Tuesday, 12th September 2018 Global e-business and Collaboration

Tuesday, 12th September 2018: ERP (MIS)

So, here I go again with the summary of the second week of MIS subject.

As we know, in order to operate, businesses must deal with many different pieces of information about suppliers, customers, employees, invoices and payments, and of course their products and services.

Business Processes

Business processes are the collection of activities required to produce a product or service. These activities are flows of material, information, and knowledge among the participants in business processes. Business processes also refer to unique ways in which organizations coordinate work, information, and knowledge, and the ways in which management chooses to coordinate work. To a large extent, the performance of a business firm depends on how well its business processes are designed and coordinated. 

How Information Technology Improves Business Processes

Today, information technology can do much more. New technology can actually change the flow of information, making it possible for many more people to access and share information, replacing sequential steps with tasks that can be performed simultaneously, and eliminating delays in decision making. New information technology frequently changes the way in business works and supports entirely new business models. 

Types of Information Systems

A typical business organization has systems supporting processes for each of the major business functions - systems for sales and marketing, manufacturing and production, finance and accounting, and human resources. It also has different systems supporting the decision-making needs of each of the main management groups.

Which to prepare the business process as well, the collection of activities required to produce a product or service between each division should accompany by the flow chart like such as:


System for Different Management Group

Systems serving operational management are transaction processing systems (TPS), such as payroll or order processing, that track the flow of the daily routine transactions necessary to conduct business. Management information systems (MIS) produce reports serving middle management by condensing information from TPS, and these are not highly analytical. Decision-support systems (DSS) support management decisions that are unique and rapidly changing using advanced analytical models. All of these types of systems provide business intelligence that helps managers and enterprise employees make more informed decisions. These systems for business intelligence serve multiple levels of management, and include executive support systems (ESS) for senior management that provide data in the form of graphs, charts, and dashboards delivered via portals using many sources of internal and external information.

Business Intelligence Systems for Decision Support

Management information systems (MIS) summarizes and reports on the company's basic operations using data supplied by transaction processing systems. The basic transaction data from TPS are compressed and usually presented in reports that are produced on a regular schedule. Today, many of these reports are delivered online. In contrast, decision-support systems (DSS) support more non-routine decision making. They focus on problems that are unique and rapidly changing, for which the procedure for arriving at a solution may not be fully predefined in advance. Business intelligence is a contemporary term for data and software tools for organizing, analyzing, and providing access to data to help managers and other enterprise users make more informed decisions. 

How Management Information Systems Obtain Their Data From The Organization's TPS

Executive support systems (ESS) help senior management make these decisions. A digital dashboard displays on a single screen graphs and charts of key performance indicators for managing a company. Digital dashboards are becoming an increasingly popular tool for management decision makers.

Systems for Linking the Enterprise

Enterprise Applications

Enterprise applications are designed to coordinate multiple functions and business processes. Enterprise systems integrate the key internal business processes of a firm into a single software system to improve coordination and decision making. Supply chain management systems help the firm manage its relationship with suppliers to optimize the planning, sourcing, manufacturing, and delivery of products and services. Customer relationship management (CRM) systems coordinate the business processes surrounding the firm's customers. Knowledge management systems enable firms to optimize the creation, sharing, and distribution of knowledge. Intranets and extranets are private corporate networks based on Internet technology that assemble information from disparate systems. Extranets make portions of private corporate intranets available to outsiders.

Enterprise Systems Firms use enterprise systems, also know as enterprise resource planning (ERP) systems, to integrate business processes in manufacturing and production, finance and accounting, sales and marketing, and human resources into a single software system. Supply Chain Management Systems Frims use supply chain management (SCM) systems to help manage relationships with their suppliers. Customer Relationship Management Systems Firms use customer relationship management (CRM) systems to help manage their relationships with their customers. Knowledge Management Systems (KMS) enable organizations to better manage processes for capturing and applying knowledge and expertise. 

Fig. Enterprise Application Architecture

E-Business, E-Commerce, and E-Government

The systems and technologies we have just described are transforming firm's relationships with customers, employees, suppliers, and logistic partners into digital relationships using networks and the Internet. Electronic business or e-business, refers to the use of digital technology and the Internet to execute the major business processes in the enterprise. 

Systems For Collaboration and Teamwork

Collaboration is working with others to achieve shared and explicit goals, Social business is the use of internal and external social networking platforms to engage employees, customers, and suppliers, and it can enhance collaborative work. Collaboration and social business have become increasingly important in business because of globalization, the decentralization of decision making, and growth in jobs where interaction is the primary value-adding activity. Collaboration and social business enhance innovation, productivity, quality, and customer service. Tools for collaboration and social business include e-mail and instant messaging, wikis, virtual meeting systems, virtual worlds, cyberlockers, collaboration platforms such as Google Sites/Google Apps, Microsoft SharePoint, and Lotus Notes, and enterprise social networking tools such as Chatter, Yammer, Jive, and IBM Connections.