Chapter 7 - Processes Flashcards
Dynamic Processes
Flexible, informal, and adaptive processes that normally involve strategic and less structured managerial decisions and activities. Dynamic processes usually require human judgement.
Structured Processes
Formally defined, standardized processes that involve day-to-day operations: accepting a return, placing an order, purchasing raw materials, etc.
3 Levels of Organizational Scope for Processes
- Workgroup Processes
- Enterprise Processes
- Inter-enterprise Processes
Workgroup Information System
Exists to support one or more processes within the workgroup. Sometimes called functional information systems. The program component is called a functional application.
Process Efficiency
A measure of the ratio of process outputs to inputs. If an alternative can produce the same output for less cost or produce more output for the same cost, it is more efficient.
Process Effectiveness
A measure of how well a process achieves organizational strategies.
Three Ways to Improve Processes
- Change the process structure
- Change the process resources
- Change both structure and resources
Three Ways IS Improve Process Quality
- Performing an activity
- Augmenting a human who is performing an activity
- Controlling process flow
Information Silo
The condition that exists when data are isolated in separate information systems.
Data Integrity Problem
Inconsistent duplicated data.
Business Process Reengineering
The activity of altering and designing business processes to take advantage of new information systems.
Inherent Processes
Standardized business processes. Predesigned procedures for using software products.
Three Types of Enterprise Application Solutions
- Customer Relationship Management
- Enterprise Resource Planning
- Enterprise Application Integration
Customer Relationship Management (CRM)
A suite of applications, a database, and a set of inherent processes for managing all the interactions with the customer, from lead generation to customer service.
Four Phases of the Customer Life Cycle
- Marketing
- Customer Acquisition
- Relationship Management
- Loss/Churn