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Lesson 10. E-MANAGEMENT SYSTEMS. What is an Entrepreneur?. Entrepreneur n. a business man or woman of positive disposition who attempts to make profit from opportunities by risk, initiative and guidance from 2-small-business.com. SESSION OBJECTIVES. ROLE OF MIS
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Lesson 10 E-MANAGEMENT SYSTEMS
What is an Entrepreneur? • Entrepreneur n. a business man or woman of positive disposition who attempts to make profit from opportunities by risk, initiative and guidance from 2-small-business.com
SESSION OBJECTIVES • ROLE OF MIS • J.I.T. AND PROCESS RE-ENGINEERING • J.I.T. AND SUPPLY CHAIN MANAGEMENT • INTERNET AND SUPPLY CHAINS
PRE-INTERNET M.I.S. OPERATIONS IMPACTED BY: • POOR DATABASE COMPATABILITY • BATCH, NOT REAL-TIME, DATA PROCESSING • IRREGULAR DATA ACQUISITION • POOR STORAGE AND ACCESS TO INFORMATION • IMPORTANCE OF UPGRADING INFORMATION MANAGEMENT BECAME APPARENT WITH ADVENT OF J.I.T.
EIGHTIES SAW USE OF PROCESS RE-ENGINEERING TO SPEED UP INTERNAL PROCESSES • NEED TO CHALLENGE JOB PROCESS CONVENTION • ALTHOUGH CLAIMED AS VERY EFFECTIVE, ACTUAL EXAMPLES LESS CONVINCING • IN MANY CASES I.T. SYSTEMS NOT CAPABLE OF PROVIDING INSTANT INFORMATION
FROM SINGLE J.I.T. EVOLVED INTEREST IN TOTAL SUPPLY CHAIN INTEGRATION • AGAIN ASPIRATIONS OFTEN FRUSTRATED BY I.T. SYSTEMS • APPLICATION OF EDI TO IMPROVE DATA EXCHANGE PROVED EFFECTIVE • MEANS CAN INTEGRATE AND OPTIMISE PRODUCT MOVEMENTS
STILL DATA EXCHANGE LIMITATIONS • ENTERPRISE RESOURCE PLANNING (ERP) SOFTWARE PROMISED SOLUTION • EDI SYSTEMS USUALLY BASED ON EXPENSIVE PROPRIETARY SOFTWARE • INTERNET OFFERS OPEN DATA EXCHANGE WITHOUT NEED FOR PROPRIETARY SOFTWARE
CONCERNS OVER DATA SECURITY • EMERGENCE OF EXTRANETS (= CLOSED INTERNET SITES) • MOVE TO INTEGRATE ERP AND INTERNET SYSTEMS • RECENT ENTRY OF “INTERNET ORIENTATED” DEVELOPERS WITH IMPROVED ERP SYSTEMS
EARLY ON-LINE SYSTEMS CONCENTRATED ON INTERNAL AND EXTERNAL PROCUREMENT • GE SYSTEM HANDLES $1 BILLION TRANSACTIONS / YEAR • BOISE CASCADE AS HUB LINKING 1200 SUPPLIERS AND 17,000 CUSTOMERS
MUST BE DESIGNED TO MEET USER DESIRES AND REQUIREMENTS • BEHIND WEB-SITE MUST BE A REAL COMMITMENT TO T.Q.M. AND J.I.T. • MUST ALREADY HAVE HIGH LEVEL OF I.T. EXPERTISE
NEW DISTRIBUTION MODELS • BARBALHO PROPOSES E-COMMERCE MEANS: • REDUCTION IN WAREHOUSE AND PRODUCTION CAPACITY (= DEMATERIALISATION) • REDUCTION OF ELEMENTS IN SUPPLY CHAIN (= DISINTERMEDIATION) • EMERGENCE OF EXTENDED NETWORK ENTERPRISES (= DEVERTICALISATION) • EMERGENCE OF NEW SERVICE CONCEPTS BY SUPPLY CHAIN MEMBERS
EMERGENCE OF APPLICATION SERVICE PROVIDERS (ASPs) TO RENT ACCESS TO COMPLEX SOFTWARE • PROCUREMENT MOVING ENTIRELY ON-LINE • IN SOME CASES MAJOR FIRM IS CONTROLLING HUB • OTHER CASES ON-LINE SYSTEM IS OPERATED BY A “NEUTRAL” HUB
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