributes to entity sets and entity sets to relationship sets.
Ellipses represent attributes
Double ellipses represent multivalued attributes.
Dashed ellipses denote derived attributes.
Underline indicates primary key attributes (will study later)
E-R Diagram With Composite, Multivalued, and Derived
Attributes
Relationship with Attributes

Like entities, a relationship too can have attributes. These attributes are called
descriptive attributes.
Roles
• Entity sets of a relationship need not be distinct
• The labels “manager” and “worker” are called roles; they
specify how employee entities interact via the works_for
relationship set.
• Roles are indicated in E-R diagrams by labeling the lines that
connect diamonds to rectangles.
• Role labels are optional, and are used to clarify semantics of the
relationship
Mapping Cardinality Constraints

• Express the number of entities to which another


entity can be associated via a relationship set.
• Most useful in describing binary relationship sets.
• For a binary relationship set the mapping
cardinality must be one of the following types:
– One to one
– One to many
– Many to one
– Many to many
Mapping Cardinalities

One to one One to many

Note: Some elements in A and B may not be mapped to any


elements in the other set
Mapping Cardinalities

Many to one Many to many

Note: Some elements in A and B may not be mapped to any


elements in the other set
Cardinality Constraints

• We express cardinality constraints by drawing either a directed


line (→), signifying “one,” or an undirected line (—), signifying
“many,” between the relationship set and the entity set.
• One-to-one relationship:
– A customer is associated with at most one loan via the relationship
borrower
– A loan is associated with at most one customer via borrower
One-To-Many Relationship
• In the one-to-many relationship a loan is
associated with at most one customer via
borrower, a customer is associated with
several loans via borrower
Many-To-One Relationships
• In a many-to-one relationship a loan is
associated with several customers via
borrower, a customer is associated with at
most one loan via borrower
Many-To-Many Relationship
• A customer is associated with several loans via
borrower
• A loan is associated with several customers via
borrower
Participation of an Entity Set in a Relationship Set

Total participation (indicated by double line): every entity in the entity set
participates in at least one relationship in the relationship set
E.g. participation of loan in borrower is total
 every loan must have a customer associated to it via borrower
Partial participation: some entities may not participate in any relationship in the
relationship set
Example: participation of customer in borrower is partial
Alternative Notation for Cardinality Limits
Cardinality limits can also express participation constraints
E-R Diagram with a Ternary
Relationship
Cardinality Constraints on Ternary
Relationship
• We allow at most one arrow out of a ternary (or greater
degree) relationship to indicate a cardinality constraint
• E.g. an arrow from works_on to job indicates each
employee works on at most one job at any branch.
• If there is more than one arrow, there are two ways of
defining the meaning.
– E.g. a ternary relationship R between A, B and C with arrows to B
and C could mean
1. each A entity is associated with a unique entity from B and C
or
2. each pair of entities from (A, B) is associated with a unique C
entity, and each pair (A, C) is associated with a unique B
– Each alternative has been used in different formalisms
– To avoid confusion we outlaw more than one arrow
Weak Entity Sets
• An entity set that does not have a primary key is referred to as a
weak entity set.
• The existence of a weak entity set depends on the existence of a
identifying entity set
– it must relate to the identifying entity set via a total, one-to-many
relationship set from the identifying to the weak entity set
– Identifying relationship depicted using a double diamond
• The discriminator (or partial key) of a weak entity set is the set
of attributes that distinguishes among all the entities of a weak
entity set.
• The primary key of a weak entity set is formed by the primary
key of the strong entity set on which the weak entity set is
existence dependent, plus the weak entity set’s discriminator.
Weak Entity Sets (Cont.)
• We depict a weak entity set by double rectangles.
• We underline the discriminator of a weak entity set with a
dashed line.
• payment_number – discriminator of the payment entity set
• Primary key for payment – (loan_number, payment_number)
Extended E-R Features: Specialization

• Top-down design process; we designate sub-groupings


within an entity set that are distinctive from other entities
in the set.
• These sub-groupings become lower-level entity sets that
have attributes or participate in relationships that do not
apply to the higher-level entity set.
• Depicted by a triangle component labeled ISA (E.g.
customer “is a” person).
• Attribute inheritance – a lower-level entity set inherits all
the attributes and relationship participation of the higher-
level entity set to which it is linked.
Specialization Example
Extended ER Features: Generalization
• A bottom-up design process – combine a number of entity
sets that share the same features into a higher-level entity
set.
• Specialization and generalization are simple inversions of
each other; they are represented in an E-R diagram in the
same way.
• The terms specialization and generalization are used
interchangeably.
Specialization and Generalization
(Cont.)
• Can have multiple specializations of an entity set
based on different features.
• E.g. permanent_employee vs. temporary_employee,
in addition to officer vs. secretary vs. teller
• Each particular employee would be
– a member of one of permanent_employee or
temporary_employee,
– and also a member of one of officer, secretary, or teller
• The ISA relationship also referred to as superclass -
subclass relationship
E-R Diagram for a Banking
Enterprise
An ER schema diagram for the COMPANY database
ERD of Online Bookstore
Student Record Management
Hospital Information System
Module III: E-Commerce
What is E-COMMERCE?
Definition : The process of buying, selling, or
exchanging products, services or information via
computer network.

E-commerce is the use of the Internet, the Web,


and mobile apps and browsers running on mobile
devices to transact business. More formally,
digitally enabled commercial transactions
between and among organizations and
individuals.
What is E-BUSINESS?
Definition : E-business refers to a broader definition of EC, not
just the buying and selling of goods and services but
conducting all kinds of business online such as servicing
customers, collaborating with business partners, delivering e-
learning, and conducting electronic transactions within an
organization.

E-business includes e-commerce but also covers internal


processes such as production, inventory management,
product development, risk management, finance, knowledge
management and human resources. E-business strategy is
more complex, more focused on internal processes, and
aimed at cost savings and improvements in efficiency,
productivity and cost savings.
DIFFERENCE BETWEEN E-COMMERCE
AND E-BUSINESS
• Buying and Selling of goods and services through the internet is known as
E-commerce. E-business is an electronic presence of a business, by which
all the business activities are conducted through the internet.

• E-commerce is a major component of E-business.

• E-commerce includes transactions which are related to money, but E-


business, includes monetary as well as allied activities.

• E-commerce requires a website that can represent the business.


Conversely, E-business requires a website, Customer Relationship
Management and Enterprise Resource Planning for running business over
the internet.

• E-commerce uses the internet to connect with the rest of the world. In
contrast to E-business, internet, intranet and extranet are used for
connecting with the parties.
Advantages of E-commerce

The advantages of E-commerce are basically increased sales and


decreased costs through the use of electronic media, especially the
Web.
–Affordability
–Global Reach
–Round-the-clock operation
–Cost effectiveness
–Disintermediation (customer interacts directly with the
business organization)
–Interrelated business partners
–Strong information base
–Improved customer relations
Advantages to Organizations
Advantages to Customers
Advantages to Society
Limitations of E-commerce
The limitations of e-commerce can be broadly
classified into two major categories:

– Technical
– Non-technical
Technical Limitations
• There can be lack of system security, reliability or standards owing to poor
implementation of e-commerce.

• The software development industry is still evolving and keeps changing


rapidly.

• In many countries, network bandwidth might cause an issue.

• Special types of web servers or other software might be required by the


vendor, setting the e-commerce environment apart from network servers.

• Sometimes, it becomes difficult to integrate an e-commerce software or


website with existing applications or databases. There could be
software/hardware compatibility issues, as some e-commerce software
may be incompatible with some operating system or any other
component.
Non-Technical Limitations
• Initial cost: The cost of creating/building an e-commerce application in-
house may be very high. There could be delays in launching an E-Commerce
application due to mistakes, and lack of experience.

• User resistance: Users may not trust the site being an unknown faceless
seller. Such mistrust makes it difficult to convince traditional users to switch
from physical stores to online/virtual stores.

• Security/ Privacy: It is difficult to ensure the security or privacy on online


transactions.

• Lack of touch or feel of products during online shopping is a drawback.

• Internet access is still not cheaper and is inconvenient to use for many
potential customers, for example, those living in remote villages.
The dimensions of E-Commerce
• A product may be physical or digital
• The process may be physical or digital
• The delivery method may be physical or digital

These alternatives create eight cubes, each of


which has three dimensions.
The dimensions of E-Commerce
EC Organizations
• Brick-and-Mortar (old-economy) organizations –
Organizations that perform their primary business off-
line, selling physical products by means of physical
agents.

• Virtual (pure-play) organizations – Organizations that


perform their business activities solely online.

• Click-and-Mortar (click-and-brick) organizations –


Organizations that conduct some e-commerce
activities, usually as an additional marketing channel.
Types of E-Commerce
E-commerce can generally be categorized into the following categories:-
– Business - to - Business (B2B)
– Business - to - Consumer (B2C)
– Consumer - to - Consumer (C2C)
– Consumer - to - Business (C2B)
– Government - to - Government (G2G)
– Business - to - Government (B2G)
– Government - to - Business (G2B)
– Government - to - Citizen (G2C)
– Citizen - to - Government (C2G)

Government Business Customer


Government G2G G2B G2C
Business B2G B2B B2C
Customer C2G C2B C2C
Business - to - Business (B2B)
A website following the B2B business model sells its products to an
intermediate buyer who then sells the product to the final customer. As an
example, a wholesaler places an order from a company's website and after
receiving the consignment, sells the end-product to the final customer
who comes to buy the product at one of its retail outlets.
IndiaMART.com, TradeIndia.com, India.Alibaba.com, Made-From-
India.com, Sulekha.com, JimTrade.com
Business - to - Consumer (B2C)

A website following the B2C business model sells its products directly to a
customer. A customer can view the products shown on the website. The
customer can choose a product and order the same. The website will then
send a notification to the business organization via email and the
organization will dispatch the product/goods to the customer.
Flipkart.com, Yebhi.com, Myntra.com, Zovi.com etc
Business – to – Business – to - Consumer (B2B2C)

In business-to-business-to-consumer (B2B2C) EC, a business (B1) sells a


product to another business (B2). B2 then sells, or gives away, the product
to individuals who may be B2’s own customers or employees.

An example is godiva.com . The company sells chocolates directly to


business customers. Those businesses may then give the chocolates as
gifts to employees or business partners.

Another interesting example of B2B2C can be found at wishlist.com.au


Consumer - to - Consumer (C2C)

A website following the C2C business model helps consumers to sell their
assets like residential property, cars, motorcycles, etc., or rent a room by
publishing their information on the website. Website may or may not
charge the consumer for its services. Another consumer may opt to buy
the product of the first customer by viewing the post/advertisement on
the website.
Quikr.com, OLX.com etc.
Consumer - to - Business (C2B)

In this model, a consumer approaches a website showing multiple


business organizations for a particular service. The consumer places an
estimate of amount he/she wants to spend for a particular service. For
example, the comparison of interest rates of personal loan/car loan
provided by various banks via websites. A business organization who
fulfills the consumer's requirement within the specified budget,
approaches the customer and provides its services.
monster.com, naukri.com
E-Governance

E-governance is the integration of Information and Communication


Technology (ICT) in all the processes, with the aim of enhancing
government ability to address the needs of the general public. The basic
purpose of e-governance is to simplify processes for all, i.e. government,
citizens, businesses at National, State and local levels.
Government Business Customer
Benefits of E-governance Government G2G G2B G2C
– Reduced corruption Business B2G
– High transparency Customer C2G
– Increased convenience
– Reduction in overall cost
– Expanded reach of government
Government – to - Citizen (G2C)

The most basic aspect of E-Governance is cordial relationship between


Government and Citizen. In current scenario, Government deals with many
aspects of the life of a citizen. The nexus of a citizen with the Government
starts with the birth and ends with the death of the citizen. The G2C relation
include the services provided by the Government to the Citizens. These
services include the public utility services like Transportation, Education,
Medical facilities, etc.

• E-Citizenship - E-Citizenship involves online transactions relating to issue and


renewal of documents like Ration Cards, Passports, Election Cards, Identity
Cards, etc.

• E-Registration - E-registration will help to reduce a significant amount of


paperwork. This will cover the online registration of various contracts.

• E-Transportation - E-Transportation services would include ICT enablement of


services of Government relating to Transport by Road, Rail, Water or Air. This
may involve online:
1. Booking and cancellation of tickets,
2. Status of vehicles, railways, boats and flights,
3. Payment of fees and taxes for vehicle registration.
Government – to - Citizen (G2C)

• E-Health - E-Health services would be ICT enablement of the health


services of the Government. Government of Tamilnadu has launched free
help line number for “Medical Emergency -104” which is available around
the clock. Under this interconnection of all hospitals may take place. A
patient database may be created. A local pharmacy database may also be
created. The next version can be reminding the patient regarding the
periodically check up.

• E-Help - E-Help refers to general help line number. It includes the use of
technologies like internet, SMS, etc. for the purpose of reducing the
response time of the Government agencies to the people queries and at
the time of disasters. “Women Help line number – 1091”, “Child Help Line
Number -1098 ” The role of NGOs is also vital in helping the Government
during the time of disasters.
Citizen - to - Government (C2G)

Citizen to Government relationship will include the communication of


citizens with the Government arising in the Democratic process like voting,
feedback, etc.

E-Taxation - E-Taxation will facilitate payment of tax through online. Online


tax due alerts will be a better app for common man so that they stay in
touch with government. Income Tax return can be filed online.

E-Feedback - E-Feedback includes the use of Information Technology for


the purpose of giving feedback to the Government.
Ex: for the purpose of implementing smart city project the government is
open to public opinion through online feedback, implementing metro rail
project
Government - to - Government (G2G)

G2G relationship would include the relationships between Central and State
Government and also the relationship between two or more Government
departments
• E-administration - E-administration would include the implementation of IT in the
functioning of the Government, internally and externally. E-administration can
substantially reduce paperwork if properly used. E-administration will also bring
transparency to the administration of Government Departments.
• E-police - The concept of E-police includes databases of Police Officers, their
performances; Criminals databases. This is little different from Cyber-Police. Cyber
Police require technology experts to curb the electronic crimes. Whereas e-police
inclined to reduce the response time of police department when approached by
public.
• E-courts - The concept of E-Court will include the IT enablement of the judicial
process. This will ultimately decrease the time delay in hearing a case. Details
regarding the cases can be seen online, even though it’s there in current scenario
but it’s not effectively followed. Government must see the ways and means
through which this can be implemented effectively.
Government - to - Business (G2B)

• E-Licensing - Companies have to acquire various licenses from the


Government. If this procedures are effectively followed in online, time
duration can be reduced.

• E-Tendering - E-Tendering will include the facilities of online tendering


and procurement. If submission of tenders and allotment of work is made
online. It will reduce time and cost involved in the physical tendering
system. Scams can be avoided.
Business - to -Government (B2G)

Business-to-government (B2G) is a business model that refers to businesses


selling products, services or information to governments or
government agencies.

Federal, state and local government bureaus often rely on private-sector


suppliers for vital services. For example, B2G companies can provide web-
based applications and databases designed specifically for government
offices.
Information technology is the use of computer hardware and software. IT
includes computers, networking, storage, infrastructure, software, and the
exchange of electronic data.
IT contracts between companies and government departments are very
common. Every public institution needs IT goods and services.
Intrabusiness EC

E-commerce can be done not only between business partners but also within
organizations. Such activity is referred to as Intrabusiness EC or in short,
Intrabusiness.
Intrabusiness can be done between a business and its employees (B2E),
among units within the business (usually done as collaborative commerce), and
among employees in the same business.

Business-to-Its-Employees (B2E) Commerce :

Companies are finding many ways to do business electronically with their own
employees. They disseminate information to employees over the company
intranet, e.g. they also allow employees to manage their fringe benefits and take
training classes electronically. In addition, employees can buy discounted
insurance, travel packages, and tickets to events on the corporate intranet, and
they can electronically order supplies and material needed for their work. Also,
many companies have electronic corporate stores that sell the company's products
to its employees, usually at a discount.
Revenue Model
A firm’s revenue model describes how the firm will earn revenue, generate
profits, and produce a superior return on invested capital.

• Advertising revenue model a company provides a forum for advertisements


and receives fees from advertisers.
• Subscription revenue model a company offers its users content or services
and charges a subscription fee for access to some or all of its offerings.
– Freemium strategy companies give away a certain level of product or services for
free, but then charge a subscription fee for premium levels of the product or
service. Some companies allow people to play games for a fee or to watch a sports
competition in real time for a fee (e.g., espn.go.com).
• Transaction fee revenue model a company receives a fee for enabling or
executing a transaction.
• Sales revenue model a company derives revenue by selling goods,
information, or services
• Affiliate revenue model a company steers business to an affiliate and receives
a referral fee or percentage of the revenue from any resulting sales
Revenue Model
Internet Banking
• Internet Banking refers to the system that enable bank customers to access
accounts and general information on bank products and services through a PC or
other intelligent device.
• Internet banking products and service can include wholesale products for
corporate customers as well as retail products for consumers.
• Retail products and services include:
– Balance enquiry
– Fund transfers
– Downloading transaction information
– Bill payments
– Loan applications
– Investment activity
– Other value-added services
• Interbank transfer is a special service that allow to transfer funds electronically to
other banks in India through:
– NEFT (National Electronic Fund Transfer)
– RTGS (Real Time Gross Settlement)
– IMPS (Immediate Payment service)
Basic Difference Between NEFT, RTGS
and IMPS
NEFT RTGS IMPS

Minimum transfer
Rs.1 Rs.2 lakh Rs.1
value

Maximum transfer
Rs.2 lakh Rs.10 lakh Rs.2 lakh
value

One-on-one One-on-one
Type of settlement Batches
settlement settlement

Within 2 hours
Speed of settlement (subject to cut-off Immediately Immediately
timings and batches)

Service availability 24/7 Banking Hours 24/7

Transaction fee Yes Yes Yes

Online/Offline Both Both Online


Security measures implemented in the online banking system
• User-id : A user will have to fill in his Customer ID and Password details so as to securely
login.
• Virtual Keyboard : Using a Virtual Keyboard to enter passwords is the best way to stay
protected even on shared computer.
• Encryption : It is the first line of defense for internet banking security. Banks have 128-bit
security and require users to have it on the browser they use.
• Session : Banking on a secure webpage that encrypts the session between the customer's
computer and the webpage using 128-bit encryption so that the communication cannot
be intercepted by anyone over the internet. After a stated time-period, if a user’s online
webpage is idle, it will automatically be logged out.
• Digital Certificate : The webpage of the Bank's internet banking server is identified by
means of a digital certificate provided by Verisign to assure its customer that they are on
the correct site.
• Extended Validation Secure Sockets Layer Certificate (EVSSL) : NetBanking security by
obtaining “the EVSSL certificate” or “the certificate”) provides clear visual indicators in
the form of a green address bar so that customers can easily identify a genuine website.
The green bar clearly verifies that the website belongs to the organization it claims to be
from.
Security measures implemented in the online banking system

• Insta Alerts : Customers receive timely alerts in the form of SMS or emails, which helps to
keep track of financial transactions.
• Security Solutions : Banking systems are secured using state-of-the-art security solutions
such as firewalls, intrusion detection systems, intrusion prevention systems and anti-
malware systems.
• Cooling Period : Fund Transfer can only be made to the beneficiaries that are added by
the Customer. The customer can transfer funds to the payee only after a 30 minutes
cooling period.
• CAPTCHA Implementation : To safeguard the customer from password guessing attack on
their customer id, bank has implemented CAPTCHA solution.
• Last Login : Every user is given an indication of his last login, which helps him to analyse.
• Mobile Number Masking : To avoid unnecessary risk, only the last digits of a user’s
mobile number is displayed in SMSs.
Electronic Payment Systems
E-Commerce sites use electronic payment where electronic payment
refers to paperless monetary transactions. Electronic payment has
revolutionized the business processing by reducing paper work,
transaction costs, labour cost. Some of the modes of electronic payments
are following.
• Credit Card
• Debit Card
• Smart Card
• E-Wallet
• Electronic Fund Transfer (EFT)
• Unified Payment Interface (UPI)
Credit Card
Payment using credit card is one of most common mode of electronic
payment. Credit card is small plastic card with a unique number attached
with an account. It has also a magnetic strip embedded in it which is used
to read credit card via card readers. When a customer purchases a product
via credit card, credit card issuer bank pays on behalf of the customer and
customer has a certain time period after which he/she can pay the credit
card bill. It is usually credit card monthly payment cycle.

Following are the actors in the credit card system.


• The card holder - Customer
• The merchant - seller of product who can accept credit card payments.
• The card issuer bank - card holder's bank
• The acquirer bank - the merchant's bank
• The card brand - for example , visa or mastercard.
Debit Card
Debit card, like credit card is a small plastic card with a unique number
mapped with the bank account number. It is required to have a bank
account before getting a debit card from the bank. The major difference
between debit card and credit card is that in case of payment through
debit card, amount gets deducted from card's bank account immediately
and there should be sufficient balance in bank account for the transaction
to get completed. Whereas in case of credit card there is no such
compulsion.
Debit cards free customer to carry cash, cheques and even merchants
accepts debit card more readily. Having restriction on amount being in
bank account also helps customer to keep a check on his/her spendings.
Smart Card
Smart card is again similar to credit card and debit card in appearance but
it has a small microprocessor chip embedded in it. It has the capacity to
store customer work related/personal information. Smart card is also used
to store money which is reduced as per usage.
Smart card can be accessed only using a PIN of customer. Smart cards are
secure as they stores information in encrypted format and are less
expensive/provides faster processing. Mondex and Visa Cash cards are
examples of smart cards.
E-wallet
E-wallet is an online prepaid account where one can stock money, to be
used when required. As it is a pre-loaded facility, consumers can buy a
range of products from airline tickets to grocery without swiping a debit or
credit card.

E-Money
E-Money transactions refers to situation where payment is done over
the network and amount gets transferred from one financial body to
another financial body without any involvement of a middleman. E-
money transactions are faster, convenient and saves a lot of time.
Online payments done via credit card, debit card or smart card are
examples of e-money transactions.
Electronic Fund Transfer
It is a very popular electronic payment method to transfer money from
one bank account to another bank account. Accounts can be in same bank
or different bank. Fund transfer can be done using ATM (Automated Teller
Machine) or using computer.
Now a days, internet-based EFT is getting popularity. In this case,
customer uses website provided by the bank. Customer logins to the
bank's website and registers another bank account. He/she then places a
request to transfer certain amount to that account. Customer's bank
transfers amount to other account if it is in same bank otherwise transfer
request is forwarded to ACH (Automated Clearing House) to transfer
amount to other account and amount is deducted from customer's
account. Once amount is transferred to other account, customer is
notified of the fund transfer by the bank.
Unified Payment Interface (UPI)
A Unified Payment Interface (UPI) is a single window mobile payment
system launched by the National Payments Corporation of India (NPCI).
The system is designed to provide a simple, secure and convenient “single
interface” to enable sending and receiving of money using smartphones
through a "single identifier" which can be a virtual address like an email
ID, mobile number. It eliminates the need to enter bank details or other
sensitive information each time a customer initiates a transaction.

The Unified Payment Interface is intended to enable peer-to-peer


immediate payment via a single click two factor authentication process.
UPI use existing systems such as Immediate Payment Service (IMPS)
and Aadhaar Enabled Payment System (AEPS) to ensure seamless
settlement across accounts.

BHIM or Bharat Interface for Money, is a complete payment solution app


that works on the Unified Payments Interface (UPI) system.
Key security threats in the
e-commerce environment
• Malicious code
• Potentially unwanted programs
• Phishing
• Hacking and cybervandalism
• Credit card fraud/theft
• Identity fraud
• Spoofing
• Pharming
• Denial of Service (DoS) and Distributed Denial of Service (DDoS) attacks
• Sniffing
• Insider jobs
• Poorly designed server and client software
• Social network security issues
• Mobile platform security issues
MALICIOUS CODE

Malicious code (sometimes referred to as “malware”) includes a variety of threats such as


viruses, worms, trojan horses, ransomware. Malware is often delivered in the form of a
malicious attachment to an email or embedded as a link in the email.
• Some malicious code, sometimes referred to as an exploit, is designed to take advantage of
software vulnerabilities in a computer’s operating system, web browser, applications, or
other software components. Exploit kits are collections of exploits bundled together and
rented or sold. Use of an exploit kit typically does not require much technical skill, enabling
novices to become cybercriminals.
• Maladvertising - online advertising that contains malicious code.
• Drive-by download - malware that comes with a downloaded file that a user requests.
• Virus - a computer program that can replicate or make copies of itself and spread to other
files. Viruses are often combined with a worm. Instead of just spreading from file to file, a
worm is designed to spread from computer to computer.
• Worm - malware that is designed to spread from computer to computer.
• Ransomware (scareware) - malware that prevents you from accessing your computer or files
and demands that you pay a fine.
• Trojan horse - appears to be nothing, but then does something other than expected. Often a
way for viruses or other malicious code to be introduced into a computer system.
POTENTIALLY UNWANTED PROGRAMS (PUPS)

The e-commerce security environment is further challenged by potentially


unwanted programs (PUPs) such as adware, browser parasites, spyware,
and other applications that install themselves on a computer, such as
security software, toolbars, and PC diagnostic tools, typically without the
user’s consent. Users are fooled into downloading them. Once installed,
these applications are usually exceedingly difficult to remove from the
computer.
One example of a PUP is System Doctor, which infects PCs running
Windows operating systems. System Doctor poses as a legitimate anti-
spyware program when in fact it is malware that, when installed, disables
the user’s security software, alters the user’s web browser, and diverts
users to scam websites where more malware is downloaded.
POTENTIALLY UNWANTED PROGRAMS (PUPS)

• Adware – is typically used to call for pop-up ads to display when the user
visits certain sites.

• Browser parasite - is a program that can monitor and change the settings
of a user’s browser, for instance, changing the browser’s home page, or
sending information about the sites visited to a remote computer. Browser
parasites are often a component of adware.
(Lenovo faced huge criticisms when it became known that, since
September 2014, it had been shipping its Windows laptops with Superfish
adware preinstalled.)

• Spyware - can be used to obtain information such as a user’s keystrokes,


copies of e-mail and instant messages, and even take screenshots (and
thereby capture passwords or other confidential data).
PHISHING

Phishing is any deceptive, online attempt by a third party to obtain confidential


information for financial gain. Phishing attacks typically do not involve malicious
codes.
One of the most popular phishing attacks is the e-mail scam letter. The scam
begins with an e-mail: a rich former oil minister of Nigeria is seeking a bank
account to stash millions of dollars for a short period of time, and requests your
bank account number where the money can be deposited. In return, you will
receive a million dollars. This type of e-mail scam is popularly known as a “Nigerian
letter” scam.
Thousands of other phishing attacks use other scams, some pretending to be eBay,
PayPal, or Citibank writing to you for account verification (known as spear
phishing, or targeting a known customer of a specific bank or other type of
business). Click on a link in the e-mail and you will be taken to a website controlled
by the scammer, and prompted to enter confidential information about your
accounts, such as your account number and PIN codes.
HACKING, CYBERVANDALISM, AND HACKTIVISM

A hacker is an individual who intends to gain unauthorized access to a computer


system. Within the hacking community, the term cracker is typically used to
denote a hacker with criminal intent.

Hackers have malicious intentions to disrupt, deface, or destroy sites


(cybervandalism) or to steal personal or corporate information they can use for
financial gain.

Hacktivism adds a political twist. Hacktivists typically attack governments,


organizations, and even individuals for political purposes, employing the tactics of
cybervandalism, distributed denial of service attacks, data thefts, and doxing
(gathering and exposing personal information of public figures, typically from
emails, social network posts, and other documents).

• white hats - “good” hackers who help organizations locate and fix security flaws
• black hats - hackers who act with the intention of causing harm
• grey hats - hackers who believe they are pursuing some greater good by breaking
in and revealing system flaws. Their only reward is the prestige of discovering the
weakness.
Module 1
SSI(Small Scale Integration ) —10–100 transistors/chip
MSI(Medium Scale Integration ) —100–1000 transistors/chip
LSI(Large Scale Integration ) —1000–10,000 transistors/chip
VLSI( Very Large Scale Integration ) —10,000–1,00,000 transistors/chip
ULSI( Ultra Large Scale Integration ) —10 ^ 6 –10 ^ 7 transistors/chip
GSI( Giant Scale Integration ) — greater than 10 ^ 7 transistors/chip
Categories of Computers and Computer Systems
• Computers are classified into two:
• A special-purpose computer
• A general-purpose computer
Special-Purpose Computers
• Is a computer designed for a particular function, executing the same stored
set of instructions whenever requested.
• For example
• microwave ovens
• washing machine
• medical diagnostic equipment
Categories of Computers and Computer Systems
General-Purpose Computers
• Is a computer that can be used for solving many different types of
problems.
• Available in many sizes and a wide range of capabilities.
• Can be classified as follows:
1. Microcomputers
a. Laptop computers
b. Desktop computers
c. Workstations
2. Minicomputers
3. Mainframe computers
4. Supercomputers

Classification of computers
based on size and type
Microcomputers
• Microcomputers are small, low-cost and
normally single-user digital computer.
• They consist of CPU, input unit, output unit,
storage unit and the software.
• Although microcomputers are stand-alone
machines, they can be connected to create
a network of computers that can serve
more than one user. IBM PC based on
Pentium microprocessor and Apple
Macintosh are some examples of
microcomputers.
• A workstation is the largest type of
microcomputer and is generally used in
scientific and engineering applications.
Netbook are smaller notebooks optimized
for low weight and low cost and are
designed for accessing web-based
applications.
Minicomputers
• Minicomputers are digital computers, generally used in
multi-user systems. They have high processing speed and
high storage capacity than the microcomputers.
Minicomputers can support many users simultaneously.
The users can access the minicomputer through their PCs
or terminal. They are used for real-time applications in
industries, research centers, etc.
• They are smaller and cheaper compared to mainframes.
• They can be server, which is used for managing internal
company networks or Web sites.
• Server computers are specifically optimized to support a
computer network enabling users to share files, software,
peripheral devices (such as printers), or other network
resources.
Mainframe Computer

• Mainframe computers are multi-user, multi-programming


and high-performance computers.
• They operate at a very high speed, have very large storage
capacity and can handle the workload of many users.
• Mainframe computers are large and powerful systems
generally used in centralized databases. The user accesses
the mainframe computer via a terminal that may be a dumb
terminal, an intelligent terminal or a PC.
• The largest computer, a powerhouse with massive memory
and extremely rapid processing power.
• It is used for very large business, scientific or military
application where a computer must handle massive amounts
of data or many complicated processes. Some examples of
mainframes are CDC 6600 and IBM ES000 series.
Supercomputer
• Supercomputers are the fastest and the most expensive
machines.
• They have high processing speed compared to other computers.
The speed of a supercomputer is generally measured in FLOPS
(Floating point Operations Per Second). Some of the faster
supercomputers can perform trillions of calculations per second.
• Supercomputers are built by interconnecting thousands of
processors that can work in parallel. Supercomputers are used for
highly calculation-intensive tasks, such as, weather forecasting,
climate research (global warming), molecular research, biological
research, nuclear research and aircraft design.
• They are also used in military agencies and scientific research
laboratories.
• Some examples of supercomputers are IBM Roadrunner, IBM Blue
gene and Intel ASCI red. PARAM is a series of supercomputer
assembled in India by C-DAC (Center for Development of
Advanced Computing), in Pune. PARAM Padma is the latest
machine in this series. The peak computing power of PARAM
Padma is 1 Tera FLOP (TFLOP). First supercomputer was CDC6600
released in 1964
Human-Being Vs Computer

• A Human is not a machine, whereas a Computer is a machine.

• Human has a brain, but the computer has an operating system.

• Humans can do their work by themselves, but a computer needs a command to


complete a task.

• Human has emotions and creative thinking, but the computer does not have any
emotions neither has thinking capability.

• Humans grow day by day, but the computer does not grow.

• Computers need to be updated for better processing, but humans cannot be updated.
Applications of computer
Education Computers are extensively used, as a tool and as an aid, for imparting education.
Educators use computers to prepare notes and presentations of their lectures. Computers are
used to develop computer-based training packages, to provide distance education using the e-
learning software, and to conduct online examinations. Researchers use computers to get easy
access to conference and journal details and to get global access to the research material.

Entertainment Computers have had a major impact on the entertainment industry. The user can
download and view movies, play games, chat, book tickets for cinema halls, use multimedia for
making movies, incorporate visual and sound effects using computers, etc. The users can also
listen to music, download and share music, create music using computers, etc.

Sports A computer can be used to watch a game, view the scores, improve the game, play games
(like chess, etc.) and create games. They are also used for the purposes of training players.
Applications of computer
Advertising Computer is a powerful advertising media. Advertisement can be displayed on different websites,
electronic-mails can be sent and reviews of a product by different customers can be posted. Computers are also
used to create an advertisement using the visual and the sound effects. For the advertisers, computer is a
medium via which the advertisements can be viewed globally. Web advertising has become a significant factor in
the marketing plans of almost all companies. In fact, the business model of Google is mainly dependent on web
advertising for generating revenues.

Medicine Medical researchers and practitioners use computers to access information about the advances in
medical research or to take opinion of doctors globally. The medical history of patients is stored in the
computers. Computers are also an integral part of various kinds of sophisticated medical equipment's like
ultrasound machine, MRI scan machine, etc. Computers also provide assistance to the medical surgeons during
critical surgery operations like laparoscopic operations, etc.

Science and Engineering Scientists and engineers use computers for performing complex scientific calculations,
for designing and making drawings (CAD/CAM applications) and for simulating and testing the designs.
Computers are used for storing the complex data, performing complex calculations and for visualizing 3–
dimensional objects. Complex scientific applications like the launch of the rockets, space exploration, etc., are
not possible without the computers.
Applications of computer
Government The government uses computers to manage its own operations and for
e-governance. The websites of the different government departments provide
information to the users. Computers are used for the filing of income tax return,
paying taxes, online submission of water and electricity bills, for the access of land
record details, etc. The police department uses computers to search for criminals
using fingerprint matching, etc.

Home Computers have now become an integral part of home equipment. At home,
people use computers to play games, to maintain the home accounts, for
communicating with friends and relatives via Internet, for paying bills, for education
and learning, etc. Microprocessors are embedded in household utilities like, washing
machines, TVs, food processors, home theatres, security devices, etc.
• The memory is characterized based on
two key factors—capacity and access time.
• Capacity is the amount of information (in
Memory Hierarchy bits) that a memory can store.
• Access time is the time interval between the
read/ write request and the availability of
data. The lesser the access time, the faster is
the speed of memory.
• Ideally, we want the memory with fastest
speed and largest capacity. However, the
cost of fast memory is very high. The
computer uses a hierarchy of memory that
is organized in a manner to enable the
fastest speed and largest capacity of
memory.
• The internal memory and external
memory are the two broad categories of
memory used in the computer. The
internal memory consists of the registers,
cache memory and primary memory. The
internal memory is used by the CPU to
perform the computing tasks.
• The external memory is also called the
secondary memory. The secondary
memory is used to store the large amount
of data and the software.
Internal Memory
• The key features of internal memory are
(1) limited storage capacity,
(2) temporary storage,
(3) fast access, and
(4) high cost.
• Registers, cache memory, and primary memory constitute the internal memory.
• The primary memory is further of two kinds—RAM and ROM.
• Registers are the fastest and the most expensive among all the memory types. The registers are
located inside the CPU and are directly accessible by the CPU. The speed of registers is between
1—2 ns (nanosecond). The sum of the size of registers is about 200B.
• Cache memory is next in the hierarchy and is placed between the CPU and the main memory. The
speed of cache is between 2—10 ns. The cache size varies between 32 KB to 4MB.
• Any program or data that must be executed must be brought into RAM from the secondary
memory. Primary memory is relatively slower than the cache memory. The speed of RAM is
around 60ns.
Secondary Memory
• The key features of secondary memory storage devices are—
(1) very high storage capacity,
(2) permanent storage (non-volatile), unless erased by user,
(3) relatively slower access,
(4) stores data and instructions that are not currently being used by CPU but
may be required later for processing, and
(5) cheapest among all memory.
• The storage devices consist of two parts—drive and device. For
example, magnetic tape drive and magnetic tape, magnetic disk drive
and disk, and optical disk drive and disk. The speed of magnetic disk is
around 60ms. The capacity of a hard disk ranges from 10 GB to 1,600
GB (1.6 Tera Bytes).
Primary Memory
• Primary memory is the main memory of computer.
• It is a chip mounted on the motherboard of computer.
• Primary memory is categorized into two main types-
• Random Access Memory (RAM), and
• Read Only Memory (ROM)
Random Access Memory
• RAM is used to store data and instructions during the operation of
computer.
• RAM loses information when the computer is powered off. It is a volatile
memory.
• The size of RAM is limited due to its high cost. The size of RAM is measured
in MB or GB.
• The performance of RAM is affected by
• Access speed (how quickly information can be retrieved). The speed of RAM is
expressed in nanoseconds.
• Data transfer unit size (how much information can be retrieved in one request).
• RAM affects the speed and power of a computer. More the RAM, the better
it is. There are two categories of RAM, depending on the technology used to
construct a RAM— (1) Dynamic RAM (DRAM), and (2) Static RAM (SRAM).
Random Access Memory
• DRAM is the most common type of memory chip.
• DRAM is mostly used as main memory since it is small and cheap. It uses transistors and
capacitors. The transistors are arranged in a matrix of rows and columns. The capacitor holds
the bit of information 0 and 1. The transistor and capacitor are paired to make a memory cell.
The transistor acts as a switch that lets the control circuitry on the memory chip read the
capacitor or change its state.
• DRAM must be refreshed continually to store information. The refresh operation occurs
automatically thousands of times per second.
• DRAM is slow because the refreshing takes time. Access speed of DRAM ranges from 50 to
150 ns.

• SRAM chip is usually used in cache memory due to its high speed.
• SRAM uses multiple transistors (four to six), for each memory cell. It does not have a
capacitor in each cell.
• It does not need constant refreshing and therefore is faster than DRAM. SRAM is more
expensive than DRAM, and it takes up more space.
• The access speed of SRAM ranges from 2– 10 nanosecond.
Read Only Memory
• ROM is a non-volatile primary memory. It does not lose its content when
the power is switched off. The features of ROM are described as follows—
• ROM, as the name implies, has only read capability and no write capability.
After the information is stored in ROM, it is permanent and cannot be
corrected.
• ROM comes programmed by the manufacturer. It stores standard
processing programs that permanently reside in the computer. ROM stores
the data needed for the start up of the computer. The instructions that are
required for initializing the devices attached to a computer are stored in
ROM.
Read Only Memory
• The ROM memory chip stores the Basic Input Output System (BIOS). BIOS
provides the processor with the information required to boot the system. It
provides the system with the settings and resources that are available on
the system. BIOS is a permanent part of the computer. It does not load
from disk but instead is stored in a ROM memory chip. When the computer
is turned on, the BIOS does the following things—
• Power On Self Test (POST) is a program that runs automatically when the system is
booted. BIOS performs the power-on self-test. It checks that the major hardware
components are working properly.
• Bootstrap Loader is a program whose purpose is to start the computer software for
operation when the power is turned on. It loads the operating system into RAM and
launches it. It generally seeks the operating system on the hard disk. The bootstrap
loader resides in the ROM. The BIOS initiates the bootstrap sequence.
Read Only Memory
ROMs are of different kinds. They have evolved from the fixed read only memory to
the ones that can be programmed and re-programmed. They vary in the number of
re-writes and the method used for the re-writing. Programmable ROM (PROM),
Erasable Programmable ROM (EPROM) and Electrically Erasable Programmable
ROM (EEPROM) are some of the ROMs. All the different kinds of ROM retain their
content when the power is turned off.

• PROM can be programmed with a special tool, but after it has been programmed the
contents cannot be changed.

• EPROM can be programmed in a similar way as PROM, but it can be erased by exposing it to
ultraviolet light and re-programmed. EPROM chips have to be removed from the computer
for re-writing.

• EEPROM memories can be erased by electric charge and re-programmed. EEPROM chips do
not have to be removed from the computer for re-writing.
Flash Memory
• Flash Memory is a kind of semiconductor-based non-volatile, rewritable computer
memory that can be electrically erased and reprogrammed. It is a specific type of
EEPROM.
• It combines the features of RAM and ROM. It is a random-access memory, and its
content can be stored in it at any time. However, like ROM, the data is not lost when the
machine is turned off or the electric power is cut. Flash memory stores bits of data in
memory cells.
• Flash memories are high-speed memories, durable, and have low-energy consumption.
Since flash memory has no moving part, it is very shock-resistant. Due to these features,
flash memory is used in devices such as digital camera, mobile-phone, printer, laptop
computer, and record and play back sound devices, such as MP3 players.
Secondary Memory
• We saw that RAM is expensive and has a limited storage capacity. Since it is a volatile
memory, it cannot retain information after the computer is powered off. Thus, in
addition to primary memory, an auxiliary or secondary memory is required by a
computer. The secondary memory is also called the storage device of computer.
• The terms secondary memory and storage device are used interchangeably. In
comparison to the primary memory, the secondary memory stores much larger amounts
of data and information The data and instructions stored in secondary memory must be
fetched into RAM before processing is done by CPU.
• Magnetic tape drives, magnetic disk drives, optical disk drives and magneto-optical disk
drives are the different types of storage devices.
• ACCESS TYPES OF STORAGE DEVICES - The information stored in storage devices can be
accessed in two ways—
• Sequential access
• Direct access
Sequential and Direct Access
• Sequential Access Devices
Sequential access means that computer must run through the data in
sequence, starting from the beginning, in order to locate a particular
piece of data. Magnetic tape is an example of sequential access device.
Let us suppose that magnetic tape consists of 80 records. To access the
25th record, the computer starts from first record, then reaches
second, third etc. until it reaches the 25th record. Sequential access
devices are generally slow devices.

• Direct Access Devices


Direct access devices are the ones in which any piece of data can be
retrieved in a non-sequential manner by locating it using the data’s
address. It accesses the data directly, from a desired location.
Magnetic disks and optical disks are examples of direct access devices.
There is no predefined order in which one can read and write data
from a direct access device. In a magnetic disk consisting of 80 records,
to access the 25th record, the computer can directly access the 25th
record, without going past the first 24 records. Based on access,
magnetic tapes are sequential access devices, and magnetic disks,
optical disk and magneto-optical disks are direct access devices.
MAGNETIC TAPE
Magnetic tape is a plastic tape with magnetic coating.
It is a storage medium on a large open reel or in a
smaller cassette (like a music cassette). Magnetic
tapes are cheaper storage media. They are durable,
can be written, erased, and re-written.

The features of magnetic tape are—


• Inexpensive storage device
• Can store a large amount of data
• Easy to carry or transport
• Not suitable for random access data
• Slow access device
• Needs dust prevention, as dust can harm the tape
• Suitable for back-up storage or archiving
MAGNETIC DISK
Magnetic disk is a direct access secondary
storage device. It is a thin plastic or metallic
circular plate coated with magnetic oxide and
encased in a protective cover. Data is stored on
magnetic disks as magnetized spots.
The features of magnetic disk are—
• Cheap storage device
• Can store a large amount of data
• Easy to carry or transport
• Suitable for frequently read/write data
• Fast access device
• More reliable storage device
• To be prevented from dust, as the read/write head flies over
the disk. Any dust particle in between can corrupt the disk.
OPTICAL DISK
• Optical disk is a flat and circular disk which is coated with reflective plastic
material that can be altered by laser light. Optical disk does not use
magnetism. The bits 1 and 0 are stored as spots that are relatively bright
and light, respectively.
• An optical disk consists of a single spiral track that starts from the edge to
the center of disk. Due to its spiral shape, it can access large amount of
data sequentially, for example music and video. The random access on
optical disk is slower than that of magnetic disk, due to its spiral shape.
• The tracks on optical disk are further divided into sectors which are of
same length.
• CD-ROM
• DVD-ROM
Virtual Memory
Virtual Memory
HOW VIRTUAL MEMORY WORKS

• Let’s say that an operating system needs 120 MB of memory in order to hold all the running
programs, but there’s currently only 50 MB of available physical memory stored on the RAM chips

• The operating system will then set up 120 MB of virtual memory, and will use a program called the
virtual memory manager (VMM) to manage that 120 MB

• The VMM will create a file on the hard disk that is 70 MB (120 – 50) in size to account for the extra
memory that’s needed

• The O.S. will now proceed to address memory as if there were actually 120 MB of real memory
stored on the RAM, even though there’s only 50 MB

• The VMM creates a file on the hard disk that holds the extra memory that is needed by the O.S., for
example 70 MB in size

• This file is called a paging file (also known as a swap file) and plays an important role in virtual
memory
HOW VIRTUAL MEMORY WORKS
• The paging file combined with the RAM accounts for all the memory.

• Whenever the O.S. needs a ‘block’ of memory that’s not in the real (RAM) memory, the VMM takes
a block from the real memory that hasn’t been used recently, writes it to the paging file, and then
reads the block of memory that the O.S. needs from the paging file.

• The VMM then takes the block of memory from the paging file and moves it into the real memory –
in place of the old block. – This process is called swapping (also known as paging), and the blocks
of memory that are swapped are called pages.

• There are two reasons why virtual memory is important – to allow the use of programs that are too
big to physically fit in memory – to allow for multitasking – multiple programs running at once

• Before virtual memory existed, a word processor, e-mail program, and browser couldn’t be run at
the same time unless there was enough memory to hold all three programs at once

• This would mean that one would have to close one program in order to run the other, but now with
virtual memory, multitasking is possible even when there is not enough memory to hold all
executing programs at once.
An instruction in a computer program that causes
processing to move to a different place in the program
sequence. ... 'A jump instruction is added to the end of
the modified program codes in the RAM, so that after the
modified program codes are executed, the operation is
returned to the ROM.

https://en.wikipedia.org/wiki/Booting
When you power on a computer, it goes through a “boot up” process– a term that comes from the word
“bootstrap.”
• When you press the power button, the computer supplies power to its components—the motherboard,
CPU, hard disks, solid state drives, graphics processors, and everything else in the computer.
• Now that it has electricity, the CPU initializes itself and looks for a small program that is typically stored in
ROM on the motherboard i.e., BIOS (Basic Input/Output System) or UEFI (Unified Extensible Firmware
Interface). The BIOS or UEFI firmware loads configuration settings backed up by a CMOS battery.
• The CPU runs the UEFI or BIOS, which tests and initializes your system’s hardware—including the CPU itself.
For example, if your computer doesn’t have any RAM, it will beep and show you an error, stopping the boot
process. This is known as the POST (Power On Self Test) process.
• After it’s done testing and initializing your hardware, the UEFI or BIOS will hand off responsibility for booting
your PC to your operating system’s boot loader.
• The UEFI or BIOS looks for a “boot device” to boot your operating system from. This is usually your
computer’s hard disk or solid-state drive, but may also be a CD, DVD, USB drive, or network location. The
boot device is configurable from within the UEFI or BIOS setup screen. If you have multiple boot devices, the
UEFI or BIOS attempts to hand off the startup process to them in the order they’re listed.
• Traditionally, a BIOS looks at the MBR (master boot record), a special boot sector at the beginning of a disk.
The MBR contains code that loads the rest of the operating system, known as a “bootloader.” The BIOS
executes the bootloader, which takes it from there and begins booting the actual operating system—
Windows or Linux, for example.
• The bootloader is a small program that has the task of booting the rest of the operating system. Windows
uses a bootloader named Windows Boot Manager (Bootmgr.exe), most Linux systems use GRUB(GRand
Unified Bootloader), and Macs use something called boot.efi.
• If there’s a problem with the bootloader—for example, if its files are corrupted on disk—you’ll see a
bootloader error message, and the boot process will stop.

• On Windows, the Windows Boot Manager finds and starts the Windows OS Loader. The OS loader loads essential hardware drivers
that are required to run the kernel—the core part of the Windows operating system—and then launches the kernel. The kernel then
loads the system Registry into memory and loads any additional hardware drivers that are marked with “BOOT_START,” which means
they should be loaded at boot. The Windows kernel then launches the session manager process (Smss.exe), which starts the system
session and loads additional drivers. This process continues, and Windows loads background services as well as the welcome screen,
which lets you sign in.
• On Linux, the GRUB boot loader loads the Linux kernel. The kernel also starts the init system—that’s systemd on most modern Linux
distributions. The init system handles starting services and other user processes that lead all the way to a login prompt.
TYPES OF SOFTWARE

Software can be broadly classified into two categories:


1. System Software, and
2. Application Software
System software provides the basic functions that are
performed by the computer. It is necessary for the
functioning of a computer. The system software
interacts with hardware at one end and with application
software at the other end.
Application software is used by the users to perform
specific tasks. The user may choose the appropriate
application software, for performing a specific task,
which provides the desired functionality. The
application software interacts with the system software
and the users of the computer.
SYSTEM SOFTWARE

System software provides basic functionality to the computer. System software is required for the working of
computer itself. The user of computer does not need to be aware about the functioning of system software, while
using the computer. For example, when you buy a computer, the system software would also include different
device drivers. When you request for using any of the devices, the corresponding device driver software
interacts with the hardware device to perform the specified request
The purposes of the system software are:
• To provide basic functionality to computer,
• To control computer hardware, and
• To act as an interface between user, application software and computer hardware. System
Software

Operating Device System


System Drivers Utilities
Operating System
Operating System (OS) is an important part of a computer. OS intermediates between the user of a computer and the
computer hardware. OS controls and coordinates the use of hardware among the different application software and the
users. It provides an interface that is convenient for the user to use and facilitates efficient operations of the computer
system resources. The key functions of OS are—

• It provides an environment in which users and application software can do work.

• It manages different resources of the computer like the CPU time, memory space, file storage, I/O devices etc.
During the use of computer by other programs or users, operating system manages various resources and allocates
them whenever required, efficiently.

• It controls the execution of different programs to prevent occurrence of error.

• It provides a convenient interface to the user in the form of commands and graphical interface, which facilitates the
use of computer.
Device Driver
A device driver acts as a translator between the hardware and the software that uses the devices. It intermediates
between the device and the software, in order to use the device.

The device driver software is typically supplied by the respective device manufacturers.

Nowadays, the operating system comes preloaded with some commonly used device drivers, like the device
driver for mouse, webcam, and keyboard. The device drivers of these devices are preinstalled on the computer,
such that the operating system can automatically detect the device when it is connected to the computer. Such
devices are called plug and play devices. In case the computer does not find the device driver, it prompts the
user to insert the media (like a CD which contains the corresponding device driver).

Device drivers can be character or block device drivers. Character device drivers are for character-based devices
like keyboard, which transfer data character by character. Block device driver are for devices that transfer data
as a block, like in hard disk.
System Utilities
System utility software is required for the maintenance of computer. System utilities are used for supporting and enhancing the
programs and the data in computer. Some system utilities may come embedded with OS and others may be added later. Some examples
of system utilities are:

• Data Compression utility to compress the files.

• Disk Compression utility to compress contents of a disk for increasing the capacity of a disk.

• Disk Partitioning to divide a single drive into multiple logical drives. Each drive is then treated as an individual drive and has its
own file system

• Disk Cleaners to find files that have not been used for a long time. It helps the user to decide what to delete when the hard disk is
full.

• Backup Utility to make a copy of all information stored on the disk. It also restores the backed-up contents in case of disk failure.

• System Profiling Utility provides detailed information about the software installed on the computer and the hardware attached to it.

• Network Managers to check the computer network and to log events.


Application Software
Application software are programs that direct the performance of a particular use, or application, of computers to meet
the information processing needs of end users. They include off-the-shelf software such as word processing and
spreadsheet packages, as well as internally or externally developed software that is designed to meet the specific needs
of an organization.

Software trends have been away from custom-designed one-of-kind programs developed by the professional
programmers or end users of an organization toward the use of off-the-shelf software packages acquired by end users
from software vendors.

Two types of packages are available:

1. Vertical packages - assist users within a specific industry segment. Examples include packages that help to
manage construction projects, keep track of inventory of hospitals, or fast-food outlets.

2. Horizontal packages - can perform a certain general function, such as accounting, or office automation, for a
range of businesses.
• CREDIT CARD FRAUD/THEFT –
Theft of credit card data is one of the most feared occurrences on the
Internet. Fear that credit card information will be stolen prevents users
from making online purchases in many cases.

• IDENTITY FRAUD –
It involves the unauthorized use of another person’s personal data, such as
pan number, aadhar number, social security, driver’s license, and/or credit
card numbers, as well as user names and passwords, for illegal financial
benefit. Cybercriminals employ many of the techniques described
previously, such as spyware, phishing, and credit card theft, for the
purpose of identity fraud.

• SPOOFING –
It involves attempting to hide a true identity by using someone else’s e-
mail or IP address.

• PHARMING –
Automatically redirecting a web link to an address different from the
intended one, with the site masquerading as the intended destination
• DENIAL OF SERVICE (DOS) AND DISTRIBUTED DENIAL OF SERVICE (DDOS)
ATTACKS –
Hackers flood a website with useless pings or page requests that
overwhelm the site’s web servers. DoS attacks involve the use of bot
networks. DoS attacks typically cause a website to shut down, making it
impossible for users to access the site. For busy e-commerce sites, these
attacks are costly; while the site is shut down, customers cannot make
purchases. And the longer a site is shut down, the more damage is done to
a site’s reputation. Although such attacks do not destroy information.
Distributed Denial of Service (DDoS) attack using numerous computers to
attack the target network from numerous launch points.

• SNIFFING –
It is a type of eavesdropping program that monitors information traveling
over a network. Sniffers enable hackers to steal information from
anywhere on a network, including passwords, e-mail messages, company
files, and confidential reports.
• INSIDER ATTACKS –
The largest financial threats to business institutions come not from
robberies but from misuse by insiders. Some of the largest disruptions to
service, destruction to sites, and diversion of customer credit data and
personal information have come from insiders—once trusted employees.
Employees have access to privileged information, and, in the presence of
sloppy internal security procedures, they are often able to roam
throughout an organization’s systems without leaving a trace.

• POORLY DESIGNED SOFTWARE –


Software flaws or vulnerabilities that hackers can exploit. For instance,
SQL injection attacks take advantage of vulnerabilities in poorly coded web
application software that fails to properly validate or filter data entered by
a user on a web page to introduce malicious program code into a
company’s systems and networks.
• SOCIAL NETWORK SECURITY ISSUES –
Viruses, site takeovers, identity fraud, malware-loaded apps, click
hijacking, phishing, and spam are all found on social networks.

• MOBILE PLATFORM SECURITY ISSUES -


The explosion in mobile devices has broadened opportunities for hackers.
Mobile users are filling their devices with personal and financial
information and using them to conduct an increasing number of
transactions, from retail purchases to mobile banking, making them
excellent targets for hackers.
TOOLS AVAILABLE TO ACHIEVE SITE
SECURITY
Module 4 : Enterprise Resource
Planning
Functional system applications
• Human resources System
• Accounting and finance systems
• Sales and marketing System
• Operations management System
• Manufacturing Systems
Functional systems
• Use computers to improve operations

• Applications: Human resources, order entry,


manufacturing resource planning

• Typically contained within a department

• Islands of automation

• Applications independently developed and deployed


Problems with function-based
application
• Sharing of data between systems
• Data duplication
• Applications that don’t talk to one another
• Limited or lack of integrated information
• Isolated decisions lead to overall
inefficiencies
• Increased expenses
Solution to disparate systems?
• Integration and consolidation
• Business Process Redesign
• Enterprise-wide system
Integrated systems
or
Enterprise Resource Planning
System
1. Material Requirement Planning (MRP) –
Developed in 1970s, Material Requirement Planning is widely used
approach for production planning and scheduling in industry.
The function of MRP is to provide material availability i.e., it is used to
produce requirement quantities on time. This process involves
monitoring of stocks and demand, leading to automatic creation of
Evolution of ERP procurement proposals for purchasing or production. The main
objective of MRP is to determine which material is required, quantity
required and by when it is required.
2. Manufacturing Resource Planning (MRP II) –
Developed in 1980s, Manufacturing Resource Planning is an
expansion of MRP for managing an entire manufacturing company.
It supports sales and marketing by providing and orders promising
capability. It is a co-ordination system involving other areas of a firm
in planning processes, such as marketing, finance and HR.
3. Enterprise Resource Planning (ERP) –
Developed in 1990s, Enterprise Resource Planning is foundation
system for domestic and global operations, supporting most or all
functional areas in their daily operations.
ERP at its core is an effective way of centralizing information and
workflow processes through data management. Because ERP keeps
all your workflow data in one place.
4. Enterprise Resource Planning(ERP II) –
Developed in 2000s, ERP II is name now use to describe ERP.
Basically, it is successor of ERP. It is a business strategy and set of
collaborative operational and financial processes internally and
beyond enterprise.
These new business models reflect an increased business focus on
internal integration. Its domain is in all sectors and segments. It
includes departmental modules, CRM, SCM and other modules.
What is ERP?
Enterprise resource planning is a cross-functional enterprise
system

– An integrated collection of software modules


– Supports basic internal business processes
– Facilitates business, supplier, and customer information flows
ERP system: Definition
• ERP is a set of integrated business applications, or modules
which carry out common business functions such as general
ledger, accounting, or order management.
• ERP is a cross-functional enterprise backbone that integrates
and automates processes within
– Manufacturing
– Logistics
– Distribution
– Accounting
– Finance
– Human resources
Vendors
ERP Packages in use
What makes ERP different
• Integrated modules
• Common database
• Update one module, automatically
updates others
• ERP systems reflect a specific way of
doing business
• Must look at your value chains, rather
than functions
Benefits of ERP Systems
• Improving integration - Allow departments to talk to each other
• Common set of data
• Fewer errors
• Improved speed and efficiency
• More complete access to information
• Lower total costs in the complete supply chain
• Shorten throughput times
• Sustained involvement and commitment of the top management
• Reduce stock to a minimum
• Enlarge product assortment
• Improve product quality
• Provide more reliable delivery dates and higher service to the
customer
• Efficiently coordinate global demand, supply and production
Difficulty in implementation
• Very difficult
• Extremely costly and time intensive
• Typically, a year to implement
• Company may implement only certain
modules of entire ERP system
• You will need an outside consultant
Disadvantages

1. The Cost
If you choose to invest in a traditional ERP system, you could quickly spend five figures for a single license. For many, this
is by far the most significant disadvantage of ERP software. The cost of the software alone can be prohibitively high,
especially for small-to-medium-sized businesses. SMBs can avoid the upfront costs with a cloud solution.

2. The Customization Process


Customization is one of the best aspects of ERP software, but it can easily and quickly get out of hand. Customizing your
software takes a lot of time, effort, expertise and money.

3. The Complexity/Needs Training


ERP software solutions provide numerous capabilities, which
also means the software can be complex and challenging to
use. Some businesses may find systems too large and
complicated for their processes.

4. Slow Implementation
A new ERP system implementation is a time-consuming
process, especially if you’re using obsolete hardware. It can
take as long as two years for ERP software installation.
Hidden Costs of ERP
• Training
• Testing
• Data conversion
• Consultants
• Employing best and brightest staff after
implementation
An ERP Example: Before ERP

Orders
Parts
Sends report Customer
Demographic
Sales Dept. Files Customers
Checks for Parts
Calls back “Not in stock”
Accounting “We ordered the parts”
Files

Accounting
Sends report
Invoices
Sends report
accounting
Ships parts
Vendor
Warehouse
Order is placed “We Need parts #XX”
with Vendor
Inventory
Purchasing Files
Files “We ordered the parts”
Purchasing
An ERP Example: After ERP

Orders
Parts Inventory Data
If no parts,
order is placed
Customers Sales Dept. through DB Accounting

Financial Data exchange;


Books invoice against PO

Order is submitted
to Purchasing. Database
Purchasing record Books inventory
order in DB against PO

Order is placed
with Vendor

Warehouse
Vendor Purchasing

Ships parts
And invoices accounting
ERP and related technologies
1. BUSINESS PROCESS RE-ENGINEERING (BPR)
2. MANAGEMENT INFORMATION SYSTEMS (MIS)
3. DECISION SUPPORT SYSTEMS (DSS)
4. EXECUTIVE INFORMATION SYSTEMS (EIS)
5. DATA WAREHOUSING
6. DATA MINING
7. ON-LINE ANALYTICAL PROCESSING (OLAP)
8. SUPPLY CHAIN MANAGEMENT(SCM)
ERP and related technologies
1. BUSINESS PROCESS RE-ENGINEERING (BPR)
2. MANAGEMENT INFORMATION SYSTEMS (MIS)
3. DECISION SUPPORT SYSTEMS (DSS)
4. EXECUTIVE INFORMATION SYSTEMS (EIS)
5. DATA WAREHOUSING
6. DATA MINING
7. ON-LINE ANALYTICAL PROCESSING (OLAP)
8. SUPPLY CHAIN MANAGEMENT(SCM)
Business Process Re-engineering(BPR)

• BPR is “seeking to devise new ways of organizing tasks,


organizing people and redesigning IT systems so that the
processes support the organization to achieve its goals”.

• BPR involves discovering how business processes currently


operate, how to redesign these processes to eliminate the
wasted or redundant effort and improve efficiency, and how to
implement the process changes in order to gain competitiveness.
MIS, DSS
• A management information system (MIS) is a computer-based
system that optimizes the collection, collation, transfer and
presentation of information throughout an organization, through an
integrated structure of database and information flow.

• A decision support system (DSS) is a computer-based information


system that supports business or organizational decision-
making activities. DSS’s serve the management, operations, and
planning levels of an organization (usually mid and higher
management) and help people make decisions about problems that
may be rapidly changing and not easily specified in advance. (Best
Alternatives & Ranking)
EIS
• An executive information system (EIS), also known as an
executive support system (ESS), is a type of management
information system that facilitates and supports senior
executive information and decision-making needs. It provides
easy access to internal and external information relevant to
organizational goals.

• Access to Outside Information


(Competitors, Governmental Regulations, Trade Groups etc..)
-> Vision & Mission
-> Strategic Planning & Objectives
-> Organizational Structure
-> Crisis Management / Emergency Planning
Data Warehouse
• A data warehouse is a collection of data marts representing
historical data from different operations in the company. This
data is stored in a structure optimized for querying and data
analysis.
A data warehouse can also be viewed as a database for historical
data from different functions within a company.

• The term Data Warehouse was coined by Bill Inmon in 1990,


which he defined in the following way: "A warehouse is a
subject-oriented, integrated, time-variant and non- volatile
collection of data in support of management's decision-making
process".

Data Mart: Departmental subsets that focus on selected subjects. A data mart is a
segment of a data warehouse that can provide data for reporting and analysis on a section,
unit, department or operation in the company, e.g. sales, payroll, production.
Data Mining
• DM is the process of identifying valid, novel, potentially useful and
ultimately comprehensive knowledge from database that is used to
make crucial business decisions.

• DM is sorting through data to identify patterns and establish


relationships. Data mining is a class of database applications that look
for hidden patterns in a group of data that can be used to predict
future behavior.

• Data mining techniques are used in many research areas. Web mining, a
type of data mining is used in customer relationship management(CRM),
takes advantage of the huge amount of information gathered by a
website to look for patterns in user behavior.

For example ; data mining software can help retail companies find
customers with common interest.
Architecture of a typical data mining
system
The difference
between a database and
a knowledge base is that
a database is a collection
of data representing facts
in their basic form, while
a knowledge base stores
information as answers to
questions or solutions to
problems. A knowledge
base allows for rapid
search, retrieval, and
reuse.
Three-tier data warehouse architecture
Online-Analytical Processing(OLAP)

Fast Analysis of Shared Multi-Dimensional Information


• FAST - Targeted to deliver most responses to users within few
Seconds.
• ANALYSIS – Cope with any business logic & Statistical Analysis
that is relevant for the application and the user.
• SHARED – Though shared, it implements all the security
requirements for confidentiality.
• MULTI-DIMENSION – Multi-Dimensional conceptual view of the
data.
• INFORMATION – All of the data – Relevant for the application.

The chief component of OLAP is the OLAP server, which sits


between a client and the DBMS. The OLAP server understands how
data is organized in the database and has special functions for
analyzing the data.
Supply Chain Management (SCM)
Fundamentally, supply chain management helps a company
– Get the right products
– To the right place
– At the right time
– In the proper quantity
– At an acceptable cost
Goals of SCM
• The goal of SCM is to efficiently
– Forecast demand
– Control inventory
– Enhance relationships with customers, suppliers,
distributors, and others
– Receive feedback on the status of every link in the supply
chain
Benefits of SCM
– Faster, more accurate order processing
– Reductions in inventory levels
– Lower transaction and materials costs
– Strategic relationships with supplier
ERP implementation life cycle

• Pre evaluation Screening


• Evaluation Package
• Project Planning
• GAP analysis
• Reengineering
• Team training
• Testing
• Post implementation
Pre evaluation screening
• Number of ERP vendors - Decision for
perfect package.
• Screening eliminates the packages that
are not at all suitable for the company’s
business processes.
• Selection is done on best few package
available.
Package Evaluation
• Package is selected based on different
parameter.
• Test and certify the package and check
the coordination with different
department.
• Selected package will determine the
success or failure of the project.
• Package must be user friendly.
• Regular up gradation should available.
• Cost
Project planning
• Designs the implementation process.
• Resources are identified.
• Implementation team is selected, and
task allocated.
Gap analysis
• Process through which company can
create a model of where they are
standing now and where they want to
go.(Most crucial phase)
• Model help the company to cover the
functional gap.
Re-engineering
• Implementation is going to involve a
significant change in number of
employees and their job responsibilities.
• Process become more automated and
efficient.
Team Training
• Takes place along with the process of
implementation.
• Company trains its employees to
implement and later, run the system.
• Employee become self sufficient to
implement the software after the
vendors and consultant have left.
Testing
• This phase is performed to find the
weak link so that it can be rectified
before its implementation.
Going Live
• The work is complete, data conversion is
done, databases are up and running, the
configuration is complete & testing is
done.
• The system is officially announced.
• Once the system is live the old system
is removed(if any).
End User Training
• The employee who is going to use the
system are identified and trained.
Post Implementation
• This is the maintenance phase.
• Employees who are trained enough to
handle problems those yields up time to
time.
Key points
• Heart of any ERP system – database
• Information handling and sharing has become a vital process for efficient
and effective working of any organization.
• To qualify as a true ERP solution the system must be flexible, modular and
open, and extend beyond the company
• When everyone involved in sourcing, producing, and delivering the company's
product works with the same information it: Eliminates redundancies, Cuts
down wasted time, Removes misinformation
• ERP provides connectivity between two or more software applications i.e.
Middleware
• Primary users of ERP systems are Accounting, finance, logistics, production,
etc.(departments)
• Primary users of SCM systems are Customers, resellers(retailers),
partners, manufacturers, suppliers, and distributors.
• The primary business benefits of an ERP system include forecasting,
planning, purchasing, material management, warehousing, inventory, and
distribution

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