Business Information Systems Midterm

Enterprise Resource Planning (ERP)

Integrates all departments and functions throughout an organization 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.

Business Facing Process

Invisible to the external customer but essential to the effective management of the business

Implementation Phase

Involves placing the system into production so users can begin to perform actual business operations with it.

BPI

Low risk / low cost • Incremental change • Bottom-up approach • Takes less time • Quantifiable results • All employees trained in BPI

Accounting and finance ERP component

Manages accounting data and financial processes within the enterprise with functions such as general ledger, accounts payable, accounts receivable, budgeting, and asset management.

accounting and finance ERP components

Manages accounting data and financial processes within the enterprise with functions such as general ledger, accounts payable, accounts receivable, budgeting, and asset management.

Website Personalization

Occurs when a website has stored enough data about a person's likes and dislikes to fashion offers more likely to appeal to that person

▪Five basic supply chain activities

Plan, source, make, deliver, return

Data

Raw facts that describe the characteristics of an event or object.

Customer Facing Process

Results in a product or service that is received by an organization's external customer

Volume

Scale of data

Hybrid ERP

Splits the ERP functions between an on premise ERP system and one or more functions handled as Software as a Service in the cloud

Services

Tasks performed by people that customers will buy to satisfy a want or need.

Business Process Modeling

The activity of creating a detailed flow chart or process map of a work process showing its inputs, tasks, and activities, in a structured sequence

Velocity

The analysis of streaming data as it travels around the Internet.

Data, Information, Business Intelligence, Knowledge

The core drivers of the information age

THE POWER OF THE CUSTOMER

The customer is always right and now has more power than ever thanks to the Internet

Supply Chain Management

The management of information flows between and among activities in a supply chain to maximize total supply chain effectiveness and profitability

• Systems development life cycle (SDLC)

The overall process for developing information systems from planning and analysis through implementation and maintenance.

Information Age

The present time, during which infinite quantities of facts are widely available to anyone who can use a computer.

Production

The process where a business takes raw materials and processes them or converts them into a finished product for its goods or services.

Veracity

The uncertainty of data, including biases, noise, and abnormalities

Human resource ERP component

Tracks employee information including payroll, benefits, compensation, performance assessment, and assumes compliance with the legal requirements of multiple jurisdictions and tax authorities

Human Resource ERP Components

Tracks employee information including payroll, benefits, compensation, performance assessment, and assumes compliance with the legal requirements of multiple jurisdictions and tax authorities.

Core ERP components

Traditional components included in most ERP systems and they primarily focus on internal operations.

Functions

a pre-built formula graciously provided by Microsoft for us to use • Allows you to quickly perform often complex operations on data

Business Process Reengineering

analysis and redesign of workflow within and between enterprises

Alpha Testing

assess if the entire system meets the design requirements of the users

Pilot Implementation

assigns a small group of people to use the new system until it is verified that it works correctly, then the remaining users migrate to the new system

Continuous Process Improvement Model

attempts to understand and measure the current process, and make performance improvements accordingly

Continuous process improvement model

attempts to understand and measure the current process, and make performance improvements accordingly

User Acceptance Testing

determine if the system satisfies the user and business requirements

Plunge Implementation

discards the legacy system and immediately migrates all users to the new system

Phased Implementation

installs the new system in phases (for example, by department) until it is verified that it works correctly

A1

is the "name" of cell at the intersection of Column A and Row 1

Formulas

perform operations on data to calculate new data and/or information • Begin with an equal sign (=) • Can contain cell references, constants, functions, and mathematical operators

Unit Testing

test individual units or pieces of code for a system

Development Testing

test the system to ensure it is bug-free

Parallel Implementation

uses both the legacy system and new system until all users verify that the new system functions correctly

Integration Testing

verifies that separate systems can work together

System Testing

verify that the units or pieces of code function correctly when integrated

VLOOKUP

• Locates data in a table based on comparison values • Comparison values must be located in 1st column of the lookup table range. I.e., to the left of the data you want to find. • Finds exact matches or approximate matches • V stands for vertical

Management Information Systems (MIS)

- A business function, like accounting and human resources, which moves information about people, products, and processes across the company to facilitate decision-making and problem-solving.

Systems Thinking

- A way of monitoring the entire system by viewing multiple inputs being processed or transformed to produce outputs while continuously gathering feedback on each part

Internet of Things (IoT)

- A world where interconnected Internet-enabled devices or "things" have the ability to collect and share data without human intervention

Legacy System

- An old system that is fast approaching or beyond the end of its useful life within an organization.

Static Report

- Created once based on data that does not change.

Human-generated data

- Data that humans, in interaction with computers, generate.

Variety

- Different forms of structured and unstructured data

Planning Phase

- Establishes a high-level plan of the intended project and determines project goals

Design Phase

- Establishes descriptions of the desired features and operations of the system including screen layouts, business rules, process diagrams, pseudo code, and other documentation.

Production and materials management ERP components

- Handles the various aspects of production planning and execution such as demand forecasting, production scheduling, job cost accounting, and quality control.

Workflow

- Includes the tasks, activities, and responsibilities required to execute each step in a business process

Analysis Phase

- Involves analyzing end-user business requirements and refining project goals into defined functions and operations of the intended system

Testing Phase

- Involves bringing all the project pieces together into a special testing environment to eliminate errors and bugs, and verify that the system meets all of the business requirements defined in the analysis phase.

Customer Relationship Management (CRM)

- Involves managing all aspects of a customer's relationship with an organization to increase customer loyalty and retention and an organization's profitability

Maintenance Phase

- Involves performing changes, corrections, additions, and upgrades to ensure the system continues to meet its business goals.

Development Phase

- Involves taking all of the detailed design documents from the design phase and transforming them into the actual system

Goods

- Material items or products that customers will buy to satisfy a want or need. Clothing, groceries, cell phones, and cars are all examples of goods that people buy to fulfill their needs

Unstructured Data

- Not defined and does not follow a specified format.

Machine to Machine (M2M)

- Refers to devices that connect directly to other devices

Structured Data

- Stored in a traditional system such as a relational database or spreadsheet.

Analytical CRM

- Supports back-office operations and strategic analysis and includes all systems that do not deal directly with the customer

Operational CRM

- Supports traditional transactional processing for day-to-day front-office operations or systems that deal directly with the customers

Fact

- The confirmation or validation of an event or object.

BPI involves

. Measure what matters to most customers 2. Monitor the performance of key business processes 3. Assign accountability for process improvement

Managerial approach to reengineering projects

.Define the scope 2.Analyze 3.Evaluate 4.Plan 5.Approve 6.Execute

Big Data

A collection of large, complex data sets, including structured and unstructured data, which cannot be analyzed using traditional database methods and tools

Report

A document containing data organized in a table, matrix, or graphical format allowing users to easily comprehend and understand information.

Snapshot

A view of data at a particular point in time.

Business Process Improvement

An incremental approach to move an organization toward business process centered operations - Focuses on reducing variation in process outputs by identifying the underlying cause of the variation

Dynamic Report

Changes automatically during creation.

Cloud ERP

Cloud computing offers new ways to store, access, process, and analyze information and connect people and resources from any location in the world where an Internet connection is available.

Reasons for Outsourcing

Cost reduction - Focus on core competencies - Increase quality (products or services) - Lack of internal skills or expertise - Entry barriers (equipment, technology, etc.) - Capacity

Machine-generated data

Created by a machine without human intervention.

Information

Data converted into a meaningful and useful context.

Extended ERP components

Extra components that meet the organizational needs not covered by the core components and primarily focus on external operations.

Production and materials management ERP component

Handles the various aspects of production planning and execution such as demand forecasting, production scheduling, job cost accounting, and quality control.

BPR

High risk / high cost • Radical redesign • Top-down approach • Time consuming • Impacts can be overwhelming • High failure rate