Purdue University, School of IE, F 2009
IE 332 Computing in Industrial Engineering
Assignment No. 5
Monday, November 2, 2009
Computing with Information & Simulation
Simulation results with AutoMod
(1) Knowledge Questions (know the answers, but do not submit.)
a) Pp. 237-8 Case study: IGT and ERP, questions 1, 2, and answer questions 1, 2 on pg. 239, illustrating
your answers relative to the IGT case.
1. Stand alone functional information systems are easier, quicker and less expensive to develop if you do
not consider the need to interface and integrate.
2. Using the process called Business Process Reengineering companies can streamline and mainstream
their processes which should bring them closer to best practices which the vendor has integrated into its
It is much better to reengineer company processes so that they are in line with the software
rather than trying to ‘customize” software which means that each new release would require extensive
review and additional customization costing much more in the long run.
Before you go on…
1. Enterprise resource planning (ERP) was created to control all major business processes with single
software architecture in real time.
ERP integrates all department and functional information flows across
a company onto a single computer system that can serve all of the enterprise’s needs. In case of IGT, SAP
R/3 enabled the company to integrate its three major business functions - finance, manufacturing, and
product development - through a common information platform, and connected the company’s worldwide
2. ERP systems can be extremely complex, expensive and time-consuming to implement.
companies may need to change existing business process to fit the predefined business process of the
In addition, companies must purchase the entire software package even if they only want to use
a few of the modules. IGT had to change some of its business processes to accommodate the SAP system.
They also had to assemble a team of people from the order group and the engineering department to
customize the SAP system to handle the company’s complex BOM for its various product lines.
b) Understand and know Table 8.2; Figs. 8.3, 8.4.
c) Understand computing-based On-Demand CRM (Web Activity 5, p. 256).
d) Understand computing-based services provided via a portal (Web Activity 6, p. 256).
e) Identify 2 or 3 e-Work; e-Business; e-Commerce; e-Service functions and models in each (a through d
above). (Total 8-12 answers.)
(2) Answer and submit your answers to the following questions
a) (i) Read the CRM case (p. 241) and answer questions 1, 2. (ii) Explain briefly why CRM is enabled by
computing and telecommunication.