CHAPTER 1 BUSINESS FUNCTIONS
AND BUSINESS PROCESSES
A. Business Functions
1. Functional areas are interdependent, each
requiring data from the others
2. With better integration of functional areas leads to
improvements in communication, workflow and
success of company
B. Business Processes
1. Collection of activities that takes one or more
kinds of input and creates an output that is of
value to the customer
2. Thinking in terms of business processes helps
managers look at their organization from the
customer’s perspective
3. Why Business Processes is important?
- Businesses must always consider customer’s
viewpoint in any transaction
- A successful customer interaction is one in
which the customer is not required to interact
separately with each business function involved
in the process.
- Sharing data effectively and efficiently between
and within functional areas leads to more
efficient business processes <Integrated
information systems>
- Managing inputs and business processes
effectively required accurate and up-to-date
information
Functional Areas of Operation
Marketing and Sales (M/S)
Supply Chain Management (SCM)
Accounting and Finance (A/F)
Human Resources (HR)
CHAPTER 2 THE DEVELOPMENT OF ERP
Enterprise Resource Planning
1. Core software programs used by companies to
integrate and coordinate information in every area
of the business
2. Help organizations manage company-wide
business processes, using a common database and
shared management reporting tools
Material Requirements Planning
1. Production-scheduling methodology that
determines the timing and quantity of production
runs and purchase-order releases to meet a master
production schedule
2. Allowed a plant manager to plan production and
raw materials requirements by working backward
from the sales forecast, the prediction of future
sales
The significance and benefits of ERP
1. ERP allows easier global integration. Barriers of
currency exchange rates, language and culture can
be bridged automatically, so data can be
integrated across international borders
2. ERP integrates people and data while eliminating
the need to update and repair many separate
computer systems
3. ERP allows management to actually manage
operations, not just monitor them
4. Reduce cost and improve operational efficiency
What return can a company expect from its ERP
investment?
1. Reduce the cost/expenses
2. Can save personnel, suppliers, distributors, and
customers much frustration
3. Provide real time data, improve external customer
communications
CHAPTER 8 RFID, BI, MOBILE COMPUTING
AND THE CLOUD
RFID
1. Becoming an increasingly efficient tool for
tracking item through a supply chain
2. Can determine location of an item with an RFID
tag
3. Emits radio waves and receives signals back from
the tag
4. No expensive
5. Does not need this line of sight connection and
can withstand most environment stresses
6. Provide with a unique identification number
Business Intelligence
1. A range of different applications and technologies
used to extract and analyze large amounts of data
to aid in decision making
2. Includes data-mining tools and querying tools,
which are often interactive and visual
In memory computing
1. Data stored in data warehouse servers usually
consist of aggregated data
2. Data in a data warehouse are structured as
multidimensional data cubes, which allow for
relationships in the data to be analyzed quickly
3. Two main challenges with using
multidimensional cube structure
4. A significant level of technical expertise is needed
to construct a cube
5. A multidimensional cube necessarily restricts how
the data con be analyzed
Mobile Computing
1. Increasing use of smartphones, tablet computers,
and other mobile computing devices
2. Mobile applications need to be developed for
different kinds of smartphones, with different
operating systems
3. Companies need to make many decisions about
the use of mobile devices by employees
4. Mobile devices provide users with information
and can also be sources of information
Cloud Computing
1. Delivery of a software product to a user via the
Internet
2. The user typically accesses the cloud product
through a Web browser or a lightweight (meaning
small and simple) application for a computer or
mobile device
Advantages of Using SaaS
1. Initial affordability - Lower cost to implement
software provided through SaaS
2. Shorter implementation time - Implementation
time usually shorter as the user does not have to
worry about technical issues
3. Lower support costs and complexity - Do not
need to hire additional IT personnel to implement
new systems and applications
Disadvantages of Using SaaS
1. Security
2. Bandwidth/response time
3. Flexibility
4. No frills
5. Technical, not business focus