MSIS 2103 Exam 3 Study Guide

Chapter 10: Enterprise Systems

Traditional Transaction Processing Methods and Objectives

1. Batch Processing System:

   • Business transactions are accumulated over a period and processed as a single unit or batch.

   • Essential Characteristic: Delay exists between the event and the processing of corresponding transactions to update records.

2. Online Transaction Processing (OLTP):

   • Each transaction is processed immediately, meaning data in an online system reflects the current status.

   • Many find OLTP enables faster and more efficient service.

Enterprise Systems

• An enterprise system is central to individuals and organizations of all sizes.

• It ensures information can be shared across various business functions and levels of management, aiding in the running and managing of a business.

Enterprise Resource Planning (ERP)

• Definition: A set of integrated programs that manage a company’s vital business operations for the entire organization.

• Business Process: A set of coordinated and related activities that take one or more kinds of input and create an output of value to the customer.

Supply Chain Management (SCM)

1. Definition: A system that includes planning, executing, and controlling all activities involved in sourcing and procurement of raw materials, converting raw materials to finished products, warehousing, and delivering finished products to customers.

2. Process for Developing a Production Plan:

   • Sales Forecasting: Predicting future sales to inform production planning.

   • Sales and Operations Plan (S&OP): Aligning sales and production plans.

   • Demand Management: Ensuring that demand matches supply.

   • Detailed Scheduling: Timing of production activities.

   • Materials Requirement Planning (MRP): Planning for material needs.

   • Purchasing: Acquiring materials.

   • Production: Actual manufacturing of products.

   • Sales Ordering: Managing customer orders.

3. Integration with ERP:

   • ERP systems do not work directly with production machines; data must transition to ERP accounting modules for accurate inventory counts.

   • Production quality data can be integrated based on quality tests run on batches, typically including the batch identification number.

Customer Relationship Management (CRM)

1. Definition: Helps a company manage all aspects of customer encounters, including marketing, sales, distribution, accounting, and customer service.

2. Goal: Understand and anticipate the needs of current and potential customers, often used in sales, marketing, and service organizations.

3. Key Features:

   • Contact Management: Keeping track of customer information.

   • Sales Management: Tools to assist in managing sales processes.

   • Customer Support: Systems to handle customer inquiries effectively.

   • Marketing Automation: Tools to automate marketing actions.

   • Analysis: Providing insights based on customer data.

   • Social Networking: Managing customer interactions on social platforms.

   • Mobile Device Access: Enabling CRM system access via smartphones or tablets.

   • Import Contact Data: Ability to bring in contact lists from external sources.

4. Impact of Mobile Devices:

   • Shoppers can easily compare products and prices on mobile phones.

   • Social media allows customers to share experiences, which savvy retailers can track through their CRM systems.

Product Lifecycle Management (PLM)

1. Definition: An enterprise business strategy that creates a common repository of product information and processes.

2. Supports Collaborative:

   • Creation

   • Management

   • Dissemination

   • Use of product and packaging definition information.

3. PLM Software: Provides tools for managing data and processes associated with various phases of the product lifecycle.

4. Types of Computer-Aided Software:

   • Computer-aided Design (CAD): Software to assist in creating, analyzing, and modifying product designs.

   • Computer-aided Engineering (CAE): Software to analyze robustness and performance of components.

   • Computer-aided Manufacturing (CAM): Software to control machines in the manufacturing process.

5. Manufacturing Types:

   • Discrete Manufacturing: Producing distinct items (like cars, furniture, toys) that can be broken down into basic components.

   • Process Manufacturing: Producing items resulting from chemical processes (like gasoline and pharmaceuticals) that cannot easily be decomposed.

Overcoming Challenges in Implementing Enterprise Systems

1. Tips for Successful Implementation:

   • Assign a full-time executive to manage the project.

   • Appoint an experienced, independent resource for oversight.

   • Allow sufficient time for transitions from old systems to the new system.

   • Allocate appropriate time and budget for training.

   • Define metrics to check project progress and identify risks.

   • Keep the project scope well-defined, focusing only on essential business processes.

2. Avoid Modifications: Beware of modifying the enterprise software to fit existing business practices.

3. Documentation: Focus on documenting existing workflows before implementation.

4. Streamlined Systems: The best systems require minimal changes to workflows regarding user input and effort while alleviating significant pain points.

Chapter 11: Artificial Intelligence (AI) and Automation

Vision Systems

• Definition: Combines hardware and software that permit computers to capture, store, and manipulate visual images and pictures.

• Augmented Reality (AR): A widely used vision system in the medical field, integrating computer-generated images with the user's view.

AI and Employment

1. Impact: AI technology is rapidly entering various industries, leading to fears about job losses.

2. Future Job Growth: Reports indicate that AI could create up to 58 million new jobs by 2022.

Machine Learning Training

Natural Language Processing (NLP)

1. Definition: Enables computers to understand, analyze, manipulate, and generate human language.

2. Applications: Widely used in search engines, requiring interpretation of user queries to return relevant results.

3. Translation: Online translators need to consider grammar and punctuation in addition to word-to-word translations for accuracy.

Industrial Robots

• General Features: Designed for speed, accuracy, and safety. Size and form depend on application.

1. Cartesian Robots:

   • Move in straight lines (compact "footprint").

   • Commonly used in 3D printing applications.

2. Selective Compliance Assembly Robot Arm (SCARA):

   • Easier integration into complex designs.

   • Features lateral and rotary movements, often used in biomedical applications due to speed.

3. Articulated Robots:

   • Function like a human arm, possibly with ten or more rotary joints.

   • Common in manufacturing, especially in automotive assembly for quick and precise operations.

Chapter 12: Strategic Planning and Project Management

Strategic Planning Benefits

1. Framework: Provides guidance for decision-making.

2. Resource Utilization: Helps in focusing resources on key priorities.

3. Proactivity: Enables organizations to take advantage of opportunities rather than reacting passively.

Participation and Communication

1. Involvement: All organizational units participate toward common goals.

2. Performance Measurement: Provides metrics to evaluate performance.

3. Communication Enhancement: Improves communication among management, board members, and other stakeholders.

Situation Analysis

1. Michael Porter’s Five Forces Model: Used for assessing competition.

2. SWOT Matrix: Analyzes an organization’s internal strength/weakness and external opportunities/threats.

User Satisfaction and Technology Acceptance

1. Technology Acceptance Model (TAM): Specifies factors that can enhance user perceptions regarding a new information system, leading to greater usage.

   • Key Factors: Perceived Usefulness (U) and Perceived Ease of Use (E).

Project Variables

1. Scope: Defines tasks included or excluded from a project.

2. Cost: Total capital requirement covering builds, operations, maintenance, and support.

3. Time: Critical timeline aspects affecting project completion.

4. Quality: Ensures the project meets user needs.

5. User Expectations: Expectations about project conduct and impact form as stakeholders engage.

Schedule Management

• Achievable Completion Date: Defining a realistic target for project completion.

• Develop Workable Schedule: Identifying specific tasks and sequencing them.

• Resource Estimation: Estimating resources for each task.

• Control Changes: Monitoring and managing changes effectively through the project lifecycle.

Time Management Tools

1. Gantt Chart: Used for planning, monitoring, and coordinating projects; displays tasks against their deadlines.

2. Work Breakdown Structure (WBS): Outlines work to be done to complete the project.

Project Resource Management

• Activities for identifying, acquiring, and managing resources:

  • Estimating resources needed and acquiring staff/equipment.

  • Enhancing team communication and competencies.

  • Tracking team performance and resolving issues as needed.

Forming-Storming-Norming-Performing-Adjourning Model

• A model describing team development and evolution across its stages.

Chapter 13: System Acquisition and Development

Subscribe vs. Buy vs. Build

System Development

• A set of activities engaged in building information systems to fulfill user requirements, applicable in various fields ranging from nuclear science to video games.

Waterfall System Development Process

• Definition: A sequential, multistage system process where the next stage does not begin until the current stage's results are evaluated and approved or modified.

• Six Phases:

  1. Investigation

  2. Analysis

  3. Design

  4. Construction

  5. Integration and Testing

  6. Implementation

System Investigation

• Purpose: To gain clarity on the problem or opportunity at hand.

1. Review investigation requests.

2. Identify and recruit a team leader and members.

3. Develop a budget and schedule for the investigation.

4. Perform the investigation using methods like Joint Application Development (JAD) and Functional Decomposition.

5. Conduct preliminary feasibility analysis (Technical, Economic, Legal, Operational, and Schedule).

6. Prepare and review the draft of the investigation report with the steering team.

Agile Development

• An iterative approach that develops the system in "sprint" increments, lasting from two weeks to two months.

• Focuses on maximizing delivery speed and adaptability to emerging requirements.

• Scrum: A method to maintain focus and pace in Agile development. The Scrum Master coordinates all activities to ensure effectiveness.

Comprehensive Topics Review

Chapter 1: Information Systems Overview

1. Leavitt’s Diamond: All organizational systems operate within context composed of people, technology infrastructure, processes, and human structure.

2. People: The most critical element of information systems, requiring training and motivation for system usage.

3. Technology Infrastructure: Resources include hardware, software, databases, networks, and services needed to meet stakeholder needs.

4. Processes: Structured activities defining inputs and outputs; procedures detail steps to achieve results.

5. Structure: Defines relationships and responsibilities, with clear roles needed for system success.

Chapter 2: Secure Information Systems

1. Types of Attack Vectors:

   • Advanced Persistent Threat: Long-term undetected network attacks for data theft.

   • Blended Threat: Combines features of multiple types of malicious code.

   • Phishing: Fraudulent use of email to gather personal data.

   • Rootkit: Enables unauthorized access to a system.

   • Smishing: Phishing using text messages.

   • Social Engineering: Deceptive tactics to gain access to sensitive data.

   • Spam: Sending unsolicited emails in bulk.

   • Trojan Horse: Malware disguised as legitimate software.

   • Virus: Code that disrupts normal device operations.

   • Worm: Malware that replicates itself, spreading across networks.

2. CIA Security Triad:

   • Confidentiality: Ensures that sensitive information is accessed only by authorized users.

   • Integrity: Guards against unauthorized data modifications.

   • Availability: Ensures that information and resources are accessible when needed.

3. Implementing CIA at the Network Level:

   • Authentication Methods:

     • Types of credentials: What you know (passwords), what you have (devices), what you are (biometric).

     • Two-factor authorization and biometric authentication enhance security.

4. Encryption:

   • Scrambles data to prevent unauthorized access; requires encryption keys for decoding.

   • Common algorithms include Advanced Encryption Standard (AES) used with WPA2 security protocols.

Chapter 4: Hardware and Software

1. Server Virtualization:

   • Logically divides resources of a physical server to create multiple virtual servers.

   • Hypervisor: Controls the host processor and allocates resources for each virtual machine.

Chapter 5: Database Systems

1. DBMS Functions:

   • Manages data storage and retrieval; interfaces between applications and databases.

   • Concurrency Control: Manages situations with simultaneous user access to the same records.

Chapter 6: Big Data Characteristics

1. Characteristics of Big Data:

   • Enormous (terabytes or more), Complex (varieties from sensor data to social media), problematic for traditional processes.

   • Key characteristics include Volume, Velocity, Variety, Veracity, and Value.

Chapter 7: Networking

1. Client/Server Architecture: Framework where multiple clients request and utilize services from servers across a network.

2. Domain Name System (DNS): Maps human-friendly domain names to IP addresses for locating websites.

3. Uniform Resource Locator (URL): The web address that specifies the exact location of a webpage.

Chapter 8: Internet of Things (IoT)

1. Definition: A network of physical objects embedded with sensors, processors, software, and connectivity for data exchange.

2. Sensors: Devices capable of sensing and reporting on physical conditions (e.g., pressure, temperature).

3. Business Benefits of IoT:

   • Reduces costs, enhances understanding of consumer preferences, improves customer service and experience, and promotes workplace safety.

Chapter 9: E-Commerce

1. Electric Payment Systems:

   • Authentication Technologies: Used to confirm user identity.

   • Digital Certificates: Verify identities of senders or websites.

   • Certificate Authority (CA): Trusted entities that issue digital certificates to ensure secure transactions.