ITSS 3300 Sean Owens UTD

Roles of the Enterprise system:

·

Execute the process (inform, provide data, automation, embedded in the process),

·Capture and store process data (Automatic capture), Monitor performance

Who is this quote by?

"If i had asked people what they wanted, they would have said faster horses" -

Henry Ford

Difference between IT and IS

IT: hardware, software, applications networks

*IS involves people and hardware, software, applications networks

Who is this quote by:

"Where is the life we have lost in living? Where is the wisdom we have lost in knowledge? Where is the knowledge we have lost in information?

TS Elliot

What five forces determine industry structure?

-bargaining power of customers

-threat of substitutions

-bargaining power of suppliers

-threat of new entrants

-rivalry among existing firms.

Inudstry vs Company

Industry: coffee shops

Company: Starbucks

Value

What people are willing to pay

How does an actual company use IS to create competitive Advantages?

1. Enhances existing products

2. Differentiates products

3. Locks in customers

4. Raises barriers to market entry

5. Increases profit margins by decreasing costs and

6. decreasing errors

Business analyst:

strong in business and has a tech background

System analyst:

some business experience and focuses on info systems

Data flow:

movement of data among activities & repositories

Control flow:

directs order of activities.

Why do processes need management?

Improve process quality

Adapt to change in technology

Adapt to change in business fundamentals

Four stages of BPM Cycle:

Model processes

Create components

Implement processes

Assess results

*understand trade off between time, cost, what you get

if a project is done fast, direct costs are high, the longer it takes direct costs may go down but indirect costs increase

Diseconomies of scale(Brook's Scale)

1. Adding more people to a late project makes the project later

2. Productive workers train new people and productivity decreases

3. Schedules compress only so far

4. Once late and over budget no good choice

Principles of Agile:

Expect and welcome changes

Design and test as you go

SDLC vs Agile

Agile is for design as you go and changing- ex a recipe

SDLC is for designing an airport runway. You need data and research prior

Global Competition

design, manufacture, materials, assembly, service

Ex: nike, apple,P&G

Is ICT the cause or result of globalization

Both are right. -

Cause: Video conferencing causes globalization since it makes it easier to work without flying in

or

Results in globalization because you have the technology

Knowledge vs Task worker

Knowledge: Uses knowledge and expertise- accounting, physician, programmer

Task Worker: You have a task and get it done

Business Processes:

Sequence of tasks or activities that take a set of inputs

Key processes for supply chain:

procurement, fulfillment, production

Enterprise Systems:

informs sales, warehouse, and accounting about an order, rather than it being done manually before computers

Fis vs EIS

FIS: only supports one functional area

EIS: supports process among entire organzation

Organizational data

-Companies, sales, divisions, purchasing organizations, physical facilities, hr organization

-Data rarely changes

Transactional data:

data that is in sequence of day to day transaction

Procurement

buying

B2b vs B2C

B2B: more documents, more emphasis on the relationship between consumer and supplier

B2C: fewer documents, more informal

Who is involved in procurement?

all departments are involved in procurement

Intra: vs Inter:

Intra: within a company

Inter: more than 1 company involved

Intra: A Company

PO: Purchase order

agreement to purchase the material for the stated price in the stated term defines payment terms

FOB Free on board:

point at which ownership of material in the shipment actually transfers from one company to another

Instance level information:

meaningful data about a particular step in the overall process

Fulfillment:

selling

Sell from Stock Vs configure to order

Sell from Stock: sell products directly from finished goods or inventory. Iphone or ipad

Configure to order: Custom tesla

Production:

Making a product

assemble vs manufacturing

Assembling: putting things together- a skateboard and assembling it

Manufacturing: process of production of raw materials

Human Capital Management

Involves all the activities related to the recruitment of new employees, the management of those employee's careers while they are working at the company, and the eventual loss of those employees from the workforce due to retirement or termination

Asset Management

Includes activities related to procuring assets, maintaining and repairing assets, replacing assets, accounting for the depreciation of assets, and eventually disposing of, replacing, or retiring assets.

What is Porter's Competitive Strategies? What are the five forces?

Porter's Five Forces is a framework for analyzing a company's competitive environment.

.1. Competition in the industry

2. Potential of new entrants into the industry

3. Power of suppliers

4. Power of customers

5. Threat of substitute products

competitive advantage

used by companies to:

Enhances existing products

Differentiates products

Locks in customers

Raises barriers to market entry

Increases profit margins by decreasing costs and decreasing errors

threat of new entrants,

Threat of new competitors- example:

Rivian coming into the market against tesla

threat of substitution

Consumers find something similiar

Ipods became obsolete to playing music on cell phones

bargaining power of customers/suppliers.

companies and supplier put pressure on the market by raising prices.

Car dealerships have a shortage and can charge over sticker

rivalry among existing firms,

measure of competition

Ex: Verzion vs ATT

High/low barriers to entry.

Barriers could be high or low start up costs, regulations/inspections/permits

Impact of Globalization on Business and ITS

ex: supply chain issues with china affecting US businesses

ICT effect of globalization

reduced costs of outsourcing and increased networking among firms

What is margin, how is calculated?

the difference between what you earned and how much you spent to earn it.

To calculate margin:

Value - Cost

What is a value chain?

a concept describing the full chain of a business's activities in the creation of a product or service

Bikes to rich people vs college kids

competitive advantage

Impact of tradeoffs / triple constraint

Example: you want a job to get done faster so you hire more people but it becomes too expensive for it to be worth it

Diseconomies of Scale - Brook's Law

If a project has already started, adding more people will slow it down

differences between SDLC and Agile/Scrum

SDLC provides a systematic approach to building software towards successful product deliverables within the timelines

Agile has faster development approach and speeds up the development process in an effective and efficient manner.

Streamlining Business Processes - why is this important? What benefits does this add?

important: leads to less error and delay

benefits: Increased productivity by cutting out redundant or inefficient tasks

define a business process

A business process is an activity or set of activities that accomplish a specific organizational goal.

identify the fulfillment process

receiving inventory, storage, order picking, order packing, shipping, delivery and returns.

Functional Organizations vs Process Organizations

Functional orientations are organized along functions, like production, marketing and sales. Process orientations let staff interact between these business functions, or across organizational lines.

identify the procurement processes

Identify which goods and services the company needs. ...

Submit purchase request. ...

Assess and select vendors. ...

Negotiate price and terms. ...

Create a purchase order. ...

Receive and inspect the delivered goods. ...

Conduct three-way matching. ...

Approve the invoice and arrange payment.

Silo Effect

- Occurs when information isn't being shared between departments that need it.

- Weakness is the silo effect itself, while the benefit is that it allows companies to be more efficient.

- Solution to the lack of information flow is implementing an enterprise system.

Types of Enterprise Systems

CRM (customer relations management) SCM (supply chain management)

Master Data, Organizational Data - be able to identify an example of each

master data: customer, data, product data,

organizational data: location, region, layer, level, number of direct reports

Be able to identify potential problems that could result in key business processes if an ES is not present.

accounting and data will not be accurate, pulling data will take too long, inventory management will not be accurate

Definition of Procurement

buying

Definition of Fulfilment

process of taking and send an order to a customer

Process and Instance Level information examples

meaningful data

Definition of Production

making

Roles of enterprise systems

· Execute the process (inform, provide data, automation, embedded in the process),

·Capture and store process data (Automatic capture), Monitor performance

Definition of the integrated process

those that combine more than one specific unit process into a single piece of equipment or into a group of work stations that are operated under unified control