Module 7 Flashcards
What are the systems of different management groups? Describe them.
- Transaction processing system (TPS)
*Systems that record data on fundamental operations occurring within the company
*Tracks flow of transactions
*Questions: What happened with this customer’s order? How many items do we still have in stock?
(Scheme) - Business Intelligence Systems (BIT)
*Support management decision making for different levels
* represent input side; business intelligence tools, as well as more sophisticated analytics systems, represent the output side
*Responsible for producing information and insights from the data
Which systems support decision making? Name them and their differences.
- (MIS)
*Serve middle management.
*Provide reports on firm’s current performance, based on data from TPS.
*Answers routine questions
*Little analytical management
(see MIS Report on slides for example) - (DSS)
*Serves middle management.
*Supports non-routine decision making.
*May use external info as stock prices etc.
Has analytical capability. Forecasting, stating impact etc.
KPI’s key performance indicators. - (ESS)
*Supports senior management.
*non-routine, requires judgement, evaluation, insight.
*Incorporated data about external events (new tax laws, competition etc.)
* Summarised MIS & DSS
Example: digital dashboard w/real-time view of financial performance.
How does business deal with managing all the decision making systems?
<Describe>
Enterprise applications- Systems that span functional areas. Execute business processes across the firm, including all levels of management.
Four major enterprise applications:
– Enterprise systems
– Supply chain management systems
– Customer relationship management systems
– Knowledge management systems
</Describe>
Name 4 “Enterprise applications”.
Four major enterprise applications:
– Enterprise systems
– Supply chain management systems
– Customer relationship management systems
– Knowledge management systems
What are Enterprise Systems?
ERP- Enterprise resource planning system. Aim at consolidating data collected and processed in various departments or branches of the company.
*Integrates core functions of the company (such as accounting, HR, procurement, sales)
*Speed communication of information throughout the firm.
*Enable greater flexibility in responding to customer requests, greater accuracy in order fulfilment.
EXAMPLE: SAP&ORACLE
What is the value of Enterprise Systems?
- Increase operational efficiency.
- Provide firm-wide information to help managers make better decisions.
3.Help firms respond rapidly to customer requests for information or products. - Analytical tools are available, informing corporate headquarters in real-time.
What do Supply Chain Management Systems do?
Provides a holistic overview of value chain, including flow of raw materials, deliveries, inventories.
*Manage relationships with suppliers, purchasing firms, distributors, and logistics companies
*Manage shared information about orders, production, inventory levels, and so on.
*Goal- move correct amount of product from source to point of consumption as quickly as possible and at lowest cost.
*Automating info flow.
What is Bullwhip effect and to which system it belongs to?
SCM- Supply chain management system.
Bullwhip effect- info about product demand gets distorted as it passes from one entity to next in supply chain.
“Pampers” example in lecture.
What is included in upstream in supply chain?
Tier 1 supplier (contract suppliers to the company)
Tier 2
Tier 3
What is included in down-stream in supply chain?
Distributor <—>Retailer <—>Customer
Explain push-pull relationship in supply chain .
- Push-based model (build-to-stock): based on forecasts or best guesses of demand for products and then pushed to customers
- Pull-based model (demand-driven or build-to-order): customer purchases trigger events in the supply chain
What is CRM System? Name it’s tools.
CRM- Customer Relationship Management
Integrates customer data to be used by various departments (sales, marketing, support).
Tools-
*Sales force automation (sales prospect and contact information,
sales quote generation capabilities)
*Customer service (assigning and managing customer service
requests, web-based self-service capabilities)
* Marketing (capturing prospect and customer data, scheduling
and tracking direct-marketing mailings or e-mail, cross-selling)
What is a touch point in CRM System?
A touch point (also known as a contact point) - method of interaction with the customer, such
as telephone, email, customer service desk, Facebook etc.)
What is KMS?
KMS- Knowledge Management Systems.
* Manage processes for capturing and applying knowledge and expertise
* Collect relevant knowledge and make it available wherever needed in the enterprise to improve business processes and management decisions.
* Link firm to external sources of knowledge
What are examples of firm knowledge? What does it take to run a fast food restaurant or operate a website?
Where are all the data stored?
- Data warehousing
* Data warehouses- data consolidated and standardised, cannot be altered.
*Data marts- subsets of data in data warehouses. - Online Analytical Processing (OLAP)
Transaction-level data stored in relational databases is aggregated and summarised.
Results of analysis are stored in special databases- data cubes.
