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Chapter 5 Database Management Systems Accounting Information Systems 8e Ulric J Gelinas and Richard Dull 2010 Cengage Learning All Rights Reserved May not be copied scanned or duplicated in whole or in part except for use as permitted in a license distributed with a certain product or service or otherwise on a password protected website for classroom use Learning Objectives Describe the limitations of traditional application approaches to managing data Analyze the advantages gained by using the database approach to managing data Create normalized tables in a relational database Use entity relationship diagrams in database design and implementation Explain the importance of advanced database applications in decision support and knowledge management 2 Introduction to Databases The enterprise database is at the heart of Accounting Information Systems AIS The chapter discusses the major types of databases available and how organizations undertake database design for AIS Larger organizations store information in data warehouses in ways that let managers analyze it to gain important insights Many companies combine their data resources with decision support systems executive information systems group decision systems and other advanced technologybased systems to improve decision making and operations 3 Two Approaches To Business Event Processing Applications Approach Concentrates on the process being performed Data support the role of the programs that run in each application system Each application collects and manages its own data in separate distinguishable files Data redundancy can cause inconsistencies among the same data in different files when information is updated in one file but not the others Storage costs are increased because the system must store and maintain multiple versions of the same data in different files Data residing in separate files are not shareable among applications Database Approach Facts about events are stored in relational database tables

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