Business Information Systems (BIS) 100: Revision

One or more problems with traditional production systems

* Excess Inventory * Lack of integration between divisions in organisation * Inaccurate production forecast will create incorrect purchasing decisions

What problems could be resolved with a HR Management System?

* HR Staff organise employee training * HR Staff have to produce weekly pay checks and pay roll reports * HR Staff work to identify potential problems

What can analytical CRM modeling tools discover?

* Identify opportunities for expanding customer relationships. * Identify opportunities for cross-selling. * Identify opportunities for up-selling.

SCM IS Options

* Inventory Management and Control IS - to improve inventory levels by providing control and visibility to the status of the individual items maintained in inventory. * Global Inventory Management IS - provides ability to locate, track, and predict component or material movements in the supply chain (upstream and downstream). * Transportation Planning IS - track and analyse the movements of materials and products to ensure delivery of materials and finished goods at the right time, place, and at the lowest cost. * Distribution Management IS - coordinate the process of transporting materials from a manufacturer, to distribution centres, then to the final customer.

What are the four (4) main features of a system (excluding control and feedback)?

* Transformation * Boundary * Inputs * Outputs

The supply chain consists of all parties involved, directly or indirectly

* in the procurement of a raw material (supplies) * in the procurement of a product (deliveries)

Core components of ERP:

1. Accounting and Finance 2. Production and Materials Management 3. Human Resource

What are the primary forces driving the growth of CRM?

1. Automation/productivity/efficiency 2. Competitive advantage 3. Customer demands/requirements 4. Increase revenues 5. Decrease costs 6. Customer support 7. Inventory control 8. Accessibility

Extended components of ERP:

1. Business Intelligence 2. Customer Relationship Management (CRM) 3. Supply Chain Management (SCM) 4. E-Business

SCM Drivers

1. Facilities Driver - Focuses on location, capacity, and operational design. 2. Inventory Driver - Focuses on inventory levels. 3. Transportation Driver - Focuses on the delivery of the products. 4. Information Driver - Focuses on information sharing, and the push/pull information strategy.

What are the 3 components of IT Management?

1. Managing Business and IT Strategy 2. Managing Application Development and Technology 3. Managing the IT Organisation and Infrastructure

The three phases in the evolution of CRM information systems are:

1. Reporting - Customer Identification Information Systems 2. Analysing - Customer Segmentation 3. Predicting - Customer Prediction

Define IT Architecture

A conceptual design, or blueprint, of an organisation's IS/IT functions, hardware, and software created by a strategic business / IT planning process

Define a System

A group of interrelated components with clearly a defined boundary, working together to achieve a common set of goals. Accepts inputs and produces outputs in an organised transformation process.

Business Process:

A standardized set of activities that accomplish a specific task, such as processing a customer's order

Define Information System

A system that uses people, hardware, software, and network resources to collect, transform and disseminate information within an organisation "An information system is a collection of processes, communication networks, and stores. These are made with a compilation of people, hardware, software, policies and procedures. Information systems are relied upon to gather and transfer information between input users and output users."

Define Computer-based Information System

An information system that uses computers and their hardware and software

A business process is a standardised set of __________ that accomplish a specific task, such as processing a customer's order.

Any of the following: - Activities - Tasks - Steps

Define End Users

Anyone who uses an information system or the information it produces

What business types are there?

Brick-and-mortar business Pure-play business (internet only) Click-and-mortar business

IS and TI Professionals are the ________ between business and technology

Bridge OR Connection

An example of B2B

Business to Business e.g. Alibaba.com

An example of B2C

Business to Consumer e.g. Any online shop

What is a reverse auction?

Buyers use to purchase a product or service, selecting the seller with the lowest bid. The money is made through paying to make bids.

How many tiers? (ICT) A static Web site (i.e. one that doesn't use a database and is not data-driven)

Client Server (One-Tier) Software Application / System

Define - List Generator Information System

Compiles customer information from a variety of sources and segments the information for different marketing campaigns

CARROT Framework

Complete Accurate Relevant Reliable Objective Timely Source

Define IS Operations Management

Concerned with the use of hardware, software, network, and IS personnel resources within the corporate or business unit

An example of C2B

Consumer to Business e.g. Priceline.com

An example of C2C

Consumer to Consumer e.g. Ebay.com

The term ______ is used to describe the multidimensional information that a data warehouse provides and the user of an analytical information system manipulates (e.g. slices and dices)

Cube

Define Customer Relationship Management:

Customer Relationship Management involves *managing* all aspects of a customer's relationshp with an organisation to increase customer loyalty and retention and an organisation's profitability

What is CRM?

Customer Relationship Management: A business strategy that involves managing all aspects of a customer's relationship with an organisation to increase customer loyalty and rentention and an organisation's profitability.

What is the name generally given to the information store that holds all of the operational information and external information for the analytical information system?

Data Warehouse

What is Association Detection?

Detect patterns in data (e.g. this data is often found with that data)

What is the conducting of business over the Internet including, not only buying and selling, but also serving customers and collaborating with business partners called?

E-Business

Define Enterprise Resource Planning (ERP):

ERP integrates all departments and functions throughout an organisation into a single IT system (or integrated set of IT systems) so that employees can make enterprise wide decisions by viewing enterprise wide information on all business operations.

What is effectiveness?

Effectiveness is the level in which satisfaction can be met and produce the desired results. Good effectiveness will lead to higher customer satisfaction with a business. "relates to the impact the system has on business processes and activities including customer satisfaction, conversion rates, sell-through increases, etc"

What is efficiency?

Efficiency is the speed in which something can be completed or finished, the more efficiency there is, the less effectiveness there is. For example, a business could produce a pre-built computer in less than an hour, though make a customised one in 5 hours. This is efficient as it is of fast production, though it is not effective as it doesn't match to the customer's exact needs. "Relates to the performance of the system including throughput, speed, availability, etc"

What are the auction types?

Electronic Auction (E-Auction) Forward Auction Reverse Auction

Define - Analytical Information

Encompasses all business information plus external information.

Define - Transactional Information

Encompasses all of the information contained within a single business process or unit of work.

The 5 Functional Information Systems are:

Finance, Production, HR Management, Marketing, Accounting

Business / IT Planning Process

Focuses on discovering innovative approaches to satisfying a company's customer value and business value goals with the support of IT

What is Statistical Analysis?

Forecast trends in data (e.g. is the data increasing, what is the average)

What jobs aren't affected by a flat world?

Friedman suggests that for many, the only way to prevent this will be for people to become "untouchables" — people whose jobs are not at risk of being outsourced in the near term. He suggests several types of untouchables: 1. Special workers - workers whose extraordinary skill and talent make them irreplaceable 2. Specialized workers - those with specialized knowledge 3. Anchored workers - those whose physical location is important 4. Really adaptable workers - those who continually evolve

What is Cluster Analysis?

Group data that is similar (e.g. what is the most common data)

Define - Campaign Management Information System

Guides users through marketing campaigns

For very large companies what can the total cost of an ERP deployment be?

Hundred of millions of dollars

Define Information Technology

IT is the software, hardware, networking, and data management technology used to run the information system. ICT is the expansion upon IT by introducing the communication network to the framework.

Types of Information Systems

Information systems can be classified into operations, management and other categories

What is an electronic marketplace?

Interactive business communities providing a central market space where multiple buyers and sellers can engage in e-business activities

Purpose of a Transaction Information

It's primary purpose is to support the performing of daily operational tasks within the business

Purpose of a Analytical Information

Its primary purpose is to support the performing of managerial analysis tasks.

Two major types of Information Systems

Management Support Systems & Operations Support Systems

Compare Operational & Analytical CRM:

Operational CRM - supports traditional transactional processing for day-to-day front-office operations or systems that deal directly with the customers Analytical CRM - supports "back-office" operations and strategic analysis and includes all systems that do not deal directly with the customers

Define IS Specialists

People who develop and operate information systems

Define Knowledge Workers

People who spend most of their workday creating, using, and distributing information

An Enterprise Application Portfolion is a ________ of applications that are core to a business

Possible answers: * Set * Number * Group * Collection

What is the difference between primary & support in the Value Chain Analysis?

Primary activities transform the inputs to the products or services, and the secondary activities support the primary activities.

Which of these is NOT a common sales operational CRM information system? * Product Management CRM Information System * Sales Managemetn CRM Information System * Contact Management CRM Information System * Opportunity Management CRM Information System

Product Management CRM Information System is NOT a common sales operational CRM IS.

What is a business that operates on the Internet only without a physical store?

Pure-play business

Define Technology Management

Rapidly changing technological developments must be anticipated, identified, and implemented

What does RFM stand for?

Recency, frequency, and monetary value. The RFM formula explained: * How recently a customer purchased items. * How frequently a customer purchases items. * The monetary value of each customer purchase

The most popular and successful type of transactional / operational database in business is the ______________ database

Relational

What is the evolution of CRM?

Reporting - Customer Identification (Asking what happened) Analyzing - Customer Sementation (Asking why it happened) Predicting - Customer Prediction (Asking what will happen)

Bullwhip Effect

The bullwhip effect occurs when distorted product demand information passes from one entity to the next throughout the suply chain. This can cause a stockpile of inventory, or a shortage.

Define Chargeback Systems

The cost of IS services may be allocated back to the end user

Define System Performance Monitor

The software that helps monitor and control computer systems in a data center

The World is Flat: Thomas Friedman (Theory) - AGAINST

The world isn't flat as there are many situations preventing this such as: * Affordability and Accessibility to Technology * Language barriers * Time Zone differences * Social and cultural differences * Economic situations

Porter's Three Generic Strategies

Three generic strategies in business Low Cost Strategy - try to produce the lowest cost products (across the range) Differentiation Strategy - try to produce distinctly different product (across the range) Niche Strategy - focus on a niche market (e.g. a very low cost or a peculiar product)

How many tiers? (ICT) Google Docs Spreadsheet program

Three-Tier Software Application / System

What is an e-shop?

Version of a retail store where customers can shop at any hour of the day without leaving their home or office

Value Chain:

Views an organization as a series of processes, each of which adds value to the product or service for each customer

What is a Web site or Web application that uses content form more than one source to create a completely new service?

Web mashup

The World is Flat: Thomas Friedman (Theory) - FOR

What is Flat World? It is the techonological and social shifts that effectively leveled the conomic world through greater inter-connection. For the Flat World: 1. Fall of the Berlin Wall 2. Netscape IPO 3. Work Flow Software 4. Open-sourcing 5. Outsourcing 6. Offshoring 7. Supply-chaining 8. Insourcing 9. Informing 10. Wireless

A _________ is central to a back-office analytical CRM information system

data warehouse

An organisation that has visibility throughout their entire supply chain is called an __________ organisation!

extended

Supply Chain Management involves the management of __________ flows between and among stages in the supply chain.

information

At the heart of all ERP information systems is an ________ _________, when a user enters or updates information in one module, it is immediately and automatically updated throughout the entire system.

information store

Briefly explain the Value Chain items:

Review and store raw materials - the business processes for receiving and storing raw materials that come into the business. Make the product or service - the business processes (manufacturing or otherwise) that make the product or service. Deliver the product or service - the business processes for delivering the product or service . Market and sell the product or service - the business process for marketing and selling the product or service. Service after the sale - the business processes for service after the sale. Business infrastructure (including TI) - the business processes for the infrastructure within the business (e.g supportive services) and business processes for ICT infrastructure. Human resource management - the business processes for managing the human resource within the business (e.g. recruitment, development, rewards). Research and development - the business processes for research and development within the business (i.e. researching new products or services and bringing them to market). Procurement - the business processes for procuring (i.e. finding and obtaining) all things the business requires to function (e.g. from raw material to ICT infrastructure and buildings).

What is an e-auction?

Sellers and buyers solicit consecutive bids from each other and prices are determined dynamically. Sellers and buyers are often matched together by what is the most important feature of the product/service, e.g. quality.

What is a forward auction?

Sellers use as a selling channel to many buyers and the highest bid wins, this is the most common type of auction.

How many tiers? (ICT) Desktop version of MS Excel

Standalone (One-Tier) Software Application / System

CBV (Create Business Value) with IT Framework

Steps for case study: Step 1: Perform Value Chain Analysis Step 2: Determine Business Strategies and Processes Step 3: Determine Information Systems Needed Step 4: Determine ICT Infrastructure Needed 1. Name the Step (Do first for all) 2. Explain the Step (Do first for all) 3. List the key issues the business is currently facing (In step 1) 4. Name the overall problem's that need addressing (In Step 1) 5. Apply to the case study (Do for all) 6. Provide Justification (Do for all)

What is a strategy?

Strategies are a cluster of decisions in connection with choosing goals to pursue, while also determining the actions and resources needed to achieve those goals. Often referred to as a plan.

What are Porter's 5 Forces?

Supplier Power Rivalry Amongst Existing Competitors Threat of Substitue Products or Services Buyer Power Threat of New Entrants