Chapter 4 - Chapter 4 Enterprise systems 1 Enterprise-wide...

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Chapter 4 Enterprise systems 1. Enterprise-wide information systems (enterprise systems) are informationsystems that allow companies to integrate information across operations on a company-wide basis provide a central repository common to all corporate users allows personnel to share information seamlessly no matter where the data are located or who is using the application can help companies extended to streamline communications with customers and suppliers help companies find innovative ways to increase accurate on-time shipments, avoid (or at least anticipate) surprises, minimize costs, and ultimately increase customer satisfaction and the overall profitability of the company 2. Supporting business processes (using information system to help the organization to gain competitive advantage) internally focused systems Ω support functional areas, business processes and decision making within an organization Ω can be viewed as a series of links in a chain along which information flows within the organization Ω information begins to accumulate at the point of entry and flows through the various links, or business processes, within the organization, progressing through the organization with new, useful information being added every step of the way externally focused systems Ω coordinate business processes with customers, suppliers, business partners, and other who operate outside an organization's boundaries. interorganisational system Ω a system that communicates across organizational boundaries Ω key purpose : streamline the flow of information from one company's operations to another's e.g. form a company to its potential or existing customers why gain competitive advantages? Ω enable a firm to meet a wide range of unique customer needs Ω help companies to adapt more quickly to changing market conditions Ω using OIS, one company can create information and transmit it electronically to another company 3. Internally focused applications understanding value chain Ω the flow of information through a set of business activities Ω functional areas can be broken down into core activities and supportive
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activities . core activities Ω functional areas within an organization that process inputs and produce output Ω include inbound logistics, operations and manufacturing, outbound logistics, marketing and sales, and customer service Ω inbound logistics activities : involves the business activities associate with receiving and stocking raw material, parts, and products e.g. Receipt of electronic components Ω outbound logistics activities : focuses on the distribution of end products e.g. On involves the delivery of books that customers have ordered Ω marketing and sales activities : facilitates the presales activities of the company, includes creation of marketing literature, communication with potential and existing customers, and pricing of goods and services e.g. Update pricing information and
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Chapter 4 - Chapter 4 Enterprise systems 1 Enterprise-wide...

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