Informations Systems Within The Organization

Question 1

TPS

Answer 1

Transaction processing system (TPS)
◦Supports the monitoring, collection, storage and processing of data generated by an organization’s basic business transactions.

TPS is streategic
Transaction is a key step in customer conversion.
Inputs for functional area information systems and business intelligence systems

Question 2

Two processing modes

Answer 2

●Batch processing
◦Data are collected from transactions as they occur and are placed in
groups or batches.
●Online transaction processing (OLTP)
◦Business transactions are processed on-line as soon as they occur, in real time.

Question 3

System performance requirements for TPS

Answer 3

◦Performance
◦ Usually measured by the number of transactions a TPS can process in a given period of time
◦Continuous availability
◦ TPS must be available during the time period when the users are entering transactions
◦Data integrity:
◦ TPS must assure the accuracy and consistency of transaction data.
◦Ease of use
◦ Being able to use without training
◦ Required for source data automation

Question 4

Major functional area

Answer 4

Modern organization are highly specialized, with each functional area planning and managing their own resources
◦Productions/Operations and logistics ◦Finance
◦Accounting
◦Marketing
◦Human resources managemen

Question 5

Functional areas information systems

Answer 5

●Functional area information systems (FAIS)
◦Support the planning and management of resources for different
functional areas
◦Support the functional business processes and increase functional business processes efficiency

Question 6

The landscape of FIAS

Answer 6

• quickbooks
• CRM software
• material requirements planning
• HR software
• budgeting solution

Question 7

What is an information silo and what can it result in

Answer 7

Any information management system that is unable to communicate with other information management systems, even if otherwise related or within the same organization
Can result in ●Process delays
●Limited report generation and business intelligence (BI) capability

Question 8

Enterprise resource planning systems

Answer 8

system adopts a business process view of the overall organization
•to integrate the planning, management, and use of all of an organization’s resources, employing a common software platform and database.

Question 9

ERP 1 vs ERP 2

Answer 9

•ERP I is internal focused, including internal facing functions
•ERP II: Integrate internal facing ERP applications with external focused applications

Question 10

Benefits of on-premise ERP system

Answer 10

● Process efficiency and quality (operational benefit) oCan customize the software to fit the unique needs of the company
oAdopt the ERP process, which is touted as “best practice” by ERP vendors (Also called vanilla approach)
oOrganizational flexibility and agility (strategic benefit)
◦Being able to better sense and respond to the changing environment
●Decision support
◦Having timely access to accurate data

Question 11

Limitations of on-premise ERP

Answer 11

●Challenges
●High Initial Costs
●Maintenance
●Longer Implementation Times
●People risks: training, change management
●Technology risks: purchasing costs, customization cost, integration risk, data migration to the new system
●Process risks: process misfit and process rework

Question 12

Cloud based, SaaS ERP solution

Answer 12

●Subscription based, no upfront fee, less customizable ●Major ERP vendors offer this solutions now

Question 13

CUSTOMIZATION

Answer 13

●Traditional vendors adopt open system approach to increase the variety and reduce the prices of applications