Documente Academic
Documente Profesional
Documente Cultură
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PA RT
I I
Information
Technology
Infrastructure
Chapter 5
Managing Hardware Assets
Chapter 6
Managing Software Assets
Chapter 7
Managing Data Resources
Chapter 8
Telecommunications and Networks
Chapter 9
The Internet and the New Information
Technology Infrastructure
PART II PROJECT
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5
ob
c
e
j
Managing
Hardware
Assets
s
e
tiv
2.
3.
4.
5.
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Cy Sidun, who was West Coasts vice president and general manager at that
time, wanted to supply everyone with laptop computers that could link to a new
computer system in the main office. The major stumbling block was price
$300,000, which was way too expensive for a firm such as West Coast with only $8
million in annual sales. Fortunately, he was able to lease the equipment from
Monitor
sales level
and costs
Lack of resources
Megadealer competitors
Outdated technology
Time-sensitive proposal
process
Laptops
Desktop
computers
Window on Management:
Storage Service Providers: Data
Storage Becomes a Utility
Link field staff
to main office
Develop proposals
immediately on-site
Leasing
agency
Sales reps
Increase sales
Increase customer
service
Interactive Multimedia
Window on Technology:
Creating Virtual Massively
Parallel Computers Via Peerto-Peer Computing
5.4 Managing Hardware Assets
Hardware Technology
Requirements for Electronic
Commerce and the Digital
Firm
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Management
Challenges
By shifting to more up-to-date computer hardware,West Coast Office Interiors was able
to provide more computing power for its operations.To select the right computers,West
Coast Office Interiors management needed to understand how much computer processing capacity its business processes required, how to evaluate the price and performance of
various types of computers, and the financial and business rationale for hardware technology investments. Management also had to plan for future processing requirements and
understand how the computer worked with related storage, input/output, and communications technology. Selecting appropriate computer hardware raises the following management challenges:
1. The centralization versus decentralization debate. A long-standing issue
among information system managers and CEOs has been the question of how
much to centralize or distribute computing resources. Should processing power and
data be distributed to departments and divisions, or should they be concentrated at
a single location using a large central computer? Client/server computing facilitates
decentralization, but network computers and mainframes support a centralized
model.Which is the best for the organization? Each organization will have a different
answer based on its own needs. Managers need to make sure that the computing
model they select is compatible with organizational goals.
2. Making wise technology purchasing decisions. Computer hardware technology advances much more rapidly than other assets of the firm. Soon after having
made an investment in hardware technology, managers find the completed system is
obsolete and too expensive, given the power and lower cost of new technology. In
this environment it is very difficult to keep ones own systems up to date. A considerable amount of time must be spent anticipating and planning for technological
change.
Successful use of information systems to support an organizations business goals
requires an understanding of computer processing power and the capabilities of
hardware devices. By understanding the role of hardware technology in the organizations information technology infrastructure, managers can make sure that their
firms have the processing capability they need to accomplish the work of the firm
and to meet future business challenges.
5.1
Computer hardware technology constitutes the underlying physical foundation for the firms
information technology (IT) infrastructure. The other components of IT infrastructure
software, data, and networksrequire computer hardware for their storage or operation.
Although managers and business professionals do not need to be computer technology
experts, they should have a basic understanding of how computer hardware works and its
role in the organizations IT infrastructure so that they can make technology decisions that
benefit organizational performance and productivity.
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Chapter 5
Secondary Storage
Magnetic disk
Optical disk
Magnetic tape
Communications
Devices
Central
Processing
Unit (CPU)
Buses
Primary
Storage
Input Devices
Keyboard
Computer mouse
Touch screen
Source data automation
Output Devices
Printers
Video display terminals
Plotters
Audio output
The central processing unit manipulates raw data into a more useful form and controls the
other parts of the computer system. Primary storage temporarily stores data and program
instructions during processing, whereas secondary storage devices (magnetic and optical
disks, magnetic tape) store data and programs when they are not being used in processing.
Input devices, such as a keyboard or mouse, convert data and instructions into electronic
form for input into the computer. Output devices, such as printers and video display terminals, convert electronic data produced by the computer system and display them in a form
that people can understand. Communications devices provide connections between the
computer and communications networks. Buses are circuitry paths for transmitting data and
signals among the parts of the computer system.
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bit
A binary digit representing the
smallest unit of data in a computer system. It can only have
one of two states, representing 0
or 1.
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byte
A string of bits, usually eight,
used to store one number or
character in a computer system.
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0 21 = 0
1 22 = 4
0 23 = 0
1 24 = 16
20
Place
Power of 2
Decimal value
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24
16
4
23
8
3
22
4
2
21
2
1
20
1
using a binary number system, a computer can express all numbers as groups of zeroes and
ones. In addition to representing numbers, a computer must represent alphabetic characters
and many other symbols used in natural language, such as $ and &. Manufacturers of computer hardware have developed standard binary codes for this purpose.
Two common codes are EBCDIC and ASCII. The Extended Binary Coded Decimal
Interchange Code (EBCDICpronounced ib-si-dick) was developed by IBM in the
1950s, and it represents every number, alphabetic character, or special character with eight
bits. ASCII, which stands for the American Standard Code for Information Interchange,
was developed by the American National Standards Institute (ANSI) to provide a standard
code that could be used by many different manufacturers in order to make machinery compatible. ASCII was originally designed as a seven-bit code, but most computers use eight-bit
versions. EBCDIC is used in IBM and other large mainframe computers, whereas ASCII is
used in data transmission, PCs, and some larger computers. Table 5-1 shows how some letters and numbers would be represented using EBCDIC and ASCII. Other coding systems
are being developed to represent a wider array of foreign languages.
How can a computer represent a picture? The computer stores a picture by creating a
grid overlay of the picture. Each single point in this grid, or matrix, is called a pixel (picture
element) and consists of a number of bits. The computer then stores this information on
each pixel. A high-resolution computer display monitor has a 1024 768 SVGA (supervideo graphics array) standard grid, creating more than 700,000 pixels. Whether processing
pictures or text, modern computers operate by reducing such data into bits and bytes.
primary storage
Part of the computer that temporarily stores program instructions and data being used by the
instructions.
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TABLE 5-1
Character or Number
EBCDIC Binary
01000001
11000001
01000101
11000101
01011010
11101001
00110000
11110000
00110001
11110001
00110101
11110101
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Chapter 5
Central Processing Unit (CPU)
Primary Storage
1
Arithmetic-Logic Unit
8
22+11=33
9<10
#
U
Control Unit
Primary storage
address
Data Bus
Address Bus
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Figure 5-4 The CPU and primary storage. The CPU contains
an arithmetic-logic unit and a
control unit. Data and instructions are stored in unique
addresses in primary storage
that the CPU can access during
processing.The data bus, address
bus, and control bus transmit signals between the central processing unit, primary storage, and
other devices in the computer
system.
Control Bus
Output
Devices
Input
Devices
Secondary
Storage
data to or from a given primary storage address, input device, or output device. The characteristics of the CPU and primary storage are very important in determining a computers
speed and capabilities.
Primary Storage
Primary storage has three functions. It stores all or part of the program that is being executed.
Primary storage also stores the operating system programs that manage the operation of the
computer. (These programs are discussed in Chapter 6.) Finally, the primary storage area
holds data that the program is using. Data and programs are placed in primary storage before
processing, between processing steps, and after processing has ended, prior to being returned
to secondary storage or released as output.
Figure 5-5 (on p. 146) illustrates primary storage in an electronic digital computer.
Internal primary storage is often called RAM, or random access memory. It is called RAM
because it can directly access any randomly chosen location in the same amount of time.
Figure 5-5 shows that primary memory is divided into storage locations called bytes.
Each location contains a set of eight binary switches or devices, each of which can store one
bit of information. The set of eight bits found in each storage location is sufficient to store
one letter, one digit, or one special symbol (such as $) using either EBCDIC or ASCII. Each
byte has a unique address, similar to a mailbox, indicating where it is located in RAM. The
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kilobyte
One thousand bytes (actually
1,024 storage positions). Unit of
computer storage capacity.
megabyte
Approximately one million
bytes. Unit of computer storage
capacity.
gigabyte
Approximately one billion bytes.
Unit of computer storage capacity.
terabyte
Approximately one trillion bytes.
Unit of computer storage capacity.
semiconductor
An integrated circuit made by
printing thousands and often
millions of tiny transistors on a
small silicon chip.
ROM (read-only memory)
Semiconductor memory chips
that contain program instructions.These chips can only be
read from; they cannot be written to.
microprocessor
Very large-scale integrated circuit technology that integrates
the computers memory, logic,
and control on a single chip.
computer can remember where the data in all of the bytes are located simply by keeping track
of these addresses.
Computer storage capacity is measured in bytes. Table 5-2 lists computer storage capacity measurements. One thousand bytes (actually 1024 storage positions) is called a kilobyte.
One million bytes is called a megabyte, one billion bytes is called a gigabyte, and one trillion bytes is called a terabyte.
Primary storage is composed of semiconductors. A semiconductor is an integrated circuit made by printing thousands and even millions of tiny transistors on a small silicon chip.
There are several different kinds of semiconductor memory used in primary storage. RAM is
used for short-term storage of data or program instructions. RAM is volatile: Its contents will
be lost when the computers electric supply is disrupted by a power outage or when the computer is turned off. ROM, or read-only memory, can only be read from; it cannot be written to. ROM chips come from the manufacturer with programs already burned in, or stored.
ROM is used in general-purpose computers to store important or frequently used programs,
such as computing routines for calculating the square roots of numbers.
TABLE 5-2
word length
The number of bits that the
computer can process at one
time.The larger the word length,
the greater the computers
speed.
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=0 in EBCDIC
Byte
Kilobyte
1,000 bytesa
Megabyte
1,000,000 bytes
Gigabyte
1,000,000,000 bytes
Terabyte
1,000,000,000,000 bytes
aActually
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Chapter 5
TABLE 5-3
Data
Bus
Width
Word
Length
Clock
Speed
(MHz)
Used In
Pentium
Intel
32
64
75200
Pentium II
Intel
32
64
233450
PCs
Pentium III
Intel
32
64
900
PowerPC
Motorola,
IBM, Apple
32 or 64
64
Alpha 21364
Compaq
64
64
1,000
AMD Athlon
Advanced
Micro Devices
32
64
Intel
32
Pentium 4
147
Examples of Microprocessors
Microprocessor
Manufacturer
Name
1,000
64
1,500
Compaq workstations
and servers
High-end PCs and
workstations
High-end PCs, servers,
and workstations
megahertz
A measure of cycle speed, or the
pacing of events in a computer;
one megahertz equals one million cycles per second.
data bus width
The number of bits that can be
moved at one time between the
CPU, primary storage, and the
other devices of a computer.
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SEQUENTIAL PROCESSING
PARALLEL PROCESSING
Program
Program
Task 1
CPU
Result
CPU
CPU
CPU
CPU
CPU
Task 1
Task 2
Task 3
Task 4
Task 5
Program
Task 2
CPU
Result
MMX (MultiMedia
eXtension)
Set of instructions built into a
microprocessor to improve
processing of multimedia
applications.
Result
RISC is most appropriate for scientific and workstation computing, where there are repetitive arithmetic and logical operations on data or applications calling for three-dimensional
image rendering.
Microprocessors optimized for multimedia and graphics have been developed to
improve processing of visually intensive applications. Recent Intel, AMD and other microprocessors include a set of additional instructions called MMX (MultiMedia eXtension) to
increase performance in many applications featuring graphics and sound. Multimedia applications such as games and video run more smoothly, with more colors, and perform more
tasks simultaneously than other microprocessors if software can take advantage of MMX
instructions. For example, multiple channels of audio, high-quality video or animation, and
Internet communication could all be running in the same application.
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Many computers use multiple processors to perform their processing work. For example,
PCs often use a coprocessor to speed processing by performing specific tasks such as mathematical calculations or graphics processing so that the CPU is free to do other processing.
Processing can also be speeded by linking several processors to work simultaneously
on the same task. Figure 5-6 compares parallel processing to serial processing used in
conventional computers. In parallel processing, multiple processing units (CPUs) break
down a problem into smaller parts and work on it simultaneously. Getting a group of processors to attack the same problem at once requires both rethinking the problems and special
software that can divide problems among different processors in the most efficient way possible, providing the needed data, and reassembling the many subtasks to reach an appropriate solution.
Massively parallel computers have huge networks of hundreds or even thousands of
processor chips interwoven in complex and flexible ways to attack large computing problems. As opposed to parallel processing, where small numbers of powerful but expensive specialized chips are linked together, massively parallel machines chain hundreds or thousands
of inexpensive, commonly used chips to break problems into many small pieces and solve
them. For instance, Wal-Mart stores use a massively parallel machine to sift through an
inventory and sales trend database with 24 trillion bytes of data.
5.2
The capabilities of computer systems depend not only on the speed and capacity of the CPU
but also on the speed, capacity, and design of storage, input, and output technology. Storage,
input, and output devices are called peripheral devices because they are outside the main computer system unit.
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Chapter 5
Magnetic Disk
The most widely used secondary-storage medium today is magnetic disk. There are two
kinds of magnetic disks: floppy disks (used in PCs) and hard disks (used on large commercial disk drives and PCs). Large mainframe or midrange systems have multiple hard disk drives because they require immense disk storage capacity in the gigabyte and terabyte range.
PCs also use floppy disks, which are removable and portable, with a storage capacity up to
2.8 megabytes, and they have a much slower access rate than hard disks. Removable disk drives such as those manufactured by Iomega and Syquest are becoming popular backup storage
alternatives for PC systems.
Magnetic disks on both large and small computers permit direct access to individual
records so that data stored on the disk can be directly accessed regardless of the order in
which the data were originally recorded. Disk storage is often referred to as a direct access
storage device (DASD). Disk technology is useful for systems requiring rapid and direct
access to data.
Disk drive performance can be further enhanced by using a disk technology called
RAID (Redundant Array of Inexpensive Disks). RAID devices package more than a hundred disk drives, a controller chip, and specialized software into a single large unit. Such an
array appears to the computer as a single logical unit consisting of multiple disk drives.
Traditional disk drives deliver data from the disk drive along a single path, but RAID delivers data over multiple paths simultaneously, improving disk access time and reliability. For
most RAID systems, data on a failed disk can be restored automatically without the computer system having to be shut down.
Optical Disks
Optical disks, also called compact disks or laser optical disks, user laser technology to store
data at densities many times greater than those of magnetic disks. They are available for both
PCs and large computers. Optical disks can store massive quantities of data, including not
only text but also pictures, sound, and full-motion video, in a highly compact form.
The most common optical disk system used with PCs is called CD-ROM (compact
disk read-only memory). A 4.75-inch compact disk for PCs can store up to 660 megabytes,
nearly 300 times more than a high-density floppy disk. Optical disks are most appropriate
for applications where enormous quantities of unchanging data must be stored compactly for
easy retrieval, or for storing graphic images and sound.
CD-ROM is read-only storage. No new data can be written to it; it can only be read.
CD-ROM has been most widely used for reference materials with massive amounts of data,
such as encyclopedias and directories, and for storing multimedia applications that combine
text, sound, and images. For example, U.S. census demographic data and financial databases
from Dow Jones or Dun & Bradstreet are available on CD-ROM.
WORM (write once/read many) and CD-R (compact disk-recordable) optical disk
systems allow users to record data only once on an optical disk. Once written, the data cannot be erased but can be read indefinitely. CD-R technology allows individuals and organizations to create their own CD-ROMs at a low cost using a special CD-R recording device.
New CD-RW (CD-ReWritable) technology has been developed to allow users to create
rewritable optical disks. Rewritable optical disk drives are not yet competitive with magnetic
disk storage for most applications but are useful for applications requiring large volumes of
storage where the information is only occasionally updated.
Digital video disks (DVDs), also called digital versatile disks, are optical disks the same
size as CD-ROMs but of even higher capacity. They can hold a minimum of 4.7 gigabytes of
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secondary storage
Relatively long-term, nonvolatile
storage of data outside the CPU
and primary storage.
magnetic disk
A secondary storage medium in
which data are stored by means
of magnetized spots on a hard
or floppy disk.
hard disk
Magnetic disk resembling a thin,
metallic platter used in large
computer systems and in most
PCs.
floppy disk
Removable magnetic disk storage primarily used with PCs.
direct access storage device
(DASD)
Magnetic disk technology that
permits the CPU to locate a
record directly.
RAID (Redundant Array of
Inexpensive Disks)
Disk storage technology to
boost disk performance by packaging more than 100 smaller disk
drives with a controller chip and
specialized software in a single,
large unit to deliver data over
multiple paths simultaneously.
CD-ROM (compact disk
read-only memory)
Read-only optical disk storage
used for imaging, reference, and
other applications with massive
amounts of unchanging data and
for multimedia.
WORM (write once/read
many)
Optical disk system that allows
users to record data only once;
data cannot be erased but can
be read indefinitely.
CD-R (compact diskrecordable)
Optical disk system that allows
individuals and organizations to
record their own CD-ROMs.
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data, enough to store a full-length, high-quality motion picture. DVDs are used to store
movies and multimedia applications with large amounts of video and graphics, but they may
replace CD-ROMs, because they can store large amounts of digitized text, graphics, audio,
and video data.
Magnetic Tape
magnetic tape
Inexpensive, older secondarystorage medium in which large
volumes of information are
stored sequentially by means of
magnetized and nonmagnetized
spots on tape.
Magnetic tape is an older storage technology that still is used for secondary storage of large
volumes of information. More and more organizations are moving away from using the old
reel-to-reel magnetic tapes and instead are using mass-storage tape cartridges that hold far
more data (up to 35 gigabytes) than the old magnetic tapes. These cartridges are part of automated systems that store hundreds of such cartridges and select and mount them automatically using sophisticated robotics technology. Contemporary magnetic tape systems are used
for archiving data and for storing data that are needed rapidly but not instantly.
The principal advantages of magnetic tape include its inexpensiveness, its relative stability, and its ability to store very large quantities of information. The principal disadvantages of
magnetic tape are its sequentially stored data and its relative slowness compared to the speed
of other secondary storage media. In order to find an individual record stored on magnetic
tape, such as an employment record, the tape must be read from the beginning up to the
location of the desired record.
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Storage Area Networks Storage area networks (SANs) can provide a solution for companies with the need to share information across applications and computing platforms. A
storage area network (SAN) is a high-speed network dedicated to storage, which connects
different kinds of storage devices, such as tape libraries and disk arrays. The network moves
data among pools of servers and storage devices, creating an enterprise-wide infrastructure
for data storage. Many companies are storing vital information on servers at many different
locations, and SANs can make data available to all servers attached to them. The SAN creates
a large central pool of storage that can be shared by multiple servers so that users can rapidly
share data across the SAN. Every user in a company can access data from any server in the
organization. Figure 5-7 illustrates how a SAN works. The SAN storage devices are located
on their own network and are connected using a high-transmission technology, such as Fibre
Channel. The SAN supports communication between any server and the storage unit as well
as between different storage devices in the network.
SANs can be expensive and difficult to manage. More machines have to function correctly to get work done and coordinate their work over a network (Gibson and Van Meter,
2000). SANs are very useful for companies that need rapid data access for widely distributed
users and have the money to make long-term investments in their storage infrastructures.
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151
Tape
Library
RAID
SAN
RAID
RAID
Server
Server
er
er
er
Us
Us
Us
er
Us
er
Us
On-line Storage Service Providers Storage needs are growing so rapidly that many organizations no longer view computer storage as traditional hardware. Instead they view storage
through the model of a utility such as electricity or water. With utilities, we use what we need
and pay for what we use. Following the utility model, some companies are no longer providing their own data storage. Instead they store their data elsewhere, renting this capability
from a storage service provider. A storage service provider (SSP) is a third-party provider
that rents out storage space to subscribers over the Web. Storage service providers sell storage
as a pay-per-use utility, allowing customers to store and access their data without having to
purchase and maintain their own storage technology. (Similar outsourced service providers
exist for software, as described in Chapter 6.) The Window on Management describes some
of the benefits of using a storage service provider.
Input Devices
Keyboards remain the principal method of data entry for entering text and numerical data
into a computer. However, pointing devices, such as the computer mouse and touch screens,
are becoming popular for issuing commands and making selections in todays highly graphic
computing environment.
Pointing Devices A computer mouse is a handheld device with point-and-click capabilities that is usually connected to the computer by a cable. The computer user can move the
mouse around on a desktop to control the cursors position on a computer display screen,
pushing a button to select a command. The mouse also can be used to draw images on the
screen. Trackballs and touch pads often are used in place of the mouse as pointing devices on
laptop PCs.
Touch screens allow users to enter limited amounts of data by touching the surface of a
sensitized video display monitor with a finger or a pointer. Touch screens often are found in
information kiosks in retail stores, restaurants, and shopping malls.
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computer mouse
Handheld input device whose
movement on the desktop controls the position of the cursor
on the computer display screen.
touch screen
Input device technology that
permits the entering or selecting
of commands and data by touching the surface of a sensitized
video display monitor with a finger or a pointer.
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management
source data automation
Input technology that captures
data in computer-readable form
at the time and place the data
are created.
optical character recognition (OCR)
Form of source data automation
in which optical scanning devices
read specially designed data off
source documents and translate
the data into digital form for the
computer.
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bar code
Form of OCR technology widely
used in supermarkets and retail
stores in which identification
data are coded into a series of
bars.
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transaction file
In batch systems, a file in which
all transactions are accumulated
to await processing.
master file
A file containing permanent
information that is updated
during processing by transaction
data.
cathode ray tube (CRT)
A screen, also referred to as a
video display terminal (VDT)
that provides a visual image of
both user input and computer
output.
printer
A computer output device that
provides paper hard-copy output
in the form of text or graphics.
plotter
Output device using multicolored pens to draw high-quality,
graphic documents.
voice output device
A converter of digital output
data into spoken words.
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Batch Processing
Keyboard
input
Transactions
grouped
in batches
Sorted
transaction
file
Old
master
file
Validate
and update
Error
reports
New
master
file
Reports
Transactions
On-Line Processing
Enter
directly
Process/
update
master file
Immediate
input
Immediate
processing
Master
file
Immediate
file update
weekly time-card transactions.) Adding the transaction data to the existing master file creates
a new master file. In on-line processing, transactions are entered into the system immediately
using a keyboard, pointing device, or source data automation, and the system usually
responds immediately. The master file is updated continually. In on-line processing, there is
a direct connection to the computer for input and output.
Output Devices
The major data output devices are cathode ray tube terminals, sometimes called video display terminals, or VDTs, and printers.
The cathode ray tube (CRT) is probably the most popular form of information output
in modern computer systems. It works much like a television picture tube, with an electronic
gun shooting a beam of electrons to illuminate the pixels on the screen. The more pixels per
screen, the higher the resolution, or clarity, of the image on the screen. Laptop computers use
flat panel displays, which are less bulky than CRT monitors.
Printers produce a printed hard copy of information output. They include impact printers (such as a dot matrix printer) and nonimpact printers (laser, inkjet, and thermal transfer
printers). Most printers print one character at a time, but some commercial printers print an
entire line or page at a time. In general, impact printers are slower than nonimpact printers.
High-quality graphics documents can be created using plotters with multicolored pens
to draw (rather than print) computer output. Plotters are much slower than printers but are
useful for outputting large-size charts, maps, or drawings.
A voice output device converts digital output data into intelligible speech. For instance,
when you call for information on the telephone, you may hear a computerized voice respond
with the telephone number you requested.
Audio output such as music and other sounds can be delivered by speakers connected to
the computer. Microfilm and microfiche have been used to store large quantities of output as
microscopic filmed documents, but they are being replaced by optical disk technology.
Interactive Multimedia
The processing, input, output, and storage technologies we have described can be used to
create interactive multimedia applications that integrate sound, full-motion video, or anima-
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multimedia
The integration of two or more
types of media such as text,
graphics, sound, full-motion
video, or animation into a computer-based application.
streaming technology
Technology for transferring data
so that they can be processed as
a steady and continuous stream.
CNN.com is a multimedia Web site
providing news and live video 24
hours a day.Web sites can incorporate multimedia elements such as
graphics, sound, animation, and fullmotion video.
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TABLE 5-4
MP3 (MPEG3)
Compression standard that can
compress audio files for transfer
over the Internet with virtually
no loss in quality.
mainframe
Largest category of computer,
used for major business
processing.
midrange computer
Middle-size computer capable of
supporting the computing needs
of small organizations or of
managing networks of other
computers.
minicomputer
Middle-range computer used in
systems for universities, factories, or research laboratories.
server
Computer specifically optimized
to provide software and other
resources to other computers
over a network.
server farm
Large group of servers maintained by a commercial vendor
and made available to subscribers for electronic commerce and other activities
requiring heavy use of servers.
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Web Site
Description
TerraQuest
CNN.com
Lands End
VideoSonicNet
as they are downloaded from the Web. (RealAudio and RealVideo are widely used streaming
technology products on the Web.) Table 5-4 lists examples of other multimedia Web sites. If
Internet transmission capacity and streaming technology continue to improve, Web sites
could provide broadcast functions that compete with television along with new two-way
interactivity.
Multimedia Web sites are also being used to sell digital products, such as digitized music
clips. A compression standard known as MP3 (also called MPEG3), which stands for
Motion Picture Experts Group, audio layer 3, can compress audio files down to one-tenth or
one-twelfth of their original size with virtually no loss in quality. Visitors to Web sites such as
MP3.com can download MP3 music clips over the Internet and play them on their own
computers.
5.3
Categories of Computers
and Computer Systems
Computers represent and process data the same way, but there are different classifications.
We can use size and processing speed to categorize contemporary computers as mainframes,
midrange computers, PCs, workstations, and supercomputers. Managers need to understand
the capabilities of each of these types of computers and why some types are more appropriate
for certain processing work than others.
Categories of Computers
A mainframe is the largest computer, a powerhouse with massive memory and extremely
rapid processing power. It is used for very large business, scientific, or military applications
where a computer must handle massive amounts of data or many complicated processes. A
midrange computer is less powerful, less expensive, and smaller than a mainframe; it is
capable of supporting the computing needs of smaller organizations or of managing networks of other computers. Midrange computers can be minicomputers, which are used in
systems for universities, factories, or research laboratories; or they can be servers, which are
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. Servers have large memories and diskstorage capacity, high-speed communications capabilities, and powerful CPUs.
Servers have become important components of firms IT infrastructure because they provide the hardware platform for electronic commerce. By adding special software, they can be
customized to deliver Web pages, process purchase and sales transactions, or exchange data
with systems inside the company. Organizations with heavy electronic commerce requirements and massive Web sites are running their Web and electronic commerce applications
on multiple servers in server farms in computing centers run by commercial vendors such as
IBM. Large electronic commerce sites, such as Amazon.com or Dell.com, rely on server
farms with sophisticated capabilities to balance computer loads and handle millions of purchases, inquiries, and other transactions.
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Client
Requests
Data and services
Data
Application function
Network resources
User interface
Application function
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distributed processing
The distribution of computer
processing work among multiple
computers linked by a communications network.
centralized processing
Processing that is accomplished
by one large central computer.
client/server computing
A model for computing that
splits processing between
clients and servers on a network, assigning functions to the
machine most able to perform
the function.
client
The user point-of-entry for the
required function in client/server
computing. Normally, a desktop
computer, workstation, or laptop
computer.
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SERVER
Data
Data
Data
Logic
Logic
Logic
Data
Interface
Data
Data
Interface
Interface
Logic
Logic
Logic
Interface
Interface
Interface
CLIENT
downsizing
The process of transferring
applications from large computers to smaller ones.
Figure 5-10 illustrates five different ways that the components of an application could be
partitioned between the client and the server. The interface component is essentially the
application interfacehow the application appears visually to the user. The application logic
component consists of the processing logic, which is shaped by the organizations business
rules. (An example might be that a salaried employee is only to be paid monthly.) The data
management component consists of the storage and management of the data used by the
application.
The exact division of tasks depends on the requirements of each application, including
its processing needs, the number of users, and the available resources. For example, client
tasks for a large corporate payroll might include inputting data (such as enrolling new
employees and recording hours worked), submitting data queries to the server, analyzing the
retrieved data, and displaying results on the screen or on a printer. The server portion will
fetch the entered data and process the payroll. It also will control access so that only authorized users can view or update the data.
In some firms client/server networks with PCs have actually replaced mainframes and
minicomputers. The process of transferring applications from large computers to smaller
ones is called downsizing. Downsizing has many advantages. Memory and processing power
on a PC costs a fraction of their equivalent on a mainframe. The decision to downsize
involves many factors in addition to the cost of computer hardware, including the need for
new software, training, and perhaps new organizational procedures.
Network Computers
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In one form of client/server computing, client processing and storage capabilities are so minimal that the bulk of computer processing occurs on the server. The term thin client is sometimes used to refer to the client in this arrangement. Thin clients with minimal memory,
storage, and processor power and which are designed to work on networks are called network computers (NCs). Users download whatever software or data they need from a central
computer over the Internet or an organizations internal network. The central computer also
saves information for the user and makes it available for later retrieval, effectively eliminating
the need for secondary storage devices such as hard disks, floppy disks, CD-ROMs, and their
drives. A network computer may consist of little more than a stripped-down PC, a monitor,
a keyboard, and a network connection.
If managed properly, both network computers and client/server computing can reduce
the cost of information technology resources. Proponents of network computers believe NCs
can reduce hardware costs, because they are less expensive to purchase than PCs with local
processing and storage, and because they can be administered and updated from a central
network server. Software programs and applications would not have to be purchased,
installed, and upgraded for each user because software would be delivered and maintained
from one central point. Network computers thus could increase management control over
the organizations computing function. So much data and information are being delivered
through the Web that computers do not necessarily need to store their own content.
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Peer-to-Peer Computing
Another form of distributed processing, called peer-to-peer computing, puts processing
power back on users desktops, linking these computers so that they can share processing
tasks. Individual PCs, workstations, or other computers can share data, disk space, and even
processing power for a variety of tasks when they are linked in a network, including the
Internet. The peer-to-peer computing model stands in contrast to the network computing
model because processing power resides only on individual desktops and these computers
work together without a server or any central controlling authority. It has been estimated
that most companiesand individualsuse less than 25 percent of their processing and
storage capacity. Peer-to-peer computing taps the unused disk space or processing power on
PC or workstation networks for large computing tasks that can now only be performed by
large, expensive server computers or even supercomputers. The Window on Technology
describes how some companies benefited from using this computing approach.
peer-to-peer computing
Form of distributed processing
that links computers via the
Internet or private networks so
that they can share processing
tasks.
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technology
5.4
As you can tell from this chapter, selection and use of computer hardware technology can
have a profound impact on business performance. Computer hardware technology thus
represents an important organizational asset that must be properly managed. Managers need
to balance the cost of acquiring hardware resources with the need to provide a responsive and
reliable platform for delivering information systems applications. We now describe the most
important issues in managing hardware technology assets: understanding the new technology requirements for electronic commerce and the digital firm, determining the total cost of
ownership (TCO) of technology assets, and identifying technology trends impacting the
organizations information technology infrastructure.
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with electronic ones. Companies are processing and storing vast quantities of data for dataintensive applications, such as video or graphics, as well as for electronic commerce. Much
larger processing and storage resources are required to handle the surge in digital transactions flowing between different parts of firms and between firms and their customers and
suppliers.
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capacity planning
The process of predicting when
a computer hardware system
becomes saturated to ensure
that adequate computing
resources are available for work
of different priorities, and that
the firm has enough computing
power for its current and future
needs.
scalability
The ability of a computer, product, or system to expand to
serve a larger number of users
without breaking down.
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below 70 percent if the CPU is very busy so that the CPU does not
waste machine cycles looking for data. I/O usage is high between
1 A.M. and 6 A.M. because the firm backs up its data stored on disk
when the CPU is not busy.
2.
next year are expected to increase CPU usage and I/O usage by 20
percent between 1 P.M. and 9 P.M. and by 10 percent during the
rest of the day. Does your company have enough processing
capacity to handle this increased load? Explain your answer.
What would happen if your organization did not pay attention to
capacity issues?
100
90
Percent Utilized
80
70
60
50
CPU
I/O
40
30
20
10
0
9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24
Hour
Daily CPU and I/O usage (hours are for U.S. Eastern Standard Time).
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The purchase and maintenance of computer hardware equipment is but one of a series of
cost components that managers must consider when selecting and managing technology
assets. The actual cost of owning technology resources includes both direct and indirect
costs, including the original purchase costs of computers and software; hardware and software upgrades; and maintenance, technical support, and training. The total cost of ownership (TCO) model can be used to analyze these direct and indirect costs to help firms determine the actual cost of specific technology implementations. Table 5-5 lists and describes the
most important total cost of ownership components.
When all these cost components are considered, the TCO for a PC might run up to
three times the original purchase price of the equipment. Hidden costs for support staff
and additional network management may make distributed client/server architectures more
expensive than centralized mainframe architectures. CheckFree, a leading provider of electronic consumer bill payment and other financial services used TCO analysis when deciding
on a new computing architecture to support plans to expand its bill payment and banking
services to 50 million customers. CheckFrees original plan called for a multitiered
client/server architecture with distributed servers. But by examining the total cost of ownership, management found that distributed architecture would have cost twice as much over
time as a centralized mainframe environment, because it required extra technical support and
was more likely to have service interruptions (Brannigan, 1999; Paul, 1998.)
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TABLE 5-5
163
Hardware acquisition: Purchase price of computer hardware equipment, including computers, terminals, storage, printers
Software acquisition: Purchase or license of software for each user
Installation: Cost to install computers and software
Training: Cost to provide training to information system specialists and end users
Support: Cost to provide ongoing technical support, help desks
Maintenance: Cost to upgrade the hardware and software
Infrastructure: Cost to acquire, maintain, and support related infrastructure, such as networks and
specialized equipment (such as storage back-up units)
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information appliance
A computing device customized
to perform only a few specialized tasks very well with a minimum of effort.
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technology infrastructure. Data stored on mobile computing devices and appliances will
need to be coordinated with data stored in the main corporate computers.
Social Interfaces
Computer technology is becoming so powerful and integrated into daily experiences that it
can appear almost invisible to the user. Social interfaces are being developed to model the
interaction between people and computers using familiar human behavior. People increasingly will interact with the computer in more intuitive and effortless waysthrough writing,
speech, touch, eye movement, and other gestures (Selker, 1996).
Voice-recognition technology is moving closer to human, natural speech. Commercial,
continuous-speech voice-recognition products have vocabularies large enough for general
business use. These social interfaces will make it easier for organizations to incorporate computing devices into their work practices and business processes. People will use voice or other
social interfaces to interact with corporate information systems.
Management
Wrap-Up
Selecting computer hardware technology for the organization is a key business decision, and
it should not be left to technical specialists alone. General managers should understand the
capabilities of various computer processing, input, output, and storage options, as well as
price/performance relationships. They should be involved in hardware-capacity planning,
technology asset management, and decisions to distribute computing, downsize, or use network computers.
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For Discussion
1. What management, organization, and technology issues should be considered when
selecting computer hardware?
2. What factors would you consider in deciding whether to switch from centralized processing on a mainframe to client/server processing?
Summary
1. Identify the hardware components in a typical computer system
2.
and their role in processing information. The modern computer system has six major components: a central processing
unit (CPU), primary storage, input devices, output devices,
secondary storage, and communications devices. Computers
store and process information in the form of binary digits
called bits. A string of eight bits is called a byte. There are
several coding schemes for arranging binary digits into characters. The most common are EBCDIC and ASCII. The
CPU is the part of the computer where the manipulation of
symbols, numbers, and letters occurs. The CPU has two
components: an arithmetic-logic unit and a control unit. The
arithmetic-logic unit performs arithmetic and logical operations on data, whereas the control unit controls and coordinates the computers other components.
The CPU is closely tied to primary memory, or primary
storage, which stores data and program instructions temporarily before and after processing. Several different kinds
of semiconductor memory chips are used with primary storage: RAM (random access memory) is used for short-term
storage of data and program instructions, whereas ROM
(read-only memory) permanently stores important program
instructions.
Computer processing power depends, in part, on the
speed of microprocessors, which integrate the computers
logic and control on a single chip. Microprocessors capabilities can be gauged by their word length, data bus width, and
cycle speed. Most conventional computers process one
instruction at time, but computers with parallel processing
can process multiple instructions simultaneously.
Describe the principal storage, input, and output technologies
for computer systems and interactive multimedia. The principal forms of secondary storage are magnetic disk, optical
disk, and magnetic tape. Magnetic disk permits direct
access to specific records. Disk technology is used in on-line
processing. Optical disks can store vast amounts of data
compactly. CD-ROM disk systems can only be read from,
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3.
4.
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Key Terms
Arithmetic-logic unit
(ALU), 145
ASCII (American Standard
Code for Information
Interchange), 144
Bar code, 152
Batch processing, 153
Bit, 143
Byte, 143
Capacity planning, 161
Cathode ray tube (CRT), 154
CD-R (compact diskrecordable), 149
CD-ROM (compact disk readonly memory), 149
Central processing unit
(CPU), 144
Centralized processing, 157
Client, 157
Client/server computing, 157
Computer mouse, 151
Control unit, 145
Coprocessor, 148
Data bus width, 147
Digital scanner, 153
Digital video disk (DVD), 149
Review Questions
1. What are the components of a contemporary com-
puter system?
2. Distinguish between a bit and a byte, and describe
how information is stored in primary memory.
3. What are ASCII and EBCDIC, and why are they
used?
4. Name the major components of the CPU and describe
the function of each.
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Group Project
Experts predict that notebook computers will soon have 10 times
the power of a current personal computer, with a touch-sensitive
color screen that one can write on or draw on with a stylus, or
type on when a program displays a keyboard. Each will have a
small, compact, rewritable, removable CD-ROM that can store
the equivalent of a set of encyclopedias. In addition, the computers will have voice-recognition capabilities, including the ability
to record sound and give voice responses to questions. The computers will be able to carry on a dialogue by voice, graphics, typed
words, and displayed video graphics. Thus, affordable computers
will be about the size of a thick pad of letter paper and just as
portable and convenient, but with the intelligence of a computer
and the multimedia capabilities of a television set.
Form a group with three or four of your classmates and
develop an analysis of the impacts such developments would
have on one of these areas: university education, corporate sales
and marketing, manufacturing, or management consulting.
Explain why you think the impact will or will not occur. If possible, use electronic presentation software to present your findings
to the class.
CD-ROM
Case Study
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The pharmaceutical division now has a single system for recording and managing all its hardware and software assets. However,
Bluestone and his team are not satisfied and have visions of further change. They have begun phasing in enhancements to both
Argis and NetCensus. And they want to make use of the Internet
to make asset management information available to senior IT
management and to the companys IT clients as well. They also
want to link the asset management system with the companys
problem management system.
Sources: Karen Schwartz, Controlled Substances, CIO Magazine,
June 1, 2000; AHP Says Fen-Phen Settlement Is Win-Win, Forbes,
August 29, 2000; Lenny Liebmann, Drug Companies Use IT to Cure
What Ails Them, TechWeb, September 27, 1999; Sam Jaffe, The
Cloud over American Home Products Dissipates, BusinessWeek,
October 11, 1999; American Home Products Annual Report,
http://www.ahp.com/annrpt99; and American Home Products,
Corporation, The Industry Standard, http://www.thestandard.com/
companies.
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