IS 466 ADVANCED TOPICS IN INFORMATION SYSTEMS

LECTURER : NOUF ALMUJALLY

19 – 9 – 2011

College Of Computer Science and Information, Information Systems Department

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Teaching Staff Nouf Almujally - Unit Lecturer• Office: 9 \ 2003• Email: is_466@hotmail.com• Consultation Hours:

Saturday 11-12 am Monday 9-10 am Other time welcome but please email first

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Timetable

LOCATION TIME DAY CLASS

10 \ 2037 12:30 – 1:20

Monday Lecture

10 \ 2037 10 - 12 Wednesday Lecture

11 \ 2007 10 - 11 Saturday Tutorial

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Assessment

Item No. Type Individual or

Group Weight Due Date

1 Tutorial Individual 5% submission5% class work Weekly

2 Case Study Group 10% Week 9

3 2 Quizzes Individual 10% Week 5Week 12

4 Midterm Exam Individual 20% Week 9

5 Final Exam Individual 50% Exams Week

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What you need to do to get A+• To gain a good understanding of the unit and of

course to pass the unit Attend the lectures and tutorial

All lecture and tutorial material is examinable Including tutorial case studies

Attempt ALL tutorial Questions prior to the tutorial Participation Required Reading

Consult with the Lecturer If you have any difficulties or problems with the

assignments please don't hesitate to contact me. I will try to be as helpful as possible.

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Course Policies Assignments deadlines are very strict Tutorials are due on Friday of each week Participation = Marks Daily penalties apply to late work Students who are absent on the quiz day will

not be allowed to make up the quiz. Students who are absent on Midterm exam day

due to illness are required to bring a signed medical excuse letter.

It is the student’s responsibility to contact the Lecturer if the midterm exam was missed within one (1) day following the scheduled exam date.

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Course ObjectiveThis course intends to introduce special topics of current trends in information systems and information technology:

• Enterprise resource planning (ERP)• Requirements Engineering• Geographical Information System (GIS)• Telemedicine and Medical Informatics• Human Computer Interface (HCI)• Simulation

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Questions?

9 Enterprise Resource Planning (ERP) - Overview

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Objectives ERP Definition The History of ERP ERP Characteristics Example: Before & after ERP The benefits of the ERP System ERP Disadvantages ERP Components ERP Vendors

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Current Situation Islands of information

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The Problems? Difficult to get timely & accurate information Heterogeneous hardware & software

platforms & practices Poor connectivity between different

organizational locations Sticking with out of date technology Resist to change Lack of proven man-power to develop

integrated software

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!!The Solution

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What is ERP? • Enterprise Resource Planning = ERP• ERP systems are packaged software systems that

Automates and integrates business processes Shares common data and practices across the entire

enterprise Produces and accesses information in a real-time

environment

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Formal Definition.. • It is a company-wide computer software

system that allows companies to integrate all their operations and resources founded in the core business areas such as accounting, human resource management, manufacturing and sales and distribution, and manage them through one program.

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History of ERP1960’s - Systems Just for Inventory Control

1970’s - MRP – Material Requirement Planning (Inventory with material planning & procurement)

1980’s - MRP II – Manufacturing Resources Planning (Extended MRP to shop floor & distribution Mgnt.)

Mid 1990’s - ERP – Enterprise Resource Planning (Covering all the activities of an Enterprise)

2000 onwards – ERP II – Collaborative Commerce (Extending ERP to external business entities)

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History of ERP

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ERP Characteristics• attempts to integrate all data and processes

of an organization into a unified system.

• provide information updated and on real time People in different departments all see the same

information and can update it

• A typical ERP system will use multiple components of computer software and hardware to achieve the integration.

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ERP Characteristics (con.)• A key ingredient of most ERP systems is the use of a

unified database to store data for the various system modules.

• Less Management• Less Complexity • Less Integration

• In ERP , you can get answer of any query by its powerful query and filtering facility

• ERP system can easily use in Government , healthcare , financial , retail and other service sectors

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ERP Characteristics (con.)• Computer security is included within an

ERP system to protect against both outsider and insider crime User / Password level authentication Tracking of changes made by users Restriction in modifying the transaction after

approval is done

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Example of QU• QU wants to buy a new Printer.• For this reason Secretary gives a

purchasing order by filling purchasing order forms.

• Next slide shows how this purchasing request process flow was working before ERP systems.

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New Printer Purchasing Process1. Purchase order form for a new printer2. Head of Department Confirmation- Faculty Head3. Purchase order document sent to QU Account Office4. Account Office Secretary sents the purchase order to the

Responsibles5. Purchase order- Responsible personal Confirmation6. Purchasing department- Manager Confirmation 7. Transfer to Finance Department Secretary for processing8. Finance Department Responsible’s Confirmation9. Transfer to Rector’s Office10. Rector’s Secretary- Confirmation11. Confirmation Transfer, to Purchase Department Secretary12. Purchase Responsible personal commends with Purchase

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Example : before using ERP system

Department x Account Office

Purchasing Dept.

Finance Dept. Manager

1 2

4

5

6

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before using ERP system!!

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QU after ERP Systems

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Example QU - IT Faculty • Information TechnologyFaculty wants to

buy a new HP Printer.• For this reason Secretary gives a

purchasing order with using QU Online ERP systems.

• Next slide shows the purchasing order process flow with ERP Systems.

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QU After ERP Systems

SAP SYSTEM ONLINEHEAD OF DEPARTMENT

REQUEST OF NEW HP PRINTER CONFIRMATION

SAP SYSTEM ONLINEPURCHASE

RESPONSIBLE

FINANCIAL ACCOUNTING

SAP SYSTEM ONLINE PURCHASEING MANAGERCONFIRMATION

SECRETARY

SAP SYSTEM ONLINEFINANCE DEPARTMENT CONFIRMATION SAP SYSTEM ONLINE

RECTORS OFFICE CONFIRMATION

SAP SYSTEM ONLINEPURCHASE DEPARTMENT

PURCHASE OF NEW

HP PRINTER

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Online data flow decreases the process time One common system – less duplication – more

efficient Fast & online confirmation Less paperwork No need for folder storage Database security Open communication among business partner Less employee needed Easy financial management Better ınventory management

The benefits of the ERP System

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DisadvantagesThere are several disadvantages to enterprise resource

planning:

• Cost Implementing ERP is very expensive, price can range

from $30,000 - $500,000, depending on the size of the company.

ERP vendors can charge a license renewal fee annually which can also be costly for any business.

Consultants may need to be used for installation or to maintain the ERP.

Employees may need to be trained in ERP so they can fully utilize the system. Training times takes away from work time and can also cost additional funds.

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Disadvantages (con.)• Expertise

Success of ERP depends on the skill level and experience of the company’s work force.

Proper training of the workforce is dependent to success with ERP.

New employees must be trained before they can properly start working because of the ERP system

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Disadvantages (con.)• Flexibility

ERP’s can be very rigid and may not fit the business flow of the company trying to use it.

Company’s may need to customize their ERP package which isn’t allowed by most ERP vendors.

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Disadvantages (con.)• Change

Employees may be needed to change the way they work to become more efficient. They may feel resistant to change which can be a negative.

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ERP ComponentAn ERP System includes:

• Business Processes ERP has been promoted as solutions for

supporting or streamlining business processes at all levels.

• Users of ERP systems The users of ERP systems are employees of

the organization at all levels, from workers, supervisors, mid-level managers to executives.

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ERP Component (con.)

• Hardware and Operating Systems that run ERP applications Many large ERP systems are UNIX based.

Windows NT and Linux are other popular operating systems to run ERP software. Legacy ERP systems may use other operating systems.

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ERP Component (con.)• ERP software

Module based ERP software is the core of an ERP system. Each software module automates business activities of a functional area within an organization.

Common ERP software modules include:production planning, purchasing, inventory control, sales and distribution, finance, accounting and human resources aspects of an organization .

• Note: The failures in one or more of those four components could cause the failure of an ERP project. The failures of multi-million dollar ERP projects are reported once in a while even after 20 years of ERP implementation.

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ERP Vendors

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ERP Vendors (con.)• SAP

Systems Application and Products Honda - IBM – Almarai – Aramco

• Oracle The leading provider of relational database

management systems Kodak

• The Sage Group Provider of human resources software Adidas - Helton Hotels

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Questions ??