DATA

Data is the raw material from which useful information is derived. It can be structured
(organized in tables) or unstructured (such as emails, videos, and social media postns).

Data is one of the most valuable assets for any organization, playing a crucial role in
decision-making, operations, and strategic planning.

WHY DO WE NEED TO MANAGE DATA?

Managing Data - Managing data refers to the process of collecting, storing,

organizing, protecting, and analyzing data to ensure its accuracy, accessibility, and
security. It involves various techniques, tools, and methodologies to facilitate efficient
data handling and decision-making within an organization.

WHY MANAGING DATA IS IMPORTANT?

Managing data is crucial for organizations to ensure data is accurate, secure, accessible,
and usable for decision-making. Proper data management helps organizations
streamline operations, reduce errors, and derive insights for strategic planning.

How to Manage Data Effectively

1. Data Collection

The foundation of data management is proper collection. Ensure that data is collected
from accurate and reliable sources, keeping in mind both the quality and quantity of the
data.

2. Data Storage

Once data is captured, it must be stored securely and organized for easy retrieval. Data
storage strategies must ensure that data is not only protected but also accessible when
needed.

3. Data Security

Data must be protected against unauthorized access, corruption, or loss. Organizations

should employ measures to secure data at rest and in transit.
Measures:
Access Control
- Limiting access to data ensures that only authorized personnel can view or
modify sensitive information.

Data Encryption
- Encryption protects data by converting it into unreadable formats, ensuring that
even if it is intercepted (stolen), it remains secure

Firewalls and Network Security

- Firewalls and Security protocols help prevent unauthorized access and
cyberattacks

Regular Data Backups

- Prevent data loss due to cyberattacks, system failures, or accidental deletions

Data Quality Management

- Data quality is a crucial factor in making informed decisions. Poor data quality
can lead to inaccurate analysis and unreliable conclusions.

Data Integration
- Organizations often use multiple systems to capture data. Integrating
(combining) data from these systems that ensures a holistic (whole) view of the data,
reducing silos and inefficiencies.

Data Analysis
- Data analysis allows organizations to extract actionable insights from collected
data. It helps decision-makers in strategy formation, forecasting, and problem-solving.

Data Governance
- Data governance ensures that data is used ethically and complies with
regulations. It defines policies, roles, and responsibilities for data management.

Data Reporting and Sharing

- Sharing and reporting data allows various stakeholders to access and use data
for informed decision-making. Proper reporting tools enable insights to be
communicated clearly.
What do we use to manage our data?
DATABASE

Databases are essential for storing and managing structured data efficiently.

A database is an organized collection of data that is stored and accessed electronically.

It allows users to efficiently store, retrieve, and manage data. Databases are crucial in
ensuring data consistency, security, and integrity.

DATABASE SYSTEM

Database Management Systems (DBMS): Software that allows users to create,

manage, and retrieve data efficiently (e.g., MySQL, Oracle, SQL Server).

Types of Databases:

• Relational Databases: Store data in tables with predefined relationships.

Examples include:

• PostgreSQL – An open-source relational database known for robustness

and compliance with SQL standards.

• MySQL – A widely used open-source database, popular for web

applications

• Oracle Database – A powerful enterprise-level relational database

known for handling large-scale data.

• NoSQL Databases: Handle large volumes of unstructured or semi-structured

data. Examples include:

• MongoDB – A document-oriented NoSQL database suitable for flexible

schema storage.

• Cassandra – A highly scalable NoSQL database optimized for handling

big data applications.

• Redis – A key-value store NoSQL database used for caching and real-time
analytics.
What is the connection of Information System in Managing Data?

Information systems plays a crucial role in managing data by capturing, storing, and
analyzing information efficiently. These processes ensure that businesses can make
data-driven decisions, improve operations, and enhance customer experiences.

What are the crucial roles?

1. Capturing Data

The first step in an information system is collecting or capturing data from various
sources. This process ensures that raw data is gathered for further processing.

Methods of Data Capture:

• Manual Data Entry: Users input data manually through keyboards, forms, or
touchscreens (e.g., entering customer details in a CRM system).

• Automated Data Capture: Uses sensors, barcode scanners, RFID readers, and
IoT devices to collect data with minimal human intervention.

• Online Data Collection: Websites, mobile apps, and online surveys gather data
from user interactions.

• Transactional Data Capture: Information is collected from business

operations such as sales transactions, inventory tracking, and online orders.

2. Storing Data

Once data is captured, it needs to be securely stored in databases or data

warehouses for retrieval, and processing

Data Storage Methods:

• Databases (Relational & NoSQL): Store structured and unstructured data for
easy access and retrieval.

• Data Warehouses: Consolidate data from multiple sources for business

intelligence and reporting.

• Cloud Storage: Enables remote data storage and access via platforms like AWS,
Google Cloud, and Microsoft Azure.
Warehousing

As organizations collect massive amounts of data, managing and analyzing it becomes

essential for making informed business decisions.

Data Warehousing:

• A data warehouse is a centralized repository that stores data from multiple

sources for analysis and reporting.

• It is optimized for query performance and used in Business Intelligence (BI)

applications.

• ETL (Extract, Transform, Load) processes help consolidate data from different
systems into a warehouse.

3. Analyzing Data

Information systems analyze stored data to generate insights, support decision-

making, and improve business operations.

Data Mining:

• Data mining involves analyzing large datasets to uncover patterns, trends, and
correlations.

• Techniques include
- clustering, (Clustering is an unsupervised machine learning algorithm that
organizes and classifies different objects, data points, or observations into groups
or clusters based on similarities or patterns.)
- classification (the action or process of classifying something according to
shared qualities or characteristics)
- association rule learning (a rule-based machine learning method used to
discover interesting relationships and patterns within large datasets)
- anomaly detection (the process of identifying data points, events, or patterns
that deviate significantly from the expected or "normal" behavior within a
dataset, often indicating potential issues or opportunities)

• Applications include fraud detection, customer segmentation, and predictive

analytics.

Data Analysis Techniques:

 • Descriptive Analytics: Summarizes past data (e.g., sales trends, customer
demographics).

• Predictive Analytics: Uses statistical models and machine learning to forecast

future trends (e.g., predicting customer churn).

• Prescriptive Analytics: Recommends actions based on analysis (e.g.,

suggesting marketing strategies based on consumer behavior).

• Real-time Analytics: Processes data instantly for immediate decision-making

(e.g., fraud detection in banking transactions).

Done with explaining what is the Connection

3. Types of Information Systems

Operations Support Systems (OSS) are designed to manage and support the daily
operations of an organization. They focus on processing data related to business
transactions, monitoring and controlling processes, and facilitating communication
within the enterprise. These systems ensure that business operations run smoothly and
efficiently.

Key Types of OSS:

1. Transaction Processing Systems (TPS) - Handle routine and repetitive

business transactions.

2. Process Control Systems - Monitor and control industrial and manufacturing

processes.

3. Enterprise Collaboration Systems (ECS) - Facilitate communication and

collaboration among employees.

Management Support Systems (MSS)

Management Support Systems (MSS) are designed to help managers make informed
decisions by providing relevant data, analysis, and tools for decision-making. These
systems enhance efficiency, improve strategic planning, and support problem-solving at
various management levels.

Types of Management Support Systems:

1. Management Information Systems (MIS) - Provide structured reports and
summaries based on transaction data.

2. Decision Support Systems (DSS) - Analyze large datasets to assist in

complex decision-making.

3. Executive Information Systems (EIS) - Provide top executives with

summarized, high-level data through dashboards and visual analytics.