Enterprise information systems and their role in an organization

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Corporate information
systems and their role
JINR AIS/GRID School 2014
Rostislav Titov
CERN
Who Am I?
19 years of experience in development and support
of large enterprise information systems at CERN


1999: M.Sc. in Computer Science (MPEI)
2012: Ph.D. (MEPhI)
https://www.linkedin.com/in/rostislavtitov
Head of the CERN E-Business unit since 2011:

Electronic Document Handling system (EDH)

CERN Stores Catalogue

Absence management

Document management

CERN hotel software support

…
2
What is a “Large enterprise”?
Examples:

Consist of multiple business entities

… working towards common goals

… under common management

… located in different regions/countries
A large enterprise requires effective and
efficient distributed management with
multiple levels of hierarchy
CERN
JINR
3
Size of organizations and software
Small companies
Relatively simple “off-the-shelf” software

Relatively easy to install and use, but limited functionality

Not very expensive
Middle-size companies
More advanced software

Provide more functionality and flexibility then “off-the-shelf” systems

Usually require adaptation to the needs of organization

Require training
Large Enterprises
Enterprise Resource Planning (ERP) systems

Collect and manage data from many business activities

Planning and tracking of all resources of the organization

Support distributed nature of processes

Require even more adaptation and training
4
Enterprise resource planning (ERP) is a suite of integrated
business management applications that a company can use to
collect, store, manage and interpret data from many business
activities

Common platform for management of all resources
 Common database
 Multiple modules for different business areas
 Homogenous information
 Common user interface



Complex
Expensive
Service life over 5-10 years
5
Russian ERP Market 2010
В. Мещеряков. «Российский рынок ERP: 1С растет быстрее всех», CNews
6
Typical ERP components
Basic

Accounting system

Human resource management

Procurement and logistics

Business intelligence

Electronic document management
Additional

Customer relationship

Project management

E-Recruitment

…
7
Accounting systems

Manage financial flows of the organization

Resource control and planning

Financial reporting

Purchase and sales orders

Tax calculation

Billing

Bookkeeping

Payroll
Russian ERP solutions
with accounting module:
8
Human resource management systems

Personnel information

Career planning

Motivation of personnel (salary, benefits,…)

Performance appraisal

Talent management (training, development plans…)

Absence management

Planning and modelling of personnel situation
9
HRMS: CERN example
10
Procurement and logistics

Planning and control of material, part and product flow

Implementing and controlling the effective and efficient flow
of goods

Procurement (in accordance with needs)

Monitoring of resources and in-time replenishment

Transportation and handling

Warehouse management
11
Business intelligence and business analytics
Set of techniques and tools for the transformation of raw data into meaningful
and useful information for business analysis purposes

Data mining

Multidimensional reporting (OLAP)

Simulation and forecasts

Processing of unstructured data

Statistical analysis and
predictive modelling
(business analytics)

Alerts
Extract, Transform and
Load (ETL) – a process of
extraction data from
databases into a data
warehouse (a system for
reporting and analysis)
12
Electronic Document Management
Enterprise Content
Management
(ECM)
Business
Process
Mgmnt
(BPM)
Electronic
Document
Management
Document
Recognition
(OCR)
Content
Management
Systems (CMS)
13
Enterprise Content Management Systems (ECM)
Purpose: Full document lifecycle support

Content management (all formats)

Full-text search (PDF, DOC, etc…)

Document conversion

Records Management

Version control

Metadata

Workflows

Document grouping

Collaborative work
14
ECM Example: Alfresco
Web Interface
Shared Folders
Outlook Integration
SharePoint/Office
Integration
E-Mail interface
Mobile UI
15
Document Capture and Recognition Software
Software for converting scanned images into electronic documents

Mass scanning

Transformation into different formats

Bar-code recognition

Text recognition

Integration with ECM systems

Search information
Use cases: Converting paper documents into an electronic
form, invoice recognition, recognition and parsing of CVs, …
16
OCR Example: ChronoScan
17
Content Management Systems (CMS)
CMS ≠ ECM!! Today CMS usually means web content
management (web site management)

[Web] content management

Version control

Collaborative work
Joomla

Document publishing (Web, RSS, Social)

Search and navigation support

Various plug-ins
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When to use a CMS?

Web-site with over 10 pages

… or updated more than once a week

… or being edited by multiple persons
Most popular CMS
systems (Jan 2014)
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Business Process Management Systems
Purpose: improving corporate performance by managing
and optimizing a company's business processes

Reinforcement of the rules

Structured data entry (electronic forms)

Collection of electronic signatures

Document workflows

Electronic document archive
20
Example: CERN Electronic Document Handling
21
Off-the-shelf products vs. custom developments
Off-the-shelf products – commercially available systems
that can be adapted to the needs of the organization
 The cost and complexity of adaptation depend on the needs of
organization and the scale and can be quite high
Custom developments – created specifically for a certain
task/organization
 Used to solve specific problems
 Often do not have prototypes
 Usually cannot be re-used
 High risks and costs
Only 32% of IT projects are
done on time and within budget
24% of IT projects are
cancelled prior to completion
Standish Group “CHAOS Summary 2009”
22
When to use custom developments
In most cases, commercially available systems is the best
choice
 More cost effective in the long term
 Easier maintenance (usually)
 Well-known (easy to train and hire experts, easier integration)
Custom developments are better in certain specific cases
 Commercial systems not available, not appropriate or too costly
 Specific requirements or specific use cases
 Bridging the gap between commercial systems
and specific needs of the organization
Pareto’s Law (80/20)
23
Best of breed vs integrated suite
“Best of Breed”
Integrated Suite
Needs
Needs
Needs
Package
Needs
Needs
Needs
Package
Needs
Interfaces
Needs
Needs
Needs
Package
Needs
Package
Not needed

Missing
CERN Choice: Best of Breed
– Buy best solution for each business unit
– We manage the integration & customizations
– We provide transparent layer for end-users
System Architecture

Traditional client-server

Web applications

Software as a service (SAAS)
Web applications
Web
Client (Web browser)
Generally, only the application server is
accessible from the Web. Database and
other internal servers are protected from
unauthorized access by a firewall
Application
server
Database
servers
Server
25
Web applications pros and cons

Accessible from anywhere

Use web browser – no installation on the client side

Cross platform (desktop, mobile)

Ease of upgrade
Disadvantages
 More vulnerable for hackers
Prevented by applying Internet security best practices and/or by
placing the web application on the Intranet (accessible only for the
employees of the organization)
 Less interactive user interface
Partially solved by HTML5, modern JavaScript libraries, AJAX,
Flash, etc.
26
Software as a Service
Software delivery model in which software is licensed on a subscription basis and
is centrally hosted in a cloud. SaaS is typically accessed via a web browser.

Reduced IT costs (maintenance by the SaaS provider)

Monthly or yearly subscription

More often updates
Disadvantages

Security and legal issues (data stored at 3rd party)

Limited possibilities for customization
27
Why corporate information systems?

Increase effectiveness and efficiency of the management

Faster response to changes

Compliance to standards

Transparency

Optimization of business processes

More efficient document and knowledge management
Although corporate systems can be very expensive and very
hard to implement, they can be very cost efficient.
28
Example: OpenCMS
http://www.finddiagnostics.org
30
EDH Helps to Meet the Challenge
 Reduce
costs
 Increase
efficiency
 Streamline
 Increase
productivity
 Empower
 Maintain
processes
workforce
control
 At
least 40 FTE saved
 Reuse
 50%
– cloning
documents < 24h
 < Admin,
> Core activities
 Delegation
of rights
 Enforcing
business rules
(Budget, Safety)
31
e-Recruitment
Personnel requirement support ≠ a job-finding web site !

Publish vacancies on the corporate site and social networks

Electronic application forms

Database of CVs

Integration with social networks

Integration with mobile devices

Online testing and online interviews
Especially useful for large organizations
32
Customer Relationship Management
Назначение: увеличение степени удовлетворённости клиентов за счёт
анализа накопленной информации о клиентском поведении, регулирования
тарифной политики, настройки инструментов маркетинга

Ведение клиентской базы

Анализ собранной информации о клиентах

Взаимодействие с клиентами (промоакции и т.п.)
33
Системы управления проектами

Сопровождение крупных проектов

Координация совместной работы рабочих групп

Контроль за сроками и бюджетом проекта
(например по методологии управления выполненной
стоимостью EVM)

Отчеты для руководства
Пример: Большой адронный коллайдер ЦЕРН
 Бюджет 6 миллиардов долларов США
 10’000 участников из более 100 стран и 500 институтов
 Система EVM@CERN: весь проект был разбит на ???
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