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Comm 226: Business Technology Management > week 5: enterprise systems part 1 > Flashcards

week 5: enterprise systems part 1 Flashcards

(64 cards)

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1
Q

What are the fundamental ways of achieving competitive advantage?

A

Changing the product

Business processes

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2
Q

how to change the product to obtain competitive advantaged?

A

By introducing new products or services or enhancing current products or services

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3
Q

how do business processes obtain competitive advantage?

A

the use technology

this helps lock in customers, reduce costs, and create entry barriers for competitors in the market

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4
Q

how can information systems

can affect competitive advantage?

A

By making the primary and support activities in an organization more productive than those of competitors

making business processes more effective and more efficient to increase productivity

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5
Q

primary and support activities in an organization

A

referring to the value chain

thinking that the value chain activities serve several functions in the organization

are building blocks in an organization

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6
Q

primary activities

A

Relate directly to organization’s customers and
products

mostly create value

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7
Q

what is part of primary activities?

A

Marketing and sales

Inbound logistics

Operations and manufacturing

Outbound logistics

Service and support

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8
Q

support activities

A

facilitate primary activities

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9
Q

what is part of support activities?

A

Human resource

Accounting and infrastructure

Procurement

Technology activities

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10
Q

which are the systems used in primary activities?

A

operation systems

manufacturing systems

sales systems

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11
Q

Functional silos

A

Systems designed to work independently of one another

such as operation systems, manufacturing systems, sales systems

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12
Q

in reality, are functional systems independent or inter-related? why?

A

inter related

organization as a whole is inter related

ex: Purchasing influences inventory, which influences production, which influences customer satisfaction, which influences future sales

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13
Q

when you make a decision, must you consider all the other functional silos or functional systems in the organization?

A

ye bruv

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14
Q

what must managers do with functional silos? how is this inefficient?

A

they must query separate functional systems and integrate the data manually

creates a lot of errors which creates error in decision making process

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15
Q

which are the major functions in functional systems?

A

marketing and sales

operations

manufacturing

human ressources

accounting and finance

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16
Q

which are the main information systems in the marketing and sales function?

A

product management

lead tracking

sales forecasting

customer management

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17
Q

which are the main information systems in the operations function?

A

order entry

order management

inventory management

customer service

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18
Q

which are the main information systems in the manufacturing function?

A

inventory

planning

scheduling

manufacturing operations

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19
Q

which are the main information systems in the human resources function?

A

payroll and compensation+

recruiting

assessment

development and training

human ressources planning

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20
Q

which are the main information systems in the accounting and finance function?

A

general ledger

financial reporting

accounts receivable

accounts payable

costs accounting

budgeting

cash management

treasury management

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21
Q

Why Are Functional Systems Changing?

A

they are limited because they operate in isolation

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22
Q

what happens when functional systems are limited because they operate in isolation?

A

Data duplication results from each application having own database

Business processes disjointed across functions

Limited information available at any one source

Limited information available at any one source

Inefficient decisions based on limited knowledge

Increased costs to organization

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23
Q

how are disjointed business processes a problem?

A

produces lack of integrated enterprise information

managers have it difficult to see the big picture?

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24
Q

how is data duplication an issue?

A

potential lack of data integrity

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25
Integrated, Cross-Functional Systems
Cross-departmental systems operate across departmental boundaries what we need to achieve
26
why is transition from functional systems to integrated cross-functional systems is difficult?
need a lot of coordination Integrated processing needs many departments to coordinate activities Inter-organizational systems are cross- functional systems used by two or more related companies Most organizations today have a mixture of functional and integrated systems
27
How can business processes be improved?
Adding resources, such as adding more workers Adding increased specialization Changing/eliminating nonproductive activities
28
what already supports business processes?
information systems IT enables firms to innovate and make significant change
29
what does using IT to improve business process require?
understanding of where improvements are possible
30
what do more efficient business processes integrate?
the activities of all departments involved in a value chain
31
Enterprise Application Integration (EAI)
a way go combine different functional systems by adding some lawyers of software to connect them together older thing An approach to combining functional systems it uses layers of software as a bridge to connect different functional systems together
32
Enterprise Resource Planning (ERP)
much better and modern approach creating a new system with one central data base it combines all the data components, elements, and other shit from processes A second approach to combining functional systems one central database is combined with a set of standard processes built on top of the database to ensure integration between functional area
33
what is the main design principle of ERPs?
one central database it is combined with a set of standard processes built on top of the database this ensures integration between functional area
34
what is the body of the Enterprise Resource Planning (EAI)
the manager at the top the EAI server right after from which the manager accesses the data underneath it, there is the different EAI interfaces that sends data to the EAI server underneath, there are the corresponding independent functional systems for each EAI interface
35
what is the body of the Enterprise Application Integration (ERP)
The manager at the top underneath is the ERP database which is the single central database from which the manager accesses data underneath are the functional areas where people send and receive data to the ERP database no functional systems exist. They were replaced by ERP modules
36
What are the challenges of implementing business process changes? why will process design projects be expensive and difficult?
There is a lot of detailed work to be done to determine what to change and make an effective decision Hard to estimate the business value that will emerge from business process changes Many people like change but do not want to change May take a long time Very expensive and outcomes are uncertain
37
why did many early business process design projects fail?
because they were tailor-made Software vendors designed integrated applications, with built-in industry standard processes
38
what was the goal of designing integrated applications, with built-in industry standard processes (which was a mistake)
Integrate activities across departments Save costs of new process design Examples: Oracle, Salesforce.com, Microsoft, or SAP
39
what were the problems with designing integrated applications, with built-in industry standard processes?
Industry standard processes may be very different from existing processes in the organization May require the organization to change substantially
40
What are ERP systems?
Support all the primary business processes as well as the human resource and accounting support processes Enterprise-wide systems that integrate sales, order, inventory, manufacturing, and customer service activities ERP systems provide software, pre- designed databases, procedures, and job descriptions for organization-wide process integration
41
who are the primary ERP users?
manufacturing companies
42
what are the characteristics of the ERP?
cross functional, process view of the organization formal approach based on formal business models maintains data in centralized database offers large benefits difficult, fraught with challenges, and can be slow to implement often very expensive
43
benefits of ERP
Efficient business processes Inventory reduction Lead-time reduction Improved customer service Greater, real-time insight into organization Higher profitability
44
what are cross-functional systems developed for?
cross-functional systems developed to overcome problems in functional silos
45
what do Customer Relationship Management (CRM) systems do?
Support the business processes of attracting, selling, managing, delivering, and supporting customers support the direct value chain activities that involve the customer Integrate four phases of the customer life cycle: marketing, customer acquisition, relationship management, and loss/churn
46
in Customer Relationship Management (CRM) systems, how is the customer data stored?
All customer data stored in single database
47
Purpose of Relationship Management
To maximize the value of the existing customer
48
Two types of applications for Relationship Management applications
Sales Management applications Integrated CRM applications
49
Sales Management applications
support sales to existing customers Ensures that sales management has sufficient information to prioritize and allocate sales time and efforts
50
Integrated CRM applications
store data in a single database
51
can CRM processes be linked to one another?
ye bruv
52
what are the CRM components?
solicitation Lead tracking (pre-sale) relationship management (post sale)
53
what does CRM solicitation do?
generate prospects via messages to target market
54
what does CRM solicitation use to generate prospects via messages?
use email, websites, and other IS messaging media support direct mail, catalogue, and other tradition promotion
55
what is the goal of CRM lead tracking (pre sale)?
track sales leads track customer responses and contacts prioritize responses to maximize new customer revenue
56
what does CRM relationship Management (post sale) do?
maximize the value of existing customer base
57
what does CRM relationship Management (post sale) use to maximize the value of existing customer base?
sales management applications customer support applications
58
what do CRM sales management applications do?
prioritize customer using purchasing history increase sales to existing customers focus reselling on high-value customers win back lost high value customers
59
what do CRM customer support applications do?
manage orders track customer' problems and problem resolutions prioritize responses according to customer value gather data for product improvement
60
what are supply chain management (SCM) systems?
inter-organizational systems that enable companies to efficiently handle the flow of good from suppliers to customers integrating all different aspects of supply chain to present it as a coherent ensemble to stakeholders and everyone in the orgnaization
61
what is a supply chain?
a network of organizations and facilities that transforms raw materials into products delivered to customers
62
who does a supply chain involve?
customers retailers distributors manufacturers suppliers transportation companies warehouses inventories some means for transmitting messages and information among the organizations involved
63
Customer Relationship Management (CRM) systems
Support the business processes of attracting, selling, managing, delivering, and supporting customers Direct value chain activities that involve the customer Integrates four phases of the customer life cycle All customer data stored in single database
64
four phases of the customer life cycle
marketing customer acquisition relationship management loss/churn

Comm 226: Business Technology Management (15 decks)

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