BEC X - IT Definitions Flashcards
What is a transaction processing system (TPS)?
converts economic events into financial transactions. A TPS typically covers three main transaction cycles: sales cycle, conversion cycle, and expenditure cycle
What is a financial reporting system (FRS)?
aggregates daily financial information from the TPS to enable timely reporting
What is management reporting system (MRS)?
a MRS provides internal financial information to solve day to day business problems
What is the difference between Enterprise Resource Planning (ERP) and Enterprise Performance Management (EPM)?
ERP - utilized to support different business functions and integrates information across departments
EPM - software programs designed to help executives make strategic decisions; enables leaders to plan, budget, and forecast business processes; it is MORE management process focused; whereas ERP is more focused on operational processes and IT integration
Whats the difference between data velocity, data variety, and data veracity?
Data Velocity - refers to the speed of data accumulation or data processing
Data variety - refers to the range of data types being processed or analyzed. Three general categories are: structured data, unstructured data, and semi structured data
data veracity - represents the reliability, quality, or integrity of the data
What are relational databases?
they allow data stored in different tables to be linked through relationships using key fields
What are primary vs foreign keys?
primary keys are unique identifiers
foreign keys are attributes in one table that are primary keys in another table
What are the different database views?
logical view - how the data appears to a user. it is what the user sees
physical view - how the data is actually stored within a database
What are descriptive analytics?
indicates what happened; summarizes the activity that has occurred within a given data set by observing measures such as the min, max, mean, or by sorting data to reveal patterns
What are diagnostic analytics?
they reveal why an event happened; goes a step beyond descriptive analytics and attempts to uncover correlations, patterns, and relationships within a data set to explain an event or result
What are predictive analytics?
helps forecast future data by transforming insight into foresight and protect what will happen based on historical information; examples are regression analysis, classification analysis, and decision trees
What are prescriptive analytics?
reveal how to achieve a desired event by prescribing what course of action should be in order to reach that outcome; takes the probability learned from predictive analytics and turns that into recommendations and optimal paths; examples are AI and scenario modeling
What are the components of Enterprise Risk Management?
Think of the acronym “GO Pro”
G- Governance and Culture
O - Strategy & Objective Setting
P - Performance
R - Review and Revision
O - (Ongoing) Information, Communication, and Reporting
What are the components of Governance and Culture?
Think of the acronym “DOVES”
D - defines Desired Culture
O - exercises board Oversight
V- demonstrates commitment to core Values
E - attracts, develops, and retains capable Indvidual (Employees)
S - established operating Structure
What are the components of Strategy and Objective Setting?
think of the acronym SOAR
S - evaluate alternative Strategies
O - formulate business Objectives
A - Analyze business context
R - defines Risk appetite