Understanding the Technological Infrastructure (Part 1) “Understanding Information TECHNOLOGY”

1. Understanding the Technological Infrastructure (Part 1) • “Understanding Information TECHNOLOGY” • (Part 1)

2. Application: Collection of programs that together achieve a particular objective directly related to a task that the user wishes to perform. Program: Code written - in a human understandable language - that is to be executed in computer memory where it can perform tasks on data. Algorithms + Data Structures

3. Algorithm: A finite set of well-defined instructions for accomplishing a given task which, given an initial state, will terminate in a defined end-state representing a particular goal. e.g. A recipe to cook lasagna e.g. A set of instructions to minimize a path traveled e.g. A set of instructions to sort a set of numbers Recursive, iterative; Deterministic, Non-deterministic; Serial, Parallel

4. Examples of Algorithms: Iterative Recursive function fib(n) if n = 0 return 0 if n = 1 return 1 else return fib(n-1) + fib(n-2) function fib(n) a, c = 0 ,b = 1 Do (n times) { c = a+b a = b b = c return b}

5. Programming Language: Artificial Language created to produce artifacts called programs that control the behavior of automata, usually a computer. Compilers, Interpreters;

6. Example Programs in Various Languages: int fib(int n) { if (n <= 2) return 1 else return fib(n-1) + fib(n-2) } (+ (fib(- N 1)) (fib(- N 2))))) fib1,fib2 :=1 to n do begin fib1,fib2 :=fib2,fib1; fib1 :=fib1+fib2 end; C family Lisp family Algol family

7. Data Structure: • A well-defined form of storing data. • Influences the efficiency of algorithm used. • Abstract (Data-type), Concrete (Implementation); • Simple, Composite; • Implemented in Memory

8. Example Data Structure: Stack

9. Database: • A system that provides organized collection, retention and presentation of data according to a well-defined model that ensures user selected persistence. • Definition and query schemas, • Models (Hierarchical, networked, relational, object) • Transaction • Concurrency

10. Application Types: • Compiler • Operating System • DBMS • Accounting and financial management • Inventory management • CAD

11. Islands of Information/Automation Need for inter-communication

12. Network: A collection of links arranged so that messages may be passed from one part to another usually over multiple links. Data Communication Networks Tele-Communication Networks

13. Network Protocols The Open Systems Interconnection Reference Model (OSI Model or OSI Reference Model for short) is a layered, abstract description for communications and computer network protocol design.

14. Layer 1: Physical Layer Defines all the electrical and physical specifications for devices including layout of pins, voltages, and cable specifications. Hubs, repeaters, network adapters and Host Bus Adapters (HBAs used in Storage Area Networks) are physical-layer devices. Ethernet incorporates both this layer and the data-link layer (Layer 2). The same applies to other local-area networks, such as Token ring, FDDI, and IEEE 802.11. • The major functions and services performed by the physical layer are: • Establish/terminate a connection • Contention resolution and flow control • Modulation, or conversion between the representation of digital data in user equipment and the corresponding signals transmitted over a communications channel. These are signals operating over the physical cabling—copper and fiber optic, for example—or over a radio link.

15. Layer 2: Data Link Layer Transfers data between network entities and to detect and possibly correct errors that may occur in the Physical Layer. The addressing scheme is physical which means that the addresses are hard-coded into the network cards at the time of manufacture. The addressing scheme is flat. Examples are Ethernet, HDLC and ADCCP for point-to-point or packet-switched networks and Aloha for local area networks. On IEEE 802 local area networks, and some non-IEEE 802 networks such as FDDI, this layer may be split into a Media Access Control (MAC) layer and the IEEE 802.2 Logical Link Control (LLC) layer. This is the layer at which the bridges and switches operate. Connectivity is provided only among locally attached network nodes.

16. Layer 3: Network Layer Provides the functional and procedural means of transferring variable length data sequences from a source to a destination via one or more networks while maintaining the quality of service requested by the Transport Layer. The Network layer performs network routing, flow control, segmentation/de-segmentation, and error control functions. Routers operate at this layer—sending data throughout the extended network and making the Internet possible (there also exist layer 3 (or IP) switches). This is a logical addressing scheme – values are chosen by the network engineer. The addressing scheme is hierarchical. The best known example of a layer 3 protocol is the Internet Protocol (IP).

17. Layer 4: Transport Layer Provides transparent transfer of data between end users, thus relieving the upper layers from any concern while providing reliable and cost-effective data transfer. The transport layer controls the reliability of a given link. Some protocols are state and connection oriented. This means that the transport layer can keep track of the packets and retransmit those that fail. The best known example of a layer 4 protocol is the Transmission Control Protocol (TCP). It is the layer that converts messages into TCP, User Datagram Protocol (UDP), Stream Control Transmission Protocol (SCTP), etc. packets.

18. Layer 5: Session Layer Controls the dialogues (sessions) between computers. It establishes, manages and terminates the connections between the local and remote application. It provides for either duplex or half-duplex operation and establishes check-pointing, adjournment, termination, and restart procedures. The OSI model made this layer responsible for "graceful close" of sessions, which is a property of TCP, and also for session check-pointing and recovery, which is not usually used in the Internet protocol suite.

19. Layer 6: Presentation Layer Transforms data to provide a standard interface for the Application layer. MIME encoding, data compression, data encryption and similar manipulation of the presentation is done at this layer to present the data as a service or protocol developer sees fit. Examples: converting an EBCDIC-coded text file to an ASCII-coded file, or serializing objects and other data structures into and out of XML.

20. Layer 7: Application Layer Provides a means for the user to access information on the network through an application. This layer is the main interface for the user(s) to interact with the application and therefore the network. Some examples of application layer protocols include Telnet, File Transfer Protocol (FTP), Simple Mail Transfer Protocol (SMTP) and Hypertext Transfer Protocol (HTTP).

22. Towards a Real-time Infra-structure: Better Data – Better Decisions Improved Process Visibility Improved Process Efficiency Sense-and-respond (respond to actual demand rather than forecasted demand) But for this to take place, we need to integrate more than just the production.

23. Integration Requires: Communication and Coordination

24. Challenges to Information Based Integration Heterogeneity - Conceptual - Linguistic - Technological Volume Access

25. Heterogeneity Solutions: - Monolithic Business Application Framework - Open Standards/Architecture

26. EnterpriseResourcePlanningSystems ERP systems integrate information systems requirements of an organization. ERP systems usually use a single, unified database as the backbone to store data for the various system modules. Manufacturing: Engineering, Bills of Material, Scheduling, Capacity Planning, Workflow Management, Quality Control, Cost Management, Manufacturing Process, Manufacturing Projects, Flow Optimization, Forecasting Supply Chain Management: Inventory, Order Entry, Purchasing, Product Configuration, Supply Chain Planning, Supplier Scheduling

27. Financials: General Ledger, Cash Management, Accounts Payable, Accounts Receivable, Fixed Assets Projects: Costing, Billing, Time and Expense, Activity Management Human Resources: Resources, Payroll, Training, Time & Attendance, Benefits Customer Relationship Management: Sales and Marketing, Commissions, Service, Customer Contact and Call Center support

28. Advantages: Enables Integrated design (Process efficiency) Integration from customer requirement through to need fulfillment Full revenue cycle management Integrated and context based logistics management Integrated accounting and control Relatively secure Potential for: One “language”, One system, One vendor

29. Disadvantages: Expensive to acquire – Cost structures sometimes unrelated to business size. Difficult to properly fit into the needs/philosophy of the organization. Limited and difficult customization. Re-engineering of business processes to fit the “philosophy" (Usually a discrete manufacturing view of the world) prescribed by the ERP system may lead to a loss of competitive advantage. Difficult/Complex to implement As good as the weakest link Lock-in issues. Once committed to a technology/vendor, almost impossible to switch

30. Disadvantages: By blurring lines of responsibility, can cause problems with accountability, efficiency, and transparency. Off-the-rack suit, may or may not fit your body, your style, or your budget

31. Some ERP Providers and Products SAP AG: World’s third largest software company headquartered in Walldorf Germany. Almost exclusively specializes in ERP solutions. Products: SAP R/3 mySAP All-in-one

32. Some ERP Providers and Products Oracle Corporation: World’s leading vendor of database management systems. Also develops and sells ERP and associated systems that rely heavily on database technologies. Products: Peoplesoft Oracle e-Business Suite

33. Some ERP Providers and Products Microsoft Corporation: World’s largest software manufacturer with a wide array of products including ERP. Product: Microsoft Dynamics

34. Some ERP Providers and Products Some other providers: Sage MAS 500 – by The Sage Group SSA ERP LN by SSA Global Technologies NetERP by NetSuite Inc. SYSPRO by Syspro Inc.

35. Examples: Hospital Auto-manufacturer

36. Some Technical Issues with ERP Problems of Integration with legacy systems Problems of fit and integration into existing business processes Unit rather than service orientation Not all components of a single ERP package are at the same level of utility Difficult to integrate with supplier systems if not the same ERP An open-architecture service-oriented solution is needed

37. Open-Architecture Open architecture refers to use of open-standard hardware and software to construct information systems. Open standard refers to products that are constructed using protocols and interfaces that are non-proprietary and according to a publicly available and widely adopted definition. An architecture that enables the creation of information systems that are built by combining loosely coupled and interoperable components

38. Service-Oriented Architecture A style of potentially multi-tier computing that helps share logic and data among multiple applications and usage modes. These usage modes are defined or expressed as “services” and are aligned with the requirements of system users.

39. (Open) Service-Oriented Architecture Essential Principles: Compliance to standards (both de facto and actual) Componentization Service identification Interoperability Service Categorization Modularity Granularity Reuse

40. (Open) Service-Oriented Architecture Architectural Principles: Services are: Contract-based Encapsulated Loosely Coupled Abstract Autonomous State-less Composible (Granular)

41. Advantages • Macro (service) level Reuse • Possible legacy system integration • Third party systems (e.g. suppliers) integration • Does not lock-in the user • Cost of acquisition • Tailorable (the user chooses the best product for the service)

42. Disadvantages • Needs know-how and coordination to install and integrate • Lots of tailoring effort required • Support issues – Passing the buck • Tuning issues – Efficiency (component architecture mismatch)

43. Volume Data Storage Data Transfer Data Manipulation Development

44. Data Storage/Transfer

45. Data Storage/Transfer Next time your bank say that they hold and manage over 2 terabytes of data, ….. Have respect

46. Data Storage/Transfer

47. Data Manipulation Moving from database querying to : • Data mining • Graphical data (e.g. Geographical) • Voice data

48. Development Volume of work!!! Despite common belief there is a severe shortage of SE/IS/IT staff world-wide. • Open-sourcing • Out-sourcing • Off-shoring

49. Access Availability • Data • Communication • Service Security

50. EXERCISE: What ERP components would you implement and why?