ITSS LEC 5 - Processes, Organizations, and Information Systems

Business Process

a network of activities that generate value by transforming inputs into outputs.

Structured Processes

Formally defined and standardized processes that involve day to day operations

Dynamic processes

flexible, informal, and adaptive processes that normally involve strategic and less structured managerial decisions and activities.

Workgroup processes

Enable workgroups to fulfill the purpose and goals of a particular group or department. When problems occur, they are solved within the group.

Enterprise processes

Span an organization and support activities in multiple departments. When problems occur, they are solved with more than one workgroup or departent.

Inter-enterprise processes

Spans across two or more independent organizations, requiring collaboration and coordination between them. When problems occur, the solution requires cooperation of multiple and independent organizations.

Process efficiency

a measure of the ratio of process outputs to inputs. The goal is to produce more outputs with less inputs. A higher ratio indicates greater efficiency, meaning that more output is being generated for the same or fewer inputs.

Process effectiveness

a measure of how well a process achieves organizational strategy - rating 1-5 - if an organization differentiates itself on quality customer service and if the process requires 5 days to respond to an order request, then that process is ineffective.

Customer Relationship Management (CRM)

A suite of applications, a database, and processes for managing all customer interactions, from lead generation to customer service.

Enterprise Resource Planning (ERP)

A suite of applications called modules, including a database, and processes for consolidating business operations into a single, consistent, computing platform.

Material Requirements Planning (MRP)

Software that helps manufacturers determine what materials they need, when they need them, and in what quantities.

Enterprise Application Integration (EAI)

A suite of software applications that integrates existing systems by providing layers of software that connect applications.