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What’s in IT for me? The pace of technological change never ceases to amaze as kindergarten classes are now learning PowerPoint and many elementary school children have their own cell phones. What used to take hours to download over a dial-up modem connection can now transfer in a matter of seconds through an invisible, wireless network connection from a computer thousands of miles away. We are living in an increasingly wireless present and hurtling ever faster toward a wireless future. The tipping point of ubiquitous, wireless, handheld, mobile computing is approaching quickly.
As a business student, understanding network infrastructures and wireless technologies allows you to take advantage of mobile workforces. Understanding the benefits and challenges of mobility is a critical skill for busi- ness executives, regardless if you are a novice or a seasoned Fortune 500 employee. By learning about the vari- ous concepts discussed in this chapter, you will develop a better understanding of how business can leverage networking technologies to analyze network types, improve wireless and mobile business processes, and evaluate alternative networking options.
■ W i r e l e s s N e t w o r k C a t e g o r i e s
■ B u s i n e s s A p p l i c a t i o n s o f W i r e l e s s N e t w o r k s
■ B e n e f i t s o f B u s i n e s s M o b i l i t y
■ C h a l l e n g e s o f B u s i n e s s M o b i l i t y
S E C T I O N 7. 2
M o b i l i t y : T h e B u s i n e s s
Va l u e o f a W i r e l e s s Wo r l d
■ O v e r v i e w o f a C o n n e c t e d W o r l d
■ B e n e f i t s o f a C o n n e c t e d W o r l d
■ C h a l l e n g e s o f a C o n n e c t e d W o r l d
S E C T I O N 7. 1
Connectivity: The Business
Value of a Networked World
C H
A P
T E
R O
U T
L IN
E
Networks: Mobile Business 7 C H A P T E R
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The Ironman
Florida-based World Triathlon Corporation (WTC), owner of the Ironman Triathlon World Championship, is in the business of fulfilling the dreams of endurance athletes in one of the world’s most grueling events. The Ironman Triathlon World Championship brings more than 1,700 of the world’s top athletes to rugged Kailua-Kona, Hawaii, for a world championship race every fall. Athletes attempt to swim 2.4 miles, cycle 112 miles, and run a full 26.2-mile marathon—all in a single day. The event features a remote course that threads around the side of an active volcano and offers breath- taking views but also rough terrain, intense heat, and shifting trade winds.
In the past, it was not easy for family and friends to know how a particular athlete was faring in the contest. “As a spectator, you’d see the start, and then the athletes would disappear, and that was pretty much it until the finish line,” recalls Dave Scott, who ran his first triathlon in 1976. Now, however, Ironman is transforming the way audiences and athletes experience the race. By using WiMAX networks to enable remote cameras, the company also raised the bar for professional sports broadcast- ing and spotlighted a technology many say will help bring the next billion users into the Internet community.
Fans worldwide now can find any athlete’s speed and location thanks to high- speed WiMAX broadband connections in various places along the 140-mile course. The company uses radio-frequency identification (RFID) ankle bracelets to track the athletes’ progress and high-bandwidth communications to transmit professional- quality video and other data, making the information accessible on the Ironmanlive .com website.
Networking the course was a challenge due to the same factors that make it chal- lenging for athletes. “We’re on a very rough, rugged course on an island with an active volcano,” explains Dan Gerson, Ironmanlive.com production manager. “It’s hot, it’s windy, and there’s no infrastructure. If you can deploy WiMAX here, you can probably deploy it pretty much anywhere.” Airspan Networks provided the WiMAX infrastructure, using its high-performance base stations and subscriber stations to create a high-performance network backbone capable of transmitting data rates required for top-quality video. The team set up its base station atop the hotel that served as the events’ starting point and finish line, one of the lowest geographical points of the course.
The team was operating in a non-line-of-sight environment, and highly porous volcanic rock absorbed the wireless signals more than other types of rock would. Airspan set up relays on the ridge sides of the volcano, the side of the road, and the
opening case study
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sides of buildings to keep signal fidelity. Cameras in locations without power used generators. This was a wireless deployment in every sense of the word, demonstrat- ing the viability of WiMAX technology. Footage of the athletes could be incorporated into the live webcast, along with pre-event interviews, commentary, and film from cameras on motorcycles and helicopters. WTC produced the broadcast in a live pro- duction studio on-site that streamed the video data to the global servers that run the Ironmanlive.com website.
WTC also set up eight wireless hot spots, including five along the event course and at the finish line. An Internet café was stocked with laptops, providing con- venient wireless access to event information and the Ironmanlive.com site. Two giant-screen displays showed the live program coverage from Ironmanlive.com . Staff used additional mobile devices to manage the race and monitor each athlete’s progress. For example, if athletes needed medical care, the health care team used a PDA to scan their RFID tags and instantly access medical records and local contact information.
Ironman’s transformative use of wireless computing makes sound business sense. It draws larger audiences and higher advertising revenues for WTC and NBC, which uses WTC’s Ironman Triathlon programming in its own broadcast of the event a month or two later. Larger audiences and better experiences for athletes and their families ultimately lead to greater participation in the Ironman Triathlon and its more than two dozen qualifying races, and to increased popularity for the sport. 1
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section 7.1 C O N N E C T I V I T Y: T H E B U S I N E S S VA L U E O F A N E T WO R K E D WO R L D
L E A R N I N G O U T C O M E S
7.1 Explain the five different networking elements creating a connected world.
7.2 Identify the benefits of a connected world.
7.3 Identify the challenges of a connected world.
OVERVIEW OF A CONNECTED WORLD
Computer networks are continuously operating all over the globe supporting our 24/7/365 always on and always connected lifestyles. You are probably using several dif- ferent networks right now without even realizing it. You might be using a school’s net- work to communicate with teachers, a phone network to communicate with friends, and a cable network to watch TV or listen to the radio. Networks enable telecommunications or the exchange of information (voice, text, data, audio, video). The telecommunication industry has morphed from a government-regulated monopoly to a deregulated market where many suppliers ferociously compete. Competing telecommunication companies offer local and global telephony services, satellite service, mobile radio, cable television, cellular phone services, and Internet access (all of which are detailed in this chapter). Businesses everywhere are increasingly using networks to communicate and collaborate with customers, partners, suppliers, and employees. As a manager, you will face many different communication alternatives, and the focus of this chapter is to provide you with an initial understanding of the different networking elements you will someday need to select (see Figure 7.1 ). A detailed technical overview of networking and telecommunica- tions can be found in Appendix B.
Network Categories
The general idea of a network is to allow multiple devices to communicate at the highest achievable speeds and, very importantly, to reduce the cost of connecting. How a par- ticular network achieves these goals depends in part on how it is physically constructed and connected. Networks are categorized based on geographic span: local area net- works, wide area networks, and metropolitan area networks. Today’s business networks include a combination of all three.
A local area network (LAN) connects a group of computers in close proximity, such as in an office building, school, or home. LANs allow sharing of files, printers, games, and other resources. A LAN also often connects to other LANs, and to wide area networks. A wide area network (WAN) spans a large geographic area such as a state, province, or country. Perhaps the best example is the Internet. WANs are essential for carrying out the day-to-day activities of many companies and government organizations, allowing
LO 7.1: Explain the five different
networking elements creating a
connected world.
FIGURE 7.1
Networking Elements Creating a Connected World
Access Technologies
ProvidersCategories
ConvergenceProtocols
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them to transmit and receive information among their employees, customers, suppli- ers, business partners, and other organizations across cities, regions, and countries and around the world.
WANs often connect multiple smaller networks, such as local area networks or met- ropolitan area networks. A metropolitan area network (MAN) is a large computer net- work usually spanning a city. Most colleges, universities, and large companies that span a campus use an infrastructure supported by a MAN. Figure 7.2 shows the relationships and a few differences between a LAN, WAN, and MAN. A cloud image often represents the Internet or some large network environment.
While LANs, WANs, and MANs all provide users with an accessible and reliable net- work infrastructure, they differ in many dimensions; two of the most important are cost and performance. It is easy to establish a network between two computers in the same room or building, but much more difficult if they are in different states or even countries. This means someone looking to build or support a WAN either pays more or gets less performance, or both.
Network Providers
The largest and most important network, the Internet has evolved into a global informa- tion superhighway. Think of it as a network made up of millions of smaller networks, each with the ability to operate independently of, or in harmony with, the others. Keep- ing the Internet operational is no simple task. No one owns or runs it, but it does have
Network Network
Local Area Network (LAN)
Example : City Library
Metropolitan Area Network (MAN)
Example: University Campus
West Campus East Campus
MAN
Network
Wide Area Network (WAN)
Example: Internet
Sydney, Australia London, England
Network
Denver, Colorodo Boston, Massachusetts
WAN
Network
Network
Network
FIGURE 7.2
Network Categories: LAN, WAN, and MAN
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an organized network topology. The Internet is a hierarchical structure linking different levels of service providers, whose millions of devices, LANs, WANs, and MANs supply all the interconnections. At the top of the hierarchy are national service providers (NSPs), private companies that own and maintain the worldwide backbone that supports the Internet. These include Sprint, Verizon, MCI (previously UUNet/WorldCom), AT&T, NTT, Level3, Qwest, and Cable & Wireless Worldwide. Network access points (NAPs) are traffic exchange points in the routing hierarchy of the Internet that connects NSPs. They typically have regional or national coverage and connect to only a few NSPs. Thus, to reach a large portion of the global Internet, a NAP needs to route traffic through one of the NSPs to which it is connected. 2
One step down in the hierarchy is the regional service provider. Regional service providers (RSPs) offer Internet service by connecting to NSPs, but they also can connect directly to each other. Another level down is the Internet service providers (ISPs), recall from Chapter 3 that an ISP provides access to the Internet for a monthly fee. ISPs vary services provided and available bandwidth rates. ISPs link to RSPs and, if they are geo- graphically close, to other ISPs. Some also connect directly to NSPs, thereby sidestepping the hierarchy. Individuals and companies use local ISPs to connect to the Internet, and large companies tend to connect directly using an RSP. Major ISPs in the United States include AOL, AT&T, Comcast, Earthlink, and NetZero. The further up the hierarchy, the faster the connections and the greater the bandwidth. The backbone shown in Figure 7.3 is greatly simplified, but it illustrates the concept that basic global interconnections are provided by the NSPs, RSPs and ISPs. 3
Network Access Technologies
Performance is the ultimate goal of any computer, computer system, or network. Perfor- mance is directly related to the network’s speed of data transfer and capacity to handle transmission. A network that does not offer adequate performance simply will not get the job done for those who rely on it. Luckily, networks can be upgraded and expanded if performance is inadequate.
We measure network performance in terms of bandwidth, the maximum amount of data that can pass from one point to another in a unit of time. Bandwidth is similar to water traveling through a hose. If the hose is large, water can flow through it quickly.
NSP International Connection
International Connection
ISP
RSP
NAP
NSP
NAP
NSP RSP
ISP
ISP
RSP RSP
ISPISP
ISP
ISP
ISP ISP
ISP
ISP
ISP
ISP
ISP
FIGURE 7.3
Internet Topology
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Data differs from a hose in that it must travel great distances, especially on a WAN, and not all areas of the network have the same bandwidth. A network essentially has many different hoses of unequal capacity connected together, which will restrict the flow of data when one is smaller than the others. Therefore, the speed of transmission of a net- work is determined by the speed of its smallest bandwidth.
A bit (short for binary digit) is the smallest element of data and has a value of either 0 or 1. Bandwidth is measured in terms of bit rate (or data rate ), the number of bits transferred or received per unit of time. Figure 7.4 represents bandwidth speeds in terms of bit rates.
A modem is a device that enables a computer to transmit and receive data. A connec- tion with a traditional telephone line and a modem, which most residential users had in the 1990s, is called dial-up access. Today, many users in underdeveloped countries and in rural areas in developed countries still use dial-up. It has two drawbacks. First, it is slow, providing a maximum rate of 56 Kbps. (At 56 Kbps, it takes eight minutes to down- load a three-minute song and more than a day to download a two-hour movie.) Second, dial-up modem access ties up the telephone line so the user cannot receive and make phone calls while online. The good news is this is not as big an issue as it once was as many people have cell phones and no longer require using the telephone line for making phone calls. 4
Once the most common connection method worldwide, dial-up is quickly being replaced by broadband. Broadband is a high-speed Internet connection that is always connected. High-speed in this case refers to any bandwidth greater than 2 Mbps. Not long ago, broadband speeds were available only at a premium price to support large companies’ high-traffic networks. Today, inexpensive access is available for home use and small companies.
The two most prevalent types of broadband access are digital subscriber line and cable connection. Digital subscriber line (DSL) allows high-speed digital data trans- mission over standard telephone lines. Consumers typically obtain DSL Internet access from the same company that provides their wired local telephone access, such as AT&T or Qwest. Thus, a customer’s telephone provider is also its ISP, and the telephone line carries both data and telephone signals using a DSL modem.
DSL has two major advantages over dial-up. First, it can transmit and receive data much faster—in the 1 to 2 Mbps range for downloading and 128 Kbps to 1 Mbps for uploading. (Most high-speed connections are designed to download faster than they upload, because most users download more—including viewing Web pages—than they upload.) The second major advantage is that because they have an “always on” connection to their ISP, users can simultaneously talk on the phone and access the Internet. 5
While dial-up and DSL make use of local telephone infrastructure, Internet cable connections provide Internet access using a cable television company’s infrastructure and a special cable modem. Unlike DSL, cable is a shared service, which means every- one in a certain radius, such as a neighborhood, shares the available bandwidth. There- fore, if several users are simultaneously downloading a video file, the actual transfer rate for each will be significantly lower than if only one person were doing so. On average, the available bandwidth using cable can range from 512 Kbps to 50 Mbps for downloading, and 786 Kbps for uploading. 6
In rural areas where neither DSL nor cable is available, a satellite link can connect to the Internet at speeds of more than 1 Mbps. Satellite technologies are discussed in Section 7.2.
Bandwidth Abbreviation Bits per Second (bps) Example
Kilobits Kbps 1 Kbps = 1,000 bps Traditional modem = 56 Kbps
Megabits Mbps 1 Mbps = 1,000 Kbps Traditional Ethernet = 10 Mbps Fast Ethernet = 100 Mbps
Gigabits Gbps 1 Gbps = 1,000 Mbps Gigabit Ethernet = 1,000 Mbps
FIGURE 7.4
Bandwidth Speeds
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Another alternative to DSL or cable is dedicated communications lines leased from AT&T or another provider. The most common are T1 lines, a type of data connection able to transmit a digital signal at 1.544 Mpbs. Although this speed might not seem impres- sive, and T1 lines are more expensive than DSL or cable, they are more reliable than either. Each is composed of 24 channels, creating 24 separate connections through one line. If a company has three separate plants that experience a high volume of data traffic, it might make sense to lease lines to connect them all with a reliable high bandwidth. 7
A company must match its needs with Internet access methods. If it always needs high bandwidth access to communicate with customers, partners, or suppliers, a T1 line may be the most cost effective method. Figure 7.5 provides an overview of the main methods for Internet access. The bandwidths there represent average speeds; actual speeds vary depending upon the service provider and other factors such as the type of cabling and speed of the computer. 8
Network Protocols
A protocol is a standard that specifies the format of data as well as the rules to be followed during transmission. Computers using the same protocol can communicate easily, providing accessibility, scalability, and connectability between networks. Net- work access technologies use a standard Internet protocol called transmission control protocol/Internet protocol (TCP/IP), which provides the technical foundation for the public Internet as well as for large numbers of private networks. One of the primary rea- sons for developing TCP/IP was to allow diverse or differing networks to connect and communicate with each other, essentially allowing LANs, WANs, and MANs to grow with each new connection.
TCP (the TCP part of TCP/IP) verifies the correct delivery of data because data can become corrupt when traveling over a network. TCP ensures the size of the data packet is the same throughout its transmission and can even retransmit data until delivered cor- rectly. IP (the IP part of TCP/IP) verifies the data are sent to the correct IP address, num- bers represented by four strings of numbers ranging from 0 to 255 separated by periods. For example, the IP address of www.apple.com is 97.17.237.15.
Here is another way to understand TCP/IP. Consider a letter that needs to go from the University of Denver to Apple’s headquarters in Cupertino, California. TCP makes sure the envelope is delivered and does not get lost along the way. IP acts as the sending and receiving labels, telling the letter carrier where to deliver the envelope and who it was from. The Postal Service mainly uses street addresses and zip codes to get letters to their destinations, which is really what IP does with its addressing method. Figure 7.6 illus- trates this example. However, unlike the Postal Service, which allows multiple people to share the same physical address, each device using an IP address to connect to the Internet must have a unique address or else it could not detect which individual device a request should be sent to.
One of the most valuable characteristics of TCP/IP is how scalable its protocols have proven to be as the Internet has grown from a small network with just a few machines to a huge internetwork with millions of devices. While some changes have been required periodically to support this growth, the core of TCP/IP is the same as it was more than 25 years ago. 9
Access Technology Description Bandwidth Comments
Dial-up On-demand access using a modem and regular telephone line.
Up to 56 Kbps Cheap but slow compared with other technologies.
DSL Always-on connection. Special modem needed.
Download: 1 Mbps to 2 Mbps Upload: 128 Kbps to 1 Mbps
Makes use of the existing local telephone infrastructure.
Cable Always-on connection. Special cable modem and cable line required.
Download: 512 Kbps to 50 Mbps Upload: 786 Kbps
It is a shared resource with other users in the area.
T1 Leased lines for high bandwidth. 1.544 Mbps More expensive than dial-up, DSL, or cable.
FIGURE 7.5
Types of Internet Access
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If there is one flaw in TCP/IP, it is the complexity of IP addresses. This is why we use a domain name system (DNS) to convert IP addresses into domains, or identifying labels that use a variety of recognizable naming conventions. Therefore, instead of trying to remember 97.17.237.15, users can simply specify a domain name to access a computer or website, such as www.apple.com . Figure 7.7 lists the most common Internet domains. 11
The list of domain names is expected to expand in the coming years to include enti- ties such as .pro (for accountants, lawyers, and physicians), .aero (for the air-transport industry), and .museum (for museums). The creation of an .xxx domain was recently approved for pornographic content. Countries also have domain names such as .au (Australia), .fr (France), and .sp (Spain).
FIGURE 7.6
Example of TCP/IP
FROM: 130.253.2.7
TO: 97.17.237.15 INTERNET
FROM: 130.253.2.7
TO: 97.17.237.15
IP
University of Denver
Send Receive
Apple
------------------ ------------------ ------------------ ------------------
TCP: Message sent TCP: Message received
Apple
University of Denver
BUSINESS DRIVEN DISCUSSION
Net Neutrality—the great debate has been raging for some time now, with the battle lines clearly drawn. Net neutrality is about ensuring that everyone has equal access to the Internet. It is the founding principle that all consumers should be able to use the Internet and be free to access its resources without any form of discrimination. However, regulation on net neutrality is currently in flux. The Federal Communications Commission (FCC) recently required Comcast to stop slowing down or blocking subscriber access to many peer-to-peer file-sharing sites such as BitTorrent. Users of many peer-to-peer networks often transfer large files, which can be legitimate in nature (such as downloading open source applica- tions) or pirated (such as illegal copies of the latest Hollywood video). Shortly after the FCC ruling, a federal appeals court overturned that decision, unanimously ruling that the agency did not have the legal authority to tell Comcast what to do.
On one side of the debate are the ISPs, such as Comcast, that are building the Internet infrastructure and want to charge customers relative to their use, namely, the amount of bandwidth they consume. The ISPs argue more and more users accessing bandwidth-intense resources provided by the likes of YouTube and Hulu place huge demands on their networks. They want Internet access to move from a flat-rate pricing structure to a metered service. The con- tent providers, such as Google, support the counterargument that if ISPs move toward metered schemes, this may limit the usage of many resources on the Internet such as iTunes and Netflix. A metered service may also stifle the inno- vative opportunities the “open” Internet provides.
Do you agree that the government should control the Internet? Should web- site owners be legally forced to receive or transmit information from competi- tors or other websites they find objectionable? Provide examples of when net neutrality might be good for a business and when net neutrality might be bad for a business. Overall, is net neutrality good or bad for business? 10
Net Neutrality: The Great Debate
APPLY YOUR KNOWLEDGE
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Websites with heavy traffic often have several computers working together to share the load of requests. This offers load balancing and fault tolerance, so when requests are made to a popular site such as www.facebook.com , they will not overload a single computer and the site does not go down if one computer fails. A single computer can also have several host names—for instance, if a company is hosting several websites on a single server, much as an ISP works with hosting.
Domain names are essentially rented, with renewable rights, from a domain name registrar, such as godaddy.com . Some registrars only register domain names, while oth- ers provide hosting services for a fee. ICANN (Internet Corporation for Assigning Names and Numbers) is a nonprofit governance and standards organization that certifies all domain name registrars throughout the world. With the certification, each registrar is authorized to register domain names, such as .com, .edu, or .org. 12
Network Convergence
In part due to the explosive use of the Internet and connectivity of TCP/IP, there is a con- vergence of network devices, applications, and services. Consumers, companies, educa- tional institutions, and government agencies extensively engage in texting, Web surfing, videoconference applications, online gaming, and ebusiness. Network convergence is the efficient coexistence of telephone, video, and data communication within a single network, offering convenience and flexibility not possible with separate infrastructures. Almost any type of information can be converted into digital form and exchanged over a network. Network convergence then allows the weaving together of voice, data, and video. The benefits of network convergence allow for multiple services, multiple devices, but one network, one vendor, and one bill, as suggested by Figure 7.8 .
FIGURE 7.7
Internet Domains
.biz
.com
.edu
.gov
.info
.mil
.net
.org
Reserved for businesses Reserved for commercial organizations and businesses Reserved for accredited postsecondary institutions Reserved for U.S. government agencies Open to any person or entity, but intended for information providers Reserved for U.S. military Open to any person or entity Reserved for nonprofit organizations
Domain Name Use
FIGURE 7.8
The Benefits of Network Convergence
Network Convergence
Multiple Services One Provider
• Internet Access • One bill • One point of contact • One customer support center
• VolP • IPTV
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One of the challenges associated with network convergence is using the many differ- ent tools efficiently and productively. Knowing which communication channel—PC, text message, videoconference—to use with each business participant can be a challenge. Unified communications (UC) is the integration of communication channels into a single service. UC integrates communication channels allowing participants to commu- nicate using the method that is most convenient for them. UC merges instant messaging, videoconferencing, email, voice mail, and VoIP. This can decrease the communication costs for a business while enhancing the way individuals communicate and collaborate.
One area experiencing huge growth in network convergence is the use of the Internet for voice transmission. Voice over IP (VoIP) uses IP technology to transmit telephone calls. For the first time in more than 100 years, VoIP is providing an opportunity to bring about significant change in the way people communicate using the telephone. VoIP ser- vice providers—specialists as well as traditional telephone and cable companies and some ISPs—allow users to call anyone with a telephone number, whether local, long dis- tance, cellular, or international.
Two ways to use VoIP for telephone calls are through a Web interface that allows users to make calls from their computer and through a phone attached to a VoIP adapter that links directly to the Internet through a broadband modem. Figure 7.9 illustrates these two ways along with the use of VoIP-enabled phones, bypassing the need for an adapter.
VoIP services include fixed-price unlimited local and long-distance calling plans (at least within the United States and Canada), plus a range of interesting features, such as:
■ The ability to have more than one phone number, including numbers with different area codes.
■ Integrating email and voice mail so users can listen to their voice mail using their computer.
■ The ability to receive personal or business calls via computer, no matter where the user is physically located. 13
The biggest benefit of VoIP is its low cost. Because it relies on the Internet connection, however, service can be affected if the bandwidth is not appropriate or Internet access is not available.
Skype is a perfect example of IP applied to telephone use. Unlike typical VoIP systems that use a client and server infrastructure, Skype uses a peer-to-peer network. Peer-to- peer (P2P) is a computer network that relies on the computing power and bandwidth of the participants in the network rather than a centralized server. Skype’s user directory is distributed among the users in its network, allowing scalability without a complex and expensive centralized infrastructure. Peer-to-peer networks became an overnight sensa- tion years ago through a service called Napster that distributed digital music illegally. Skype has found a way to use this resource to provide value to its users. 14
As the popularity of VoIP grows, governments are becoming more interested in regulating it as they do traditional telephone services. In the United States, the Fed- eral Communications Commission requires compliance among VoIP service providers
FIGURE 7.9
VoIP Connectivity
VoIP Phone
Adaptor
INTERNET
Broadband Modem
Broadband Modem
Standard Phone
VoIP Phone
PC
PC
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comparable to those for traditional telephone providers such as support for local num- ber portability, services for the disabled, and law enforcement for surveillance, along with regulatory and other fees.
An exciting and new convergence is occurring in the area of television with Internet Protocol TV (IPTV), which distributes digital video content using IP across the Internet and private IP networks. Comcast provides an example of a private IP network that also acts as a cable TV provider. Traditional television sends all program signals simultane- ously to the television, allowing the user to select the program by selecting a channel. With IPTV, the user selects a channel and the service provider sends only that single pro- gram to the television. Like cable TV, IPTV uses a box that acts like a modem to send and receive the content (see Figure 7.10 ). A few IPTV features include:
■ Support of multiple devices: PCs and televisions can access IPTV services. ■ Interactivity with users: Interactive applications and programs are supported by
IPTV’s two-way communication path.
■ Low bandwidth: IPTV conserves bandwidth because the provider sends only a single channel.
■ Personalization: Users can choose not only what they want to watch, but also when they want to watch it. 15
BENEFITS OF A CONNECTED WORLD
Before networks, transferring data between computers was time-consuming and labor- intensive. People had to physically copy data from machine to machine using a disk. Networks offer many advantages for a business including:
■ Sharing resources
■ Providing opportunities
■ Reducing travel
Sharing Resources
Resource sharing makes all applications, equipment (such as a high-volume printer), and data available to anyone on the network, without regard to the physical location of the resource or the user. Sharing physical resources also supports a sustainable MIS infrastructure, allowing companies to be agile, efficient, and responsible at the same time. Cloud computing (see Chapter 5) and virtualization consolidate information as
LO 7.2: Identify the benefits of a
connected world.
FIGURE 7.10
IPTV Components
INTERNET
HDTV
IPTV Set Top Box IPTV Service Provider
World TV Broadcasts
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well as systems that enhance the use of shared resources. By using shared resources, cloud computing and virtualization allow for collective computing power, storage, and software, in an on-demand basis.
Perhaps even more important than sharing physical resources is sharing data. Most companies, regardless of size, depend not just on their customer records, inventories, accounts receivable, financial statements, and tax information, but also on their ability to share these, especially with operations in remote locations. Networking with a LAN, WAN, or MAN allows employees to share data quickly and easily and to use applications such as databases and collaboration tools that rely on sharing. By sharing data, networks have made business processes more efficient. For example, as soon as an order is placed, anyone in the company who needs to view it—whether in marketing, purchasing, manu- facturing, shipping, or billing—can do so.
Intranets and extranets let firms share their corporate information securely. An intranet is a restricted network that relies on Internet technologies to provide an Internet-like environment within the company for information sharing, communica- tions, collaboration, Web publishing, and the support of business processes, as sug- gested in Figure 7.11 . This network is protected by security measures such as passwords, encryption, and firewalls, and thus only authorized users can access it. Intranets provide a central location for all kinds of company-related information such as benefits, sched- ules, strategic directions, and employee directories. 17
An extranet is an extension of an intranet that is available only to authorized out- siders, such as customers, partners, and suppliers. Having a common area where these parties can share information with employees about, for instance, order and invoice processing can be a major competitive advantage in product development, cost control, marketing, distribution, and supplier relations. Companies can establish direct private network links among themselves or create private, secure Internet access, in effect a “private tunnel” within the Internet, called a virtual private network (VPN). Figure 7.12 illustrates using a VPN to connect to a corporate server.
Extranets enable customers, suppliers, consultants, subcontractors, business pros- pects, and others to access selected intranet websites and other company network resources that allow the sharing of information. Consultants and contractors can facili- tate the design of new products or services. Suppliers can ensure that the raw materials
BUSINESS DRIVEN DEBATE
As more Internet-related services move beyond delivering content just to the computer, Google wants to bring that content into the living room. In a joint venture, Google is teaming with Sony and Intel to introduce IPTV services either through new Internet accessible TVs or a new set-top box allowing consumers to search for content, browse the Web, view photo albums, and more. Google would provide the needed software, along with advertisement opportunities; Sony would manufacture the new TVs; and Intel would supply the processors that make it all happen. While consumers can already watch TV shows on their computers as well as on a TV, porting Internet content to a HDTV screen seems like the next logical step, which is the magic of IPTV.
However, this is a very crowded playing field with many firms competing for the living room space. Google is competing with the likes of VUDU, TiVo, Yahoo! Connected TV, Netflix, Roku, Rovi, DivX, Apple TV, Xbox 360, Boxee, CinemaNow, Popbox, and many others, with no clear winner, at least not at the moment.
Brainstorm the advantages and disadvantages of associated with IPTV. Do you think Google TV will be successful? Why or why not? 16
Google TV
APPLY YOUR KNOWLEDGE
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necessary for the company to function are in stock and can be delivered in a timely fashion. Customers can access ordering and payment functions and check order sta- tus. The extranet links the company to the outside world in a way that improves its operations.
Extranets provide business value in several ways. First, by relying on Web browsers they make customer and supplier access to company resources easy and fast. Second, they enable a company to customize interactive Web-enabled services for the intended audience, to build and strengthen strategic relationships with customers and suppliers. Finally, extranets can allow and improve collaboration with customers and other busi- ness partners.
Providing Opportunities
Ebusiness can enhance the opportunities of manufacturers that buy parts from a variety of suppliers. Using networks, they can order parts electronically when needed, reducing the need for large inventories and enhancing efficiency.
Networks allow companies to sell to consumers via the Internet too, offering books, clothing, airline tickets, and more. Most midsize and larger companies also have a marketing presence on the Web and provide extensive online information about their
FIGURE 7.11
Intranet Uses
Intranets
Business Operations
and Management
Example: Developing custom applications like order
processing, inventory control, and sales management.
Employees within the company can access and run such applications using web browsers from anywhere on
the network whenever needed.
Communications and
Collaboration
Example: Using a browser to send and receive email, voice
mail, documents, and web pages to communicate with
others within the organization, as well as externally through
the Internet.
Web Publishing
Example: Newsletters, technical
documentations, and product catalogs can be published in a variety of ways, including web
pages, email, and as part of organizational business
applications.
FIGURE 7.12
Using a VPN
INTERNET
Company Server
Supplier using a VPN
Customer using a VPN
A VPN acts like a “tunnel”
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products and services. The Internet has lowered entry barriers for start-ups and small companies, which can now immediately tap potential customers online without hiring an expensive marketing company.
Reducing Travel
Networks provide the means for videoconferencing. Using this technology, employees at distant locations can meet without spending time and money on travel, while seeing and hearing each other as if they were in the same location. Nor do all employees have to come to the office; some can telecommute using Internet connections for both data and voice and, thanks to intranets and extranets, maintain the same access to information as they do at work. Telecommuting has been greatly enhanced by VPNs, videoconferenc- ing, and VoIP.
CHALLENGES OF A CONNECTED WORLD
Networks have created a diverse, yet globally connected world. By eliminating time and distance, networks make it possible to communicate in ways not previously imaginable. Even though networks provide many business advantages, they also create increased challenges in (1) security and (2) social, ethical, and political issues.
Security
Networks are a tempting target for mischief and fraud. A company first has to ensure proper identification of users and authorization of network access. Outside suppliers might be allowed to access production plans via the company’s extranet, for example, but they must not be able to see other information such as financial records. The com- pany should also preserve the integrity of its data; only qualified users should be allowed to change and update data, and only well-specified data. Security problems intensify on the Internet where companies need to guard against fraud, invalid purchases, and mis- appropriation of credit card information.
Two methods for encrypting network traffic on the Web are secure sockets layer and secure hypertext transfer protocol. Secure sockets layer (SSL) is a standard security
LO 7.3: Identify the challenges of a
connected world.
BUSINESS DRIVEN STARTUP
ViVu is transforming the way people interact using videoconferencing. The company has several useful services, including VuRoom, which uses a Skype plug-in that allows remote users to collaborate with presentation and desk- top sharing functionalities. The company uses a software-as-a-service (SaaS) model, allowing consumers to purchase a license to host an event of varying size. Teleconference members can participate from any platform (PC or Mac) using a Web browser without having to download any proprietary viewer or needing any special hardware. Attendees only need a regular broadband Internet connection to receive the service. VuRoom can be used for both small videoconferences and big corporate Web-based training sessions. The compa- ny’s flagship service, VuCast, enables meeting organizers to create, publish, and manage large-scale, high-quality video events that can accommodate more than 10,000 participants.
What are the advantages of using videoconferencing? What are the disad- vantages of using videoconferencing? Would you participate in a telecon- ference with 10,000 users? Why or why not? What types of events does ViVu best serve? 18
ViVu Videoconferencing
APPLY YOUR KNOWLEDGE
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technology for establishing an encrypted link between a Web server and a browser, ensuring that all data passed between them remain private. Millions of websites use SSL to protect their online transactions with their customers.
To create an SSL connection, a Web server requires an SSL Certificate, an electronic document that confirms the identity of a website or server and verifies that a public key belongs to a trustworthy individual or company. (Public key is described in Chapter 4.) Typically, an SSL Certificate will contain a domain name, the company name and address, and the expiration date of the certificate and other details. Verisign is the leading Internet Certification Authority that issues SSL Certificates. When a browser connects to a secure site, it retrieves the site’s SSL Certificate, makes sure it has not expired, and confirms a Certification Authority has issued it. If the certificate fails on any one of these validation measures, the browser will display a warning to the end user that the site is not secure. If a website is using SSL, a lock icon appears in the lower right-hand corner of the user’s Web browser.
Secure hypertext transfer protocol (SHTTP or HTTPS) is a combination of HTTP and SSL to provide encryption and secure identification of an Internet server. HTTPS protects against interception of communications, transferring credit card informa- tion safely and securely with special encryption techniques. When a user enters a Web address using https:// the browser will encrypt the message. However, the server receiv- ing the message must be configured to receive HTTPS messages.
In summary, each company needs to create a network security policy that specifies aspects of data integrity availability and confidentiality or privacy as well as account- ability and authorization. With a variety of security methods, such as SSL and SHTTP, a company can protect its most important asset, its data.
Social, Ethical, and Political Issues
Only a small fraction of the world’s population has access to the Internet, and some peo- ple who have had access in the past have lost it due to changes in their circumstances such as unemployment or poverty. Providing network access to those who want or need it helps to level the playing field and removes the digital divide, a worldwide gap giving advantage to those with access to technology. Some organizations are trying to bridge the divide such as the Boston Digital Bridge Foundation, which concentrates on local schoolchildren and their parents, helping to make them knowledgeable about comput- ers, programs, and the Internet. Other organizations provide inexpensive laptops and Internet access in low-income areas in developing countries. 19
Another social issue with networking occurs with newsgroups or blogs where like- minded people can exchange messages. If the topics are technical in nature or sports related such as cycling, few issues arise. Problems can begin when social media feature topics people can be sensitive about, such as politics, religion, or sex, or when someone posts an offensive message to someone else. Different countries have different and even conflicting laws about Internet use, but because the Internet knows no physical bound- aries, communication is hard to regulate, even if anyone could. Some people believe net- work operators should be responsible for the content they carry, just as newspapers and magazines are. Operators, however, feel that like the post office or phone companies, they cannot be expected to police what users say. If they censored messages, how would they avoid violating users’ rights to free speech?
Many employers read and censor employee emails and limit employee access to dis- tracting entertainment such as YouTube and social networks such as Facebook. Spend- ing company time “playing” is not a good use of resources, they believe.
Social issues can even affect the government and its use of networks to snoop on citi- zens. The FBI has installed a system at many ISPs to scan all incoming and outgoing email for nuggets of interest. The system was originally called Carnivore but bad public- ity caused it to be renamed DCS1000. While the name is much more generic, its goal is the same—locate information on illegal activities by spying on millions of people. A common conception associated with networking technologies is “Big Brother is watch- ing!” People are wary of how much information is available on the Internet and how eas- ily it can fall into the wrong hands. 20
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section 7.2 M O B I L I T Y: T H E B U S I N E S S VA L U E O F A W I R E L E S S WO R L D
L E A R N I N G O U T C O M E S
7.4 Explain the different wireless network categories.
7.5 Explain the different wireless network business applications.
7.6 Identify the benefits of business mobility.
7.7 Identify the challenges of business mobility.
WIRELESS NETWORK CATEGORIES
As far back as 1896, Italian inventor Guglielmo Marconi demonstrated a wireless tele- graph, and in 1927, the first radiotelephone system began operating between the United States and Great Britain. Automobile-based mobile telephones were offered in 1947. In 1964, the first communications satellite, Telstar, was launched, and soon after, satellite- relayed telephone service and television broadcasts became available. Wireless networks have exploded since then, and newer technologies are now maturing that allow compa- nies and home users alike to take advantage of both wired and wireless networks. 21
Before delving into a discussion of wireless networks, we should distinguish between mobile and wireless, terms that are often use synonymously but actually have differ- ent meanings. Mobile means the technology can travel with the user, for instance, users can download software, email messages, and Web pages onto a laptop or other mobile device for portable reading or reference. Information collected while on the road can be synchronized with a PC or company server. Wireless, on the other hand, refers to any type of operation accomplished without the use of a hard-wired connection. There are many environments in which the network devices are wireless but not mobile, such as wireless home or office networks with stationary PCs and printers. Some forms of mobil- ity do not require a wireless connection; for instance, a worker can use a wired laptop at home, shut down the laptop, drive to work, and attach the laptop to the company’s wired network.
In many networked environments today, users are both wireless and mobile; for example, a mobile user commuting to work on a train can maintain a VoIP call and multiple TCP/IP connections at the same time. Figure 7.13 categorizes wireless net- works by type.
Personal Area Networks
In addition to the three network types described in the previous section (LANs, WANs, and MANs), wireless networking includes personal area networks (PAN) that provide communication over a short distance that is intended for use with devices that are owned
LO 7.4: Explain the different
wireless network categories.
Wireless Wide Area Networks (WWANs)
Wireless Metropolitan Area
Networks (WMANs)
Wireless Local Area Networks (WLANs)
Wireless Networks
Personal Area Networks (PANs)
FIGURE 7.13
Wireless Communication Network Categories
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and operated by a single user. For example, a PAN can provide communication between a wireless headset and a cell phone or between a computer and a wireless mouse or keyboard. Bluetooth is a wireless PAN technology that transmits signals over short distances among cell phones, computers, and other devices. It eliminates the need for wires, docking stations or cradles, and all the special attachments that typically accom- pany personal computing devices. Bluetooth operates at speeds up to 1 Mbps within a range of 33 feet or less. Devices that are Bluetooth-enabled communicate directly with each other in pairs, like a handshake. Up to eight can be paired simultaneously. And Bluetooth is not just for technology devices. An array of Bluetooth-equipped appliances, such as a television set, a stove, and a thermostat, can be controlled from a cell phone— all from a remote location. 22
Wireless LANs
Wireless LANs are everywhere in the workplace, home, educational institutions, cafés, and airports and are one of the most important access network technologies in the Internet today. A wireless LAN (WLAN) is a local area network that uses radio signals to transmit and receive data over distances of a few hundred feet. Most WLANs use an infrastructure in which a wireless device, often a laptop, communicates through an access point or base station by means of, for instance, wireless fidelity. Wireless fidelity (Wi-Fi) is a means by which portable devices can connect wirelessly to a local area network, using access points that send and receive data via radio waves. Wi-Fi has a maximum range of about 1,000 feet in open areas such as a city park and 250 to 400 feet in closed areas such as an office building. Areas around access points where users can connect to the Internet are often called hotspots. By positioning hotspots at strategic locations throughout a building, campus, or city, network administrators can keep Wi-Fi users continuously connected to a network or the Internet, no matter where they roam on the premises. 23
In a Wi-Fi network, the user’s laptop or other Wi-Fi-enabled device has a wireless adapter that translates data into a radio signal and transmits it to the wireless access point. The wireless access point, which consists of a transmitter with an antenna that is often built into the hardware, receives the signal and decodes it. The access point then sends the information to the Internet over a wired broadband connection, as illustrated in Figure 7.14 . When receiving data, the wireless access point takes the information from the Internet, translates it into a radio signal, and sends it to the computer’s wireless adapter. If too many people try to use the Wi-Fi network at one time, they can experience interference or dropped connections. Most laptop computers come with built-in wire- less transmitters and software to enable computers to automatically discover the exis- tence of a Wi-Fi network. 24
Access Point
INTERNET
Wireless Network
Broadband Modem
FIGURE 7.14
Wi-Fi Network
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Wi-Fi operates at considerably higher frequencies than cell phones use, which allows greater bandwidth. The bandwidths associated with Wi-Fi are separated according to several wireless networking standards, known as 802.11, for carrying out wireless local area network communication. Figure 7.15 outlines the bandwidths associated with a few of these standards. 26
An increasing number of digital devices, including most laptops, netbooks, tablets such as the iPad, and even some printers are incorporating Wi-Fi technology into their design. Cell phones are incorporating Wi-Fi so they can automatically switch from the cell network to a faster Wi-Fi network where available for data communications. Black- Berrys and iPhones can connect to an access point for data communications such as email and Web browsing, but not for voice unless they use the services of Skype or another VoIP.
Wireless MANs
A wireless MAN (WMAN) is a metropolitan area network that uses radio signals to transmit and receive data. WMAN technologies have not been highly successful to date, mainly because they are not widely available, at least in the United States. One with the potential for success is Worldwide Interoperability for Microwave Access (WiMAX), a communications technology aimed at providing high-speed wireless data over metro- politan area networks. In many respects, WiMAX operates like Wi-Fi, only over greater distances and with higher bandwidths. A WiMAX tower serves as an access point and can connect to the Internet or another tower. A single tower can provide up to 3,000 square miles of coverage, so only a few are needed to cover an entire city. WiMAX can support data communications at a rate of 70 Mbps. In New York City, for example, one or two WiMAX access points around the city might meet the heavy demand more cheaply
Wi-Fi Standard Bandwidth
802.11a 54 Mbps
802.11b 11 Mbps
802.11g 54 Mbps
802.11n 140 Mbps
FIGURE 7.15
Wi-Fi Standards and Bandwidths
BUSINESS DRIVEN MIS
Who would have thought that a car could be hacked? But that is exactly what happened in Austin, Texas. About a hundred cars were broken into, not by the usual method of either picking the lock or smashing a window but instead via a Wi-Fi connection. A local dealership, where all the cars were purchased, had installed a Wi-Fi-enabled black box under the dashboard that could disable the car and set off the horn if the owner did not make payments. However, in this case, the owners were not in arrears, but the victims of a recently laid-off employee at the dealership who was seeking revenge by going into the Web- based system to disable the cars one by one. After someone at the dealership figured out the cars had been hacked, the password that allowed authorization to the black boxes was quickly changed.
Is the black box a good idea? Do you consider this an ethical business prac- tice? If you had bought a car with a black box, would you have it removed? How many customers do you think will consider buying another car from that dealership? 25
Cars Hacked
APPLY YOUR KNOWLEDGE
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than hundreds of Wi-Fi access points. WiMAX can also cover remote or rural areas where cabling is limited or nonexistent, and where it is too expensive or physically difficult to install wires for the relatively few users. 27
WiMAX can provide both line-of-sight and non-line-of-sight service. A non-line-of- sight service uses a small antenna on a mobile device that connects to a WiMAX tower less than six miles away where transmissions are disrupted by physical obstructions. This form of service is similar to Wi-Fi but has much broader coverage area and higher bandwidths. A line-of-sight option offers a fixed antenna that points at the WiMAX tower from a rooftop or pole. This option is much faster than non-line-of-sight service, and the distance between the WiMAX tower and antenna can be as great as 30 miles. Figure 7.16 illustrates the WiMAX infrastructure. 28
Some cellular companies are evaluating WiMAX as a means of increasing bandwidth for a variety of data-intensive applications such as those used by smart phones. Sprint Nextel and Clearwire are building a nationwide WiMAX network in the United States. WiMAX-capable gaming devices, laptops, cameras, and even cell phones are being man- ufactured by companies including Intel, Motorola, Nokia, and Samsung. 29
Wireless WAN—Cellular Communication System
A wireless WAN (WWAN) is a wide area network that uses radio signals to transmit and receive data. WWAN technologies can be divided into two categories: cellular communi- cation systems and satellite communication systems. FIGURE 7.16
WiMAX Infrastructure
Line-of-Sight Transmission
ISP WiMAX Tower
Non-Line-of-Sight Transmission
INTERNET
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Although mobile communications have been around for generations, including the walkie-talkies of the 1940s and mobile radiophones of the 1950s, it was not until 1983 that cellular telephony became available commercially. A cell phone is a device for voice and data, communicating wirelessly through a collection of stationary ground- based sites called base stations, each of which is linked to its nearest neighbor stations. Base station coverage areas are about 10 square miles and are called cells, as Figure 7.17 illustrates. 30
The first cell phone was demonstrated in 1973 by Motorola (it weighed almost 2 pounds), but it took 10 years for the technology to become commercially available. The Motorola DynaTAC, marketed in 1983, weighed one pound and cost about $4,000. Cellular technology has come a long way since then. 31
Cellular systems were originally designed to provide voice services to mobile cus- tomers and thus were designed to interconnect cells to the public telephone network. Increasingly, they provide data services and Internet connectivity. There are more cell phones than landline phones in many countries today, and it is no longer uncommon for cell phones to be the only phones people have.
Cell phones have morphed into smart phones that offer more advanced computing ability and connectivity than basic cell phones. They allow for Web browsing, emailing, listening to music, watching video, computing, keeping track of contacts, sending text messages, and taking and sending photos. The Apple iPhone and RIM BlackBerry are examples of smart phones.
Cell phones and smart phones, or mobile phones as they are collectively called, need a provider to offer services, much as computer users need an ISP to connect to the Internet. The most popular mobile phone providers in the United States are AT&T, Sprint, T-Mobile, and Verizon. They offer different cell phones, features, coverage areas, and services. One of the newer services is third-generation, or 3G, services that bring wireless broadband to mobile phones. Figure 7.18 lists the cell phone genera- tions. The 3G networks let users surf Web pages, enjoy streaming music, watch video- on-demand programming, download and play 3D games, and participate in social media and teleconferencing. Streaming is a method of sending audio and video files over the Internet in such a way that the user can view the file while it is being trans- ferred. Streaming is not limited to cellular usage; all wireless and even wired networks can take advantage of this method. The most obvious advantage is speed, a direct benefit for mobile and wireless devices since they are still not as fast as their wired counterparts. 32
Each cell is typically sized at about 10 square miles
Each cell has a base station that
consists of an antennae or tower
to relay signals
Cell
FIGURE 7.17
Cell Phone Communication System Overview
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Wireless WAN—Satellite Communication System
The other wireless WAN technology is a satellite communication system. A satellite is a space station that orbits the Earth receiving and transmitting signals from Earth-based stations over a wide area. When satellite systems first came into consideration in the 1990s, the goal was to provide wireless voice and data coverage for the entire planet, without the need for mobile phones to roam between many different provider networks. But by the time satellite networks were ready for commercial use, they had already been overtaken by cellular systems.
BUSINESS DRIVEN GLOBALIZATION
The mobile phone is helping to fight poverty and increase world economic development. It can dramatically improve living standards for people living on a few dollars a day by helping them find work, providing information about crop prices, or calling for medical help. By using mobile phones to find the best local marketplace prices for sardines, a group of poor fishermen in Kerala, India, increased their profits by an average of 8 percent. The fishermen were able to call ahead to a port in order to identify a buyer. In Muruguru, Kenya, Grace Wachira runs a small knitting company. Before using a mobile phone, she would walk hours to the nearest town to buy her supplies or meet custom- ers. Using her mobile phone, she can now call for her supplies to be delivered and to communicate with her customers.
What type of mobile phones are these people buying? What other uses can a mobile phone provide for people living in poor, rural regions? How can people in rural areas turn owning a mobile phone into a small-scale business? 33
Fighting Poverty with Mobile
Phones
APPLY YOUR KNOWLEDGE
FIGURE 7.18
Cell Phone Generations
The original analog cell phone network.
Digital cell phone service.
Broadband Internet services over cellular network.
Very high-speed access, anywhere, anytime, to anything digital—audio, video, text.
Speed 5 9.6 Kbps
Speed 5 10 Kbps2144 Kbps
Speed 5 144 Kbps211 Mbps
Speed 5 22300 Mbps
1G
2G – 2.5G
3G – 3.5G
4G
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The devices used for satellite communication range from handheld units to mobile base stations to fixed satellite dish receivers. The peak data transmission speeds range from 2.4 Kbps to 2 Mbps. For the everyday mobile professional, satellite communication may not provide a compelling benefit, but for people requiring voice and data access from remote locations or guaranteed coverage in nonremote locations, satellite technol- ogy is a viable solution.
Conventional communication satellites move in stationary orbits approximately 22,000 miles above Earth. A newer satellite medium, the low-orbit satellite, travels much closer to Earth and is able to pick up signals from weak transmitters. Low-orbit satel- lites also consume less power and cost less to launch than conventional satellites. With satellite networks, businesspeople almost anywhere in the world have access to full communication capabilities, including voice, videoconferencing, and Internet access. Figure 7.19 briefly illustrates the satellite communication system. 34
BUSINESS APPLICATIONS OF WIRELESS NETWORKS
Companies of all types and sizes have relied on wireless technology for years. Shipping and trucking companies developed some of the earliest wireless applications to help track vehicles and valuable cargo, optimize the logistics of their global operations, per- fect their delivery capabilities, and reduce theft and damage. Government agencies such as the National Aeronautics and Space Administration and the Department of Defense have relied on satellite technologies for decades to track the movement of troops, weap- onry, and military assets; to receive and broadcast data; and to communicate over great distances.
Wireless technologies have also aided the creation of new applications. Some build upon and improve existing capabilities. UPS, for example, is combining several types of wireless network technologies from Bluetooth to WWANs and deploying scanners and wearable data-collection terminals to automate and standardize package management and tracking across all its delivery centers. Areas experiencing tremendous growth using wireless technologies include:
■ Radio-frequency identification (RFID).
■ Global positioning system.
■ Geographic information system.
■ Location-based services.
Radio-Frequency Identification (RFID)
Radio-frequency identification (RFID) uses electronic tags and labels to identify objects wirelessly over short distances. It holds the promise of replacing existing identification technologies such as the bar code. RFID wirelessly exchanges information between a tagged object and a reader/writer. A RFID system is comprised of one or more tags, one
LO 7.5: Explain the different wire-
less network business applications.
FIGURE 7.19
Satellite Communication System
22,000 miles above Earth
Fixed Locations Portable Communications Vehicles
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or more readers, two or more antennas (one on the tag and one on each reader), RFID application software, and a computer system or server, as Figure 7.20 illustrates. Tags, often smaller than a grain of rice, can be applied to books or clothing items as part of an adhesive bar-code label, or included in items such as ID cards or packing labels. Read- ers can be stand-alone devices, such as for self-checkout in a grocery store, integrated with a mobile device for portable use, or built-in as in printers. The reader sends a wire- less request that is received by all tags in the area that have been programmed to listen to wireless signals. Tags receive the signal via their antennas and respond by transmit- ting their stored data. The tag can hold many types of data, including a product number, installation instructions, and history of activity (such as the date the item was shipped). The reader receives a signal from the tag using its antenna, interprets the information sent, and transfers the data to the associated computer system or server. Examples of the innovative uses of RFID include:
■ RFID chips injected under the skin of animals using a syringe can help ranchers meet regulations, track wild animals for ecological studies, and return lost pets to their owners.
■ Retail stores use RFID to track and monitor inventory. Hospitals and pharmaceutical companies meet government regulations and standards with RFID. Even local librar- ies are using RFID to control theft and speed up the checkout process.
■ Car manufacturers install RFID antitheft systems. Toll roads use RFID to collect pay- ments from passing cars, such as E-Pass and SunPass.
■ Hospitals track patients’, doctors’, and nurses’ locations to facilitate emergency situations and ensure safety. RFID also tracks equipment location to ensure quick response times during an emergency.
■ American Express and MasterCard use RFID for automatic payments.
■ Walmart and other large retailers use RFID to maintain inventory, stop shoplifting, and speed-up customer checkout processes. 35
Global Positioning System (GPS)
A global positioning system (GPS) is a satellite-based navigation system providing extremely accurate position, time, and speed information. The U.S. Department of Defense developed the technology in the early 1970s and later made it available to the public. GPS uses 24 global satellites that orbit Earth, sending signals to a receiver that can communicate with three or four satellites at a time. A GPS receiver can be a separate unit connected to a mobile device using cable or wireless technology such as Bluetooth, or it can be included in devices such as mobile phones or vehicle naviga- tion systems.
The satellites broadcast signals constantly, while the receiver measures the time it takes for the signals to reach it. This measurement, which uses the speed of the signal to determine the distance, is taken from three distinct satellites to provide precise location
FIGURE 7.20
RFID Components
Tagged Products
RFID Reader/ Writer
Computer System or
Server
Network
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information. The time measurements depend on high-powered clocks on each satellite and must be precise, because an error of one-thousandth of a second can result in a location variation of more than 200 miles. GPS can produce very accurate results, typi- cally within 5 to 50 feet of the actual location (military versions have higher accuracy). GPS also provides latitude, longitude, and elevation information. 36
GPS applications are in every kind of company vehicle these days—from police cars to bulldozers, from dump trucks to mayoral limousines. Emergency response systems use GPS to track each of their vehicles and so dispatch those closest to the scene of an accident. If a vehicle is missing, its GPS locator can help locate it.
Geographic Information Systems (GIS)
GPS provides the foundation for geographic information systems. A geographic information system (GIS) consists of hardware, software, and data that provide loca- tion information for display on a multidimensional map. This information includes building locations, street layouts, and population densities. Companies that deal in transportation combine GISs with database and GPS technology. Airlines and ship- ping companies can plot routes with up-to-the-second information about the location of all their transport vehicles. Hospitals can locate their medical staff with GIS and sensors that pick up transmissions from ID badges. Automobiles have GPSs linked to GIS maps that display the car’s location and driving directions on a dashboard screen. GM offers the OnStar system, which sends a continuous stream of information to the OnStar center about the car’s exact location.
Some mobile phone providers combine GPS and GIS capabilities so they can locate users within a geographical area about the size of a tennis court to assist emergency ser- vices such as 911. Farmers can use GIS to map and analyze fields, telling them where to apply the proper amounts of seed, fertilizer, and herbicides.
A GIS can find the closest gas station or bank or determine the best way to get to a par- ticular location. But it is also good at finding patterns, such as finding the most feasible location to hold a conference according to where the majority of a company’s customers live and work. GIS can present this information in a visually effective way.
Some common GIS uses include:
■ Finding what is nearby. Given a specific location, the GIS finds sources within a defined radius. These might be entertainment venues, medical facilities, restaurants, or gas stations. Users can also use GIS to locate vendors that sell a specific item they want and get the results as a map of the surrounding area or an address.
■ Routing information. Once users have an idea where they want to go, GIS can pro- vide directions to get there using either a map or step-by-step instructions. Routing information can be especially helpful when combined with search services.
■ Sending information alerts. Users may want to be notified when information rele- vant to them becomes available near their location. A commuter might want to know that a section of the highway has traffic congestion, or a shopper might want to be notified when a favorite store is having a sale on a certain item.
■ Mapping densities. GIS can map population and event densities based on a stan- dard area unit, such as square miles, making it easy to see distributions and concen- trations. Police can map crime incidents to determine where additional patrolling is required, and stores can map customer orders to identify ideal delivery routes.
■ Mapping quantities. Users can map quantities to find out where the most or least of a feature may be. For example, someone interested in opening a specialty coffee shop can determine how many others are already in the area, and city planners can determine where to build more parks. 37
A GIS can provide information and insight to both mobile users and people at fixed locations. Google Earth combines satellite imagery, geographic data, and Google’s search capabilities to create a virtual globe that users can download to a computer or mobile device. Not only does this provide useful business benefits, but it also allows for many educational opportunities. Instead of just talking about the Grand Canyon, an instructor can use Google Earth to view that region.
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Location-Based Services (LBS)
GPS and GIS both utilize location-based services (LBS), applications that use location information to provide a service. LBS is designed to give mobile users instant access to personalized local content and range from 911 applications to buddy finders (“Let me know when my friend is within 1,000 feet”) to games (treasure hunts) to location-based advertising (“Visit the Starbucks on the corner and get $1.00 off a latte”). Many LBS applications complement GPS and GIS, such as:
■ Emergency services
■ Field service management
■ Find-it services
■ Mapping
■ Navigation
■ Tracking assets
■ Traffic information
■ Vehicle location
■ Weather information
■ Wireless advertising 38
Just as Facebook and Twitter helped fuel the Web 2.0 revolution, applications such as Foursquare, Gowalla, and Loopt are bringing attention to LBS. Each applica- tion is a mobile phone service that helps social media users find their friends’ location. Facebook and Twitter have added location-based services to complement their applications.
BENEFITS OF BUSINESS MOBILITY
Mobile and wireless development has come a long way. Consider Dr Pepper/ Seven-Up Inc., of Plano, Texas, which monitors the operation of its antenna-equipped vending machines via wireless technology. The company collects inventory, sales, and “machine-health” data and polls the machines daily; managers and salespeople can access the stored information via its intranet. Dr Pepper/Seven-Up Inc. understands the business value of the data, both for daily operations and for data-mining purposes. The information collected is helpful for deciding where to place new vending machines, such as in front of a Target store or a high-traffic supermarket. Figure 7.21 lists many of the advantages of wireless networks. 39
Enhances Mobility
Enhancing mobility is one of the greatest advantages provided by wireless networks. It allows activities that were formerly tied to physical locations to be performed almost anywhere. Companies can bring employees, information, and computing resources to a job location instead of forcing the job to be located at the company’s site. Consider how mobile phones alone have changed the way most companies oper- ate. Executives and sales professionals can conduct business wherever they are, elim- inating downtime during travel and speeding their response to customers. Mobility means more face-to-face contact with customers and business partners. Even people with internal jobs, such as custodians, floor salespeople, production supervisors, and emergency room doctors, keep moving throughout the day. Instead of returning periodically to their offices or other fixed location for information access or doing without, they can rely on wireless technology to bring that access to them, where and when they need it.
Mobility gives a company the power to place the right resources in the right place at the right time. It allows for the redistribution of operations to gain efficiencies or react to changing conditions. For example, a mobile checkout stand allows additional checkouts to be set up during holiday rushes and store sales events.
LO 7.6: Identify the benefits of
business mobility.
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Provides Immediate Data Access
Mobility allows activities to be performed where needed; however, providing immediate data access offers the value. Wireless networks can support a wide variety of immediate data access options, from collecting usage data using Wi-Fi or RFID technologies when driving past a water meter to having full Internet access on a laptop or other mobile device. A mobile worker can submit a status report or credit card scan or be notified about a new assignment. When up-to-the-second data are required, such as for stock transactions and credit card authorizations, wireless technology is the only mobile option. Employees can “pull” data by linking to the source and requesting the desired information, or “push” it by sending an alert to a user’s device or automatically refresh- ing data.
Whether through voice, email, or text messaging, the quality and frequency of infor- mation exchange increases with wireless access. An emergency room doctor can be noti- fied of lab test results immediately upon completion. A service worker and appropriate information can be rerouted to a higher-priority assignment. A salesperson can submit updates right after a sales call.
Instant access to customer profiles, account history, and current order status sig- nificantly improves the quality of interactions with customers, suppliers, and business partners. A salesperson can check inventories, generate quotes, take orders, and resolve problems all at the customer’s site. Field workers can identify problems with online manuals and diagnostic tools. Decision making is always improved by access to accurate and current information.
Enhances Mobility
Provides Alternative to
Wiring
Provides Mobile
Business Opportunities
Provides Immediate
Data Access
Increases Location and Monitoring Capability
Improves Workflow
Advantages of
Using Wireless
Networks
FIGURE 7.21
Advantages of Wireless Networks
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Increases Location and Monitoring Capability
The ability to locate and monitor assets reduces losses from theft and damage, gathers information from remote or difficult-to-reach locations, enhances safety, and makes pos- sible a new wave of personalized services. RFID tags permit the tracking of assets from cat- tle to container shipments. LBS devices send storm data from buoys far at sea. LBS in cars provide driving directions and enable rescuers to locate the vehicle in case of an accident.
Through a combination of LBS devices and applications, companies can trace ship- ments from point of origin to final destination. More advanced applications can monitor their condition (e.g., ensuring that refrigeration equipment is operating) and notify users of tampering or attempted theft. Wireless applications can collect billing data, monitor operating conditions, gather scientific measurements, and relay requests for service from locations that are too dangerous, difficult, or costly to access by other means. Oil com- panies use wireless technology to monitor offshore oil rig equipment. We have seen that other wireless applications can tailor information to the needs of the user, such as listing resources near a given location or offering local traffic reports and driving directions.
Improves Work Flow
Many work flows and job responsibilities are constrained by paper or wired processes. Wireless technology offers the opportunity to redesign and simplify those processes to be faster, cheaper, and more responsive, and to eliminate redundant activities, integrate activities and services, and redistribute tasks. For example, when mobile workers cap- ture data on paper forms and clerical workers enter it into computer systems, the pro- cess is costly, time-consuming, and error-prone. Using a wireless device for the original data capture eliminates the need to reenter the data, increases data accuracy, and pro- vides immediate access to results. Rental car staff members now use wireless devices to quickly and easily check and enter mileage, fuel levels, and damage for returning cars. Drivers receive faster service and staff can focus on providing value-added services.
Provides Mobile Business Opportunities
Unlike ebusiness, which normally requires desktop or laptop computers to connect to the Internet, mbusiness offers the advantages of making a purchase via the Internet an anywhere, anytime experience. It provides consumers with the ability to obtain informa- tion and order goods and services quickly and easily using a mobile device. The growing popularity of iPhones along with iPhone apps have helped fuel the growth of mbusiness.
A few mbusiness offerings include:
■ Digital purchases. The most suitable purchase for a mobile user is for products that can be downloaded and used immediately such as music and (electronic) books.
■ Location-based services. The ability for merchants to capture and react to a user’s current location and requirements can be a powerful tool for selling products and services.
■ Mobile banking and payments. Using a mobile device can provide access to personal bank accounts to view account history and execute transactions. In addition, a mobile device can be used for making payments, essentially acting as digital cash. For exam- ple, someone can order and pay for a Starbucks latte using a mobile device and app.
■ Mobile shopping. Most forms of shopping may be impractical using mobile devices; however, some forms of purchases lend themselves to mbusiness. For example, hav- ing the ability to purchase movie tickets for a show playing the same evening can be quite valuable. Mobile devices can also be used for comparison shopping. Before making a purchase, a shopper in a retail store may want to first see what the current price of a product is from another vendor to ensure he is getting a good price. 40
Provides Alternative to Wiring
Wireless networks provide an attractive alternative where physical constraints or conve- nience make wired solutions costly or impractical. Many office buildings already have a maze of wires in their ceilings, floors, and walls representing many generations of
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network technologies. Tracing existing wires or adding new lines becomes increasingly cumbersome and difficult. In other cases, building design or aesthetic considerations make wired networks unattractive. In manufacturing facilities or production lines with moving equipment or complex setups, wireless connections are simpler to implement and safer for workers. The higher per unit cost of a wireless solution may be more than offset by its advantages over physical lines.
WLANs allow MIS employees to relocate equipment at will, attractive for trade shows, temporary offices, and seasonal selling areas. In conference rooms, WLANs enable attendees to bring laptops or other Wi-Fi-enabled devices for Internet access.
Finally, wireless technology allows voice and data connections with ships at sea, pas- sengers in airliners, and travelers in remote locations. In developing countries, it is a means to bypass the effort and expense of installing and maintaining telephone lines across inhospitable terrain.
CHALLENGES OF BUSINESS MOBILITY
The mobile employee has become the norm rather than the exception, driven by lifestyle choices, productivity gains, and technology improvements. Although the advantages of using wireless networks are significant, added challenges exist such as protecting against theft, protecting wireless connections, preventing viruses on mobile devices, and addressing privacy concerns with RFID and LBS (see Figure 7.22 ).
Protecting Against Theft
Any mobile device is vulnerable to loss no matter how big or small it is. The company may face significant exposure from stolen IDs, passwords, encryption keys, and confi- dential information if the device falls into the wrong hands, especially if the theft is not discovered or reported immediately and the company does not have time to revoke access.
LO 7.7: Identify the challenges of
business mobility.
BUSINESS DRIVEN INNOVATION
Many National Football League teams use wireless devices for communicating between players and coaches, and now new devices can be used to communi- cate just how hard players are being hit in the head. The Chicago Bears, Dallas Cowboys, and Jacksonville Jaguars tucked Wi-Fi sensors into helmets that send data to the sidelines every time a player is hit or tackled. The sensors have been programmed to detect hard hits, triggering a warning to pull the player for fur- ther assessment.
The sensors look like marshmallows that are stuffed between the helmet’s padding and the outside shell. Each sensor can measure the acceleration of a player’s head during a hit, determine the direction, duration, location on the head, magnitude, and time of impact. Once a player’s helmet is hit, the sensors immediately transmit the data to staff on the sideline using mobile devices to receive the information. If the data sent determine that the hit exceeds a cer- tain threshold, a mobile device lights up, alerting staff that a player’s condition needs to be assessed. The NFL’s new injury-related rules state that if a player exhibits any signs of a concussion, he must leave the field for the day.
How else can wireless devices be used to prevent injury? Should all football teams, including professional, academic, and recreational, use wireless sensors in helmets? Why or why not? Should other sports such as hockey and cycling start using this technology? Why or why not? 41
Crash Pad
APPLY YOUR KNOWLEDGE
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Power-on passwords—passwords implemented at the hardware level that must be entered before gaining access to the computer—are the first line of defense against unauthorized use. Companies should activate these passwords before giving their workforce the devices. They should also prohibit storing passwords on devices and periodically monitor compliance with the policy. Companies need to consider encrypt- ing and password-protecting data stored on the device, including any flash drives or other mobile storage devices. In addition, some device management tools can send messages to a device to lock it or destroy its contents, which can be an attractive security feature.
Protecting Wireless Connections
Network intrusions can occur if access codes or passwords are stored on a device that is lost or stolen. However, any time a wireless network connects to a wired one, the wireless network can serve as a conduit for a hacker to gain entry into an otherwise secure wired network. This risk is especially high if the wireless network is not sufficiently secured in its own right.
Before the emergence of the Internet, hackers generally had to be physically present within the corporate complex to gain access to a wired network. The thousands, if not millions, of access points enabled by the Internet now allow hackers to work from a dis- tance. This threat has spawned a variety of different security techniques from firewalls to VPNs to SSL and HTTPS.
Several techniques can secure wireless networks from unauthorized access whether used separately or in combination. One method is authenticating Wi-Fi access points. Because Wi-Fi communications are broadcast, anyone within listening distance can intercept communications. Every time someone uses an unsecured website via a public Wi-Fi access point, his or her log-on name and password are sent over the open airwaves, with a high risk that someone might “eavesdrop” or capture log-on names, passwords, credit card numbers, and other vital information. WLANs that use Wi-Fi have a built-in security mechanism called Wi-Fi Protected Access (WPA), a wireless security protocol to protect Wi-Fi networks. It is an improvement on the original Wi-Fi security standard, Wired Equivalent Privacy (WEP), and provides more sophisticated data encryption and user authentication. Anyone who wants to use an access point must know the WPA encryption key to access the Wi-Fi connection.
Preventing Viruses on a Mobile Device
The potential for contracting viruses on mobile devices is becoming a reality. The need for virus protection at the device level is critical. Any device that can access the
FIGURE 7.22
Challenges of Using Wireless Networks
Challenges of Wireless Networks
Protecting
Against Theft
Example: Mobile devices are more vulnerable to theft due to their small
size.
Protecting
Wireless
Connections
Example: Wi-Fi connections need to
enforce data encryption.
Preventing
Viruses on
Mobile Devices
Example: Mobile devices are not
immune to viruses and need to be
protected.
Addressing
Privacy Concerns
with RFID and
LBS
Example: Both RFID and LBS have the
ability to share where someone is, which can cause privacy
concerns.
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Internet or receive email is at risk of catching a virus and passing it on to other devices. Because of the memory limitations of most mobile devices, antivirus software has typi- cally been hosted on a PC or laptop, with the mobile device physically connecting to a PC or laptop to perform virus scanning. The first known mobile phone virus, named Cabir, appeared several years ago and infected only a small number of Bluetooth- enabled phones that carried out no malicious action; the virus was created by a group of malware developers to prove it could be done. The developers sent Cabir to anti- virus researchers, so they could begin to develop a solution to a problem that prom- ises to get a lot worse. At present, mobile phone viruses do not do much damage, but if protective measures are not taken, they could be as devastating as their computer counterparts. 43
The best way to protect against mobile phone viruses is the same way users pro- tect themselves from computer viruses—never open anything that seems suspicious. Another method is to turn Bluetooth discoverable mode off. By setting the Bluetooth option to “hidden,” other devices cannot detect it and send it the virus. In addition, install some type of security software on the mobile device. Many of the mobile phone manufacturers, such as Nokia and Samsung, have developed security software for their mobile phones that detect and remove a virus as well as protect it from getting certain viruses in the first place.
Addressing Privacy Concerns with RFID and LBS
As technology advances, the potential for privacy infringement does as well. RFID already has the capability to determine the distance of a tag from the reader location. It is not difficult to imagine that retailers could determine the location of individuals within the store and target specific advertisements to them based upon past purchases and shopping and behavior patterns. Many consumers would consider gathering such information intrusive enough, but the possibility that it could be sold to other retailers might lead consumers to refuse to give retailers any information.
Several steps are being taken to address these privacy concerns. For example, one proposal would require all RFID-tagged products to be clearly labeled. This would act as an alert mechanism to which items are being tracked. Another measure being con- sidered is “Kill Codes,” which would turn off all RFID tags when someone comes into contact with them. Another measure is “RSA Blocker Tags,” which try to address privacy
BUSINESS DRIVEN ETHICS AND SECURITY
Jane Goodall loved Tarzan and Dr. Dolittle when she was a young girl and dreamed of living in Africa among the wild chimpanzees. The Jane Goodall Institute continues Dr. Goodall’s pioneering chimpanzee research that funda- mentally changed the way many humans view these wild animals. Using Google Earth, you can now zoom right into the Gombe National Park in Tanzania to watch for yourself the amazing interaction among chimpanzees. New inno- vative blogs such as Google Earth’s geoblog allows users to simply click on an entry, which causes the globe image to spin toward eastern Africa and then slowly zooms in on the park, allowing users to view satellite images of the ani- mals. The Jane Goodall Institute was the first to create such a Google geoblog.
Now just imagine what you could do with Google Earth if you added GPS. What other types of research could be accomplished using GPS? How could other nonprofits use geoblogs and GPS to help their cause? How could a busi- ness user Google Earth and GPS to create a competitive advantage? Are there any ethical or security concerns with this type of geoblog? 42
Geoblogging for Chimpanzees
APPLY YOUR KNOWLEDGE
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concerns while maintaining the integrity of the product. Only that store’s authorized reader can track items with these tags; customers cannot be tracked outside the store in which they made a purchase. 44
LBS can track and monitor objects much like RFID. Tracking vulnerable individuals and company assets is beneficial. But the dark side of LBS risks the invasion of privacy and security caused by indiscreet location tracking. For example, if a company is using LBS to know where each employee is on duty, it must not observe their positions when they are off duty. Advertising at random to users in a specific area may violate privacy if mobile users in the area do not want to receive these advertisements. Criminals might also take advantage of illegal location tracking. And because LBS are based on message exchange in a wireless network, there are always security risks because location informa- tion could be stolen, lost, or modified.
Security mechanisms must eliminate or minimize the potential for attacks against LBS entities and reduce exposure of the user’s identity and location. One way to solve the location privacy problem is to provide strong privacy practices that counterbalance the invisible nature of location collection in the wireless world. LBS policies should specify that:
■ Direct marketing purposes are permitted only with the business or service a user has a contract with.
■ Electronic messages cannot hide the identity of the sender.
■ Solicitation is allowed only if the user has given prior consent.
■ The location service must tell the user about the type, duration, and purpose of the data they are collecting.
■ The user must be given the opportunity to reject any direct marketing opportunities. 45
For mobile service providers, an unwelcome push can lead to increased customer care cost. When a user has issues with her PC, she tries to fix it herself. However, when a user’s mobile phone is not working, she usually contacts the service provider. As a result, subscribers receiving unsolicited messages through LBS would contact their mobile ser- vice providers with complaints.
With the power of a network, business professionals can share data and resources around the globe. With the power of a wireless network, business professionals can take advantage of mobility allowing them to work from anywhere, at any time, using many different devices.
Watching people work in airports, restaurants, stores, trains, planes, and automo- biles is common, and soon even remote villages in Africa, South America, and Asia will have access to the Internet along with all the power that comes with wireless networking.
L E A R N I N G O U T C O M E R E V I E W
Learning Outcome 7.1: Explain the five different networking elements creating
a connected world.
■ Network categories: Networks are categorized based on geographic span: local area networks, wide area net-
works, and metropolitan area networks.
■ Network providers: At the top of the hierarchy are national service providers (NSPs), private companies that
own and maintain the worldwide backbone that supports the Internet. Regional service providers (RSPs) offer Internet service by connecting to NSPs, but they also can connect
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directly to each other. Another level down are the Internet service providers (ISPs); recall from Chapter 3 that an ISP provides access to the Internet for a monthly fee.
■ Network access technologies: A modem is a device that enables a computer to transmit and receive data. Broadband is
a high-speed Internet connection that is always connected. Digital subscriber line (DSL) allows high-speed digital data transmission over standard telephone lines. Internet cable connections provide Internet access using a cable television company’s infrastructure and a special cable modem. A T1 line is a type of data connection able to transmit a digital signal at 1.544 Mpbs.
■ Network protocols: A protocol is a standard that specifies the format of data as well as the rules to be followed
during transmission. Network access technologies use a standard Internet protocol called transmission control protocol/Internet protocol (TCP/IP); it provides the technical founda- tion for the public Internet as well as for large numbers of private networks.
■ Network convergence: Network convergence is the efficient coexistence of telephone, video, and data communi-
cation within a single network, offering convenience and flexibility not possible with sepa- rate infrastructures. Voice over IP (VoIP) uses IP technology to transmit telephone calls. Internet protocol TV (IPTV) distributes digital video content using IP across the Internet and private IP networks.
Learning Outcome 7.2: Identify the benefits of a connected world.
Before networks, transferring data between computers was time-consuming and labor- intensive. People had to physically copy data from machine to machine using a disk. Networks offer many advantages for a business including:
■ Sharing resources ■ Providing opportunities ■ Reducing travel
Learning Outcome 7.3: Identify the challenges of a connected world.
Networks have created a diverse, yet globally connected world. By eliminating time and dis- tance, networks make it possible to communicate in ways not previously imaginable. Even though networks provide many business advantages, they also create increased challenges in (1) security and (2) social, ethical, and political issues.
Learning Outcome 7.4: Explain the different wireless network categories.
There are four types of wireless networks—PAN, WLAN, WMAN, and WWAN. A PAN pro- vides communication over a short distance that is intended for use with devices that are owned and operated by a single user. A WLAN is a local area network that uses radio signals to transmit and receive data over distances of a few hundred feet. A WMAN is a metropolitan area network that uses radio signals to transmit and receive data, and a WWAN is a wide area network that uses radio signals to transmit and receive data.
Learning Outcome 7.5: Explain the different wireless network business applications.
Mobile and wireless business applications and services are using satellite technologies. These technologies are GPS, GIS, and LBS. GPS is a satellite-based navigation system pro- viding extremely accurate position, time, and speed information. GIS is location information that can be shown on a map. LBS are applications that use location information to provide a service used by both GPS and GIS.
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Learning Outcome 7.6: Identify the benefits of business mobility.
A wireless network can enhance mobility, provide immediate data access, increase location and monitoring capabilities, provide mobile commerce opportunities, improve work flow, and provide an alternative to wiring.
Learning Outcome 7.7: Identify the challenges of business mobility.
There are several challenges of wireless networks including protecting against theft, pro- tecting wireless connections, preventing viruses on mobile devices, and addressing privacy concerns with RFID and LBS.
Any mobile device is vulnerable to loss no matter how big or small it is. The company may face significant exposure from stolen IDs, passwords, encryption keys, and confidential infor- mation if the device falls into the wrong hands, especially if the theft is not discovered or reported immediately and the company does not have time to revoke access.
Network intrusions can occur if access codes or passwords are stored on a device that is lost or stolen. However, any time a wireless network connects to a wired one, the wireless network can serve as a conduit for a hacker to gain entry into an otherwise secure wired network.
The potential for contracting viruses on mobile devices is becoming a reality. The need for virus protection at the device level is critical. Any device that can access the Internet or receive email is at risk of catching a virus and passing it on to other devices.
As technology advances, the potential for privacy infringement does as well. RFID already has the capability to determine the distance of a tag from the reader location. LBS can track and monitor objects much like RFID. LBS risks the invasion of privacy and security caused by indiscreet location tracking.
O P E N I N G C A S E Q U E S T I O N S
1. Knowledge: List the ways WTC is using networks to improve its competitive advantage in the professional sports broadcasting industry.
2. Comprehension: Describe the different types of networks WTC is using.
3. Application: Apply the concepts of TCP/IP to how the Ironman World Championships are broadcast from Ironmanlive.com .
4. Analysis: Analyze the various wireless technologies that WTC could use in promoting the Ironman World Championships.
5. Synthesis: Develop a use for LBS that the WTC could benefit from.
6. Evaluate: Assess the security dilemmas that WTC faces in using the various forms of wire- less technology.
K E Y T E R M S
3G, 261 802.11, 259 Bandwidth, 246 Bit, 247 Bit rate/data rate, 247 Bluetooth, 258
Broadband, 247 Digital divide, 256 Digital subscriber line
(DSL), 247 Domain name system
(DNS), 249
Extranet, 253 Geographic information system
(GIS), 265 Global positioning system
(GPS), 264 Internet cable connection, 247
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1. Why would a manager be concerned with bandwidth? How is bandwidth measured?
2. How have networks contributed to the digital divide?
3. What are the different levels of service providers that supply the interconnections to the Internet?
4. What are the different Internet access technologies you can use to connect to the Internet?
5. What is network convergence and why is it important to a business?
6. What is VoIP and how can it benefit a business?
7. What is the difference between an intranet and extranet?
8. How do SSL and SHTTP provide security for networks?
9. What is a personal area network?
10. How does Wi-Fi work?
11. What are GIS, GPS, and LBS? How are businesses using these applications to compete?
12. What is RFID and how could it help a large retailer track inventory?
13. What are the advantages of mobile business?
14. How does a domain name system work?
15. What is the difference between VoIP and IPTV?
Internet Protocol TV (IPTV), 252 Intranet, 253 Local area network (LAN), 244 Location-based service
(LBS), 266 Metropolitan area network
(MAN), 245 Modem, 247 National service provider
(NSP), 246 Network access point
(NAP), 246 Network convergence, 250 Peer-to-peer (P2P), 251 Personal area network
(PAN), 257
Protocol, 248 Radio-frequency identification
(RFID), 263 Regional service provider
(RSP), 246 Satellite, 262 Secure hypertext transfer pro-
tocol (SHTTP or HTTPS), 256 Secure sockets layer (SSL), 255 Smart phones, 261 SSL Certificate, 256 Streaming, 261 T1 line, 248 Transmission control protocol/
Internet protocol (TCP/ IP), 248
Unified communications (UC), 251
Virtual private network (VPN), 253
Voice over IP (VoIP), 251 Wide area network
(WAN), 224 Wi-Fi protected access
(WPA), 270 Wireless fidelity (Wi-Fi), 258 Wireless LAN (WLAN), 258 Wireless MAN (WMAN), 259 Wireless WAN (WWAN), 260 Worldwide Interoperability
for Microwave Access (WiMAX), 259
R E V I E W Q U E S T I O N S
C L O S I N G C A S E O N E
Wireless Bikes
Bike-sharing programs have been a popular trend in many foreign countries for years but have just started in the United States, driven mainly by the desire to provide zero-emissions transportation for commuters and tourist in urban areas. A new Denver, Colorado, company, Denver B-cycle, offers one of the largest bike-sharing programs in the United States. The company has more than 500 bikes, all made by Trek, that are available through more than
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50 bike stations, or B-stations as they are called, in the Denver metropolitan area. Each B-station is fully operated by using a variety of wireless technologies, such as RFID, GPS, and Wi-Fi, which have a number of locking docks that hold as few as 5 bikes or as many as 25. The number of bikes at each location is dependent upon the amount of use expected.
There are several methods in which a user can access a bike. One method is to use the B-station kiosk machine that allows users to unlock bikes with a credit card. This method is preferred for those who seek infrequent usage for short-term rentals. Here, the user receives a day pass that is good for a 24-hour rental. Another option is to purchase a 7-day, 30-day, or annual membership online or at the B-station kiosk for those planning to use bikes on a regular basis. Members receive an RFID-enabled card that allows them to retrieve any of the available bikes from the B-stations located around the city. Members can also download an iPhone app with the added convenience of using the device to unlock and locate bikes.
Once a user selects a bike by using the day pass, RFID-enabled membership card, or iPhone application, the transaction must be validated before the bike is unlocked. This is all done using RFID readers and Wi-Fi-enabled devices that validate the transaction with the com- pany’s main database. An RFID reader collects the ID number encoded to an RFID tag attached to the bike. The device then forwards the ID number using Wi-Fi to the company’s central database, so that the system knows which particular bike to associate with which user. Once validated, the user is then alerted with a beep and a green light, indicating the selected bike is unlocked and available for use. When a user wants to return a bicycle, he or she only needs to find an empty dock at any B-station to roll the bike into the locking position. A beep and green light will signal that the bike has been securely locked, and the RFID reader records the tag ID from the bike and sends this information to the company database to complete the transaction.
In addition to having an RFID tag on each bike, embedded GPS units record the routes that a user travels. When a user returns the bike, the GPS information is uploaded to the company database, along with that bike’s tag ID number. These data help Denver B-cycle understand the most common routes that its users take in addition to allowing the company to collaborate with Denver merchants to target product or service offerings to members, based on their daily routes. For example, a coffee shop might email a coupon to a user who rides by each day. The GPS units also help to protect the company in case a user does not return a bike, or a bike is stolen. B-cycle can use LBS to help find the “missing” bike. 46
Questions
1. What advantages does a wireless network provide Denver B-cycle? 2. What challenges does a wireless network create for Denver B-cycle? 3. What information not described in the case can Denver B-cycle use with RFID and LBS
data? 4. How could Denver B-cycle use other wired or wireless network technologies to gain a
competitive advantage?
C L O S I N G C A S E T W O
Google Latitude. . .Without an Attitude?
Google is at it again, creating applications that have the potential for disruption. Google Latitude is an upgrade to Google Maps, specifically developed for mobile users that allows people to track the location of friends or family using their mobile phone or PC. Latitude is inte- grated with a variety of other Google applications, such as Google Talk or Gmail, which allows someone to send a message to the person whom they are tracking.
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Latitude can use Wi-Fi access points, cell towers, or GPS to find someone’s location. And if all three are active and available, they each can be used collectively to validate location. The Latitude software is written for a location-based service that allows any mobile device with Wi-Fi, cellular, or GPS to determine its position with an accuracy of 30 to 60 feet.
Certainly, there are some real benefits to having this information, such as parents being able to easily track their children or companies knowing exactly where a delivery truck is located. Latitude is an opt-in service for those who are worried about privacy issues. Users can access a simple interface to allow only specific friends or family members to follow them. Once the opt-in agreement is activated, users can see their friends’ or family members’ profile pictures appear on a map using their mobile phone or PC. Latitude has many custom- ized settings that can be changed on a person-by-person basis. For example, someone can choose to share his or her best available location or city-level location, or even hide their location.
Latitude even lets users lie about their location; for instance, if a user is in Rome, instead of having the approximate location detected and shared automatically, a manual location can be set for elsewhere—perhaps Washington, D.C.
Latitude is primarily developed for two broad classes of people: (1) a small circle of friends and family with whom users are willing to share their exact location and (2) a larger group with whom a user is happy to share city-level detail, convenient for finding out when some- body’s in town, but not much more. 47
Questions
1. What are the privacy and security issues with using Google Latitude? 2. If users can lie about the location, is this a very effective tool? 3. What are the advantages of using LBS? 4. If you wanted to use Google Latitude, what could you do to protect your privacy from some-
one you do not want to be able to locate you?
C R I T I C A L B U S I N E S S T H I N K I N G
1. Building Nationwide Broadband The Federal Communications Commission is proposing a nationwide broadband plan, a sweeping initiative to provide—among other things—100 megabit-per-second Internet access to 100 million people by 2020. The FCC also proposes to deliver 1-gigabit-per- second access to places such as schools, libraries, and government buildings. “The national broadband plan is a 21st-century roadmap to spur economic growth and invest- ment, create jobs, educate our children, protect our citizens, and engage in our democ- racy,” said FCC Chairman Julius Genachowski. 48
How will implementing nationwide broadband create technology jobs? Identify three new products or services you could create based on nationwide broadband. Will a nation- wide broadband plan eliminate the digital divide in the United States?
2. Foursquare Cheating Foursquare is one of the latest social networking sites that use location-based services. Users check-in to places they visit, such as a bar, restaurant, or library. The main goal in using Foursquare is to earn badges and “Mayor” titles for favorite establishments by checking in more than friends or other Foursquare users. However, users were found to be cheating, recording check-ins to places they had not been. In an effort to make it more difficult to cheat, the company introduced a new “cheater code,” which uses a smart phone’s GPS—where available—to validate the users’ true location. 49
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Why is GPS important to Foursquare? How could individuals cheat on providing loca- tions? Why would individuals cheat about their locations? What did Foursquare implement to halt cheating? Do you think Foursquare users will still find ways to cheat?
3. Pandora Makes Users’ Music Public Pandora, the online music company, lets users create personalized music stations that they can stream online, but it also makes those stations viewable to anyone on the Internet who knows someone’s email address. For example, someone with the email address [email protected] likes a band called Rise Against. Using the email address of Steve Jobs implies he likes country music legend Willie Nelson and jazz trumpeter Chris Botti. 50
Do you view your music selection as private or public information? How could some- one use this information unethically? Do you see this as a threat for Pandora? Do you think customers will stop using the service? What can Pandora do to ensure customer privacy?
4. Wireless Network Vulnerability Empty cans of Pringles could be helping malicious hackers spot wireless networks that are open to attack. Security companies have demonstrated that by using a simple Pringles can to create a homemade antenna, someone can easily identify wireless networks. Known as the “PringlesCantenna,” these networks are rapidly becoming popular because they are cheap (under $10) and easy to set up.
Wireless network security is a big concern of network managers. As companies and home users have increasingly adopted wireless technology, security precautions need to be enforced. After all, the very nature of using wireless technology deliberately puts information out on the airwaves for anyone within range and equipped with an appropri- ate receiver (e.g., PringlesCantenna) can grab this information. This is why many wireless networks should apply authentication and encryption mechanisms to provide a trusted level of security. 51
Create a report based on Internet research that discusses the tips, techniques, and best practices to protect against this type of amateur hacking. Include a summary on the types of detection and prevention technology available, specifically the use of firewalls and built-in wireless security mechanisms.
5. Selecting an ISP You have been hired by Front Range Car Rental, a new company in Colorado, to research companies that can host its website. Because all ISPs are not created equal, you have been provided with some questions to help you identify their strengths, weaknesses, capabilities, and core competencies.
Does the ISP offer full life cycle services, including 24/7 accessibility, data storage, 24/7 customer support? What is the ISP’s depth and breadth of technical expertise? What are its specialties? Does the ISP have actual customers online and if so, what results have they achieved? Can the ISP provide development expertise to customize the applications? How does the ISP handle updates? Adding product modules? Specifically, does the ISP’s infrastructure deliver:
■ High availability (uptime)? ■ Assured data integrity? ■ Scalability? ■ Reliability? ■ High performance? ■ Security and access control?
Develop a detailed report answering the questions presented here along with your ISP recommendation.
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6. Wireless Fitness Sandifer’s Fitness Club is located in central South Carolina. Rosie Sandifer has owned and operated the club for 20 years. The club has three outdoor pools, two indoor pools, 10 racquetball courts, 10 tennis courts, an indoor and outdoor track, along with a two-story exercise equipment and massage therapy building. Sandifer has hired you as a summer intern specializing in MIS. The extent of Sandifer’s current technology includes a few PCs in the accounting department and two PCs with Internet access for the rest of the staff. Your first assignment is to create a report detailing networks and wireless technologies. The report should explain how the club could gain a business advantage by implementing a wireless network. If Sandifer likes your report, she will hire you as the full-time employee in charge of MIS. Be sure to include all of the different uses for wireless devices the club could implement to improve its operations.
7. The End of the All-You-Can-Eat Wireless Data Plan AT&T, along with other wireless service providers such as Verizon, are switching from an all-you-can-eat data plan to tiered pricing. The move comes as landline revenues are shrinking and mobile usage, especially on smart phones that require higher bandwidths, is greatly expanding. Subscribers who consume modest levels of data will pay slightly less every month than they do now, while heavy users will see extra fees.
AT&T is said to be offering two new plans: one will cost $25 per month and offer 2 gigabytes of data per month, and a second plan will cost $15 per month for 200 megabytes of data. If users on the second plan go over, they will pay another $15 for 200 megabytes. 52
Does this make good business sense? Will these fees disappear when service provid- ers start offering 4G or WiMAX services? How scalable do you think AT&T’s network is?
8. Could the Domain Name System Be Hacked? Is it possible for someone to hack the DNS? If so, it would be a disaster! By hacking the DNS, someone could change a website’s IP address, thereby redirecting someone to a fictitious or look-alike site that could collect passwords and even credit card information. This sce- nario really happened. A Brazilian ISP, NET Virtua, was hacked using a method called DNS cache poisoning, which takes advantage of a hole in DNS software that redirects users to websites they did not request. The NET Virtua users were trying to access Bradesco, a bank in Brazil, but were sent to a fraudulent website that tried to install malware and steal users’ passwords. Luckily, the hack was detected before too much damage was done. 53
How can the DNS be protected from cache poisoning? Because every ISP maintains its own DNS, is this impossible?
9. Shipment Routes Mary Conzachi works in the logistics department for Loadstar, a large trucking company and barge operator in the Midwest. She has looked into a variety of systems to keep track of the location of trucks and barges so that the company can route shipments better and answer customer inquiries faster. Conzachi’s major concern is with the trucks; the barges have com- modities and take weeks to move something. She states that it is much harder to keep up with trucking. She needs to know the exact location of the truck at any given time. You have been hired to assist her in recommending a solution. What solution would you recommend? Why?
10. Google Collected Public Wi-Fi Data. . .By Mistake Google has admitted to mistakenly collecting data sent over unsecured Wi-Fi networks using its Street View cars. Google photographs homes from public streets, using a fleet of company cars. Google said it was trying to gather information about the location, strength, and configuration of Wi-Fi networks so it could improve the accuracy of location-based services such as Google Maps and driving directions. However, in the process, the cars were also collecting snippets of emails and other Internet activity from wireless networks in the homes, provided they had not been secured by passwords. Google blamed this on
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a programming error, temporarily halted the Street View data collection, and announced it would stop collecting all Wi-Fi data. 54 Do you believe this was a mistake by Google? If home users do not protect their wireless networks, what is to stop a neighbor from col- lecting the same information? Who is really at fault here?
E N T R E P R E N E U R I A L C H A L L E N G E
B U I L D Y O U R O W N B U S I N E S S
P r o j e c t F o c u s
1. In an effort to better connect with younger consumers, McDonald’s restaurants in southern California are enticing customers through their mobile phones, offering mobile coupons for a free McFlurry. Under the promotion, customer’s text the message “McFlurry” to a five-digit short code promotional phone line. An electronic coupon for the free dessert is then downloaded to their mobile phones; when consumers bring those phones to participating restaurants, they can redeem the coupon electronically. Mobile coupons (mcoupons) that are stored and carried in a mobile phone have higher redemption rates than paper or ecoupons because they are not forgotten, or left at home. Mcoupons can drastically reduce delivery and redemption cost, trigger impulse buys, and send offers to customers in real time that are location based. Your customers are mobile, and you want your business to take advantage of mobile technology, so you have decided to create an innovative system for mcoupons, allowing customers to capitalize on instant redemption coupons. As customers walk past your business (or within a 25-foot radius) a coupon will be pushed to their mobile device. As you prepare to deploy this new mobile marketing campaign, you need to create a detailed analysis of mcoupons, including all of the potential risks and benefits. In your analysis, be sure to discuss the types of coupons you would offer to your mobile customers along with all of the potential risks and benefits.
2. Radio-frequency identification technologies use active or passive tags in the form of chips or smart labels that can store unique identifiers and relay this information to readers. RFID tags represent the next big step forward from bar codes, and retailers are using RFID to control theft, increase efficiency, and improve demand planning. Businesses are using RFID for everything, including preventing toilets from overflowing, refilling customer’s drinks, identifying human remains, and combating counterfeit drugs. Develop two new products using RFID that can help you reduce expenses, increase profits, and create a competitive advantage for your business.
A P P LY Y O U R K N O W L E D G E B U S I N E S S P R O J E C T S
P R O J E C T I GoGo Gadgets
Now that Wi-Fi and other types of high-speed wireless networks are becoming common, devices using that technology are multiplying rapidly. Wireless gadgets run the gamut from cell phones to kitchen appliances and digital cameras. Here are some of the hottest new wire- less broadband gadgets.
■ Samsung’s $2,100 Zipel refrigerator features a touch screen with Wi-Fi to browse the Internet, stream media, take notes, and even pull up nutritional information for more than 500 different types of food. It will also show Google Calendar entries and weather reports, as well as news alerts and other articles.
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■ Toshiba’s UX600 LED TV is a Wi-Fi-enabled HDTV that can stream content straight to its display without network cables.
■ HTC EVO 4G mobile phone has the ultrafast WiMAX technology letting users surf the Web and download beyond broadband speeds with increased reliability. Users can enjoy VoD and IPTV, plus download music or electronic books all delivered on a 3.8-inch WVGA screen.
■ Sony’s Cybershot is a digital camera with Wi-Fi capabilities, allowing users to share their snapshots wirelessly using a built-in Web browser. 55
P r o j e c t F o c u s
New wireless technologies promise to make today’s wireless fidelity networks seem like slow modem dial-up connections. New technologies will provide greater reach geographi- cally of wireless networks along with new personal and business uses. Search the Internet and discover new wireless devices that entrepreneurs and established companies can use to improve their business.
■ Explain how companies can use these devices to create competitive advantages, stream- line production, and improve productivity.
P R O J E C T I I WAP
Wireless Internet access is quickly gaining popularity among people seeking high-speed Internet connections when they are away from their home or office. The signal from a typical wireless access point (WAP) extends only about 300 feet in any direction, so the user must find a hotspot to be able to access the Internet while on the road. Sometimes hotspots are available for free or for a small fee. You work for a sales company, SalesTek, which has a sales force of 25 representatives and customers concentrated in Denver, Colorado; Salt Lake City, Utah; and Santa Fe, New Mexico. Your sales representatives are constantly on the road and they require 24/7 Internet access.
P r o j e c t F o c u s
You have been asked to find hotspots for your colleagues to connect while they are on the road. It is critical that your sales force can access the Internet 24/7 to connect with customers, sup- pliers, and the corporate office. Create a document detailing how your mobile workforce will be able to stay connected to the Internet while traveling. Here are a few tips to get you started:
■ Use websites such as www.wifinder.com and www.jiwire.com to determine which com- mercial hotspots would be the most appropriate for your sales force and the commercial network service that these hotspots use.
■ Search the websites of two or three commercial networks that seem most appropriate to discover more about pricing and services. (Hint: T-Mobile is one example.)
■ Use www.wifinder.com and www.wififreespot.com to determine how many free public hotspots are available in these cities. Are there enough for your company to rely on them or should you use a commercial Wi-Fi system. If so, which one?
■ You might also research www.fon.com to see alternative methods of using home broad- band connections.
P R O J E C T I I I Securing Your Home Wireless Network
Wireless networks are so ubiquitous and inexpensive that anyone can easily build one with less than $100 worth of equipment. However, wireless networks are exactly that—wireless— they do not stop at walls. Living in an apartment, dorm, or house means that your neighbors can access your network.
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It is one thing to let neighbors borrow sugar or a cup of coffee, but problems occur when you allow them to borrow your wireless network. There are several good reasons for not shar- ing a home wireless network including:
■ Slowing of Internet performance. ■ Potential for others to view files on your computers and spread dangerous software such
as viruses. ■ Possibility for others to monitor the websites you visit, read your email and instant mes-
sages as they travel across the network, and copy your usernames and passwords. ■ Availability for others to send spam or perform illegal activities with your Internet
connection.
P r o j e c t F o c u s
Securing a home wireless network makes it difficult for uninvited guests to connect through your wireless network. Create a document detailing how you can secure a home wireless network.
P R O J E C T I V Weather Bots
Warren Jackson designed a GPS-equipped robot when he was a graduate student at the University of Pennsylvania. The robot was created to bring weather balloons back down to Earth, allowing them to land in a predetermined location. The National Weather Service has collected most of its information using weather balloons that carry a device to measure items such as pressure, wind, and humidity. When the balloon reaches about 100,000 feet and pres- sure causes it to pop, the device falls and lands a substantial distance from its launch point. The weather service and researchers sometimes look for the $200 device, but of the 80,000 sent up annually, they write off many as lost.
Jackson’s idea was so inventive that Penn’s Weiss Tech House—a university organiza- tion that encourages students to innovate and bring their ideas to market—awarded Jackson and some fellow graduate engineering students first prize in its third annual PennVention Contest. Jackson won $5,000 and access to expert advice on prototyping, legal matters, and branding. 56
P r o j e c t F o c u s
GPS and GIS can be used in all sorts of devices, in many different industries, for multiple purposes. You want to compete, and win first prize, in the PennVention next year. Create a product, using a GPS or GIS, that is not currently in the market today that you will present at the next PennVention.
P R O J E C T V Free Wi-Fi in Africa
Covering Africa with free and low-cost Wi-Fi may not seem like a smart thing, but that is exactly what Paul English, the cofounder of travel search engine Kayak.com , plans to do. English has created a hybrid nonprofit/for-profit company, JoinAfrica, to explore the creation of two tiers of Wi-Fi access in Africa. The first tier will be free and offer basic email service (from Gmail, Yahoo!, etc.) and Web browsing (Wikipedia, BBC, etc.). The second tier will be fee-based and offer additional capabilities, including audio, video, and high-quality images. 57
Although many countries in Africa struggle to have proper drinking water or even efficient electrical power, English and the JoinAfrica initiative believe having access to the Internet is just as important. JoinAfrica will work with for-profit telecommunication companies in Africa to first branch out with existing connections in villages, providing residents with the first- tier services, and residents can pay money to upgrade to the second tier. More bandwidth- intensive services such as streaming video and pornography will be throttled to ensure a basic level of service for all as the networks grow.
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P r o j e c t F o c u s
■ List 10 ways wireless access might help remote villages in Africa. ■ List 10 ways wireless access could hurt remote villages in Africa. ■ What other infrastructure requirements will JoinAfrica need to implement to ensure the
project’s success? ■ How will changes in technology over the next decade affect the JoinAfrica project? ■ What types of security and ethical issues will JoinAfrica face? ■ If you were given $1 million, would you invest it in JoinAfrica?
P R O J E C T V I Never Run with Your iPod
Jennifer Goebel was disqualified from her first-place spot in the Lakefront Marathon in Milwaukee after race officials spotted her using an iPod. A controversial 2007 rule banned por- table music devices by all U.S. Track and Field participants because music could give a runner a competitive advantage and cause safety issues if the runner can’t hear announcements. The officials for the Lakefront Marathon took action after viewing online photos of Goebel using her iPod; ironically, the photos were posted by Goeble herself on her own website. 58
P r o j e c t F o c u s
Do you agree with the USTAF’s decision to disqualify Jennifer Goebel? How could an iPod give a runner a competitive advantage? With so many wireless devices entering the market, it is almost impossible to keep up with the surrounding laws. Do you think Goebel was aware of the headphone ban? In your state, what are the rules for using wireless devices while driv- ing? Do you agree with these rules? How does a business keep up with the numerous, ever- changing rules surrounding wireless devices? What could happen to a company that fails to understand the laws surrounding wireless devices?
P R O J E C T V I I Ding-a-Ling Took My $400!
A satellite television customer requested her service be disconnected due to poor reception. Soon after disconnecting the service, the customer noticed a direct bank withdrawal for a $430 early-termination fee from the satellite provider. To make matters worse, the unplanned charge caused hundreds of dollars in overdraft charges. To top it all off, a customer service representative apparently named Ding-A-Ling called the customer to see if she would con- sider reconnecting the service. 59
P r o j e c t F o c u s
Never give any company your checking account number or direct access to your bank account. If you want to establish a good relationship with a company, give it your credit card number. When a relationship with a supplier turns sour, the last thing you want is for that com- pany to have direct access to your checking account.
Do you think what the satellite provider did was ethical? What could the customer do when disconnecting her service to avoid this type of issue? Can credit card companies enter your bank account and take out as much money as you owe at any time they want? Why is it impor- tant to never give a supplier direct access to your business checking account?
P R O J E C T V I I I 911 McNuggets
Cellular technologies have changed the way we do business, and it is hard to imagine life with- out them. There are many wonderful advantages of using wireless technologies in business, but there are also some serious disadvantages, like the ability to make a bad decision faster.
A woman in Florida called 911 three times after a McDonald’s employees told her they were out of Chicken McNuggets. The woman stated that this is an emergency and if she had known
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they didn’t have any McNuggets, then she would not have given them any money. The woman said McDonald’s offered her a McDouble, but that she didn’t want one. The woman was cited on a misuse of 911 charge. 60
P r o j e c t F o c u s
It is so easy to pick up the phone, from anywhere, at any time, and make a bad call. How many times do you see people making calls on their cell phones from inappropriate locations? If this woman had to wait in line to use a pay phone, do you think it would have given her time to calm down and rethink her decision? With technology and the ability to communicate at our fingertips, do you agree that it is easier than ever to make a bad decision? What can you do to ensure you think before you communicate?
P R O J E C T I X Wireless Networks and Streetlights
Researchers at Harvard University and BBN Technologies are designing CitySense, a wire- less network attached to streetlights that can report real-time data across the entire city of Cambridge, Massachusetts. The CitySense network mounts each node on a municipal street- light, where it draws power from city electricity. Each node includes a Wi-Fi interface, weather sensors, along with download and uploading data capabilities. 61
P r o j e c t F o c u s
You are responsible for deploying a CitySense network around your city. What goals would you have for the system besides monitoring urban weather and pollution? What other benefits could a CitySense network provide? How could local businesses and citizens benefit from the network? What legal and ethical concerns should you understand before deploying the net- work? What can you do to protect your network and your city from these issues?
Project
Number
Project
Name
Project
Type Plug-In
Focus
Area
Project
Level Skill Set
Page
Number
9 Security Analysis Excel T3 Filtering Data Intermediate Conditional Formatting, Autofilter, Subtotal
AYK.7
10 Gathering Data Excel T3 Data Analysis Intermediate Conditional Formatting AYK.8
11 Scanner System Excel T2 Strategic Analysis Intermediate Formulas AYK.8
12 Competitive Pricing Excel T2 Profit Maximization Intermediate Formulas AYK.9
13 Adequate Acquisitions
Excel T2 Break Even Analysis
Intermediate Formulas AYK.9
15 Assessing the Value of Information
Excel T3 Data Analysis Intermediate PivotTable AYK.10
16 Growth, Trends, and Forecasts
Excel T2, T3 Data Forecasting Advanced Average, Trend, Growth
AYK.11
18 Formatting Grades Excel T3 Data Analysis Advanced If, LookUp AYK.12
22 Turnover Rates Excel T3 Data Mining Advanced PivotTable AYK.15
23 Vital Information Excel T3 Data Mining Advanced PivotTable AYK.15
24 Breaking Even Excel T4 Business Analysis Advanced Goal Seek AYK.16
25 Profit Scenario Excel T4 Sales Analysis Advanced Scenario Manager AYK.16
AY K A P P L I C AT I O N P R O J E C T S
If you are looking for Excel projects to incorporate into your class, try any of the following after reading this chapter.
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3
MODULE THREE: Enterprise MIS
MODULE TWO: Technical Foundations of
MIS
MODULE ONE: Business Driven MIS
CHAPTER 8: Enterprise Applications: Business Communications
CHAPTER 9: Systems Development and Project Management: Corporate Responsibility
E NT E R P R I S E M I S Module 3:
Organizations use various types of information systems to help run their daily operations. These primarily transactional systems concentrate on the management and flow of low- level data items for basic business processes such as purchasing and order delivery. The data are often rolled up and summarized into higher-level decision support systems to help firms understand what is happening in their organizations and how best to respond. To achieve seamless and efficient handling of data and informed decision making, orga- nizations must ensure that their enterprise systems are tightly integrated, providing an end-to-end view of operations.
This module introduces various types of enterprise information systems and their role in helping firms reach their strategic goals, including supply chain management, cus- tomer relationship management, and enterprise resource planning. Organizations that can correlate and summarize enterprisewide information are prepared to meet their strategic business goals and outperform their competitors.
This module then dives into how enterprise systems can be built to support global businesses, the challenges in that process, and how well things turn out if systems are built according to good design principles, sound management practices, and flexibility to support ever-changing business needs. Making this happen requires not only extensive planning, but also well-honed people skills.
Enterprise MIS module 3
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