Business Systems

Business Systems
Transaction Processing Systems
 Information Systems
– Information Reporting Systems
– Decision Support Systems
– Executive Information Systems
Office Systems
 Design and Manufacturing Systems
Transaction Processing
handles an organization’s business
 provides a current record of the company’s
 processed information is stored in a
Typical Transactional
Processing Operations
payroll systems
 order entry
 inventory control
 accounts receivable
 accounts payable
 general ledger
Information Systems
developed to help managers make decisions
by providing them with information
 information needs vary depending upon the
management level
Managers and Information
Top level management
– strategic planning
– unstructured decisions
Middle level management
– tactical planning
– semi-structured decisions
Lower level management
– operational planning
– structured decisions
Information Reporting
support structured decision making
primarily at the lower and middle
management levels
 information is in the form of computer
generated, preformatted reports
 information for the reports comes from the
database generated by the transactional
processing system
Types of Reports
Scheduled Reports
– categorize and summarize information
– automatically produced on a regular basis
– widely distributed throughout the organization
Types of Reports (cont.)
Exception Reports
– inform management of unusual happenings
– automatically produced if something atypical
– useful for early detection of problems
Types of Reports (cont.)
Demand Reports
– specialized reports that a manager requests on a
particular subject
– produced upon request
– fill irregular needs for information
Decision Support Systems
provide middle and upper level managers
with tools for organization and analysis of
 useful for users who want to create their
own decision models and output formats
 oriented toward present and future events
Decision Support Systems
provide access to both internal and external
information sources
 contains productivity software such as
spreadsheets and database management
 often includes software used for forecasting,
optimization, and simulation
Executive Information
customized decision support systems used
by top level managers
 highly personalized
 designed for ease of use
Office Systems
using computer technology to increase
productivity throughout the entire
organization (office automation)
document processing
electronic mail
desk accessories
decision support tools
Design and Manufacturing
Computer-Aided Design (CAD)
 Computer-Aided Manufacturing (CAM)
– robotics
Computer-Integrated Manufacturing (CIM)
– enables CAD, CAM, and other business
activities to be tied together by computers
E-Business vs. E-Commerce
Supply Chain Management
Manufacturer Distributor