UNIT-IV

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 2
INITION O
SYST 

@ It is a group of interrelated components working

together toward a common goal by accepting inputs
and producing outputs in an organized
transformation process.
 4OON NTS O
SYST 

@ „
involves capturing and assembling elements

that enter the system to be processed.
@ K
 involves transformation processes that
convert input into output.
@ à
involves transferring elements that have
been produced by a transformation process to their
ultimate destination.
@ › is data about the performance of a
system.
@ 4


involves monitoring and evaluating
feedback to determine whether a system is moving
toward the achievement of its goal.
2
INITION O
IN
ORTION SYST 

@ It is an organized combination of people, hardware,

software, communication networks, and data
resources that collects, transforms, and disseminates
information in an organization.
 4OON NTS O
IN
ORTION SYST S

@ K



 Πnd Users & IS Specialists)
@ Ñ  
 Œ4omputer Systems &
4omputer eripherals)
@ a
 
 ŒSystem s/w, pplication
s/w, rocedures)
@ 2
 Œ2atabases & Knowledge Bases)
@ p

 Œ4ommunication edia &
Network support)
 IN
ORTION SYST  4TIVITI S

@ Input of 2ata Resources

@ rocessing of 2ata into Information
@ Output of Information roducts
@ Storage of 2ata Resources
@ 4ontrol of System performance
 TY S O
IN
ORTION SYST S

@ àK „àpa KKàa
a a
@   
K
  a They record and
process data resulting from business transactions. They
process transactions in two basic ways. In þ


, transactions data are accumulated over a
period of time and processed periodically. In  
 


 
, data are processed immediately after a
transaction occurs.
@ K
 4


a They monitor and control
physical processes.
@ 
4



a They enhance team

and workgroup communications and productivity and are
sometimes called   



.
 4ONT2.

@ p  pa KKàa
a a

‰   „ 

aThey provide
information in the form of reports and displays to
managers and many business professionals.
‰ 2
a


a They give direct
computer support to managers during the decision-
making process.
ecutive Information Systems They provide critical
information from a wide variety of internal and eternal
sources in easy-to-use displays to eecutives & managers.
 OTH R 4 SSI
I4TION

@ 
 aThey can provide epert advice

for operational chores like equipment diagnostics or
managerial decisions such as loan portfolio
management.
@ ÿ

  aThey are
knowledge based information systems that support
the creation, organization and dissemination of
business knowledge to employees and managers
throughout a company.
 4ONT2.

@ › 


 aThey focus on
operational and managerial applications in support
of basic business functions such as accounting or
marketing.
@ a „ 

aThey apply
information technology to a firm¶s products, services
or business processes to help it gain a strategic
advantage over its competitors.
 2
INITION O
-4O R4

@ obile 4ommerce also known as -4ommerce or U-

4ommerce, is the ability to conduct commerce, using
a mobile device e.g. a mobile phone Œcell phone), a
2, a smartphone .
 -4O R4 RO2U4TS & S RVI4 S

@ obile ticketing
@ obile vouchers, coupons and loyalty cards
@ 4ontent purchase and delivery
@ ocation-based services
@ Information services
@ obile banking
@ obile brokerage
@ uctions
@ obile purchase
@ obile marketing and advertising
 2
INITION O
-4O R4

@ It is associated with the buying and selling of

information, products and services via computer
networks today and in the future via any one of the
myriad of networks that make up the Information
Superhighway ŒI-way).
 BUI 2ING B O4KS O

-4O R4 IN
RSTRU4TUR

@ 4ommon business services, for facilitating the

buying and selling process.
@ essaging and information distribution, as a means
of sending and retrieving information.
@ ultimedia content and network publishing, for
creating a product and a means to communicate
about it.
@ The I-way provides the highway system along which
all e-commerce must travel.
 I RS O

-4O R4 IN
RSTRU4TUR
@ ublic policy, to govern such issues as universal
access, privacy and information pricing.
@ Technical standards, to dictate the nature of
information publishing, user interfaces and
transport in the interest of compatibility across the
entire network.

TUR S O
-4O T 4HNO OGY

@  -commerce is ubiquitous, meaning that

it is available just about everywhere, at all times.
@



@  
a  Technical standards for
conducting -commerce are universal standards that
are shared by all nations around the world.
@  Information richness refers to the
compleity and content of a message.
@ „   -commerce technologies are
interactive, meaning that allow for two-way
communication between merchant and consumer.
 4ONT2.

@ „ 

2 The Internet and World

Wide Web increase information density- the total
amount and quality of information available to all
market participants, consumers and merchants alike.
@ K 


erchants can target their
marketing messages to specific individuals by
adjusting the message to a person¶s name, interests
and past purchases.
@ 4

changing the delivered product or
service based on a user¶s preferences or prior
behavior.
 TY S O
-4O R4

@
 
4
 
4 4
 
In this, online businesses attempt to reach individual
consumers.
@
 

 

 4
 In
this, businesses focus on selling to other businesses.
@ 4
 
4
 44 4
 
It provides a way for consumers to sell to each other,
with the help of online market maker.
@ K 
K KK 4
 It enables
Internet users to share files and computer resources
directly without having to go through a central Web
server.
2I NSIONS O
-4O R4 S 4URITY

@ „  It refers to the ability to ensure that

information being displayed on a Website or
transmitted or received over the Internet, has not
been altered in any way by an unauthorized party.
@ p
 

 It refers to the ability to ensure
that e-commerce participants do not deny their
online actions.
@   It refers to the ability to identify the
identity of a person or entity with whom we are
dealing on the Internet.
 4ONT2.

@ 4
 
 It refers to the ability to ensure
that messages and data are available only to those
who are authorized to view them.
@ K  It refers to the ability to control the use of
information a customer provides about himself or
herself to an e-commerce merchant.
@ 

 It refers to the ability to ensure that an
e-commerce site continues to function as intended.
 2
INITION O
N4RYTION

@ It is the process of transforming plain tet or data

into cipher tet that cannot be read by anyone
outside of the sender and the receiver.
@ This transformation of plain tet to cipher tet is
accomplished by using a 

  In a
þ



 u very occurrence of a given letter
is replaced systematically by another letter. In a




 , the ordering of the letters in
each word is changed in some systematic way.
2I NSIONS O
-4O R4 S 4URITY

‰ | 


- provides assurance that the message
has not been altered.
‰ p


prevents the user from denying he or
she sent the message.
‰ Y




provides verification of the identity of the
person sending the message.
‰ 4
 


 gives assurance that the message was not
read by others.
 TY S O
N4RYTION

@ a  ÿ  

 both the sender and

the receiver use the same key to encrypt and decrypt
the message.
@ K
 ÿ  

 Two mathematically
related digital keys are used: a public key and a
private key. The private key is kept secret by the
owner and the public key is widely disseminated.
Both keys can be used to encrypt and decrypt a
message. However, once the keys are used to encrypt
a message, that same key cannot be used to decrypt
the message.
RO4 2UR O
UB I4 K Y N4RYTION

‰ The sender creates a digital message.

‰ The sender obtains the recipient¶s public key from a
public directory and applies it to the message.
‰ pplication of the recipient¶s key produces an encrypted
cipher tet message.
‰ The encrypted message is sent over the Internet.

‰ The recipient uses his/her private key to decrypt the

message.
 K
ÿ  

 2

a   Ñ2
@ The sender creates an original message.
@ The sender applies the hash function, producing a
128-bit hash result.
@ The sender encrypts the message and hash result
using recipient¶s public key.
@ The sender encrypts the result, again using his or her
private key.
 4ONT2.

@ The result of this double encryption is sent over the

Internet.
@ The receiver uses the sender¶s public key to
authenticate the message.
@ The receiver uses his or her private key to decrypt the
hash function and the original message. The receiver
checks to ensure that the original message and the
hash function results conform to one another.
 2IGIT NV O S

@ It is a technique that uses symmetric encryption for

large documents, but public key encryption to
encrypt and send the symmetric key.
 2IGIT 4 RTI
I4T S & KI

@ 2
4  is a digital document issued by
a 
 



 that contains the name of
the subject or company, the subject¶s public key,
digital certificate serial number, an epiration date,
an issuance date, the digital signature of the
certification authority and other identifying
information. 4ertification uthority is a trusted third
party that issues digital certificates.
@ K
 ÿ „     refers to the
certification authorities & digital certificate
procedures that are accepted by all parties.
-4O R4 2IGIT Y NT SYST S

@ 2



@ 4 

þ  
 
: They are software
applications that consumers install on their computers &
that offer consumers convenience by automatically filling
out forms at online stores.
@ a þ  
 
: They are software-based
authentication & payment services & products sold to
financial institutions that market the systems to merchants
either directly or as a part of their financial service package.
 4ONT2.

@ 2igital 4ash
@ Online Stored Value Systems
@ Smart cards as Stored Value Systems
@ 2igital ccumulating Balance ayment Systems
@ 2igital 4redit 4ard ayment Systems
@ 2igital 4hecking ayment Systems