Genba Sopanrao Moze College Of Engineering, Balewadi - Pune Department of

MCA, F.Y SEM – I, Information Systems and Engineering Economics

Information System and Engineering Economics

[310905] LECTURE NOTES

MCA I YEAR – SEM (I)(2022-2023)

DEPARTMENT OF MCA

GENBA SOPANRAO MOZE COLLEGE OF ENGINEERING

S. No. 25/1/3, Balewadi-Baner, Pune- 411 045
(Approved by AICTE and Govt. of Maharashtra, Affiliated to Savitribai Phule Pune
University)

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 Genba Sopanrao Moze College Of Engineering, Balewadi - Pune
Department of MCA, F.Y SEM – I, Information Systems and Engineering
Economics
Unit – II
Leveraging Information Systems
Information Systems and Project Management, Managing Data Resources, Business Process
Integration and Enterprise Systems, ICT for Development and E-Governance, Knowledge
Management Systems, Case Studies on In-house or Cloud based ERP implementation, Online
Banking, Unique Identification Authority of India (UIDAI)

COURSE OBJECTIVES: To prepare the students to get aware about Information Systems and Project
Management using latest trends.

COURSE OUTCOMES:

CO2: Understand the Information Systems, Project Management, Managing Data resources,
Knowledge Management, Business Process Integration and Enterprise Systems

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 Genba Sopanrao Moze College Of Engineering, Balewadi - Pune
Department of MCA, F.Y SEM – I, Information Systems and Engineering
Economics
UNIT _ 2

Information Systems and Project Management:-

A project is completely based on information and data revolving and communicating with team
members. Project managementmanages all the functions and the data involved in the projects. The way
the Project Managers handle projects will vary depending on the project. With the advances in
technology, Project Management has been with the help of software programs and applications.

What is Project Management and Information System?

Projects will consist of data from both the internal and external environment. The data collected in the
project is valuable and should be stored for future usage. The Project Management Information System
(PMIS) is a software application used to store, organize, and control project data and information. With
the help of the data, project managers can easily execute the deliverables of the project without the
need to deliver the real data to the team members. There are several PMIS available in the market to
manage and control the project data. Though there are differences in the various PMIS, the essential
features are common. The following are essential features for PMIS.

Need for Project Management and Information System

With the old traditional project management systems, project managers have had trouble. It is because
of various reasons like managing data and information regarding the project. In addition, project team
silos are causing issues like a lack of coordination and collaboration among the teams. The
communication and the knowledge between the other teams are also lagging in the traditional project
management system. To overcome these issues, the Project Management Information System has been
developed as a software tool that project managers can use to manage and communicate with the
project. It provides various features and benefits when compared to traditional project management.

Essential Features of Project Management and Information System

A Project Management Information System requires essential features to deal with its various
functions. The following are some of the important features that a PMIS must have:

Planning and Scheduling

It is one of the most important functions of project management. When you initiate a project, the plan
and the schedule are the two important components. The PMIS will have scheduling tools with which
the project could be under control. The schedule is communicated to team members to flow with it.
The project planning is easier with PMIS since the resource availability, and the cost can be easily
linked with the planning.

Budget and Estimation

Budget and estimation is the feature that is combined with the plan and schedule of the project. The
reason is that the costs are assigned for every task in the project. The entire project’s estimate is

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 Genba Sopanrao Moze College Of Engineering, Balewadi - Pune
Department of MCA, F.Y SEM – I, Information Systems and Engineering
Economicsthe costs for each task. It helps keep track of the current flow and spending for
calculated by estimating
the project. The estimation should consider the resources in the project, time available, and budget
from the customer side.

Resource and Procurement Management

Resources of the project may be of several types like human resources, material resources, machinery,
etc. Managing the resources is essential since every task’s time and cost requirement can be calculated.
The costs spent on procuring goods or services are managed. It helps keep track of the costs spent on
both the resources and the procurement.

Project Performance

The performance measurement of management is another feature available in the PMIS. The existing
plans are updated in the case of any changes made internally or by the customers. Some of the changes
have to be accepted and updated in the project plan. The current status of the project is identified with
the help of calculations like Estimate at Completion (EAC), Estimate to Complete (ETC), Variance at
Completion (VAC), etc.

Progress Reporting and Communication

The reports are generated for every task and project to understand and deliver the work done. It is used
for future projects to take the positives from the project. The PMIS system will help generate progress
reports to communicate with various team members and stakeholders. The reports are analyzed for any
selection that is made. The PMIS is useful for communicating with various project team members.

Integration

The silos in the main issue when dealing with project management. It is because of teams working in
different aspects. To overcome the challenges, PMIS is highly helpful in maintaining the data
integration in the project. Several applications and programs are integrated with PMIS so the
information is collective and could produce productive and useful information. The information that is
required can be collected or analyzed effectively.

Advantages of Project Management and Information System

As discussed, the traditional project management system has some disadvantages that need to be
overcome. However, with the Project Management Information System, several advantages are
achieved, and the following are some of them.

Better Collaboration and Teamwork

The teams can collaborate and work together as the communication is effective with the Project
Management Information Systems. Since the teams are working together, the time and the costs are
reduced. Furthermore, any changes or issues could be addressed immediately to the other teams and
hence can work on it instantly. Another advantage here is the documentation which is easier to
transmit between the team members.
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Department of MCA, F.Y SEM – I, Information Systems and Engineering
Economics
Competitive Advantage

The project teams were migrating to the PMIS-based system to attain its benefits. The competition in
the industry is tackled only by using new and cutting-edge technologies. Here, with the help of PMIS,
every process is handled effectively without taking much time and cost. More projects are attained
with the increase in the number of customers.

Keeping Track of Everything

The main advantage of using the PMIS system is the focus and the track made with it. Project
managers can work toward the project’s focus with the various techniques and tools. For example,
planning, estimation, management, etc., have helped focus on the project’s aim. Complete control over
the project is ensured with the help of this PMIS system. Cost and time are the two important factors
that have been tracked easily with the PMIS system.

Decision-Making Abilities

The decision making is one of the most important roles of the project manager. Nothing will be an
issue when a project goes right, and if a project has lost control, the consequences will be serious. With
the PMIS system, the challenges that are arrived in the project can be handled effectively so that
project managers can make the decisions in the right manner. For example, any changes or issues in
the project will resolve immediately without taking much time.

Manage Multiple Projects at a Time

The number of projects possibly managed with the PMIS system is more. Since this is a software tool,
multiple projects are handled effectively by focusing on essential parameters. The chances of occurring
errors and failures will also be reduced while using the PMIS system. The projects are managed
simultaneously with this advanced option.

How to Select Project Management and Information System

Not all Project Management Information System is the same, and hence the one suitable for the project
is selected. Several factors are to be considered while working with the selection of a Project
Management Information System. Here are some factors that will help select the right PMIS for the
project.

Suitability

The suitability here refers to the various aspects like the size of the project, team size, cost of the PMIS
suite, etc. The compatibility and the other factors are verified before selecting the PMIS for the
organization.

Ease of Use

The usability will differ from one PMIS system to another. The ease of using the PMIS should be
focused on while selecting it. The team members should not find it difficult to work with it.
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Department of MCA, F.Y SEM – I, Information Systems and Engineering
Features Economics

The next is the selection of the features that are available in it. Mostly all the PMIS systems will have
the basic essential features for managing the project, but the required ones are selected for the needs.

Mobile Application

Mobile application availability should be verified before buying the Project Management Information
System. The mobile application will be helpful for the users to manage the task effectively without the
need for a computer, and hence it is expected.

Communication

The platform or option for communication and sharing the files is verified while working on selecting
the PMIS system. Here, it is important to communicate with the team members in the project.

Third-Party Application Integration

Third-party applications are expected to be integrated with the PMIS system to make it more effective.
In addition, it will help manage the tasks with integration and collaboration with the other tasks.

Examples of Project Management Information System

There are several Project Management Information Systems available in the market. Based upon the
need and the budget, the one that is required for the organization can be selected. The following are
some examples of PMIS systems available.

 ProofHub
 Basecamp
 Citrix Podio
 Jira
 Trello

Apart from these, there is numerous other PMIS software that is available. The software tool selection
is solely based on requirements, budgets, and ease of use.

Managing Data Resources:-

- Data are a vital organizational resource that need to be managed like other important
business assets.
- Today’s business enterprises cannot survive or succeed without quality data about their
internal operations and external environment.
- Data Resource Management is a managerial activity that applies information systems
technologies like database management, data warehousing, and other data management
tools to the task of managing an organization’s data resources to meet the information
needs of their business stakeholders.
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Department of MCA, F.Y SEM – I, Information Systems and Engineering
Economics
Types of databases
1. Operational Databases
- store detailed data needed to support the business processes and operations of a
company.
- are also called subject area databases (SADB), transaction databases, and
production databases.
- Examples are a customer database, human resource database, inventory
database, and other databases containing data generated by business operations.
- For example, a human resource database would include data identifying each
employee and his or her time worked, compensation, benefits, performance
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appraisals, training and development status, and other related human resource
data.
2. Distributed Databases
- Many organizations replicate and distribute copies or parts of databases to network
servers at a variety of sites.
- These distributed databases can reside on network servers on the World Wide
Web, on corporate intranets or extranets, or on other company networks.
- Distributed databases may be copies of operational or analytical databases,
hypermedia or discussion databases, or any other type of database.
- Replication and distribution of databases improve database performance at end-
user worksites.
- Ensuring that the data in an organization’s distributed databases are consistently
and concurrently updated is a major challenge of distributed database
management.
Advantages
- Protection of valuable data.
- Storage requirements: Often, a large database system may be distributed into
smaller databases based on some logical relationship between the data and the
location. For example, a company with several branch operations may distribute
its data so that each branch operation location is also the location of its branch
database. Because multiple databases in a distributed system can be joined
together, each location has control of its local data while all other locations can
access any database in the company if so desired.
Challenges
- Maintenance of data accuracy: If a company distributes its database to multiple
locations, any change to the data in one location must somehow be updated in all
other locations. This updating can be accomplished in one of two ways:
replication or duplication.
Replication:
- Involves using a specialized software application that looks at each
distributed database and then finds the changes made to it.
- Once these changes have been identified, the replication process makes
all of the distributed databases look the same by making the appropriate
changes to each one.
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Department of MCA, F.Y SEM – I, Information Systems and Engineering
- The replicationEconomics
process is very complex and, depending on the number and
size of the distributed databases, can consume a lot of time and computer
resources.
Duplication:
- is much less complicated.
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- identifies one database as a master and then duplicates that database at
a prescribed time after hours so that each distributed location has the same
data.
- One drawback to the duplication process is that no changes can ever be
made to any database other than the master to avoid having local changes
overwritten during the duplication process.
- Nonetheless, properly used, duplication and replication can keep all
distributed locations current with the latest data.
- One additional challenge is the extra computing power and bandwidth necessary
to access multiple databases in multiple locations.
3. External Databases
- Websites provide an endless variety of hyperlinked pages of multimedia
documents in hypermedia databases for us to access.
- Data are available in the form of statistics on economic and demographic activity
from statistical databanks, or we can view or download abstracts or complete
copies of hundreds of newspapers, magazines, newsletters, research papers, and
other published material and periodicals from bibliographic and full-text databases.
- Whenever we use a search engine like Google or Yahoo to look up something on
the Internet, we are using an external database - a very, very large one!
4. Hypermedia Databases
- The rapid growth of Web sites on the Internet and corporate intranets and
extranets has dramatically increased the use of databases of hypertext and
hypermedia documents.
- A Website stores such information in a hypermedia database consisting of
hyperlinked pages of multimedia (text, graphic and photographic images, video
clips, audio segments, and so on).
- That is, from a database management point of view, the set of interconnected
multimedia pages on a Website is a database of interrelated hypermedia page
elements, rather than interrelated data records.
Data warehousing
- A data warehouse stores data that have been extracted from the various operational,
external, and other databases of an organization.
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- It is a central source of the data that have been cleaned, transformed, and cataloged so
that they can be used by managers and other business professionals for data mining,
online analytical processing, and other forms of business analysis, market research, and
decision support.
- Data warehouses may be subdivided into data marts , which hold subsets of data from
the warehouse that focus on specific aspects of a company, such as a department or a
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Department of MCA, F.Y SEM – I, Information Systems and Engineering
Economics
business process.
- Data from various operational and external databases are captured, cleaned, and
transformed into data that can be better used for analysis.
- This acquisition process might include activities like consolidating data from several
sources, filtering out unwanted data, correcting incorrect data, converting data to new data
elements, or aggregating data into new data subsets.
- These data are then stored in the enterprise data warehouse, from which they can be
moved into data marts or to an analytical data store that holds data in a more useful form
for certain types of analysis.
- Metadata (data that define the data in the data warehouse) are stored in a metadata
repository and cataloged by a metadata directory.
- Finally, a variety of analytical software tools can be provided to query, report, mine, and
analyze the data for delivery via Internet and intranet Web systems to business end users.
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- One important characteristic about the data in a data warehouse is that, unlike a typical
database in which changes can occur constantly, data in a data warehouse are static,
which means that once the data are gathered up, formatted for storage, and stored in the
data warehouse, they will never change.
- This restriction is so that queries can be made on the data to look for complex patterns or
historical trends that might otherwise go unnoticed with dynamic data that change
constantly as a result of new transactions and updates.
Data Mining
- In data mining, the data in a data warehouse are analyzed to reveal hidden patterns and
trends in historical business activity.
- This analysis can be used to help managers make decisions about strategic changes in
business operations to gain competitive advantages in the marketplace.
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- Data mining can discover new correlations, patterns, and trends in vast amounts of
business data (frequently several terabytes of data) stored in data warehouses.
- Data mining software uses advanced pattern recognition algorithms, as well as a variety
of mathematical and statistical techniques, to sift through mountains of data to extract
previously unknown strategic business information.
- For example, many companies use data mining to:
● Perform market-basket analysis to identify new product bundles.
● Find root causes of quality or manufacturing problems.
● Prevent customer attrition and acquire new customers.
● Cross-sell to existing customers.
● Profile customers with more accuracy.
[attrition: the process of reducing something's strength or effectiveness through sustained attack
or pressure.]
The Database Management Approach
- To solve the problems encountered with the file processing approach, the database
management approach was conceived as the foundation of modern methods for
managing organizational data.
- The database management approach consolidates data records, formerly held in separate
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files, into databases that can be accessed by many different application programs.
- In addition, a database management system (DBMS) serves as a software interface
between users and databases, which helps users easily access the data in a database.
- Thus, database management involves the use of database management software to
control how databases are created, interrogated, and maintained to provide information
that end users need.
- For example, customer records and other common types of data are needed for several
different applications in banking, such as check processing, automated teller systems,
bank credit cards, savings accounts, and installment loan accounting. These data can be
consolidated into a common customer database, rather than being kept in separate files
for each of those applications.
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Database Management System
- A database management system (DBMS) is the main software tool of the database
management approach because it controls the creation, maintenance, and use of the
databases of an organization and its end users.
- Examples of popular DBMS software are IBM’s DB2 Universal Database, Oracle 10g by
Oracle Corp., and MySQL, a popular open-source DBMS.
- The three major functions of a database management system are:
1. to create new databases and database applications,
2. to maintain the quality of the data in an organization’s databases, and
3. to use the databases of an organization to provide the information that its end
users need.
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- Database development involves defining and organizing the content, relationships, and
structure of the data needed to build a database.
- Database application development involves using a DBMS to develop prototypes of
queries, forms, reports, and Web pages for a proposed business application.
- Database maintenance involves using transaction processing systems and other tools to
add, delete, update, and correct the data in a database.
- The primary use of a database by end users involves employing the database
interrogation capabilities of a DBMS to access the data in a database to selectively retrieve
and display information and produce reports, forms, and other documents.
Database Interrogation
- A database interrogation capability is a major benefit of the database management
approach.
- End users can use a DBMS by asking for information from a database using a query
feature or a report generator.
- They can receive an immediate response in the form of video displays or printed reports.
No difficult programming is required.
- The query language feature lets us easily obtain immediate responses to ad hoc data
requests: in a few short inquiries - in some cases, using common sentence structures just
like we would use to ask a question.
- The report generator feature allows us to specify a report format for information we want
presented as a report.
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Department of MCA, F.Y SEM – I, Information Systems and Engineering
SQL Queries Economics
- Structured Query Language, is an international standard query language found in many
DBMS packages. In most cases, SQL is the language structure used to “ask a question”
that the DBMS will retrieve the data to answer.
- The basic form of a SQL query is:
SELECT . . . FROM . . . WHERE . . .
- After SELECT, we list the data fields we want retrieved.
- After FROM, we list the files or tables from which the data must be retrieved.
- After WHERE, we specify conditions that limit the search to only those data records
in which we are interested.
Boolean Logic
- Boolean logic allows us to refine our searches for specific information such that only the
desired information is obtained.
- Boolean logic consists of three logical operators: (1) AND, (2) OR, and (3) NOT.
- Using these operators in conjunction with the syntax of a SQL query, a database user can
refine a search to ensure that only the desired data are retrieved.
- For example, to retrieve the students of BIM who have no BackPapers can be:
Students WHERE program is BIM AND NOT BackPapers
Graphical and Natural Queries
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- Many end users (and IS professionals) have difficulty correctly phrasing SQL and other
database language search queries.
- So most end-user database management packages offer GUI (graphical user interface)
point-and-click methods, which are easier to use and are translated by the software into
SQL commands.
Database Maintenance
- The database maintenance process is accomplished by transaction processing systems
and other end-user applications, with the support of the DBMS.
- End users and information specialists can also employ various utilities provided by a
DBMS for database maintenance.
- The databases of an organization need to be updated continually to reflect new business
transactions (e.g., sales made, products produced, inventory shipped) and other events.
- Other miscellaneous changes also must be made to update and correct data (e.g.,
customer or employee name and address changes) to ensure the accuracy of the data in
the databases.
Application Development
- DBMS packages play a major role in application development.
- End users, systems analysts, and other application developers can use the internal 4GL
programming language and built-in software development tools provided by many DBMS
packages to develop custom application programs.
- For example, we can use a DBMS to develop the data entry screens, forms, reports, or
Web pages of a business application that accesses a company database to find and
update the data it needs.
- A DBMS also makes the job of application software developers easier, because they do
not have to develop detailed data-handling procedures using conventional programming
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Department of MCA, F.Y SEM – I, Information Systems and Engineering
languages everyEconomics
time they write a program.
- Instead, they can include features such as data manipulation language (DML) statements
in their software that call on the DBMS to perform necessary data-handling activities.

Business Process Integration and Enterprise Systems:-

As a company grows, so too does its need for more systems and applications — each one playing a
crucial function in its operations.

For example, you might have customer relationship management (CRM) software to administer
customer data, an accounting system to handle invoices, and an HR system to manage employees.

But problems can occur if those systems aren’t integrated. Teams may work or make key decisions
based on outdated data.

So how can you ensure that everyone has access to the most up-to-date information? And how can you
integrate your systems to ensure everything works together?

This is where business process integration comes in.

In this article, we’ll look at what process integration is, how it can help you efficiently manage your
processes, and how BPM tools can help you integrate your processes. We’ll also provide examples and
cover the exact steps to get started.

What Is Business Process Integration?

Business process integration (BPI) allows companies to connect their people, data, and
applications. With BPI, organizations can better coordinate both internally and with partners,
customers, and vendors to achieve better results.

Processes become more complex as a company scales its operations.

For example, managing purchase orders is easy enough for one vendor. But as you work with more
vendors, you might add software to manage this process. Then you might add software to keep track of
inventory, another to pay invoices, and another to manage your accounts.

Before long, a single process can end up encompassing multiple technologies, which can affect
productivity and impede your automation efforts because the data is isolated from each other.

39% of I.T. and engineering leaders say that integrations and fetching external data are some of the
biggest challenges they face in implementing process automation.

Businesses need a process integration solution to connect their systems and ensure uniform access to
quality, consistent data across all sources. Otherwise, a lack of business integration can have
significant costs in terms of productivity.

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3 Types of Process Integrations

Not every system integration is the same. There are different types of integrations that allow systems to
communicate with each other, which include:

 Native integrations: A native integration is when data seamlessly flows between software
applications. These integrations are already baked into the software, so the setup process is more
straightforward. You just need to allow permission between the apps you want to connect.
 API integrations: An API integration is when two or more applications share data with each
other through their application programming interfaces (APIs). For example, you’d use a custom
API to connect your online store with a payment processor to accept orders if there are no native
integrations.
 Third-party integrations: Companies with specialized needs often develop in-house software.
But it’s often more practical to use an existing tool to add a specific feature. You could use
third-party integrations in these cases instead of developing a feature from scratch.

Which integration you use will largely depend on how your technology stack is set up. But the goal is
to connect separate systems and improve the efficiency between various processes.

What Are the Benefits of Integrated Business Processes?

Siloed systems can have a negative impact on how your company functions. When your systems aren’t
integrated, problems like duplicate entry and outdated information are more likely to occur.

Business process integration offers the following benefits.

Increases Operational Efficiency

The lack of integration between software and processes hinders productivity and only creates more
work for your employees.

Employees waste time navigating between different systems and copying data from one source to
another (which itself is time-consuming and prone to errors).

64% of workers spend at least 30 minutes a day switching between apps, adding up to 130 hours a year
in lost productivity.

Integrated processes improve operational efficiency and free up employees to focus on more
productive tasks like closing deals or developing new campaigns.

Eliminates Data Silos

Unintegrated systems create data silos — when data is stored in one place but is inaccessible or
isolated from the rest of the organization.

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When data is spread across multiple systems, it becomes difficult to extract insights. 58% of
organizations agree that their customer and account data is in too many places to make sense of it.

Data silos not only give an incomplete view of your customers, but they can also affect decision-
making. A chief financial officer (CFO) can’t make informed financial planning and budgeting
decisions if accounts aren’t up to date.

Integrated business processes eliminate data silos and serve as a “single source of truth” to ensure
everyone has the same data. This creates a more collaborative environment and helps your teams get
on the same page.

Facilitates Process Automation

Process automation lets your company automate repetitive tasks, reduce errors, and standardize how
work gets done. However, you’ll have a hard time automating your processes if your systems aren’t
integrated.

97% of I.T. decision-makers agree that process automation is vital to digital transformation — using
digital technologies to improve existing processes.

A workflow integration strategy can facilitate process automation.

Take data entry as an example. Employees waste time when they have to manually enter data each
time they create a document like a purchase order or a sales contract.

One way to reduce manual data entry is to use data integration tools to connect digital forms to a
database and pull in external data like vendor information.

Here’s an example:

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Instead of looking up the information in a separate system and manually typing it into each field,
employees can simply select a vendor from the dropdown list to populate the relevant fields.

These kinds of workflow integrations mean teams can spend less time on repetitive tasks like manual
data entry and more time on the work they’re hired to perform.

Business Process Integration Example: Purchase Orders

Let’s say your company has a PO system to create purchase orders, but it’s separate from the systems
you use to manage inventory and update accounts.

An employee would use one software to create a PO and another to update inventory before handing it
over to the accounting team to update accounts payable.

It’s not exactly efficient, and it leaves a lot of room for error.

For example, what if an employee fills out the wrong data or calculates totals incorrectly? The
accounting team would be working with inaccurate data (unless they manage to catch the mistake).

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Department of MCA, F.Y SEM – I, Information Systems and Engineering
You can addressEconomics
these challenges with a business process management(BPM) tool like frevvo where
you can integrate your forms to a database and add dynamic routing to your workflows.

Here’s an example:

1. An employee creates a new PO form, which populates with their personal details.
2. The form populates with product code, pricing, and inventory details from your Enterprise
Resource Planning (ERP) system.
3. The employee signs the form, and it routes to a manager for review.
4. Once approved, the form automatically updates the accounting system before routing to Finance
for processing.

When processes are integrated in this manner, workflows are much more efficient. Employees won’t
have to constantly switch between applications, perform manual data entry, or chase down their
managers.

ICT for Development and E-Governance:-

Enabling Good Governance through ICTs

The emergence of Information and Communications Technologies (ICTs) are rapidly transforming the
way citizens interact not only with each other but also with private businesses, public service utilities
and government institutions.

Traditionally citizens go to a government office to transact a government interaction, whether to get a

certificate, apply/renew a passport/driving license or to pay utility bills. Today using ICTs it is possible
for the same interaction to take place in a service centre close to the citizen or over the internet or even
at an unattended kiosk. Thus “e-Government” or electronic government refers to the use of ICTs by
government agencies for any or all of the following reasons:

a. Exchange of information with citizens, businesses or other government departments

b. Speedier and more efficient delivery of public services.
c. Improving internal efficiency.
d. Reducing costs or increasing revenue.
e. Re-structuring of administrative processes.

What is E-Governance

Electronic governance or E-governance is application of information and communication technology

(ICT) for delivering government services, exchange of information, communication transactions,
integration of various stand-alone systems between government to citizen (G2C), government-to-
business (G2B), government-to-government (G2G), government-to-employees (G2E) as well as back-
office processes and interactions within the entire government framework.

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Economics
Through e-governance, government services are made available to citizens in a convenient, efficient,
and transparent manner. The three main target groups that can be distinguished in governance concepts
are government, citizens, and businesses/interest groups. The use of ICT in public administration
combined with organisation changes and new skills in order to improve public services and democratic
processes and strengthen support to public policies.

The use by the government of Web-based Internet applications and other ICTs, combined with
processes that implement these technologies to Enhance the access to and delivery of government
information and services to the public, other agencies, and to government entities; or Bring about
improvements in government operations that may include effectiveness, efficiencies, service quality, or
transformation.

Concept of E-Governance

E-governance has gained more popularity in convoluted business world. Many management scholars
have described the concept of e governance which is emerging as an important activity in the business
field. It is established that E-governance is the application of information and communication
technologies to transform the efficiency, effectiveness, transparency and accountability of
informational and transactional exchanges with in government, between government & govt. agencies
of National, State, Municipal and Local levels, citizen & businesses, and to empower citizens through
access & use of information (Mahapatra, 2006).

World Bank explained the E governance as the use by government agencies of information
technologies (such as Wide Area Networks, the Internet, and mobile computing) that have the ability
to transform relations with citizens, businesses, and other arms of government. These technologies can
serve a variety of different ends better delivery of government services to citizens, improved
interactions with business and industry, citizen empowerment through access to information, or more
efficient government management. The resulting benefits can be less corruption, increased
transparency, greater convenience, revenue growth, and or cost reductions."

According to international organization, UNESCO, "Governance refers to the exercise of political,

economic and administrative authority in the management of a country's affairs, including citizens'
articulation of their interests and exercise of their legal rights and obligations. E-Governance may be
understood as the performance of this governance via the electronic medium in order to facilitate an
efficient, speedy and transparent process of disseminating information to the public, and other
agencies, and for performing government administration activities".

The Council of Europe elaborated e-Governance as "the use of electronic technologies in three areas of
public action such as relations between the public authorities and civil society, functioning of the
public authorities at all stages of the democratic process (electronic democracy) and the provision of
public services (electronic public services).

According to AOEMA Report, E governance may be defined utilizing the internet and the world wide
web for delivering government information and services to citizens. (AOEMA) : Asia Oceania
Electronic Marketplace Association), source [Link] . org .

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 Genba Sopanrao Moze College Of Engineering, Balewadi - Pune
Department of MCA, F.Y SEM – I, Information Systems and Engineering
Economics
Some of the key factors of these two types of transformations include:

 E-Government - Transformation of Government, Modernization of processes & functions,

Better delivery mechanisms, Citizens are recipients.
 E-Governance - A decisional process, Use of ICT for wider participation of citizens, Citizens are
participants.

E-Government models:

E governance models connote interaction between various stakeholder of the governance system.

The most commonly used models can be described as under:

Government-to-Citizen (G2C) – This level of application creates an interface between the government
and citizens enabling them to potentially benefit from a large range of public services. This expands
the availability and accessibility of the government to an anytime, anywhere mode. This gives citizens
the choice of when to interact with the government – 24 hours a day, 7 days a week; from where to
interact with the government – service centre, unattended kiosk or from the comfort of one’s home;
and how to interact – through internet, fax, telephone, email, face-to-face, etc.

Government-to-Business (G2B) – This category of application helps the business community –

providers of goods and services – to seamlessly interact with the government. The advantages are it
helps to cut red tape, saves time, reduces operational costs, cuts unnecessary delays and eliminates
redundant data capture. It also creates a more transparent business environment when dealing with the
government. The interactions can be transactional, such as in licensing, permits, procurement, and
revenue collection. They can also be promotional and facilitative, such as in trade, tourism, investment
and campaigns.

Government-to-Government (G2G) – This kind of interaction is only within the sphere of the
government which can be both horizontal i.e. between different government agencies or vertical i.e.
between national, 27 provincial and local government agencies. The primary objective is to share
information in order to avoid duplication and reduce turn-around time; to increase operational
efficiency; and to facilitate better integration on inter-governmental programmes and projects
potentially leading to performance improvements.

Government-to-Employees (G2E) - refers to the delivery of services by the Government to its

employees. These types of services primarily relate to HR areas. Essential Ingredients of e-
Government fundamentally, e-Government projects would stand on four key – People, Process,
Technology and Resource (PPTR), and in a holistic manner, to achieve the desired results of the
project.

The focus of the plan includes the following sectors/projects:

Agriculture
E-governance projects in the agricultural sector can provide benefit to farmers and the rural people and
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Department of MCA, F.Y SEM – I, Information Systems and Engineering
also enhance theEconomics
lives of urban poor. There are numerous subprojects pertaining to provision of timely
expert advice to farmers, food security, marketability and commercial information relating to
agricultural products, enhancing crop productivity, enhancing the reach of and ease of access to micro-
credit, etc.

Municipalities
The coordinating agency is the Ministry of Urban Development. The main programs relevant to
vulnerable and marginalized groups are registration of births and deaths, grievances and suggestions,
health programs, etc.

Gram Panchayats (elected village administration)

The important programmes being implemented by the Ministry of Rural Development for poverty
reduction are employment generation, provision of basic services, infrastructure development etc. The
objective is to increase participation of rural population in the government and women empowerment.

Common Service Centres (CSCs)

One of the integrated projects envisioned in NEGP. The CSCs provide assisted community access
points – a necessity in a country with relatively low levels of literacy and ICT penetration in rural
areas. These canters are very effective in providing multiple services provided by different departments
at a single location. For a common citizen, it is often confusing and time-consuming to have to visit
different departments and identify the right official or office to avail of some service. This one stop
shop is also helpful in increasing accessibility, enabling faster service delivery, curbing corruption and
reducing difficulties faced by vulnerable and marginalized groups. Under this program, it is aimed to
establish 100,000 CSCs predominantly in the rural areas to serve the needs of the traditionally
underserved areas.

Core Infrastructure
State Wide Area Networks, Data Centres, Gateways, etc. forms another critical element of the NEGP.
Approximately 15% of the total program outlay is earmarked for common core and support
infrastructure that is shared across projects, excluding the cost of infrastructure that is created specific
to and as a part of individual projects. Middleware and front-end delivery channels home PCs, mobile
phones, kiosks, integrated citizen service centers for citizens and businesses.

Conclusion:
The overall benefit of E-governance when dealing with business is that it enables the business to
perform more efficiently. These challenges are arising from administrative, legal, institutional and
technological factors. The challenge includes security drawbacks such as spoofing, tampering,
repudiation, disclosure, elevation of privilege, denial of service and other cyber crimes.

Knowledge Management Systems

What is a knowledge management system?

A knowledge management system (KMS) is a tool used by companies to help organize documentation,
frequently asked questions, and other information into easily accessible formats for both internal and
external customers.
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 Genba Sopanrao Moze College Of Engineering, Balewadi - Pune
Department of MCA, F.Y SEM – I, Information Systems and Engineering
Economics
Using knowledge management software can help keep documentation up to date, assist customers in
finding their own answers, and manage knowledge access and permissions across user groups. It’s a
tool that’s valuable to both small businesses that are just starting out and global enterprises that need to
distribute knowledge to a wide variety of audiences.

If you need more insights on knowledge management systems, you're in the right place. Here’s an
overview of what you will be looking at:

What is knowledge management?

Knowledge management is the process of identifying, gathering, storing, evaluating, and sharing all of
the valuable information organizations create in their day-to-day operations. It involves capturing
answers to frequently (and not so frequently) asked questions and documenting them in an easy-to-
understand format across multiple file types, like step-by-step written articles, videos, or images. A
KMS makes knowledge sharing a whole lot easier by having an answer ready and easily accessible to
share.

But if you just store all of that knowledge in a chaotic word document, no one will be able to find it or
update it. Knowledge management acts like the catalog system at the library, which helps you find
exactly the right shelf and the right book to answer your question (and even keeps a record of when it
was last checked out!).

In customer service, managing knowledge effectively means that accurate answers to common
questions are easily accessible to both customer support agents and customers.

What are the types of knowledge to include in knowledge management?

There are three different types of knowledge to gather:

Explicit knowledge

This is the knowledge that needs to be documented and is usually easy to turn into an article. It is a
description about, or a set of steps towards, achieving something. Examples include clothing
measurements and fabric information or where to change your login information on a software
application. Gather explicit knowledge through fact-finding with your subject matter experts.

Implicit knowledge

This is information customers need to infer from explicit knowledge. It requires customers to interpret
existing pieces of explicit knowledge as described above, or general knowledge to create desired
outcomes. For example, how to combine software features to achieve a business need or knowing a
certain material is waterproof. Gather implicit knowledge by documenting your customers' use cases
and then explain how to combine other knowledge to achieve them.

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 Genba Sopanrao Moze College Of Engineering, Balewadi - Pune
Department of MCA, F.Y SEM – I, Information Systems and Engineering
Economics
Tacit knowledge

This is knowledge coming from experience and typically requires a lot of context and practice to
acquire. It could be something like knowing immediately what to do during an emergency or that a
specific shoe brand doesn't give you enough arch support. Tacit knowledge is hard to gather because it
is often specific and requires individual testing. Start by getting specialists or senior members of your
team together to disseminate complex ideas and use that to build larger training content.

Bringing these all together: Explicit knowledge is knowing what apples, cinnamon, flour, and sugar
are. Implicit knowledge is knowing they can be combined to make a pie. Tacit knowledge is knowing
the exact combination of the ingredients that makes the most delicious pie.

Benefits of a knowledge management system

Whether you’re a SaaS company supporting business customers, a consumer product shipping out
retail items, or a helpdesk manager dealing with internal customers, a knowledge management portal
will help you effectively deliver information to the people who need it. Not only is a knowledge
management system great for business, but it’s also great for your customers. Providing a thorough
knowledge management system is key to helping customers help themselves and improving the overall
customer experience.

1. Organizes and makes information accessible from a single source of truth

A Gartner study on the top priorities for customer service leaders in 2022 revealed that 74% of the
leaders pointed to improving content and knowledge delivery to customers and employees as important
in their support strategy. Organizing and presenting knowledge in easily-accessible formats from a
centralized content repository breaks down information silos within organizations. With clear
organization and effective search capabilities, visitors can locate exactly what they need and when they
need it.

2. Keeps information up to date

A knowledge management system helps you identify out-of-date articles and update them with new
information. This provides a big advantage over a file folder of documents. Where folders can become
unwieldy and messy, a KMS will keep your valuable information organized. Out-of-date information
can mislead customers and lose your company business, so it’s important to get that taken care of
quickly.

3. Makes self-service functionalities more effective and deflects support tickets

78% of US leaders are investing more in self-service, offering customers self-help portals and AI-
powered chatbots to help themselves. Self-service, or customers helping themselves through
documentation, is the most cost-effective way of supporting your customers. You may be extending
self-service through an exhaustive knowledge base, chatbots, or community forums. Each of these self-
help options works by retrieving relevant solution articles and FAQs from a centralized, updated
knowledge management system, deflecting tickets away from our customer support team.

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 Genba Sopanrao Moze College Of Engineering, Balewadi - Pune
Department of MCA, F.Y SEM – I, Information Systems and Engineering
Economics
4. Allows agents to share and reuse knowledge and learnings

Do your customer support agents spend a lot of time writing out thorough and detailed support emails
to customers? If you’re using a modern KMS, you can capture that knowledge by converting the
support email into a knowledge base article. A knowledge management system democratizes valuable
information and promotes knowledge sharing so that everyone in the company can access it.

5. Empowers customers to help themselves and improves customer satisfaction

About 39% of customers prefer self-service options rather than speaking to agents. A knowledge
management software provides 24/7 support to customers, so they can find what they need quickly and
don’t have to wait in a phone queue. With many of your customers being able to find their own
answers effortlessly, you’ll see your customer satisfaction (CSAT) scores rise. Continually improving
the way you deliver information to your customers via an online help center will reduce churn and
improve customer loyalty. Grouping your FAQs on a branded, easy-to-read page can also help win
business and prevent support issues from cropping up later.

6. Provides more detailed help to customers

There’s only so much you can communicate over email or the phone. Knowledge management systems
allow you to pull together multiple types of media together to provide extremely thorough help. All
customers have their own preferred way of learning, whether it’s through text, videos, or images.
Providing all of these options in your help center will make sure none of your customers are left
without help, no matter how they prefer to consume online material.

Who can use a knowledge management system?

Regardless of whether you’re a one-person support team or a team of 10 knowledge specialists, a

knowledge management system can help you put your best foot forward when it comes to sharing
information online.

Knowledge management system for small businesses

If you’re a smaller business, you might think that you don’t have enough knowledge to require a
system to manage it. But small businesses benefit just as much from using a KMS. Providing a way for
customers to help themselves is even more important because your team doesn’t always have a ton of
extra time - and scaling as you grow is important.

 It’s all hands on deck, so having an easy-to-use tool that encourages team members to document
their work is important.
 Finding opportunities to surface relevant information is critical to helping a small customer
support team manage customer contacts.
 As processes change regularly, keeping internal documentation up to date will help small
businesses maintain order in the chaos of growth.
 While analytics might be essential for revisions and improvement, it probably won’t be the
priority of small business teams that are focused on getting things done. It will come into play as
they grow.
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 Genba Sopanrao Moze College Of Engineering, Balewadi - Pune
Department of MCA, F.Y SEM – I, Information Systems and Engineering
Economics
Enterprise knowledge management systems

For enterprise companies, effective knowledge management has exponential returns as the number of
customers that will receive help grows - but their knowledge base requires much more effort to
maintain and scale.

 Workflow management and permissions are more important as more people become involved in
updating existing articles.
 As the amount of knowledge grows, keeping it organized becomes more important. Enterprise
teams will rely heavily on information architecture to organize content.
 Global companies will require robust multilingual support to track translation completion and
support customers in their native languages.
 Internal documentation tools are essential for growing enterprise teams who have complex and
large amounts of knowledge to share internally.
 Analytics and reporting will be extremely crucial for enterprise teams who will likely want to
integrate their KMS with Google Analytics for robust insights that will also be delivered to
marketing and product teams.

Internal knowledge management systems

An internal KMS is only accessible to employees (or even a specific group of employees) and hosts
private, internal information that customers shouldn’t have access to like policies, specific
troubleshooting requirements, or HR material. Developing an internal knowledge base together can
help scale your customer support team more effectively, and help onboard new agents as you grow.

 As your company grows, there’s more information and processes required for the smooth
running of the organization. If this information isn’t documented, it’s tough to keep everyone on
the same page.
 When you scale, instead of continuing to hire more and more support agents, a robust internal
knowledge management system equips your existing team to provide speedy answers and work
efficiently.
 The internal knowledge management system captures organizational knowledge that is known to
long-term employees, making it accessible to the wider team and helping in maintaining
organizational continuity.
 An internal KMS fosters collaboration amongst different teams and breaks departmental silos
that exist within different teams in your company.
 Creating onboarding guides in your internal knowledge management system will help transfer
knowledge to new employees more effectively. New employees will have a go-to place to search
for help before asking another team member.

What is Online Banking? Definition and How It Works

What Is Online Banking?

Online banking allows a user to conduct financial transactions via the Internet. Online banking is also
known as Internet banking or web banking.
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 Genba Sopanrao Moze College Of Engineering, Balewadi - Pune
Department of MCA, F.Y SEM – I, Information Systems and Engineering
Online bankingEconomics
offers customers almost every service traditionally available through a local branch
including deposits, transfers, and online bill payments. Virtually every banking institution has some
form of online banking, available both on desktop versions and through mobile apps.

Key Takeaways

 Online banking allows a user to conduct financial transactions via the Internet.
 Consumers aren't required to visit a bank branch in order to complete most of their basic
banking transactions.
 A customer needs a device, an Internet connection, and a bank card to register. Once registered,
the consumer sets up a password to begin using the service.

Understanding Online Banking

With online banking, consumers aren't required to visit a bank branch to complete most of their basic
banking transactions. They can do all of this at their own convenience, wherever they want—at home,
at work, or on the go.

Online banking requires a computer or other device, an Internet connection, and a bank or debit card.
In order to access the service, clients need to register for their bank's online banking service. In order to
register, they need to create a password. Once that's done, they can use the service to do all their
banking.

Banking transactions offered online vary by the institution. Most banks generally offer basic services
such as transfers and bill payments. Some banks also allow customers to open up new accounts and
apply for credit cards through online banking portals. Other functions may include ordering checks,
putting stop payments on checks, or reporting a change of address.

Checks can now be deposited online through a mobile app. The customer simply enters the amount
before taking a photo of the front and back of the check to complete the deposit.

Online banking does not permit the purchase of traveler's checks, bank drafts, certain wire transfers, or
the completion of certain credit applications like mortgages. These transactions still need to take place
face-to-face with a bank representative.

Most banks do not charge fees for online banking.

Advantages of Online Banking

Convenience is a major advantage of online banking. Basic banking transactions such as paying bills
and transferring funds between accounts can easily be done 24 hours a day, seven days a week,
wherever a consumer wishes.

Online banking is fast and efficient. Funds can be transferred between accounts almost instantly,
especially if the two accounts are held at the same institution. Consumers can open and close a number
of different accounts online, from fixed deposits to recurring deposit accounts that typically offer
higher rates of interest.
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 Genba Sopanrao Moze College Of Engineering, Balewadi - Pune
Department of MCA, F.Y SEM – I, Information Systems and Engineering
Consumers can Economics
also monitor their accounts regularly closely, allowing them to keep their accounts
safe. Around-the-clock access to banking information provides early detection of fraudulent activity,
thereby acting as a guardrail against financial damage or loss.

Disadvantages of Online Banking

For a novice online banking customer, using systems for the first time may present challenges that
prevent transactions from being processed, which is why some consumers prefer face-to-face
transactions with a teller.

Online banking doesn't help if a customer needs access to large amounts of cash. While he may be able
to take a certain amount at the ATM—most cards come with a limit—he will still have to visit a
branch to get the rest.

Although online banking security is continually improving, such accounts are still vulnerable when it
comes to hacking. Consumers are advised to use their own data plans, rather than public Wi-Fi
networks when using online banking, to prevent unauthorized access.

Additionally, online banking is dependent on a reliable Internet connection. Connectivity issues from
time to time may make it difficult to determine if banking transactions have been successfully
processed.

Online Banks

Some banks operate exclusively online, with no physical branch. These banks handle customer service
by phone, email, or online chat. Online banking is frequently performed on mobile devices now that
Wi-Fi and 5G networks are widely available. It can also be done on a desktop computer.

Unique Identification Authority of India (UIDAI):-

The Unique Identification Authority of India (UIDAI) is a statutory authority established under the
provisions of the Aadhaar (Targeted Delivery of Financial and Other Subsidies, Benefits and
Services) Act, 2016 (“Aadhaar Act 2016”) on 12 July 2016 by the Government of India, under the
Ministry of Electronics and Information Technology (MeitY). The Aadhaar Act 2016 has been
amended by the Aadhaar and Other Laws (Amendment) Act, 2019 (14 of 2019) w.e.f. 25.07.2019.

UIDAI was created to issue Unique Identification numbers (UID), named as "Aadhaar", to all residents
of India. The UID had to be (a) robust enough to eliminate duplicate and fake identities, and (b)
verifiable and authenticable in an easy, cost-effective way. As on 30th November 2022, the Authority
has issued 135.1071 crore Aadhaar numbers to the residents of India..

Under the Aadhaar Act 2016, UIDAI is responsible for Aadhaar enrolment and authentication,
including operation and management of all stages of Aadhaar life cycle, developing the policy,

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 Genba Sopanrao Moze College Of Engineering, Balewadi - Pune
Department of MCA, F.Y SEM – I, Information Systems and Engineering
procedure, and Economics
system for issuing Aadhaar numbers to individuals and perform authentication and the
security of identity information and authentication records of individuals.

To learn more about UIDAI, please visit the Organizational Structure sections of the website.

Historical Background

On March 03, 2006, approval was given by the Department of Information Technology, Ministry of
Communications and Information Technology, Government of India for the project titled ‘Unique
Identification for BPL Families. Accordingly, a Processes Committee was set up on July 03, 2006, to
suggest the process for updating, modification, addition, and deletion of data and fields from the core
database to be created under the Unique Identification for BPL Families project. This Committee, on
November 26, 2006, prepared a paper known as ‘Strategic Vision Unique Identification of Residents’.
Based thereupon, the Empowered Group of Ministers (EGoM) was set up on December 04, 2006, to
collate the National Population Register under the Citizenship Act, 1955 and the Unique Identification
Number project of the Department of Information Technology.

Before its establishment as a statutory authority, UIDAI was functioning as an attached office of the
then Planning Commission (now NITI Aayog) vide its Gazette Notification No.-A-43011/02/2009-
Admn.I) dated 28th January 2009. The first UID number was issued on 29 September 2010 to a
resident of Nandurbar, Maharashtra. On 12 September 2015, the Government revised the Allocation of
Business Rules to attach the UIDAI to the Department of Electronics & Information Technology
(DeitY) of the then Ministry of Communications and Information Technology.

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 Genba Sopanrao Moze College Of Engineering, Balewadi - Pune
Department of MCA, F.Y SEM – I, Information Systems and Engineering
Economics
Unit 2: Leveraging Information Systems

Q 1) Briefly Explain Project Management.

Q 2) What do you mean Leveraging Information Systems?

Q 3) Write an short note on ICT for Development E-Governance.

Q.4) Explain knowledge management system?

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