Week 11: Business Processes & Enterprise IS

Question 1

When a customer places an order what 3 process activities take place?

Answer 1

1 - Inventory is checked

2 - Customer credit is checked

3 - Special terms are approved

Question 2

What is the difference between structured and dynamic processes?

Answer 2

Structured processes are standardized processes involving day to day operations, while dynamic processes are flexible and involve strategic less structured decisions

Question 3

What is the role of IS in business processes?

Answer 3

To implement business process activities and improve process quality (Efficiency and effectiveness)

Question 4

What is an information silo?

Answer 4

When data is isolated in separated information systems

Question 5

When are information silos created?

Answer 5

When IS supports functional processes rather than enterprise level processes.

Question 6

How is the problem of information silos solved?

Answer 6

By integrating data into a single data base

Question 7

Example of information silo…

Answer 7

• Medical practise stores its own information regarding patients
• Hospital/drug store also stores its own information regarding patients
• Data should be shared

Question 8

What are the three categories of enterprise applications?

Answer 8

• Customer Relationship Management (CRM)
• Enterprise Resource Planning (ERP)
• Enterprise Application Integration (EAI)

Question 9

What do CRM applications do?

Answer 9

Track all interactions with customer from prospect through to customer service

Question 10

What are the 4 phases of the customer life cycle?

Answer 10

1 - Marking (Attract)
2 - Customer Acquisition (Sell)
3 - Relationship Management (Support and Resell)
4 - Loss/Churn (categorise. e.g. low/high value customers)

Question 11

What is the primary purpose of ERP applications?

Answer 11

Integration, so that resources are allocated efficiently and effectively