chap10 flashcards/ practice Qs

IS within the Organizations

use cases that support FAIS:

Production Operations Management— responsible for the processes that transforms inputs into useful outputs as well as for the over operations of the business

such as(most important):

Blockchain applications

computer integrated manufacturing

product cycle management

POM application—Blockchain

enables organizations to keep track of transactions and records in a way that is fast, secure, and highly reliable.

POM application—Computer Integrated Manufacturing(CIM)

an approach that integrates various automated factory systems.

POM Application—Product Cycle Management

a business strategy that enables manufacturers to share product-related data that support product design and development and supply chain operations

How blockchain transforms manufacturing

improved traceability— shipping status

optimized inventory management—track inventory

enhanced data security— data encryption and early uneditable data

• manufactures dont have to worry about a breach client and supplier data

automated payments with smart contracts— make quick payments with little error

examples of blockchain POM applications

used in supply chain, grocery industry, manufacturing

Why is blockchain successful in Production Operations Management?

Because the blockchain is shared, all information is transparent and accessible to everyone with access

Three basic goals of Computer Integrated Manufacturing(CIM)

to simplify all manufacturing technologies and techniques

to automate as many of the manufacturing processes as possible

to integrate and coordinate all aspects of design, manufacturing, and related functions through computer systems

How does the Product cycle Management work?

applies Web-based collaborative technologies to product development

integrates disparate functions(ex. the manufacturing process & its logistics) and enables collaboration to form a single management team

Which primary area of the organization (or function) is responsible for managing an organization's supply chain?

Production Operations Management(POM)

Transaction from a business perspective

any business event that generates data worthy of being captured and stored in a database

• (e.g., product manufactured, a service sold, a person hired, and a payroll check generated)

source data automation

involves collecting data from sensors ( ex barcode scanners) that allows data entry directly into a computer without human intervention

• used by TPS

Transaction in a Database

a unit of work completed in logical order which can be performed manually or automatically.

Transaction Processing System (TPS)

supports the monitoring, collection, storage, and processing of data from the organization’s basic business transactions, each of which generates and collects data continuously, in real time.

Transactions either ______ or _____.

succeed, fail

no such thing as a partial transaction

rollback

when a transaction fails the system returns to the same state it was before the transaction was started

Two Types of TPS

Batch Processing

Online transaction processing (OLTP)

Type of TPS—Batch processing

the firm collects data from transactions as they occur, places them in groups, then prepares and processes them periodically (e.g. overnight or every hour).

Type of TPS—online transaction processing(OLTP)

transactions are processed online as soon as they occur and the system performs tasks in real time.

How are TPS used in data management?

transaction processing systems are inputs for FAIS, BI, CRM, and e-commerce

• TPS is critical in supporting core operations

FAIS— functional area information systems

BI— business intelligence

CRM— customer relationship management

FAIS reports

routine reports—reports produced at scheduled intervals.

ad-hoc reports—out-of-the routine reports(on demand)

Routine Reports

Typically summarize expected business operations and are generated daily, monthly, annually etc.,

• are produced at scheduled intervals.

• Examples range from hourly quality control reports to daily reports on absenteeism rates.

Types of Ad-hoc Reports

Drill Down reports

Key indicator reports

Comparative reports

Drill-Down Reports:

display a greater level of detail.

ex. manager examines sales by region, then focus specifically on sale by store, then salesperson

Key Indicator Reports:

summarize the performance of critical activities.

ex. chief financial officer might monitor cash flow and cash on hand

Comparative Reports

compare and contrast the performances of different business units or of a single unit during different time period

Exception Reports

include only information that falls outside certain threshold standards.

What’s the process for making an exception report/ implementing management by exception?

• management first establishes performance standards

• then creates system to monitor performance

• system produces exception reports

Business functional area examples of a production reports

• sales» forecast sales,

• service/call center» customer satisfaction,

• Marketing» campaign effectiveness

• procurement and support» supplier performance

• supply chain» fulfillment status

• financials» general ledger

• human resources» employee productivity

How can ERP systems be used?

ERP systems can

• be used to manage daily customer service operations

• facilitate workflow among multiple business units

• serve as an integrated supply chain management system and connect external orgs

What is a benefit and goals of an ERP system?

ERP systems allow for better planning, management, and integration of business process as well as resources through enterprises level software. It’s considered standard practice.

Enterprise Resource Planning(ERP)

designs to correct a lack of communication between FAIS of a business though a standard business process workflow

Key advantages of ERP include:

Organizational flexibility

Decision support for executives

Increased quality and efficiency

Error reduction

Reduced redundancy

Key disadvantages of ERP include:

Can be costly to customize

Many complex interconnections

Takes a lot of capital up front

Revised workflow & extensive training

ERP II systems

inter-organizational systems that provide Web-enabled links among a company’s key business systems and its customers, suppliers, distributors, and other parties

How are ERP II systems used?

These architectures are particularly prominent in supply chain management

Most vendor supported ERP II systems today are highly customized public/private/hybrid cloud architectures

ERP II is emerging and is considered the most advanced!

Core ERP Modules:

Accounting and Financial

Manufacturing and Production

Human Resources

Extended ERP:

Business Intelligence/Analytics

E-Business

Supply Chain Management

Customer Relationship Management

What is necessary for an ERP system to have?

Core Modules—If an ERP system doesn’t have Core Modules it’s not ERP, extended is optional

Major Causes of ERP Implementation Failure

• Failure to involve affected employees in the planning and development phases

• Trying to accomplish too much too fast in the conversion process

• Insufficient training for the new work flow and procedures as required by the application

• Failure to perform proper data conversion and testing for the new system

ERP Implementation— On premise

Company is fully responsibly for the management of the ERP system, software, and hardward

vanilla approach

company implements a standard ERP package, built in configurations

custom approach

implements customized ERP system by developing new ERP functions designed specifically for that firm

best of breed approach

combines benefits of Vanilla approach and Custom Approach while avoiding the extensive cost and risks of extensive customization

Software as a Service(SaaS)—for ERP

a cloud-based solution in which the company rents the software from an ERP vendor who offers its products over the Internet, manages software updates, and is responsible for the system’s security and availability.

Advantages of Cloud-Based ERP

• cloud based ERP— can be a good fit for some companies that cant afford large investments into IT but already have structured business processes that need tight integration

• Cloud based ERP is scalable, possible to extend support for new business processes and new partners by purchasing new ERP modules

Disadvantages of Cloud-Based ERP

• security risks— unclear whether cloud-based ERP is as secure as on-premise; many business have not adopted cloud-based for this reason

• less control over a strategic IT resource— companies prefer an on-premise ERP system monitored by a robust IT department

• System errors— the lack of control rears its head when the cloud-based system experiences problems. With an on-premise ERP the internal IT department can troubleshoot problems immediately, rather than through a vendor support system

What are example functions of ERP II

functions of ERP II are delivered as e-business suites

• ERP vendors have web enabled software suites that integrate extended ERP modules(supply chain, CRM, etc.,) with other business applications

What is the goal of ERP II?

to enable companies to execute business processes using a single web based system of integrated software rather than separate applications

Guiness World Records business model and data collection

people around the world can apply for a Guinness world record, but attempts must be measurable and repeatable

• Guinness now works with many brands and helps create records- based marketing initiatives

• would-be record breakers must provide evidence— video, photo, and witness statements

• 2019 volume of data— 500 mb a month to 4tb:

GWR migrated its IT infrastructure to Amazon web services cloud computing platform when moving from publishing house to creative consultancy—digital transformation program

What service does Amazon Web Service provide to GWR?

AWS enabled GWR to introduce a standard records management platform that integrates all the records of GWR global business

AWS provided GWR with a digital asset management system to control all the evidence relating to record attempts as well as the marketing videos GRW made for clients

Enterprise Computing

computing software primarily used by companies and organizations

How has enterprise computing transformed over the years?

• in the early 1990s, organizations began to use networking standards to integrate different kinds of networks throughout the firm, thereby creating enterprise computing

• TCP/IP networking protocol to integrate different types of networks was created with Web 1.0

• Software applications and data now flow seamlessly throughout the enterprise and between organizations