topic 2 -network_computing

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MANAGEMENT INFORMATION SYSTEMS Executive MBA PGSM MBA program, Paris Graduate School of Management, Management Information System, Dr. Pham Van Tai 1 Managing Information System TELECOMMUNICATIONS AND NETWORKING MBA program, Paris Graduate School of Management, Management Information System, Dr. Pham Van Tai 2 IT Building Blocks Building Blocks of Information Technology Hardware Software Network Data

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Page 1: Topic 2 -network_computing

MANAGEMENT INFORMATION SYSTEMS

Executive MBA PGSM

MBA program, Paris Graduate School of Management, Management Information System, Dr. Pham Van Tai 1

Managing Information System

TELECOMMUNICATIONS ANDNETWORKING

MBA program, Paris Graduate School of Management, Management Information System, Dr. Pham Van Tai 2

IT Building Blocks

Building Blocks of InformationTechnology

Hardware Software Network Data

Page 2: Topic 2 -network_computing

MANAGEMENT INFORMATION SYSTEMS

Executive MBA PGSM

MBA program, Paris Graduate School of Management, Management Information System, Dr. Pham Van Tai 3

Overview of Telecommunications andNetworking

• The electronic linking of geographically disperseddevices required to accomplish telecommunications

Networking

• Communication at a distance. Also synonymous withdata communications, datacom, teleprocessing,telecom, and sometimes networking.

Telecommunications

MBA program, Paris Graduate School of Management, Management Information System, Dr. Pham Van Tai 4

The Telecommunications Industry

• Three major segments– Carriers who sell the service of communication

transmission– Equipment vendors who manufacture and sell

telecommunications hardware and software– Service Providers who provide access to or

services via the Internet

Page 3: Topic 2 -network_computing

MANAGEMENT INFORMATION SYSTEMS

Executive MBA PGSM

MBA program, Paris Graduate School of Management, Management Information System, Dr. Pham Van Tai 5

Telecommunications Industry

• AT&T– Largest corporation in industry– In 1984, AT&T split into several companies as a result

of a US Department of Justice antitrust lawsuit– Breakup of AT&T has led to innovation through

competition– Recent trend towards consolidation in the industry

MBA program, Paris Graduate School of Management, Management Information System, Dr. Pham Van Tai 6

Overview of Telecommunications andNetworking

• Telecommunications and networking arebecoming increasingly important tobusinesses because of decentralization andglobalization

“ The short answer is thatnetworks will change everything"

- Paul Saffo

Page 4: Topic 2 -network_computing

MANAGEMENT INFORMATION SYSTEMS

Executive MBA PGSM

MBA program, Paris Graduate School of Management, Management Information System, Dr. Pham Van Tai 7

Reasons for Networking

• Five primary reasons for networking1. Sharing of technology resources

• Prior to networking capabilities, computers could not even shareprinters!!

2. Sharing of data• Enables virtual teams who can share data• Allows efficient transactions between businesses, their suppliers,

their and customers• Some businesses share many terabytes of data per day

3. Distributed data processing and client/server systems4. Enhanced communications5. Marketing outreach

MBA program, Paris Graduate School of Management, Management Information System, Dr. Pham Van Tai 8

Reasons for Networking

• Five primary reasons for networking1. Sharing of technology resources2. Sharing of data3. Distributed data processing and client/server systems

• Distributed data processing– Information processing that uses multiple computers at multiple sites

that are tied together through telecommunication lines• Client/Server Systems

– A type of distributed systems in which the processing power isdistributed between a central server and a number of client computers

4. Enhanced communications5. Marketing outreach

Client ServerTransfer of Data

Page 5: Topic 2 -network_computing

MANAGEMENT INFORMATION SYSTEMS

Executive MBA PGSM

MBA program, Paris Graduate School of Management, Management Information System, Dr. Pham Van Tai 9

Reasons for Networking• Five primary reasons for networking

1. Sharing of technology resources2. Sharing of data3. Distributed data processing and client/server systems4. Enhanced communications

• Telecommunication networks provide the ability to communicationthrough Email, Bulletin Boards, Blogs, Instant Messaging, Wikis, andVideoconferencing

• Links between organizations can lead to strategic advantages interms of business transactions

– SABRE airline reservation system– EDI

5. Marketing outreach• Businesses may share data with consumers to advertise or sell their

products through a corporate web presence

MBA program, Paris Graduate School of Management, Management Information System, Dr. Pham Van Tai 10

Overview of Telecommunications andNetworking

• A telecommunications network is more than aseries of wires or radio waves

• Functions of a Telecommunications Network

Table 4.1

Page 6: Topic 2 -network_computing

MANAGEMENT INFORMATION SYSTEMS

Executive MBA PGSM

MBA program, Paris Graduate School of Management, Management Information System, Dr. Pham Van Tai 11

Analog and Digital Signals

• A signal in which some physical propertycontinuously varies across time

Analog Signals

• A signal that is not a continuous function of time, butrather a series of discrete values that represent onesand zeros

Digital Signals

MBA program, Paris Graduate School of Management, Management Information System, Dr. Pham Van Tai 12

Analog and Digital Signals

• Representation of digital and analog signals

Figure 4.2

Page 7: Topic 2 -network_computing

MANAGEMENT INFORMATION SYSTEMS

Executive MBA PGSM

MBA program, Paris Graduate School of Management, Management Information System, Dr. Pham Van Tai 13

Analog and Digital Signals

• Digital computer data does not naturally meshwith analog transmission; it must be convertedfrom ones and zeros to analog signals

• Solutions– Modem (Modulator/Demodulator)

– Digital networks• Advantages of lower error rates and higher speeds

Figure 4.1

MBA program, Paris Graduate School of Management, Management Information System, Dr. Pham Van Tai 14

Transmission Speed• Transmission speeds can be measured in

several ways

• The difference between the highest and lowest frequencies thatcan be transmitted on a single medium; a measurement of capacity

Bandwidth

• Cycles per second

Hertz

• Signals per second

Baud

Page 8: Topic 2 -network_computing

MANAGEMENT INFORMATION SYSTEMS

Executive MBA PGSM

MBA program, Paris Graduate School of Management, Management Information System, Dr. Pham Van Tai 15

Telecommunication Lines

• Types of Transmission Lines– Private (dedicated)

• Advantages– Ensures quality of transmission

• Disadvantages– Costly

– Switched• Advantages

– Less costly• Disadvantages

– Message may take many different routes– Quality of transmission may degrade

MBA program, Paris Graduate School of Management, Management Information System, Dr. Pham Van Tai 16

Telecommunication Lines

• Types of Transmission Lines

• Data can only travel in one direction

Simplex

• Data can travel in both directions, but not simultaneously

Half-duplex

• Data can travel in both directions at once

Full-duplex

Page 9: Topic 2 -network_computing

MANAGEMENT INFORMATION SYSTEMS

Executive MBA PGSM

MBA program, Paris Graduate School of Management, Management Information System, Dr. Pham Van Tai 17

Transmission Media

• Twisted Pair– Literally wires that are twisted to reduce

interference– Can be shielded (STP) or unshielded (UTP), but the

most commonly used is UTP– Commonly used in telephones and LANs

MBA program, Paris Graduate School of Management, Management Information System, Dr. Pham Van Tai 18

Transmission Media• Coaxial (Coax) Cable

– Baseband• Inexpensive, designed for digital transmission

– Broadband• Originally for analog, now used for digital• Commonly used in television cable

Figure 4.3

Page 10: Topic 2 -network_computing

MANAGEMENT INFORMATION SYSTEMS

Executive MBA PGSM

MBA program, Paris Graduate School of Management, Management Information System, Dr. Pham Van Tai 19

Transmission Media– Wireless

• Not strictly a transmission media, but rather a technology in whichradio signals are sent through the air

• There are many different wireless technologies such as cordlesstelephones and cellular telephones which are widely used in personaland business communications

• We will consider the following wireless technologies in more detail:• Wireless LANs• Microwave

– Line of sight• Satellite

– Long distances– Line of sight

– RFID– Bluetooth

MBA program, Paris Graduate School of Management, Management Information System, Dr. Pham Van Tai 20

Transmission Media

• Wireless– Wireless LANs

• Growing in popularity• Useful when wiring is not possible• Slower than some wired solutions• Allow mobile devices to connect to network

Page 11: Topic 2 -network_computing

MANAGEMENT INFORMATION SYSTEMS

Executive MBA PGSM

MBA program, Paris Graduate School of Management, Management Information System, Dr. Pham Van Tai 21

Transmission Media

• Wireless– Microwave

• Widespread use for several decades• Line of sight transmission• Limited to 25-50 mile distances because of curvature of

the earth• Expensive, but less costly than fiber optic cables

MBA program, Paris Graduate School of Management, Management Information System, Dr. Pham Van Tai 22

Transmission Media

• Wireless– Satellite

• Geostationary Earth Orbit (GEO)– Remains stationary relative to earth– Inmarsat service of 11 GEO

satellites

• Low Earth Orbit (LEO)

Figure 4.4

Page 12: Topic 2 -network_computing

MANAGEMENT INFORMATION SYSTEMS

Executive MBA PGSM

MBA program, Paris Graduate School of Management, Management Information System, Dr. Pham Van Tai 23

Transmission Media• Wireless

– Satellite• Geostationary Earth Orbit (GEO)• Low Earth Orbit (LEO)

– Iridium» First major LEO project with 66 satellites» Faced high operating costs and which

resulted in a bankruptcy» Mostly military subscribers» Tell us more about these 3

– Globalstar» LEO project with 40 satellites that does not

provide global coverage– Teledesic

» Ambitious project with original plans tolaunch 840 satellites

» This was later cut to 288 satellites, then 30,and then the program was cancelled

Figure 4.4

MBA program, Paris Graduate School of Management, Management Information System, Dr. Pham Van Tai 24

Transmission Media

• Wireless– RFID

• Acronym for Radio Frequency Identification• An old technology that became popular in business

when Wal-Mart required the use of RFID by some of itssuppliers to improve inventory and supply chainmanagement

Page 13: Topic 2 -network_computing

MANAGEMENT INFORMATION SYSTEMS

Executive MBA PGSM

MBA program, Paris Graduate School of Management, Management Information System, Dr. Pham Van Tai 25

Transmission Media

• Wireless– RFID

• Two Broad Types of RFID– Active – these tags have their own power supply and can

transmit messages continuously, on request, or on a schedule» Cost over $1.00

– Passive – these tags only send a response the RFID readersends a small radio signal which induces a current

» Cost in the $0.08 - $0.20 range

• Many analysts believe that passive tags must cost only$0.05 for RFID to be widely adopted

MBA program, Paris Graduate School of Management, Management Information System, Dr. Pham Van Tai 26

Transmission Media• Wireless

– Bluetooth• Named after Danish King who united Denmark

– The technology is intended to unify telecom and computing• Short-range wireless technology• Designed to consume very little electrical power and be

produced at a low cost• Found in a growing number of devices such as cell phones,

laptops, headsets, keyboards, mice, and home appliances– Over 318 million devices in 2005 used Bluetooth for

communication between devices

Page 14: Topic 2 -network_computing

MANAGEMENT INFORMATION SYSTEMS

Executive MBA PGSM

MBA program, Paris Graduate School of Management, Management Information System, Dr. Pham Van Tai 27

Transmission Media

• Fiber Optics– Thin fiber of glass– Faster, lighter, and more secure than other media– Large diameter fiber is multimode (multiple light

rays at the same time) while smaller diameter issingle mode

– Smaller diameter fiber has larger capacity due toless light bounces

MBA program, Paris Graduate School of Management, Management Information System, Dr. Pham Van Tai 28

Individual Network Access• Internet Service Providers (ISPs) sell access to the Internet• Early, the only way to access the Internet was through a dial-in modem

connection• Consumers now have more options including faster broadband

connections– Digital Subscriber Line (DSL) is a connection through a telephone company– Cable modem is a connection through a cable television company– Satellite

• With one-way service, individuals must obtain uplink service from another provider– Wireless access may be through a municipal carrier or a private company

• There are several pricing methods for personal Internet access– Fixed price (usually monthly)

• Hotels and airports often offer Internet access for a shorter period (e.g., 24 hours)– Cost based on usage (data transferred)– Free to consumers, but supported by taxes or advertising

Page 15: Topic 2 -network_computing

MANAGEMENT INFORMATION SYSTEMS

Executive MBA PGSM

MBA program, Paris Graduate School of Management, Management Information System, Dr. Pham Van Tai 29

Network Topology• Network topology refers to the configuration or

arrangement of the devicesFigure 4.5• Bus

– All devices are attached to one cable– Single-point failure

• Ring• Similar to bus, but ends are attached• Not susceptible to single-point failure

• Star• All nodes are attached to central device• Susceptible to failure of central device, but easy to

identify cable failure• Tree

• Similar to the star, but with a hierarchical structure• Mesh

• Devices are to multiple other devices• A failure has little impact on the network• Costly

MBA program, Paris Graduate School of Management, Management Information System, Dr. Pham Van Tai 30

Networking Devices• Devices used to implement network topologies

• Simple devices that forwards all messages to every device attached to it

Hub

• Central device that connects wireless LAN to other networks

Wireless Access Point

• Connects two LAN segments and only forwards messages that need to go to other segment

Bridge

• A multiport bridge; connects two or more LAN segments

Switch

• Connects two ore more LANs and only forwards messages that go to the other LAN

Router

Page 16: Topic 2 -network_computing

MANAGEMENT INFORMATION SYSTEMS

Executive MBA PGSM

MBA program, Paris Graduate School of Management, Management Information System, Dr. Pham Van Tai 31

Network Types

• There are several types of networks• We will consider six types

1. Computer Telecommunications Networks2. Local Area Networks (LANs)3. Backbone Networks4. Wide Area Networks (WANs)5. The Internet6. Internet2

MBA program, Paris Graduate School of Management, Management Information System, Dr. Pham Van Tai 32

Network Types1. Computer Telecommunications Networks

– This was the only type of network until the1980s

– Commonly used in mainframe architectures

Figure 4.7

Page 17: Topic 2 -network_computing

MANAGEMENT INFORMATION SYSTEMS

Executive MBA PGSM

MBA program, Paris Graduate School of Management, Management Information System, Dr. Pham Van Tai 33

Network Types2. Local Area Networks (LANs)

– Standards developed by the Institute for Electrical andElectronic Engineering (IEEE)

• IEEE 802 is a family of standards for LANs and metropolitanarea networks

– Five types of LANs in common use today1. Contention Bus (IEEE 802.3)2. Token Bus (IEEE 802.4)3. Token Ring (IEEE 802.5)4. Wi-Fi (IEEE 802.11)5. WiMAX (802.16e)

– We will discuss each of the five types of LANs

MBA program, Paris Graduate School of Management, Management Information System, Dr. Pham Van Tai 34

Network Types

2. Local Area Networks (LANs)1. Contention Bus (IEEE 802.3)

• Developed by Xerox• Usually called Ethernet after the original Xerox version• Half-duplex• All devices must contend to use

– CSMA/CD protocol for collisions

2. Token Bus (IEEE 802.4)3. Token Ring (IEEE 802.5)4. Wi-Fi (IEEE 802.11)5. WiMAX (802.16e)

Page 18: Topic 2 -network_computing

MANAGEMENT INFORMATION SYSTEMS

Executive MBA PGSM

MBA program, Paris Graduate School of Management, Management Information System, Dr. Pham Van Tai 35

Network Types2. Local Area Networks (LANs)

1. Contention Bus (IEEE 802.3)2. Token Bus (IEEE 802.4)

• A token (special message) is passed among devices• Only the device with the token can transmit a message• Important for Manufacturing Automation Protocol (MAP)

3. Token Ring (IEEE 802.5)4. Wi-Fi (IEEE 802.11)5. WiMAX (802.16e)

• A token bus protocol that was developed byGeneral Motors for factory automation

Manufacturing Automation Protocol

MBA program, Paris Graduate School of Management, Management Information System, Dr. Pham Van Tai 36

Network Types

2. Local Area Networks (LANs)1. Contention Bus (IEEE 802.3)2. Token Bus (IEEE 802.4)3. Token Ring (IEEE 802.5)

• Developed by IBM• Combination of ring topology with use of tokens (used

the same way as in token bus)

4. Wi-Fi (IEEE 802.11)5. WiMAX (802.16e)

Page 19: Topic 2 -network_computing

MANAGEMENT INFORMATION SYSTEMS

Executive MBA PGSM

MBA program, Paris Graduate School of Management, Management Information System, Dr. Pham Van Tai 37

Network Types2. Local Area Networks (LANs)

1. Contention Bus (IEEE 802.3)2. Token Bus (IEEE 802.4)3. Token Ring (IEEE 802.5)4. Wi-Fi (IEEE 802.11)

• Short for Wireless Fidelity• Most common wireless LAN type• Uses a shared Ethernet design• Use CSMA/CA Protocol

– Similar to CSMA/CD, but with less collisions• Commonly used in offices to supplement wired Ethernet networks

or in areas where adding wiring is problematic• Many cities are offering Wi-Fi networks

5. WiMAX (802.16e)

MBA program, Paris Graduate School of Management, Management Information System, Dr. Pham Van Tai 38

Network Types• LANs

1. Contention Bus (IEEE 802.3)2. Token Bus (IEEE 802.4)3. Token Ring (IEEE 802.5)4. Wi-Fi (IEEE 802.11)5. WiMAX (802.16e)

• Newest of the network types• Similar to Wi-Fi, but operates over longer distances and at

higher speeds• Can use both licensed and non-licensed frequencies• Sprint Nextel are planning to offer their Xohm WiMAX

service across the US in the 2.5GHz radio spectrum– In November 2007, Sprint Nextel abandoned talks of a joint

venture with Clearwire, a WiMAX provider

Page 20: Topic 2 -network_computing

MANAGEMENT INFORMATION SYSTEMS

Executive MBA PGSM

MBA program, Paris Graduate School of Management, Management Information System, Dr. Pham Van Tai 39

Network Types

• Local Area Networks (LANs)– Problems with wireless networks (WiFi and

WiMAX)• More difficult to secure that other network types• Organizations that offer wireless access to entice

customers have problems with noncustomers orunprofitable customers overusing the network

• Unauthorized wireless use is also problematic in condosand apartments

MBA program, Paris Graduate School of Management, Management Information System, Dr. Pham Van Tai 40

Network Types

• Types of Networks3. Backbone Networks

• Connect LANs• Key to internetworking

Figure 4.10

Page 21: Topic 2 -network_computing

MANAGEMENT INFORMATION SYSTEMS

Executive MBA PGSM

MBA program, Paris Graduate School of Management, Management Information System, Dr. Pham Van Tai 41

Network Types

4. Wide Area Networks (WANs)– Similar to LANs, but cover greater distances– We will consider the following three general types

of WANs because they each have advantages anddisadvantages

1. Switched Circuit2. Dedicated Circuit3. Packet-switched

MBA program, Paris Graduate School of Management, Management Information System, Dr. Pham Van Tai 42

Network Types4. Wide Area Networks (WANs)

1. Switched Circuit (or circuit-switched)• A single physical path is temporarily created between two nodes

for their exclusive communication• There are most widely available means of implementing a WAN

using a switched circuit connection is to use the ordinarytelephone network

• Advantages– Easy to set up

• Disadvantages– Low speed– High error rates

• There are two different pricing schemes available for this service– Direct Distance Dialing (DDD) - pay for usage– Wide Area Telephone Service (WATS) - fixed rate

Page 22: Topic 2 -network_computing

MANAGEMENT INFORMATION SYSTEMS

Executive MBA PGSM

MBA program, Paris Graduate School of Management, Management Information System, Dr. Pham Van Tai 43

Network Types4. Wide Area Networks (WANs)

2. Dedicated Circuit• These are permanent channels

exclusive to the business• Advantages

– High capacity– Low error rates

• Disadvantages– Expensive

• There are two different types ofdedicated circuits

– Leased lines are cable, microwave, orfiber connections

– Satellite circuits are popular fororganizations with many global locations

Table 4.3

MBA program, Paris Graduate School of Management, Management Information System, Dr. Pham Van Tai 44

Network Types4. Wide Area Networks (WANs)

3. Packet-switched• Multiple connections exist simultaneously over the same physical

circuit• Messages are broken up into packets• Businesses use PADs (Packet assembly/disassembly devices) to

connect their networks to a common carrier networkFigure 4.11•Advantages

•Efficient use of network•Can be high capacity

•Disadvantages•Packets may arrive indifferent order or with delay

Page 23: Topic 2 -network_computing

MANAGEMENT INFORMATION SYSTEMS

Executive MBA PGSM

MBA program, Paris Graduate School of Management, Management Information System, Dr. Pham Van Tai 45

Network Types

5. The Internet– Network of networks that use the TCP/IP protocol– Similar to an enormous WAN– 433 million hosts as of January 2007– Roots in ARPANET and NSFNET

• ARPANET (Advanced Research Projects Agency Network) wascreated by the US Department of Defense

• NSFNET (National Science Foundation Network) was createdto link supercomputers for research

• Each of these were wide scale, packet-switching networksthat lead to the creation of the Internet

MBA program, Paris Graduate School of Management, Management Information System, Dr. Pham Van Tai 46

Network Types5. The Internet

– Internet Applications

Page 24: Topic 2 -network_computing

MANAGEMENT INFORMATION SYSTEMS

Executive MBA PGSM

MBA program, Paris Graduate School of Management, Management Information System, Dr. Pham Van Tai 47

Network Types6. Internet2

– Not-for-profit consortium made up of over 200universities as well as industry and governmentpartners that develops and deploys advanced networkapplications and technologies for research andcommercial purposes

– Goals• Create a leading-edge network capability for the national

research community• Enable revolutionary Internet applications based on a much

higher-performance Internet than we have today• Ensure the rapid transfer of new network services and

applications to the broader Internet community

MBA program, Paris Graduate School of Management, Management Information System, Dr. Pham Van Tai 48

Networking Protocols

• Network Protocols– An agreed-upon set of rules or

conventions governingcommunication amongelements of a network

– Open Systems Interconnection(OSI) Reference Model

• Skeleton for standards• Movement toward this model

stopped with the growth of theInternet

Figure 4.13

Page 25: Topic 2 -network_computing

MANAGEMENT INFORMATION SYSTEMS

Executive MBA PGSM

MBA program, Paris Graduate School of Management, Management Information System, Dr. Pham Van Tai 49

Networking Protocols• OSI Model

– Developed by the International Organization forStandardization (ISO)to outline a standard set ofprotocols for telecommunications

Figure 4.14

MBA program, Paris Graduate School of Management, Management Information System, Dr. Pham Van Tai 50

Networking Protocols• Transmission Control Protocol/Internet Protocol

(TCP/IP)– Created to link different types of networks (e.g.,

satellite and ground packet networks) together into anetwork of networks

– Has become de facto standard protocol fornetworking

• TCP is responsible for the reliable and ordered transmissionof messages

• IP is responsible for routing individual packets based on theirindividual addresses (IP addresses)

– Roughly corresponds to network and transport layersof OSI model

Page 26: Topic 2 -network_computing

MANAGEMENT INFORMATION SYSTEMS

Executive MBA PGSM

MBA program, Paris Graduate School of Management, Management Information System, Dr. Pham Van Tai 51

Networking Crucial to Organizations

• Networking and Telecommunications havebecome necessary for businesses to function– Problems with undersea Internet cables cut in

Middle East