Lecture Management information systems: Solving business problems with information technology – Chapter 7

Chapter 7 introduce electronic business. After studying this chapter you will be able to understand: What types of products are sold online? How do Web-based services work and why do they change the world? How can customers pay for products and why do you need new payment mechanisms?,...

Introduction to MIS

Chapter 7 Integration of Information

 Business Integration

 Enterprise Resource Planning

 Customer Relationship Management

  Introduction to MIS   4

Business Integration Example

Daily Sales Report February 7, 2004

Department Item# Q-sold Price Value

House 1153 52 2.95 153.40

5543 13 0.59 7.67 W.Clothing 5563 1 87.32 87.32

7765 4 54.89 219.56

9986 2 15.69 31.38 Shoes 1553 2 65.79 131.58

Integrated Report Example

Weekly Sales Analysis 2/01/04 - 2/07/04 Manager comments are written in the first ten pages, along with comments on special events.

Department Analysis

House 4,113.58 25.35 205.68 3,882.55 W.Clothing 54,221.92 998.52 3,024.64 50,198.76 M.Clothing 28,664.48 356.24 1,421.58 26,886.66 Shoes 10,225.31 853.47 592.36 8,779.48

Total: 97,225.29 2,233.58 5,244.26 89,747.45

Sales & Net Sales

0 20000 40000 60000

House W Cloth M Cloth Shoes

Reports

sales data

create reports

Manager:

Integrate, graph analyze Secretary:

type & revise Management

sales data

create reports

Manager:

Integrate, graph analyze

Management

personal computer

sales data

query

  Introduction to MIS   8

Integration in 2000s

sales data

Sales Terminals

Sales Terminals

DBMS

Executive Information

System Personal Computer

Administration & Management

HRM Accounting Finance MIS Just-in-Time

Quality control

& Custom orders

Quick Response

Designs and Quality

Mass Customization Demand-pull

partnerships

& joint development

planning

& monitoring planning

& monitoring

  Introduction to MIS   10

ERP Integration

Database

Headquarters(France)

Database

Subsidiary(Spain)

…

Use inventory item

Deduct quantity

Update inventory value

Check for reorder point

Order new item through EDI

Update Accounts payable

Project cost report

Daily production report

Weekly financial status

Cash flow

Budget versus actual cost

Enterprise Resource Planning

 Procedures and practices

 Follows local (national) rules

 Follows consolidation rules

 Example

 U.S firm with European subsidiaries.

 Data is entered once

 European reports are generated for subsidiaries following local rules

 Results are converted and consolidated to U.S firm following international and U.S rules

 Runs on multiple database

and hardware platforms

 Can handle large and small

 Business planning and budgeting

 Profit center accounting

 Master data management

 Design and change process

 Product structure

 Development projects

 Sales and distribution

 Sales activities

 Sales order management

 Shipping and transportation

 Billing

 Sales information system

 Order information system

 Shop floor information

system

 Project system

 Work breakdown structures

 Network planning techniques, milestones

 Cost, revenue, financial, schedule, and resource management

 Earned value calculation

 Project information system

 Maintenance resource planning

 Maintenance planning

 System for technical and cost accounting data

 Maintenance information system

 The sales information system and EIS provide various up-to-date views and reports.

  Introduction to MIS   20

SAP Integration

 Financial general ledger

holds all base totals.

 Sub-ledgers are defined for

 On the general ledger

 Reports are generated in any currency

 New orders and payments can be generated through EFT

Customer Relationship Management

 The goal is to provide a single, integrated view of all customer activity, available to all employees who interact with the

customer.

 Having better information enables workers to provide better

service, meet the individual needs of each customer.

  Introduction to MIS   22

Workgroups

Computers are increasingly used to support teamwork and workgroups

Data, comments, and analysis are created and shared through networks

of computers

SharePoint: Discussion

 Run the survey

 Graph the results

Tracking Changes and Adding Discussions

  Introduction to MIS   26

Annotation

 Insert - Comment

 Insert - Object - Wave

 Make sure you and your colleagues have a sound card and microphone.

 Set up and test the multimedia tools.

 Know what you want to say and keep it short.

 Video can be used also but you need a camera, video capture card, and editing software.

CommentRecorded (wave)comment

SharePoint: Subscriptions to Monitor Changes

 Users can subscribe to a document or a directory.

 They will be notified by e-mail when changes are made.

 Or notified with a list of changes once a day, once a week, or on whatever schedule the user selects.

  Introduction to MIS   28

SharePoint: Routing Slip for Workflow

 A routing slip sends documents by e-mail to each person on the list in order.

 The document records changes and comments.

 Users on the list can approve

or reject changes.

Workgroup Example

Design Team

Client HQ Connecticut

Finance & Management Team

Consulting HQ California

Design Proposals

Supplier Contact Database MessageProposalsDesign

Cost Analyses

2 3

4

Message

  Introduction to MIS   30

Problems with Sharing

 Data conversion tools weak.

 Exact layouts require same versions.

 Hardware conversions not exact.

 Missing devices might cause crashes.

Data Warehouse/Legacy Systems

DataData

DataData

Decision maker manager

Data warehouse

Selected data items

Analysis tools Shared access

Sales transactionsand production operations

Interdepartmentalteams

  Introduction to MIS   32

Integration with Diversity

IBM central computer

Unix file server

Radio Network

Hardware compatibility:

support for network connections.

Software compatibility:

ability to store, transmit and display

data created on different machines.

PC client

Salesperson’s laptop

XML: eXtensible Markup Language

 Used as a standard means to transfer data to machines with unknown capabilities.

 Most hardware and software can read and understand the data.

 The tags describe the content.

 Usually a separate schema file is used to describe the tags and the document structure

GDSS Room

Group decision support systems can be used to coordinate meetings,

record notes, take votes, and encourage participation As shown in this

system by Ventana corporation, each participant enters data in a PC,

with summary results displayed on the central screen

 Changes to the original do

not affect the copies.

Container Document

Original spreadsheet

object

Original graph object

Original spreadsheet

object

Original graph object

send data

  Introduction to MIS   38

Compound Document

Container Document Database

Graph

Image

Text SpreadSheet

Dynamic Links

 Data references are always

up-to-date

 Computer & document know

the source of all components

 Updates and changes are

automatic, with less user training

 Software upgrade problems.

 File deletions, moves and major alterations affect other (unknown) users.

 Data changes can cause reformats that require fine-tuning of layouts

Sales Table

Cost of Goods Sold Spreadsheet

Integrated Data

Integration over Networks

Report

ServerApplications

Computer 1

  Introduction to MIS   42

Spreadsheet link to DBMS

Request data Send data Fill spreadsheet Data changes Send new data

Spreadsheet

DBMS data

(1) Query to request data

(2) Send data

(4) Data changes

(5) Send new data

(3) Fill spreadsheet

Microsoft Pivot Table

 Data - Pivot table report.

 Select data using a database query (Rolling Thunder).

 Choose data for rows, columns and table computations (row:

ModelType, SaleState; column: Month(SaleDate); Table: SalePrice.

 Create additional groups (Mark quarters, Data - Group and outline - Group.

 Hide or show detail.

Sum of SalePrice Quarter Month

Quarter1 Quarter2 Quarter3 Quarter4 Grand Total ModelTypeSaleState

  Introduction to MIS   44

Protected Changes

 Tools - Protect the document.

 Save the file and allow others to make changes.

 Changes are automatically marked in color for each user.

 Tools - Unprotect the document.

 Tools - Track Changes - Accept or Reject Changes.

Cases: Automobile Industry

  Introduction to MIS   46

Cases: Ford Motor Company

General Motors

What is the company’s current status?

What is the Internet strategy?

How does the company use information technology?

What are the prospects for the industry?

Appendix: Microsoft NetMeeting

http://www.microsoft.com/netmeeting/

Video Participants

Sound, Video Document

  Introduction to MIS   48

Appendix: NetMeeting Chat Screen

Appendix: NetMeeting WhiteBoard

A simple graphics tool, but it is shared by all participants.

All comments and drawings are sent to the other screens.

  Introduction to MIS   50

Appendix: NetMeeting Shared Document

Changes are displayed as they are typed

The owner can integrate them later.

Tools

Protect Document

Track Changes