© 2003 Prentice Hall, Inc.7-1 Chapter 7 Enterprise-Wide Information Systems Information Systems...
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© 2003 Prentice Hall, Inc. 7-1 Chapter 7 Enterprise-Wide Information Systems Information Systems Today Information Systems Today Leonard Jessup and Joseph Valacich Leonard Jessup and Joseph Valacich
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Transcript of © 2003 Prentice Hall, Inc.7-1 Chapter 7 Enterprise-Wide Information Systems Information Systems...
© 2003 Prentice Hall, Inc. 7-1
Chapter 7
Enterprise-WideInformation Systems
Information Systems TodayInformation Systems TodayLeonard Jessup and Joseph ValacichLeonard Jessup and Joseph Valacich
© 2003 Prentice Hall, Inc. 7-2
© 2003 Prentice Hall, Inc. 7-3
Chapter 7 Objectives
Understand how information technology Understand how information technology supports business activitiessupports business activities
Understand enterprise systems and how Understand enterprise systems and how they evolvedthey evolved
Understand software applications that are Understand software applications that are internally or externally focusedinternally or externally focused
Understand how to implement enterprise Understand how to implement enterprise systemssystems
© 2003 Prentice Hall, Inc. 7-4
Enterprise Systems
Enterprise systemsEnterprise systems Also known as enterprise-wide information Also known as enterprise-wide information
systemssystems Information systems that allow companies to Information systems that allow companies to
integrate information across operations on a integrate information across operations on a company-wide basiscompany-wide basis
© 2003 Prentice Hall, Inc. 7-5
Enterprise Systems
Enterprise systemsEnterprise systems The Internet has helped create the globalizationThe Internet has helped create the globalization New business needs/expectations:New business needs/expectations:
Customer service managementCustomer service management Supply chain managementSupply chain management
© 2003 Prentice Hall, Inc. 7-6
Enterprise Systems
Supporting business activitiesSupporting business activities Increase competitive advantage by streamlining Increase competitive advantage by streamlining
business activitiesbusiness activities Interorganizational systems (IoS)Interorganizational systems (IoS)
Electronic transmission of information to another Electronic transmission of information to another companycompany
© 2003 Prentice Hall, Inc. 7-7
Enterprise Systems
Internally Focused ApplicationsInternally Focused Applications Value chain – the set of business activitiesValue chain – the set of business activities Primary activities:Primary activities:
Inbound logisticsInbound logistics Operations and manufacturingOperations and manufacturing Outbound logisticsOutbound logistics Marketing and salesMarketing and sales Customer serviceCustomer service
© 2003 Prentice Hall, Inc. 7-8
© 2003 Prentice Hall, Inc. 7-9
Enterprise Systems
Internally Focused ApplicationsInternally Focused Applications Support activities:Support activities:
InfrastructureInfrastructure Human resourcesHuman resources Technology developmentTechnology development ProcurementProcurement
© 2003 Prentice Hall, Inc. 7-10
Enterprise Systems
Externally Focused ApplicationsExternally Focused Applications Integrate internal applications with those Integrate internal applications with those
outside: suppliers, partners, customersoutside: suppliers, partners, customers Upstream informationUpstream information
Information received from another organizationInformation received from another organization Downstream informationDownstream information
Information sent to another organizationInformation sent to another organization
© 2003 Prentice Hall, Inc. 7-11
Types of Enterprise Systems
Packaged applicationsPackaged applications Custom applicationsCustom applications Stand-alone applicationsStand-alone applications
© 2003 Prentice Hall, Inc. 7-12
Types of Enterprise Systems
Legacy SystemsLegacy Systems Older systemsOlder systems Tend to be infrastructure-specificTend to be infrastructure-specific Usually linked to a specific business needUsually linked to a specific business need Not integratedNot integrated
© 2003 Prentice Hall, Inc. 7-13
Types of Enterprise Systems
Enterprise Resource PlanningEnterprise Resource Planning Integrated applicationsIntegrated applications ERP systemsERP systems
BaanBaan OracleOracle PeopleSoftPeopleSoft SAPSAP J.D. EdwardsJ.D. Edwards
© 2003 Prentice Hall, Inc. 7-14
Types of Enterprise Systems
ERP ImplementationERP Implementation ModulesModules ““Vanilla” versionVanilla” version CustomizationsCustomizations Best practicesBest practices Business process reengineering (BPR)Business process reengineering (BPR)
© 2003 Prentice Hall, Inc. 7-15
Types of Enterprise Systems
Customer Relationship Management Customer Relationship Management (CRM)(CRM) Sales Force Automation (SFA)Sales Force Automation (SFA) New opportunities for competitive advantageNew opportunities for competitive advantage Examples:Examples:
MGMMGM American AirlinesAmerican Airlines Marriott InternationalMarriott International
© 2003 Prentice Hall, Inc. 7-16
Types of Enterprise Systems
Supply Chain Management (SCM)Supply Chain Management (SCM) Supply chain – the producers of supplies that a Supply chain – the producers of supplies that a
company usescompany uses Supply networkSupply network What if supply chain does not collaborate?What if supply chain does not collaborate? Two objectives of upstream information flow:Two objectives of upstream information flow:
Accelerate product developmentAccelerate product development Reduce costs associated with suppliersReduce costs associated with suppliers
© 2003 Prentice Hall, Inc. 7-17
The Formula for Enterprise System Success Secure executive sponsorshipSecure executive sponsorship Get help from outside expertsGet help from outside experts Thoroughly train usersThoroughly train users Take a multidisciplinary approach to implementationTake a multidisciplinary approach to implementation
