Chap 07 MIS James O Brien

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ElectronicBusiness Systems

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What is E-Business?What is E-Business?

The use of the Internet and other The use of the Internet and other networks and information networks and information technologiestechnologies– to support electronic commerce, to support electronic commerce,

enterprise communications and enterprise communications and collaboration, and Web-enabled collaboration, and Web-enabled business processes, both within a business processes, both within a networked enterprise and with its networked enterprise and with its customers and business partners.customers and business partners.

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Section ISection I

Cross-Functional Enterprise Cross-Functional Enterprise SystemsSystems

1.1. CFEA CFEA (Cross-Functional Enterprise Apps)(Cross-Functional Enterprise Apps)

2.2. EAI EAI (Enterprise Application Integration)(Enterprise Application Integration)

3.3. TPSTPS4.4. ECS ECS (Enterprise Collaboration Systems)(Enterprise Collaboration Systems)

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1. Cross-Functional Enterprise 1. Cross-Functional Enterprise ApplicationsApplications

Integrated combinations of information Integrated combinations of information subsystems that share information subsystems that share information resources and support business resources and support business processes across the functional unitsprocesses across the functional units– Define Define functional?functional?

A strategic way to use IT to share A strategic way to use IT to share information resources & improve information resources & improve efficiency & effectivenessefficiency & effectiveness

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““Product Development Process”, a Business Product Development Process”, a Business Process that is Supported by Process that is Supported by

“Cross-Functional Information Systems”“Cross-Functional Information Systems”

Cross-Functional Enterprise Applications Cross-Functional Enterprise Applications

Enterprise Application ArchitectureEnterprise Application Architecture

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Cross-Functional Enterprise Cross-Functional Enterprise ApplicationsApplications

Applications that facilitate conduct Applications that facilitate conduct of fundamental business and help of fundamental business and help deal with the company’s customer, deal with the company’s customer, supplier, partner, & employee supplier, partner, & employee stakeholdersstakeholders

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82. Enterprise Application Integration 2. Enterprise Application Integration (EAI)(EAI)

Provides middleware thatProvides middleware that– Performs data conversion & coordination Performs data conversion & coordination

between different software in the orgbetween different software in the org

– Provides communication & messaging Provides communication & messaging services between applicationsservices between applications

– Provides one interface to access all Provides one interface to access all applications applications

E.g. of a new customer order process showing how EAI E.g. of a new customer order process showing how EAI middleware connects several business ISs within a companymiddleware connects several business ISs within a company

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3. Transaction Processing Systems3. Transaction Processing Systems Cross-functional information systems that Cross-functional information systems that

process data resulting from the occurrence process data resulting from the occurrence of business transactionsof business transactions– Transactions – events that occur as part of doing Transactions – events that occur as part of doing

businessbusiness SalesSales PurchasesPurchases DepositsDeposits WithdrawalsWithdrawals RefundsRefunds Payments Payments

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TPS CYCLETPS CYCLE

Data EntryData Entry Transaction ProcessingTransaction Processing

– Batch ProcessingBatch Processing– Real Time ProcessingReal Time Processing

Database MaintenanceDatabase Maintenance Document and Report GenerationDocument and Report Generation Inquiry ProcessingInquiry Processing

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4. Enterprise Collaboration 4. Enterprise Collaboration SystemsSystems

e-business systems that enhances e-business systems that enhances communication, coordination, & communication, coordination, & collaboration amongst different collaboration amongst different department/members (cross department/members (cross functional)functional)– Communicate – share information with each Communicate – share information with each

otherother– Coordinate – coordinate individual work efforts Coordinate – coordinate individual work efforts

& use of resources with each other.& use of resources with each other.– Collaborate – work together cooperatively on Collaborate – work together cooperatively on

joint projects and assignmentsjoint projects and assignments

Three Enterprise Collaboration SystemsThree Enterprise Collaboration Systems

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Enterprise Collaboration SystemsEnterprise Collaboration Systems

Three Tools for Enterprise Three Tools for Enterprise CollaborationCollaboration– 1. Electronic communication1. Electronic communication

E-mailE-mailVoice mailVoice mailFaxFaxWeb publishingWeb publishingBulletin boardsBulletin boards Internet phone systemsInternet phone systems

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2. 2. Electronic conferencingElectronic conferencingData & voice conferencingData & voice conferencing

– E.g. MS Word reviewing featureE.g. MS Word reviewing featureTools menu | Track ChangesTools menu | Track Changes

VideoconferencingVideoconferencingChat systemsChat systemsDiscussion forumsDiscussion forumsElectronic meeting systemsElectronic meeting systems

– Team members can meet at the same time Team members can meet at the same time and place in a “decision room” settingand place in a “decision room” setting

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– 3. Collaborative work management3. Collaborative work managementCalendaring & schedulingCalendaring & schedulingProject management (MS Project)Project management (MS Project)Workflow systemsWorkflow systems

– Collaborate to manage flow of tasksCollaborate to manage flow of tasks– e-document processing in a process (e.g. e-document processing in a process (e.g.

using using MS OutlookMS Outlook))Knowledge managementKnowledge management

– Organize and share information created Organize and share information created with an organization: project libraries and with an organization: project libraries and knowledge databasesknowledge databases

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Collaboration/online meetingsCollaboration/online meetings In conjunction with MS NetMeeting In conjunction with MS NetMeeting MS MS

Word: Tools menu |Online Collaboration | Meet NowWord: Tools menu |Online Collaboration | Meet Now – Online meeting allowing users to share and edit Online meeting allowing users to share and edit

documents with others in real time, as everyone documents with others in real time, as everyone sees the changes simultaneously.sees the changes simultaneously.

– Participants may open a separate window and Participants may open a separate window and type messages to one another (type messages to one another (a chat rooma chat room), ), transfer filestransfer files, or use a , or use a whiteboardwhiteboard..

– All these three italicized features are included All these three italicized features are included with NetMeeting.with NetMeeting.

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Windows Vista business edition hasWindows Vista business edition has– Windows Meeting Space, a social Windows Meeting Space, a social

collaboration technology for small collaboration technology for small groups of users.groups of users.

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Lotus QuickPlace helps virtual workgroups set Lotus QuickPlace helps virtual workgroups set up Web-based work spaces for collaborative up Web-based work spaces for collaborative

work assignments.work assignments.

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IBM Lotus NotesIBM Lotus Notes

– For collaboration and messagingFor collaboration and messaging– EmailEmail– Calendar and scheduling capabilitiesCalendar and scheduling capabilities– Integrated instant messagingIntegrated instant messaging– Personal information management (PIM)Personal information management (PIM)– Discussion forumsDiscussion forums– TeamroomsTeamrooms– Reference databasesReference databases

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Section IISection II

Functional Business SystemsFunctional Business Systems

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Functional Business Systems OverviewFunctional Business Systems Overview

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What is Marketing?What is Marketing?

Planning, Promotion and sale ofPlanning, Promotion and sale of– existing products in existing marketsexisting products in existing markets

Development of Development of – new products and new marketsnew products and new markets

Attract and serveAttract and serve– Present and Potential customersPresent and Potential customers

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Marketing SystemsMarketing Systems

Marketing Information Systems provide Marketing Information Systems provide information technologies that support information technologies that support major components of the marketing major components of the marketing function.function.– Interactive MarketingInteractive Marketing– Sales Force AutomationSales Force Automation– Customer Relationship ManagementCustomer Relationship Management– Sales ManagementSales Management– Market Research and ForecastingMarket Research and Forecasting– Advertising and PromotionAdvertising and Promotion– Product ManagementProduct Management

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Three major types of systemsThree major types of systems

1. Interactive Marketing1. Interactive MarketingCustomer focused marketing processCustomer focused marketing processBased on using Internet, intranets, & Based on using Internet, intranets, &

extranets to establish two-way extranets to establish two-way communications between customers or communications between customers or potential customers and the businesspotential customers and the business

Customers become involved in product Customers become involved in product development, delivery, & service issuesdevelopment, delivery, & service issues

Marketing SystemsMarketing Systems– 2. 2. Targeted marketingTargeted marketing

Five targeting componentsFive targeting components– CommunityCommunity

Virtual communities of interest: sportsVirtual communities of interest: sports– ContentContent

Banners placed on site (ad on Yahoo)Banners placed on site (ad on Yahoo)– Context / Relevant PagesContext / Relevant Pages

Advertising appears in web pages that are Advertising appears in web pages that are relevant to the content of a product or relevant to the content of a product or service (car rentals for service (car rentals for traveltravel))

– Demographic/psychographicDemographic/psychographicPsychographic: personality, values, lifestylesPsychographic: personality, values, lifestyles

– Online behavior Online behavior Customize marketing based on information Customize marketing based on information

collected from collected from cookiescookies (shopping habits) (shopping habits)

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Targeted Marketing Targeted Marketing ComponentsComponents

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Marketing SystemsMarketing Systems

– 3. Sales Force Automation3. Sales Force AutomationThe sales force is connected to marketing The sales force is connected to marketing

websites on the Internet, extranets, & the websites on the Internet, extranets, & the company intranetcompany intranet

Increases productivity of sales forceIncreases productivity of sales forceSpeeds up the capture & analysis of sales Speeds up the capture & analysis of sales

datadataAllows management to provide improved Allows management to provide improved

delivery information & better support of the delivery information & better support of the sales force.sales force.

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Manufacturing SystemsManufacturing Systems

Support the production/operations. Assists Support the production/operations. Assists firms in planning, monitoring, & controlling firms in planning, monitoring, & controlling inventories, purchases, & flow of goods and inventories, purchases, & flow of goods and services.services.

New Concepts that take advantage of ITNew Concepts that take advantage of IT– JITJIT– Build to Order (BTO) ManufacturingBuild to Order (BTO) Manufacturing– End to end supply chain visibilityEnd to end supply chain visibility– Contract ManufacturingContract Manufacturing– Web based Collaborative ManufacturingWeb based Collaborative Manufacturing

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Manufacturing SystemsManufacturing Systems 1. Computer-Integrated Manufacturing (CIM)1. Computer-Integrated Manufacturing (CIM)

1.1. SimplifySimplify (reengineer) production for automation and (reengineer) production for automation and integrationintegration

2.2. AutomateAutomate production process (robots) production process (robots)

3.3. IntegrateIntegrate all production using computers, telecom all production using computers, telecom networks and other information technologiesnetworks and other information technologies

– CIM leads to processes like: CIM leads to processes like: Flexible manufacturing systems (FMS)Flexible manufacturing systems (FMS) Agile manufacturingAgile manufacturing Total Quality Management (TQM)Total Quality Management (TQM)

– Use computers to Automate the production usingUse computers to Automate the production using Computer-Aided Engineering (CAE)Computer-Aided Engineering (CAE) Computer-Aided Design (CAD)Computer-Aided Design (CAD) Material Requirements Planning (MRP)Material Requirements Planning (MRP)

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2. Process Control2. Process Control– The use of computers to control all The use of computers to control all

ongoing physical processesongoing physical processesE.g. oil refineryE.g. oil refinery

3. Machine Control3. Machine Control– The use of a computer to control the The use of a computer to control the

actions of a machineactions of a machine

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2. Process Control2. Process Control– The use of computers to control all The use of computers to control all

ongoing physical processesongoing physical processesE.g. oil refineryE.g. oil refinery

3. Machine Control3. Machine Control– The use of a computer to control the The use of a computer to control the

actions of a machineactions of a machine

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Human Resource ManagementHuman Resource Management

What is HRMWhat is HRM– HRM involves recruitment, placement, HRM involves recruitment, placement,

evaluation, compensation and evaluation, compensation and development of employees.development of employees.

Goal of HRMGoal of HRM– Effective and efficient use of human Effective and efficient use of human

resources of a company.resources of a company.

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HRMIS Primary tasksHRMIS Primary tasks

Produce paychecks and payrollProduce paychecks and payroll Maintain personnel recordsMaintain personnel records Analyze the use of personnel in Analyze the use of personnel in

business operationsbusiness operations

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HRMIS Special tasksHRMIS Special tasks

Planning to meet the personal needs of Planning to meet the personal needs of the businessthe business

Development of employees to their full Development of employees to their full potentialpotential

Control of all personnel policies and Control of all personnel policies and programsprograms

Recruitment, job placement, performance Recruitment, job placement, performance appraisal, employee benefit analysis, appraisal, employee benefit analysis, training and development, health safety training and development, health safety and securityand security

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Human Resource SystemsHuman Resource Systems

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Accounting Information SystemsAccounting Information Systems

Oldest Information SystemsOldest Information Systems Record and report business transactions Record and report business transactions

and other economic eventsand other economic events Record and report flow of funds and Record and report flow of funds and

produce financial statementsproduce financial statements Produce forecasts of future conditions Produce forecasts of future conditions

(Projected financial statements and (Projected financial statements and financial budgets)financial budgets)

Help measure firm’s performance Help measure firm’s performance measured against forecastsmeasured against forecasts

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Accounting SystemsAccounting Systems

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Financial Management SystemsFinancial Management Systems

Systems support business managers & Systems support business managers & professionals in decision concerningprofessionals in decision concerning– Financing of a businessFinancing of a business– Allocation and control of financial resources Allocation and control of financial resources

within a businesswithin a business

Major Financial Management SystemsMajor Financial Management Systems– Cash and Investment managementCash and Investment management– Capital Budgeting Capital Budgeting – Financial ForecastingFinancial Forecasting– Financial PlanningFinancial Planning

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Financial Management SystemsFinancial Management Systems

Chap 07 MIS James O Brien

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