8/10/2019 CH-7(MIS)

1/7

1

CH-7 (MIS)

Introduction to e-Business Systems

Functional Business SystemsIT in Business

Business managers are moving from a tradition where they could avoid, delegate, or ignore

decisions about IT to one where they cannot create a marketing, product, international,

organization, or financial plan that does not involve such decisions.

Marketing Systems

Marketing Information Systems provide information technologies that support major

components of the marketing function.

Interactive Marketing

Customer focused marketing process

Based on using Internet, intranets, & extranets to establish two-way

communications between customers or potential customers and the business

Customers become involved in product development, delivery, & service issues

Targeted marketing

Five targeting components

Community

Content

Context

Demographic/psychographic

Online behavior

Sales Force Automation

The sales force is connected to marketing websites on the Internet, extranets,

& the company intranet

Increases productivity of sales force

Speeds up the capture & analysis of sales data

Allows management to provide improved delivery information & better

support of the sales force.

Manufacturing Systems

Support the production/operations function

8/10/2019 CH-7(MIS)

2/7

2

Assists firms in planning, monitoring, & controlling inventories, purchases, & the flow of

goods and services

Computer-Integrated Manufacturing (CIM)

Simplify

Automate

Integrate

Supports the concepts of flexible manufacturing systems, agile manufacturing, & total quality

management

Computer-Aided Engineering (CAE)

Computer-Aided Design (CAD)

Material Requirements Planning (MRP)

Computer-Aided Manufacturing (CAM)

Automate the production process

Manufacturing Execution Systems (MES)

Performance monitoring systems for factory floor operations

Process Control

The use of computers to control an ongoing physical process

Machine Control

The use of a computer to control the actions of a machine.

Also called numerical control

Human Resource Systems

Human Resource Information Systems

Support

Planning to meet the personnel needs of the business

Development of employees to their full potential

Recruitment, selection, & hiring

Job placement

Performance appraisals

Employee benefits analysis

Training and development

Health, safety, & security

8/10/2019 CH-7(MIS)

3/7

3

HRM and the Internet

Allows companies to process most common HRM applications over their intranets.

Allows companies to provide around-the-clock services to their employees.

Allows companies to disseminate valuable information faster.

Allows employees to perform HRM tasks online.

Staffing

Supported by information systems that record and track human resources to

maximize their use

Training and Development

Help human resource managers plan and monitor employee recruitment,

training, and development programs

Accounting Systems

Record and report business transactions and other economic events

Online Accounting Systems

Six widely used accounting systems

Order processing

Captures & processes customer orders and produces data needed for salesanalysis and inventory control

Inventory Control

Processes data reflecting changes in items in inventory.

Helps provide high-quality service while minimizing investment in inventory &

inventory carrying costs

Accounts Receivable

Keeps records of amounts owed by customers from data generated by

customer purchases and payments

Accounts Payable

Keeps track of data concerning purchases from, and payments to, suppliers

Payroll

Receives and maintains data from employee time cards and other work records

General Ledger

Consolidates data received from accounts receivable, accounts payable,

payroll, & other accounting information systems

Financial Management Systems

8/10/2019 CH-7(MIS)

4/7

4

Supports financial managers in decisions concerning

The financing of the business

The allocation & control of financial resources within the business.

Major financial management system categories

Cash Management

Collects information on all cash receipts and disbursements on a real-time or

periodic basis

Investment Management

Helps the financial manager make buy, sell, or hold decisions for each type of

security

Helps the financial manager develop the optimum mix of securities in order tominimize risk and maximize return

Capital Budgeting

Involves evaluating the profitability and financial impact of proposed capital

expenditures

Allows financial managers to analyze long-term expenditure proposals for

plant and equipment

Financial Forecasting & Planning

Evaluate the present and projected financial performance of the company

Help determine financing needs and analyze alternative methods of financing

Explore what-if and goal-seeking questions

Cross-Functional Enterprise Systems

Cross-Functional Enterprise Applications

Integrated combinations of information subsystems that share information resources and

support business processes across the functional units

A strategic way to use IT to share information resources & improve efficiency & effectiveness

Enterprise Application Architecture

8/10/2019 CH-7(MIS)

5/7

8/10/2019 CH-7(MIS)

6/7

6

Withdrawals

Refunds

Payments

Online transaction processing systems

Real-time systems that capture and process transactions immediately

Adds value to product or service through superior customer service

Transaction Processing Cycle

Data entry

The capture of business data

Transaction processing

Two basic ways

Batch processing where transaction data are accumulated & processed

periodically

Real-time processing where data are processed immediately after a

transaction occurs

Database maintenance

Corporate databases are updated to reflect the day-to-day businesstransactions

Document and report generation

A variety of documents and reports are produced

Inquiry processing

Inquiries and responses concerning the results of transaction processing

activity

Enterprise Collaboration Systems

8/10/2019 CH-7(MIS)

7/7

7

Cross-functional e-business systems that enhance communication, coordination, &

collaboration

Communicateshare information with each other

Coordinatecoordinate individual work efforts & use of resources with each other.

Collaboratework together cooperatively on joint projects and assignments

Tools for Enterprise Collaboration

Electronic communication

E-mail

Voice mail

Fax

Web publishing

Bulletin boards

Paging

Internet phone systems

Electronic conferencing

Data & voice conferencing

Videoconferencing

Chat systems

Discussion forums

Electronic meeting systems

Synchronous. Team members can meet at the same time and place in a

decision room setting

Collaborative work management

Calendaring & scheduling

Task & project management

Workflow systems

Knowledge management