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ST10239307 Group 4
Business information systems Take-Home exam
Due 26 June 2023

Question 1
Q1.1
An information system refers to a collection of interconnected systems that work together to
gather, process, store and disseminate information to use for decision-making in an
organisation (The IIE, 2012).
Components: GPS software, car tracking system, payment processing system and booking
system.

Q.1.2
1. A taxi business can defend itself from new entrants in the market by building a strong
brand and customer loyalty. Developing a strong brand and fostering customer
loyalty can defend the business from nee entrants. A positive reputation can attract
and retain customers. Taxi businesses can achieve this by focusing on excellent
customer service, reliable and safe transportation (Mohammed, 2015).
2. Collaborating with local hotels, airports, tourism agencies and corporate clients, a
taxi business can secure exclusive contracts. This is made possible by forming
strategic partnerships and alliances. These partnerships can provide a steady stream
of customers for the business (Mohammed, 2015).

Q.1.3
1. Taxi dispatch system
Is an information system that automated the process of assigning and managing taxi
rides. It helps allocate available taxis to customer requests, ensuring efficient use of
resources and minimising response time (Mohammed, 2015).
2. Customer relationship management system
Is designed to manage and analyse interactions with customers, enabling taxi
businesses to deliver personalised and efficient customer services (Mohammed,
2015).

Question 2
Q.2.1
Q.2.1.1
A database is a structured collection of data that is organised and stored in a centralised
system. Plays a role in managing and storing various types of data related to taxi operations
(The IIE, 2012).
Examples:
1. Customer data management
A database allows taxi businesses to store and manage customer-related
information. It can be the customer’s profile, contact details, ride history and
feedback. This information can layer be used by the taxi business to improve
customer satisfaction (Mohammed, 2015).
 2. Trip and ride management
A database can store information about each trip, including the pickup and drop off
location, time stamp, fare details, drive assigned and any additional notes
(Mohammed, 2015).

Q.2.1.2
A relational database model is a data management model that organises data into tables
that have rows and columns. Tables represent entities, and each row in a table represents a
specific record (The IIE, 2012).
Examples
1. Oracle database
2. Microsoft SQL server

Q.2.1.3
1. Customer table
2. Ride table
3. Driver table

Q.2.3
 A distributed database offers scalability advantages by distributing data across
multiple modes, as the taxi business grows and the amount of data increases, a
distributed database can accommodate the growing data volumes by adding more
nodes to the network (Custer, 2022).
 A distributed database provides increased availability and faulty tolerance compared
to a centralised database (Custer, 2022).
 By distributing data closer to the points of consumption or processing, a distributed
database can improve performance and reduce latency. Having a distributed
database located in different geographic regions can bring data closer to the
customers, drivers and dispatch centres for a taxi business (Custer, 2022).
 A distributed database allows taxi businesses to comply with data privacy regulations
and adhere to data residency requirements in different regions. By storing data in
distributed nodes that align with specific legal frameworks, the business can ensure
compliance with local data protection laws (Custer, 2022).
Q.2.4
According to Custer (2022) here are the features of data in a data warehouse in contrast to
data in a relational database:
1. Integrated data
2. Subject-oriented
3. Historical data
4. Denomalized data
5. Aggregated data
6. Large data volume
7. Read-optimised
8. Analytical processing
9. Data-transformation
10. Decision support system
Question 3

Q.3.1
 Sender:
 The sender, also known as the source or transmitter, initiates the process of
data communication. It generates the data or information to be transmitted.
 The sender converts the data into a suitable format for transmission and
prepares it for delivery.
 The sender encapsulates the data into a message or packet and adds
necessary control information, such as headers, addressing, and error
detection codes.
 Medium:
 The medium, also referred to as the channel or transmission medium, is the
physical or virtual path through which the data is transmitted from the
sender to the receiver.
 The medium can take various forms, including wired media like copper
cables, fibre optics, or wireless media like radio waves, infrared, or satellite
signals.
 The choice of medium depends on factors such as distance, bandwidth
requirements, reliability, cost, and the environment in which communication
takes place.
 Receiver:
 The receiver, also known as the destination or receiver, is the component
that receives the transmitted data from the sender.
 The receiver extracts the data from the received packets and interprets it
according to the agreed-upon protocols and formats.
 The receiver performs error detection and correction to ensure data integrity
and verifies if the received data is intended for it.
 The receiver may also generate acknowledgments or responses back to the
sender to confirm successful receipt of data.
The relationship among these components is sequential and interdependent:
 Data Flow:
 The sender initiates the data communication process by generating and
encapsulating the data into messages or packets.
 The sender transmits these packets over the selected medium.
 The medium carries the packets from the sender to the receiver, possibly
undergoing modulation, amplification, or other necessary transformations
along the way.
 The receiver receives the transmitted packets through the medium.
 Protocols:
 The sender and receiver need to agree upon communication protocols, which
define rules and procedures for transmitting and interpreting data.
 Protocols determine the format of the messages, error detection and
correction mechanisms, data compression, encryption, and other aspects of
communication.
 Both the sender and receiver must adhere to the same protocols for
successful data communication.
  Feedback and Control:
 The sender and receiver engage in a feedback mechanism to ensure reliable
communication.
 The receiver may send acknowledgments or negative acknowledgments
(NACK) to inform the sender about the successful or failed reception of data.
 The sender may retransmit the data in case of transmission errors or adjust
its transmission rate based on feedback from the receiver.

Q.3.2
1. Short-range wireless technologies
Short-range wireless technologies are designed to operate over short distances, with
a range of a few meters. They are often used for communication between devices in
close range to each other (The IIE, 2012).
For example, Bluetooth technology

2. Long-range wireless technologies

Long-range wireless technologies are designed to cover larger areas and enable
communication over long distances, for example, cellular networks such as 4G LTE
and 5G, provides wireless communication over large areas by dividing the coverage
into cells (The IIE, 2012).

Q.3.3
Transport layer
The transport layer divides
the data received from the
upper layer into smaller
segments for transmission
and reassembled them at
the destination
(The IIE, 2012).
Network layer
The network layer assigns
logical addresses suck as IP
address in the cause of the
internet to devices in a
network

Q.3.4
Scenario 1: Corporate Headquarters and Branch Offices
Let's say you have a company with its headquarters located in New York City. The company
also has branch offices in Los Angeles, Chicago, and Miami. To connect these offices and
enable communication between them, the company sets up a WAN. The WAN would use
various technologies, such as leased lines, fibre optic cables, or even satellite links, to
establish long-distance connections. In this case, the WAN spans across multiple cities,
covering a wide geographical area.
Now, within each city, there are local networks that interconnect different locations within
that city. For example, in New York City, the company may have multiple offices or
departments that need to communicate with each other. To establish connectivity between
these local sites, the company sets up a MAN. The MAN would typically use technologies
like Ethernet or wireless connections to interconnect the sites within a specific metropolitan
area, such as New York City. The MAN is designed to cover a smaller geographical area
compared to the WAN, usually limited to a city or metropolitan region.
Question 4
Q.4.1
Q.4.1.1
 A company website is a collection of webpages accessible to the public on the
internet. It serves as an online presence for the company and is designed to provide
information, promote products or service and engage with customers (The IIE, 2012).
 An intranet is a private network accessible only to authorised individuals within a
company. It serves as an internal communications and collaboration platform (The
IIE,2012).

Q.4.1.2
Setting up an intranet followed by implementing an extranet can indeed be highly beneficial
to the taxi business. Here are several reasons why:
 Enhanced Internal Communication: An intranet would serve as a centralised platform
for internal communication within the taxi business. Employees from different
departments, such as drivers, dispatchers, and customer service representatives, can
access important information, updates, and announcements easily. For example,
driver schedules, vehicle maintenance alerts, operational guidelines, and company
policies can be shared efficiently through the intranet. This improves communication
flow, reduces misunderstandings, and keeps everyone well-informed.
 Efficient Resource Management: An intranet enables the taxi business to manage its
resources more effectively. For instance, an intranet-based system can be
implemented to handle driver assignments, track vehicle availability, and optimise
routes. This ensures that resources are utilised efficiently, leading to improved
operational efficiency and cost savings. Additionally, centralised document
repositories on the intranet can store and organise important resources such as
training materials, operating procedures, and safety guidelines, making them easily
accessible to employees.

Q.4.1.3
Blockchain is a decentralised and transparent distributed ledger technology that can bring
several benefits to the taxi industry. Here's a brief motivation for this choice:

 Enhanced Transparency and Trust: Blockchain can provide a transparent and

immutable record of transactions, ensuring trust and accountability in the taxi
business. For example, smart contracts can be implemented on the blockchain to
automate and enforce agreements between drivers and passengers, eliminating the
need for intermediaries and reducing disputes.

Q.4.2
Q.4.2.1
Social networking refers to the online platforms and services that allow individuals to
connect, communicate and share information with others in a virtual environment (The IIE,
2012).
Social Networking sites a business can make use of: Facebook, instagram and twitter.

Q.4.2.2
Facebook: Facebook is one of the most widely used social networking sites globally. It
provides a platform for individuals and businesses to create profiles, connect with friends,
share updates, and engage with communities. Businesses can create dedicated pages or
groups on Facebook to interact with their audience, share company updates, promote
products or services, and run targeted advertising campaigns.

Q.4.2.3
The Internet of Everything (IoE) refers to a concept that extends beyond the Internet of
Things (IoT) by encompassing the connection of not just physical devices, but also people,
processes, and data. It is a network of interconnected objects, devices, and systems that
collect, exchange, and analyse data, enabling them to communicate and interact with each
other intelligently.

Q.4.2.4
In addition to cost savings, Voice over Internet Protocol (VoIP) offers several advantages in
the context of Internet telephony. Here are two key advantages:
 Flexibility and Mobility: VoIP enables users to make and receive calls from anywhere
with an internet connection. Traditional telephony ties users to specific physical
locations, but with VoIP, individuals can use their smartphones, tablets, laptops, or
other internet-connected devices to access their VoIP services. This flexibility allows
for seamless communication and mobility, empowering users to stay connected
while on the go or working remotely. VoIP also supports features like call forwarding,
simultaneous ringing on multiple devices, and voicemail-to-email, ensuring that calls
can be managed efficiently across different devices and locations.
 Rich Communication Features: VoIP systems offer a wide range of advanced
communication features that go beyond traditional phone services. These include
call recording, call transfer, call routing, conference calling, auto-attendant,
voicemail, and more. VoIP systems often integrate with other communication tools
such as instant messaging, video conferencing, and collaboration platforms,
providing a unified and integrated communication experience. These additional
features enhance productivity, collaboration, and customer service capabilities for
businesses and individuals, making VoIP a versatile communication solution.

Q.4.3
 Efficient Communication: Email provides a reliable and efficient means of
communication in the taxi business. It allows taxi companies to communicate with
various stakeholders, including customers, drivers, and other staff members, in a
structured and organised manner. advantage include:
a. Booking Confirmations and Updates: Email enables taxi companies to send
booking confirmations and updates to customers. For example, when a customer
books a taxi, an automated email can be sent to confirm the booking details,
including the pickup time, location, and fare estimate. This helps in minimising any
confusion and ensures that both the customer and the driver are on the same page.
 Document Sharing and Archiving: Email services facilitate the sharing and archiving
of important documents in the taxi business. This is particularly beneficial for
administrative tasks and record-keeping purposes. Here is an example:
Invoices and Receipts: Taxi companies can send electronic invoices and receipts to
 customers via email. This eliminates the need for paper-based receipts and makes it
easier for customers to track their expenses. Moreover, email archives can serve as a
reference for both the company and the customer in case of any disputes or
reconciliation needs.

Question 5

There are four factors that clearly distinguish human processing from computer processing
capabilities:
 Creativity and Innovation: Humans possess a unique ability to think creatively and
generate innovative ideas. Unlike computers, which operate based on predefined
algorithms and data, human processing involves imagination, intuition, and the
ability to think outside the box. Humans can come up with novel solutions to
complex problems, make connections between seemingly unrelated concepts, and
create original works of art, music, or literature. For example, a composer using their
creativity to compose a symphony or an inventor developing a groundbreaking
product showcases the distinct human capability of creativity and innovation.
 Emotional Intelligence and Contextual Understanding: Humans have emotional
intelligence and the ability to understand and navigate complex social and emotional
contexts. While computers can process vast amounts of data and perform complex
calculations, they lack the ability to truly comprehend human emotions, subtle
nuances in communication, and the broader context of a situation. Humans can
interpret non-verbal cues, empathise with others, and make decisions based on
emotional considerations. For instance, a skilled negotiator using their emotional
intelligence to understand and respond to the emotional needs of the parties
involved demonstrates the human capacity for contextual understanding and
emotional intelligence.
 Common Sense and Intuition: Humans possess common sense and intuitive
reasoning capabilities that allow them to make quick judgments and decisions based
on incomplete or ambiguous information. While computers rely on precise
instructions and logical algorithms, humans can make leaps of logic, draw upon
personal experiences, and rely on intuition to make sense of complex situations.
Humans can understand subtle contextual cues, recognise patterns, and adapt to
new or unexpected circumstances. A doctor using their expertise and intuition to
diagnose a patient's condition or a driver instinctively reacting to a sudden obstacle
on the road highlights the human ability to apply common sense and intuition.
 Moral and Ethical Reasoning: Humans have moral and ethical reasoning abilities that
guide their decision-making process. While computers can analyse data objectively
and perform calculations, they lack the capacity for moral judgment and ethical
considerations. Humans can weigh the consequences of their actions, evaluate
ethical dilemmas, and make decisions based on their values and moral principles. For
example, a judge deliberating a verdict, considering legal precedents, and the ethical
implications of a case demonstrates the human capacity for moral and ethical
reasoning.

Reference list
The IIE. 2012. Business information systems module manual/Guide 2023. The independent
institute of education. Unpublished.

Mohammed, R. 2015. The taxi industry can innovate, too.[blog]. Available at:
https://hbr.org/2015/02/the-taxi-industry-can-innovate-too [Accessed 26 June 2023].

Custer, C. 2022. What is a distributed database and how do they work. [blog]. Available at:
https://www.cockroachlabs.com/blog/what-is-a-distributed-database/#:~:text=A
%20distributed%20database%20is%20a,servers%20on%20a%20computer%20network.
[Accessed 26 June 2023].