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Revision p16 - 27

Revision p16 - 27. ERP’s System’s Development Organizations and Information Systems User Satisfaction and Technology Acceptance. Revision:. 1. What are two characteristics of valuable information? ANSWER: 2 . Which type of data includes noises, sounds, or tones? ANSWER:

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Revision p16 - 27

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  1. Revision p16 - 27 ERP’s System’s Development Organizations and Information Systems User Satisfaction and Technology Acceptance

  2. Revision: 1. What are two characteristics of valuable information? • ANSWER: 2. Which type of data includes noises, sounds, or tones? • ANSWER: 3. Name some other formats for information • ANSWER: 4. Name the essential elements of a system • ANSWER:

  3. The Pyramid Model: • The business organization is divided horizontally in several levels of activity. • Business operations form the basis of the pyramid: • Product-oriented work, like manufacturing, sales, distribution • Three management tiers

  4. Management Tiers: • Operations Management: • The controlling of the day-to-day operations • Middle Management: • Short term planning and coordination of activities necessary to accomplish organizational objectives • Top Management: • Long-term planning and setting organizational objectives

  5. Internal & External Information Flows

  6. Internal Information Flows • Horizontal flows of information used primarily at the operations level to capture transaction and operations data • Vertical flows of information • downward flows — instructions, quotas, and budgets • upward flows — aggregated transaction and operations data

  7. Business Information Systems, p 13 • Businesses utilize information systems to improve their operations at all levels. • Nearly all workers, from top management to production line employees, come in contact with computerized systems on a daily basis. • This results in a variety of systems functioning in different areas.

  8. Business Information System, Fig 1.5

  9. Payroll System: • To automate business transactions (routine, labor intensive): TPS, to record a complete business transaction • Example: Payroll TPS • INPUT: Hours worked, Pay rate • PROCESSING: calculation, Hours * Rate • OUTPUT: Cheque • STORAGE: Wages File, Reports • FEEDBACK:

  10. Payroll TPS

  11. ERP’s • System to pay employees, Payroll TPS • System to pay suppliers, AP • System to control inventory, Inventory System • Sending invoices, etc. AR • Today: all the above activities are performed by ONE ERP system • It enables an organization to automate and integrate its key business processes. ERP breaks down traditional barriers by facilitating data sharing, information flows, and the introduction of common business practices among all organizational users.

  12. ERP components • Althoughthescope of an ERP system may vary from company to company, most provide integrated software to support the manufacturing and finance business functions of an organization. Components: • Asset Management • Fin Acc • HR • Industry-specific solutions • Plant maintenance • Production planning • Quality Management • Sales and Distr. • Inventory Management • Market leaders are SAP, Oracle, JD Edwards, and PeopleSoft

  13. Information and DSS • A TPS speeds up business activities and reduces clerical cost, but • The data they store can help managers to make better decisions • Satisfying the needs of managers and decision makers continues to be a major factor in developing Information Systems • This leads now to • MIS • DSS

  14. MIS • It provides routine information to managers and decision makers: Output of TPS  Input MIS • Output: reports • It focuses on operational efficiency: ‘do things right’ • It supports all of the business functions of a company that shares a common database: • Marketing (MKIS) • Logistics (LIS • Manufacturing (MFIS) • Financial (FIS) • HR (PIS/HRIS)

  15. DSS • In the 1980 there was dramatic improvements in technology: the era of the PC, ‘miniaturization’  nano technology • It supports problem-specific decision making • DSS helps an organization to “do the right things”

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