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WK 7 CLA 2

Managing and Implementing IT Solutions for the six different concepts

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Abstract
Information technology (IT) is defined as the use of computer and internet to store or

retrieve any data or information. We use Information technology to achieve the goals of the

Information systems. Information system is designed to collect data, process the collected data,

and deliver timely, relevant, and useful information that can be used for making decisions in any

business organizations or industrial purpose. So, to successfully implement and manage IT

solutions in these organizational levels, we have these following six concepts:

1. Four types of Intelligent agents and their usage.

2. Five benefits of Integrating Artificial Intelligence (AI) technologies into Decision

Support System (DSS).

3. Decisions made in each phase of decision-making process.

4. Executive information system’s importance in decision making.

5. Cloud Computing.

6. Blockchain technology and Cryptocurrency.

These terms are discussed with the framework of implementing and managing IT

solutions in the assignment, with the help of references like e-journals, articles, videos, and the

textbook.

Keywords: Information technology, Intelligent agents, AI, DSS, Executive information system,

Cloud computing, Blockchain technology, Cryptocurrency.

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Contents

Topics Page

1. Four types of Intelligent agents and their usage------------------------------------------4-6

2. Five benefits of Integrating AI technologies into Decision Support System---------7-8

3. Decisions made in each phase of decision-making process-----------------------------9-11

4. Executive information system’s importance in decision making----------------------11-12

5. Cloud Computing----------------------------------------------------------------------------13-14

6. Blockchain technology and Cryptocurrency---------------------------------------------15-16

7. Conclusion-------------------------------------------------------------------------------------17

8. Reference-------------------------------------------------------------------------------------18-19
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1. Four types of Intelligent agents and their usage

Intelligent agent refers to the Robots. These are the artificial agents and are also known as

virtual agents. They are the software components. A sophisticated intelligent agent has many

characteristics. Adaptability, Autonomy, Collaborative behavior, Humanlike interface, Mobility,

and Reactivity are some of them. (H. Bidgoli, pg. 305) But, there are still no perfect intelligent

agents with all these characteristics fulfilled. Based on this, the architecture proposed in this

paper goes beyond reusable architecture to create a team of robots capable of collectively

reasoning and achieving their own goals regardless of geographical location or operating

environment. (H. Ghenniwa, J. Eze & W. Shen, 2006, pg. 73). So, the main implication of these

robot agents is always to achieve some goals and remove the human involvement from that

work, regardless of their types There are different intelligent agents with a different application

and they are categorized into four types. They are:

a) Shopping and Information agents

b) Personal agents

c) Data mining agents

d) Monitoring and Surveillance agents

a) Shopping and Information agents:

These types of agents help the users to explore through the deep resources of

products and information in the web and find out the best possible results. (H. Bidgoli,

pg. 306) They are faster than humans and collect a huge amount of information and

process them in a very quick span.

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Example: BookFinder4U (www.bookfinder4u) is an example of the shopping and

information agent. In this website, a buyer can compare the price of the book among the

130 stores with the information like the name of the book, author and ISBN number. It

shows the list of the books from the least expensive to the most expensive from which

one can buy selectively in a cheaper price.

b) Personal Agents:

Personal agents are the intelligent agents that performs specific tasks for an

individual user. It performs tasks like remembering information in any web forms or completing

e-mail addresses by predicting the possible words to complete a sentence quickly. (H. Bidgoli,

pg. 306) It is quite useful in doing a huge task like sending e-mails or filling out forms of a huge

number of people in any institutions.

Example: In an e-mail personal agent, a user can get benefits in the works like:

 Forwarding messages

 Generating auto-responses to any queries

 Generating customized replies based on the incoming messages

c) Data-Mining Agents:

Data-mining agents are the intelligent agents that are used to detect trends and

new information and relationships between data which are not readily visible. It works with a

huge data warehouse. (H. Bidgoli, pg. 306) It is used to predict the potential losses or dangerous

situation in any organization by calculating the previous data and trends in a graph. This helps in

pre-planning and avoiding any huge financial losses in a company. This is an implementation of

a successful IT solution.
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Example: In a popular auto mobile company called Volkswagen, the data mining

agent is used successfully in order to prevent the potential economic losses and they likewise

process their production and supply in the market according to the data provided by the data

mining agents. This helps in minimizing the economic losses in a large amount and makes a

company function in a better way.

d) Monitoring and Surveillance agents:

Monitoring agent works as an artificial supervisor and tracks the function of any

computer system. It reports any unusual actions on a computer or a network system. This

helps to prevent the possible crashing of a system. (H. Bidgoli, pg. 307). The company

can replace those damaged products and continue the regular work without bearing any

huge losses. This also helps in preventing the loss of important data and information from

a system.

Example: NASA uses the monitoring agents in their Jet Propulsion Lab that

monitors inventory, planning and scheduling of the equipment of the system. This helps

in managing the cost in a space project which costs billions of dollars. So, any misleading

activities or small damages can lead to a loss of billions of dollars along with some

precious life of the astronauts.

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2. Five benefits of integrating AI technologies in Decision support

system

Every organization and company run under the decisions taken with every step.

There are three types of decisions made in an organizational level. Structured, Semi-

structured and Unstructured decision are those three. Moreover, these decisions are taken

under four phases. The four phases are; Intelligence, Design, Choice, and Implementation

phase. To support these organizations to make any decisions, there is an interactive

information system known as Decision Support System (DSS). (H. Bidgoli, pg. 278).

Decision support system is composed of three components. They are; Database,

Model base and User interface. They help in the decision-making process by analyzing

the data and statistics.

Artificial Intelligence (AI) can be useful in improving the quality of the decision

support system. There are two types of decision-making analyses in AI i.e. What-is and

What-if. (H. Bidgoli, pg. 278). What-is analysis is used in transaction-processing system

and management information system. Whereas, What-if analysis is used in decision

support system where it is necessary to answer the question such as why.

The five advantages of integrating AI technologies in Decision support system

are:

1). Artificial Intelligence can improve the standard of the decision support system. The

usage of different AI technologies like natural language processing, expert systems, and artificial

neural networks collectively form a unique system called Intelligent or Integrated Decision

Support system (IDSS). (H. Bidgoli, pg. 312).

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2). Since AI system involves expert system, it helps in providing explanation to the

process taken for making the decision. Otherwise, the decision support system cannot explain its

decision as it is done on the basis of the numbers and permutations or combinations of the data.

3). The decision support system can get advantage by integrating Artificial Neural

Networks (ANN), which helps in improving learning capabilities. This makes the decision-

making process a lot quicker.

4). The integration of Natural Language Processing (NLP) helps in creating user friendly

interface in the decision support system. This helps in handling uncertainties and fuzzy data.

5). The integration of AI technologies in DSS also helps in improving the creation and

maintenance of the new databases. Moreover, it adds deductive reasoning to the traditional

DBMS system.

Example: In a decision support system of a restaurant, integrating AI can lead the

decision support system to automatically deliver the required food items to the given table

number and nicely interacts with the customers. It creates a different environment and attracts

the customer for the future.

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3. Types of Decisions made in each phase of decision-making process.

There are three types of decisions made in an organizational level i.e., Structured, Semi-

structured and Unstructured decision. As discussed in the second topic, decision support system

works in order to help the organizations to make any decisions. So, according to Herber Simon,

Noble prize winner in economics in the year 1978, these decisions are taken under four phases.

The four phases are; Intelligence, Design, Choice, and Implementation phase. (H. Bidgoli, pg.

275).

A. Intelligence Phase

B. Design Phase

C. Choice Phase

D. Implementation Phase

A. Intelligence Phase:
In this phase, firstly, the decision maker of an organization studies the condition around

their organization that needs decision. They process the various data collected from internal and

external sources. Secondly, after they know about the actual problem, they gather the reasons

and better understanding of the problems by the help of data and information collected. At last,

they draw a result to find the alternatives to solve the problems and to make a strong decision.

(H. Bidgoli, pg. 275).

Example: In a competitive marketplace like of a electronics company, if the owners

notice the decrease in the sales in the past 3 months, their intelligence phase can identify the

problems and they may conduct the survey among their users to find out the problems. After that

the intelligence phase can suggest the possible solution to the problems.
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B. Design Phase:
In this phase, the criteria are defined for making the decision. It also provides the

different alternative options to meet the criteria and explains the process in between them. (H.

Bidgoli, pg. 277).

Example: In the previous example of an electronics company, the sales is decreasing for

3 months. So, the criteria can be to increase the sales by 5% in the next 3 months. And the

alternative choices can be like, assigning more sales person to the market, revamp the design and

models of the products and upgrade to standard, or develop a new advertisement with a new

promo.

C. Choice Phase:

In this phase, the most effective and best matching alternative in the real world is chosen

to solve the problem. It is the most direct phase. It is done by analyzing each and every option

and its relationship to the criteria to know if it is feasible or not. (H. Bidgoli, pg. 277).

Example: In the above-mentioned organization chooses the second alternative i.e. to

revamp the models of the product, the choice phase has the main involvement behind this

decision. The Decision support system helps to identify that the users are not finding the devices

up to the mark so, they are getting less interested in the products of the company.

D. Implementation Phase:

In this phase, the organization implements the alternative which is selected in the choice

phase. Company also obtains resources to implement the plan from the researches. It is the phase

where all these ideas are converted into the action. (H. Bidgoli, pg. 277).
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Example: In the above-mentioned example, the implementation of producing the new

type of devices is taken under action. This helps in increasing the sales and uplift the company

again. But there can also be a situation where the estimated goal of increasing the sales by 5% in

next 3 months may not be achieved. So, in this case, the DSS can again reveal the problem in the

Intelligence phase and the company can implement other alternatives by following the cycle of

four different phases

4. Executive Information system’s Importance in decision making

Executive Information Systems (EIS) are the interactive information systems that give

executives easy access to internal and external data. It is a branch of Decision support system

(DSS). It plays an important role in the decision-making process because of its easiness. (H.

Bidgoli, pg. 281). A EIS user may not be a computer expert but also can effectively use the EIS.

It is user friendly and based upon Graphics User Interface (GUI) along with additional features

like multimedia, virtual reality, etc. It mostly includes a digital dashboard which integrates

information from various sources and presents it in a unified and understandable format like bar

graphs.

Executive information system is very important branch of the Decision support system.

In a decision-making process, data and information related to the organization is quite important

in the intelligence phase. In order to know about the actual problems in an organization and

make a decision to solve it, a proper information is the key. So, an EIS is very important to the

DSS as it has access to both internal and external data. This helps in finding the trends, making
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forecasts, and conducting analyses. (H. Bidgoli, pg. 281). A useful EIS collects data related to

the organization’s critical success factors. It may be factors that make or break a business. (H.

Bidgoli, pg. 281). So, this important information which may lead the company to the top or

bottom can be processed by the EIS in a understandable manner. This makes it a lot easier for the

managers to fix the exact problems and plan for a long-term goal to succeed.

Furthermore, drill-down analysis capabilities (the incremental examination of data at

different levels of detail), trend analysis capabilities (the examination of data across desired time

intervals), exception reporting, extensive graphics, the provision of data from multiple sources,

and the highlighting of the information an executive feels critical. (D. E. Leidner, & J. J. Elam,

1993, pg. 140).

Example: In an electronic company where the Mobile devices are manufactured,

the problem of decrement in the sales percentage is manageable by making a decision like

producing upgraded devices. So, to know this, the EIS provides the data and information in a

continuous basis along with the trends. It helps in knowing the potential damage in advance and

may help the company to reduce the damage by stopping the production of the outdated mobile

devices.
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5. Cloud Computing
Cloud computing is the process of computing along with other peers on a common online

platform. It is a part of new web trend 2.0 and plays a huge role in networking in the modern era

of technology. Different platforms like e-mails, Google, Amazon, and Microsoft uses cloud

computing. In short, cloud computing is a computer in an imaginary world which can be

accessed by the help of mobile phones or computer devices.

Foundations:

Cloud computing is based upon the internet network. It provides a platform for the users

like a cloud which is available in any place at any time. The cloud computing is based on three

foundations: Application, Platform and Infrastructures. Based upon these foundations there are

three different models.

Models:

 Software as a Service (SaaS) : Software as a Service is a software model of cloud

computing in which a user can access the software services on a cloud basis instead of

buying the software by their own. It helps in reducing the cost and makes easier for the

new comers to sustain in the business. (H. Bidgoli, pg. 333)

 Infrastructure as a Service (IaaS) : Infrastructure as a Service (IaaS) or also known as

Hardware as a Service (HaaS) is a model in which cloud computing works. Cloud

computing provides the storage in the web and the user can access it over any web

connection from anywhere in the world. A user with a small storage cell phones like 32

GB or 64 GB can access the large files of hundreds of GB or TB by the help of Cloud

computing. (H. Bidgoli, pg. 334)

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 Platform as a Service (PaaS) : Platform as a Service (PaaS) provides a virtual platform as

a service to the users. The clients or developers can work from different location in a

single software and build any applications and services over the internet. All the

resources are stored in the web and can be accessed with a network connection. (H.

Bidgoli, pg. 335)

Applications:

The application of the Cloud computing is very vast in the present context. From

web developers to the space workers, every sector is dependent upon the cloud

computing. A website developer or an application developer can work in an American

project while staying here in Nepal without any geographical disturbance. The skills are

no longer encrypted within the boarder of a country. A single platform in a web is enough

to connect all of the developers and programmers in a platform where they have their

software and information in a virtual cloud computer inside a single server.

Moreover, in astronomical sectors, the huge storage files of the heavenly bodies

and very high graphics images can be stored in a cloud storage which helps to prevent the

overuse of the computer hard disk. Also, the astronauts and the scientists can

communicate through the cloud from the space to the earth and share the important

information in a single platform. (G. Berriman, E. Deelman, G. Juve, M. Rynge, & J.

Vöckler, 2013, pg.3)

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6. Blockchain technology and Cryptocurrency

Blockchain technology is a strong system in which information is decentralized and

stored in a secure way to prevent it from getting hacked. Blockchain technology is a new digital

form of storing records and information. It is a type of distributed ledger.

The blockchain works as a ledger where data can be stored in one block and if it gets

filled, then the next block starts to store those data. They have a unique code in the beginning

and the end. The first block has a unique code which is different from any other codes. Then the

last code of the first block is transferred to the first code of the second block and the data starts to

get stored in the second block. The same goes with the third block and so on. This forms a huge

chain of the blocks. So, it is almost impossible to break and steal any information from it. It is

very secure because even a slight change in the data without the authority will be detected as it

will change the codes.

Blockchain technology enables live interconnected transactions records with data access

and disclosure to all members of a network. It is said that the Blockchain technology also helps

in establish microgrids in military bases which can help in reducing energy consumption. Supply

chain management and Energy management are some of the sectors in which Blockchain

technology is used by the military force of the USA. (I. Linkov, E. Wells, B. Trump, Z. Collier,

S. Goerger, & J. Lambert, 2018, pg.62). Although there is immense data transparency in this

technology, there may be some security issues due to the lack of proper governance. (I. Linkov,

E. Wells, B. Trump, Z. Collier, S. Goerger, & J. Lambert, 2018, pg.63). So, it must be taken

under serious consideration

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Cryptocurrency is a virtual coin used for providing secure transaction using a

cryptographic problem. It was invented for a secure encrypted transaction and very transparent as

any user in the circle can know about the transaction. There is a cryptographic problem which is

designed to be easy and to verify but computationally difficult to address a solution. (C.

Harwick, 2016, pg.769) Hash target is the most common function used for this purpose. It also

uses blockchain technology which contains hash pointers to link the previous blocks. (C.

Harwick, 2016, pg. 570) Moreover, there is a process called “mining” which expands the

network of supply of the digital coin.

To talk about an example of the Bitcoins, there are around 22 million Bitcoins in the

world out of which only about 19 millions of them are under circulation. 3 millions of them are

yet to be mined which is very difficult and requires complex mathematical equations to be solved

for mining. By 2040, all coins are expected to be circulated. It works by the successful

verification of a block of transaction and user is awarded with a certain number of coins. (C.

Harwick, 2016, pg. 571) bitcoins are valued around 37,565.40 as per June 18, 2021. It was much

more than this a few months earlier but now it has decreased in value because Tesla denied to

accept Bitcoins for its transactions. But, anyhow, cryptocurrency is the future of the money and it

will certainly be valued higher in the coming days.

Since, cryptocurrency trading is very quick and doesn’t involve mediocre to control the

transaction, it is almost impossible to track the senders and receivers details even though the

transaction can be identified. So, countries like Nepal haven’t yet legalized the cryptocurrency as

it may be used in the transaction in the international market places for terrorism purposes.
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7. Conclusion:

At last, with these 6 concepts we can ultimately manage and implement IT solution in

any IT business companies. The four types of intelligent agents and their usage are helpful in

implementing the latest type of IT solutions in any company. Moreover, integrating AI

technology gives huge five benefits to a decision support system. Also, we discussed about the

types of decision made in each of four phases of decision-making process. We also talked about

executive information system and its importance in decision-making. Moreover, the concepts of

cloud computing and blockchain and cryptocurrency were also discussed which are very new

technologies and are widely used in the recent times for managing IT solutions in any

organizations.
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8. References

Ghenniwa, H., Eze, J., & Shen, W. (2006). PHYSICAL ROBOT AGENTS: COORDINATED

INTELLIGENT AND RATIONAL AGENTS FOR COLLABORATIVE

ROBOTS. International Journal of Robotics & Automation,  21(2), 73-81.

http://dx.doi.org/10.2316/Journal.206.2006.2.206-2791

Bidgoli, H. Intelligent Agents, Intelligent Information Systems. MIS 8th Edition. Pg. 305-307

John D. C. Little. (1979). Decision Support Systems for Marketing Managers. Journal of

Marketing, 43(3), 9-26. doi:10.2307/1250143 https://www.jstor.org/stable/1250143

Bidgoli, H. Phases of the Decision-making process, Management Information Systems. MIS 8th

Edition. Pg. 275-277

Leidner, D. E., & Elam, J. J. (1993). Executive information systems: their impact on executive

decision making. Journal of Management Information Systems, 10(3), 139-155.

https://brainmass.com/file/1597431/Executive+Information+Systems+Their+impact+on+

Executive+Decision+Making.pdf

Bidgoli, H. Executive Information System, Management Information Systems. MIS 8th Edition.

Pg. 281.

Berriman, G., Deelman, E., Juve, G., Rynge, M., & Vöckler, J. (2013). The application of cloud

computing to scientific workflows: A study of cost and performance. Philosophical

Transactions: Mathematical, Physical and Engineering Sciences, 371(1983), 1-14.

Retrieved June 17, 2021, from http://www.jstor.org/stable/41739956

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Bidgoli, H. Cloud Computing, Intelligent Information Systems. MIS 8th Edition. Pg. 333-336

Linkov, I., Wells, E., Trump, B., Collier, Z., Goerger, S., & Lambert, J. (2018). Blockchain

Benefits and Risks. The Military Engineer, 110(714), 62-63. Retrieved June 18, 2021,

from https://www.jstor.org/stable/26464732

Harwick, C. (2016). Cryptocurrency and the Problem of Intermediation. The Independent

Review, 20(4), 569-588. Retrieved June 18, 2021, from

http://www.jstor.org/stable/44000162